TCREUR_Public/060728.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

             Friday, July 28, 2006, Vol. 7, No. 149     

                            Headlines


A U S T R I A

ABS: Korneuburg Court Orders Closing of Business
AKKERMAN & FREUDENTHAL: Vienna Court Closes Business
ANGELAS SONNENSCHEIN: Vienna Court Orders Closing of Business
MEUSBURGER GARDINENFABRIK: Claims Filing Period Ends August 7
PS-TEC: Claims Registration Period Ends August 7

REDZIC: Claims Registration Period Ends August 2
VGS: Creditor's Meeting Slated for August 23
WEIGL & PARTNER: Creditors' Meeting Slated for August 10


F R A N C E

ALCATEL SA: Earns EUR180 Million in Second Quarter 2006
ALCATEL SA: Names Additional Senior Executives to Lead Merger


G E R M A N Y

21 STGATE: Claims Registration Ends August 25
DR. ING. HEMPEL: Claims Registration Ends August 11
HRIBERSCHEK GMBH: Claims Registration Ends August 25
HUSEMANN BAUPROJEKTIERUNGS: Sets Aug. 17 Claims Bar Date
JENOPTIK AG: M+W Zander Sale Prompts S&P to Raise Rating to B+

KAISER STAHLBAU: Claims Registration Ends August 24
MOBEL MUEHLBERG: Claims Registration Ends August 24
RHEINHAUSENER METALLGROSSHANDEL: Claims Bar Date Set for Aug. 23
SITELCO NACHRICHTENTECHNIK: Claims Registration Ends August 21
TOP TRADING: Claims Registration Ends August 25

WTG TRANSPORTE: Claims Registration Ends August 20


I T A L Y

FIDIS RETAIL: Fitch Keeps C Individual Rating


K A Z A K H S T A N

BI & K: Creditors Must File Claims by Aug. 18
D.M.-KOMEK-K: Creditors Must File Claims by Aug. 21
DOMO: Mangistau Court Opens Bankruptcy Proceedings
GRIG PLUS: Proof of Claim Deadline Slated for Aug. 21
INSTALLCON: Proof of Claim Deadline Slated for Aug. 21

JASTAR:  Claims Registration Ends Aug. 21
KONTUR V: Claims Registration Ends Aug. 21
KUS: Creditors' Claims Due Aug. 21
OKS: Mangistau Court Starts Bankruptcy Process
SV SERVIS: Mangistau Court Begins Bankruptcy Proceedings

TEXAKABANK: Moody's Keeps Financial Strength Rating at E+


K Y R G Y Z S T A N

TRAIBERG TECHNOLOGY: Creditors Must File Claims by Sept. 12


L U X E M B O U R G

COLT TELECOM: Equity Offering Prompts Moody's to Lift Rating


N E T H E R L A N D S

KONINKLIJKE AHOLD: U.S. Foodservice Acquires Savage Foods


N O R W A Y

AKER KVAERNER: Inks US$80-Million Deal with Phelps Dodge Mining


R U S S I A

BRIDGE COMPANY: Ulyanovsk Court Begins Bankruptcy Supervision
DOR-SIB: Tomsk Court Begins Bankruptcy Supervision
FERTILITY: Court Names I. Ageev as Insolvency Manager
KAMA: Perm Court Starts Bankruptcy Supervision
KHOKHLOVSKOYE: Court Names D. Churkin as Insolvency Manager

MARKETING-BANK: State Insurance Agency to Manage Assets
NEKLINOVSKAYA SEL-KHOZ-TEKHNIKA: S. Kvinikadze to Manage Assets
PRINCEPS-CAPITAL: Court Names M. Trubachev as Insolvency Manager
REGION-OIL: Court Names V. Pisklina as Insolvency Manager
RYAZAN-STROY 11: Bankruptcy Hearing Slated for Oct. 10

SALAVATSKIY DIARY: Court Names Y. Karpenko as Insolvency Manager
SEVERSTAL: Asset Consolidation Spurs S&P to Lift Rating to BB-
TATARSTAN-AGRO-PROM-SNAB: I. Mysenko Named to Manage Assets
TIMBER MILL: Kareliya Court Starts Bankruptcy Supervision
VOLGA: Ulyanovsk Court Starts Bankruptcy Supervision

VORONEZH-STEEL-CONSTRUCTION: A. Kuznetsov to Manage Assets


T U R K E Y

VESTEL ELEKTRONIK: Fitch Affirms Issuer Default Rating at BB-


U K R A I N E

GALPROMEXPOCENTER: Court Names E. Dzhala as Liquidator
INFID: District Tax Agency to Liquidate Assets
KONELA: Court Names Sergij Pshenichnij as Liquidator
MONARCH: Court Names Oleksij Sisoyev as Liquidator
REGIONS OF UKRAINE: Oleksandr Shikulenko to Liquidate Assets

REMDIZEL: Kyiv Court Commences Bankruptcy Supervision
ROMNI' MEAT: Court Names Yevgen Chuprun as Liquidator
STRUSIV' FOOD: Ternopil Court Starts Bankruptcy Supervision
SVITANOK: Ternopil Court Starts Bankruptcy Supervision
TITAN: Herson Court Starts Bankruptcy Supervision

UKRAINA: Dnipropetrovsk Court Starts Bankruptcy Supervision
VALEKS: Dnipropetrovsk Court Starts Bankruptcy Supervision
VILAN: Court Names Oleksij Sisoyev as Insolvency Manager
ZIRNE' ALCOHOL: Court Starts Bankruptcy Supervision


U N I T E D   K I N G D O M

APPLIANCE XPRESS: Cattles Invoice Taps Administrative Receivers
ARGON CAPITAL: S&P Raises Rating on Class 22 Notes to B
AVONMOUTH RECYCLING: Names T. Papanicola as Administrator
B.H.P. ELECTRICAL: Hires Joint Liquidators from Begbies Traynor
BATH ARCHITECTURAL: Brings In Joint Liquidators from Harrisons

BENNINGTON FINANCE: S&P Lifts Class E Notes' Low -B Ratings
BEST CARE: Names William Antony Batty as Administrator
CARR HILL: Creditors' Meeting Slated for August 4
CHALLENGE ELECTRICAL: Creditors Pass Winding Up Resolution
CROWN CONSERVATORY: Creditors Nominate Liquidator

CROWN HOLDINGS: S&P Affirms Low-B Ratings on US$1.5-Bln Loan
EMI GROUP: Drops US$4.6 Billion Proposal for Warner Music
ENRON CORP: Court Approves Accenture Settlement Agreement
FIRST CALL: Creditors Confirm Liquidator's Appointment
GENERAL MOTORS: S&P Keeps Ratings on Watch Negative

GLEBE WAREHOUSING: Begins Liquidation Procedure
GLENFIELD TEXTILE: Appoints Vantis as Joint Administrators
INCENTIVE & CONFERENCE: Hires Administrators from Pure Recovery
MCGURK LABELS: Financial Woes Prompt Voluntary Liquidation
MILLER BROTHERS: Creditors' Meeting Slated for August 4

MOLLOY EUROPEAN: Creditors' Meeting Slated for August 2
OTSU LTD: Appoints J. Harvey Madden as Liquidator
PETER HARRISON: Joint Liquidators Take Over Operations
PHOENIX 2002-2: S&P Assigns BB Rating to Class D Notes
PUBLICITY PRINTERS: Names David Halstead Bottomley Liquidator

QUALITY ELECTRICAL: Creditors' Meeting Slated for August 4
REFCO INC: Ch. 7 Trustee Wants Court to Wind Down Refco Trading
REFCO INC: Organizational Mtg. of RCM Creditors Set for Aug. 2
REFCO INC: Terminates F/X Associates Agreement with GAIN Capital
RIVERMEAD ENGINEERING: Taps David Rubin to Liquidate Assets

S.J.V. CONSTRUCTION: Creditors Opt to Wind Up Business
SEA CONTAINERS: High Court Sides with ORR on Railway Use Dispute
SIMONITE SHOP: Creditors Resolve to Voluntary Liquidation
SOS GUERNSEY: Appoints Administrators from Smith & Williamson

                            *********

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


ABS: Korneuburg Court Orders Closing of Business
------------------------------------------------
The Land Court of Korneuburg entered an order on June 12 closing
the business of LLC ABS (FN 209353y).  

Court-appointed property manager Stephan Riel determined that
the continuing operation of the business would reduce the value
of the estate.

The property manager and his representative can be reached at:

         Dr. Stephan Riel
         c/o Dr. Alexander Schoeller
         Reischachstrasse 3/12A
         1010 Vienna, Austria
         Tel: 01/713 44 33
                 713 34 05
         Fax: 01/713 10 33
         E-mail: kanzlei@jsr.at      

Headquartered in Tirol, Austria, the Debtor declared bankruptcy
on May 19 (Bankr. Case No. 36 S 64/06p).  Alexander Schoeller
represents Dr. Riel in the bankruptcy proceedings.


AKKERMAN & FREUDENTHAL: Vienna Court Closes Business
----------------------------------------------------
The Trade Court of Vienna entered an order on June 12 closing
the business of KEG Akkerman & Freudenthal (FN 249712z).  

Court-appointed property manager Stefan Jahns determined that
the continuing operation of the business would reduce the value
of the estate.

The property manager and his representative can be reached at:

         Mag. Stefan Jahns
         c/o Mag. Michael Neuhauser
         Esslinggasse 9
         1010 Vienna, Austria
         Tel: 536 50 0
         Fax: 536 50 14
         E-mail: officewien@aaa-law.at     

Headquartered in Vienna, Austria, the Debtor declared bankruptcy
on April 5 (Bankr. Case No. 3 S 54/06w).  Michael Neuhauser
represents Mag. Jahns in the bankruptcy proceedings.


ANGELAS SONNENSCHEIN: Vienna Court Orders Closing of Business
-------------------------------------------------------------
The Trade Court of Vienna entered an order on June 12 closing
the business of LLC Angelas Sonnenschein (FN 249619m).

Court-appointed property manager Andrea Simma determined that
the continuing operation of the business would reduce the value
of the estate.

The property manager and her representative can be reached at:

         Dr. Andrea Simma
         c/o Dr. Guenther Hodl
         Schulerstrasse 18
         1010 Vienna, Austria
         Tel: 513 67 03
         Fax: 513 67 03 33
         E-mail: Simma@aon.at   

Headquartered in Vienna, Austria, the Debtor declared bankruptcy
on May 30 (Bankr. Case No. 3 S 81/06s).  Guenther Hodl
represents Dr. Simma in the bankruptcy proceedings.


MEUSBURGER GARDINENFABRIK: Claims Filing Period Ends August 7
-------------------------------------------------------------
Creditors owed money by LLC Meusburger Gardinenfabrik (FN
77550w) have until Aug. 7 to file written proofs of claims to
court-appointed property manager Ronald Sutter at:

         Dr. Ronald Sutter
         Market Route 24
         6800 Feldkirch, Austria
         Tel: 05522/72755
         Fax: 05522/75125
         E-mail: dr.sutter.r.ra@aon.at     

Creditors and other interested parties are encouraged to attend
the creditors' meeting at 9:30 a.m. on Aug. 17 to consider the
adoption of the rule by revision and accountability.

The meeting of creditors will be held at:

         The Land Court of Feldkirch
         Hall 45
         1st Floor
         Feldkirch, Austria

Headquartered in Frastanz, Austria the Debtor declared
bankruptcy on June 12 (Bankr. Case No. 14 S 27/06t).  


PS-TEC: Claims Registration Period Ends August 7
------------------------------------------------
Creditors owed money by Trade LLC PS-TEC Technologie (FN 89728d)
have until Aug. 7 to file written proofs of claims to court-
appointed property manager Gerhard Wagner at:

         Dr. Gerhard Wagner
         Spittelwiese 6
         4020 Linz, Austria
         Tel: 0732/775800
         Fax: 0732/775800-15
         E-mail: office@rechtsanwalt-wagner.com     

Creditors and other interested parties are encouraged to attend
the creditors' meeting at 10:00 a.m. on Aug. 21 to consider the
adoption of the rule by revision and accountability.

The meeting of creditors will be held at:

         The Land Court of Linz
         Room 522
         5th Floor
         Linz, Austria

Headquartered in Linz, Austria the Debtor declared bankruptcy on
June 12 (Bankr. Case No. 12 S 52/06v).  


REDZIC: Claims Registration Period Ends August 2
------------------------------------------------
Creditors owed money by KEG Redzic (FN 244544z) have until
Aug. 2 to file written proofs of claims to court-appointed
property manager Johannes Jaksch at:

         Dr. Johannes Jaksch
         Reischachstrasse 3/12 A
         1010 Vienna, Austria
         Tel: 713 44 33
         Fax: 713 10 33
         E-mail: kanzlei@jsr.at     

Creditors and other interested parties are encouraged to attend
the creditors' meeting at 9:45 a.m. on Aug. 16 to consider the
adoption of the rule by revision and accountability.

The meeting of creditors will be held at:

         The Trade Court of Vienna
         Room 1607
         Vienna, Austria

Headquartered in Vienna, Austria the Debtor declared bankruptcy
on June 12 (Bankr. Case No. 28 S 37/06d).  


VGS: Creditor's Meeting Slated for August 23
--------------------------------------------
Creditors owed money by Trade LLC VGS (FN 234153v) are
encouraged to attend the creditors' meeting at 10:00 a.m. on
Aug. 23 to consider the adoption of the rule by revision and
accountability.

The creditors' meeting will be held at:

         The Land Court of Leoben
         Hall IV
         1st Floor
         Leoben, Austria

Headquartered in Bruck an der Mur, Austria, the Debtor declared
bankruptcy on June 12 (Bankr. Case 17 S 47/06i).  Reinhard Teubl
serves as the court-appointed property manager of the bankrupt
estate.  

The property manager can be reached at:

         Dr. Reinhard Teubl
         Mittergasse 28
         8600 Bruck an der Mur, Austria
         Tel: 03862-51462
         Fax: 03862-51462-10
         E-mail: rechtsanwaelte@bzt.at


WEIGL & PARTNER: Creditors' Meeting Slated for August 10
--------------------------------------------------------
Creditors owed money by LLC Weigl & Partner (FN 163244s) are
encouraged to attend the creditors' meeting at 9:30 a.m. on
Aug. 10 to consider the adoption of the rule by revision and
accountability.

The creditors' meeting will be held at:

         The Land Court of Viennese New City
         Room 15
         Viennese New City, Austria

Headquartered in Altenmarkt - Thenneberg, Austria, the Debtor
declared bankruptcy on June 12 (Bankr. Case 10 S 51/06p).  
Michael Jagerndorfer serves as the court-appointed property
manager of the bankrupt estate.  

The property manager can be reached at:

         Dr. Michael Jagerndorfer
         Hernsteiner Str. 17
         2560 Berndorf, Austria
         Tel: 02672/84228
         Fax: 02672/84228-33
         E-mail: office@jaegerndorfer.at    


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


ALCATEL SA: Earns EUR180 Million in Second Quarter 2006
-------------------------------------------------------
Alcatel S.A.'s Board of Directors reviewed and approved second
quarter 2006 results.  

Revenues were up by 7.6% at EUR3.384 billion compared with
EUR3.145 billion (up 7.3% at constant Euro/US$ exchange rate) in
the same period last year.  

The gross margin was 33.6%.  Operating profit amounted to
EUR263 million, a 7.8% operating margin, and included a EUR12
million impact from a capital gain resulting from disposal of
fixed assets.  

Net income (group share) for the quarter was registered at
EUR180 million.

Key Figures
In Euro million except for EPS  

                              |----------+----------+----------|
                              |  Second  |  Second  |First Qtr |
                              |    Qtr   |    Qtr   |   2006   |
                              |   2006   |   2005   |          |
|-----------------------------+----------+----------+----------|
| Profit & Loss               |          |          |          |
|-----------------------------+----------+----------+----------|
| Revenues                    |   3,384  |   3,145  |   3,067  |
|-----------------------------+----------+----------+----------|
| Operating Profit            |   263    |    263   |    198   |
|-----------------------------+----------+----------+----------|
| Income from operating       |   243    |    209   |    157   |
| activities                  |          |          |          |
|-----------------------------+----------+----------+----------|
| Net income (group share)    |   180    |    196   |    104   |
|-----------------------------+----------+----------+----------|
| EPS Diluted (in Euro)       |   0.13   |   0.14   |   0.08   |
|-----------------------------+----------+----------+----------|
| EPS Diluted (in Euro)       |   0.12   |   0.09   |   0.06   |
| excluding capital gains     |          |          |          |
|-----------------------------+----------+----------+----------|
| E/ADS (in US$)*             |   0.17   |   0.18   |   0.10   |
|-----------------------------+----------+----------+----------|
| Number of shares (billion)  |   1.38   |   1.37   |   1.38   |
|-----------------------------+----------+----------+----------|

* E/ADS has been calculated using the US Federal Reserve Bank
   of New York noon euro/dollar buying rate of US$1.28 as of
   June 30, 2006.

