/raid1/www/Hosts/bankrupt/TCREUR

/raid1/www/Hosts/bankrupt/TCREUR_Public/060905.mbx T R O U B L E D C O M P A N Y R E P O R T E R E U R O P E Tuesday, September 5, 2006, Vol. 7, No. 176 Headlines A U S T R I A BIG BANG: Property Manager Claims Insufficient Assets GAMA TEXTILMASCHINEN: Creditors' Meeting Slated for September 11 GAMA TEXTILVEREDELUNG: Creditors' Meeting Slated for Sept. 11 GULU: Vienna Court Orders Business Shutdown HAL-POL: Creditors' Meeting Slated for September 13 ING. SCHERIAU: Vienna Court Shuts Down Business ING. ULRICH: Vienna Court Orders Business Shutdown M.I.T.: Vienna Court Orders Business Shutdown MB: Claims Registration Period Ends September 11 NICE TIME: St. Poelten Court Orders Closing of Business OLGUN: Creditors' Meeting Slated for September 6 ROBINSON: Creditors' Meeting Slated for September 15 WIDL & MAYRHOFER: Creditors' Meeting Slated for September 15 G E R M A N Y A F G ANLAGE: Claims Registration Ends September 3 ARNSTADTER METALLHANDEL: Claims Registration Ends September 14 AUTOHAUS JESSEN: Claims Registration Ends September 18 DUERR AG: Moody's Affirms B2 Corporate Family Rating DURA AUTOMOTIVE: Closing Stratford Plant & Cutting 280 Jobs KALELI GEBAUDEREINIGUNG: Claims Registration Ends Sept. 15 KARCHER DENTALTECHNIK: Claims Registration Ends Sept. 15 KRUEGER SCHWEISSTECHNIK: Claims Registration Ends September 15 M & M TISCHLEREI: Claims Registration Ends September 15 MUSTAFA TOPALOVSKI: Claims Registration Ends September 19 NOP2020 VERWALTUNGS: Claims Registration Ends September 15 NRWBEST GMBH: Claims Registration Ends September 15 PHOTRONICS INC: Earns US$4.6 Million in Quarter Ended July 30 PORTRAIT CORP: Files Chapter 11 Petition in New York PORTRAIT CORP: Case Summary & 29 Largest Unsecured Creditors PORTRAIT CORP: Sees 75% Debt Cut Upon Chapter 11 Emergence F I N L A N D METSO CORP: Completes Purchase of Paper Machine Maker in China I T A L Y ARES FINANCE: S&P Affirms BB Rating on Class E Notes ALITALIA SPA: Improves July Traffic Operations ALITALIA SPA: Hikes Net Debt to EUR909 Million in July 2006 WIND TELECOMUNICAZIONI: Fitch Keeps B+ Issuer Default Rating * Fitch Rates Taranto City's Long-Term Foreign Currency at BB+ K A Z A K H S T A N AKRAB- KOMHOZ: Aktube Court Opens Bankruptcy Proceedings AN I K: Almaty Court Begins Bankruptcy Proceedings AYAN: Almaty Court Commences Bankruptcy Proceedings JYGER COMPANY: Kostanai Court Starts Bankruptcy Procedure MUNAIGAZSERVIS: Mangistau Court Opens Bankruptcy Proceedings TAZA-KALA-ASSA: Jambyl Court Begins Bankruptcy Proceedings TRANSTORGSTROI: Aktube Court Commences Bankruptcy Proceedings ZERENDINSKAYA AGROPROMTEHNIKA: Creditors' Claims Due Sept. 22 K Y R G Y Z S T A N AK-BULA: Public Auction Scheduled for Sept. 8 N E T H E R L A N D S HELIX CAPITAL: Fitch Junks EUR44-Mln Series 2002-12C Notes HELIX CAPITAL: Fitch Junks EUR75-Mln Series 2001-5 Notes JUBILEE CDO: Moody's Rates EUR17-Mln Class E Notes at Ba3 N O R W A Y AKER KVAERNER Inks US$68-Mln Subsea Deal with Sonangol Pesquisa OSLO REINSURANCE: Wants High Court to Approve Oct. 3 Hearing P O L A N D POZMEAT S.A.: Sokolow Submits Offer to Purchase Bankrupt Assets R O M A N I A BANC POST: Fitch Revises Outlook to Positive BANCA COMERCIALA: Fitch Lifts IDR to BBB- From BB+ BANCA TIRIAC: Fitch Affirms Individual Rating at D R U S S I A AGRO-IMPEX: Orel Court Starts Bankruptcy Supervision AGRO-SERVICE: Court Names L. Morskov as Insolvency Manager BAZARNO-KARABULAK-AGRO-PROM-KHIMIYA: Insolvency Manager Comes In BREAD: Penza Court Names V. Lebedev as Insolvency Manager BUZDYA-KRAY-SEL-KHOZ-TEKHNIKA: E. Ivanoy to Manage Assets EXNET: Moscow Court Names M. Sorokin as Insolvency Manager KAMAZ: Court Names Sh. Fakhretdinoy as Insolvency Manager KAMYSHEVO: Court Names Y. Remizov as Insolvency Manager KRASNAYA USHNA: Vladimir Court Starts Bankruptcy Supervision KRASNOSLOBODSK-AGRO-PROM-KHIMIYA: Bankruptcy Supervision Starts KURGAN-ECO-RESOURCE: Kurgan Court Starts Bankruptcy Supervision MEAT: Mariy El Court Names S. Syumakhin as Insolvency Manager MED-INSTRUMENT: I. Yusupova to Manage Insolvency Assets MELEUZ-STROY: Court Names R. Ayupoy as Insolvency Manager METAL-MARKET: Court Names T. Semenova as Insolvency Manager METAL-WORKING COMPANY: Court Sets Nov. 13 Bankruptcy Hearing NOVOGROMOVSKOYE: Court Names A. Nikiforov as Insolvency Manager NOVOTORYALSKIY BUTTER: Court Starts Reorganization Process RAINBOW: Chuvashiya Court Starts Bankruptcy Supervision REINFORCED-CONCRETE CONSTRUCTIONS: Bankruptcy Supervision Starts SEVER-INVEST: Court Names D. Glushkov as Insolvency Manager SIBERIAN CLOTH: Omsk Court Names A. Kuzmin as Insolvency Manager SMOLENSK-GRAIN-PRODUCT: S. Lavrentyeva to Manage Assets SODRUZHESTVO: Orel Court to Hear Bankruptcy Case on Oct. 11 STEEL-SERVICE: Court Names M. Kuznetsov as Insolvency Manager STERLITAMAKSKIY FACTORY: Court Names Insolvency Manager TRUCK CRANE: Court Names G. Kutikov as Insolvency Manager VAKHRUSHEV-COAL: Court Names A. Katrushin as Insolvency Manager YUKOS OIL: Awaits on Appellate Court Ruling on Bankruptcy Appeal T U R K E Y PETROL OFISI: Fines Spur S&P to Put B+ Rating on Watch Negative U K R A I N E AGROSHLYAHBUD: Lviv Court Names Pavlo Duplika as Liquidator ALANTUR: Kyiv Court Names Mr. S. Sapozhnikov as Liquidator BANK KHRESCHATYK: Moody's Assigns E+ Financial Strength Rating BUDINDUSTRY SERVICE: Court Names Tax Agency as Liquidator GLOBAL DISTRI: Court Names District Tax Agency as Liquidator KHRESCHATYK FINANCE: Fitch Assigns B/RR4 on Upcoming Eurobond KOMMAK: Court Names District Tax Agency to Liquidate Assets LINDI: Kyiv Court Names S. Sapozhnikov as Insolvency Manager NIVA: Lviv Court Names Pavlo Duplika as Insolvency Manager ORIHIVCHIK: Lviv Court Names Pavlo Duplika as Insolvency Manager OPLITSKO: Lviv Court Names Pavlo Duplika as Insolvency Manager OSKAR: Court Names Mr. V. Paterilov as Insolvency Manager POLISSYA-PALIVO: Rivne Court Names Pavlo Duplika as Liquidator PRES: Rivne Court Names Pavlo Duplika as Insolvency Manager SKAJTEL: Kyiv Court Names Mr. I. Fedorov as Insolvency Manager STOYANIV: Lviv Court Names Pavlo Duplika as Insolvency Manager STANDART: Rivne Court Names Pavlo Duplika as Insolvency Manager SUDNOTRANS: Court Names District Tax Agency to Liquidate Assets U N I T E D K I N G D O M ALWARD TOOL: Brings In BDO Stoy as Joint Administrators ASEC PROJECT: Joint Liquidators Take Over Operations ADVENTURE TIME: Appoints Lloyd Biscoe as Liquidator ANDREW CORP: Repurchases 2.4 Million Common Shares ANDREW CORP: Comsearch Offers Relocation Services to FCC ASHGABLE LIMITED: Alan Simon Leads Liquidation Procedure ASK4BEER LIMITED: Appoints Joint Liquidators to Wind Up Business AUDIO VISUAL: Taps David Paul Hudson to Liquidate Assets AUTO AIR: Appoints Ian William Kings to Liquidate Assets BLACK COUNTRY: Hires Mark Jonathan Botwood as Liquidator BURNS CONSTRUCTION: Calls In Joint Liquidators from Wilson Pitts C. K. HYGIENE: Names T. Papanicola as Administrator CELLCAST PLC: Aims to Raise GBP1.3 Million to Avert Liquidation COMMPETE INTERNATIONAL: Taps Tenon Recovery as Administrators DURA AUTOMOTIVE: Closing Stratford Plant & Cutting 280 Jobs ELEMENTS LIFESTYLE: Taps Liquidator from Begbies Traynor ENFIELD LEISURE: Liquidating Assets Due to Cash Shortage ERWIN DAVSON LIMITED: Names Keith Aleric Stevens Liquidator ESSENTIAL OFFICE: Hires Joint Administrators from Cresswell GILLARD WELCH: P. Nottingham Leads Liquidation Procedure HAYLOFT STUDIOS: Appoints Moira Fitzpatrick as Administrator HOLISTYC LIMITED: Claims Filing Period Ends Sept. 13 INTERSERVE: Suspends Senior Staff Over Accounting Irregularities J & W RENOVATION: Nominates Ashok K. Bhardwaj as Liquidator JPS STAINLESS: Brings In Joint Liquidators from Lines Henry KJA TOWNEND: Taps Liquidators from O'Hara & Co. KEETS ROOFING: Names Joint Liquidators from Valentine & Co. KELSCAFF LIMITED: Appoints Joint Liquidators from Mazars LLP KINGFISHER KNIGHT: Hires John C. Moran to Liquidate Assets LEEDS IRONCRAFT: Names Liquidators from Jacksons Jolliffe Cork MP & ASSOCIATES: Brings In Stephen M. Katz to Liquidate Assets MIDLAND EURO: Trustee Can't Pursue Extraterritorial Fraud Claim MIKE HALL: Hires Martin Charles Armstrong as Liquidator NPS LIMITED: Appoints Smith & Williamson as Administrators OFFICE DESIGN: Calls In Joint Liquidators from Larking Gowen OSLO REINSURANCE: Wants High Court to Approve Oct. 3 Hearing PHOTRONICS INC: Earns US$4.6 Million in Quarter Ended July 30 PORTRAIT CORP: Files Chapter 11 Petition in New York PORTRAIT CORP: Case Summary & 29 Largest Unsecured Creditors PORTRAIT CORP: Sees 75% Debt Cut Upon Chapter 11 Emergence PROVALIS PLC: Approves Disposal of Medical Diagnostics Business Q-PRINT FLEXOGRAPHICS: Brings In T. Papanicola as Administrator RED LIMITED: Taps Gerald Irwin to Liquidate Assets REFCO INC: Wants Court Nod on FXA-GAIN Settlement Agreement REFCO INC: Debtors & Trustee Tap UHY Advisors as Tax Consultants REFCO INC: Committee Hires Wildman Harrold as Illinois Counsel RISCK SOLUTIONS: Hires Begbies Traynor to Administer Assets ROOTS ASSOCIATES: Taps Jacksons Jolliffe to Administer Assets S C CONSTRUCTION: Names Kirankumar Mistry Liquidator SECURE FIRST: Hires Joint Administrators from Abbot Fielding SECURITY PRINTERS: Nominates Liquidator from Kings SPECIAL PHOTOGRAPHERS: Creditors Ratify Voluntary Liquidation T.F.E. BUSINESS: Appoints Begbies Traynor as Administrators TITAN TAPES: Brings In Joint Liquidators from Begbies Traynor TLS EUROPE: Taps Administrators from Berg Kaprow TORNADO COMPONENTS: Hires Joint Liquidators from Hurst Morrison TORNADO SOLUTIONS: Creditors Confirm Liquidators' Appointment ULTRATHERM U.K.: Eileen T. F. Sale Leads Liquidation Procedure WINDOW WAREHOUSE: Taps Andrew David Rosler as Administrator WW NORTH: Appoints PwC as Joint Administrators * Large Companies with Insolvent Balance Sheets ********* ============= A U S T R I A ============= BIG BANG: Property Manager Claims Insufficient Assets ----------------------------------------------------- Mag. Andrea Prochaska, the court-appointed property manager for LLC Big Bang (FN 220444h), declared on July 19 that the Debtor's property is insufficient to cover creditors' claim. The Land Court of Korneuburg is yet to rule on the property manager's claim. Headquartered in Hollabrunn, Austria the Debtor declared bankruptcy on June 9 (Bankr. Case No. 36 S 66/06g). The property manager can be reached at: Mag. Andrea Prochaska Wassergasse 33/12 1030 Vienna, Austria Tel: 01/718 77 50 Fax: 01/718 77 50 15 E-mail: anwalt@andrea-prochaska.at GAMA TEXTILMASCHINEN: Creditors' Meeting Slated for September 11 ---------------------------------------------------------------- Creditors owed money by LLC Gama Textilmaschinen (FN 262231i) are encouraged to attend the creditors' meeting at 12:00 noon on Sept. 11 to consider the adoption of the rule by revision and accountability. The creditors' meeting will be held at: The Land Court of Eisenstadt Hall F Eisenstadt, Austria Headquartered in Lafnitztal, Austria, the Debtor declared bankruptcy on July 14 (Bankr. Case No. 26 S 67/06i). On July 19, the Land Court of Eisenstadt ordered the closing of the Debtor's business. The property manager can be reached at: Mag. Werner Dax Esterhazyplatz 5 7000 Eisenstadt, Austria Tel: 05/90105500 Fax: 05/90105510 E-mail: guessing@rapartner.at GAMA TEXTILVEREDELUNG: Creditors' Meeting Slated for Sept. 11 ------------------------------------------------------------- Creditors owed money by LLC Gama Textilveredelung (FN 262235s) are encouraged to attend the creditors' meeting at 12:15 p.m. on Sept. 11 to consider the adoption of the rule by revision and accountability. The creditors' meeting will be held at: The Land Court of Eisenstadt Hall F Eisenstadt, Austria Headquartered in Lafnitztal, Austria, the Debtor declared bankruptcy on July 14 (Bankr. Case No. 26 S 68/06m). Werner Dax serves as the court-appointed property manager of the bankrupt estate. The property manager can be reached at: Mag. Werner Dax Esterhazyplatz 5 7000 Eisenstadt, Austria Tel: 05/90105500 Fax: 05/90105510 E-mail: guessing@rapartner.at GULU: Vienna Court Orders Business Shutdown ------------------------------------------- The Trade Court of Vienna entered an order on July 19 shutting down the business of Construction LLC Gulu (FN 261546b). Court- appointed property manager Ulrike Bauer 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. Ulrike Bauer c/o Mag. Michael Rebasso Elizabeth Route 26 1010 Vienna, Austria Tel: 587 78 20 Fax: 587 78 20 9 E-mail: ra.bauer@aon.at Headquartered in Vienna, Austria, the Debtor declared bankruptcy on June 27 (Bankr. Case No. 45 S 42/06i). Michael Rebasso represents Dr. Bauer in the bankruptcy proceedings. HAL-POL: Creditors' Meeting Slated for September 13 --------------------------------------------------- Creditors owed money by LLC HAL-POL (FN 210479d) are encouraged to attend the creditors' meeting at 10:00 a.m. on Sept. 13 to consider the adoption of the rule by revision and accountability. The creditors' meeting will be held at: The Land Court of Korneuburg Room 204 2nd Floor Korneuburg, Austria Headquartered in Bad Deutsch Altenburg, Austria, the Debtor declared bankruptcy on July 14 (Bankr. Case No. 36 S 80/06s). Helmut Platzgummer serves as the court-appointed property manager of the bankrupt estate. Caroline Klus represents Dr. Platzgummer in the bankruptcy proceedings. The property manager and his representative can be reached at: Dr. Helmut Platzgummer c/o Mag. Caroline Klus Kohl Market 14 1010 Vienna, Austria Tel: 01/533 19 39 Fax: 01/533 19 39 39 E-mail: helmut.platzgummer@lp-law.at kanzlei@lp-law.at ING. SCHERIAU: Vienna Court Shuts Down Business ----------------------------------------------- The Trade Court of Vienna entered an order on July 19 shutting down the business of LLC Ing. Scheriau & Co (FN 38154i). Court- appointed property manager Klemens Dallinger 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. Klemens Dallinger c/o Dr. Guenther Hoedl Schulerstrasse 18 1010 Vienna, Austria Tel: 513 28 33 Fax: 513 28 33-22 E-mail: dallinger@anwaltsteam.at Headquartered in Vienna, Austria the Debtor declared bankruptcy on July 11 (Bankr. Case No. 38 S 45/06d). Guenther Hoedl represents Dr. Dallinger in the bankruptcy proceedings. ING. ULRICH: Vienna Court Orders Business Shutdown -------------------------------------------------- The Trade Court of Vienna entered an order on July 19 shutting down the business of KEG Ing. Ulrich (FN 192636p). Court- appointed property manager Bernhard Eder 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. Bernhard Eder c/o Dr. Herbert Hochegger Brucknerstrasse 4 1040 Vienna, Austria Tel: 505 78 61 Fax: 505 78 61 9 E-mail: eder@rechtsanwaelte.co.at Headquartered in Vienna, Austria the Debtor declared bankruptcy on July 4 (Bankr. Case No. 5 S 93/06w). Herbert Hochegger represents Dr. Eder in the bankruptcy proceedings. M.I.T.: Vienna Court Orders Business Shutdown --------------------------------------------- The Trade Court of Vienna entered an order on July 19 shutting down the business of LLC M.I.T. (FN 258277w). Court-appointed property manager Eva Riess 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. Eva Riess c/o Dr. Leopold Riess Zeltgasse 3/13 1080 Vienna, Austria Tel: 402 57 01 Fax: 402 57 01 21 E-mail: law@riess.co.at Headquartered in Vienna, Austria the Debtor declared bankruptcy on July 13 (Bankr. Case No. 3 S 101/06g). Leopold Riess represents Dr. Riess in the bankruptcy proceedings. MB: Claims Registration Period Ends September 11 ------------------------------------------------ Creditors owed money by LLC MB (FN 260230t) have until Sept. 11 to file written proofs of claims to court-appointed property manager Johannes Welzl at: Mag. Johannes Welzl c/o Dr. Alfred Jager Main Place 21 4020 Linz, Austria Tel: 0732/773461 Fax: 0732/782732 E-mail: j.welzl.ra@rae-jlw.at a.jaeger.ra@rae-jlw.at Creditors and other interested parties are encouraged to attend the creditors' meeting at 10:30 a.m. on Sept. 25 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 552 5th Floor Linz, Austria Headquartered in Linz, Austria the Debtor declared bankruptcy on July 14 (Bankr. Case No. 12 S 61/06t). Alfred Jager represents Mag. Welzl in the bankruptcy proceedings. NICE TIME: St. Poelten Court Orders Closing of Business ------------------------------------------------------- The Land Court of St. Poelten entered an order on July 19 closing the business of OEG nice time Eichinger & Faller (FN 246082k). Court-appointed property manager Herbert Hoffmann determined that the continuing operation of the business would reduce the value of the estate. The property manager and can be reached at: Mag. Herbert Hoffmann Viennese Road 18 3430 Tulln, Austria Tel: 02272/81929 Fax: 02272/81929-20 E-mail: mag.hoffmann@i-one.at Headquartered in Tulln, Austria, the Debtor declared bankruptcy on May 19 (Bankr. Case No. 14 S 88/06s). OLGUN: Creditors' Meeting Slated for September 6 ------------------------------------------------ Creditors owed money by LLC OLGUN (FN 258346x) are encouraged to attend the creditors' meeting at 2:00 p.m. on Sept. 6 to consider the adoption of the rule by revision and accountability. The creditors' meeting will be held at: The Land Court of Korneuburg Room 204 2nd Floor Korneuburg, Austria Headquartered in Grossengersdorf, Austria, the Debtor declared bankruptcy on July 14 (Bankr. Case No. 36 S 79/06v). Ilse Korenjak serves as the court-appointed property manager of the bankrupt estate. The property manager can be reached at: Dr. Ilse Korenjak Casting House Road 6 1040 Vienna, Austria Tel: 01/512 21 02 Fax: 01/512 21 02 20 E-mail: office@buresch-korenjak.at ROBINSON: Creditors' Meeting Slated for September 15 ---------------------------------------------------- Creditors owed money by KEG Robinson (FN 226513h) are encouraged to attend the creditors' meeting at 9:45 a.m. on Sept. 15 to consider the adoption of the rule by revision and accountability. The creditors' meeting will be held at: The Trade Court of Vienna Room 1607 Vienna, Austria Headquartered in Vienna, Austria, the Debtor declared bankruptcy on July 14 (Bankr. Case No. 28 S 44/06h). Guenther Hoedl serves as the court-appointed property manager of the bankrupt estate. The property manager can be reached at: Dr. Guenther Hoedl Schulerstrasse 18 1010 Vienna, Austria Tel: 513 16 55 Fax: 513 16 55 33 E-mail: Hoedl@anwaltsteam.at WIDL & MAYRHOFER: Creditors' Meeting Slated for September 15 ------------------------------------------------------------ Creditors owed money by KEG Widl & Mayrhofer (FN 20011d) are encouraged to attend the creditors' meeting at 11:45 a.m. on Sept. 15 to consider the adoption of the rule by revision. The creditors' meeting will be held at: The Land Court of Salzburg Hall 256 2nd Floor Salzburg, Austria Headquartered in Salzburg, Austria, the Debtor declared bankruptcy on July 14 (Bankr. Case No. 44 S 27/06d). Christian Adam serves as the court-appointed property manager of the bankrupt estate. The property manager can be reached at: Dr. Christian Adam Sigma -Haffner-Gasse 3 5020 Salzburg, Austria Tel: 0662-841222-0 Fax: 0662-841222-6 E-mail: office@ra-adam.at ============= G E R M A N Y ============= A F G ANLAGE: Claims Registration Ends September 3 -------------------------------------------------- Creditors of A F G Anlage- und Finanzierungs-GmbH have until Sept. 3 to register their claims with court-appointed provisional administrator Max-Reinhard Winter. Creditors and other interested parties are encouraged to attend the meeting at 8:50 a.m. on Oct. 25 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 Pinneberg Hall 3 1st Floor Station Route 17 25421 Pinneberg, 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 Pinneberg opened bankruptcy proceedings against A F G Anlage- und Finanzierungs-GmbH on Aug. 9. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be contacted at: A F G Anlage- und Finanzierungs-GmbH Kronskamp 127 22880 Wedel, Germany The administrator can be contacted at: Dr. Max-Reinhard Winter Dockenhudener Road 20 22587 Hamburg, Germany ARNSTADTER METALLHANDEL: Claims Registration Ends September 14 -------------------------------------------------------------- Creditors of Arnstadter Metallhandel GmbH i.L. have until Sept. 14 to register their claims with court-appointed provisional administrator Stephan Mitlehner. Creditors and other interested parties are encouraged to attend the meeting at 2:00 p.m. on Oct. 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 Erfurt Hall 15 Judicial Center Rudolfstr. 46 99092 Erfurt, 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 Erfurt opened bankruptcy proceedings against Arnstadter Metallhandel GmbH i.L. on Aug. 8. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be contacted at: Arnstadter Metallhandel GmbH i.L. Attn: Robert Schwaiger, Liquidator Schillerstr. 16 91522 Ansbach, Germany The administrator can be contacted at: Stephan Mitlehner Friedrich-Hund-Str. 3 07745 Jena, Germany AUTOHAUS JESSEN: Claims Registration Ends September 18 ------------------------------------------------------ Creditors of Autohaus Jessen GmbH have until Sept. 18 to register their claims with court-appointed provisional administrator Volkhard Frenzel. Creditors and other interested parties are encouraged to attend the meeting at 1:00 p.m. on Oct. 16 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 Dessau Hall 123 Willy-Lohmann-Road 33 Dessau, 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 Dessau opened bankruptcy proceedings against Autohaus Jessen GmbH on Aug. 7. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be contacted at: Autohaus Jessen GmbH Arnsdorfer Reihe 7 06917 Jessen, Germany Attn: Friedrich Vollrath and Udo Puhlmann, Managers Ludwig-Hosch-Str. 6 06917 Jessen, Germany The administrator can be contacted at: Dr. Volkhard Frenzel Magdeburger Road 23 06112 Halle, Germany Tel: 0345/2311111 Fax: 0345/2311199 DUERR AG: Moody's Affirms B2 Corporate Family Rating ---------------------------------------------------- Moody's Investors Service affirmed the B2 corporate family rating of Duerr AG and the Caa1 rating on the senior subordinated notes. The outlook on the ratings remains negative, reflecting Moody's view that, although the company has achieved some recent progress, notably in reducing debt, reducing cost and increasing efficiency through its Focus restructuring program, its cash generation has not to date improved to a level commensurate with its current rating category. The rating affirmation recognizes: (1) Duerr's good market leadership positions in the supply of large-scale production systems and manufacturing support services to the automotive industry; (2) the improvement in the company's financial profile thanks to the disposal of its MPT division and a capital increase resulting in a reduction in financial debt, as well as the preservation of a cushion under Duerr's liquidity position due to an amendment to its Syndicated Loan; (3) Moody's expectation that Duerr's earnings prospects and cash generation ability will strengthen between now and 2007 as a result of the successful execution of the company's Focus restructuring program; and (4) a solid order flow and further strengthening of revenues from services, which should reduce revenue volatility going forward. However, Moody's also notes that Duerr continues to face significant challenges, notably: (1) the need to turn around its operating performance and cash generation on a sustained basis in order to ensure a further reduction in financial leverage; (2) the need to further strengthen its liquidity position in view of volatile working capital patterns and the reduced prepayment levels from original equipment manufacturers (OEMs); (3) execution risk related to the Focus program, which is the key driver of the targeted improvement in EBITDA to above 7% in 2007; (4) the successful shift in the business strategy towards increasing revenues from services; and (5) the ongoing difficult market environment in the automotive industry. The outlook remains negative to reflect the ongoing execution risk associated with the Focus restructuring program, which is essential for the forecasted margin and cash flow improvements, which will only become fully visible throughout 2007. The negative outlook also reflects the challenge to maintain its sufficient liquidity position, including availability from alternative liquidity sources, until internal cash generation improves. Moody's expects that the auto supply industry will remain extremely challenging over the next few years, marked by disciplined capital expenditure measures by the OEMs, which are key driver for Duerr's top-line development. In this respect, should the company prove unsuccessful in restoring profitability levels and, as a result, witness deterioration in metrics below the current levels, a rating downgrade would be likely. Moody's may change the rating outlook back to stable if the company proves successful in further recovering profitability and, in particular, improving its cash flow profile in line with its financial obligations as reflected in a positive ratio of Retained Cash Flow to Net Debt within the next 12 to 18 months. Duerr AG is headquartered in Stuttgart, Germany, and is the holding company for a global supplier of production systems and manufacturing support services primarily to the automotive industry. The group develops and manufactures paint finishing plants, final assembly and conveyor systems as well as measuring systems. Other services include paint process and manufacturing support services DURA AUTOMOTIVE: Closing Stratford Plant & Cutting 280 Jobs ----------------------------------------------------------- Dura Automotive Systems Inc. is closing its brake cable plant in Stratford, Ontario, Canada, by 2007, terminating around 280 hourly and salaried employees. The Company disclosed early this year their "50-cubed" operational restructuring plan designed to enhance performance optimization, worldwide efficiency and improve financial results. The restructuring plan is expected to impact over 50% of its worldwide operations either through product movement or facility closures. The Company expects to complete this action by year end 2007. Cash expenditures for the restructuring plan are expected to be approximately US$100 million, which includes capital expenditures between US$25 and US$35 million. Restructuring