"While preparing for the merger with Lucent Technologies and the
Thales transaction, Alcatel achieved good revenue growth in the
second quarter, above market rate," Serge Tchuruk, Chairman and
CEO, summarized the Board's observations.   "Our strong
performance in the wireline segment confirmed Alcatel's leading
position in the network transformation to an all-IP
infrastructure to support triple play services.  We are
particularly pleased with the resulting 4-fold year over year
revenue increase in IP routing and aggregation as well as our
strong position in the DSL and fiber access markets.

"We were particularly satisfied with the strong quarter in North
America where we registered a 40% growth (US$), driven by a
strong demand for triple play services, and with our activity in
China, which saw more than a 20% increase (US$), with
significant strength in wireless.

"Going into the second half of the year we expect to see the
carrier market growing in the mid single digit range for full
year 2006. As we expect the pending merger with Lucent
Technologies to close during the fourth quarter, we are not
providing specific annual guidance. We are also working on the
Thales transaction, which is targeted to close before year-end.

"Our third quarter will be a transition quarter where we expect
revenues to grow year over year in the mid single digit range
(at the current structure). The operating profit should be close
to the same amount as in the second quarter of 2006, taking into
account increased investments in R&D and additional costs
associated with the strategic moves underway.

"Together with Lucent Technologies as a combined company, we are
comfortable in our ability to achieve the targeted EUR1.4
billion in cost synergies, which should translate into
significantly improved profitability for the future.
Furthermore, this transaction will give us the economies of
scale needed in all R&D areas and will position the company to
capitalize on the trend towards converged networks, which we
believe will drive the carrier market."

                        Merger Update

On July 24, the European Commission informed Alcatel and Lucent
Technologies that their proposed merger complies with the
European Union's competition rules and that the two companies
have its approval to merge.  As announced on July 10, 2006, the
companies believe they are currently on track to complete their
merger transaction by the end of calendar year 2006.

Consolidated Income Statement:

   -- Revenues: EUR3.384 billion vs. EUR3.145 million Q2 05
      (up 7.6%) and vs. EUR3,067 million sequentially;

   -- Geographical distribution of revenues:
         -- W.  Europe: 39%
         -- North America: 18%
         -- Asia: 16%
         -- RoW: 27%

   -- Gross margin: 33.6% (35.6% for Q2 05);

   -- Selling, general and administration costs: -EUR512 million
      (15.1% of sales);

   -- Research and development expenses: -EUR362 million (10.7%
      of sales);

   -- Operating profit: EUR263 million, a 7.8% operating margin;

   -- Income from operating activities: EUR243 million and
      included:

         -- Share-based payment at -EUR14 million
         -- Restructuring at -EUR2 million
         -- Goodwill Impairment -EUR4 million

   -- Income from continuing operations: EUR238 million and
      included:

         -- Net financial costs of -EUR21 million
         -- Share of equity affiliates at EUR16 million
         -- Income Tax at -EUR42 million

   -- Net Income (Group share): EUR180 million;

   -- Diluted EPS: EUR0.13 (US$ 0.17 per ADS) based on an
      average of 1.38 billion shares;

Balance Sheet Items:

   -- Operating working capital: EUR1,076 million, 7.8% of last
      12 months revenue;

   -- Cash and equivalents and marketable securities: EUR4,500
      million

   -- Net Cash: EUR980 million

                          About Alcatel

Headquartered in Paris, France, Alcatel S.A. (Paris: CGEP.PA and
NYSE: ALA) -- http://www.alcatel.com/-- provides communications  
solutions to telecommunication carriers, Internet service
providers and enterprises for delivery of voice, data and video
applications to their customers or employees.    Alcatel brings
its leading position in fixed and mobile broadband networks,
applications and services, to help its partners and customers
build a user-centric broadband world.    With sales of EUR13.1
billion and 58,000 employees in 2005, Alcatel operates in more
than 130 countries.

                         *     *     *

As reported in TCR-Europe on March 28, Standard & Poor's Ratings
Services placed its 'BB' long-term corporate credit rating on
France-based telecommunications equipment maker Alcatel on
CreditWatch with negative implications.


ALCATEL SA: Names Additional Senior Executives to Lead Merger
-------------------------------------------------------------
Alcatel S.A. and Lucent Technologies named additional members to
the senior leadership team for the combined company.

Following the April 2 announcement of their proposed merger
transaction, the two companies have achieved a number of
significant milestones, including satisfying some regulatory
conditions to the proposed merger and deciding on a basic
business model and associated organization for the combined
company.

On July 10, the two companies announced a number of members of
the senior leadership team for the combined company.  
Wednesday's announcement names additional members of the senior
leadership team for some of the critical corporate functions.

Olivier Baujard will serve as Chief Technology Officer for the
combined company.  He currently serves as CTO for Alcatel.
Jeong Kim will remain President of Bell Labs.  Helle
Kristoffersen, currently vice president of corporate strategy or
Alcatel will become the vice president of corporate strategy for
the combined company.  Messrs. Baujard, Kim and Kristoffersen
will report to Mike Quigley, who will serve as president,
Science, Technology and Strategy, in the combined company.  Mr.
Quigley now is President and chief operating officer of Alcatel.

John Giere, currently Chief Marketing Officer for Lucent, will
assume that post for the combined company.  Lucent Chief
Information Officer Elizabeth Hackenson, has been named to lead
the combined company's Information Systems/Information
Technology organization.  They will report to Frank D'Amelio,
who will oversee a number of key corporate and cross company
functions for the combined company.  Mr. D'Amelio currently
serves as COO for Lucent.

"Alcatel and Lucent are fortunate in the depth and breadth of
the talent each company is bringing to our proposed merger,"
said Patricia Russo, who will become CEO of the combined
company.  "Our experienced international management team will
give our combined company an enormous advantage as we face the
dynamic market in which we will compete."

"We are putting together the combined organization with a
balanced representation of talented leaders from both companies
to fully leverage the significant advantage of the cultural
diversity that our global teams will bring to every customer and
business needs," said Serge Tchuruk, chairman and CEO of Alcatel
who will become non-executive Chairman of the combined company.

Mr. Baujard joined Alcatel in 1988 and has held a variety of
leadership roles in his 18 years with the company, including
leading the company's Network Applications division and its
Enterprise Solutions Division.  Prior to his current position as
CTO he was vice president for Alcatel Corporate Strategy.

Mr. Kim rejoined Lucent in 2005 as president of Lucent's
research and development organization, Bell Labs.  He originally
joined Lucent in 1998 when Lucent acquired Yurie Systems, a
high-tech communications company he had founded in 1992.  He
left Lucent in 2001 to join the faculty of the University of
Maryland with joint appointments in the Department of Electrical
and Computer Engineering and the Department of Mechanical
Engineering.

Ms. Kristoffersen joined Alcatel in 1994 and since that time has
held a number of senior positions in marketing, business
development, strategy and financial operations.  Prior to
joining Alcatel she was manager of special projects for the
Deputy Chief Financial Officer within the Bollore Group and
started her career as an analyst in the mergers and acquisitions
department at Lazard Freres et Cie.

Mr. Giere has been Lucent's chief marketing officer since he
joined the company in 2003.  Prior to joining Lucent, he had
spent several years at LM Ericsson where he held several
strategic marketing and business development positions.

Ms. Hackenson joined Lucent in April as CIO from MCI where she
held a similar position.  She joined MCI five years ago when it
merged with UUNET, where she had worked for three years and
managed the development of Internet products and implemented
web-based tools for he company's supply chain.

Mr. Quigley was appointed Alcatel's President and Chief
Operating Officer in 2005.  He has held a variety of executive
positions including President of Alcatel North America and
President of the Fixed Communications business.  During his 35-
year career he has held senior positions in manufacturing and
quality, and sales and marketing.

Mr. D'Amelio was named Lucent's Chief Operating Officer earlier
this year.  During his 27-year career, he has held a variety of
senior financial and operational positions at Lucent and AT&T,
and in May 2001 was named Lucent's executive vice president and
chief financial officer overseeing the management of all
financial, accounting and administrative functions.

The companies expect to complete their merger transaction by the
end of calendar year 2006, within the six- to 12-month timeframe
originally announced on April 2.  This week the two companies
received EU clearance to proceed with their merger transaction.

                          About Lucent

Headquartered in New Jersey, United States of America, Lucent
Technologies (NYSE: LU) -- http://www.lucent.com/-- designs and  
delivers the systems, services and software that drive next-
generation communications networks.  Backed by Bell Labs
research and development, Lucent uses its strengths in mobility,
optical, software, data and voice networking technologies, as
well as services, to create new revenue-generating opportunities
for its customers, while enabling them to quickly deploy and
better manage their networks.  Lucent's customer base includes
communications service providers, governments and enterprises
worldwide.

                          About Alcatel

Headquartered in Paris, France, Alcatel S.A. (Paris: CGEP.PA and
NYSE: ALA) -- http://www.alcatel.com/-- provides communications  
solutions to telecommunication carriers, Internet service
providers and enterprises for delivery of voice, data and video
applications to their customers or employees.   Alcatel brings
its leading position in fixed and mobile broadband networks,
applications and services, to help its partners and customers
build a user-centric broadband world.   With sales of EUR13.1
billion and 58,000 employees in 2005, Alcatel operates in more
than 130 countries.

                         *     *     *

As reported in TCR-Europe on March 28, Standard & Poor's Ratings
Services placed its 'BB' long-term corporate credit rating on
France-based telecommunications equipment maker Alcatel on
CreditWatch with negative implications.


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


21 STGATE: Claims Registration Ends August 25
---------------------------------------------
Creditors of 21 stGate / aspCommunications Group OHG have until
Aug. 25 to register their claims with court-appointed
provisional administrator Sebastian Henneke.

Creditors and other interested parties are encouraged to attend
the meeting at 8:45 a.m. on Sept. 15 at which time the
administrator will present his first report on the insolvency
proceedings.

The meeting of creditors will be held at:

         The District Court of Dortmund
         Hall 3.201
         2nd Floor
         Court Place 1
         44135 Dortmund, Germany
      
The Court will also verify the claims set out in the
administrator's report during this meeting, while creditors may
constitute a creditors' committee or opt to appoint a new
insolvency manager.

The District Court of Dortmund opened bankruptcy proceedings
against 21 stGate / aspCommunications Group OHG on June 29.  
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be contacted at:

         21 stGate / aspCommunications Group OHG
         Airfield 7 - 9
         44319 Dortmund, Germany

         Attn: Andreas Ramacher, Manager
         Oetringhauser Str. 7
         44339 Dortmund, Germany

         Frank Bredendieck, Manager
         Drosselweg 3
         58739 Wickede/Ruhr, Germany

The administrator can be contacted at:

         Dr. Sebastian Henneke
         Hansastrasse 61
         44137 Dortmund, Germany  


DR. ING. HEMPEL: Claims Registration Ends August 11
---------------------------------------------------
Creditors of Dr. Ing. Hempel Immobilien und Bausanierung KG have
until Aug. 11 to register their claims with court-appointed
provisional administrator Armin Becker.

Creditors and other interested parties are encouraged to attend
the meeting at 11:00 a.m. on Sept. 13 at which time the
administrator will present his first report on the insolvency
proceedings.

The meeting of creditors will be held at:

         The District Court of Stralsund
         Hall A4 21
         4th Floor
         House A
         Franconia Dam 17
         Stralsund, Germany
      
The Court will also verify the claims set out in the
administrator's report during this meeting, while creditors may
constitute a creditors' committee or opt to appoint a new
insolvency manager.

The District Court of Stralsund opened bankruptcy proceedings
against Dr. Ing. Hempel Immobilien und Bausanierung KG on
July 6.  Consequently, all pending proceedings against the
company have been automatically stayed.

The Debtor can be contacted at:

         Dr. Ing. Hempel Immobilien und Bausanierung KG
         Billrothstr. 11 a
         18528 Bergen auf Ruegen, Germany

The administrator can be contacted at:

         Armin Becker
         Steinbeckerstrasse 10
         17489 Greifswald, Germany  
         

HRIBERSCHEK GMBH: Claims Registration Ends August 25
----------------------------------------------------
Creditors of Hriberschek GmbH have until Aug. 25 to register
their claims with court-appointed provisional administrator
Carsten Koch.

Creditors and other interested parties are encouraged to attend
the meeting at 2:00 p.m. on Sept. 19 at which time the
administrator will present his first report on the insolvency
proceedings.

The meeting of creditors will be held at:

         The District Court of Siegen
         Hall 009
         Ground Floor
         Principal Establishment
         Berliner Road 21-22
         57072 Siegen, Germany
      
The Court will also verify the claims set out in the
administrator's report during this meeting, while creditors may
constitute a creditors' committee or opt to appoint a new
insolvency manager.

The District Court of Siegen opened bankruptcy proceedings
against Hriberschek GmbH on July 7.  Consequently, all pending
proceedings against the company have been automatically stayed.

The Debtor can be contacted at:

         Hriberschek GmbH
         Attn: Ilona Hribersek, Manager         
         Koehlerweg 10
         57250 Netphen, Germany

The administrator can be contacted at:

         Carsten Koch
         Mauerstr. 1
         35781 Weilburg, Germany  
         Tel: 06471/516630
         Fax: 06471/516639


HUSEMANN BAUPROJEKTIERUNGS: Sets Aug. 17 Claims Bar Date
--------------------------------------------------------
Creditors of Husemann Bauprojektierungs gmbH have until Aug. 17
to register their claims with court-appointed provisional
administrator Dirk Kammertons.

Creditors and other interested parties are encouraged to attend
the meeting at 11:00 a.m. on Sept. 7 at which time the
administrator will present his first report on the insolvency
proceedings.

The meeting of creditors will be held at:

         The District Court of Bielefeld
         Hall 4065
         4 Ebene
         Court Route 6
         33602 Bielefeld, Germany      
      
The Court will also verify the claims set out in the
administrator's report during this meeting, while creditors may
constitute a creditors' committee or opt to appoint a new
insolvency manager.

The District Court of Bielefeld opened bankruptcy proceedings
against Husemann Bauprojektierungsgesellschaft mbH on July 6.  
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be contacted at:

         Husemann Bauprojektierungsgesellschaft mbH
         Attn: Andreas Husemann, Manager         
         Feilenstr. 5-7
         33602 Bielefeld, Germany

The administrator can be contacted at:

         Dirk Kammertons
         Otto-Brenner-Road 186
         33604 Bielefeld, Germany  


JENOPTIK AG: M+W Zander Sale Prompts S&P to Raise Rating to B+
--------------------------------------------------------------
Standard & Poor's Ratings Services raised its long-term
corporate credit rating on Germany-based engineering group
Jenoptik AG to 'B+' from 'B', following the sale of the
facility-engineering division M+W Zander Holding AG.  The
outlook is stable.  

At the same time, the rating on Jenoptik's EUR150 million senior
secured bonds was raised to 'B+' from 'B', and the rating on the
EUR62.1 million senior unsecured convertible notes to 'B-' from
'CCC+'.
     
"The rating action reflects the more significant improvement in
Jenoptik's financial profile than originally expected from the
sale of M+W Zander Holding AG to Springwater Capital, which was
closed in May 2006," said Standard & Poor's credit analyst
Matthias Raab.

"Compared with the previous structure, the remaining group has
about EUR100 million less in pension obligations, and no
significant operating leases (previously EUR33 million) or
guarantee liabilities."

In addition, Jenoptik received sales proceeds of about
EUR150 million, which under the terms of the bond indenture can
only be used for acquisitions within one year, after which
senior secured bondholders must be offered repayment at par. If
they decline this offer, there is no further restriction on use
of the proceeds.

Furthermore, the disposal of MWZ has significantly reduced
Jenoptik's dependency on the highly cyclical semiconductor
industry and the inherent project risk of the facility-
engineering business, which was a negative rating factor for the
business profile.

The ratings on Jenoptik are constrained by its weak cash flow
generation, which is burdened by high capital expenditures and
interest payments due to still high debt obligations, the
cyclical and partly fragmented nature of the Photonics industry,
and the company's only fair geographic diversification.
These weaknesses are mitigated by Jenoptik's leading positions
and solid track record in its remaining divisions following the
sale of MWZ, the good sales visibility in the Mechatronics
division, long-term privileged customer relationships, and
moderate debt level on a net debt basis.

Jenoptik's remaining divisions, Laser & Optics, Sensors, and
Mechatronics generated sales of EUR401 million and EBITDA of
EUR60 million in the fiscal year 2005, ended Dec. 31.

"The stable outlook reflects our expectation that funds from
operations to pro forma total debt will increase to about 12%-
15% and pro forma total debt to EBITDA will decline below 5.8x
at fiscal year-end 2006," said Mr. Raab.


KAISER STAHLBAU: Claims Registration Ends August 24
---------------------------------------------------
Creditors of Kaiser Stahlbau GmbH have until Aug. 24 to register
their claims with court-appointed provisional administrator
Bruno Kuebler.

Creditors and other interested parties are encouraged to attend
the meeting at 11:00 a.m. on Sept. 14 at which time the
administrator will present his first report on the insolvency
proceedings.

The meeting of creditors will be held at:

         The District Court of Munich
         Meeting Room 102
         Infanteriestr. 5
         Munich, Germany      
      
The Court will also verify the claims set out in the
administrator's report during this meeting, while creditors may
constitute a creditors' committee or opt to appoint a new
insolvency manager.

The District Court of Munich opened bankruptcy proceedings
against Kaiser Stahlbau GmbH on June 14.  Consequently, all
pending proceedings against the company have been automatically
stayed.

The Debtor can be contacted at:

         Kaiser Stahlbau GmbH
         Kurfuerstenstr. 79
         10787 Berlin, Germany

The administrator can be contacted at:

         Dr. Bruno Kuebler
         Konrad-Zuse-Place 1
         81829 Munich, Germany  
         Tel: 99299-0
         Fax: 99299-299


MOBEL MUEHLBERG: Claims Registration Ends August 24
---------------------------------------------------
Creditors of Mobel Muehlberg GmbH have until Aug. 24 to register
their claims with court-appointed provisional administrator
Thomas Georg.

Creditors and other interested parties are encouraged to attend
the meeting at 10:10 a.m. on Sept. 5 at which time the
administrator will present his first report on the insolvency
proceedings.

The meeting of creditors will be held at:

         The District Court of Aachen
         Meeting Room K 3
         3rd Floor
         Alter Posthof 1
         52062 Aachen, Germany
      
The Court will also verify the claims set out in the
administrator's report at 9:00 a.m. on Oct. 16 at the same
venue.

The District Court of Aachen opened bankruptcy proceedings
against Mobel Muehlberg GmbH on July 5.  Consequently, all
pending proceedings against the company have been automatically
stayed.

The Debtor can be contacted at:

         Mobel Muehlberg GmbH
         Bahnhofstr. 2
         04931 Muehlberg, Germany

         Attn: Bernd Meichsner, Manager
         Wolfsweg 7
         15236 Frankfurt, Germany

The administrator can be contacted at:

         Thomas Georg
         Juelicher Road 116
         52070 Aachen, Germany  
         

RHEINHAUSENER METALLGROSSHANDEL: Claims Bar Date Set for Aug. 23
----------------------------------------------------------------
Creditors of Rheinhausener Metallgrosshandel Wilhelm Aretz GmbH
have until Aug. 23 to register their claims with court-appointed
provisional administrator Thomas Schmitz.

Creditors and other interested parties are encouraged to attend
the meeting at 11:00 a.m. on Sept. 21 at which time the
administrator will present his first report on the insolvency
proceedings.

The meeting of creditors will be held at:

         The District Court of Duisburg
         Area C315
         3rd Floor
         Cardinal Galen Road 124-132
         47058 Duisburg, Germany
      
The Court will also verify the claims set out in the
administrator's report during this meeting, while creditors may
constitute a creditors' committee or opt to appoint a new
insolvency manager.

The District Court of Duisburg opened bankruptcy proceedings
against Rheinhausener Metallgrosshandel Wilhelm Aretz GmbH on
June 27.  Consequently, all pending proceedings against the
company have been automatically stayed.

The Debtor can be contacted at:

         Rheinhausener Metallgrosshandel Wilhelm Aretz GmbH
         Krefelder Str. 165-167
         47226 Duisburg, Germany

         Attn: Dirk Loeffel, Manager
         Maiblumenstr. 82
         47229 Duisburg, Germany

         Frank Loeffel, Manager
         Bachstr. 7
         47229 Duisburg, Germany

The administrator can be contacted at:

         Thomas Schmitz
         Flohbusch 1
         47802 Krefeld, Germany


SITELCO NACHRICHTENTECHNIK: Claims Registration Ends August 21
--------------------------------------------------------------
Creditors of SITELCO Nachrichtentechnik GmbH have until Aug. 21
to register their claims with court-appointed provisional
administrator Stephan Neubauer.

Creditors and other interested parties are encouraged to attend
the meeting at 10:10 a.m. on Sept. 19 at which time the
administrator will present his first report on the insolvency
proceedings.

The meeting of creditors will be held at:

         The District Court of Reinbek
         Park Avenue 6
         21465 Reinbek, Germany
      
The Court will also verify the claims set out in the
administrator's report during this meeting, while creditors may
constitute a creditors' committee or opt to appoint a new
insolvency manager.

The District Court of Reinbek opened bankruptcy proceedings
against SITELCO Nachrichtentechnik GmbH on June 27.  
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be contacted at:

         SITELCO Nachrichtentechnik GmbH
         Attn: Horst Ehwald, Manager         
         Buenningstedter Str. 52
         22926 Ahrensburg, Germany

The administrator can be contacted at:

         Stephan Neubauer
         Spitaler Road 4
         20095 Hamburg, Germany


TOP TRADING: Claims Registration Ends August 25
-----------------------------------------------
Creditors of TOP Trading GmbH have until Aug. 25 to register
their claims with court-appointed provisional administrator
Ulrich Zerrath.

Creditors and other interested parties are encouraged to attend
the meeting at 10:00 a.m. on Sept. 26 at which time the
administrator will present his first report on the insolvency
proceedings.

The meeting of creditors will be held at:

         The District Court of Bochum
         Hall A29
         Ground Floor
         Principal Establishment
         Viktoriastrasse 14
         44787 Bochum, Germany
      
The Court will also verify the claims set out in the
administrator's report during this meeting, while creditors may
constitute a creditors' committee or opt to appoint a new
insolvency manager.

The District Court of Bochum opened bankruptcy proceedings
against TOP Trading GmbH on July 6.  Consequently, all pending
proceedings against the company have been automatically stayed.

The Debtor can be contacted at:

         TOP Trading GmbH
         Sand Route 37
         45731 Waltrop, Germany

         Attn: Panagiotis Vasiliou, Manager
         Paul-Fleming-Road 25
         44359 Dortmund, Germany

The administrator can be contacted at:

         Ulrich Zerrath
         Lange Wanne 57
         45665 Recklinghausen, Germany  
         Tel: 02361/48840
         Fax: 48 8499


WTG TRANSPORTE: Claims Registration Ends August 20
--------------------------------------------------
Creditors of WTG Transporte GmbH have until Aug. 20 to register
their claims with court-appointed provisional administrator
Bernd Depping.

Creditors and other interested parties are encouraged to attend
the meeting at 9:30 a.m. on Sept. 19 at which time the
administrator will present his first report on the insolvency
proceedings.

The meeting of creditors will be held at:

         The District Court of Bochum
         Hall A29
         Ground Floor
         Principal Establishment
         Viktoriastrasse 14
         44787 Bochum, Germany
      
The Court will also verify the claims set out in the
administrator's report during this meeting, while creditors may
constitute a creditors' committee or opt to appoint a new
insolvency manager.

The District Court of Bochum opened bankruptcy proceedings
against WTG Transporte GmbH on July 3.  Consequently, all
pending proceedings against the company have been automatically
stayed.

The Debtor can be contacted at:

         WTG Transporte GmbH
         Wullener Field 29
         58454 Witten, Germany

         Attn: Volker Witte, Manager
         Leibredde Str. 16
         58454 Witten, Germany

         Dirk Siepermann, Manager
         Elfringhauser Str. 105
         45527 Hattingen, Germany

The administrator can be contacted at:

         Bernd Depping
         Kunibertistrasse 9
         45657 Recklinghausen, Germany  
         Tel: 02361/58208-88
         Fax: 02361/5821591


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


FIDIS RETAIL: Fitch Keeps C Individual Rating
---------------------------------------------
Fitch Ratings placed Italy-based Fidis Retail Italia's Issuer
Default rating of BBB on Rating Watch Positive.  FRI's Short-
term, Individual and Support ratings are affirmed at F2, C and 2
respectively.  

At the same time the agency has affirmed France-based Credit
Agricole's as well as its central body (Credit Agricole S.A. -
CASA) and its specialized financial services subsidiary
Sofinco's, IDRs at AA with Stable Outlook, Short term F1+ and
Support 1.  The Individual ratings of CA and Sofinco are both
affirmed at B.

The rating action follows the announcement by Italian car
manufacturer Fiat Auto and France's leading commercial bank CA
that they have agreed to form a 50/50 joint venture, Fiat Auto
Financial Services to carry out the main financing activities
for Fiat Auto in Europe.  Fiat Auto owns 49% of FRI.  

FAFS will own FRI's retail auto financing activities as well as
Fiat Auto's dealer financing, auto fleet lease and management
services.  The agreement is subject to final documentation.  In
addition, some operational details of the agreement have yet to
be disclosed.

The RWP reflects Fitch's opinion that FAFS will benefit both
from CA's expertise in the consumer finance business and a
reduction in funding costs once its funding structure is
addressed by CA.  The influence of a strong international
financial group such as CA should also be beneficial for FRI's
financial profile.  

Fiat Auto will exercise the call option it has on the 51% of FRI
owned by Synesis Finanziaria and receive EUR1 billion in cash
from CA for the 50% of FAFS on the creation of the JV.

Upon the completion of the agreement, likely to be before end-
2006, but extendible to end-June 2007, FRI's IDR may be
upgraded.  The extent of the upgrade will depend on the degree
of financial support that CA is willing to provide to the JV,
corporate governance issue and the level of integration of FAFS
within the CA group.

This move fits in with CA's international expansion strategy and
aim to strengthen its position in the European specialized
financial services market and Fitch considers that there is a
high probability that the JV will go ahead as planned.

FRI's Individual rating is based on its size as one of the
largest car finance companies in Europe, flexible strategy,
reasonable level of capital, solid earnings, and well-controlled
credit and market risks.  The 2 Support rating reflects the
strong ability of SF, a holding company jointly owned by Italy's
four largest banks, Unicredito Italiano, Banca Intesa, Sanpaolo
IMI and Capitalia, to provide support in case of need.

Working with Fiat car dealers, FRI offers retail customers
finance to purchase Fiat cars.  FRI was formed in May 2003 and
by end-September 2003 it had acquired Fiat Auto's retail
financing operating subsidiaries in its home market of Italy and
11 other European countries.

CA is not a single entity but a legally defined cooperative
banking group.  Its 41 regional banks as well as its central
body CASA subscribe to a legally binding cross-guarantee
mechanism.  CA is the second-largest banking group in Europe by
equity.


===================
K A Z A K H S T A N
===================


BI & K: Creditors Must File Claims by Aug. 18
---------------------------------------------
CJSC BI & K has declared insolvency.  Creditors have until
Aug. 18 to submit written proofs of claim to:

         CJSC BI & K
         Jetysaiskaya Str. 45
         Jetysai
         Mahtaaralsky District
         South Kazakhstan Region
         Kazakhstan


D.M.-KOMEK-K: Creditors Must File Claims by Aug. 21
---------------------------------------------------
The Specialized Inter-Regional Economic Court of Mangistau
Region declared LLP D.M.-Komek-K insolvent on June 6 without the
introduction of the bankruptcy proceedings.

Creditors have until Aug. 21 to submit written proofs of claim
to:

         LLP D.M.-Komek-K
         Building of the Bus Station
         Micro District 28
         Aktau
         Mangistau Region
         Kazakhstan
         Tel: 8 (3292) 41-14-58
         Fax: 8 (3292) 41-14-58


DOMO: Mangistau Court Opens Bankruptcy Proceedings
--------------------------------------------------
The Specialized Inter-Regional Economic Court of Mangistau
Region commenced bankruptcy proceedings against LLP Domo on
June 16.

The Specialized Inter-Regional Economic Court of Mangistau
Region can be reached at:

         Micro District 27
         Aktau, Kazakhstan
         Tel: 8 (3292) 41-22-37


GRIG PLUS: Proof of Claim Deadline Slated for Aug. 21
-----------------------------------------------------
The Specialized Inter-Regional Economic Court of East Kazakhstan
Region declared LLP Grig Plus insolvent on May 25.  
Subsequently, bankruptcy proceedings were introduced at the
company.

Creditors have until Aug. 21 to submit written proofs of claim
to:

         The Specialized Inter-Regional
         Economic Court of East Kazakhstan Region
         Myzy Str. 45/1-65
         Ust-Kamenogorsk
         East Kazakhstan Region
         Kazakhstan
         Tel: 8 (3232) 29-24-03


INSTALLCON: Proof of Claim Deadline Slated for Aug. 21
------------------------------------------------------
The Specialized Inter-Regional Economic Court of Atyrau Region
declared LLP Installcon insolvent.

Creditors have until Aug. 21 to submit written proofs of claim
to:

         The Specialized Inter-Regional
         Economic Court of Atyrau Region
         3rd Floor
         Abai Str. 10a
         Atyrau
         Atyrau Region
         Kazakhstan


JASTAR:  Claims Registration Ends Aug. 21
-----------------------------------------
The Specialized Inter-Regional Economic Court of Atyrau Region
declared LLP Jastar insolvent.

Creditors have until Aug. 21 to submit written proofs of claim
to:

         The Specialized Inter-Regional
         Economic Court of Atyrau Region
         3rd Floor
         Abai Str. 10a
         Atyrau
         Atyrau Region
         Kazakhstan


KONTUR V: Claims Registration Ends Aug. 21
------------------------------------------
The Specialized Inter-Regional Economic Court of East Kazakhstan
Region declared LLP Kontur V insolvent on May 25.  Subsequently,
bankruptcy proceedings were introduced at the company.

Creditors have until Aug. 21 to submit written proofs of claim
to:

         The Specialized Inter-Regional
         Economic Court of East Kazakhstan Region
         Myzy Str. 45/1-65
         Ust-Kamenogorsk
         East Kazakhstan Region
         Kazakhstan
         Tel: 8 (3232) 29-24-03


KUS: Creditors' Claims Due Aug. 21
----------------------------------
The Specialized Inter-Regional Economic Court of Pavlodar Region
declared LLP Kus (Case No. 2-1252/2006) insolvent on May 25.  
Subsequently, bankruptcy proceedings were introduced at the
company.

Creditors have until Aug. 21 to submit written proofs of claim
to:

         LLP Kus
         Tkacheva Str. 17-185
         Pavlodar
         Pavlodar Region
         Kazakhstan
         Tel: 8 (3182) 52-86-96


OKS: Mangistau Court Starts Bankruptcy Process
----------------------------------------------
The Specialized Inter-Regional Economic Court of Mangistau
Region commenced bankruptcy proceedings against LLP Oks on
June 16.

The Specialized Inter-Regional Economic Court of Mangistau
Region can be reached at:

         Micro District 27
         Aktau, Kazakhstan
         Tel: 8 (3292) 41-22-37


SV SERVIS: Mangistau Court Begins Bankruptcy Proceedings
--------------------------------------------------------
The Specialized Inter-Regional Economic Court of Mangistau
Region commenced bankruptcy proceedings against LLP SV Servis on
June 16.