cash expenses will relate primarily to employee severance, facility closure and product move costs. The restructuring plan will be financed with cash on hand and availability under the Company's existing revolving credit facility. The Company's management believes that the Company's current available liquidity will provide the funds necessary to execute this restructuring plan along with its ongoing operating cash requirements. Should the Company's current liquidity not be adequate to fund the restructuring plan and ongoing cash requirements for operations, the Company may be required to modify its restructuring plan, says Keith R. Marchiando, the Company's Chief Financial Officer. Major ongoing and completed restructuring actions are: -- in May 2006, the Company disclosed that it would close its Brantford, Ontario Canada, manufacturing facility by June 2007. The 66,000 square foot plant makes a variety of automotive column shift assemblies. The facility closing will impact approximately 120 jobs and the Company will transfer Brantford production to other DURA facilities to improve overall capacity utilization. Severance related charges of US$1.9 million have been recorded in 2006; all of which was recorded in the second quarter of 2006. -- in June 2006, the Company disclosed the proposed closing of its manufacturing facility in Llanelli, United Kingdom. The 118,000 square-foot plant makes automotive cable control systems and currently employs approximately 270 people. The Company is currently in the consultation process with Llanelli's AMICUS trade union concerning the proposed closing, and therefore have not determined if the plant will in fact be closed. Other restructuring charges of US$0.2 million have been recorded in the second quarter of 2006. -- the Company incurred year-to-date 2006 severance related charges of US$0.2 million for one of its Spanish facilities, recorded during the second quarter of 2006. -- the Company has notified in July 2006 at its LaGrange, Indiana plant that it is closing the facility. The plant, which currently employs approximately 270 people, manufactures a variety of window systems for the recreation vehicle, mass transit and heavy truck markets. Production of the window systems will be transferred to other production facilities. The Company is currently in negotiations with the respective union concerning severance and have not yet determined the charge. -- the Company incurred year-to-date Lawrenceburg facility production movement costs of US$0.5 million, of which US$0.3 million was incurred in the second quarter of 2006; -- in 2004, the Company disclosed a plan to exit its Brookfield, Missouri, facility and combine the business with other operations. This action is complete and resulted in year-to-date 2006 total charges of US$0.1 million, which was recorded during the second quarter of 2006. In 2005, the Company incurred charges of US$0.9 million. -- during the fourth quarter of 2005, the Company began the streamlining of a North American plant that will be completed in 2007. Certain employee severance related charges totaling US$1.4 million were incurred, of which US$1.3 million was recorded in the fourth quarter of 2005. Additional severance related charges of US$0.1 million were recorded in the second quarter of 2006. -- during the third quarter of 2005, the Company disclosed a plan to streamline an Einbeck, Germany, manufacturing operation. This action is substantially completed and resulted in no severance cost in 2006. -- during the second quarter of 2005, the Company disclosed a plan to streamline a Plettenberg, Germany, manufacturing operation during 2005 and 2006. In the third quarter of 2005, the Company received approval for this action from the appropriate Workers' Council and Union. Full identification of the actual employees has been substantially completed. Total severance costs of US$4.4 million are expected upon final identifications of all applicable employees. Approximately US$3.6 million has already been recorded, including US$0.4 million for the six months ended July 2, 2006. -- during the first quarter of 2005, the Company reported a plan to centralize its enterprise resource planning systems and centralize many of its functional operations to better align with current business levels. These actions are ongoing domestically as the Company continues to migrate its operations. The Company is unable to estimate future severance costs as applicable employees have not been identified. Approximately US$1.3 million of severance related charges were incurred in 2005. No additional costs have been incurred for the six months ended July 2, 2006. The Company has not formalized the total impact to its international operations, since meaningful migration and centralization will not begin until late 2006. The Company does expect that upwards of 200 individuals could be impacted. The Company has not yet specifically identified which individuals or group of individuals will be impacted, or in which international locations they reside. Therefore, the Company is not able to estimate the termination liability impact at this time. The Company does not expect, however, that the international termination costs for this action will exceed the related estimate for our U.S. operations. On July 27, 2006, the Company also disclosed plans to reduce its indirect workforce by 510 individuals in addition to the previously announced "50-cubed" operational restructuring plan. The rationale for this workforce reduction is to more appropriately align our indirect workforce with current sales volumes. The Company anticipates having this goal accomplished by the end of 2006. Headquarted in Rochester Hills, Michigan, DURA Automotive Systems, Inc. -- http://www.duraauto.com/-- is an independent designer and manufacturer of driver control systems, seating control systems, glass systems, engineered assemblies, structural door modules and exterior trim systems for the global automotive and recreation & specialty vehicle industries. DURA, which operates in 63 locations, sells its products to every major North American, Asian and European automotive original equipment manufacturer and many leading Tier 1 automotive suppliers. It currently operates in 63 locations including joint venture companies and customer service centers in 14 countries. * * * As reported in the Troubled Company Reporter on Aug. 1, 2006, Standard & Poor's Ratings Services lowered its corporate credit rating on Dura Automotive Systems Inc. to 'CCC' from 'B-'. S&P said the rating outlook is negative. KALELI GEBAUDEREINIGUNG: Claims Registration Ends Sept. 15 ---------------------------------------------------------- Creditors of Kaleli Gebaudereinigung & Dienstleistung GmbH have until Sept. 15 to register their claims with court-appointed provisional administrator Bernd Depping. Creditors and other interested parties are encouraged to attend the meeting at 10:10 a.m. on Oct. 2 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 Essen Hall 293 2nd Floor Principal Establishment Gelber Bereich Zweigertstr. 52 45130 Essen, 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 Essen opened bankruptcy proceedings against Kaleli Gebaudereinigung & Dienstleistung GmbH on Aug. 10. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be contacted at: Kaleli Gebaudereinigung & Dienstleistung GmbH Krablerstr. 125 45329 Essen, Germany Attn: Semiye Kaleli, Manager Roettgersbank 6 45329 Essen, Germany The administrator can be contacted at: Bernd Depping Alfredstr. 108-112 45131 Essen, Germany Tel: (0201) 879040 Fax: (0201) 8790412 KARCHER DENTALTECHNIK: Claims Registration Ends Sept. 15 -------------------------------------------------------- Creditors of Karcher Dentaltechnik GmbH have until Sept. 15 to register their claims with court-appointed provisional administrator Thomas Schaefer. Creditors and other interested parties are encouraged to attend the meeting at 9:45 a.m. on Oct. 20 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 Augsburg Law Courts Meeting Room 162 Alten Einlass 1 86150 Augsburg, 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 Augsburg opened bankruptcy proceedings against Karcher Dentaltechnik GmbH on Aug. 4. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be contacted at: Karcher Dentaltechnik GmbH Attn: Harry and Irmgard Karcher, Manager Rot-Kreuz-Str. 8 86179 Augsburg, Germany The administrator can be contacted at: Thomas Schaefer Fuggerstr. 16 86150 Augsburg, Germany KRUEGER SCHWEISSTECHNIK: Claims Registration Ends September 15 -------------------------------------------------------------- Creditors of Krueger Schweisstechnik GmbH have until Sept. 15 to register their claims with court-appointed provisional administrator Sabine Aldermann. Creditors and other interested parties are encouraged to attend the meeting at 9:40 a.m. on Oct. 24 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 Krueger Schweisstechnik GmbH on Aug. 4. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be contacted at: Krueger Schweisstechnik GmbH Bruemmer 1 44149 Dortmund, Germany Attn: Michael Jercynski, Manager Bergstrasse 55 44575 Castrop-Rauxel, Germany The administrator can be contacted at: Dr. Sabine Aldermann Landgrafenstr. 2 a 44139 Dortmund, Germany M & M TISCHLEREI: Claims Registration Ends September 15 ------------------------------------------------------- Creditors of M & M Tischlerei GmbH have until Sept. 15 to register their claims with court-appointed provisional administrator Wilhelm Wienberg. Creditors and other interested parties are encouraged to attend the meeting at 2:00 p.m. on Oct. 18 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 Erfurt Hall 6 Judicial Center Rudolfstr. 46 99092 Erfurt, 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 Erfurt opened bankruptcy proceedings against M & M Tischlerei GmbH on Aug. 7. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be contacted at: M & M Tischlerei GmbH Attn: Hans-Georg Mohr, Manager Hauptstr 95 99439 Neumark, Germany The administrator can be contacted at: Wilhelm Wienberg Peterstr. 1 99084 Erfurt, Germany MUSTAFA TOPALOVSKI: Claims Registration Ends September 19 --------------------------------------------------------- Creditors of Mustafa Topalovski & Sohn GmbH have until Sept. 19 to register their claims with court-appointed provisional administrator Biner Bahr. Creditors and other interested parties are encouraged to attend the meeting at 9:30 a.m. on Oct. 27 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 Bonn Hall S 2.22 2. Stick William Route 21 53111 Bonn, 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 Bonn opened bankruptcy proceedings against Mustafa Topalovski & Sohn GmbH on Aug. 8. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be contacted at: Mustafa Topalovski & Sohn GmbH Attn: Mustafa Topalovski, Manager Endenicher Str. 324 53121 Bonn, Germany The administrator can be contacted at: Dr. Biner Bahr Bundeskanzlerplatz 2-10 53113 Bonn, Germany Tel: 0228-9727121 Fax: 02289727122 NOP2020 VERWALTUNGS: Claims Registration Ends September 15 ---------------------------------------------------------- Creditors of NOP2020 Verwaltungs-AG have until Sept. 15 to register their claims with court-appointed provisional administrator Rolf Sperling. Creditors and other interested parties are encouraged to attend the meeting at 8:00 a.m. on Oct. 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 Wolfratshausen Meeting Room 3/I Station Route 18 Wolfratshausen, 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 Wolfratshausen opened bankruptcy proceedings against NOP2020 Verwaltungs-AG on Aug. 4. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be contacted at: NOP2020 Verwaltungs-AG Finsterwalder Ring 10 82515 Wolfratshausen, Germany The administrator can be contacted at: Rolf Sperling Loisach Ufer 23 82515 Wolfratshausen, Germany NRWBEST GMBH: Claims Registration Ends September 15 --------------------------------------------------- Creditors of NRWbest GmbH have until Sept. 15 to register their claims with court-appointed provisional administrator Winfrid Andres. Creditors and other interested parties are encouraged to attend the meeting at 8:30 a.m. on Oct. 6 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 Duesseldorf Area A 341 3rd Floor Muehlenstrasse 34 40213 Duesseldorf, 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 Duesseldorf opened bankruptcy proceedings against NRWbest GmbH on Aug. 3. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be contacted at: NRWbest GmbH Berliner Avenue 61 40212 Duesseldorf, Germany Attn: Dr. Harald Adolphs, Manager Von-Ossietzky-Ring 41 45279 Essen, Germany The administrator can be contacted at: Dr. Winfrid Andres New Customs Office 3 40221 Duesseldorf, Germany PHOTRONICS INC: Earns US$4.6 Million in Quarter Ended July 30 ------------------------------------------------------------- Photronics Inc.'s net income for the third quarter of fiscal 2006 ended July 30, 2006 amounted to US$4.6 million, compared to the prior year's third quarter net income of US$14.8 million. Net income for the third quarter of 2006 included a charge of US$1.8 million after tax in connection with the restructuring of the Company's operations in North America. Sales for the quarter were US$108.2 million, down 5.9%, compared to US$114.9 million for the third quarter of 2005. Semiconductor photomasks accounted for US$87.2 million or 80.6% of revenues during the third quarter of fiscal 2006, while sales for flat panel display photomask sets accounted for US$21 million or 19.4%. Net income for the first nine months of fiscal 2006 amounted to US$19.5 million, compared to the prior year's first nine months net income of US$29.9 million. Sales for the first nine months of 2006 were US$339.6 million, up 3.2% from the US$329 million for the first nine months of fiscal 2005. Semiconductor photomasks accounted for US$264.5 million or 77.9% of revenues during the first nine months of fiscal 2006, while sales for FPD photomask sets accounted for US$75.1 million or 22.1%. A market driven slowdown in FPD business impacted the Company's performance during the quarter. In the semiconductor business, the Company's performance was largely in line with expectations across all three regions it serves, as the Photronics team continues to execute the Company's strategic plan," commented Michael J. Luttati, Chief Executive Officer. "We expect conditions in our FPD business to begin improving over the next several months and are already seeing signs of improvement. Furthermore, we were encouraged that even in this difficult environment, Photronics outperformed its competitors, gaining market share by leveraging our unique technology and service leadership advantage. It is this type of performance which illustrates how our global team has embraced the strategic priorities of profitable technology leadership; tighter global integration and market share leadership. We remain committed to achieving these goals." Photronics, Inc. -- http://www.photronics.com/-- is a worldwide manufacturer of photomasks. Photomasks are high precision quartz plates that contain microscopic images of electronic circuits. A key element in the manufacture of semiconductors and flat panel displays, photomasks are used to transfer circuit patterns onto semiconductor wafers and flat panel substrates during the fabrication of integrated circuits, a variety of flat panel displays and, to a lesser extent, other types of electrical and optical components. They are produced in accordance with product designs provided by customers at strategically located manufacturing facilities in Asia, Europe, and North America. In Europe, the company maintains operations in Dresden, Germany and Manchester, UK. * * * Photronics carry Moody's B1 rating and Standard & Poor's BB- Corporate Credit Rating. PORTRAIT CORP: Files Chapter 11 Petition in New York ---------------------------------------------------- Portrait Corp. of America Inc., filed a Chapter 11 bankruptcy petition with Southern District of New York in White Plains after reaching an agreement with some of its bondholders, Charlotte Business Journal reports. The bondholders started to negotiate with Portrait Corp. on steps to avoid liquidation. Those bondholders would become the Company's equity holders if Judge Adlai S. Hardin Jr. approved a proposed restructuring plan. According to Business Journal, the Company expects to eliminate 75% of its debt and US$30 million in annual interest payments. Portrait Corp. has experienced financial problems for some time, including default on some notes and unpaid bills to vendors. It lost US$34.4 million in 2005 and US$29.7 million in 2004. Portrait Corp. Chief Executive David Alexander, in an interview with Business Journal, said: "After several months of productive dialogue between our major creditors and our equity holders, we have achieved an agreement that will make PCA a much stronger company." Mr. Alexander added: "We enter restructuring in a unique position in that our key lenders are already on board with our plan." In June, Portrait Corp. reported it has hired separate restructuring teams to advise it and the holders of about US$165 million of its bond debt. Portrait Corporation of America, Inc., provides professional portrait photography products and services to children, adults and families in North America. The Company operates portrait studios within Wal-Mart stores and Supercenters in the United States, Canada, Mexico, Germany and the United Kingdom. The Company also operates a modular traveling business providing portrait photography services in additional retail locations and to church congregations and other institutions. Going Concern Doubt Eisner LLP raised substantial doubt about Portrait Corp. of America, Inc.'s ability to continue as a going concern after auditing the Company's consolidated financial statements for the year ended Jan. 29, 2006. The auditor pointed to the Company's substantial net loss, negative working capital, stockholders' deficiency, default of certain obligations, which were due on June 15, 2006, and insufficient liquidity to meet those obligations. PORTRAIT CORP: Case Summary & 29 Largest Unsecured Creditors ------------------------------------------------------------ Debtor: Portrait Corporation of America, Inc. fka PCA International, Inc. 815 Matthews-Mint Hill Road Matthews, NC 28105 Bankruptcy Case No.: 06-22541 Debtor-affiliates filing separate chapter 11 petitions: Entity Case No. ------ -------- American Studios, Inc. 06-22542 Hometown Threads LLC 06-22543 PCA Photo Corporation of Canada, Inc. 06-22544 PCA Finance Corp. 06-22545 PCA LLC 06-22546 PCA National LLC 06-22547 PCA National of Texas LP 06-22548 Photo Corporation of America, Inc. 06-22549 Type of Business: The Debtors' core business is in retail portrait photography. Their automated film laboratory processes more than 130 million portraits annually for more than seven million customers. The Debtors are the exclusive portrait providers for Wal-Mart stores, and operate studios in more than 3,000 Wal-Mart store locations in the United States, Canada, Germany, United Kingdom and Mexico. See http://pcaintl.com/ Chapter 11 Petition Date: August 31, 2006 Court: Southern District of New York (White Plains) Judge: Adlai S. Hardin Jr. Debtors' Counsel: John H. Bae, Esq. Cadwalader Wickersham & Taft LLP One World Financial Center New York, NY 10281 Tel: (212) 504-6013 Fax: (212) 504-6666 http://www.cadwalader.com/ Counsel for Debtors' Outside Directors: Kirkland & Ellis LLP Citigroup Center 153 East 53rd Street New York, NY 10022-4611 Tel: (212) 446-4800 Fax: (212) 446-4900 http://www.kirkland.com/ Debtors' Restructuring Accountants: Mesirow Financial Consulting, LLC 350 North Clark Street Chicago, IL 60610 Tel: (312) 595-6000 Fax: (312) 595-4246 https://www.mesirowfinancial.com/ Debtors' Financial Advisor and Investment Banker: Berenson & Company LLC 667 Madison Avenue New York, NY 10021 Tel: (212) 935-7676 Fax: (212) 935-1499 http://www.berensonco.com/ Debtors' Claims, Noticing and Balloting Agent: Bankruptcy Services LLC 757 Third Avenue 3rd Floor New York, NY 10017 Tel: (646) 282-2500 Fax: (646) 282-2501 http://www.bsillc.com/ Debtors' financial condition as of July 30, 2006: Total Assets: US$153,205,000 Total Debts: US$372,124,000 Debtors' Consolidated List of its 29 Largest Unsecured Creditors: Entity Nature of Claim Claim Amount ------ --------------- ------------ The Bank of New York Trust Indenture Trustee US$165,000,000 Company, N.A. Corporate Trust - Default Administration Group 101 Barclay Street - 8W New York, NY 10286 c/o Stuart Kratter Tel: (212) 815-5466 Fax: (212) 815-5131 Goldman Sachs & Co. Noteholder US$42,475,000 85 Broad Street New York, NY 10004 c/o Matt Brenner Tel: (212) 902-8184 Whippoorwill Associates, Inc. Trade US$22,782,655 Assignee of AgfaPhoto USA Corp. 11 Martine Avenue, 11th Floor White Plains, NY 10004 c/o Steven Gendal Tel: (914) 683-1002 Wal-Mart Stores, Inc. Rent/Royalty US$5,078,952 702 Southwest 8th Street Bentonville, AR 72716 c/o Michael Li Tel: (479) 204-6574 Callisto Corporation Trade US$681,291 182 West Central Street Suite 101 Natick, MA 01760 c/o Mike Barta Tel: (508) 655-3311 Fax: (508) 650-4626 PBM Graphics, Inc. Trade US$429,871 3700 Miami Boulevard Durham, NC 27703 c/o Gary Pegram Tel: (919) 595-7611 Fax: (919) 595-7929 Travelers Indemnity Company Trade US$413,664 P.O. Box 91287 Chicago, IL 60693-1287 c/o Brian Tanasi Tel: (860) 277-7932 Walsworth Publishing co. Trade US$388,041 P.O. Box 412034 Kansas City, MO 64141-2034 c/o Rich Bond Tel: (866) 369-2646 Fax: (660) 376-3269 Eisner LLP Trade US$355,000 750 Third Avenue New York NY 10017-2703 c/o Nicholas Tsafos Tel: (212) 891-4128 National Print Group Inc. Trade US$334,427 P.O. Box 116424 Atlanta, GA 30368-6424 c/o Phillip L. Harris Tel: (423) 648-8803 Fax: (800) 624-0408 Photo Control Corp. Trade US$280,483 4800 Quebec Avenue Minneapolis, MN 55428 c/o Doug Waldoch Tel: (763) 537-3601 Fax: (763) 537-2852 Global Crossing Telecom. Trade US$225,724 Strategic Flooring Services Trade US$168,656 Datamail Inc. Trade US$156,073 Carolina Envelope Trade US$137,645 Sony Electronics/B&P Trade US$136,600 Dell Corporation Trade US$117,412 Reliance Deductible Recovery Trade US$114,098 Lee Wayne Corp. Trade US$110,243 Denny Manufacturing Co., Inc. Trade US$107,986 Robinson, Bradshaw & Hinson PA Trade US$107,311 Dell Financial Services Inc. Trade US$92,493 IBM Corporation Trade US$89,715 C.L. Rabb, Inc. Trade US$89,189 VAResources, Inc. Trade US$88,810 Sunbelt Trade US$83,369 Granite Trade US$82,854 J L & S Woodworking Inc. Trade US$82,132 Amglo Kemlite Trade US$73,403 PORTRAIT CORP: Sees 75% Debt Cut Upon Chapter 11 Emergence ---------------------------------------------------------- Portrait Corporation of America, Inc., reached a voluntary, consensual agreement with its key lenders to file a pre- negotiated Chapter 11 restructuring plan, on Aug. 31, 2006, in order to keep the company operationally strong and viable. The plan will simplify the company's capital structure, and upon court approval of the Chapter 11 plan, certain bondholders will become equity holders. The company anticipates that due to the positive nature of the consensual agreement that the Chapter 11 process will not be a lengthy process but one measured in months. This process creates an orderly court protected process and, upon confirmation of the plan will eliminate over 75% of the company's debt, strengthening PCA's competitive position. "After several months of productive dialogue between our major creditors and our equity holders we have achieved an agreement that will make PCA a much stronger company," R. David Alexander, Chairman and CEO, said. "We enter restructuring in a unique position in that our key lenders are already on board with our plan. Operationally we are focused on producing strong fall results and with the elimination of over $30 million in annual interest we will now have the resources to truly compete. I want our customers to know that they can trust us to deliver the quality product they're accustomed to and they will continue to be able to count on us for even more choices and new products. We appreciate the support we have received from all parties concerned, particularly our own associates. We believe that this restructuring provides a very bright future for our company." Islam Zughayer from Berenson & Company is PCA's financial advisor, and John Bae from Cadwalader, Wickersham & Taft LLP is PCA's legal advisor. About Portrait Corp. Based in Matthews, North Carolina, Portrait Corporation of America, Inc. - http://pcaintl.com/-- provides professional portrait photography products and services to children, adults and families in North America. The Company operates portrait studios within Wal-Mart stores and Supercenters in the United States, Canada, Mexico, Germany and the United Kingdom. The Company also operates a modular traveling business providing portrait photography services in additional retail locations and to church congregations and other institutions. Portrait Corporation and eight subsidiaries filed for chapter 11 protection on Aug. 31, 2006 (Bankr. S.D.N.Y. Case No. 06-22541). John H. Bae, Esq., Cadwalader Wickersham & Taft LLP represent the Debtors' in their restructuring efforts. Lawyers from Kirkland & Ellis LLP represent the Debtors' outside directors. Mesirow Financial Consulting, LLC, is the Debtors' restructuring accountants. Berenson & Company LLC gives financial advice to the Debtors. Going Concern Doubt As reported in the Troubled Company Reporter on June 28, 2006, Eisner LLP raised substantial doubt about Portrait Corporation of America, Inc.'s ability to continue as a going concern after auditing the Company's consolidated financial statements for the year ended Jan. 29, 2006. The auditor pointed to the Company's substantial net loss, negative working capital, stockholders' deficiency, default of certain obligations, which were due on June 15, 2006 and insufficient liquidity to meet those obligations. ============= F I N L A N D ============= METSO CORP: Completes Purchase of Paper Machine Maker in China --------------------------------------------------------------- Metso Paper has received relevant regulatory approvals from the Chinese authorities for the acquisition of Shanghai-Chenming Paper Machinery Co. Ltd agreed in February 2006. The