The Specialized Inter-Regional Economic Court of Mangistau
Region can be reached at:

         Micro District 27
         Aktau, Kazakhstan
         Tel: 8 (3292) 41-22-37


TEXAKABANK: Moody's Keeps Financial Strength Rating at E+
---------------------------------------------------------
Moody's Investors Service has upgraded Texakabank's long-term
foreign currency deposit rating to Ba1 from B1.  The E+
financial strength rating and the 'Not-Prime' short-term
foreign-currency deposit rating remain unchanged.  The outlook
on all ratings is stable.

According to Moody's, the upgrade reflects an increased
likelihood of support for Texakabank from its new controlling
shareholder -- the Russian state-controlled banking major,
Sberbank -- which recently acquired an 80% stake in Texakabank.
As the new parent is much larger than Texakabank in terms of
assets, equity and franchise, Moody's regards its ability to
provide support as unquestionable.  For the same reasons,
Sberbank's ratings have not been affected by the acquisition.

Sberbank obtained regulatory approval to acquire control over
Texakabank in December 2005.  However, there was still
significant uncertainty with regard to the transaction, and
Texakabank's shareholders also considered alternative bids, so
that at that point the bank's ratings were affirmed.  Now
Moody's views Sberbank's commitment to the transaction as very
high, and as the primary driver of the upgrade.  

Texakabank is the first foreign banking subsidiary of the
Russian bank, although a project in Ukraine is also reportedly
underway.  If Texakabank is then fully integrated into
Sberbank's operations in terms of IT systems, management and
controls, this may also exert positive pressure on the Kazakh
bank's E+ FSR.

Moody's notes that Texakabank's Ba1 long-term foreign currency
deposit rating is constrained by the country ceiling for bank
deposits in Kazakhstan, and is likely to mirror its future
moves.  Similarly, the stable outlook on this rating is in line
with the outlook on that ceiling, which was changed to stable
from positive in May 2006.

Texakabank is domiciled in Almaty, Kazakhstan, and reported
total assets of KZT24.4 billion (US$183 million) and
shareholders' equity of KZT2.8 billion (US$21 million) under
IFRS at year-end 2005.  At end-1H 2006 it ranked 16th-largest
bank in Kazakhstan in terms of total assets.

Domiciled in Moscow, Russia, Sberbank is the largest bank in
Central and Eastern Europe, with total assets of US$87.3 billion
and shareholders' equity of US$8 billion as at year-end 2005.  
It is majority-owned by the Central Bank of the Russian
Federation.

Upgrades:

Issuer: Texakabank

   -- Senior Unsecured Deposit Rating: to Ba1 from B1.


===================
K Y R G Y Z S T A N
===================


TRAIBERG TECHNOLOGY: Creditors Must File Claims by Sept. 12
-----------------------------------------------------------
LLC Traiberg Technology has declared insolvency.  Creditors have
until Sept. 12 to submit written proofs of claim to:

         LLC Traiberg Technology
         Respublikanskaya Str. 146/2
         Bishkek, Kyrgyzstan
         Tel: (+996 312) 24-15-51


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


COLT TELECOM: Equity Offering Prompts Moody's to Lift Rating
------------------------------------------------------------
Moody's Investors Service upgraded the rating of COLT Telecom
Group Ltd.'s senior notes to B2 from B3 following the successful
completion of the equity offering by COLT Telecom Group S.A.
Concurrently Moody's assigned a B2 corporate family rating to
COLT S.A. and removed the B3 corporate family rating of COLT
Telecom Group Ltd. (formerly COLT Telecom Group plc).  This
rating action concludes the review initiated on May 16.  The
ratings outlook is stable.

The B2 corporate family rating reflects both the strengthened
financial profile that has resulted from the successful
completion of the company's recent equity offering as well as
the improvements in operational performance demonstrated by the
group over the past eighteen months.

In particular, Moody's notes that the prepayment of the 2007
convertible notes, as well as the forthcoming redemption of the
2008 senior notes, has materially reduced short term debt
maturities.  As a result, liquidity is viewed as adequate given
the company's cash balances and projected positive free cash
flow generation combined with no debt maturities until 2009.

Given the difficult operating conditions, particularly in the
company's core markets of Germany and the U.K., further positive
ratings momentum is considered unlikely at this juncture.
However, the outlook would likely be changed to positive if the
company is able to sustainably grow its revenues without
negatively impacting margins, while maintaining an adequate
liquidity position and a positive free cash flow profile.

The outlook is likely to be changed to negative in the event
that the company is unable to sustain its current level of
earnings.  The ratings are also likely to be negatively impacted
if the company's cash flow generation turns negative, whether
through a reduction in revenues, lower margins or higher capex.

The new equity was raised by COLT S.A., an indirect holding
company of COLT Telecom Group Ltd., the issuer of the notes.
Moody's notes that since the restricted group under the existing
bond indenture is currently at the COLT Telecom Group Ltd.
level, the companies above the level of the issuer, including
COLT S.A., are not currently restricted by the terms of the
indenture.  Cash proceeds from the equity raised has been
downstreamed as intercompany debt to the restricted group
indirectly through holding companies and also through operating
companies, where it has been used to prepay debt.  Consequently,
at the restricted group level, the amount of pari passu debt has
not changed.

However, the senior notes have also been upgraded to B2, i.e.
the same level as the corporate family rating, reflecting
Moody's belief that should the company need to raise incremental
debt, such debt would be raised pari passu with the existing
notes.  In the event that debt is raised outside of COLT Telecom
Group Ltd. and the new holding companies have not become
obligors under the existing indenture, notching could be
introduced between the rating of the existing notes and the
corporate family rating.

Rating actions:

COLT Telecom Group S.A.

   -- assigned B2 corporate family rating

COLT Telecom Group Ltd.

   -- senior unsecured notes, upgraded to B2 from B3; and

   -- B3 corporate family rating, withdrawn.

Registered in Luxembourg, COLT Telecom Group S.A., is a leading
provider of high bandwidth data, voice telecommunication
services and solutions, to businesses and governmental
organizations in Europe.  For the year ended Dec. 31, 2005, the
company generated revenues of EUR1.8 billion and EBITDA of
EUR254 million.


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


KONINKLIJKE AHOLD: U.S. Foodservice Acquires Savage Foods
---------------------------------------------------------
U.S. Foodservice signed a definitive purchase agreement to
acquire Savage Foods, a St. Louis area custom meat processor, as
well as expansions at several of its U.S. distribution
facilities.

The acquisition is U.S. Foodservice's first since the company
stated on Nov. 29, 2006, that expansion and acquisition were key
components of its long-term growth strategy.

Missouri-based Savage Foods is a family-owned meat processor
that distributes to independent restaurants, hospitality and
lodging customers, and other foodservice businesses. It operates
from a state-of-the-art meat processing facility constructed in
2004 and will become a part of U.S. Foodservice's Stock Yards
specialty meat business.  The acquisition is subject to standard
closing conditions and terms are not being disclosed.

U.S. Foodservice has a number of facility expansions planned,
underway and recently completed.  Expansions have added
approximately 750,000 square feet of capacity in the past year,
with an additional 350,000 square feet planned to be added in
the next eighteen months.

                     About U.S. Foodservice

Headquartered in Maryland, U.S.A., U.S. Foodservice, Inc. --
http://www.usfoodservice.com/-- is a unit of Dutch group  
Koninklijke Ahold N.V.  The company is one of the leading broad
line foodservice distributors in the United States, with yearly
revenues exceeding US$18 billion on 78 distribution centers
nationwide.

                           About Ahold

Headquartered in Amsterdam, Koninklijke Ahold N.V. --
http://www.ahold.com/-- retails food through supermarkets,  
hypermarkets and discount stores in North and South America,
Europe and Asia.  The company's chain stores include Stop &
Shop, Giant, TOPS, Albert Heijn and Bompreco.  Ahold also
supplies food to restaurants, hotels, healthcare institutions,
government facilities, universities, stadiums, and caterers.

                        *     *     *

Moody's Investors Service and Standard and Poor's has assigned
low-B ratings to the company's 5.625% senior notes due 2007.  
Also, the company's 5.875% senior unsubordinated notes due 2008
and 6.375% senior unsubordinated notes due 2007 carry Moody's,
S&P's and Fitch's low-B ratings.


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


AKER KVAERNER: Inks US$80-Million Deal with Phelps Dodge Mining
---------------------------------------------------------------
Aker Kvaerner ASA has signed a contract with Phelps Dodge Mining
Company for construction of a greenfield copper mine near
Safford, Arizona.  The total contract value for Aker Kvaerner is
approximately US$80 million and will be booked as order intake
in the second quarter 2006.

The contract is undertaken by the Aker Kvaerner subsidiary, Aker
Kvaerner Industrial Constructors, Inc. in Tucson, Arizona. The
scope of work includes supply of crusher, conveyor, Solvent
Extraction Electro-Winning (SXEW) and infrastructure
installation.

The new agreement is the latest in a series of contracts for
process installations and related construction activities at
Phelps Dodge Mining Company properties. This contract also
represents another step towards Aker Kvaerner Industrial
Constructors being recognized as a premier copper processing
facility constructor.

"Aker Kvaerner's commitment to this successful project delivery
is based on our competencies and our strong HSE core values.
These principles are key in maintaining the trust of our valued
and long-time customer, Phelps Dodge," says Boyd Cox, President
of Aker Kvaerner Industrial Constructors, Inc.

                       About Aker Kvaerner

Headquartered in Lysaker, Norway, Aker Kvaerner ASA --
http://www.akerkvaerner.com/-- through its subsidiaries and  
affiliates, is a leading global provider of engineering and
construction services, technology products and integrated
solutions.

The Aker Kvaerner group is organized into two principal business
streams, namely Oil & Gas and E&C, each consisting of a number
of separate legal entities.

                        *     *     *

As reported in TCR-Europe on April 26, Moody's Investors Service
upgraded the ratings of Aker Kvaerner Oil & Gas Group and Aker
Kvaerner AS, primarily to reflect the sustainable strong
recovery in profitability and cash flow generation of the ring-
fenced oil and gas group over the past two years, coupled with
the clear reduction in senior debt, repaid from internally
generated funds.

Ratings affected:

Aker Kvaerner Oil & Gas Group AS

   -- Corporate family rating: upgraded to Ba1 from Ba3

Aker Kvaerner AS

   -- Rating of the second priority lien notes due 2011:
      upgraded to Ba1 from Ba3.

Moody's said the outlook on all ratings is stable.


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


BRIDGE COMPANY: Ulyanovsk Court Begins Bankruptcy Supervision
-------------------------------------------------------------
The Arbitration Court of Ulyanovsk Region commenced bankruptcy
supervision procedure on CJSC Bridge Company.  The case is
docketed under Case No. A72-7880/05-19/47-B.

The Temporary Insolvency Manager is:

         A. Bulin
         Engelsa Str. 19
         432063 Ulyanovsk Region
         Russia

The Debtor can be reached at:

         CJSC Bridge Company
         Federatsii Str. 148
         432030 Ulyanovsk Region
         Russia


DOR-SIB: Tomsk Court Begins Bankruptcy Supervision
--------------------------------------------------
The Arbitration Court of Tomsk Region commenced bankruptcy
supervision procedure on CJSC Dor-Sib.  The case is docketed
under Case No. A67-3388/06.

The Temporary Insolvency Manager is:

         O. Tarima
         Apartment 2
         Belinskogo Str. 20/1
         634029 Tomsk Region
         Russia

The Debtor can be reached at:

         CJSC Dor-Sib
         Goncharova Str. 268.
         Asino
         Tomsk Region
         Russia


FERTILITY: Court Names I. Ageev as Insolvency Manager
-----------------------------------------------------
The Arbitration Court of Voronezh Region appointed Mr. I. Ageev
as Insolvency Manager for OJSC Fertility.  He can be reached at:

         I. Ageev
         Post User Box 42
         Central Post Office
         394000 Voronezh Region
         Russia

The Court commenced bankruptcy proceedings against the company
after finding it insolvent.  The case is docketed under Case No.
A14-1734/2006-12/16b.

The Debtor can be reached at:

         OJSC Fertility
         Kantemirovka
         Voronezh Region
         Russia


KAMA: Perm Court Starts Bankruptcy Supervision
----------------------------------------------
The Arbitration Court of Perm Region commenced bankruptcy
supervision procedure on LLC Ship Building Yard Kama.  The case
was docketed under Case No. A50-5541/2006-B.

The Temporary Insolvency Manager is:

         V. Pototskaya
         Office 60
         Svyazistov Str. 24
         614094 Perm Region
         Russia

The Arbitration Court of Perm Region is located at:

         Lunacharskogo Str. 3
         Perm Region
         Russia

The Debtor can be reached at:

         LLC Ship Building Yard Kama
         Buksirnaya Str. 4
         614023 Perm Region
         Russia


KHOKHLOVSKOYE: Court Names D. Churkin as Insolvency Manager
-----------------------------------------------------------
The Arbitration Court of Belgorod Region appointed Mr. D.
Churkin as Insolvency Manager for CJSC Khokhlovskoye (TIN
3102002330).  He can be reached at:

         D. Churkin
         Post User Box 9
         Voroshilova Str. 35
         394055 Voronezh Region
         Russia

The Court commenced bankruptcy proceedings against the company
after finding it insolvent.  The case is docketed under Case No.  
A 08-2164/06-2 b.

The Debtor can be reached at:

         CJSC Khokhlovskoye
         Mayskaya Str. 9.
         Khokhlovo
         309000 Belgorod Region
         Russia


MARKETING-BANK: State Insurance Agency to Manage Assets
-------------------------------------------------------
The Arbitration Court of Moscow Region appointed State
Corporation Agency on Endowment Insurance on Insolvency Manager
for OJSC Marketing-Bank.  

The Court commenced bankruptcy proceedings against the company
after finding it insolvent.  The case is docketed under Case No.
A40-18479/06-124-54B.

The Debtor can be reached at:

         OJSC Marketing-Bank
         Building 2
         2nd Frunzenskaya Str. 8
         119146 Moscow Region
         Russia


NEKLINOVSKAYA SEL-KHOZ-TEKHNIKA: S. Kvinikadze to Manage Assets
---------------------------------------------------------------
The Arbitration Court of Rostov Region appointed Mr. S.
Kvinikadze as Insolvency Manager for CJSC Neklinovskaya Sel-
Khoz-Tekhnika (TIN 6123006035).  He can be reached at:

         S. Kvinikadze
         K. Marksa Square, 26
         344019 Rostov-na-Donu
         Russia

The Court commenced bankruptcy proceedings against the company
after finding it insolvent.  The case is docketed under Case No.
A53-3319/06-S2-30.

The Debtor can be reached at:

         CJSC Neklinovskaya Sel-Khoz-Tekhnika
         K. Marksa Square, 26
         344019 Rostov-na-Donu
         Russia


PRINCEPS-CAPITAL: Court Names M. Trubachev as Insolvency Manager
----------------------------------------------------------------
The Arbitration Court of Krasnoyarsk Region appointed Mr. M.
Trubachev as Insolvency Manager for CJSC Siberian Financial
Company Princeps-Capital.  He can be reached at:

         M. Trubachev
         Lenina Str. 62A-10
         660049 Krasnoyarsk Region
         Russia

The Court commenced bankruptcy proceedings against the company
after finding it insolvent.  The case is docketed under Case No.
A 33-6330/2006.

The Arbitration Court of Krasnoyarsk Region is located at:

         Lenina Str. 143.
         660021 Krasnoyarsk Region
         Russia

The Debtor can be reached at:

         CJSC Siberian Financial Company Princeps-Capital
         Prombaza KNTs
         Akademgorodok
         Krasnoyarsk Region
         Russia


REGION-OIL: Court Names V. Pisklina as Insolvency Manager
---------------------------------------------------------
The Arbitration Court of Khabarovsk Region appointed Ms. V.
Pisklina as Insolvency Manager for CJSC Region-Oil.  She can be
reached at:

         V. Pisklina
         Boyko-Pavlova Str. 15-9
         680026 Khabarovsk Region
         Russia

The Court commenced bankruptcy proceedings against the company
after finding it insolvent.  The case is docketed under Case No.
A73-11332/2005-38.