entire share capital of the company was transferred to Metso as of Aug. 31, 2006. The debt-free purchase price and the investments related to the development of the unit total about EUR35 million. The company was previously owned by Shandong Chenming and Shanghai Heavy Machinery. The acquired company, operating from now on under the name of Metso Paper Technology (Shanghai) Co. Ltd., comprises a workshop, a foundry and a design department. The unit is located in the Shanghai area in Jiading and it employs around 550 people. The unit will mainly concentrate on manufacturing paper and board machine sections for Metso Paper's delivery projects in China. However, the plant already has the capability to manufacture a major part of a conventional linerboard machine for the Chinese market. The unit can also supply some components for projects outside of China, which will strengthen Metso's global sourcing. The Shanghai unit will further strengthen Metso Paper's capabilities to serve the fast growing Chinese paper industry and will simultaneously open new opportunities to serve also markets outside of China. Metso Paper also has a joint venture company, Valmet-Xian Machinery Co. Ltd. in China. Valmet-Xian employs approximately 1,110 people and focuses on small and medium size paper and board machines. Metso owns 48.3% of the joint venture. Headquartered in Helsinki, Finland, Metso Corporation -- http://www.metso.com/-- is a global engineering and technology corporation with 2005 net sales of approximately EUR4.2 billion. Its 22,000 employees in more than 50 countries serve customers in the pulp and paper industry, rock and minerals processing, the energy industry and selected other industries. * * * The Company's 5-1/8% Senior Notes due 2009 carry Moody's Investors Service's Ba1 rating and Standard & Poor's BB rating. ========= I T A L Y ========= ARES FINANCE: S&P Affirms BB Rating on Class E Notes ---------------------------------------------------- Standard & Poor's Ratings Services raised its credit ratings on the class C and D notes issued by ARES FINANCE 2 S.A. At the same time, the class C notes were removed from CreditWatch with positive implications where they were placed on June 9, and the rating on the class E notes was affirmed. The notes issued by ARES FINANCE 2 are ultimately backed by a pool of secured and unsecured nonperforming loans originated in Italy by Banca Nazionale del Lavoro S.p.A. The servicer for this transaction is Societa Gestione Crediti S.p.A. The portfolio adviser is Archon Group Italia S.r.l., which has a Standard & Poor's special servicer ranking of ABOVE AVERAGE. The upgrades reflect the ongoing deleveraging of the transaction and the composition of the residual portfolio. Cumulative net collections for the transaction (EUR545.1 million as of July 24) are below the servicer's and Standard & Poor's base case. A moderately higher than expected profitability (101.5% of the revised business plan) and the favorable interest rate environment have limited the impact of the higher costs related to the notes' amortization, which has been slower than expected. The underlying portfolio continues to advance through the legal stages of the resolution process. A large share (68%) of the residual gross book value is currently in the distribution phase. This is because of the ongoing servicing of the portfolio and the gradual accumulation of loans for which cash is expected to be distributed by the courts. As of the last available report, cash awaiting distribution from the courts totaled EUR46.2 million. According to the servicer's experience, distribution from courts takes on average around one year for foreclosures, and 18 months for bankruptcy proceedings. In terms of resolution strategy, recent reports show an increasing reliance on court resolutions (cash from closed out- of-court resolutions in the last two collection periods was negligible). This is consistent with the residual portfolio's concentration in the later stages of the resolution process, which reduces the incentive to close out-of-court resolutions. This trend is expected to continue. There has been no evidence in the residual portfolio of adverse selection; the current geographical and asset-type composition does not substantially differ from that of the closing pool. Any upgrade potential on the class E notes is currently limited by the fact that the liquidity facility cannot be used to cover interest shortfalls on these notes. Standard & Poor's used a cash flow model to assess the impact on the notes of the residual pool's resolution in terms of its composition, security of the underlying positions, loan status in the recovery process, and the special servicer's performance. Standard & Poor's will continue to closely monitor the performance of the servicing activity in terms of speed and profitability of court resolutions, and the overall composition of the residual portfolio. Ratings List ARES FINANCE 2 S.A. EUR684.9 Million Asset-Backed Floating-Rate Notes Class Rating ----- ------ To From -- ---- Rating Raised And Removed From CreditWatch C AAA A/Watch Pos Rating Raised D A- BBB Rating Affirmed E BB BB ALITALIA SPA: Improves July Traffic Operations ---------------------------------------------- Alitalia S.p.A. released its traffic figures for July 2006. In July 2006, Alitalia posted an overall positive performance. Alitalia carried 2.3 million passengers, up 0.6% compared to the previous year. Traffic, measured in Revenue Passenger Kilometers, increased 0.9% despite the fact that the capacity, measured in Available Seat Kilometers, decreased by 0.9%. The load factor grew 1.5 percentage points reaching 79.3%. July 2006 traffic increase in traffic also showed a slight increase in total network yields mainly caused by the positive performance achieved on intercontinental yields. Detailed comparisons with July 2005: -- Domestic Passenger Network: traffic was down 3.3% compared to last year while load factor increased by 2.3 percentage points to 69.3%; -- International Passenger Network: traffic was up 3.4% on a capacity increase of 1.9%, improving load factor by 1.1 percentage points to 76.4%; -- Intercontinental Passenger Network: long haul traffic was in line with last year's performance, up 0.5%, with load factor reaching 85.1%, up 1.2 points against last year. In July, Cargo, measured in Revenue Ton Kilometers, increased by 12.1%. Overall load factor decreased by 5.3 percentage points down to 59.9%. About Alitalia Headquartered in Rome, Italy, Alitalia S.p.A. -- http://www.alitalia.it/-- generates around EUR4.8 billion in annual revenue and employs more than 11,000 people. Alitalia flies to about 80 destinations in more than 60 countries from hubs in Rome and Milan and operates a fleet of about 185 aircraft. The Italian government owns 49.9% of Alitalia. Despite a EUR1.4 billion state-backed restructuring in 1997, Alitalia posted net losses of EUR256 million and EUR907 million in 2000 and 2001 respectively. Alitalia registered EUR93 million in net profits in 2002 after a EUR1.4 billion capital injection. The carrier booked consecutive annual net losses of EUR520 million in 2003, EUR813 million in 2004, and EUR168 million in 2005. ALITALIA SPA: Hikes Net Debt to EUR909 Million in July 2006 ----------------------------------------------------------- Alitalia S.p.A. released its debt figure for the month ended July 31, 2006. The release was in compliance with instructions from Italy's Securities and Exchange Commission (CONSOB). Data regarding current portions of amounts falling due within twelve months are no longer classified under medium-/long-term indebtedness, but now form part of data relating to short-term financial debt. These observations on the most important changes that have taken place during the two periods in question refer to the situation for the Group. However, given the preponderance of Alitalia within the whole Group, these observations are in fact representative of the parent company's performance alone. -- the Group's net debt as of July 31, 2006, amounted to EUR909 million, showing an increase in net indebtedness of EUR13 million (+1.5%) compared to the situation on June 30, 2006, announced on July 26, 2006. -- the net debt of the parent company Alitalia including short-term net financial credits for subsidiaries on July 31, 2006, amounted to EUR872 million in line (+0.2%) Compared to the situation on June 30, 2006. -- the Group's cash-to-hand and short-term financial credits as of July 31, 2006 amounted to EUR862 million while the parent company Alitalia as of the same date amounted to EUR907 million. It should be noted that as of July 31, 2006, there were several leasing contracts at the Group level (referring almost entirely to fleet aircraft mostly held by the parent company amounting to EUR144 million) whose capital share, including lease closure value, amounted to EUR160 million, of which EUR24 million represent the current capital share falling due within 12 months of the reference date, with EUR22 million held by the parent company. By comparison, the same figure as of June 30, 2006, amounted to EUR164 million, of which EUR27 million falling due in the twelve months from the reference date; the corresponding figures for the parent company on June 30, 2006, amounted to EUR148 and EUR24 million respectively. It should also be noted that existing debts to banks are almost entirely backed up by real guarantees (mortgages on aircraft) or by personal guarantees (mainly guarantees issued by banks for export credit). The relative financing contracts contain standard legal clauses relating to withdrawal. None of the contracts refer to specific requirements regarding assets or economic/financial aspects, in order to maintain the credit line. During July 2006, repayments were made of medium/long-term financing amounting to about EUR3 million. Regarding debts of a financial, fiscal and social welfare nature, there were no outstanding sums or payment irregularities on July 31, 2006, both for the parent company and for the other companies in the Group. As far as debts of a commercial nature are concerned, there were no outstanding sums or payment irregularities on July 31, 2006, both for the parent company and for other Group companies, except for those relating to disputed situations. Regarding the latter, there were outstanding sums owed to some airport management companies for disputed debts amounting to a total of EUR86 million on July 31, 2006. In addition, decisions are still pending for the petitions filed by Alitalia regarding: -- nine injunctions issued by an airport management company for a total of about EUR12.1 million (4 decrees); -- a further injunction has been issued by an IT services supplier for about EUR812,000 (1 decree); -- another injunction has been issued by a professional studio for EUR534,000; -- a contractor for restructuring work has issued an injunction for about EUR635,000; and -- there are injunctions issued by two suppliers for a total of around EUR40,000. Except for the above, there are no other injunction orders or executive actions undertaken by creditors notified as of July 30, 2006, nor are there any threats by suppliers to suspend operations. About Alitalia Headquartered in Rome, Italy, Alitalia S.p.A. -- http://www.alitalia.it/-- generates around EUR4.8 billion in annual revenue and employs more than 11,000 people. Alitalia flies to about 80 destinations in more than 60 countries from hubs in Rome and Milan and operates a fleet of about 185 aircraft. The Italian government owns 49.9% of Alitalia. Despite a EUR1.4 billion state-backed restructuring in 1997, Alitalia posted net losses of EUR256 million and EUR907 million in 2000 and 2001 respectively. Alitalia registered EUR93 million in net profits in 2002 after a EUR1.4 billion capital injection. The carrier booked consecutive annual net losses of EUR520 million in 2003, EUR813 million in 2004, and EUR168 million in 2005. WIND TELECOMUNICAZIONI: Fitch Keeps B+ Issuer Default Rating ------------------------------------------------------------ Fitch Ratings changes Wind Wind Telecomunicazioni S.p.A.'s Outlook to Positive from Stable and affirmed its Issuer Default rating at B+. Fitch also affirmed Wind's first priority senior secured facilities: BB/RR2, Wind Finance SL S.A.'s second lien notes: BB/RR2 and Wind Acquisition Finance S.A.'s EUR1.5 billion senior notes at B+/RR4. The Positive Outlook reflects Wind's positive revenue, earnings and cash generative momentum and the clear commitment to debt reduction as evidenced by early amortization of the first priority senior secured facilities to date. It also reflects Fitch's expectation that further early repayment is probable. Early repayment of the company's senior debt strengthens the recovery prospects for the more junior classes of creditor. Fitch believes that Wind has achieved the momentum that will drive debt and leverage to a level consistent with a higher rating within the next 18 months and will monitor the performance of the business in the coming months. * Fitch Rates Taranto City's Long-Term Foreign Currency at BB+ -------------------------------------------------------------- Fitch ratings published the Italian city of Taranto Long-term foreign and local currency ratings of BB+ and a Short-term rating of F3. The Long-term rating Outlooks are Positive. The action affects approximately EUR320 million long-term and EUR25 million short-term debt outstanding at end-2005 as well as future borrowings. The ratings reflect Taranto's poor financial management, which has led to a weak budget, liquidity strains, high debt burden, and recently, to intervention by the government. On the other hand, the ratings take into account the supportive regulatory control framework for Italy's local governments and the treasury bank commitment to roll over short-term liquidity needed to allow timely direct-debt service. The Positive Outlook reflects the intention of the city to sell property assets to cover the fund balance deficit of about EUR190 million. Rating upside may also stem from tariff and tax increases that will contribute to restoring and consolidating the operating balance so that annual debt service requirements are paid without systematic recourse to preferential payments. Low tax collection rates and lax spending procedures have resulted in a gradual accumulation of off-balance sheet liabilities and a fund balance deficit of about EUR190 million at end-2005, with subsequent persistent revenue/expenditure mismatches. Taranto's ability to timely serve its debt has been therefore crucially underpinned by the recourse to preferential payment mechanisms. The national legislation provides local and regional governments with the tools to segregate the liquidity needed to repay personnel expenditures, basic services and debt installments when they come due in a context of liquidity tension. The treasury bank commitment to advance to the city liquidity lines up to 25% of the operating revenues (accounting for about EUR140 million) helps to make up for liquidity shortfall. Improvement of the tax collection rates yielded an operating margin of about 15% of the operating revenues in 2004/2005, up from a deficit in 2001. However, the operating margin remains insufficient to cover debt service requirements of about EUR25 million per year, which account for 20% of the operating revenues. While cuts in spending for personnel and public service can help control future cost dynamics, revenue-enhancing measures, such as increasing the very low fees and tariffs on municipal services, remain key to boosting the operating margin further. Operating deficits and capital spending on urban renovations drove Taranto's long-term direct debt to about EUR320 million at end-2005, accounting for about 210% of the operating revenues, up from about EUR200 million five years ago. However, restraints of capital spending, as well as sales of real estate properties and stakes in municipal companies, should limit future financing requirements and cover the fund balance deficit. Taranto was placed under state tutorship in March 2006 following the mayor's resignation and the municipality's financial stress. The tutorship of the state is considered as positive by Fitch as it should allow for stricter control over the city's finances. Taranto has about 200,000 inhabitants and is located in Southern Italy. It has a GDP per capita of about EUR15,000, which is 20% lower than the EU25 average and a 17% unemployment rate. The shadow economy, estimated to account for almost 20% of official GDP, largely mitigates Taranto's below-EU average economic wealth indicators. Fitch will closely monitor the development of Taranto's finances. =================== K A Z A K H S T A N =================== AKRAB- KOMHOZ: Aktube Court Opens Bankruptcy Proceedings -------------------------------------------------------- The Specialized Inter-Regional Economic Court of Aktube Region commenced bankruptcy proceedings against JSC Akrab- Komhoz on July 17. AN I K: Almaty Court Begins Bankruptcy Proceedings -------------------------------------------------- The Specialized Inter-Regional Economic Court of Almaty commenced bankruptcy proceedings against LLP An I K on July 4. Creditors must submit written proofs of claim at: LLP An I K Taugul-3, 138 Almaty, Kazakhstan Tel: 8 (3332) 23-07-71 AYAN: Almaty Court Commences Bankruptcy Proceedings --------------------------------------------------- The Specialized Inter-Regional Economic Court of Almaty commenced bankruptcy proceedings against LLP Ayan on July 3. Creditors must submit written proofs of claim at: LLP Ayan Taugul-3, 138 Almaty, Kazakhstan Tel: 8 (3332) 23-07-71 JYGER COMPANY: Kostanai Court Starts Bankruptcy Procedure --------------------------------------------------------- The Specialized Inter-Regional Economic Court of Kostanai Region commenced bankruptcy proceedings against LLP Jyger Company on July 18. The Specialized Inter-Regional Economic Court of Kostanai Region can be reached at: Baitursynov Str. 70 Kostanai Kostanai Region Kazakhstan MUNAIGAZSERVIS: Mangistau Court Opens Bankruptcy Proceedings ------------------------------------------------------------ The Specialized Inter-Regional Economic Court of Mangistau Region commenced bankruptcy proceedings against LLP Munaigazservis. The Specialized Inter-Regional Economic Court of Mangistau Region can be reached at: Building of Former Kindergarten 51 Micro District 27 Aktau Mangistau Region Kazakhstan TAZA-KALA-ASSA: Jambyl Court Begins Bankruptcy Proceedings ---------------------------------------------------------- The Specialized Inter-Regional Economic Court of Jambyl Region commenced bankruptcy proceedings against LLP Taza-Kala-Assa on June 27. Creditors have until Sept. 22 to submit written proofs of claim at: LLP Taza-Kala-Assa Momyshuly Side Street, 8-1 Str.4 Taraz Jambyl Region Tel: 8 (3262) 31-61-03 TRANSTORGSTROI: Aktube Court Commences Bankruptcy Proceedings ------------------------------------------------------------- The Specialized Inter-Regional Economic Court of Aktube Region commenced bankruptcy proceedings against LLP Transtorgstroi on July 18. ZERENDINSKAYA AGROPROMTEHNIKA: Creditors' Claims Due Sept. 22 ------------------------------------------------------------- The Specialized Inter-Regional Economic Court of Akmola Region declared OJSC Zerendinskaya Agroindustrial Technics Zerendinskaya Agropromtehnika insolvent on June 23. Creditors have until Sept. 22 to submit written proofs of claim to: OJSC Zerendinskaya Agropromtehnika Auelbekova Str. 139a-228 Kokshetau Akmola Region Kazakhstan Tel: 8 (3162) 25-79-32 =================== K Y R G Y Z S T A N =================== AK-BULA: Public Auction Scheduled for Sept. 8 --------------------------------------------- The bidding organizer and insolvency manager of JSC Ak-Bula will auction the company's assets at 10:00 a.m. on Sept. 8 at: JSC AK-Bula Industry Zone Tokmok, Kyrgyzstan The sale will include 30 of the Debtor's properties comprising of: -- buildings, -- a main production base, -- transfer devices, -- warehouses, -- a cafe, -- stand-by reservoir, and -- a heating and high-voltage network. Interested bidders have until 12:00 noon on Sept. 6 to deposit an amount equivalent to 10% of the starting price to the cashier of JSC Ak-Bula. Participants may submit their bids at: JSC Ak-Bula Industry Zone Tokmok, Kyrgyzstan Tel: (+996 3138) 5-16-99 (0-502) 32-70-64 ===================== N E T H E R L A N D S ===================== HELIX CAPITAL: Fitch Junks EUR44-Mln Series 2002-12C Notes ---------------------------------------------------------- Fitch Ratings upgraded HELIX Capital's (Netherlands) Series 2002-12A and 2002-12B. In addition, the agency affirmed Series 2002-12C and upgraded the Distressed Recovery Rating. -- EUR40,000,000 Series 12A (ISIN XS0144702718) upgraded to AA+ from AA; -- EUR44,000,000 Series 12B (ISIN XS0144703872) upgraded to BBB- from BB; and -- EUR44,000,000 Series 12C (ISIN XS0144704094) affirmed at CCC; Distressed Recovery rating upgraded to DR2 from DR3. The upgrades of Series 1002-12A and 2002-12B are due to increased seasoning of the portfolio, which has resulted in lower credit enhancement requirements due to the limited time to maturity in August 2007. Since Fitch's review in October 2005, the credit quality has slightly deteriorated although this has been offset by the increased seasoning. The Weighted Average Fitch Factor has remained within the BBB rating category, although it has deteriorated slightly to 5.32 from 4.99 last year. Twenty-one names are speculative-grade names compared to 19 in October 2005. Although there have been no losses incurred for the Series 12C notes to date, any future credit events would likely result in impairment of this tranch. Despite this, under a mild stress scenario, recovery projections have improved since the DR rating was assigned in 2005 due to the limited time to maturity. Helix Capital (Netherlands) B.V. is a special purpose vehicle incorporated with limited liability under the laws of the Netherlands. Through a credit default swap Helix Capital provides protection to Bank of America, N.A. on a EUR1.795 billion reference portfolio containing 125 corporate reference entities (128 at closing date) and two collateralized debt obligations. The value of the portfolio was EUR1.830 billion at the time of its issue in June 2002. Following three credit events on Worldcom, TXU Europe and Solutia the credit enhancement has been reduced from 1.94% to 0.38%. HELIX CAPITAL: Fitch Junks EUR75-Mln Series 2001-5 Notes -------------------------------------------------------- Fitch Ratings upgraded Helix Capital (Netherlands) B.V.'s EUR25 million Series 2001-5a to AAA from AA and affirmed EUR75 million Series 2001-5 at CCC. The Recovery rating for Series 2001-5 is affirmed at DR1. The upgrade of the Series 2001-5a notes is due to increased seasoning of the portfolio, which has resulted in lower required credit enhancement levels. The transaction will mature in November of this year. While there has been a slight negative credit migration in the portfolio, the impact of seasoning has more than offset this decline resulting in the above upgrade. The credit quality has slightly deteriorated with 25 speculative-grade names compared to 21 in the review in November 2005. The notional value of the portfolio has decreased since issue to EUR1.15 billion from EUR1.2 billion following credit events on Teleglobe, British Energy, Solutia, Mirant and Delphi (The final recovery rate for Delphi is 53.57%). These losses have exceeded the attachment point of the Series 2001-5 notes, resulting in EUR12.5 million of losses to date. Due to the limited time to maturity and relatively favorable recovery prospects, Fitch has affirmed both the long term rating at CCC as well as the Distressed Recovery Rating on Series 2001- 5 at DR1. Helix is a special purpose vehicle incorporated with limited liability under the laws of the Netherlands. Through a credit default swap Helix provides protection to Bank of America, N.A. on a EUR1.2 billion reference portfolio containing 115 reference entities (120 at closing date). JUBILEE CDO: Moody's Rates EUR17-Mln Class E Notes at Ba3 --------------------------------------------------------- Moody's assigned these definitive long-term ratings to the Notes issued by Jubilee CDO VI B.V. a Dutch special purpose company: -- EUR100 million Class A1-a Senior Secured Floating Rate Notes: Aaa; -- EUR25 million Class A1-b Senior Secured Floating Rate Notes: Aa1; -- EUR112.5 million Class A2-a Senior Secured Floating Rate Notes: Aaa; -- EUR12.5 million Class A2-b Senior Secured Floating Rate Notes: Aa1; -- EUR13 million Class A3 Senior Secured Floating Rate Notes: Aaa; -- EUR32 million Class B Senior Secured Floating Rate Notes: Aa2; -- EUR27 million Class C Senior Secured Deferrable Floating Rate Notes: A2; -- EUR21 million Class D Senior Secured Deferrable Floating Rate Notes Notes: Baa3; -- EUR17 million Class E Senior Secured Deferrable Floating Rate Notes: Ba3; -- EUR12 million Class P Combination Notes: Baa3; -- EUR3.15 million Class Q Combination Notes: Baa3; -- EUR3 million Class R Combination Notes: Baa3; and -- EUR6 million Class S Combination Notes: Baa1. The EUR40 million Class F Subordinated Notes were issued but is not rated by Moody's. The ratings of the Class A, B, C, D and E Notes address the expected loss posed to investors by the legal final maturity (Sept. 20, 2022). The ratings of the Class P Combination Notes, Class Q Combination Notes and Class R Combination Notes address the expected loss posed to investors by the legal final maturity (Sept. 20, 2022) as a proportion of the Rated Balance, where the Rated Balance is equal, at any time, to the principal amount of the Combination Notes on the closing date minus the aggregate of all payments made from the closing date to such date, either through interest or principal payments. The ratings of the Class S Combination Notes address the expected loss posed to investors by the legal final maturity (Sept. 20, 2022) as a proportion of the Rated Balance, where the Rated Balance is equal, at any time, to the principal amount of the Combination Notes on the closing date plus a Rated Coupon of 0.25% per annum minus the aggregate of all payments made from the closing date to such date, either through interest or principal payments. These definitive ratings are based upon: -- an assessment of the eligibility criteria and portfolio guidelines applicable to the future additions to the portfolio; -- the protection against losses through the subordination of the more junior classes of notes to the more senior classes of notes; -- The currency swap transactions, which insulate Jubilee CDO VI B.V. from the volatility of the foreign currency exchange rates, for Non-Euro denominated obligations; -- the expertise of Alcentra Limited as loan manager; and -- the legal and structural integrity of the issue. This transaction exposes investors to a portfolio of high yield loans and bonds related to mostly European corporate issuers in a total amount of app. EUR388 million. This portfolio is dynamically managed by Alcentra Limited. The portfolio has been partially acquired at the closing date and will be partially acquired during the ramp-up period in compliance with portfolio guidelines (which include, among other tests, a diversity score test, a weighted average rating factor test and a weighted average spread test). Thereafter, the portfolio of loans will be actively managed and the portfolio manager will have the option to direct the issuer to buy or sell loans. Any addition or removal of loans will be subject to a number of portfolio criteria. Moody's has applied its binomial expansion method to this transaction and reflected the expected payments in a cash flow model. The model takes into account the portfolio selection guidelines and most importantly the credit quality (measured through the rating factor, the recovery rate and the diversity score) as well as the expected average spread of the portfolio. Moody's ratings address only the credit risks associated with the transaction, other non-credit risks have not been addressed, but may have significant effect on yield to investors. Moody's ratings are subject to revision, suspension or withdrawal at any time at our absolute discretion. The ratings are expressions of opinion and not recommendations to purchase, sell or hold securities. =========== N O R W A Y =========== AKER KVAERNER Inks US$68-Mln Subsea Deal with Sonangol Pesquisa ---------------------------------------------------------------- Sonangol Pesquisa e Producao S.A. has signed a letter of intent with Aker Kvaerner for supply of the subsea production system at the Block 4/05 -- Gimboa field offshore Angola in West Africa. The total contract value for Aker Kvaerner is approximately US$68 million. The scope of work for Aker Kvaerner Subsea covers project management, engineering, manufacturing, testing, delivery and installation support for the Gimboa subsea production system. "We are proud to be awarded this contract with Sonangol, the national oil company of Angola, where we will use our already well-proven subsea production system technolog," says Raymond Carlsen, executive vice president of Aker Kvaerner Subsea. "This will be the first offshore field Sonangol is developing as operator and will further strengthen the already good relationship between the two companies. We consider this contract to be of strategic importance to the growth of our activity in Angola." Aker Kvaerner has a long track record of projects in Angola, and has built up a well-equipped base and supplier network to do a substantial part of the work in the country. The subsea equipment will be installed at a water depth of 700 meters at the Gimboa field about 80 km offshore the coast of Angola in West Africa. 