The Debtor can be reached at:

         CJSC Region-Oil
         Dunayskaya Str. 25a
         Khabarovsk Region
         Russia


RYAZAN-STROY 11: Bankruptcy Hearing Slated for Oct. 10
------------------------------------------------------
The Arbitration Court of Ryazan Region will convene on Oct. 10
to hear the bankruptcy supervision procedure on OJSC Ryazan-
Stroy 11.  The case is docketed under Case No. A54-1378/2006 s1.

The Temporary Insolvency Manager is:

         B. Yun
         M. Ekaterininskaya Str. 17/21
         129110 Moscow Region
         Russia

The Debtor can be reached at:

         OJSC Ryazan-Stroy 11
         Yablochkova Pr. 4
         Ryazan Region
         Russia


SALAVATSKIY DIARY: Court Names Y. Karpenko as Insolvency Manager
----------------------------------------------------------------
The Arbitration Court of Bashkortostan Republic appointed Mr. Y.
Karpenko as Insolvency Manager for Municipal Unitary Enterprise
Salavatskiy Diary.  He can be reached at:

         Y. Karpenko
         Post User Box 20
         Central Post Office
         Ufa
         450000 Bashkortostan Republic
         Russia

The Court commenced bankruptcy proceedings against the company
after finding it insolvent.  The case is docketed under Case No.
A07-27218/05-G-KhRM.  

The Debtor can be reached at:

         Municipal Unitary Enterprise Salavatskiy Diary
         Post User Box 20
         Central Post Office
         Ufa
         450000 Bashkortostan Republic
         Russia


SEVERSTAL: Asset Consolidation Spurs S&P to Lift Rating to BB-
--------------------------------------------------------------
Standard & Poor's Ratings Services raised its long-term
corporate credit rating on Russia-based integrated steelmaker
OAO Severstal to 'BB-' from 'B+'.  The outlook is stable.
At the same time, the Russia national scale rating on Severstal
was raised to 'ruAA-' from 'ruA+'.  All ratings were removed
from CreditWatch with positive implications, where they had been
placed on May 26.

The ratings were initially placed on CreditWatch following the
announcement of a merger between Severstal and Luxembourg-based
steelmaker Arcelor S.A., and remained on CreditWatch after that
merger was cancelled, reflecting the consolidation of the
company's mining assets.
     
"The rating actions reflect our review of the business
characteristics and financial position of Severstal's
consolidated mining assets and their impact on the company's
performance," said Standard & Poor's credit analyst Tatiana
Kordyukova.

Severstal's business profile now benefits from vertical
integration in coal and iron ore, which will help to mitigate
swings in raw material prices and bolster profitability.  The
consolidated mining subsidiaries cover 66% of Severstal's iron
ore requirements and 85% of its coking coal requirements in
Russia.  Previously, these assets were owned by the company's
core shareholders and held outside of consolidation scope.
Although ownership within the group meant that Severstal
benefited to an extent from stability in raw material supplies,
consolidation helps to make relations between the steelmaking
and mining businesses more transparent, easing one of the key
constraints on the ratings.

Mining margins and cash flows were included in Severstal's
financial results following the consolidation, leading to the
group's adjusted pro forma EBITDA increasing by US$600 million
in 2005, with profitability increasing to 31.8% on a pro forma
basis from 26.8% excluding the mining assets.  The consolidation
of the mining assets did not involve any material cash outlay
from Severstal.

Standard & Poor's expects that Severstal's Russian operations
will remain its key cash-generative asset, while international
diversification might help to partly mitigate country risk in
the longer term.  The current ratings have some headroom for
further acquisitions, although the quality of any acquisitions
will be closely monitored.  Standard & Poor's will also be
monitoring Severstal's financial policy in terms of
distributions to shareholders and acquisitions at the parent
level, capital expenditures, debt, and financial support to
sister companies.

"A more predictable financial strategy and increased
transparency might have a positive impact on the ratings," Ms.
Kordyukova added.

"Conversely, significant deterioration of the group's financial
profile caused by large debt-financed acquisitions would put
downward pressure on the ratings."


TATARSTAN-AGRO-PROM-SNAB: I. Mysenko Named to Manage Assets
-----------------------------------------------------------
The Arbitration Court of Tatarstan Republic appointed Mr. I.
Mysenko as Insolvency Manager for OJSC Tatarstan-Agro-Prom-Snab.  
He can be reached at:

         I. Mysenko
         Post User Box 658
         Kazan
         420032 Tatarstan Republic
         Russia

The Court commenced bankruptcy proceedings against the company
after finding it insolvent.  The case is docketed under Case No.  
A65-25039/2005-SG4-26.

The Debtor can be reached at:

         OJSC Tatarstan-Agro-Prom-Snab
         Lesnaya Str. 1
         Kinderi
         Vysokogorskiy Region
         Tatarstan Republic
         Russia


TIMBER MILL: Kareliya Court Starts Bankruptcy Supervision
---------------------------------------------------------
The Arbitration Court of Kareliya Republic will convene at 12:00
noon on Aug. 23 to hear the bankruptcy supervision procedure on
LLC Timber Mill.  The case is docketed under Case No.
A26-2501/2006-182.

The Temporary Insolvency Manager is:

         A. Kovylev
         Vidanskaya Str. 15V
         Petrozavodsk
         Kareliya Republic
         Russia

The Debtor can be reached at:

         LLC Timber Mill
         Zavodskaya Str. 3
         Medvezhyegorsk
         Kareliya Republic
         Russia


VOLGA: Ulyanovsk Court Starts Bankruptcy Supervision
----------------------------------------------------
The Arbitration Court of Ulyanovsk Region commenced bankruptcy
supervision procedure on CJSC Volga.  The case is docketed under
Case No. A72-849/06-20/16-B.

The Temporary Insolvency Manager is:

         S. Lashin
         Engelsa Str. 19
         432063 Ulyanovsk Region
         Russia

The Debtor can be reached at:

         CJSC Volga
         Belyj Yar St.
         Ulyanovsk Region
         Russia


VORONEZH-STEEL-CONSTRUCTION: A. Kuznetsov to Manage Assets
----------------------------------------------------------
The Arbitration Court of Voronezh Region appointed Mr. A.
Kuznetsov as Insolvency Manager for CJSC Voronezh-Steel-
Construction.  He can be reached at:

         A. Kuznetsov
         Office 3
         Moskovskiy Pr. 93/2
         394053 Voronezh Region
         Russia

The Court commenced bankruptcy proceedings against the company
after finding it insolvent.  The case is docketed under Case No.  
A14-27218-2005/182/7b.

The Debtor can be reached at:

         CJSC Voronezh-Steel-Construction
         Dimitrova Str. 112
         Voronezh Region
         Russia


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


VESTEL ELEKTRONIK: Fitch Affirms Issuer Default Rating at BB-
-------------------------------------------------------------
Fitch Ratings affirmed Turkey-based Vestel Elektronik Sanayi ve
Ticaret A.S.'s foreign and local currency Issuer Default ratings
at BB- and removed them from Rating Watch Negative.  A Stable
Outlook is assigned.

The ratings had been placed on RWN on April 12 following
Vestel's announcement that it was raising its stake in white
good manufacturer Vestel Beyaz Esya Sanayi ve Ticaret to 69%
from 35% by acquiring the interests from parent company Zorlu
Group, causing net cash outflow from Vestel.  The RWN reflected
Fitch's concern that the transaction would increase Vestel's net
debt position and hence its leverage ratios.

The ratings have been removed from RWN, after a meeting with
Vestel's management has assuaged Fitch's earlier concerns.  The
net cash outflow of TRY96 million as a result of the transaction
is lower than Fitch's expectations.  Vestel paid TRY287 million
cash to acquire Zorlu Group shares in Vestel White and at the
same time received TRY191 million cash from the IPO proceeds of
Vestel White.

The financial impact of the transaction is considered to be in
line with the current ratings.  On a pro-forma basis, FYE05
consolidated net debt/EBITDA increased to 0.8x from 0.4x.  As
Vestel already had direct management control, it consolidated
Vestel White in its financials before the transaction.  It will
continue to consolidate the 69% subsidiary fully after the
transaction.  In Fitch's view, Vestel White is an important
component of Vestel's aim to grow in the consumer durables
business in Turkey and nearby markets.

The Stable Outlook reflects Fitch's expectations that barring
the adverse currency effects and price competition of FY05,
Vestel's and Vestel White's sales growth and operating margin
performance should recover in FY06 given the additional volumes
in both domestic and Russia-based operations.  

While gross leverage is forecast to remain unchanged, net
leverage is expected to double in FY06 due to the Vestel White
transaction and planned capital expenditures.  Fitch notes that
the profitability of both Vestel and Vestel White deteriorated
during 2005, partly due to increased competition and Vestel
White's efforts to build its market share in Turkey.

Vestel is a leading manufacturer of television sets with TRY4.5
billion consolidated sales and TRY289 million consolidated
EBITDA in FY05.  Collar Holding BV (Netherlands), a Zorlu Group
company, holds majority control in Vestel with a 51.6% stake,
while the remaining 48.4% of Vestel is quoted on the Istanbul
Stock Exchange.


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


GALPROMEXPOCENTER: Court Names E. Dzhala as Liquidator
------------------------------------------------------
The Economic Court of Lviv Region appointed Mr. E. Dzhala as
Liquidator/Insolvency Manager for LLC Galpromexpocenter (code
EDRPOU 33394625).

The Court commenced bankruptcy proceedings against the company
after finding it insolvent on June 6.  The case is docketed
under Case No. 6/22-8/38.

The Economic Court of Lviv Region is located at:

         Lichakivska Str. 81
         79010 Lviv Region
         Ukraine

The Debtor can be reached at:

         LLC Galpromexpocenter
         Pidstavska Str. 1
         Zavodske
         Buskij District
         Lviv Region
         Ukraine


INFID: District Tax Agency to Liquidate Assets
----------------------------------------------
The Economic Court of Kyiv Region appointed State Tax Inspection
of Golosiyivskij District of Kyiv Region as Liquidator for
Scientific-Production Association Infid (code EDRPOU 03066689).

The Court commenced bankruptcy proceedings against the company
after finding it insolvent on April 25.  The case is docketed
under Case No. 15/283-b.

The Economic Court of Kyiv Region is located at:

         B. Hmelnitskij Boulevard 44-B
         01030 Kyiv Region
         Ukraine

The Debtor can be reached at:

         Scientific-Production Association Infid
         Lisogirska Str. 4
         Kyiv Region
         Ukraine


KONELA: Court Names Sergij Pshenichnij as Liquidator
----------------------------------------------------
The Economic Court of Cherkassy Region appointed Sergij
Pshenichnij as Liquidator/Insolvency Manager for Agricultural
LLC Konela (code EDRPOU 30812451).  He can be reached at:

         Sergij Pshenichnij
         Sumgayitska Str. 17/1
         Cherkassy Region
         Ukraine

The Court commenced bankruptcy proceedings against the company
after finding it insolvent on May 11.  The case is docketed
under Case No. 14/2314.

The Economic Court of Cherkassy Region is located at:

         Shevchenko Avenue 307
         18005 Cherkassy Region
         Ukraine

The Debtor can be reached at:

         Agricultural LLC Konela
         Konela
         Zhashkivskij District
         Cherkassy Region
         Ukraine


MONARCH: Court Names Oleksij Sisoyev as Liquidator
--------------------------------------------------
The Economic Court of Sumi Region appointed Oleksij Sisoyev as
Liquidator/Insolvency Manager for LLC Monarch (code EDRPOU
23637361).  

The Court commenced bankruptcy proceedings against the company
after finding it insolvent on June 1.  The case is docketed
under Case No. 12/99-06.

The Economic Court of Sumi Region is located at:

         Shevchenko Avenue 18/1
         40030 Sumi Region
         Ukraine

The Debtor can be reached at:

         LLC Monarch
         Fadeyev Lane 13
         Trostyanets
         42600 Sumi Region
         Ukraine


REGIONS OF UKRAINE: Oleksandr Shikulenko to Liquidate Assets
------------------------------------------------------------
The Economic Court of Dnipropetrovsk Region appointed Oleksandr
Shikulenko as Liquidator/Insolvency Manager for CJSC Concern
Regions of Ukraine (code EDRPOU 25017421).  He can be reached
at:

         Oleksandr Shikulenko
         Shirshov Str. 7/82
         49000 Dnipropetrovsk Region
         Ukraine

The Court commenced bankruptcy proceedings against the company
after finding it insolvent on June 5.  The case is docketed
under Case No. B 29/117/06.

The Economic Court of Dnipropetrovsk Region is located at:

         Kujbishev Str. 1a
         49600 Dnipropetrovsk Region
         Ukraine

The Debtor can be reached at:

         CJSC Concern Regions of Ukraine
         Beregova Str. 200
         49021 Dnipropetrovsk Region
         Ukraine


REMDIZEL: Kyiv Court Commences Bankruptcy Supervision
-----------------------------------------------------
The Economic Court of Kyiv Region commenced bankruptcy
supervision procedure on State Enterprise Kyiv Region Plant
Remdizel (code EDRPOU 08247289) on May 31.  The case is docketed
under Case No. 43/329.

The Temporary Insolvency Manager is:

         Volodimir Olmezov
         Elektrikiv Str. 28
         04176 Kyiv Region
         Ukraine

The Economic Court of Kyiv Region is located at:

         B. Hmelnitskij Boulevard 44-B
         01030 Kyiv Region
         Ukraine

The Debtor can be reached at:

         State Enterprise Kyiv Region Plant Remdizel
         Elektrikiv Str. 28
         04176 Kyiv Region
         Ukraine


ROMNI' MEAT: Court Names Yevgen Chuprun as Liquidator
-----------------------------------------------------
The Economic Court of Sumi Region appointed Yevgen Chuprun as
Liquidator/Insolvency Manager for LLC Romni' Meat Combine (code
EDRPOU 32460398).  He can be reached at:

         Yevgen Chuprun
         Room49-A
         Petropavlivska Str. 74
         Sumi Region
         Ukraine

The Court commenced bankruptcy proceedings against the company
after finding it insolvent on June 5.  The case is docketed
under Case No. 7/47-06.

The Economic Court of Sumi Region is located at:

         Shevchenko Avenue 18/1
         40030 Sumi Region
         Ukraine

The Debtor can be reached at:

         LLC Romni' Meat Combine
         Prokopenko Str. 87
         Romni
         42006 Sumi Region
         Ukraine


STRUSIV' FOOD: Ternopil Court Starts Bankruptcy Supervision
-----------------------------------------------------------
The Economic Court of Ternopil Region commenced bankruptcy
supervision procedure on State Enterprise Strusiv' Food Products
Combine (code EDRPOU 00375125).  The case is docketed under Case
No. 10/b-743.

The Temporary Insolvency Manager is:

         Yevgen Kuzik
         Krishelnitskoi Str. 54
         Berezhani
         Ternopil Region
         Ukraine

The Economic Court of Ternopil Region is located at:

         Ostrozski Str. 14a
         46000 Ternopil Region
         Ukraine

The Debtor can be reached at:

         State Enterprise Strusiv' Food Products Combine
         Strusiv
         Terebovlyanskij District
         Ternopil Region
         Ukraine


SVITANOK: Ternopil Court Starts Bankruptcy Supervision
------------------------------------------------------
The Economic Court of Ternopil Region commenced bankruptcy
supervision procedure on Agricultural LLC Svitanok (code EDRPOU
00953556).  The case is docketed under Case No. 15/B-740.

The Temporary Insolvency Manager is:

         Vasil Taras
         Rodini Barvinskih Str. 7
         Ternopil Region
         Ukraine

The Economic Court of Ternopil Region is located at:

         Ostrozski Str. 14a
         46000 Ternopil Region
         Ukraine

The Debtor can be reached at:

         Agricultural LLC Svitanok
         Staromishina
         Pidvolochiskij District
         Ternopil Region
         Ukraine


TITAN: Herson Court Starts Bankruptcy Supervision
-------------------------------------------------
The Economic Court of Herson Region commenced bankruptcy
supervision procedure on LLC Scientific-Production Firm Titan
(code EDRPOU 19235220).  The case is docketed under Case No.
12/65-B-06.

The Temporary Insolvency Manager is:

         Galina Bilodid
         Metrologichna Str. 14/193
         03143 Kyiv Region
         Ukraine

The Economic Court of Herson Region is located at:

         Gorkij Str. 18
         73000 Herson Region
         Ukraine

The Debtor can be reached at:

         LLC Scientific-Production Firm Titan
         Zhovtnya Str. 21A/12
         4-richya
         73023 Herson Region
         Ukraine


UKRAINA: Dnipropetrovsk Court Starts Bankruptcy Supervision
-----------------------------------------------------------
The Economic Court of Dnipropetrovsk Region commenced bankruptcy
supervision procedure on LLC Agrofirm Ukraina (code EDRPOU
30908325) on May 16.  The case is docketed under Case No.
B 24/94/06.

The Temporary Insolvency Manager is:

         V. Kozachenko
         a/b 2725
         49044 Dnipropetrovsk Region
         Ukraine

The Economic Court of Dnipropetrovsk Region is located at:

         Kujbishev Str. 1a
         49600 Dnipropetrovsk Region
         Ukraine

The Debtor can be reached at:

         LLC Agrofirm Ukraina
         Komunarivska Str. 46
         Novopavlivka
         Mezhivskij District
         52950 Dnipropetrovsk Region
         Ukraine


VALEKS: Dnipropetrovsk Court Starts Bankruptcy Supervision
----------------------------------------------------------
The Economic Court of Dnipropetrovsk Region commenced bankruptcy
supervision procedure on LLC Valeks (code EDRPOU 30660295) on
April 25.  The case is docketed under Case No. B 24/67/06.

The Temporary Insolvency Manager is:

         Oleksandr Rudnitskij
         152 Diviziyi Str. 2-a/43
         49000 Dnipropetrovsk Region
         Ukraine

The Economic Court of Dnipropetrovsk Region is located at:

         Kujbishev Str. 1a
         49600 Dnipropetrovsk Region
         Ukraine

The Debtor can be reached at:

         LLC Valeks
         Topolya-3 Str. 30/69
         49000 Dnipropetrovsk Region
         Ukraine


VILAN: Court Names Oleksij Sisoyev as Insolvency Manager
--------------------------------------------------------
The Economic Court of Sumi Region appointed Oleksij Sisoyev as
Liquidator/Insolvency Manager for LLC Vilan (code EDRPOU
30712683)

The Court commenced bankruptcy proceedings against the company
after finding it insolvent on June 1.  The case is docketed
under Case No. 12/13-06.

The Economic Court of Sumi Region is located at:

         Shevchenko Avenue 18/1
         40030 Sumi Region
         Ukraine

The Debtor can be reached at:

         LLC Vilan
         Uritskij Str. 43/8
         Romni
         42000 Sumi Region
         Ukraine


ZIRNE' ALCOHOL: Court Starts Bankruptcy Supervision
---------------------------------------------------
The Economic Court of Rivne Region commenced bankruptcy
supervision procedure on State Enterprise Zirne' Alcohol Plant
(code EDRPOU 00375036) on June 8.  The case is docketed under
Case No. 9/10.

The Temporary Insolvency Manager is:

         Igor Homishin
         Polishuk Str. 87-a/17
         Lviv Region
         Ukraine

The Economic Court of Rivne Region is located at:

         Yavornitski Str. 59
         33001 Rivne Region
         Ukraine

The Debtor can be reached at:

         State Enterprise Zirne' Alcohol Plant
         Bereznivskij District Zirne
         34609 Rivne Region
         Ukraine


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


APPLIANCE XPRESS: Cattles Invoice Taps Administrative Receivers
---------------------------------------------------------------
Cattles Invoice Finance (Oxford) Ltd. appointed Samuel Jonathan
Talby and Jeremiah Anthony O'Sullivan of Bishop Fleming joint
administrative receivers of Appliance Xpress Limited (Company
Number 3954788) on July 17.

The administrative receivers can be reached at:

         Bishop Fleming
         1 Barnfield Crescent
         Exeter
         Devon EX1 1QY
         United Kingdom
         Tel: 01392 278436
         Fax: 01392 413617
         E-mail: exeter@bishopfleming.co.uk
         Web: http://www.bishopfleming.co.uk

Appliance Xpress Limited can be reached at:

         Sheridan House
         17 St. Anns Road
         Harrow
         Middlesex HA1 1JU
         United Kingdom


ARGON CAPITAL: S&P Raises Rating on Class 22 Notes to B
-------------------------------------------------------
Standard & Poor's Ratings Services took credit rating actions on
the EUR20 million limited recourse secured floating-rate credit-
linked notes series issued by Argon Capital PLC.

These rating actions and the CreditWatch updates follow two
reviews.  The first review was of the CreditWatch placements
made on July 13.  The second review was of the ratings on
tranches that have been on CreditWatch negative for more than 90
days.
  
Where SROC (synthetic rated overcollateralization) is less than
100%, scenarios are run that project the current portfolio 90
days into the future, assuming no asset rating migration.  Where
this projection indicates that the SROC would return to a level
above 100% at that time, the rating is maintained, but placed on
CreditWatch negative.  If, on the other hand, the projection
indicates that the SROC would remain below 100%, the rating is
immediately lowered.
  
                        Ratings List
                     Argon Capital PLC
          EUR20 Million Limited Recourse Secured
         Floating-Rate Credit-Linked Notes Series

         Class                  Rating      SROC      Projected
   (where applicable)           scenario    today     90 day+
     To        From             (%)         SROC (%)
     --        ----             --------    --------  ---------
     22
     B         CCC/Watch Pos    B+          99.7657
                                B           100.4837
                                B-          100.5113
                                CCC+        100.5389
                                CCC         100.5665


AVONMOUTH RECYCLING: Names T. Papanicola as Administrator
---------------------------------------------------------
Theodolous Papanicola of Bond Partners LLP was named
administrator of Avonmouth Recycling Limited (Company Number
04454682) on June 26.

The administrator can be reached at:

         Bond Partners LLP
         The Grange
         100 High Street
         London N14 6TG
         United Kingdom
         Tel: 020 8444 2000
         Fax: 020 8444 3400

Headquartered in Avon, United Kingdom, Avonmouth Recycling
Limited recycles metal and non-metal waste and scrap.


B.H.P. ELECTRICAL: Hires Joint Liquidators from Begbies Traynor
---------------------------------------------------------------
Ian Michael Rose and Robert Michael Young of Begbies Traynor
were appointed Joint Liquidators of B.H.P. Electrical Company
(Slough) Limited during an extraordinary general meeting on
May 2.

Begbies Traynor -- http://www.begbies.com/-- assists companies,  
creditors, financial institutions and individuals on all aspects
of financial restructuring and corporate recovery.  

B.H.P. Electrical Company (Slough) Limited can be reached at:

         83 Belgrave Road
         Slough SL1 3RQ
         United Kingdom
         Tel: 01753 529 321


BATH ARCHITECTURAL: Brings In Joint Liquidators from Harrisons
--------------------------------------------------------------
P. R. Boyle and J. C. Sallabank of Harrisons were appointed
Joint Liquidators of Bath Architectural Cast Stone Limited after
creditors decided to wind up the company on April 28.

Harrisons -- http://www.harrisons.uk.com/-- provides advice and  
solutions to professional advisors who found their clients
experiencing financial difficulties.  Originally trading from
offices in Reading and has added London, Manchester, Bristol and
Derby and has associate offices in Grantham and Stockton on
Tees.  

Bath Architectural Cast Stone Limited can be reached at:

         1 Woodlands Edge
         West Ashton Road
         Trowbridge
         Wiltshire BA147BE
         United Kingdom
         Tel: 01225 751 280
         Fax: 01225 751 280


BENNINGTON FINANCE: S&P Lifts Class E Notes' Low -B Ratings
-----------------------------------------------------------
Standard & Poor's Ratings Services took credit rating actions on
the US$35 million secured fixed- and floating rate notes issued
by Bennington Finance Ltd.

These rating actions and the CreditWatch updates follow two
reviews.  The first review was of the CreditWatch placements
made on July 13.  The second review was of the ratings on
tranches that have been on CreditWatch negative for more than 90
days.
  
Where SROC (synthetic rated overcollateralization) is less than
100%, scenarios are run that project the current portfolio 90
days into the future, assuming no asset rating migration.  Where
this projection indicates that the SROC would return to a level
above 100% at that time, the rating is maintained, but placed on
CreditWatch negative.  If, on the other hand, the projection
indicates that the SROC would remain below 100%, the rating is
immediately lowered.

                        Ratings List
                    Bennington Finance Ltd.
       US$35 Million Secured Fixed- And Floating-Rate Notes

         Class                  Rating      SROC      Projected
   (where applicable)           scenario    today     90 day+
     To        From             (%)         SROC (%)
     --        ----             --------    --------  ---------
     C
     AA         AA               AA          101.2334
  
     D
     A+         BBB/Watch Dev    A+          100.1273
                                 A           100.2105
                                 A-          100.2937
                                 BBB+        100.3769
                                 BBB         100.4601
  
     E-1
     BBB-       B/Watch Pos      BBB-        100.1169
                                 BB+         100.2265
                                 BB          100.2812
                                 BB-         100.3360
                                 B+          101.0756
                                 B           101.1030

     E-2
     BBB-       B                BBB-        100.1169
                                 BB+         100.2265
                                 BB          100.2812
                                 BB-         100.3360
                                 B+          101.0756
                                 B           101.1030
  

BEST CARE: Names William Antony Batty as Administrator
------------------------------------------------------
William Antony Batty of Antony Batty & Co. was appointed joint
administrator of Best Care Employment (2000) Ltd. (Company
Number 04091948) on June 26.

The administrator can be reached at:

         Antony Batty & Company
         3 Field Court
         Grays Inn
         London WC1R 5EF
         United Kingdom
         Tel: 020 7831 1234
         Fax: 020 7430 2727
         E-mail: antonybatty@hotmail.com  

Best Care Employment (2000) Ltd. can be reached at:

         Bow House Business Centre
         153-159 Bow Road
         London E3 2SE
         United Kingdom
         Tel: 077 2039 3759
         Fax: 020 8981 4799


CARR HILL: Creditors' Meeting Slated for August 4
-------------------------------------------------
Creditors of Carr Hill Distribution Limited (Company Number
3674373) will meet at 10:05 a.m. on Aug. 4 at:

         Crowne Plaza
         Wellington Street
         Leeds LS1 4DL
         United Kingdom

Creditors who want to be represented at the meeting may appoint
proxies.  Proxy forms must be submitted together with written
debt claims at 12:00 noon on Aug. 3 at:

         Dermot Justin Power and Toby Underwood
         Joint Administrators
         BDO Stoy Hayward LLP
         Commercial Buildings
         11-15 Cross Street
         Manchester M2 1BD
         United Kingdom
         Tel: 0161 817 3700
         Fax: 0161 817 3711
         E-mail: manchester@bdo.co.uk

BDO Stoy Hayward -- http://www.bdo.co.uk/-- is the U.K. member  
firm of BDO International, the world's fifth largest accountancy
network with more than 600 offices in 100 countries.  Its
services include: audit and assurance, business restructuring,
corporate finance, disputes and investigations, investment
management, risk assurance services, tax services, and
valuations.


CHALLENGE ELECTRICAL: Creditors Pass Winding Up Resolution
----------------------------------------------------------
Creditors of Challenge Electrical Services Limited passed a
resolution to wind up the company's operations on April 27.

C. H. I. Moore of K.J. Watkin & Co. was appointed Liquidator.

The company can be reached at:

         Challenge Electrical Services Limited
         141 Tat Bank Road
         Oldbury
         West Midlands B69 4NH
         United Kingdom
         Tel: 0121 511 2001


CROWN CONSERVATORY: Creditors Nominate Liquidator
-------------------------------------------------
Creditors of Conservatory Roofing Limited nominated Gary Stones
of Stones and Co. as Liquidator on May 5.

The company can be reached at:

         Crown Conservatory Roofing Limited
    Unit 1
    Camffrwd Way
    Swansea Enterprise Park
    Swansea SA6 8QD
         United Kingdom
         Tel: 01792 796002   


CROWN HOLDINGS: S&P Affirms Low-B Ratings on US$1.5-Bln Loan
------------------------------------------------------------
Standard & Poor's Ratings Services affirmed its 'BB-' rating and
its '2' recovery rating on Crown Holdings Inc.'s existing US$1.5
billion credit facilities including its proposed US$200 million
add-on senior secured term loan B due 2012.  The bank loan
rating is the same as the corporate credit rating; this and the
recovery rating of '2' indicate that lenders can expect
substantial (80% to 100%) recovery of principal in the event of
a payment default.  

The ratings on the add-on term loan B are based on preliminary
terms and are subject to review of final documentation.  The
borrower for the add-on term loan B is Crown Americas LLC and
proceeds from the term loan B, which is being added through an
amendment to Crown's existing credit facilities, will be
initially used to pay down the revolving credit facility, and
subsequently to fund share repurchases and meet pension
payments.

The corporate credit rating on Crown is 'BB-'.  The rating
outlook is stable. Philadelphia, Pa.-based Crown's total debt
was US$3.6 billion at March 31.

"The ratings reflect Crown's satisfactory business risk profile,
characterized by market leadership, global operations, and
relative earnings stability.  Nevertheless, the financial
profile remains highly leveraged, and the company continues to
face risks associated with asbestos litigation," said Standard &
Poor's credit analyst Liley Mehta.

                       Ratings List

Crown Holdings Inc.:

   Corporate credit rating               BB-/Stable/B-1

   Senior unsecured debt                 B

Crown Americas LLC and Crown Americas Capital Corp.:

   US$410 million revolving
      credit facility due 2011           BB- (Recovery rtg: 2)

   US$365 million term loan B
      due 2012                           BB- (Recovery rtg: 2)

   US$500 million senior
      unsecured notes due 2013           B

   US$600 million senior
      unsecured notes due 2015           B

Crown European Holdings S.A.:
   US$350 million revolving
      credit facility due 2011           BB- (Recovery rtg: 2)

   US$350 million term loan B
      due 2012                           BB- (Recovery rtg: 2)

   EUR460 million first-priority
      sr. secured notes due 2011         BB-

   Recovery rating                       2

Crown Metal Packaging Canada L.P.

   US$40 million revolving
      credit facility due 2011           BB- (Recovery rtg: 2)

Crown Cork & Seal Finance PLC

   Senior unsecured debt                 B


EMI GROUP: Drops US$4.6 Billion Proposal for Warner Music
---------------------------------------------------------
The Board of Directors of EMI Group PLC decided not to pusure
the US$4.6 billion proposal to acquire Warner Music Group.  

According to Ethan Smith of the Wall Street Journal, the
effective withdrawal of EMI's offer comes after a ruling by the
European Court of First Instance that called into question the
feasibility of a music merger between Sony Music and BMG.

The decision issued by the European Union court in Luxembourg
could take as long as a year for European antitrust regulators
to re-assess the Sony-BMG merger.  The upcoming verdict on the
matter will likely set a standard for an EMI-Warner tie-up, Mr.
Smith relates.

EMI has made two proposals to acquire Warner Music, while Warner
has made two alternative proposals to acquire EMI.  When the
Board of EMI put forward its proposals to acquire Warner Music,
it believed that there are good arguments for regulatory
approval of a combination.

As reported in TCR-Europe on June 29, the Board of EMI Group PLC
unanimously rejected Warner Music's proposal for the acquisition
of 100% of EMI's outstanding shares for GBP2.5 billion.

On June 23, EMI made a revised proposal to Warner Music for EMI
to acquire all of the outstanding shares of Warner Music for
US$31 per share in cash that Warner Music rejected on June 27.

Headquartered in London, EMI Group PLC --
http://www.emigroup.com/-- is the world's largest independent  
music company, operating directly in 50 countries and with
licensees in a further 20.  The group employs over 6,600 people.
Revenues in 2005 were near EUR2 billion and operating profit
generated was over EUR225 million.

At March 31, 2006, EMI Group's consolidated balance sheet
revealed GBP1.817 billion in total assets, GBP2.544 billion in
total liabilities and GBP726.6 million in shareholders' deficit.


ENRON CORP: Court Approves Accenture Settlement Agreement
---------------------------------------------------------
The U.S. Bankruptcy Court for the Southern District of New York
approved the stipulation among Enron Corporation and its debtor-
affiliates and Accenture LLP.