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 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 is stable. OSLO REINSURANCE: Wants High Court to Approve Oct. 3 Hearing ------------------------------------------------------------ Oslo Reinsurance Company (U.K.) Limited and Oslo Reinsurance Company ASA applied to the High Court of Justice for a court hearing to be held on Oct. 3, 2006. The Scheme Companies asked permission from the Court to convene meetings of Scheme Creditors to consider and approve solvent scheme of arrangement to be proposed by the Scheme Companies pursuant to Section 425 of the Companies Act 1985. The primary objective of the Schemes is to conclude the run-off of the Scheme Companies earlier than would be the case if claims were left to mature in the normal course of business. At the hearing the Court will decide how many separate class meetings of Scheme Creditors the Scheme Companies must convene for the purpose of voting on the Schemes. Oslo Re ASA proposes to convene a single meeting of its Scheme Creditors. As Oslo Re ASA's business is pure reinsurance, it is considered that the rights of its Scheme Creditors should be sufficiently similar to enable them to consult together in a single class. Oslo Re U.K. proposes to convene two meetings of its Scheme Creditors: -- a meeting of Scheme Creditors in relation to their claim other than IBNR claims; and -- a meeting of Scheme Creditors in relation to their IBNR claims. As the Scheme of Oslo Re U.K. includes direct as well as reinsurance business, it is considered appropriate to separate creditors with IBNR claims into a separate class for voting on its Scheme. If any potential Scheme Creditor has concerns regarding the proposed constitution of classes, they should inform the Scheme Companies in writing, as soon as possible and in any event seven days prior to the date of the hearing so that their concerns can be drawn to the Court's attention. Scheme Creditors also have the right to attend the hearing for the purpose of making representations. Scheme Creditors who intends to do so should inform the Scheme Managers at least seven days prior to the date of the hearing. A copy of the letter containing further details on the proposed Schemes is available at: http://www.oslore.no/ The Scheme Managers can be reached at: Jan C. H. Endresen and Bjorn Morten Skordal Oslo Reinsurance Company ASA P.O. Box 1753 Vika. N-0122 Oslo, Norway Tel: +47 22 31 59 86 +47 22 31 28 91 Fax: +47 22 31 29 74 +47 22 31 29 00 E-mail: scheme.inquiries@oslore.no =========== P O L A N D =========== POZMEAT S.A.: Sokolow Submits Offer to Purchase Bankrupt Assets --------------------------------------------------------------- The creditors' council of ZM Pozmeat S.A. has approved the initial acquisition offer made by Sokolow, a subsidiary of Saturn Nordic Holding, for the bankrupt meat producer's assets, Puls Biznesu reports. Jan Kanecki, Pozmeat's bankruptcy officer, will negotiate the best possible conditions of the transaction in behalf of the Debtor. "We have offered our conditions. We are waiting for the creditors' decision. I believe that everything will be decided within a month," Jerzy Majchrzak, the director of the management bureau in Sokolow, told the paper. Headquartered in Poznan, Poland, ZM Pozmeat S.A. http://www.pozmeat.com.pl/english-- is a meat processing company. Pozmeat fell into liquidation in September 2004 after years of mudslinging between individual and corporate shareholders, which have traded accusations of over-investing, excessive debt, and obstruction of plans to improve the situation. Pozmeat owes creditors more than PLN90 million, the bulk of which is to BPH bank, one of the company's corporate shareholders. In 2003, the company booked PLN36 million in losses and PLN24 million in revenues. ============= R O M A N I A ============= BANC POST: Fitch Revises Outlook to Positive -------------------------------------------- Fitch Ratings revised Banc Post's rating Outlook to Positive, reflecting the Positive Outlook on its majority owner EFG Eurobank's ratings and also that the Country Ceiling is no longer a constraint. Banc Post's Issuer Default rating, Short- term, Individual and Support ratings are affirmed at BBB+, F2, D and 2. This action follows the upgrade of the Romanian IDR to BBB from BBB- and the simultaneous upgrade of the Country Ceiling to A- from BBB+. BANCA COMERCIALA: Fitch Lifts IDR to BBB- From BB+ -------------------------------------------------- Fitch Ratings upgraded Banca Comerciala Romana's Issuer Default Rating to BBB- from BB+, Short-term rating to F3 from B and the Support rating to 2 from 3. These rating changes result from the improved ability of the Romanian sovereign to provide support to BCR in case of need, and reflect the importance of BCR to the Romanian banking system. BCR's Individual rating is affirmed at C/D. BCR's IDR, Short- term and Support ratings remain on Rating Watch Positive pending completion of Erste Bank's (rated A) purchase of a majority stake in BCR. When this deal is completed, BCR's IDR, Short- term and Support ratings are likely to be upgraded. This action follows the upgrade of the Romanian Issuer Default rating to BBB from BBB- and the simultaneous upgrade of the Country Ceiling to A- from BBB+. BANCA TIRIAC: Fitch Affirms Individual Rating at D -------------------------------------------------- Fitch Ratings upgraded Banca Comerciala Ion Tiriac's Issuer Default Rating to A- from BBB+ and its Support rating to 1 from 2, following the upgrade of the Country Ceiling. The bank's Short-term rating is affirmed at F2 and Individual rating at D. Banca Tiriac's IDR, Short-term and Support ratings reflect the potential support available to it from its 50% plus one share owner, Bank Austria Creditanstalt (rated A) and being part of the UniCredit Italiano group (rated A+). The Outlook remains Stable. This action follows the upgrade of the Romanian IDR to BBB from BBB- and the simultaneous upgrade of the Country Ceiling to A- from BBB+. =========== R U S S I A =========== AGRO-IMPEX: Orel Court Starts Bankruptcy Supervision ---------------------------------------------------- The Arbitration Court of Orel Region commenced bankruptcy supervision procedure on CJSC Agro-Impex. The case is docketed under Case No. A48-2105/06-20b. The Temporary Insolvency Manager is: I. Maslov Leskova Str. 19 302027 Orel Region Russia The Arbitration Court of Orel Region is located at: Gorkogo Str. 42 302000 Orel Region Russia The Debtor can be reached at: CJSC Agro-Impex Ivanovskoye 303126 Orel Region Russia AGRO-SERVICE: Court Names L. Morskov as Insolvency Manager ---------------------------------------------------------- The Arbitration Court of Ivanovo Region appointed Mr. L. Morskov as Insolvency Manager for CJSC Agro-Service. The Court commenced bankruptcy proceedings against the company after finding it insolvent. The case is docketed under Case No. A176-1344/06-14B. L. Morskov Mekhanizatorov Str. 3 Yuzha 155630 Ivanovo Region Russia The Debtor can be reached at: CJSC Agro-Service Mekhanizatorov Str. 3. Yuzha Ivanovo Region Russia BAZARNO-KARABULAK-AGRO-PROM-KHIMIYA: Insolvency Manager Comes In ---------------------------------------------------------------- The Arbitration Court of Saratov Region appointed Mr. A. Bulgakov as Insolvency Manager for CJSC Bazarno-Karabulak-Agro- Prom-Khimiya (OGRN 1026400553740). He can be reached at: A. Bulgakov Post User Box 247 Sibirskiy Trakt 34 Kazan 420029 Tatarstan Republic Russia The Court commenced bankruptcy proceedings against the company after finding it insolvent. The case is docketed under Case No. A57-512B/05-31. The Arbitration Court of Stavropol Region is located at: Mira Str. 4586 Stavropol Region Russia The Debtor can be reached at: CJSC Bazarno-Karabulak-Agro-Prom-Khimiya Ippodromnaya Str. 6 Bazarnyj Karabulak 412600 Saratov Region Russia BREAD: Penza Court Names V. Lebedev as Insolvency Manager --------------------------------------------------------- The Arbitration Court of Penza Region appointed Mr. V. Lebedev as Insolvency Manager for LLC Bread. He can be reached at: V. Lebedev Moskovskaya Str. 107 440600 Penza Region Russia The Court commenced bankruptcy proceedings against the company after finding it insolvent. The case is docketed under Case No. A49-1171/2006-135B/3. The Arbitration Court of Penza Region is located at: Belinskogo Str. 2 440600 Penza Region Russia The Debtor can be reached at: LLC Bread Aleksandrovskaya Tamala Penza Region Russia BUZDYA-KRAY-SEL-KHOZ-TEKHNIKA: E. Ivanoy to Manage Assets --------------------------------------------------------- The Arbitration Court of Bashkortostan appointed Mr. E. Ivanoy as Insolvency Manager for OJSC Buzdya-Kray-Sel-Khoz-Tekhnika. He can be reached at: E. Ivanov Apartment 9 Building 3 Oktyabrya Pr. 89 Ufa Bashkortostan Republic 450057 Russia The Court commenced bankruptcy proceedings against the company after finding it insolvent. The case is docketed under Case No. A07-53226/05-G-PAV. The Arbitration Court of Bashkortostan Republic is located at: Oktyabrskoy Revolyutsii Pr. 63a Ufa Bashkortostan Republic 450057 Russia The Debtor can be reached at: JSC Buzdya-Kray-Sel-Khoz-Tekhnika Gagarina Str. 10 Vuzdyak-2 Buzdyakskiy Region Bashkortostan Republic 452710 Russia EXNET: Moscow Court Names M. Sorokin as Insolvency Manager ---------------------------------------------------------- The Arbitration Court of Moscow appointed Mr. M. Sorokin as Insolvency Manager for CJSC Investment Corporation ExNet. The Court commenced bankruptcy proceedings against the company after finding it insolvent. The case is docketed under Case No. A40-21263/06-103-239B. The Arbitration Court of Moscow is located at: Novaya Basmannaya Str. 10 Moscow Region Russia The Debtor can be reached at: CJSC Investment Corporation ExNet Presnenskiy Val 19 Moscow Region Russia KAMAZ: Court Names Sh. Fakhretdinoy as Insolvency Manager --------------------------------------------------------- The Arbitration Court of Bashkortostan Republic appointed Mr. Sh. Fakhretdinoy as Insolvency Manager for Auto-Centre Kamaz. He can be reached at: Sh.Fakhretdinov Sayfulina Str. 26 Yumaguzino Kugarchinskiy Region Bashkortostan Republic 453336 Russia The Court commenced bankruptcy proceedings against the company after finding it insolvent. The case is docketed under Case No. A07-25842/05-G-FLE. The Debtor can be reached at: Auto-Centre Kamaz Gvardeyskaya Str. 57 Ufa Bashkortostan Republic 450028 Russia KAMYSHEVO: Court Names Y. Remizov as Insolvency Manager ------------------------------------------------------- The Arbitration Court of Chelyabinsk Region appointed Mr. Y. Remizov as Insolvency Manager for CJSC Kamyshevo. He can be reached at: Y. Remizov Post User Box 45 Main Post Office Chelyabinsk 456091 Russia The Court commenced bankruptcy proceedings against the company after finding it insolvent. The case is docketed under Case No. A76-51761/2005-52-355. The Debtor can be reached at: CJSC Kamyshevo Kamyshevka Argayashevskiy Region Chelyabinsk Region 456881 Russia KRASNAYA USHNA: Vladimir Court Starts Bankruptcy Supervision ------------------------------------------------------------ The Arbitration Court of Vladimir Region commenced bankruptcy supervision procedure on OJSC Glass Factory Krasnaya Ushna. The case is docketed under Case No. A11-4042/2006-K1-182B. The Temporary Insolvency Manager is: A. Shurov Radiozavodskoye Shosse 2a Murom 602264 Vladimir Region Russia The Arbitration Court of Vladimir Region is located at: Oktyabrskiy Pr. 14 600025 Vladimir Region Russia The Debtor can be reached at: OJSC Glass Factory Krasnaya Ushna Zavodskaya Str. 1B Krasnaya Ushna Selivanovskiy Region 602355 Vladimir Region Russia KRASNOSLOBODSK-AGRO-PROM-KHIMIYA: Bankruptcy Supervision Starts ---------------------------------------------------------------- The Arbitration Court of Mordoviya Republic will convene on Sept. 18 to hear the bankruptcy supervision procedure against Municipal Enterprise Krasnoslobodsk-Agro-Prom-Khimiya. The case is docketed under Case No. A39-1423/06-61/12. The Temporary Insolvency Manager is: E. Mochalov Lenina Pr. 12 Saransk 430000 Mordoviya Republic Russia The Arbitration Court of Mordoviya Republic is located at: Kommunisticheskaya Str. 33 Saransk Mordoviya Republic Russia The Debtor can be reached at: Municipal Enterprise Krasnoslobodsk-Agro-Prom-Khimiya 1st Location Krasnoslobodsk 431261 Mordoviya Republic Russia KURGAN-ECO-RESOURCE: Kurgan Court Starts Bankruptcy Supervision --------------------------------------------------------------- The Arbitration Court of Kurgan Region commenced bankruptcy supervision procedure on CJSC Kurgan-Eco-Resource. The case is docketed under Case No. A34-2503/2006. The Temporary Insolvency Manager is: S. Burmistrov Office 328 Belinskogo Str. 34 Ekaterinburg 620075 Russia The Debtor can be reached at: CJSC Kurgan-Eco-Resource Pichugina Str. 9 Kurgan 640018 Russia MEAT: Mariy El Court Names S. Syumakhin as Insolvency Manager ------------------------------------------------------------- The Arbitration Court of Mariy El Republic appointed Mr. S. Syumakhin as Insolvency Manager for LLC Meat. He can be reached at: S. Syumakhin Post User Box 34 Cheboksar 428009 Russia The Court commenced bankruptcy proceedings against the company after finding it insolvent. The case is docketed under Case No. A38-1483-19/189-2006. The Debtor can be reached at: LLC Meat Sovetskaya Str. 171 Orshanka Orshanskiy Region Mariy El Republic Russia MED-INSTRUMENT: I. Yusupova to Manage Insolvency Assets ------------------------------------------------------- The Arbitration Court of Bashkortostan Republic appointed Ms. I. Yusupova as Insolvency Manager for LLC Factory Med-Instrument. She can be reached at: I. Yusupova Kirovogradskaya Str. 36/1 Ufa Bashkortostan Republic 450001 Russia The Court commenced bankruptcy proceedings against the company after finding it insolvent. The case is docketed under Case No. A07-10851/06-G-PAV. The Arbitration Court of Bashkortostan Republic is located at: Oktyabrskoy Revolyutsii Str. 63a Ufa Bashkortostan Republic Russia The Debtor can be reached at: Factory Med-Instrument Kirovogradskaya Str. 36/1 Ufa Bashkortostan Republic Russia MELEUZ-STROY: Court Names R. Ayupoy as Insolvency Manager --------------------------------------------------------- The Arbitration Court of Bashkortostan Republic appointed Mr. R. Ayupoy as Insolvency Manager for OJSC Meleuz-Story. He can be reached at: R. Ayupov office 2 Stakhanovskaya Str. 51 Ishimbay Bashkortostan Republic 453204 Russia Tel./Fax: (34794) 2-82-31 The Court commenced bankruptcy proceedings against the company after finding it insolvent. The case is docketed under Case No. A07-40621/05-G-ADM. The Arbitration Court of Bashkortostan Republic is located at: Oktyabrskoy Revolyutsii Str. 63 a Ufa Bashkortostan Republic 450057 Russia The Debtor can be reached at: OJSC Meleuz-Story Pervomayskaya Str. 1 Meleuz Bashkortostan Republic 453854 Russia METAL-MARKET: Court Names T. Semenova as Insolvency Manager ----------------------------------------------------------- The Arbitration Court of Novosibirsk Region appointed Ms. T. Semenova as Insolvency Manager for CJSC Metal-Market. She can be reached at: T. Semenova Post User Box 4227 Khabarovsk-13 Russia 680013 The Court commenced bankruptcy proceedings against the company after finding it insolvent. The case is docketed under Case No. A45-7500/06-29/41. The Arbitration Court of Novosibirsk Region is located at: Kirova Str. 3 630007 Novosibirsk Region Russia The Debtor can be reached at: CJSC Metal-Market Sadova Str. 28 6 Novosibirsk 630102 Russia METAL-WORKING COMPANY: Court Sets Nov. 13 Bankruptcy Hearing ------------------------------------------------------------ The Arbitration Court of Chelyabinsk Region will convene on Nov. 13 to hear the bankruptcy supervision procedure on CJSC Metal-Working Company. The case is docketed under Case No. A76-6115/2006-32-56. The Temporary Insolvency Manager is: V. Dubovo Bolshevistskaya Str. 4 454038 Chelyabinsk Russia The Debtor can be reached at: CJSC Metal-Working Company Mashinosrtoiteley Str. 27 Chelyabinsk 454129 Russia NOVOGROMOVSKOYE: Court Names A. Nikiforov as Insolvency Manager --------------------------------------------------------------- The Arbitration Court of Irkutsk Region appointed Mr. A. Nikiforov as Insolvency Manager for OJSC Novogromovskoye (TIN 3843001892). The Court commenced bankruptcy proceedings against the company after finding it insolvent. The case is docketed under Case No. A19-9279/06-29. He can be reached at: K. Libknekhta Str. 153 664047 Irkutsk Region Russia The Debtor can be reached at: OJSC Novogromovskoye Sovetskaya Str. 10 Novogromovo Cheremkhovskiy Region 665428 Irkutsk Region Russia NOVOTORYALSKIY BUTTER: Court Starts Reorganization Process ---------------------------------------------------------- The Arbitration Court of Mariy El Republic commenced external management bankruptcy procedure on OJSC Novotoryalskiy Butter Factory. The case is docketed under Case No. A-38-184-11/94-2006. The External Insolvency Manager is: N. Smyshlyaev Post User Box 75 Yoshkar-Ola Mariy El republic 424007 Russia RAINBOW: Chuvashiya Court Starts Bankruptcy Supervision ------------------------------------------------------- The Arbitration Court of Chuvashiya Republic commenced bankruptcy supervision procedure on CJSC Rainbow. The case is docketed under Case No. A79-4290/2006. The Temporary Insolvency Manager is: M. Martynov Apartment 4 M.Zhukova Str. Shumerlya Chuvashiya Republic 429123 Russia The Arbitration Court of Chuvashiya Republic is located at: Hall 224 Lenina Pr. 4 Cheboksary Region Russia The Debtor can be reached at: CJSC Rainbow Novaya Str. 1 Krasnye Chetai Krasnye Chetai 429040 Russia REINFORCED-CONCRETE CONSTRUCTIONS: Bankruptcy Supervision Starts ---------------------------------------------------------------- The Arbitration Court of Kemerovo Region commenced bankruptcy supervision procedure on Reinforced-Concrete Constructions. The case is docketed under Case No. A27-42034/2005-4. I. Yankovskiy, Temporary Insolvency Manager Post User Box 2368 Prokopyevsk Kemerovo Region 653052 Russia The Debtor can be reached at: Reinforced-Concrete Constructions Sev.Maganak Prokopyevsk Kemerovo region Russia SEVER-INVEST: Court Names D. Glushkov as Insolvency Manager ----------------------------------------------------------- The Arbitration Court of Krasnoyarsk Region appointed Mr. D. Glushkov as Insolvency Manager for CJSC Regional Joint-Stock Company Sever-Invest. The Court commenced bankruptcy proceedings against the company after finding it insolvent. The case is docketed under Case No. A33-10191/2006. The Arbitration Court of Krasnoyarsk Region is located at: Lenina Str. 143 660021 Krasnoyarsk Region Russia The Debtor can be reached at: D. Glushkov P. Zheleznyaka Str. 17 660133 Krasnoyarsk Region Russia SIBERIAN CLOTH: Omsk Court Names A. Kuzmin as Insolvency Manager ---------------------------------------------------------------- The Arbitration Court of Omsk Region appointed Mr. A. Kuzmin as Insolvency Manager for CJSC Siberian Cloth Factory. The Court commenced bankruptcy proceedings against the company after finding it insolvent. The case is docketed under Case No. A46-7165/2006. K. Marksa Pr. 34A-508 644042 Omsk Region Russia The Debtor can be reached at: CJSC Siberian Cloth Factory Yakovleva Str. 107. Omsk Region Russia SMOLENSK-GRAIN-PRODUCT: S. Lavrentyeva to Manage Assets ------------------------------------------------------- The Arbitration Court of Smolensk Region appointed Ms. S. Lavrentyeva as Insolvency Manager for OJSC Smolensk-Grain- Product. The Court commenced bankruptcy proceedings against the company after finding it insolvent. The case is docketed under Case No. A62-705-N/2005 (4952-N/2005). S. Lavrentyeva Engelsa Str. 21/5 214014 Smolensk Region Russia The Debtor can be reached at: OJSC Smolensk-Grain-Product Karla Marksa Str. 12 214000 Smolensk Region Russia SODRUZHESTVO: Orel Court to Hear Bankruptcy Case on Oct. 11 ----------------------------------------------------------- The Arbitration Court of Orel Region will convened on Oct. 11 to hear the bankruptcy supervision procedure on OJSC Sodruzhestvo. The case is docketed under Case No. A48-2008/06-17N. The Temporary Insolvency Manager is: V. Sinegubkin Gorkogo Str. 45 302028 Orel Region Russia The Arbitration Court of Orel Region is located at: Gorkogo Str. 42 302000 Orel Region Russia The Debtor can be reached at: OJSC Sodruzhestvo Chermoshnoye. Trosnyanskiy Region Orel Region Russia STEEL-SERVICE: Court Names M. Kuznetsov as Insolvency Manager ------------------------------------------------------------- The Arbitration Court of Kurgan Region appointed Mr. M. Kuznetsov as Insolvency Manager for LLC Steel-Service. He can be reached at: M. Kuznetsov Mira Pr. 171A 664085 Omsk Region Russia The Court commenced bankruptcy proceedings against the company after finding it insolvent. The case is docketed under Case No. A34-1069/2006. The Debtor can be reached at: LLC Steel-Service Tsentralnaya Str. 1A Zamaravskoye Shadrinskiy Region 642859 Kurgan Region Russia STERLITAMAKSKIY FACTORY: Court Names Insolvency Manager ------------------------------------------------------- The Arbitration Court of Bashkortostan Republic appointed Mr. Y. Karpendo as Insolvency Manager for OJSC Sterlitamakskiy Factory Of Building Materials. He can be reached at: Y. Karpenko Post User Box 20 Main Post Office Ufa Bashkortostan Republic 450000 Russia The Court commenced bankruptcy proceedings against the company after finding it insolvent. The case is docketed under Case No. A07-27944/05-G-ADM. The Debtor can be reached at: Building Materials Dzhambula Str. 5 Sterlitamak Bashkortostan Republic 453102 Russia TRUCK CRANE: Court Names G. Kutikov as Insolvency Manager --------------------------------------------------------- The Arbitration Court of Smolensk Region appointed Mr. G. Kutikov as Insolvency Manager for OJSC Truck Crane. He can be reached at: G. Kutikov Post User Box 212 214036 Smolensk Region Russia The Court commenced bankruptcy proceedings against the company after finding it insolvent. The case is docketed under Case No. A62-1564/2006. The Arbitration Court of Irkutsk Region is located at: Room 303 Gagarina Avenue 70 664025 Irkutsk Region Russia The Debtor can be reached at: OJSC Truck Crane Roslavlskoye Shosse 5th km 214009 Smolensk Region Russia VAKHRUSHEV-COAL: Court Names A. Katrushin as Insolvency Manager --------------------------------------------------------------- The Arbitration Court of Sverdlovsk Region appointed Mr. A. Katrushin as insolvency manager for OJSC Vakhrushev-Coal. He can be reached at: A. Katrushin Gorkogo Str. 31 Ekaterinburg 620075 Russia The Court commenced bankruptcy proceedings against the company after finding it insolvent. The case is docketed under Case No. A60-9550/06-S11. The Debtor