On Nov. 26, 2003, Enron Corp., Enron Net Works L.L.C., ECT
Resources Corp., Enron Credit, Enron Energy Services, Inc., and
Enron North America Corp. filed Adversary Proceeding No.
03-93466 against Accenture.

The Enron Parties seek to recover as preferential payments, or
in the alternative, as fraudulent transfers, prepetition
transfers US$5,291,549 that Accenture received.  Accenture
denied the allegations in the complaint.

Accenture has scheduled claims against the Enron Parties:

                                                   Expected
     Schedule No.    Debtor    Allowed Amount    Distribution
     ------------    ------    --------------    ------------
      10304968        ENW         US$1,691,797        US$252,078
      10701972        EIM            539,120          30,730
      10701973        EESOI          117,000          18,837

Accenture and the Enron Parties have negotiated a stipulation to
resolve the Adversary Proceeding.  They agree that:

   (1) Accenture will make a US$547,922 settlement payment to
       the Enron Parties;

   (2) the Adversary Proceeding will be dismissed with
       prejudice;

   (3) Schedule No. 10304968 will be waived and relinquished
       with prejudice;

   (4) Schedule Nos. 10701972 and 10701973 will be preserved;
       and

   (5) Accenture will waive and release all claims against the
       Reorganized Debtors under Section 502(h) of the
       Bankruptcy Code.

Headquartered in Houston, Texas, Enron Corporation filed for
chapter 11 protection on December 2, 2001 (Bankr. S.D.N.Y. Case
No. 01-16033) following controversy over accounting procedures,
which caused Enron's stock price and credit rating to drop
sharply.  Judge Gonzalez confirmed the Company's Modified Fifth
Amended Plan on July 15, 2004, and numerous appeals followed.  
The Debtors' confirmed chapter 11 Plan took effect on Nov. 17,
2004.  Martin J. Bienenstock, Esq., and Brian S. Rosen, Esq., at
Weil, Gotshal & Manges, LLP, represent the Debtors in their
restructuring efforts.  Luc A. Despins, Esq., Matthew Scott
Barr, Esq., and Paul D. Malek, Esq., at Milbank, Tweed, Hadley &
McCloy, LLP, represent the Official Committee of Unsecured
Creditors.  (Enron Bankruptcy News, Issue No. 176; Bankruptcy
Creditors' Service, Inc., 15/945-7000)


FIRST CALL: Creditors Confirm Liquidator's Appointment
------------------------------------------------------
Creditors of First Call Care Limited confirmed the appointment
of Adelle Firestone of Firestones as Liquidator on April 28.

The company can be reached at:

         First Call Care Limited
         Third Floor
         Pentagon Centre
         Chatham
    Kent ME4 4HY
    United Kingdom
    Tel: 01634 403 403
    Fax: 01634 403 407


GENERAL MOTORS: S&P Keeps Ratings on Watch Negative
---------------------------------------------------
Standard & Poor's Ratings Services said that all of its ratings
on General Motors Corp.--including the 'B' corporate credit
rating, but excluding the '1' recovery rating--remain on
CreditWatch with negative implications, where they were placed
March 29.
     
The CreditWatch update follows GM's announcement of second
quarter results and other recent developments involving its bank
facility and progress on the GMAC sale.  Cost savings sharply
improved GM's second quarter North American net income--
excluding substantial special items such as charges of
US$3.7 billion after-tax related to attrition programs--compared
to the same period in 2005.  Lower warranty accruals, which can
be volatile, accounted for part of the improvement.  Higher raw
material and freight costs overwhelmed higher revenue per unit.

Still, S&P expects that GM's North American operations will
benefit from the recognition of cost savings in the third and
fourth quarters of 2006.  S&P, however, remains concerned about
the potential for negative revenue and product mix developments
in North America for the remainder of 2006 in light of high gas
prices and an unstable pricing environment.  Market share
losses, and the need to execute other aspects of the cost-
savings plan such as plant closings, also remain concerns.
     
The most pressing near-term issue remains GM's exposure to its
former unit and important supplier, Delphi.  S&P expects GM's
ratings to remain on CreditWatch for the next month or longer
because court hearings on Delphi's motion to reject its labor
contracts were adjourned until August 11, and hearings on
Delphi's request to reject unprofitable supply contracts with GM
have been postponed also until August 11. S&P expects Delphi,
the United Auto Workers, and GM to continue negotiations out of
court, however.  Delphi's attrition program also experienced
strong acceptance rates, and a lower Delphi headcount is likely
to be an important factor toward resolving GM's exposure to the
Delphi situation.  

GM recently closed on its new US$4.48 billion secured bank deal,
which is considered an incremental positive for its liquidity.
Even prior to establishment of the new bank facility, S&P
believed GM's liquidity was adequate to meet near-term funding
requirements, including payments to participants in the
accelerated attrition program.

At June 30, the automotive cash and short-term VEBA balance was
US$22.9 billion, up from the end of the first quarter of 2006
and the end of fiscal 2005.  A satisfactory letter related to
GMAC's liability for GM's pension obligations, needed for the
pending sale of a 51% stake in GMAC, has been received from the
Pension Benefit Guaranty Corp.


GLEBE WAREHOUSING: Begins Liquidation Procedure
-----------------------------------------------
Glebe Warehousing Limited is liquidating its assets after
creditors passed a resolution to wind up the company on May 3.

Charles Howard Ranby-Gorwood of CRG Insolvency & Financial
Recovery was appointed Liquidator.

         Glebe Warehousing Limited
         Glebe Farm
         Little Grimsby Lane
         Fotherby
         Louth
         Lincolnshire LN110UT
         United Kingdom
         Tel: 01507 600 484
         Fax: 01507 600 062


GLENFIELD TEXTILE: Appoints Vantis as Joint Administrators
----------------------------------------------------------
J.S. French and G. Mummery of Vantis Redhead French Limited were
appointed joint administrators of Glenfield Textile Services
Limited (Company Number 04272239) on June 23.

Headquartered in West Sussex, United Kingdom, Vantis Numerica
(nka Vantis plc) -- http://www.vantisplc.com/-- provides  
accounting, business and tax advisory services in the United
Kingdom.

Glenfield Textile Services Limited can be reached at:

         2B Mossop Drive
         Langtoft
         Peterborough PE6 9LY
         United Kingdom
         Tel: 01778 343 567
         Fax: 01778 347 382


INCENTIVE & CONFERENCE: Hires Administrators from Pure Recovery
---------------------------------------------------------------
Stephen John Evans and Ian Timothy Brown both of Pure Recovery
LLP were appointed joint administrators of Incentive &
Conference Centre Limited (Company Number 2780925) on June 22.

The administrators can be reached at:

         Pure Recovery LLP
         39 Hatton Garden
         London EC1N 8EH
         United Kingdom
         Tel: 020 7404 7999
         E-mail: tim.brown@purerecovery.com

Incentive & Conference Centre Limited can be reached at:

         Kenwards
         High Street
         Battle
         East Sussex TN3 30AE
         United Kingdom
         Tel: 01424 772 255
         Fax: 01424 772 234


MCGURK LABELS: Financial Woes Prompt Voluntary Liquidation
----------------------------------------------------------
McGurk Labels & Packaing Limited is voluntarily liquidating its
assets after creditors established the company could no longer
continue its operations due to liabilities.

The company can be reached at:

         McGurk Labels & Packaging Limited
         Unit A
         Henry Boot Way
         Hull HU4 7DY
         United Kingdom
         Tel: 01482 586 680
         Fax: 01482 587 267


MILLER BROTHERS: Creditors' Meeting Slated for August 4
-------------------------------------------------------
Creditors of Miller Brothers (Electrical) Ltd. (Company Number
276203) will meet at 11:00 a.m. on Aug. 4 at:

         Crowne Plaza
         Wellington Street
         Leeds LS1 4DL
         United Kingdom

Creditors who want to be represented at the meeting may appoint
proxies.  Proxy forms must be submitted together with written
debt claims at 12:00 noon on Aug. 3 at:

         Dermot Justin Power and Toby Underwood
         Joint Administrators
         BDO Stoy Hayward LLP
         Commercial Buildings
         11-15 Cross Street
         Manchester M2 1BD
         United Kingdom
         Tel: 0161 817 3700
         Fax: 0161 817 3711
         E-mail: manchester@bdo.co.uk

BDO Stoy Hayward -- http://www.bdo.co.uk/-- is the U.K. member  
firm of BDO International, the world's fifth largest accountancy
network with more than 600 offices in 100 countries.  Its
services include: audit and assurance, business restructuring,
corporate finance, disputes and investigations, investment
management, risk assurance services, tax services, and
valuations.


MOLLOY EUROPEAN: Creditors' Meeting Slated for August 2
-------------------------------------------------------
Creditors of Molloy European Transport Services Limited (Company
Number 03378317) will meet at 11:00 a.m. on Aug. 2 at:

         Smith & Williamson Limited
         25 Moorgate
         London EC2R 6AY
         United Kingdom

Creditors who want to be represented at the meeting may appoint
proxies.  Proxy forms must be submitted together with written
debt claims at 12:00 noon, on Aug. 1 at:

         Anthony Murphy, Roger Tulloch and
         Robert William Leslie Horton
         Joint Administrators
         Smith & Williamson Limited
         No 1 Bishops Wharf
         Walnut Tree Close
         Guildford GU1 4RA
         United Kingdom
         Tel: 01483 407 100
         Fax: 01483 301 232

Smith & Williamson -- http://www.smith.williamson.co.uk/-- is  
an independent professional and financial services group
employing over 1,200 people.  It is the leading provider of
investment management, financial advisory and accountancy
services to private clients, professional practices, mid to
large corporates and non-profit organizations.


OTSU LTD: Appoints J. Harvey Madden as Liquidator
-------------------------------------------------
Creditors of Otsu Limited appointed J. Harvey Madden of Taylor
Rowlands as Liquidator during an extraordinary general meeting
on May 5.

The company can be reached at:

         Otsu Limited
         North Farm
         Barlow Road
         Barlow
         Blaydon-on-Tyne
         Tyne and Wear NE216JT
         United Kingdom
         Tel: 01207 545 581
         Fax: 01207 545 540


PETER HARRISON: Joint Liquidators Take Over Operations
------------------------------------------------------
A. J. Clark of Carter Clark and D. P. Hudson of Begbies Traynor
were appointed Joint Liquidators of Peter Harrison Preservation
Limited by resolutions passed by members and creditors on
April 28.

The company can be reached at:

         Peter Harrison Preservation Limited
         Springfield
         Golden Lane
         Thorpe-le-Soken
         Clacton-on-Sea
         Essex CO160LD
         United Kingdom
         Tel: 01255 863 898


PHOENIX 2002-2: S&P Assigns BB Rating to Class D Notes
------------------------------------------------------  
Standard & Poor's Ratings Services took credit rating actions on
the EUR239 million credit-linked floating rate notes issued by
Phoenix 2002-2 Ltd.

These rating actions and the CreditWatch updates follow two
reviews.  The first review was of the CreditWatch placements
made on July 13.  The second review was of the ratings on
tranches that have been on CreditWatch negative for more than 90
days.
  
Where SROC (synthetic rated overcollateralization) is less than
100%, scenarios are run that project the current portfolio 90
days into the future, assuming no asset rating migration.  Where
this projection indicates that the SROC would return to a level
above 100% at that time, the rating is maintained, but placed on
CreditWatch negative.  If, on the other hand, the projection
indicates that the SROC would remain below 100%, the rating is
immediately lowered.


                        Ratings List
                    Phoenix 2002-2 Ltd.
        EUR239 Million Credit-Linked Floating-Rate Notes

         Class                  Rating      SROC      Projected
   (where applicable)           scenario    today     90 day+
     To        From             (%)         SROC (%)
     --        ----             --------    --------  ---------
     A
     AAA       AA+/Watch Pos    AAA         101.2096
                                AA+         101.9766
  
     B
     AA+       AA               AA+         100.5192
                                AA          101.0858
  
     C
     BBB       BBB              BBB         100.4809
  
     D
     BB        BB-/Watch Pos    BB          100.0849
                                BB-         100.1705


PUBLICITY PRINTERS: Names David Halstead Bottomley Liquidator
-------------------------------------------------------------
David Halstead Bottomley of Bottomley & Co. was named Liquidator
of Publicity Printers Limited after creditors passed a
resolution to wind up the company on May 2.

The company can be reached at:

         Publicity Printers Limited
         Flamstead Farm
         Chesham Road
         Ashley Green
         Chesham
         Buckinghamshire HP5 3PH
         United Kingdom
         Tel: 01494 772 088
         Fax: 01494 791 946


QUALITY ELECTRICAL: Creditors' Meeting Slated for August 4
----------------------------------------------------------
Creditors of Quality Electrical Direct Limited (Company Number
3650721) will meet at 10:30 a.m. on Aug. 4 at:

         Crowne Plaza
         Wellington Street
         Leeds LS1 4DL
         United Kingdom

Creditors who want to be represented at the meeting may appoint
proxies.  Proxy forms must be submitted together with written
debt claims at 12:00 noon on Aug. 3 at:

         Dermot Justin Power and Toby Underwood
         Joint Administrators
         BDO Stoy Hayward LLP
         Commercial Buildings
         11-15 Cross Street
         Manchester M2 1BD
         United Kingdom
         Tel: 0161 817 3700
         Fax: 0161 817 3711
         E-mail: manchester@bdo.co.uk

BDO Stoy Hayward -- http://www.bdo.co.uk/-- is the U.K. member  
firm of BDO International, the world's fifth largest accountancy
network with more than 600 offices in 100 countries.  Its
services include: audit and assurance, business restructuring,
corporate finance, disputes and investigations, investment
management, risk assurance services, tax services, and
valuations.


REFCO INC: Ch. 7 Trustee Wants Court to Wind Down Refco Trading
---------------------------------------------------------------
Albert Togut, the Court-appointed Chapter 7 trustee for Refco,
LLC's estate, seeks the Bankruptcy Court's authority to complete
a wind-down and dissolution of Refco Trading Services, LLC's
business operations in accordance with Delaware laws.

Refco Trading was formed in 2003 when Refco, Inc., acquired
United Kingdom-based MacFutures, a day-trading business engaging
in commodity futures and options.

Refco Trading followed a similar model to MacFutures and became
Refco LLC's proprietary trading subsidiary.  Most Refco Trading
employees traded using accounts funded by Refco LLC, and only a
few workers had any customer accounts.

Like the Refco Trading proprietary accounts, any third-party
customer accounts were settled on a daily basis to the extent
that the business day would rarely, if ever, end with Refco
Trading having any open trade positions, Scott E. Ratner, Esq.,
at Togut, Segal & Segal LLP, in New York, relates.

Before the Petition Date, Refco Trading had over 100 employees
and business operations in Montreal, Canada; Chicago, Illinois;
and Miami, Florida.  Refco Trading hired employees, trained them
using a proprietary training system, and provided an account
with which to trade. Most of the employees were paid a flat
salary and traded on an account that was settled on a daily
basis.

The traders also received profit percentages of successful
trades as additional remuneration.  Consistent with their
Acquisition Agreement, Man Financial, Inc., has hired most or
all of Refco Trading's former employees.

Refco Trading ceased all trading operations after the Petition
Date.

Refco Trading currently holds approximately $1,600,000 in cash.  
The company's liabilities are uncertain, but Mr. Togut believes
that there may be intercompany obligations.  Refco Trading
participated in an intercompany cash management system that paid
the company's obligations to outside sources and repaid the
obligations with intercompany receivables.  Mr. Togut also
believes that there may be liabilities to Canadian taxing
authorities.

Specifically, Mr. Togut proposes to direct certain actions as
are necessary and appropriate to Refco Trading's dissolution and
wind-down, including:

   (a) preparation of accounting reports, statements of receipts
       and disbursements and income statements;

   (b) preparation, signing, and filing of any tax returns in
       the United States or Canada;

   (c) appearances before any governmental authority as may be
       necessary to effectuate a legal wind-down;

   (d) adjudication and resolution of any claims asserted
       against Refco Trading and authorization for payment of
       any allowed claims from Refco Trading's assets to the
       extent required by law; and

   (e) performing any other related tasks as may be necessary to
       effectuate a proper and legal wind-down and dissolution.

Mr. Togut also seeks to pay, without further Court order, all
necessary costs and expenses incurred in connection with the
wind-down, provided that any payments will be made from Refco
Trading's assets, and not those of Refco LLC's estate.