can be reached at: OJSC Vakhrushev-Coal K. Marksa Str. 16 Karpinsk Sverdlovsk Region 624931 Russia YUKOS OIL: Awaits on Appellate Court Ruling on Bankruptcy Appeal ---------------------------------------------------------------- (JazeL) The Moscow Court of Appeals will convene a hearing on Sept. 19 to consider Yukos Oil Co.'s request against a ruling on its bankruptcy, RIA Novosti reports. As reported in TCR-Europe on Aug. 25, the Moscow Arbitration Court rejected the oil firm's appeal against an Aug. 1 bankruptcy ruling, upholding a creditors' decision to liquidate the company. Creditors voted on July 25 to liquidate what was once Russia's biggest oil firm rejecting a management rescue plan that valued the company's assets at about US$30 billion. The vote came after bankruptcy manager Eduard Rebgun said Yukos couldn't pay its debts in the time allotted by law. Subsequently, the court declared the oil firm bankrupt on Aug. 1 after three years of litigation over back taxes. The company is facing up to US$16.6 billion in claims filed by more than 20 creditors including, among others: Yuganskneftegas US$4.07 billion Federal Tax Service US$11.6 billion OAO Rosneft Oil Co. US$482 million The Prosecutor General's Office launched a probe on Aug. 8 into alleged fraud during the oil group's bankruptcy procedure. Russian prosecutors have accused former Yukos officials of embezzling money by securing a US$4.5 billion loan from Yukos Capital SARL, a Luxembourg-based unit and major creditor for Yukos, through legal entities affiliated with the company. Investigators alleged that the ex-Yukos officials masterminded a plan to sell crude oil through trading companies Fargoil and Ratibor under their control, acting both as fictitious owners and buyers, RIA Novosti relates. According to the Russian news agency, Mr. Rebgun agreed with investigators that Yukos Capital had offered Yukos its own assets. While Yukos was in external administration, Yukos Capital filed a motion to participate in the first creditors' meeting and filed claims against Yukos, which the court subsequently rejected. About Yukos Headquartered in Moscow, Yukos Oil -- http://yukos.com/-- is an open joint stock company existing under the laws of the Russian Federation. Yukos is involved in energy industry substantially through its ownership of its various subsidiaries, which own or are otherwise entitled to enjoy certain rights to oil and gas production, refining and marketing assets. The Company filed for Chapter 11 protection Dec. 14, 2004 (Bankr. S.D. Tex. Case No. 04-47742), but the case was dismissed on Feb. 24, 2005, by the Hon. Letitia Z. Clark. A few days later, the Government sold its main production unit Yugansk, to a little-known firm Baikalfinansgroup for US$9.35 billion, as payment for US$27.5 billion in tax arrears for 2000- 2003. Yugansk eventually was bought by state-owned Rosneft, which is now claiming more than US$12 billion from Yukos. On March 10, a 14-bank consortium led by Societe Generale filed a bankruptcy suit in the Moscow Arbitration Court in an attempt to recover the remainder of a US$1 billion debt under outstanding loan agreements. The banks, however, sold the claim to Rosneft, prompting the Court to replace them with the state- owned oil company as plaintiff. On April 13, court-appointed external manager Eduard Rebgun filed a chapter 15 petition in the U.S. Bankruptcy Court for the Southern District of New York (Bankr. S.D.N.Y. Case No. 06- 0775), in an attempt to halt the sale of Yukos' 53.7% ownership interest in Lithuanian AB Mazeikiu Nafta. On May 26, Yukos signed a US$1.49 billion Share Sale and Purchase Agreement with PKN Orlen S.A., Poland's largest oil refiner, for its Mazeikiu ownership stake. The move was made a day after the Manhattan Court lifted an order barring Yukos from selling its controlling stake in the Lithuanian oil refinery. =========== T U R K E Y =========== PETROL OFISI: Fines Spur S&P to Put B+ Rating on Watch Negative --------------------------------------------------------------- Standard & Poor's Ratings Services placed its 'B+' long-term corporate credit rating on Turkey-based petroleum products distributor Petrol Ofisi A.S. on CreditWatch with negative implications. The CreditWatch placement follows the Turkish energy market regulator's decision to fine POAS New Turkish lira (TRY) 498 million (US$342 million) for allegedly supplying petroleum products to unlicensed gas stations. A number of other operators in this sector in Turkey have also been fined, with fines for the sector totaling TRY1.7 billion. The fine for POAS is large compared with the company's total debt, which at March 31, 2006 stood at TRY1.7 billion (US$1.1 billion), including large working capital financings under TRY802 million of letters of credit. Although POAS, together with the other Turkish petroleum product retail companies, is to appeal the decision, a full payment of the fine could have a materially negative impact on POAS' financial profile if it is required to pay the fine. "Standard & Poor's expects to resolve the CreditWatch listing once the outcome of the legal appeal by POAS is clear," said Standard & Poor's credit analyst Per Karlsson. "Full payment of the fine and a resulting TRY498 million increase in debt could result in the rating being lowered by one notch. However, if the parties agree a lower settlement, if part of the fine is paid with free cash flows and/or a reduction in dividends, and if liquidity is not affected, the financial profile could remain in line with the ratings, and ratings would therefore remain unchanged." Standard & Poor's requires funds from operations to adjusted debt of about 30% for the current rating Before resolving the CreditWatch status, Standard & Poor's will also need to be satisfied that POAS' future cash flow generation will not be negatively affected. ============= U K R A I N E ============= AGROSHLYAHBUD: Lviv Court Names Pavlo Duplika as Liquidator ----------------------------------------------------------- The Economic Court of Lviv region appointed Pavlo Duplika as Liquidator/Insolvency Manager for LLC Agroshlyahbud (code EDRPOU 03580995). He can be reached at: Pavlo Duplika Kotlyarevskij Str. 55 Drogobich 82100 Lviv Region Ukraine The Court commenced bankruptcy proceedings against the company after finding it insolvent on June 14. The case is docketed under Case No. 6/91-8/146. The Economic Court of Lviv Region is located at: Lichakivska Str. 81 79010 Lviv Region Ukraine The Debtor can be reached at: LLC Agroshlyahbud Lopatinska Str. 1 Radehiv Lviv Region Ukraine ALANTUR: Kyiv Court Names Mr. S. Sapozhnikov as Liquidator --------------------------------------------------------- The Economic Court of Kyiv Region appointed Mr. S. Sapozhnikov as Liquidator/Insolvency Manager for LLC Alantur (code EDRPOU 33148685). The Court commenced bankruptcy proceedings against the company after finding it insolvent on July 21. The case is docketed under Case No. 24/381-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: LLC Alantur Bratislavska Str. 14/5 Kyiv Region Ukraine BANK KHRESCHATYK: Moody's Assigns E+ Financial Strength Rating -------------------------------------------------------------- Moody's Investors Service assigned these ratings to Bank Khreschatyk (Ukraine): -- B2 long-term and Not-Prime short-term foreign currency deposit ratings, -- B2 long-term and Not-Prime short-term local currency deposit ratings, -- E+ financial strength rating, -- A2.ua long-term National Scale Rating, and -- B2 long-term foreign currency debt rating to the upcoming issue of senior unsecured Loan Participation Notes to be issued by the special purpose vehicle Khreschatyk Finance B.V. on a limited recourse basis for the sole purpose of funding a loan by Moscow Narodny Bank Limited to Bank Khreschatyk. The outlooks on all global scale ratings are stable, while the bank's NSR carries no specific outlook. According to Moody's, the B2/NP global scale local currency ratings reflect global default and loss expectation and are not constrained by any foreign currency transfer risk, while the A2.ua NSR reflects the bank's above-average creditworthiness relative to its domestic peers. Moody's notes that the bank's deposit and debt ratings reflect its proximity to the local authorities -- the Financial Department of Kyiv City Administration -- rated B2/Stable, which holds 51.2% of the bank's shares. The City of Kyiv has in the past proved to be a rather supportive shareholder, participating in several capital increases and maintaining its majority stake in the bank, as well as entrusting significant funds under the bank's management; it is expected to retain its majority stake in the foreseeable future. The recent election of a new mayor sparked some concerns over the future stance of the City towards the bank, but no steps disassociating the City from the bank have been taken so far. There are equally no signs that the City is planning to divest the bank. However, there remains some residual uncertainty with regard to the future level of support, which is somewhat difficult to predict. Therefore, the bank's deposit and debt ratings factor in some limited support from the City of Kyiv, resulting in a single-notch uplift from the bank's standalone rating. The bank's E+ FSR (stable outlook), which is a measure of its standalone financial strength, reflects its limited franchise and still evolving range of products and modest profitability. Concerns over the future credit quality of its rapidly growing loan portfolio compounded with the bank's above-average risk appetite towards asset-based and construction lending, together with its elevated vulnerability to shocks given the high level of concentrations on both sides of the balance sheet, are also reflected in the FSR, as is the concentration of the bank's business in Kyiv, which may soon become overcrowded in terms of banks. However, Moody's notes that the bank has significantly expanded its territorial coverage over the last two years. The E+ FSR might come under pressure if the bank's growth were to be mismanaged to an extent resulting in serious solvency and liquidity problems. Moody's added, that the FSR is also underpinned by the bank's growing franchise, as reflected in the rapid expansion in lending, deposit-taking and fee-generating activities, as well as sound asset quality at the current stage of the credit cycle with an NPL of ratio below 1%, together with cautious liquidity management with regard to funds placed by the municipality. The B2 long-term foreign currency debt rating assigned to the upcoming issue of senior unsecured Loan Participation Notes to be issued by the special purpose vehicle Khreschatyk Finance B.V. on a limited recourse basis for the sole purpose of funding a loan by Moscow Narodny Bank Limited to Bank Khreschatyk is based on the credit quality of Bank Khreschatyk as an underlying borrower. The underlying loan agreement contains a standard set of covenants such as negative pledge, limitations on mergers, disposals, transactions with affiliates and restricted payments. The rating agency notes that, while the likelihood of any of the above covenants being triggered is relatively low, if such were to occur, it could potentially have adverse liquidity implications for the bank and might exert additional downward pressure on its ratings. Moody's cautions that the transaction also has an embedded rating trigger whereby the notes will become payable if the City of Kyiv's ownership falls below 50.1% of the bank's voting stock and this results in the bank being downgraded by one or more notches or being placed on review for possible downgrade. As the current B2 credit rating imputes some degree of support from the City of Kyiv, a reduction in the City's stake might, other things being equal, indeed, cause a negative rating action; if the noteholders' put option were to be exercised, this could result in a need to repay a sizeable obligation, thus putting a burden on the bank's financial resources. Headquartered in Kyiv, Ukraine, Bank Khreschatyk reported total assets of US$598.7 million under IFRS as of June 30, 2006. BUDINDUSTRY SERVICE: Court Names Tax Agency as Liquidator --------------------------------------------------------- The Economic Court of Kyiv Region appointed the State Tax Inspection of Podilskij District of Kyiv Region as Liquidator for LLC Budindustry and Service (code EDRPOU 32423204). The Court commenced bankruptcy proceedings against the company after finding it insolvent on July 13. The case is docketed under Case No. 15/422-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: LLC Budindustry and Service Borichiv Tik Str. 35 04070 Kyiv Region Ukraine GLOBAL DISTRI: Court Names District Tax Agency as Liquidator ------------------------------------------------------------ The Economic Court of Kyiv Region appointed the State Tax Inspection of Podilskij District of Kyiv Region as Liquidator for LLC Global Distri. The Court commenced bankruptcy proceedings against the company after finding it insolvent on July 19. The case is docketed under Case No. 43/340-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: LLC Global Distri Mezhigirska Str. 54 04070 Kyiv Region Ukraine KHRESCHATYK FINANCE: Fitch Assigns B/RR4 on Upcoming Eurobond ------------------------------------------------------------- Fitch Ratings assigned Khreschatyk Finance B.V.'s upcoming issue of limited recourse loan participation notes a Recovery Rating of RR4 and an expected Long-term rating of B. The notes are to be used solely for funding SPV's sub-participation in a loan provided to Bank Khreschatyk (rated Issuer Default B/Stable Outlook, Short-term B, Support 4, Individual D/E) under a loan agreement by Moscow Narodny Bank Limited (rated Issuer Default BBB/Stable Outlook, Short-term F3, Support 2, Individual C). The final rating is contingent on receipt of final documentation conforming materially to information already received. SPV will only pay noteholders amounts, if any, received from MNB under the sub-participation agreement and MNB will account to the SPV for amounts equivalent to those, if any, received from Khreschatyk under the loan agreement. SPV and MNB will charge their rights under relevant agreements to Deutsche Trustee Company Limited for the benefit of noteholders under a trust deed. MNB's, and hence noteholders', claims will rank at least pari passu with the claims of other senior unsecured creditors of Khreschatyk, save those preferred by relevant laws. Under Ukrainian law, the claims of retail depositors rank above those of other senior unsecured creditors. At end-H106, retail depositors accounted for 23% of Khreschatyk's total liabilities, according to the bank's IFRS accounts reviewed by auditors. The loan agreement contains covenants restricting mergers and disposals by Khreschatyk and its subsidiaries as well as transactions between the bank and its subsidiaries. It also contains a cross default clause and a 'negative pledge' clause, the latter of which allows for a certain degree of securitization by Khreschatyk and its subsidiaries. Were such transactions to be undertaken, Fitch comments that the nature and extent of any over-collateralization would be assessed by the agency for any potential impact on unsecured creditors. In addition, terms and conditions of the notes contain a 'put event' clause, which provides noteholders with the right to require early redemption of the notes should the City of Kiev cease to own directly or indirectly at least 25% plus one share of the voting stock of Khreschatyk. Khreschatyk's IDR, Short-term and Support ratings are based on the limited potential for support from the City of Kiev, the bank's majority owner, in case of need. The Individual rating reflects the bank's small size, modest profitability, weak capitalization, concentrated balance sheet and the risks associated with a rapid growth strategy, as well as certain weaknesses in the operating environment. However, it also considers the bank's adequate asset quality and low market risk profile. Khreschatyk was founded in 1993 and was Ukraine's 15th-largest bank by assets at end-H106. It has a network of 14 full branches (13 of which are outside Kiev) and 56 outlets, mainly in Kiev or the Kiev region. KOMMAK: Court Names District Tax Agency to Liquidate Assets ----------------------------------------------------------- The Economic Court of Kyiv Region appointed the State Tax Inspection of Podilskij District of Kyiv Region as Liquidator for LLC Scientific-Production and Commercial Activity Center Kommak. The Court commenced bankruptcy proceedings against the company after finding it insolvent on July 18. The case is docketed under Case No. 15/438-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: LLC Scientific-Production and Commercial Activity Center Kommak Bratska Str. 6 04070 Kyiv Region Ukraine LINDI: Kyiv Court Names S. Sapozhnikov as Insolvency Manager ------------------------------------------------------------ The Economic Court of Kyiv Region appointed Mr. S. Sapozhnikov as Liquidator/Insolvency Manager for LLC Lindi (code EDRPOU 32978949). The Court commenced bankruptcy proceedings against the company after finding it insolvent on July 21. The case is docketed under Case No. 24/382-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: LLC Lindi Hmelnitskij Str. 14-b Kyiv Region Bogdan Ukraine NIVA: Lviv Court Names Pavlo Duplika as Insolvency Manager ---------------------------------------------------------- The Economic Court of Lviv region appointed Pavlo Duplika as Liquidator/Insolvency Manager for Agricultural LLC Niva (code EDRPOU 25544020). He can be reached at: Pavlo Duplika Kotlyarevskij Str. 55 Drogobich 82100 Lviv Region Ukraine The Court commenced bankruptcy proceedings against the company after finding it insolvent on June 29. The case is docketed under Case No. 6/84-4/130. The Economic Court of Lviv Region is located at: Lichakivska Str. 81 79010 Lviv Region Ukraine The Debtor can be reached at: Agricultural LLC Niva Markopil Brodovskij District Lviv Region Ukraine ORIHIVCHIK: Lviv Court Names Pavlo Duplika as Insolvency Manager ---------------------------------------------------------------- The Economic Court of Lviv region appointed Pavlo Duplika as Liquidator/Insolvency Manager for Agricultural LLC Orihivchik (code EDRPOU 25231166). He can be reached at: Pavlo Duplika Kotlyarevskij Str. 55 Drogobich 82100 Lviv Region Ukraine The Court commenced bankruptcy proceedings against the company after finding it insolvent on June 29. The case is docketed under Case No. 6/89-4/134. The Economic Court of Lviv Region is located at: Lichakivska Str. 81 79010 Lviv Region Ukraine The Debtor can be reached at: Agricultural LLC Orihivchik Orihivchik Brodovskij District Lviv Region Ukraine OPLITSKO: Lviv Court Names Pavlo Duplika as Insolvency Manager -------------------------------------------------------------- The Economic Court of Lviv region appointed Pavlo Duplika as Liquidator/Insolvency Manager for Agricultural LLC Oplitsko (code EDRPOU 20784558). He can be reached at: Pavlo Duplika Kotlyarevskij Str. 55 Drogobich 82100 Lviv Region Ukraine The Court commenced bankruptcy proceedings against the company after finding it insolvent on June 27. The case is docketed under Case No. 6/83-4/129. The Economic Court of Lviv Region is located at: Lichakivska Str. 81 79010 Lviv Region Ukraine The Debtor can be reached at: Agricultural LLC Oplitsko Oplitsko Radehiv District Lviv Region Ukraine OSKAR: Court Names Mr. V. Paterilov as Insolvency Manager --------------------------------------------------------- The Economic Court of Donetsk region appointed Mr. V. Paterilov as Liquidator/Insolvency Manager for Association Oskar (code EDRPOU 31660453). The Court commenced bankruptcy proceedings against the company after finding it insolvent on July 18. The case is docketed under Case No. 27/102b B. The Economic Court of Donetsk Region is located at: Artema Str. 157 83048 Donetsk Region Ukraine The Debtor can be reached at: Association Oskar Shors Str. 39 83050 Donetsk Region Ukraine POLISSYA-PALIVO: Rivne Court Names Pavlo Duplika as Liquidator -------------------------------------------------------------- The Economic Court of Rivne Region appointed Pavlo Duplika as Liquidator/Insolvency Manager for LLC Polissya-Palivo (code EDRPOU 32329890). He can be reached at: Pavlo Duplika Kotlyarevskij Str. 55 Drogobich 82100 Lviv Region Ukraine The Court commenced bankruptcy proceedings against the company after finding it insolvent on June 19. The case is docketed under Case No. 4/19. The Economic Court of Rivne Region is located at: Yavornitski Str. 59 33001 Rivne Region Ukraine The Debtor can be reached at: LLC Polissya-Palivo Bereznivskij District Kurgani Rivne Region Ukraine PRES: Rivne Court Names Pavlo Duplika as Insolvency Manager ----------------------------------------------------------- The Economic Court of Rivne Region appointed Pavlo Duplika as Liquidator/Insolvency Manager for LLC Pres (code EDRPOU 30049438). He can be reached at: Pavlo Duplika Kotlyarevskij Str. 55 Drogobich 82100 Lviv Region Ukraine The Court commenced bankruptcy proceedings against the company after finding it insolvent on June 26. The case is docketed under Case No. 9/23. The Economic Court of Rivne Region is located at: Yavornitski Str. 59 33001 Rivne Region Ukraine The Debtor can be reached at: LLC Pres Rafalivka Rivne Region Ukraine SKAJTEL: Kyiv Court Names Mr. I. Fedorov as Insolvency Manager -------------------------------------------------------------- The Economic Court of Kyiv Region appointed Mr. I. Fedorov as Liquidator/Insolvency Manager for LLC Skajtel (code EDRPOU 32982080). The Court commenced bankruptcy proceedings against the company after finding it insolvent on July 21. The case is docketed under Case No. 24/383-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: LLC Skajtel Patris Lumumba Str. 21/10 Kyiv Region Ukraine STOYANIV: Lviv Court Names Pavlo Duplika as Insolvency Manager -------------------------------------------------------------- The Economic Court of Lviv region appointed Pavlo Duplika as Liquidator/Insolvency Manager for Agricultural LLC Stoyaniv (code EDRPOU 03762503). He can be reached at: Pavlo Duplika Kotlyarevskij Str. 55 Drogobich 82100 Lviv Region Ukraine The Court commenced bankruptcy proceedings against the company after finding it insolvent on June 8. The case is docketed under Case No. 6/78-5/103. The Economic Court of Lviv Region is located at: Lichakivska Str. 81 79010 Lviv Region Ukraine The Debtor can be reached at: Agricultural LLC Stoyaniv Stoyaniv Radehiv District Lviv Region Ukraine STANDART: Rivne Court Names Pavlo Duplika as Insolvency Manager --------------------------------------------------------------- The Economic Court of Rivne Region appointed Pavlo Duplika as Liquidator/Insolvency Manager for LLC Standart (code EDRPOU 30956834). He can be reached at: Pavlo Duplika Kotlyarevskij Str. 55 Drogobich 82100 Lviv Region Ukraine The Court commenced bankruptcy proceedings against the company after finding it insolvent on June 26. The case is docketed under Case No. 9/24. The Economic Court of Rivne Region is located at: Yavornitski Str. 59 33001 Rivne Region Ukraine The Debtor can be reached at: LLC Standart Antonivka Volodimirets District Rivne Region Ukraine SUDNOTRANS: Court Names District Tax Agency to Liquidate Assets --------------------------------------------------------------- The Economic Court of Kyiv Region appointed the State Tax Inspection of Podilskij District of Kyiv Region as Liquidator for LLC Sudnotrans (code EDRPOU 31514667). The Court commenced bankruptcy proceedings against the company after finding it insolvent on July 13. The case is docketed under Case No. 15/423-b. He can be reached at: Turovska Str. 12 04080 Kyiv Region Ukraine The Debtor can be reached at: LLC Sudnotrans Naberezhno-Lugova Str. 8 04071 Kyiv Region Ukraine =========================== U N I T E D K I N G D O M =========================== ALWARD TOOL: Brings In BDO Stoy as Joint Administrators ------------------------------------------------------- C. K. Rayment and T. Underwood of BDO Stoy Hayward LLP were appointed joint administrators of Alward Tool & Engineering Limited (Company Number 00952205) on Aug. 17. 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. Headquartered in Brierley Hill, United Kingdom, Alward Tool & Engineering Limited is engaged in tooling manufacturing. ASEC PROJECT: Joint Liquidators Take Over Operations ---------------------------------------------------- David L. Cockshott and Gary E. Blackburn of BWC Business Solutions were appointed Joint Liquidators of ASEC Project Management Limited on June 1 for the purposes of the creditors' voluntary winding-up procedure. The company can be reached at: ASEC Project Management Limited 20-22 Moorlands Small Business Centre Balme Road Cleckheaton West Yorkshire BD19 4EW United Kingdom Tel: 01274 855669 ADVENTURE TIME: Appoints Lloyd Biscoe as Liquidator --------------------------------------------------- Lloyd Biscoe of Begbies Traynor was appointed Liquidator of Adventure Time Limited on May 31 for the purposes of the creditors' voluntary winding-up procedure. The company can be reached at: Adventure Time Limited Aviation Way Southend Airport Southend-On-Sea SS2 6UN United Kingdom Tel: 01702 541 111 ANDREW CORP: Repurchases 2.4 Million Common Shares -------------------------------------------------- Andrew Corp. has repurchased 2.4 million shares of its common stock at an average price of US$9.10 per share, including commissions and fees, during the last three weeks. Total shares repurchased under the Company's share repurchase program represent approximately 1.5% of the 159.7 million shares outstanding at June 30, 2006. Following the recent open market transactions during its fiscal fourth quarter, the Company has 7.4 million shares remaining available for repurchase under its share repurchase program. "We believe the share repurchase program demonstrates our confidence in the long-term growth and margin expansion opportunities of the company," Ralph Faison, president and chief executive officer, said. "We believe the strength and value of Andrew is not accurately reflected by the market and that share repurchases are an effective use of capital to build long-term shareholder value." Headquartered in Westchester, Illinois, Andrew Corporation, (NASDAQ:ANDW) -- http://www.andrew.com/-- designs, manufactures and delivers equipment and solutions for the global communications infrastructure market. The company serves operators and original equipment manufacturers from facilities in 35 countries. In Europe, the company has operations in Austria, Belgium, France, Germany, Greece, Ireland, Luxembourg, Netherlands, Russia, Switzerland, and the United Kingdom. Andrew is an S&P 500 company Founded in 1937. * * * As reported in the Troubled Company Reporter on Aug. 14, 2006, Standard & Poors Ratings Services revised its CreditWatch implications on Andrew Corp. to negative from developing. The 'BB' corporate credit rating and other ratings on the company were placed on CreditWatch developing on Aug. 7, 2006. ANDREW CORP: Comsearch Offers Relocation Services to FCC -------------------------------------------------------- Comsearch, an Andrew Corp. subsidiary, has introduced a turnkey set of services that will assist winners in the Federal Communications Commission's advanced wireless spectrum auctions with deploying new services in a timely and cost-effective manner. Comsearch's incumbent relocation solutions are tailored to address the FCC's requirements for those acquiring 1.7 GHz and 2.1 GHz spectrum, specifically the need to address interference with existing federal government and commercial systems in those radio bands. Comsearch uses its iQ.clearXG software to identify channels that can be shared without causing interference to 1.7 GHz and 2.1 GHz incumbents. In instances where spectrum sharing is not an option, Comsearch will facilitate relocating an incumbent to a different band through negotiation and project management. "Comsearch provides a one-stop relocation solution covering all stages of the deployment process," said Chris Hardy, vice president and general manager, Comsearch. "Comsearch is uniquely qualified--by virtue of our extensive experience in the PCS bands, our proprietary software and databases, and our vast program management resources--to offer the most cost-effective and time-saving incumbent relocation solutions." Sharing spectrum between AWS systems and incumbent fixed and mobile systems in the 1.7 GHz and 2.1 GHz bands, and immediate relocation of potentially impacted incumbent systems, will be critical to deployment of new advanced services. Comsearch's turnkey offerings for AWS providers, which combine specialized services, highly accurate databases, and program management skills, include: -- Spectrum sharing studies; -- Incumbent negotiation and contract execution; -- Relocation program management; -- Coordination with federal government and commercial incumbents; -- System assessment and review; -- Frequency clearing for drive testing; -- Site audits and radio frequency measurements. "No one is more qualified in spectrum management and the AWS process than the people of Comsearch," Mr. Hardy said. "For more than 29 years, we have addressed the specific challenges of identifying, analyzing, and resolving radio frequency interference for an evolving wireless industry. We look forward to supporting auction winners, as we have done in the past, to meet their unique deployment requirements." Headquartered in Westchester, Illinois, Andrew Corporation, (NASDAQ:ANDW) -- http://www.andrew.com/-- designs, manufactures and delivers equipment and solutions for the global communications infrastructure market. The company serves operators and original equipment manufacturers from facilities in 35 countries. In Europe, the company has operations in Austria, Belgium, France, Germany, Greece, Ireland, Luxembourg, Netherlands, Russia, Switzerland, and the United Kingdom. Andrew is an S&P 500 company Founded in 1937. * * * As reported in the Troubled Company Reporter on Aug. 14, 2006, Standard & Poors Ratings Services revised its CreditWatch implications on Andrew Corp. to negative from developing. The 'BB' corporate credit rating and other ratings on the company were placed on CreditWatch developing on Aug. 7, 2006. ASHGABLE LIMITED: Alan Simon Leads Liquidation Procedure -------------------------------------------------------- Alan Simon was appointed Liquidator of Ashgable Limited on June 15 for the purposes of the creditors' voluntary winding-up procedure. The company can be reached at: Ashgable Limited PO Box 580 Essex CM145RF United Kingdom Tel: 01277 824 544 ASK4BEER LIMITED: Appoints Joint Liquidators to Wind Up Business ---------------------------------------------------------------- David L. Cockshott and Gary E. Blackburn of BWC Business Solutions were appointed Joint Liquidators of Ask4Beer Limited on June 1 for the purposes of the creditors' voluntary winding- up procedure. The company can be reached at: Ask4Beer Limited Birkland Street Bradford West Yorkshire BD3 9RD United Kingdom Tel: 01274 747 444 AUDIO VISUAL: Taps David Paul Hudson to Liquidate Assets -------------------------------------------------------- David Paul Hudson of Begbies Traynor was appointed Liquidator of Audio Visual Technology Limited (t/a The AV Company) on May 31 for the purposes of the creditors' voluntary winding-up procedure. The company can be reached at: Audio Visual Technology Limited 280 Forest Road London E17 5JN United Kingdom Tel: 020 8520 4321 AUTO AIR: Appoints Ian William Kings to Liquidate Assets -------------------------------------------------------- Ian William Kings of Tenon Recovery was appointed Liquidator of Auto Air Parts Limited on May 31 for the purposes of the creditors' voluntary winding-up proceeding. The company can be reached at: Auto Air Parts Limited 653 River Gardens North Feltham Trading Estate Feltham Middlesex TW14 0RB United Kingdom Tel: 020 8893 7318 BLACK COUNTRY: Hires Mark Jonathan Botwood as Liquidator -------------------------------------------------------- Mark Jonathan Botwood of Muras Baker Jones was appointed Liquidator of Black Country Commercial Accessories Limited on June 16 for the purposes of the creditors' voluntary winding-up proceeding. The company can be reached at: Black Country Commercial Accessories Limited Leve Lane Willenhall West Midlands WV131PS United Kingdom Tel: 01902 605 192 BURNS CONSTRUCTION: Calls In Joint Liquidators from Wilson Pitts ---------------------------------------------------------------- D. F. Wilson and J. N. R. Pitts of Wilson Pitts were appointed Joint Liquidators of Burns Construction Limited on May 24 for the purposes of the creditors' voluntary winding-up proceeding. The company can be reached at: Burns Construction Limited 3 Hilltown Road Newcastle County Down BT33 0PX United Kingdom Tel: 028 4372 3004 C. K. HYGIENE: Names T. Papanicola as Administrator --------------------------------------------------- T. Papanicola of Bond Partners LLP was named administrator of C. K. Hygiene Logistics Group Limited (Company Number 05140800) on Aug. 17. 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 Caerphilly, United Kingdom, C. K. Hygiene Logistics Group Limited -- http://www.ckhygiene.co.uk/-- offers cleaning services. CELLCAST PLC: Aims to Raise GBP1.3 Million to Avert Liquidation --------------------------------------------------------------- Cellcast PLC intends to place 16,040,384 new ordinary shares in order to raise approximately GBP1.3 million and avert a possible liquidation, which would unlikely provide any return to shareholders. Shareholders will convene at 10 a.m. on Sept. 25 to vote on the proposed placement, which carries a placing price of 8 pence per new ordinary share. The Company's Board of Directors opines that, having made due and careful enquiry and after taking into account the net proceeds of the placing to be received by the Company, the working capital available to the Group will, on admission, be sufficient for its present requirements, that is for at least 12 months from admission. The net proceeds of the placing of approximately GBP1.2 million will be used to allow the Company to continue with the roll-out of its international development program following a period when the Company has seen a significant depletion of working capital following operating losses which the Directors believe have in part been caused by a reorganization of Sky's Electronic Programming Guide. The Company's current focus is on overseas opportunities, and it is important that these are not frustrated by lack of resources. Details of the Placing On behalf of and as agents for the Company and pursuant to the terms and conditions of the Placing Agreement, Daniel Stewart and HB have conditionally agreed to use their reasonable endeavors to place 16,040,384 new ordinary shares with institutional and other investors at a price of 8 pence per Placing Share, to raise approximately GBP1.3 million before expenses. The Placing is conditional, inter alia, on the passing of the necessary Resolution at the EGM and Admission taking place between Sept. 26 and Oct. 24, as the Company, Daniel Stewart and HB may agree. The Placing is not being underwritten. CEO Andrew Wilson and Chief Operating Officer Bertrand Folliet have agreed to subscribe for an aggregate of 3,125,000 Ordinary Shares pursuant to the Placing through Harkness Trading Limited, a company they beneficially own. Certain institutional investors in the Company have indicated a desire to realize their shareholdings and HB has agreed to purchase these holdings, being in aggregate 1,643,666 Ordinary Shares at the Placing Price conditional, inter alia, on Admission. On Admission, the Directors (and persons associated with them in accordance with the AIM Rules), will hold, in aggregate, approximately 9,278,397 Ordinary Shares representing 20.9 percent of the Enlarged Issued Share Capital. The Placing Shares, once issued, will rank pari passu with the Existing Ordinary Shares, including the right to receive all dividends and other distributions thereafter declared, made or paid. The Placing Shares are expected to be admitted to trading on AIM on 26 September 2006. Fair and Reasonable Opinion Harkness Trading Limited, which is beneficially owned by Andrew Wilson and Bertrand Folliet, has agreed to make a loan available to the Company of up to GBP200,000 pending completion of the Placing. No interest will be payable on the loan which will be repaid to Harkness Trading Limited out of the proceeds of the Placing. The Directors, other than Andrew Wilson and Bertrand Folliet (given their interest in Harkness Trading Limited), having consulted with the Company's nominated adviser, consider that the terms of the loan by Harkness Trading Limited and the issue, pursuant to the Placing, of new Ordinary Shares to Harkness Trading Limited are fair and reasonable insofar as Shareholders are concerned. Expected timetable of events Latest time and date for receipt of Forms of Proxy 10 a.m. on Sept. 23, 2006 Extraordinary General Meeting 10 a.m. on Sept. 25, 2006 Dealings in Placing Shares commence on AIM and CREST accounts credited in respect of the Placing Shares to be held in uncertified form Sept. 26, 2006 Dispatch of definitive share certificates in respect of the Placing Shares to be held in certified form Oct. 3, 2006 Headquartered in London, United Kingdom, Cellcast plc -- http://www.cellcast.com/-- has developed strategies for integrating mobile content into the multi-channel TV environment. Its applications and programming are already building new traffic for mobile networks and generating significant revenue for its broadcast partners in Europe, the Middle East and Asia. COMMPETE INTERNATIONAL: Taps Tenon Recovery as Administrators ------------------------------------------------------------- Carl Stuart Jackson and Nigel Ian Fox of Tenon Recovery were appointed joint administrators of Commpete International Limited (Company Number 5259953) on Aug. 10. Tenon Recovery -- http://www.tenongroup.com/-- provides accounting and business advice to owner-managed and private business. Headquartered in Cheltenham, United Kingdom, Commpete International Limited is engaged in industry IT support. DURA AUTOMOTIVE: Closing Stratford Plant & Cutting 280 Jobs ----------------------------------------------------------- Dura Automotive Systems Inc. is closing its brake cable plant in Stratford, Ontario, Canada, by 2007, terminating around 280 hourly and salaried employees. The Company disclosed early this year their "50-cubed" operational restructuring plan designed to enhance performance optimization, worldwide efficiency and improve financial results. The restructuring plan is expected to impact over 50% of its worldwide operations either through product movement or facility closures. The Company expects to complete this action by year end 2007. Cash expenditures for the restructuring plan are expected to be approximately US$100 million, which includes capital expenditures between US$25 and US$35 million. Restructuring cash expenses will relate primarily to employee severance, facility closure and product move costs. The restructuring plan will be financed with cash on hand and availability under the Company's existing revolving credit facility. The Company's management believes that the Company's current available liquidity will provide the funds necessary to execute this restructuring plan along with its ongoing operating cash requirements. Should the Company's current liquidity not be adequate to fund the restructuring plan and ongoing cash requirements for operations, the Company may be required to modify its restructuring plan, says Keith R. Marchiando, the Company's Chief Financial Officer. Major ongoing and completed restructuring actions are: -- in May 2006, the Company disclosed that it would close its Brantford, Ontario Canada, manufacturing facility by June 2007. The 66,000 square foot plant makes a variety of automotive column shift assemblies. The facility closing will impact approximately 120 jobs and the Company will transfer Brantford production to other DURA facilities to improve overall capacity utilization. Severance related charges of US$1.9 million have been recorded in 2006; all of which was recorded in the second quarter of 2006. -- in June 2006, the Company disclosed the proposed closing of its manufacturing facility in Llanelli, United Kingdom. The 118,000 square-foot plant makes automotive cable control systems and currently employs approximately 270 people. The Company is currently in the consultation process with Llanelli's AMICUS trade union concerning the proposed closing, and therefore have not determined if the plant will in fact be closed. Other restructuring charges of US$0.2 million have been recorded in the second quarter of 2006. -- the Company incurred year-to-date 2006 severance related charges of US$0.2 million for one of its Spanish facilities, recorded during the second quarter of 2006. -- the Company has notified in July 2006 at its LaGrange, Indiana plant that it is closing the facility. The plant, which currently employs approximately 270 people, manufactures a variety of window systems for the recreation vehicle, mass transit and heavy truck markets. Production of the window systems will be transferred to other production facilities. The Company is currently in negotiations with the respective union concerning severance and have not yet determined the charge. -- the Company incurred year-to-date Lawrenceburg facility production movement costs of US$0.5 million, of which US$0.3 million was incurred in the second quarter of 2006; -- in 2004, the Company disclosed a plan to exit its Brookfield, Missouri, facility and combine the business with other operations. This action is complete and resulted in year-to-date 2006 total charges of US$0.1 million, which was recorded during the second quarter of 2006. In 2005, the Company incurred charges of US$0.9 million. -- during the fourth quarter of 2005, the Company began the streamlining of a North American plant that will be completed in 2007. Certain employee severance related charges totaling US$1.4 million were incurred, of which US$1.3 million was recorded in the fourth quarter of 2005. Additional severance related charges of US$0.1 million were recorded in the second quarter of 2006. -- during the third quarter of 2005, the Company disclosed a plan to streamline an Einbeck, Germany, manufacturing operation. This action is substantially completed and resulted in no severance cost in 2006. -- during the second quarter of 2005, the Company disclosed a plan to streamline a Plettenberg, Germany, manufacturing operation during 2005 and 2006. In the third quarter of 2005, the Company received approval for this action from the appropriate Workers' Council and Union. Full identification of the actual employees has been substantially completed. Total severance costs of US$4.4 million are expected upon final identifications of all applicable employees. Approximately US$3.6 million has already been recorded, including US$0.4 million for the six months ended July 2, 2006. -- during the first quarter of 2005, the Company reported a plan to centralize its enterprise resource planning systems and centralize many of its functional operations to better align with current business levels. These actions are ongoing domestically as the Company continues to migrate its operations. The Company is unable to estimate future severance costs as applicable employees have not been identified. Approximately US$1.3 million of severance related charges were incurred in 2005. No additional costs have been incurred for the six months ended July 2, 2006. The Company has not formalized the total impact to its international operations, since meaningful migration and centralization will not begin until late 2006. The Company does expect that upwards of 200 individuals could be impacted. The Company has not yet specifically identified which individuals or group of individuals will be impacted, or in which international locations they reside. Therefore, the Company is not able to estimate the termination liability impact at this time. The Company does not expect, however, that the international termination costs for this action will exceed the related estimate for our U.S. operations. On July 27, 2006, the Company also disclosed plans to reduce its indirect workforce by 510 individuals in addition to the previously announced "50-cubed" operational restructuring plan. The rationale for this workforce reduction is to more appropriately align our indirect workforce with current sales volumes. The Company anticipates having this goal accomplished by the end of 2006. Headquarted in Rochester Hills, Michigan, DURA Automotive Systems, Inc. -- http://www.duraauto.com/-- is an independent designer and manufacturer of driver control systems, seating control systems, glass systems, engineered assemblies, structural door modules and exterior trim systems for the global automotive and recreation & specialty vehicle industries. DURA, which operates in 63 locations, sells its products to every major North American, Asian and European automotive original equipment manufacturer and many leading Tier 1 automotive suppliers. It currently operates in 63 locations including joint venture companies and customer service centers in 14 countries. * * * As reported in the Troubled Company Reporter on Aug. 1, 2006, Standard & Poor's Ratings Services lowered its corporate credit rating on Dura Automotive Systems Inc. to 'CCC' from 'B-'. S&P said the rating outlook is negative. ELEMENTS LIFESTYLE: Taps Liquidator from Begbies Traynor -------------------------------------------------------- Louise Donna Baxter of Begbies Traynor was appointed Liquidator of Elements Lifestyle & Beauty Limited on June 16 for the purposes of the creditors' voluntary winding-up proceeding. The company can be reached at: Elements Lifestyle & Beauty Limited 455 Bethnal Green Road London E2 9QH United Kingdom Tel: 020 7729 3719 ENFIELD LEISURE: Liquidating Assets Due to Cash Shortage -------------------------------------------------------- Enfield Leisure Centres Ltd. prepares to go into liquidation due to a lack of funding from the Enfield council, Kate Southern writes for This is Hertfordshire. The not-for-profit trust's 150 employees will not receive their full August salaries as a result of the cash crisis, Ms. Southern relates. According to the report, Labor Councilor Bambos Charalambous, who is resigning from his post as a member of the ELCL board, has accused the council of deliberately running the company into the ground. "I am appalled the Tory council has made cuts to ELCL year-on- year, but has never monitored the effect a funding loss of GBP250,000 over the last four years, has had," Mr. Charalambous said. "Quite simply, Enfield Council has put a gun to the head of the ELCL and the blame lies entirely at its door." Enfield Leisure Centres Limited manage a wide range of leisure facilities offering sport and leisure opportunities for the communities in the London Borough of Enfield on behalf of Enfield Council. ERWIN DAVSON LIMITED: Names Keith Aleric Stevens Liquidator ----------------------------------------------------------- Keith Aleric Stevens of Wilkins Kennedy was appointed Liquidator of Erwin Davson Limited on June 16 for the purposes of the creditors' voluntary winding-up proceeding. The company can be reached at: Erwin Davson Limited 14 Park Road Kingston Upon Thames Surrey KT2 6BG United Kingdom Tel: 020 8786 0559 ESSENTIAL OFFICE: Hires Joint Administrators from Cresswell ----------------------------------------------------------- Daniel Paul Hennessy and Gordon Craig of Cresswell Associates Limited were appointed joint administrators of Essential Office Solutions Limited (Company Number 05288098) on Aug. 7. The administrators can be reached at: Cresswall Associates Limited West Lancashire Investment Centre Maple View Whitemoss Business Park Skelmersdale Lancashire WN8 9TG United Kingdom Tel: 01695 712683 Headquartered in Bradford, United Kingdom, Essential Office Solutions Limited -- http://www.essential-office.com/-- wholesales office machinery and equipment. GILLARD WELCH: P. Nottingham Leads Liquidation Procedure -------------------------------------------------------- P. Nottingham of Nottingham Watson Ltd. was appointed Liquidator of Gillard Welch Limited on June 2 for the purposes of the creditors' voluntary winding-up procedure. The company can be reached at: Gillard Welch Limited 355 Station Road Dorridge Solihull West Midlands B93 8EY United Kingdom Tel: 01564 771 772 HAYLOFT STUDIOS: Appoints Moira Fitzpatrick as Administrator ------------------------------------------------------------ Moira C. Fitzpatrick of MCF Business Rescue and Insolvency was appointed administrator of Hayloft Studios Limited (Company Number 04175783) on Aug. 16. The administrator can be reached at: MCF Business Rescue and Insolvency 39 Southernhay East Exeter EX1 1PE United Kingdom Headquartered in Devon, United Kingdom, Hayloft Studios Limited wholesales arts and crafts. HOLISTYC LIMITED: Claims Filing Period Ends Sept. 13 ---------------------------------------------------- Creditors of Holistyc Limited have until Sept. 13 to prove their debts or claims by sending statements of the amount they claim to be due to them from the Company to appointed Joint Liquidator Malcolm Fillmore of Atherton Bailey LLP at: Malcolm Fillmore Atherton Bailey LLP Arundel House 1 Amberley Court Whitworth Road County Oak Crawley West Sussex RH11 7XL United Kingdom The company can be reached at: Holistyc Limited 15 Pitreavie Court Pitreavie Business Park Queensferry Road Dunfermline Fife KY11 8UU United Kingdom Tel: 01383 838140 INTERSERVE: Suspends Senior Staff Over Accounting Irregularities ---------------------------------------------------------------- Support services group Interserve PLC has suspended six senior staff in its industrial services unit after discovering accounting irregularities that will result in a GBP25 million reduction in net assets in its interim results, Lifestyle Extra reports. According to the Daily Telegraph, the suspected accounting irregularities go back five years, uncovered only after internal reviews following the organizational restructuring and board change announced on July 20, 2006. Interserve also said that it has launched an independent forensic review and an operational and strategic review of the industrial services business, with the help of KPMG and law firm Linklaters. About Interserve Plc Interserve -- http://www.interserveplc.co.uk/-- is a services, maintenance and building group. The company provides services across the whole life of many types of buildings and infrastructure such as hospitals, schools, offices, industrial plant, bridges, waterworks or roads. We offer our services at each stage of the asset lifecycle: building, equipment hiring, maintenance and replacement and operations support. The company has operations in Australia, New Zealand, Hong Kong, Korea and the Philippines. J & W RENOVATION: Nominates Ashok K. Bhardwaj as Liquidator ----------------------------------------------------------- Ashok K. Bhardwaj of was nominated Liquidator of J & W Renovation Company Limited on June 19 for the purposes of the creditors' voluntary winding-up procedure. The company can be reached at: Arnold Estate Druid Street Southwark London SE1 2DT United Kingdom Tel: 020 7740 1199 JPS STAINLESS: Brings In Joint Liquidators from Lines Henry ----------------------------------------------------------- Neil Henry and Michael Simister of Lines Henry were appointed Joint Liquidators of JPS Stainless Limited on June 20 for the purposes of the creditors' voluntary winding-up procedure. The company can be reached at: JPS Stainless Limited Unit 19 Unit Factory Estate Courtney Street Hull HU8 7QF United Kingdom Tel: 01482 213 997 KJA TOWNEND: Taps Liquidators from O'Hara & Co. ----------------------------------------------- Peter O'Hara and Simon Weir of O'Hara & Co were appointed Joint Liquidators of KJA Townend Walker Limited on June 9 for the purposes of the creditors' voluntary winding-up procedure. The company can be reached at: KJA Townend Walker Limited Network House Stubs Beck Lane West 26 Industrial Estate Cleckheaton West Yorkshire BD194TT United Kingdom Tel: 01274 850 222 KEETS ROOFING: Names Joint Liquidators from Valentine & Co. ----------------------------------------------------------- Robert Valentine and Mark Reynolds of Valentine & Co. were appointed Joint Liquidators of