Furthermore, Mr. Togut asks Judge Drain for qualified immunity
from personal liability for his actions in furtherance of Refco
Trading's wind-down.

According to Mr. Togut, Refco LLC's ownership interest in Refco
Trading is an asset of its Chapter 7 estate.  To the extent that
Refco Trading is solvent, its remaining assets will inure to
Refco LLC's benefit.  Therefore, Refco Trading's wind-down and
dissolution pursuant to Delaware laws is consistent with Mr.
Togut's duty to "collect and reduce to money the property of the
estate" under Section 704(a)(1) of the Bankruptcy Code.

Considering that the scope of Refco Trading's assets and
liabilities are unknown, Mr. Togut insists that he must wind
down Refco Trading to determine whether there are any residual
assets that will flow to Refco LLC's estate.

                       About Refco Inc.

Based in New York, Refco Inc. -- http://www.refco.com/-- is a   
diversified financial services organization with operations in
14 countries and an extensive global institutional and retail
client base.  Refco's worldwide subsidiaries are members of
principal U.S. and international exchanges, and are among the
most active members of futures exchanges in Chicago, New York,
London and Singapore.  In addition to its futures brokerage
activities, Refco is a major broker of cash market products,
including foreign exchange, foreign exchange options, government
securities, domestic and international equities, emerging market
debt, and OTC financial and commodity products.  Refco is one of
the largest global clearing firms for derivatives.

The Company and 23 of its affiliates filed for chapter 11
protection on Oct. 17, 2005 (Bankr. S.D.N.Y. Case No. 05-60006).
J. Gregory Milmoe, Esq., at Skadden, Arps, Slate, Meagher & Flom
LLP, represent the Debtors in their restructuring efforts.  Luc
A. Despins, Esq., at Milbank, Tweed, Hadley & McCloy LLP,
represents the Official Committee of Unsecured Creditors.  Refco
reported US$16.5 billion in assets and US$16.8 billion in debts
to the Bankruptcy Court on the first day of its chapter 11
cases.

Refco LLC, an affiliate, filed for chapter 7 protection on
Nov. 25, 2005 (Bankr. S.D.N.Y. Case No. 05-60134).  Refco, LLC,
is a regulated commodity futures company that has businesses in
the United States, London, Asia and Canada.  Refco, LLC, filed
for bankruptcy protection in order to consummate the sale of
substantially all of its assets to Man Financial Inc., a wholly
owned subsidiary of Man Group plc.  Albert Togut, the chapter 7
trustee, is represented by Togut, Segal & Segal LLP.

On April 13, 2006, the Court appointed Marc S. Kirschner as
Refco Capital Markets Ltd.'s chapter 11 trustee.  Mr. Kirschner
is represented by Bingham McCutchen LLP.  RCM is Refco's
operating subsidiary based in Bermuda.

Three more affiliates of Refco, Westminster-Refco Management
LLC, Refco Managed Futures LLC, and Lind-Waldock Securities LLC,
filed for chapter 11 protection on June 6, 2006 (Bankr. S.D.N.Y.
Case Nos. 06-11260 through 06-11262).  (Refco Bankruptcy News,
Issue No. 34; Bankruptcy Creditors' Service, Inc., 215/945-
7000).


REFCO INC: Organizational Mtg. of RCM Creditors Set for Aug. 2
--------------------------------------------------------------
Diana G. Adams, the acting United States Trustee for Region 2,
will convene an organizational meeting of the unsecured
creditors in Refco Capital Markets, Ltd.'s case at 10:00 a.m. on
Aug. 2, according to the U.S. Trustee's Web site.

The meeting will be held at the United States Trustee Meeting
Rooms, at 80 Broad Street, 2nd floor, in New York.

                       About Refco Inc.

Based in New York, Refco Inc. -- http://www.refco.com/-- is a   
diversified financial services organization with operations in
14 countries and an extensive global institutional and retail
client base.  Refco's worldwide subsidiaries are members of
principal U.S. and international exchanges, and are among the
most active members of futures exchanges in Chicago, New York,
London and Singapore.  In addition to its futures brokerage
activities, Refco is a major broker of cash market products,
including foreign exchange, foreign exchange options, government
securities, domestic and international equities, emerging market
debt, and OTC financial and commodity products.  Refco is one of
the largest global clearing firms for derivatives.

The Company and 23 of its affiliates filed for chapter 11
protection on Oct. 17, 2005 (Bankr. S.D.N.Y. Case No. 05-60006).
J. Gregory Milmoe, Esq., at Skadden, Arps, Slate, Meagher & Flom
LLP, represent the Debtors in their restructuring efforts.  Luc
A. Despins, Esq., at Milbank, Tweed, Hadley & McCloy LLP,
represents the Official Committee of Unsecured Creditors.  Refco
reported US$16.5 billion in assets and US$16.8 billion in debts
to the Bankruptcy Court on the first day of its chapter 11
cases.

Refco LLC, an affiliate, filed for chapter 7 protection on
Nov. 25, 2005 (Bankr. S.D.N.Y. Case No. 05-60134).  Refco, LLC,
is a regulated commodity futures company that has businesses in
the United States, London, Asia and Canada.  Refco, LLC, filed
for bankruptcy protection in order to consummate the sale of
substantially all of its assets to Man Financial Inc., a wholly
owned subsidiary of Man Group plc.  Albert Togut, the chapter 7
trustee, is represented by Togut, Segal & Segal LLP.

On April 13, 2006, the Court appointed Marc S. Kirschner as
Refco Capital Markets Ltd.'s chapter 11 trustee.  Mr. Kirschner
is represented by Bingham McCutchen LLP.  RCM is Refco's
operating subsidiary based in Bermuda.

Three more affiliates of Refco, Westminster-Refco Management
LLC, Refco Managed Futures LLC, and Lind-Waldock Securities LLC,
filed for chapter 11 protection on June 6, 2006 (Bankr. S.D.N.Y.
Case Nos. 06-11260 through 06-11262).  (Refco Bankruptcy News,
Issue No. 34; Bankruptcy Creditors' Service, Inc., 215/945-
7000).


REFCO INC: Terminates F/X Associates Agreement with GAIN Capital
----------------------------------------------------------------
Refco Inc. reported that the proposed agreement with privately
held GAIN Capital Group, under which GAIN was to acquire the
Refco F/X Associates retail customer account information and
related assets, has been jointly terminated.  While the parties
had entered into a term sheet outlining the transaction, they
were unable to reach terms on a final asset purchase agreement.

RFXA said that as a result of its inability to enter into a
final asset purchase agreement, it plans to terminate its
agreement with FXCM, the company that services RFXA's Web-based
platform <http://www.refcofx.com/>and notify customers  
immediately that as of July 31, 2006, their RFXA accounts will
be closed and locked from any further trading activity.

On June 30, 2006, RFXA had reached a preliminary agreement with
GAIN Capital and that it had filed a motion in the Bankruptcy
Court requesting that a hearing be held July 20, 2006, to
consider the matter.  That hearing was later adjourned to
Aug. 10, 2006, in order to allow the parties more time to
document the transaction and give objecting parties more time to
assess the benefits of the transaction.

                       About Refco Inc.

Based in New York, Refco Inc. -- http://www.refco.com/-- is a   
diversified financial services organization with operations in
14 countries and an extensive global institutional and retail
client base.  Refco's worldwide subsidiaries are members of
principal U.S. and international exchanges, and are among the
most active members of futures exchanges in Chicago, New York,
London and Singapore.  In addition to its futures brokerage
activities, Refco is a major broker of cash market products,
including foreign exchange, foreign exchange options, government
securities, domestic and international equities, emerging market
debt, and OTC financial and commodity products.  Refco is one of
the largest global clearing firms for derivatives.

The Company and 23 of its affiliates filed for chapter 11
protection on Oct. 17, 2005 (Bankr. S.D.N.Y. Case No. 05-60006).
J. Gregory Milmoe, Esq., at Skadden, Arps, Slate, Meagher & Flom
LLP, represent the Debtors in their restructuring efforts.  Luc
A. Despins, Esq., at Milbank, Tweed, Hadley & McCloy LLP,
represents the Official Committee of Unsecured Creditors.  Refco
reported US$16.5 billion in assets and US$16.8 billion in debts
to the Bankruptcy Court on the first day of its chapter 11
cases.

Refco LLC, an affiliate, filed for chapter 7 protection on
Nov. 25, 2005 (Bankr. S.D.N.Y. Case No. 05-60134).  Refco, LLC,
is a regulated commodity futures company that has businesses in
the United States, London, Asia and Canada.  Refco, LLC, filed
for bankruptcy protection in order to consummate the sale of
substantially all of its assets to Man Financial Inc., a wholly
owned subsidiary of Man Group plc.  Albert Togut, the chapter 7
trustee, is represented by Togut, Segal & Segal LLP.

On April 13, 2006, the Court appointed Marc S. Kirschner as
Refco Capital Markets Ltd.'s chapter 11 trustee.  Mr. Kirschner
is represented by Bingham McCutchen LLP.  RCM is Refco's
operating subsidiary based in Bermuda.

Three more affiliates of Refco, Westminster-Refco Management
LLC, Refco Managed Futures LLC, and Lind-Waldock Securities LLC,
filed for chapter 11 protection on June 6, 2006 (Bankr. S.D.N.Y.
Case Nos. 06-11260 through 06-11262).  (Refco Bankruptcy News,
Issue No. 34; Bankruptcy Creditors' Service, Inc., 215/945-
7000).


RIVERMEAD ENGINEERING: Taps David Rubin to Liquidate Assets
-----------------------------------------------------------
David Rubin of David Rubin & Partners was appointed Liquidator
of Rivermead Engineering Limited after creditors agreed to wind
up the company on May 2.

David Rubin & Partners -- http://www.drpartners.com/--  
specializes in corporate and personal insolvency, recovery,
forensic accounting and litigation support.

Rivermead Engineering Limited can be reached at:

         Twickenham Trade Estate
         Rugby Road
         Twickenham TW1 1DG
         United Kingdom
         Tel: 020 8744 2525


S.J.V. CONSTRUCTION: Creditors Opt to Wind Up Business
------------------------------------------------------
Creditors of S.J.V. Construction Limited opted to wind up the
company on April 26 after proving that it could no longer
continue its business due to liabilities.

They also confirmed the appointment of Stephen Franklin of Panos
Eliades, Franklin & Co.

The company can be reached at:

         S.J.V. Construction Limited
         Unit B10
         Unit Chadwell Heath Industrial Park
         Kemp Road
         Dagenham, Essex RM8 1SL
         United Kingdom
         Tel: 020 8586 4264   


SEA CONTAINERS: High Court Sides with ORR on Railway Use Dispute
----------------------------------------------------------------
Great North Eastern Railway, the UK rail subsidiary of Sea
Containers Ltd., is extremely disappointed with the conclusions
reached by the U.K. High Court on GNER's application for
judicial review of the decision by the Office of Rail Regulation
to grant access rights on the East Coast Mainline to Grand
Central Railways and Hull Trains based on a different charging
regime to franchised train operators.

GNER sought an order quashing the ORR's March 23 decision and a
declaration that the ORR's charging regime is unlawful.  Mr.
Justice Sullivan declined to grant the order or the declaration.
GNER considers that the judgment is fundamentally flawed.  It
considers that two train operators calling at the same station
and picking up the same set of passengers are not in competition
because of their differing contractual arrangements with
government.  It is obvious that GNER and its competitors operate
in the same market.

GNER continues to believe that the ORR's charging regime is
discriminatory, is in breach of national and European law,
amounts to an unlawful grant of state aid and distorts
competition.  It also continues to believe that the decision to
grant access rights was unfair.

GNER has always been a supporter of competition both on the East
Coast Mainline and in the rail industry in general.  However, it
believes that franchised and open access operators should
operate on a level-playing field, which is not the position
under the current charging arrangement.  This regime makes
franchised operators pay significantly higher charges than open
access operators for access to the same infrastructure.  
Additionally, GNER believes that by stopping at York, which
already has 61 services a day to and from London, under an
industry revenue allocation system at least 80 percent of Grand
Central's revenues will be abstractive from GNER's premium-
paying franchise.

GNER is taking legal advice in respect of the options now open
to it, including the possibility of an application to the Court
of Appeal or a complaint to the European Commission.

GNER will need to look more closely at Mr. Justice Sullivan's
decision before being able to quantify the precise impact on the
company.

Bob MacKenzie, President and CEO of Sea Containers, the parent
company of GNER, said: "[Thurs]day's decision is truly
extraordinary.  It has serious commercial consequences for GNER
and for the Department for Transport.  It undermines the
profitability of GNER, which already operates to modest margins,
and devalues a recently-awarded public contract agreed with
government and the East Coast franchise in perpetuity.  It will
also make bidders for other franchises elsewhere on the network
more risk-adverse.

"We believe we had a strong case to contest the ORR's decision.
The real losers from today's judgment are not just those who
believe in fair competition, but also passengers on the East
Coast Main Line and other rail users on the network who may not
see as much money reinvested into their railway.

"We will be discussing the serious implications of today's
decision with the Department for Transport, as it is likely to
jeopardize GNER's ability to pay some of the premium payments
agreed with the government over the course of our franchise.  
This cannot be what the government intended to happen to any of
its newly-awarded rail franchises."

Once it has considered the consequences of the High Court's
decision in full, Sea Containers, GNER's parent company, intends
to issue a further statement in August, which will also include
a financial update on trading matters relating to GNER.

                      About Sea Containers

London-based Sea Containers -- http://www.seacontainers.com/--   
engages in passenger and freight transport and marine container
leasing.  The Bermuda registered company is primarily owned by
U.S. shareholders and its common shares have been listed on the
New York Stock Exchange (SCRA and SCRB) since 1974.

Through its GNER subsidiary, Sea Containers Passenger Transport
operates Britain's fastest railway, the Great North Eastern
Railway, linking England and Scotland.  It also conducts ferry
operations, serving Finland and Estonia as well as a commuter
service between New York and New Jersey in the U.S.

                        *     *     *

In June 2006, Moody's Investors Service downgraded the senior
unsecured ratings and confirmed the senior secured rating of Sea
Containers -- Senior Unsecured to Caa3, Senior Secured at B3.
Moody's said the outlook is negative.

The downgrades were due to the increased probability of a
payment default following Sea Containers' disclosure that it is
unable to confirm whether it will pay the $115 million principal
amount of 10-3/4% senior unsecured notes due October 2006.

As reported in the Troubled Company Reporter on May 4, 2006,
Standard & Poor's Ratings Services lowered its ratings on Sea
Containers, including lowering the corporate credit rating to
'CCC-' from 'CCC+'.  All ratings remain on CreditWatch with
negative implications.

The rating action followed the company's announcement that it is
continuing to evaluate a range of strategic and financial
alternatives, including the "appropriate level of debt capacity,
with the intent to engage the public note holders and other
stakeholders."


SIMONITE SHOP: Creditors Resolve to Voluntary Liquidation
---------------------------------------------------------
Creditors of Simonite Shop Fitters Limited resolved to
voluntarily liquidate the company's assets during an
extraordinary general meeting on May 5.  

They also confirmed the appointment of A. Graham of Hamiltons
Insolvency Practitioners Limited at a subsequent meeting of
creditors.

The company can be reached at:

         Simonite Shop Fitters Limited
         175 Smalldale Road
         Sheffield S12 4YE
         United Kingdom
         Tel: 0114 265 7473


SOS GUERNSEY: Appoints Administrators from Smith & Williamson
-------------------------------------------------------------
Kevin James Wilson Weir and Gregory Andrew Palfrey of Smith &
Williamson Limited were appointed joint administrators of SOS
Guernsey Limited (Company Number 05096652) on June 28.

Smith & Williamson -- http://www.smith.williamson.co.uk/-- is  
an independent professional and financial services group
employing over 1,200 people.  It is the leading provider of
investment management, financial advisory and accountancy
services to private clients, professional practices, mid to
large corporates and non-profit organizations.

Headquartered in Bristol, United Kingdom, SOS Guernsey Limited
wholesales clothing and footwear.


                           *********


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.  Jazel Laureno, Julybien Atadero, Carmel Paderog,
and Joy Agravante, Editors.

Copyright 2006.  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 * * *