Keets Roofing Limited on June 16 for the purposes of the creditors' voluntary winding-up procedure. The company can be reached at: Keets Roofing Limited 24 Cornwall Road Dorchester Dorset DT1 1RX United Kingdom Tel: 01202 556 734 KELSCAFF LIMITED: Appoints Joint Liquidators from Mazars LLP ------------------------------------------------------------ Tim Alan Askham and Paul Charlton of Mazars LLP were appointed Joint Liquidators of Kelscaff Limited on June 14 for the purposes of the creditors' voluntary winding-up proceeding. The company can be reached at: Kelscaff Limited 2 Every Street Bury Lancashire BL9 5BE United Kingdom Tel: 0161 763 7887 KINGFISHER KNIGHT: Hires John C. Moran to Liquidate Assets ---------------------------------------------------------- John C. Moran of Parkin S. Booth & Co. was appointed Liquidator of Kingfisher Knight Printing Company Limited on June 20 for the purposes of the creditors' voluntary winding-up proceeding. The company can be reached at: Kingfisher Knight Printing Company Limited Unit 2 & 3 Ashley Business Centre East Street Prescot Merseyside L34 5RR United Kingdom Tel: 0151 548 6333 LEEDS IRONCRAFT: Names Liquidators from Jacksons Jolliffe Cork -------------------------------------------------------------- Matthew Colin Bowker and David Antony Willis of Jacksons Jolliffe Cork were appointed Joint Liquidators of Leeds Ironcraft Company Limited on June 15 for the purposes of the creditors' voluntary winding-up proceeding. The company can be reached at: Leeds Ironcraft Company Limited 38 Glensdale Road Leeds West Yorkshire LS9 9JF United Kingdom Tel: 0113 248 0238 MP & ASSOCIATES: Brings In Stephen M. Katz to Liquidate Assets -------------------------------------------------------------- Stephen M. Katz was appointed Liquidator of MP & Associates Limited on May 30 for the purposes of the creditors' voluntary winding-up proceeding. The company can be reached at: MP & Associates Limited 5 Gills Cliff Road Ventnor Isle of Wight PO38 1LH United Kingdom Tel: 01983 854721 MIDLAND EURO: Trustee Can't Pursue Extraterritorial Fraud Claim --------------------------------------------------------------- Christopher R. Barclay at LECG, LLC, the Chapter 7 Trustee cleaning up a US$100 million Ponzi scheme orchestrated by Midland Euro, Inc., Midland Euro Exchange, Inc., Midland Group, Inc., and other related entities, sued to recover US$897,000 of pre-petition foreign exchange fees and commissions paid to Swiss Financial Corporation, Ltd. On June 12, 2006, Swiss Financial filed a motion to dismiss the Trustee's complaint, arguing that Congress did not intend 11 U.S.C. Sec. 548 to apply extraterritorially and that the Bankruptcy Court should abstain from exercising jurisdiction over the lawsuit on the grounds of international comity. In response, the Trustee argued that Congress intended to extend its reach extraterritorially, and that holding otherwise would create a loophole in the Bankruptcy Code by creating the means for unscrupulous debtors to conceal their assets abroad and therefore outside the reach of the U.S. bankruptcy system. The Honorable Geraldine Mund of the U.S. Bankruptcy Court for the Central District of California held a hearing on July 19, 2006. In a Memorandum Opinion dated Aug. 16, 2006, and published at 2006 WL 2374327, Judge Mund granted Swiss Financial's motion to dismiss. The transferor, Judge Mund observes, was a Barbados corporation, and the transferee was an English corporation. The funds originated from a bank account in London and, although transferred through a bank account in New York, eventually ended up in another bank account in England. "Whether Congress intended to extend the reach of the fraudulent transfer statute extraterritorially is a matter of great practical concern for the parties," Judge Mund says. "If the extraterritorial application of Sec. 548 is upheld, the Trustee would be able to recover from SFC by merely proving the existence of a Ponzi scheme and the fact that the transfers actually occurred. Otherwise, the Trustee will not only face the logistical difficulties of bringing the suit in England, but he will also have to prove, under British law, that SFC had actual knowledge of the Midland Entities' scheme to defraud its creditors." "[S]ince I can find no evidence of congressional intent to extend the application of Sec. 548 extraterritorially," Judge Mund says, "the Trustee may not pursue his claims against SFC under this statute." The Chapter 7 Trustee can be reached at: Christopher R. Barclay LECG, LLC 600 Anton Blvd., Suite 1350 Costa Mesa, CA 92626 Telephone (714) 662-0800 LECG (Nasdaq: XPRT) is a global expert services firm that provides expert analysis, testimony, authoritative studies, and strategic advisory services to clients around the world. Mr. Barclay is represented by: Leonard I. Gumport, Esq. Aleksandra Zimonjic, Esq. Gumport | Reitman 550 South Hope Street, Suite 825, Los Angeles, CA 90071-2627 Telephone (213) 452-4900 Howard Steinberg, Esq., at Irell & Manella LLP, represented Swiss Financial in this matter. Starting in 1999, Midland Euro, Inc., Midland Euro Exchange, Inc., Midland Group, Inc., and other related entities were used by their founders, owners, and principals -- Moshe and Zvi Leichner -- to collect money from investors all over the world with a promise of extraordinary returns from trades in the foreign exchange market. The Ponzi scheme unraveled in 2003. Moshe and Zvi Leichner each pleaded guilty to felony fraud and money-laundering charges and were sentenced to 20 years and 11 years in federal prison, respectively, and a restitution judgment of US$98 million. United States v. Moshe Leichner and Zvi Leichner (C.D. Calif. Case No. CR 03-568). On May 8, 2003, involuntary Chapter 7 bankruptcy petitions were filed against the Leichners and the Midland Entities (Bankr. C.D. Calif. Case Nos. SV 03-13981-GM, SV 03-13982-AG, SV 03-13986-AG, SV 03- 13987-AG and SV 03-13989-AG). By the bankruptcy court's order entered on May 16, 2003, the Debtors' Estates were substantively consolidated. Thereafter, on June 18, 2003, a Chapter 7 Trustee was appointed by the Court. As of today, proofs of claim totaling more than US$100 million have been filed against the Estate, including millions of dollars owed to investors. MIKE HALL: Hires Martin Charles Armstrong as Liquidator ------------------------------------------------------- Martin Charles Armstrong of Turpin, Barker Armstrong was appointed Liquidator of Mike Hall Limited on May 31 for the purposes of the creditors' voluntary winding-up proceeding. The company can be reached at: Mike Hall Limited 66 East Grove Road Newport Gwent NP19 9QH United Kingdom Tel: 01633 282641 NPS LIMITED: Appoints Smith & Williamson as Administrators ---------------------------------------------------------- Robert Horton and Anthony Murphy of Smith & Williamson Limited were appointed joint administrators of NPS (Legal Services) Limited (Company Number 04459832) on Aug. 16. Smith & Williamson -- http://www.smith.williamson.co.uk/-- is an independent professional and financial services group employing over 1,200 people. It provides investment management, financial advisory and accountancy services to private clients, professional practices, mid to large corporates and non-profit organizations. NPS (Legal Services) Limited can be reached at: Eagle House 28 Billing Road Northampton Northamptonshire NN1 5AJ United Kingdom OFFICE DESIGN: Calls In Joint Liquidators from Larking Gowen ------------------------------------------------------------ Matthew Robert Howard and Robert Geoffrey Rose of Larking Gowen were appointed Joint Liquidators of Office Design Partnership Limited on June 2 for the purposes of the creditors' voluntary winding-up procedure. The company can be reached at: Office Design Partnership Limited Unity Wharf 13 Mill Street London SE1 2BH United Kingdom Tel: 020 7231 8057 OSLO REINSURANCE: Wants High Court to Approve Oct. 3 Hearing ------------------------------------------------------------ Oslo Reinsurance Company (U.K.) Limited and Oslo Reinsurance Company ASA applied to the High Court of Justice for a court hearing to be held on Oct. 3, 2006. The Scheme Companies asked permission from the Court to convene meetings of Scheme Creditors to consider and approve solvent scheme of arrangement to be proposed by the Scheme Companies pursuant to Section 425 of the Companies Act 1985. The primary objective of the Schemes is to conclude the run-off of the Scheme Companies earlier than would be the case if claims were left to mature in the normal course of business. At the hearing the Court will decide how many separate class meetings of Scheme Creditors the Scheme Companies must convene for the purpose of voting on the Schemes. Oslo Re ASA proposes to convene a single meeting of its Scheme Creditors. As Oslo Re ASA's business is pure reinsurance, it is considered that the rights of its Scheme Creditors should be sufficiently similar to enable them to consult together in a single class. Oslo Re U.K. proposes to convene two meetings of its Scheme Creditors: -- a meeting of Scheme Creditors in relation to their claim other than IBNR claims; and -- a meeting of Scheme Creditors in relation to their IBNR claims. As the Scheme of Oslo Re U.K. includes direct as well as reinsurance business, it is considered appropriate to separate creditors with IBNR claims into a separate class for voting on its Scheme. If any potential Scheme Creditor has concerns regarding the proposed constitution of classes, they should inform the Scheme Companies in writing, as soon as possible and in any event seven days prior to the date of the hearing so that their concerns can be drawn to the Court's attention. Scheme Creditors also have the right to attend the hearing for the purpose of making representations. Scheme Creditors who intends to do so should inform the Scheme Managers at least seven days prior to the date of the hearing. A copy of the letter containing further details on the proposed Schemes is available at: http://www.oslore.no/ The Scheme Managers can be reached at: Jan C. H. Endresen and Bjorn Morten Skordal Oslo Reinsurance Company ASA P.O. Box 1753 Vika. N-0122 Oslo, Norway Tel: +47 22 31 59 86 +47 22 31 28 91 Fax: +47 22 31 29 74 +47 22 31 29 00 E-mail: scheme.inquiries@oslore.no PHOTRONICS INC: Earns US$4.6 Million in Quarter Ended July 30 ------------------------------------------------------------- Photronics Inc.'s net income for the third quarter of fiscal 2006 ended July 30, 2006 amounted to US$4.6 million, compared to the prior year's third quarter net income of US$14.8 million. Net income for the third quarter of 2006 included a charge of US$1.8 million after tax in connection with the restructuring of the Company's operations in North America. Sales for the quarter were US$108.2 million, down 5.9%, compared to US$114.9 million for the third quarter of 2005. Semiconductor photomasks accounted for US$87.2 million or 80.6% of revenues during the third quarter of fiscal 2006, while sales for flat panel display photomask sets accounted for US$21 million or 19.4%. Net income for the first nine months of fiscal 2006 amounted to US$19.5 million, compared to the prior year's first nine months net income of US$29.9 million. Sales for the first nine months of 2006 were US$339.6 million, up 3.2% from the US$329 million for the first nine months of fiscal 2005. Semiconductor photomasks accounted for US$264.5 million or 77.9% of revenues during the first nine months of fiscal 2006, while sales for FPD photomask sets accounted for US$75.1 million or 22.1%. A market driven slowdown in FPD business impacted the Company's performance during the quarter. In the semiconductor business, the Company's performance was largely in line with expectations across all three regions it serves, as the Photronics team continues to execute the Company's strategic plan," commented Michael J. Luttati, Chief Executive Officer. "We expect conditions in our FPD business to begin improving over the next several months and are already seeing signs of improvement. Furthermore, we were encouraged that even in this difficult environment, Photronics outperformed its competitors, gaining market share by leveraging our unique technology and service leadership advantage. It is this type of performance which illustrates how our global team has embraced the strategic priorities of profitable technology leadership; tighter global integration and market share leadership. We remain committed to achieving these goals." Photronics, Inc. -- http://www.photronics.com/-- is a worldwide manufacturer of photomasks. Photomasks are high precision quartz plates that contain microscopic images of electronic circuits. A key element in the manufacture of semiconductors and flat panel displays, photomasks are used to transfer circuit patterns onto semiconductor wafers and flat panel substrates during the fabrication of integrated circuits, a variety of flat panel displays and, to a lesser extent, other types of electrical and optical components. They are produced in accordance with product designs provided by customers at strategically located manufacturing facilities in Asia, Europe, and North America. In Europe, the company maintains operations in Dresden, Germany and Manchester, UK. * * * Photronics carry Moody's B1 rating and Standard & Poor's BB- Corporate Credit Rating. PORTRAIT CORP: Files Chapter 11 Petition in New York ---------------------------------------------------- Portrait Corp. of America Inc., filed a Chapter 11 bankruptcy petition with Southern District of New York in White Plains after reaching an agreement with some of its bondholders, Charlotte Business Journal reports. The bondholders started to negotiate with Portrait Corp. on steps to avoid liquidation. Those bondholders would become the Company's equity holders if Judge Adlai S. Hardin Jr. approved a proposed restructuring plan. According to Business Journal, the Company expects to eliminate 75% of its debt and US$30 million in annual interest payments. Portrait Corp. has experienced financial problems for some time, including default on some notes and unpaid bills to vendors. It lost US$34.4 million in 2005 and US$29.7 million in 2004. Portrait Corp. Chief Executive David Alexander, in an interview with Business Journal, said: "After several months of productive dialogue between our major creditors and our equity holders, we have achieved an agreement that will make PCA a much stronger company." Mr. Alexander added: "We enter restructuring in a unique position in that our key lenders are already on board with our plan." In June, Portrait Corp. reported it has hired separate restructuring teams to advise it and the holders of about US$165 million of its bond debt. Portrait Corporation of America, Inc., provides professional portrait photography products and services to children, adults and families in North America. The Company operates portrait studios within Wal-Mart stores and Supercenters in the United States, Canada, Mexico, Germany and the United Kingdom. The Company also operates a modular traveling business providing portrait photography services in additional retail locations and to church congregations and other institutions. Going Concern Doubt Eisner LLP raised substantial doubt about Portrait Corp. of America, Inc.'s ability to continue as a going concern after auditing the Company's consolidated financial statements for the year ended Jan. 29, 2006. The auditor pointed to the Company's substantial net loss, negative working capital, stockholders' deficiency, default of certain obligations, which were due on June 15, 2006, and insufficient liquidity to meet those obligations. PORTRAIT CORP: Case Summary & 29 Largest Unsecured Creditors ------------------------------------------------------------ Debtor: Portrait Corporation of America, Inc. fka PCA International, Inc. 815 Matthews-Mint Hill Road Matthews, NC 28105 Bankruptcy Case No.: 06-22541 Debtor-affiliates filing separate chapter 11 petitions: Entity Case No. ------ -------- American Studios, Inc. 06-22542 Hometown Threads LLC 06-22543 PCA Photo Corporation of Canada, Inc. 06-22544 PCA Finance Corp. 06-22545 PCA LLC 06-22546 PCA National LLC 06-22547 PCA National of Texas LP 06-22548 Photo Corporation of America, Inc. 06-22549 Type of Business: The Debtors' core business is in retail portrait photography. Their automated film laboratory processes more than 130 million portraits annually for more than seven million customers. The Debtors are the exclusive portrait providers for Wal-Mart stores, and operate studios in more than 3,000 Wal-Mart store locations in the United States, Canada, Germany, United Kingdom and Mexico. See http://pcaintl.com/ Chapter 11 Petition Date: August 31, 2006 Court: Southern District of New York (White Plains) Judge: Adlai S. Hardin Jr. Debtors' Counsel: John H. Bae, Esq. Cadwalader Wickersham & Taft LLP One World Financial Center New York, NY 10281 Tel: (212) 504-6013 Fax: (212) 504-6666 http://www.cadwalader.com/ Counsel for Debtors' Outside Directors: Kirkland & Ellis LLP Citigroup Center 153 East 53rd Street New York, NY 10022-4611 Tel: (212) 446-4800 Fax: (212) 446-4900 http://www.kirkland.com/ Debtors' Restructuring Accountants: Mesirow Financial Consulting, LLC 350 North Clark Street Chicago, IL 60610 Tel: (312) 595-6000 Fax: (312) 595-4246 https://www.mesirowfinancial.com/ Debtors' Financial Advisor and Investment Banker: Berenson & Company LLC 667 Madison Avenue New York, NY 10021 Tel: (212) 935-7676 Fax: (212) 935-1499 http://www.berensonco.com/ Debtors' Claims, Noticing and Balloting Agent: Bankruptcy Services LLC 757 Third Avenue 3rd Floor New York, NY 10017 Tel: (646) 282-2500 Fax: (646) 282-2501 http://www.bsillc.com/ Debtors' financial condition as of July 30, 2006: Total Assets: US$153,205,000 Total Debts: US$372,124,000 Debtors' Consolidated List of its 29 Largest Unsecured Creditors: Entity Nature of Claim Claim Amount ------ --------------- ------------ The Bank of New York Trust Indenture Trustee US$165,000,000 Company, N.A. Corporate Trust - Default Administration Group 101 Barclay Street - 8W New York, NY 10286 c/o Stuart Kratter Tel: (212) 815-5466 Fax: (212) 815-5131 Goldman Sachs & Co. Noteholder US$42,475,000 85 Broad Street New York, NY 10004 c/o Matt Brenner Tel: (212) 902-8184 Whippoorwill Associates, Inc. Trade US$22,782,655 Assignee of AgfaPhoto USA Corp. 11 Martine Avenue, 11th Floor White Plains, NY 10004 c/o Steven Gendal Tel: (914) 683-1002 Wal-Mart Stores, Inc. Rent/Royalty US$5,078,952 702 Southwest 8th Street Bentonville, AR 72716 c/o Michael Li Tel: (479) 204-6574 Callisto Corporation Trade US$681,291 182 West Central Street Suite 101 Natick, MA 01760 c/o Mike Barta Tel: (508) 655-3311 Fax: (508) 650-4626 PBM Graphics, Inc. Trade US$429,871 3700 Miami Boulevard Durham, NC 27703 c/o Gary Pegram Tel: (919) 595-7611 Fax: (919) 595-7929 Travelers Indemnity Company Trade US$413,664 P.O. Box 91287 Chicago, IL 60693-1287 c/o Brian Tanasi Tel: (860) 277-7932 Walsworth Publishing co. Trade US$388,041 P.O. Box 412034 Kansas City, MO 64141-2034 c/o Rich Bond Tel: (866) 369-2646 Fax: (660) 376-3269 Eisner LLP Trade US$355,000 750 Third Avenue New York NY 10017-2703 c/o Nicholas Tsafos Tel: (212) 891-4128 National Print Group Inc. Trade US$334,427 P.O. Box 116424 Atlanta, GA 30368-6424 c/o Phillip L. Harris Tel: (423) 648-8803 Fax: (800) 624-0408 Photo Control Corp. Trade US$280,483 4800 Quebec Avenue Minneapolis, MN 55428 c/o Doug Waldoch Tel: (763) 537-3601 Fax: (763) 537-2852 Global Crossing Telecom. Trade US$225,724 Strategic Flooring Services Trade US$168,656 Datamail Inc. Trade US$156,073 Carolina Envelope Trade US$137,645 Sony Electronics/B&P Trade US$136,600 Dell Corporation Trade US$117,412 Reliance Deductible Recovery Trade US$114,098 Lee Wayne Corp. Trade US$110,243 Denny Manufacturing Co., Inc. Trade US$107,986 Robinson, Bradshaw & Hinson PA Trade US$107,311 Dell Financial Services Inc. Trade US$92,493 IBM Corporation Trade US$89,715 C.L. Rabb, Inc. Trade US$89,189 VAResources, Inc. Trade US$88,810 Sunbelt Trade US$83,369 Granite Trade US$82,854 J L & S Woodworking Inc. Trade US$82,132 Amglo Kemlite Trade US$73,403 PORTRAIT CORP: Sees 75% Debt Cut Upon Chapter 11 Emergence ---------------------------------------------------------- Portrait Corporation of America, Inc., reached a voluntary, consensual agreement with its key lenders to file a pre- negotiated Chapter 11 restructuring plan, on Aug. 31, 2006, in order to keep the company operationally strong and viable. The plan will simplify the company's capital structure, and upon court approval of the Chapter 11 plan, certain bondholders will become equity holders. The company anticipates that due to the positive nature of the consensual agreement that the Chapter 11 process will not be a lengthy process but one measured in months. This process creates an orderly court protected process and, upon confirmation of the plan will eliminate over 75% of the company's debt, strengthening PCA's competitive position. "After several months of productive dialogue between our major creditors and our equity holders we have achieved an agreement that will make PCA a much stronger company," R. David Alexander, Chairman and CEO, said. "We enter restructuring in a unique position in that our key lenders are already on board with our plan. Operationally we are focused on producing strong fall results and with the elimination of over $30 million in annual interest we will now have the resources to truly compete. I want our customers to know that they can trust us to deliver the quality product they're accustomed to and they will continue to be able to count on us for even more choices and new products. We appreciate the support we have received from all parties concerned, particularly our own associates. We believe that this restructuring provides a very bright future for our company." Islam Zughayer from Berenson & Company is PCA's financial advisor, and John Bae from Cadwalader, Wickersham & Taft LLP is PCA's legal advisor. About Portrait Corp. Based in Matthews, North Carolina, Portrait Corporation of America, Inc. - http://pcaintl.com/-- provides professional portrait photography products and services to children, adults and families in North America. The Company operates portrait studios within Wal-Mart stores and Supercenters in the United States, Canada, Mexico, Germany and the United Kingdom. The Company also operates a modular traveling business providing portrait photography services in additional retail locations and to church congregations and other institutions. Portrait Corporation and eight subsidiaries filed for chapter 11 protection on Aug. 31, 2006 (Bankr. S.D.N.Y. Case No. 06-22541). John H. Bae, Esq., Cadwalader Wickersham & Taft LLP represent the Debtors' in their restructuring efforts. Lawyers from Kirkland & Ellis LLP represent the Debtors' outside directors. Mesirow Financial Consulting, LLC, is the Debtors' restructuring accountants. Berenson & Company LLC gives financial advice to the Debtors. Going Concern Doubt As reported in the Troubled Company Reporter on June 28, 2006, Eisner LLP raised substantial doubt about Portrait Corporation of America, Inc.'s ability to continue as a going concern after auditing the Company's consolidated financial statements for the year ended Jan. 29, 2006. The auditor pointed to the Company's substantial net loss, negative working capital, stockholders' deficiency, default of certain obligations, which were due on June 15, 2006 and insufficient liquidity to meet those obligations. PROVALIS PLC: Approves Disposal of Medical Diagnostics Business --------------------------------------------------------------- Provalis plc passed a resolution to approve the disposal of PB Diagnostics Limited at an Extraordinary General Meeting on Sept. 1. A further Extraordinary General Meeting of Provalis to approve the proposed members' voluntary liquidation of Provalis will be held on Sept. 15. As reported in TCR-Europe on Aug. 11, Provalis agreed to sell its medical diagnostics business for effective consideration of GBP1.6 million through the sale of the entire issued share capital of its subsidiary, PB Diagnostics Limited to Bio-Metrics (U.K.) Limited, a subsidiary of Bio-Rad Laboratories, Inc., subject to shareholder approval. The company previously disclosed technical problems with its in2it diabetes monitor and disappointing sales at its pharmaceuticals business. The Company has made good progress in resolving the technical issues associated with in2it but does not have the resources to re-launch the product and maximize value through the exploitation of the product, especially in the US market. The Board believes the terms of the Disposal represent the most viable option for the Group to obtain value from the Medical Diagnostics business. About the Company Headquartered in Flintshire, United Kingdom, Provalis plc (LSE: PRO) -- http://www.provalis.com/-- is an international Medical Diagnostics group. The company is comprised of two separate operating businesses: -- Provalis Diagnostics Limited - develops, manufactures and sells medical diagnostic products for chronic disease management for world markets. The business' principal products are in2it A1c and Glycosal both diabetes diagnostic tests. -- Provalis Healthcare Limited - sold and marketed its own, and third party, branded, prescription medicines in the U.K. and Ireland to GPs and hospitals through a regionally managed sales force. * * * For the six months ended Dec. 31, 2005, the company posted GBP4.8 million in net losses, compared with a GBP1.7 million net loss for the same period in 2004. For the year ended June 30, 2005, the company posted GBP5.3 million in net losses. For the six-month period, the company also experienced strained liquidity with GBP3.3 million in assets available to pay GBP6.5 million of debts due within the year. Q-PRINT FLEXOGRAPHICS: Brings In T. Papanicola as Administrator --------------------------------------------------------------- T. Papanicola of Bond Partners LLP was appointed administrator of Q-Print Flexographics Limited (Company Number 03460293) on Aug. 18. 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 Q-Print Flexographics Limited can be reached at: Bramble Way Clover Nook Industrial Park Somercotes Alfreton Derbyshire DE55 4RH United Kingdom Tel: 01773 521093 RED LIMITED: Taps Gerald Irwin to Liquidate Assets -------------------------------------------------- Gerald Irwin of Irwin & Company was appointed Liquidator of Red (GB) Limited on June 19 for the purposes of the creditors' voluntary winding-up procedure. The company can be reached at: Red (GB) Limited Unit 22 Kings Norton Business Centre Prince Road Birmingham West Midlands B30 3HB United Kingdom Tel: 0870 600 1097 Web: http://www.redgb.com/ REFCO INC: Wants Court Nod on FXA-GAIN Settlement Agreement ----------------------------------------------------------- Refco F/X Associates, LLC, operated an on-line retail foreign exchange trading business under a Facilities Management Agreement between Refco Group Ltd., LLC, and Forex Capital Markets, LLC, on a software trading platform created and maintained by FXCM. In connection with the FMA, RGL acquired -- and still currently holds -- a 35% limited liability company interest in FXCM. As previously reported, FXCM proposed to purchase certain assets relating to FXA's online business. Pending approval and consummation of the FXCM Sale, Bank of America, N.A., as administrative agent under the Debtors' prepetition credit facility, and the Official Committee of Unsecured Creditors, among others, disputed that FXCM's consideration under the current circumstances was insufficient and that the FXCM Equity and FXA's customer account database should be sold in separate transactions. FXCM eventually purported to terminate its underlying purchase agreement with FXA. Despite further attempts to negotiate an acceptable resolution of the BofA-Committee Objection, the parties ultimately reached an impasse with respect to the contemplated FXCM Sale. Sally McDonald Henry, Esq., at Skadden, Arps, Slate, Meagher & Flom LLP, in New York, recounts that the Debtors reached out to those parties that had expressed a continuing interest in acquiring FXA's customer database after completing the FXCM auction process. The Debtors had been in discussions with GAIN Capital Group throughout the FXCM auction process as a possible alternative transaction partner. The negotiations culminated with the parties entering into a Term Sheet on July 27, 2006, for GAIN's acquisition of the Customer Information. On June 30, 2006, the Debtors sought approval of the sale transaction with GAIN, subject to higher and better offers, and to an execution of a definitive purchase agreement. Notwithstanding their efforts, Ms. Henry notes, the parties could not agree on workable terms for a definitive purchase agreement and eventually reached an impasse with respect to GAIN's contemplated transaction. After due consideration, the Debtors and GAIN decided not to pursue further discussions with respect to the Proposal at this time. As a result, the Debtors withdrew the GAIN Sale Motion on July 26. Ms. Henry tells Judge Drain that although the Term Sheet was generally intended to be non-binding, GAIN expressly obligated itself to pay FXA up to $80,000 in the event that the parties did not enter into a definitive purchase agreement for the Customer Information on or before July 20, 2006. Despite their efforts, however, FXA and GAIN could not finalize terms and conditions that were practicable under the circumstances. As of July 20, FXA and GAIN had not executed a definitive purchase agreement as required under the Term Sheet. Given that the July 20 deadline has elapsed, Ms. Henry asserts that the July Payment is due and payable in accordance with the Term Sheet's unambiguous language. GAIN has made clear, however, that it disputes FXA's entitlement to the July Payment and has asserted various claims against FXA and the Debtors based on the parties' dealings. To resolve the dispute, FXA and GAIN entered into a settlement agreement on August 22, 2006, pursuant to which FXA will release GAIN from any and all claims relating to the Term Sheet and the Proposal in exchange for GAIN's corresponding and concurrent release of FXA and the Debtors from any Claims that GAIN may assert against them. No money will be changing hands. FXA and GAIN will also terminate the Term Sheet, to the extent that it remains in effect, and that neither will have any other or further obligations. Although the Debtors believe that they would succeed in pursuing and collecting the July Payment, there is a risk that the Debtors would not prevail and, in any event, the net value to the estates of any recovery would be significantly diminished, if not entirely exhausted, by the attendant costs and expenses, Ms. Henry contends. In addition, any pursuit would unnecessarily distract the Debtors from their continuing efforts to achieve a resolution of their Chapter 11 cases. Therefore, the Debtors ask the Judge Drain to approve the FXA- GAIN Settlement Agreement pursuant to Rule 9019 of the Federal Rules of Bankruptcy Procedure. 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 $16.5 billion in assets and $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 INC: Debtors & Trustee Tap UHY Advisors as Tax Consultants ---------------------------------------------------------------- Refco Inc., its debtor-affiliates and Marc S. Kirschner, the court-appointed trustee for Refco Capital Markets, Ltd., obtained authority from the U.S. Bankruptcy Court for the Southern District of New York to formally employ UHY Advisors NY, Inc., and its affiliated entities as their tax advisors, nunc pro tunc to Feb. 3, 2006. As reported in the Troubled Company Reporter on Aug. 8, 2006, the Debtors and the RCM Trustee believe that UHY, being the 14th largest accounting firm of tax and business consultants in the United States with an extensive network of affiliated firms internationally, possesses expertise and knowledge to provide services. According to the Debtors, UHY will perform these necessary services: (a) preparation, review and filing of federal, state and local tax returns and any amended returns, corresponding schedules, related documents, including any extensions of time to file tax returns as well as complex technical analysis of various issues and formulation of recommendations to the Debtors and the RCM Trustee; (b) attendance and assistance with meetings and examinations with Internal Revenue Service, international or state and local tax authorities, the executive management team at Refco, Inc., the Chapter 11 and Chapter 7 trustees for RCM and Refco, LLC; (c) advice and assistance regarding transaction taxes, state and local sales and use taxes, and audits; (d) assembly and compilation of information necessary to prepare tax returns; (e) accounting, auditing and bookkeeping services; (f) review and assistance with any international tax-related issues and documents; (g) tax consulting and strategy services relating to several complex transactions; (h) consulting services relating to treatment of transactions for financial reporting purposes in accordance with GAAP; (i) assistance with organizing and cataloging the Debtors' books and records; and (j) performance of other tax-related services and accounting and audit-related services that are mutually agreed on by the Debtors, the Trustee and UHY. The Debtors assure the Bankruptcy Court that UHY's services will not result in unnecessary duplication of efforts in their bankruptcy cases. In accordance with an order authorizing the Debtors to employ and compensate professionals used in ordinary course, payments are subject to Court approval if they exceed $50,000 in any month, or exceed an aggregate of $500,000 in the Debtors' cases. The Debtors' payments to UHY have not exceeded these caps as of July 14, 2006. Under an engagement letter with the Debtors and the RCM Trustee, UHY agreed to fix its professional fee at $400,000, along with a $50,000 retainer, for services relating to preparation of certain partnership and corporation tax returns. Specific services that are encompassed in the fixed fee are: Fee Service --- ------- $150,000 New Refco Group Ltd. LLC Partnership Returns for short year Jan. 1, 2005, to Aug. 10, 2005; and $250,000 Refco Inc. Corporate Tax Returns for tax year starting Aug. 11, 2005, to June 30, 2006. The fixed fee does not include any accounting, bookkeeping or other support services necessary to prepare the returns. For other services, UHY's standard hourly rates range from $150 for first year staff to $550 for managing directors. It is UHY's policy to adjust rates periodically to reflect economic and other conditions. Consistent with its policy with respect to its other clients, UHY will bill for other charges and disbursements incurred, including costs for long distance telephone usage, photocopying, travel, messengers, computer usage and postage. As of July 20, 2006, UHY has received $200,000 from the Debtors. UHY will then apply to the Court for allowance of compensation for professional services rendered and reimbursement of expenses incurred in the Debtors' cases. However, services subject to the fixed fee arrangement will be subject to the jurisdiction and approval of the Court and the U.S. Trustee under Section 328(a) of the Bankruptcy Code. Michael Greenwald, managing director of UHY, attests that the firm: (i) does not have any connection with the Debtors or any other party-in-interest; (ii) is a "disinterested person," as that term is defined in Section 101(14); and (iii) does not hold or represent any interest adverse to the Debtors' estates. 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. 39; Bankruptcy Creditors' Service, Inc., http://bankrupt.com/newsstand/or 215/945-7000) REFCO INC: Committee Hires Wildman Harrold as Illinois Counsel -------------------------------------------------------------- The Official Committee of Unsecured Creditors of Refco Inc., and its debtor-affiliates obtained authority from the U.S. Bankruptcy Court for the Southern District of New York to retain Wildman Harrold Allen & Dixon, LLP, as its Illinois counsel for the Motion to Compel, nunc pro tunc to July 14, 2006. Motion to Compel The Committee served in December 2005 a subpoena for Rule 2004 examination on Tone Grant, along with a Court-approved schedule of documents to be produced. To cure a defect in service, the Creditors Committee again served the Subpoena on Mr. Grant in January 2006. Mr. Grant is the former president and chief executive officer of Refco Inc.'s predecessor and owns 50% of Refco Group Holdings, Inc., which is the center of alleged fraudulent conduct involving concealment of an uncollectible receivable precipitating the Debtors' bankruptcy. Notwithstanding his integral involvement with Refco and RGHI, Mr. Grant refuses to comply fully with the Subpoena served on him by the Creditors Committee. Subsequently, the Committee asked the Bankruptcy Court to compel Mr. Grant's compliance with the Subpoena, which was issued from the Northern District of Illinois that requires designation of local counsel in a specific circumstance. Wildman Harrold Retention The Creditors Committee believes that Wildman Harrold has extensive experience and knowledge in the field of creditors' rights and bankruptcy law, and that the firm is well qualified to represent the Committee. Specifically, Wildman Harrold will: (a) serve as designated local counsel for the Committee in the Illinois Northern District, as required by Northern District of Illinois Local Bankruptcy Rule 2090-4; (b) receive service of notices, pleadings, and other documents related to the Motion to Compel, and promptly notify the Committee of their receipt and contents; (c) appear, in emergencies, on the Committee's behalf in the Illinois Northern District in proceedings related to the Motion to Compel; and (d) advise the Committee with respect to all aspects of state and federal law in Illinois relevant to the Motion to Compel. Wildman Harrold's current hourly rates range from US$335 to US$565 for partners, US$200 to US$380 for associates, and US$150 to US$190 for paralegals, subject to periodic firm-wide adjustments in ordinary course of Wildman's business. The Illinois counsel also intends to apply to the Bankruptcy Court for payment of compensation and reimbursement of expenses. John A. Roberts, a partner at Wildman Harrold, attests that the firm does not represent any other entity having an adverse interest in connection with the Debtors' Chapter 11 cases. 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 USUS$16.5 billion in assets and USUS$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. 39; Bankruptcy Creditors' Service, Inc., http://bankrupt.com/newsstand/or 215/945-7000) RISCK SOLUTIONS: Hires Begbies Traynor to Administer Assets ----------------------------------------------------------- Simon Robert Haskew and Kenneth Stephen Chalk of Begbies Traynor were appointed joint administrators of Risck Solutions Limited (Company Number 03174936) on Aug. 18. Headquartered in Manchester, Begbies Traynor -- http://www.begbies.com/-- assists companies, creditors, financial institutions and individuals on all aspects of financial restructuring and corporate recovery. Risck Solutions Limited can be reached at: 238 Broomhill Road Brislington Bristol BS4 5RG United Kingdom Tel: 0870 428 4248 Fax: 0871 226 8810 ROOTS ASSOCIATES: Taps Jacksons Jolliffe to Administer Assets ------------------------------------------------------------- David Antony Willis of Jacksons Jolliffe Cork was appointed administrator of Roots Associates Limited (Company Number 04705926) on Aug. 15. Jackson Jolliffe Cork -- http://www.jjcork.co.uk/-- was established in 1998. It has offices in Doncaster, Harrogate, Hull, Middlesbrough, Wakefield and York. The firm is engaged exclusively in business recovery and insolvency work and comprises certified and chartered accountants, licensed insolvency practitioners and business turnaround consultants, many having joined us from senior positions within National firms. Headquartered in Hull, United Kingdom, Roots Associates Limited manages a cafe bar and restaurant. S C CONSTRUCTION: Names Kirankumar Mistry Liquidator ---------------------------------------------------- Kirankumar Mistry was appointed Liquidator of S C Construction Limited on May 25 for the purposes of the creditors' voluntary winding-up procedure. The company can be reached at: S C Construction Limited 35 High Street Doncaster South Yorkshire DN9 1EP United Kingdom Tel: 01427 874148 SECURE FIRST: Hires Joint Administrators from Abbot Fielding ------------------------------------------------------------ Andrew John Tate and Nedim Patrick Ailyan of Abbot Fielding were appointed joint administrators of Secure First Limited (Company Number 05445264) on Aug. 15. The administrators can be reached at: Abbott Fielding Nexus House 2 Cray Road Sidcup Kent DA14 5DB United Kingdom Tel: 020 8302 4344 Fax: 020 3248 4035 Headquartered in Walsall, United Kingdom, Secure First Limited provides security services. SECURITY PRINTERS: Nominates Liquidator from Kings -------------------------------------------------- Graham Geoffrey King of Kings was nominated Liquidator of Security Printers Limited on June 19 for the purposes of the creditors' voluntary winding-up procedure. The company can be reached at: Security Printers Limited 185 Town Road London N9 0HQ United Kingdom Tel: 020 8807 9333 SPECIAL PHOTOGRAPHERS: Creditors Ratify Voluntary Liquidation ------------------------------------------------------------- Creditors of The Special Photographers Company Limited ratified on June 13 the resolutions for voluntary liquidation and appointment of Simon James Underwood and Colin George Wiseman as Joint Liquidators. The company can be reached at: The Special Photographers Company Limited 236 Westbourne Park Road Kensington And Chelsea London W11 1EL United Kingdom Tel: 020 7221 3489 T.F.E. BUSINESS: Appoints Begbies Traynor as Administrators ----------------------------------------------------------- W. John Kelly and James P. N. Martin of Begbies Traynor were appointed joint administrators of T.F.E. Business Group Limited (Company Number 03250212) on Aug. 18. Headquartered in Manchester, Begbies Traynor -- http://www.begbies.com/-- assists companies, creditors, financial institutions and individuals on all aspects of financial restructuring and corporate recovery. Headquartered in Droitwich, United Kingdom, T.F.E. Business Group Limited is engaged in education and training. TITAN TAPES: Brings In Joint Liquidators from Begbies Traynor ------------------------------------------------------------- Scott McGregor and Kenneth Pattullo of Begbies Traynor (Scotland) LLP were appointed Joint Liquidators of Titan Tapes Limited on June 12 for the purposes of the creditors' voluntary winding-up procedure. The company can be reached at: Titan Tapes Limited Mantra House South Street Keighley West Yorkshire BD211SX United Kingdom Tel: 01535 610 533 Web: http://www.titantapes.co.uk/ TLS EUROPE: Taps Administrators from Berg Kaprow ------------------------------------------------ Stewart Trevor Bennett and James Preston Bradney of Berg Kaprow Lewis LLP were appointed joint administrators of TLS Europe Limited (Company Number 05115576) on Aug. 16. The administrators can be reached at: Berg Kaprow Lewis LLP 35 Ballards Lane London N3 1XW United Kingdom Tel: 020 8922 9222 Fax: 020 8922 9223 TLS Europe Limited can be reached at: 1 Butts Road Woking Surrey GU21 6JX United Kingdom TORNADO COMPONENTS: Hires Joint Liquidators from Hurst Morrison --------------------------------------------------------------- Robert C. Keyes and Paul W. Ellison of Hurst Morrison Thomson Corporate Recovery LLP were appointed Joint Liquidators of Tornado Components Limited on June 2 for the purposes of the creditors' voluntary winding-up proceeding. The company can be reached at: Tornado Components Limited 1 Frilsham Yattendon Thatcham Berkshire RG180XT United Kingdom Tel: 01635 200 081 TORNADO SOLUTIONS: Creditors Confirm Liquidators' Appointment ------------------------------------------------------------- Creditors of Tornado Solutions Limited confirmed on June 20 the appointment of Peter James Hughes-Holland and Frank Wessely of Vantis as Joint Liquidators of the company. The company can be reached at: Tornado Solutions Limited 8 Trumper Way Slough Berkshire SL1 5EY United Kingdom Tel: 01753 572 555 ULTRATHERM U.K.: Eileen T. F. Sale Leads Liquidation Procedure -------------------------------------------------------------- Eileen T. F. Sale of Sale Smith & Co. Limited was appointed Liquidator of Ultratherm U.K. Limited on June 14 for the purposes of the creditors' voluntary winding-up proceeding. The company can be reached at: Ultratherm U.K. Limited Station Road Four Ashes Wolverhampton West Midlands WV107DB United Kingdom Tel: 01902 798 879 WINDOW WAREHOUSE: Taps Andrew David Rosler as Administrator ----------------------------------------------------------- Andrew David Rosler of Ideal Corporate Solutions Limited was appointed administrator of The Window Warehouse U.K. Limited (Company Number 05243798) on Aug. 15. The administrator can be reached at: Ideal Corporate Solutions 10 Eagley House Deakins Business Park Bolton BL7 9RP United Kingdom Tel: 0800 731 2433 Headquartered in Rossendale, United Kingdom, The Window Warehouse U.K. Limited manufactures plastic products. WW NORTH: Appoints PwC as Joint Administrators ---------------------------------------------- Nick Cropper and Colin Haig of PricewaterhouseCoopers LLP were appointed joint administrators of WW North Limited (Company Number 01245210) on Aug. 14. PricewaterhouseCoopers LLP -- http://www.pwcglobal.com/-- provides, among others, auditing services, accounting advice, tax compliance and consulting, financial consulting and advisory services to clients in a variety of industries. Headquartered in Warwickshire, United Kingdom, WW North Limited manufactures meat products. * Large Companies with Insolvent Balance Sheets ----------------------------------------------- Shareholders Total Working Equity Assets Capital Ticker (US$MM) (US$MM) (US$MM) ------ ----------- ------- -------- AUSTRIA ------- Libro AG (111) 174 (182) Rhi AG (214) 1,756 183 BELGIUM ------- City Hotels CITY.BR (7) 210 (15) Real Software REAL.BR (49) 142 (34) Sabena S.A. (86) 2,215 (297) CZECH REPUBLIC -------------- Ceskomoravska Kolben & Danek Praha Holding (89) 192 (2,186) DENMARK ------- Elite Shipping (28) 101 19 FRANCE ------ Acces Industrie (8) 106 (35) Arbel PA.ARB (98) 222 (72) Banque Nationale de Paris Guyane BNPG (41) 352 N.A. BSN Glasspack (101) 1,151 179 Charbo De France (3,872) 4,738 (2,868) Compagnie Francaise de l'Afrique Occidentale (65) 256 21 Compagnies de Machines Bull (139) 137 (6) Dollfus Mieg & Cie S.A. DS (11) 165 (29) Euro Computer System (110) 682 377 Genesys S.A. GNS.PA (15) 136 3 Grande Paroisse S.A. (927) 629 330 Immob Hoteliere (68) 233 29 Labo Dolisos DOLI.PA (28) 110 (33) Matussiere et Forest S.A. MTF (78) 294 (28) Metaleurop S.A. PA.PA (24) 181 (30) Oeneo S.A. SABT.PA (12) 292 38 Pneumatiques Kleber S.A. (34) 480 139 SDR Centrest (132) 252 N.A. SDR Picardie (135) 413 N.A. Soderag (3) 404 N.A. Sofal S.A. (305) 6,619 N.A. Spie-Batignolles (16) 5,281 75 St Fiacre (FIN) (1) 111 (33) Teamlog TLO (19) 109 (3) Trouvay Cauvin (0) 134 10 Usines Chausson (23) 249 35 GERMANY ------- Cognis Deutschland GmbH & Co. KG (102) 3,409 (503) Dortmunder Actien-Brauerei DABG (13) 118 (29) EM.TV AG EV4G.BE (22) 849 15 F.A. Guenther & Son AG GUSG (8) 111 N.A. Kaufring AG KAUG (19) 151 (51) Maternus Kliniken AG MAK.F (3) 207 (30) Nordsee AG (8) 195 (31) Primacom AG PRIG (268) 1,257 (1,048) Rinol AG RLIG (64) 104 (15) Schaltbau Hold SLTG (23) 144 (7) Senator Entertainment AG SENGk.BE (153) 126 (148) SinnLeffers AG WHGG (4) 454 (145) Spar Handels- AG SPAG (442) 1,433 (234) Vivanco Gruppe (55) 131 (31) HUNGARY ------- NABI Rt. NABHY (2) 229 (8,950) ICELAND ------- Decode Genetics Inc. DCGN (9) 229 141 ITALY ----- Binda S.p.A. BND (11) 129 (20) Cirio Finanziaria S.p.A. (422) 1,583 (396) Credito Fondiario e Industriale S.p.A. (200) 4,218 N.A. Finpart S.p.A. (152) 732 (322) Gruppo Coin S.p.A. GC (150) 4,218 N.A. I Viaggi del Ventaglio S.p.A. VVE.MI (61) 487 (58) Olcese S.p.A. OLCI.MI (13) 180 (64) Parmalat Finanziaria S.p.A. (18,419) 4,121 (12,481) Technodiffusione Italia S.p.A. TDIFF.PK (90) 152 (24) NETHERLANDS ----------- Baan Company N.V. BAAN (8) 610 46 United Pan-Euro Air UPC (5,266) 5,180 (8,730) NORWAY ------ Petroleum-Geo Services PGO (32) 2,963 (5,250) POLAND ------ Mostostal Zabrze MECOF.PK (6) 227 (366) ROMANIA ------- Oltchim RM Valce OLT (45) 232 321) RUSSIA ------ OAO Samaraneftegas (332) 892 (16,942) Zil Auto (168) 409 (10,680) SPAIN ----- Altos Hornos de Vizcaya S.A. (116) 1,283 (278) Santana Motor S.A. (46) 223 41 Sniace S.A. (16) 136 (34) SWITZERLAND ----------- Wedins Skor Accessoarer AB (10) 139 (129) TURKEY ------ Nergis Holding (24) 125 26 Yasarbank (948) 623 N.A. UNITED KINGDOM -------------- Abbott Mead Vickers (2) 168 (16) AEA Technology Plc AAT.L (24) 340 (50) Alldays Plc (120) 252 (202) Amey Plc (49) 932 (47) Anker PLC ANK.L (22) 115 13 Bonded Coach Holiday Group Plc (6) 188 (44) Blenheim Group (153) 198 (34) Booker Plc BKRUY (60) 1,298 (8) Bradstock Group BDK (2) 269 5 Brent Walker Group BWL (1,774) 867 (1,157) British Energy Plc BGY (5,823) 4,921 434 British Nuclear Fuels Plc (4,248) 40,326 977 British Sky Broadcasting Group Plc BSY (61) 4,157 139 Compass Group CPG (668) 2,972 (298) Costain Group COST (39) 567 (5) Danka Bus System DNK.L (108) 540 34 Dawson Holdings DWN.L (12) 158 (19) Easynet Group ESY.L (45) 323 38 Electrical and Music Industries Group EMI (1,411) 3,235 (331) Euromoney Institutional Investor Plc ERM.L (88) 297 (56) European Home Retail Plc EHRL (14) 111 (37) Gartland Whalley (11) 145 (8) Global Green Tech Group (156) 408 (18) Gondola Holdings Plc GND.L (239) 987 (396) Heath Lambert Fenchurch Group Plc (10) 4,109 (10) HMV Group Plc HMV (9) 875 (190) Homestyle Group Plc HME (29) 409 (124) Imperial Chemical Industries Plc ICI (835) 8,881 (49) Invensys PLC (963) 4,861 913 IPC Media Ltd. (685) 254 16 Jarvis Plc JRVS.L (683) 492 (371) Lambert Fenchurch Group (1) 1,827 3 Lattice Group (1,290) 12,410 (1,228) Leeds United LDSUF.PK (73) 144 (29) M 2003 Plc (2,204) 7,205 (756) Manchester City (17) 154 (21) Micro Focus International Plc MCRO.L (14) 115 (11) Misys Plc MSY (460) 906 60 Mytravel Group MT.L (283) 1,159 (410) Orange Plc ORNGF (594) 2,902 7 Park Group Plc PKG.L (5) 111 (13) Partygaming Plc PRTY (46) 398 (110) Premier Foods Plc PFD.L (31) 1,475 16 Probus Estates Plc PBE.L (28) 113 (49) Regus Plc RGU.L (46) 367 (60) Rentokil Initial Plc RTO (1,134) 2,678 (45) RHM Plc RHM (586) 2,411 59 Saatchi & Saatchi SSI (119) 705 (41) Seton Healthcare (11) 157 0 SFI Group (108) 178 (162) Telewest Communications Plc TLWT (3,702) 7,581 (5,361) UK Coal Plc UKC (25) 865 (62) Virgin Mobile Holdings Plc VMOB.L (101) 278 (80) Each Tuesday edition of the TCR-Europe contains a list of companies with insolvent balance sheets based on the latest publicly available balance sheet available to our editors at the time of publication. At first glance, this list may look like the definitive compilation of stocks that are ideal to sell short. Don't be fooled. Assets, for example, reported at historical cost net of depreciation may understate the true value of a firm's assets. A company may establish reserves on its balance sheet for liabilities that may never materialize. The prices at which equity securities trade in public market are determined by more than a balance sheet solvency test. ********* Each Tuesday edition of the TCR contains a list of companies with insolvent balance sheets whose shares trade higher than $3 per share in public markets. At first glance, this list may look like the definitive compilation of stocks that are ideal to sell short. Don't be fooled. Assets, for example, reported at historical cost net of depreciation may understate the true value of a firm's assets. A company may establish reserves on its balance sheet for liabilities that may never materialize. The prices at which equity securities trade in public market are determined by more than a balance sheet solvency test. A list of Meetings, Conferences and Seminars appears in each Thursday's edition of the TCR. Submissions about insolvency- related conferences are encouraged. Send announcements to conferences@bankrupt.com/ ********* 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 Zamesa 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 * * *