TCREUR_Public/070116.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, January 16, 2007, Vol. 8, No. 11    

                            Headlines


A U S T R I A

AGENTUR4FITNESS LLC: Creditors' Meeting Slated for January 29
BACKEREI STUEBE: Creditors' Meeting Slated for January 25
BAR-COM: Creditors' Meeting Slated for February 7
COMMTREND LLC: Claims Registration Period Ends January 25
FRIEDRICH HUBER: Creditors' Meeting Slated for January 30

SEG LLC: Creditors' Meeting Slated for January 23
VORHANGNAHEREI SAUBERER: Vienna Court Orders Business Shutdown
W + L ELEKTRO: Steyr Court Orders Business Shutdown


B E L G I U M

GOODYEAR TIRE: Moody's Affirms B1 Corporate Family Rating
LEVEL 3: Lenders Agree to US$490 Million Debt-for-Equity Swap


C Y P R U S

MARFIN POPULAR: Fitch Says Takeover Will Step Up Consolidation


F I N L A N D

METSO OYJ: Inks Equipment Supply Deal with Japan Novopan


F R A N C E

COMPAGNIE GENERALE: Moody's Confirms Ba2 Corporate Family Rating
CNET NETWORKS: Expects to File Delinquent Reports on January 29
DE FURSAC: Commercial Court Gives Six Months Observation Period
EUROTUNNEL GROUP: Paris Commercial Court Approves Safeguard Plan


G E R M A N Y

BENQ CORP: Investor Group Eyes 2008 Profit for Bankrupt Unit
DAIMLERCHRYSLER AG: To Sell 7.5% EADS Stake to Bank Consortium
ELEKTRO KIMMEL: Claims Registration Ends February 1
FRUECHTE LIENERT: Claims Registration Ends January 31
GUTMANN GMBH: Claims Registration Ends January 31

HEROS GROUP: Mannheimer Versicherung Contests Contract
KERA-MOS GMBH: Creditors' Meeting Slated for January 29
KROHN GMBH: Claims Registration Ends February 1
LORENZ GMBH: Claims Registration Ends January 31
MASSIVHAUSBAU REINHARD: Claims Registration Ends January 25

MD OBJEKTBAU: Claims Registration Ends January 30
PROJEKT PLUS: Claims Registration Ends January 26
SALMANIS BAU: Creditors' Meeting Slated for January 23
TAUBERLUX WEINGUETER: Claims Registration Ends February 1


I T A L Y

ALITALIA SPA: Board Meeting Slated for January 19
ALITALIA SPA: Management & Capitali Undecided on Possible Bid
ALITALIA SPA: Unions Set Jan. 19 Strike Despite Possible Fines


K A Z A K H S T A N

ALMATYTRANSAGRO LLP: Creditors Must File Claims by February 27
CENTRAL-KAZAKHSTAN GROCERY: Creditors' Claims Due February 27
JANA TOGAN: Proof of Claim Deadline Slated for February 27
KAZROP LLP: Claims Filing Period Ends February 27
KAZROSSENERGO LLP: Aktube Region Starts Bankruptcy Procedure

KYZYL AGASH: Claims Registration Ends February 27
MUNAI PROJECT: Claims Filing Period Ends February 27
MURAT LLP: Proof of Claim Deadline Slated for February 27
RATHAN AIR-CARGO: Almaty Court Opens Bankruptcy Proceedings
ZAPKAZKAMAZ-KYZYLORDA LLP: Creditors' Claims Due February 27


K Y R G Y Z S T A N

ASIA PROMETEY: Creditors' Claims Due February 27
SPARTAK SECURITY: Creditors Must File Claims by February 27
TSUM-ELECTRO LLC: Claims Filing Period Ends February 27


L U X E M B O U R G

DANA CORP: Seeks Court Nod to Amend US$1.45BB DIP Debt Agreement
DANA CORP: Moody's Puts Low-B Ratings on Amended DIP Financing
DANA CORP: S&P Rates US$1.55 Billion DIP Facilities at BB-
EVRAZ GROUP: Completes Tender Offer for Oregon Steel Shares


N E T H E R L A N D S

GETRONICS NV: Starts Repayment of EUR95-Mln Convertible Bonds


N O R W A Y

AKER KVAERNER: Inks US$23-Million Deal with Atlantia Offshore


R U S S I A

DONSKAYA MILK: Rostov Court Names A. Reuk as Insolvency Manager
ELECTRO-TEXTILE CJSC: Creditors Must File Claims by Feb. 23
GAZPROM NEFT: To Ink Joint Venture Deal with OAO Lukoil
GOLDEN TELECOM: Receives Access Codes for Long Distance Services
GREMYACHINSKIY FISHING: Court Starts Bankruptcy Proceedings

GUBERNSKIY DIARY: Creditors Must File Claims by Feb. 23
IZHEVSKIY COMBINE: Bidding Deadline Slated for Jan. 23
KAMENSKIY DIARY: Creditors Must File Claims by Feb. 23
LUKOIL OAO: To Ink Joint Venture Deal with OAO Gazprom Neft
LUKOIL OAO: Earns US$6.44 Billion in January-September 2006

LUKOIL OAO: Hikes Oil Production to 89.5 Million Tons in 2006
MEGA-D CJSC: Creditors Must File Claims by Feb. 23
MILK OF DON: Creditors Must File Claims by Feb. 23
MIRAX GROUP: Fitch Assigns B Rating with Stable Outlook
MOZHGINSKIY MEAT: Bankruptcy Hearing Slated for May 3

ROSNEFT OIL: To Hike Gas Production in Purneftegaz Unit
ROSNEFT OIL: State Support Cues S&P to Lift Rating to BB+
SEVERNAYA KAZNA: Moody's Assigns E+ Financial Strength Rating
SEVERSTAL OAO: Budgets RUR5 Billion to Rebuild N3 Blast Furnace
SIB-MET CJSC: Court Names A. Raskin as Insolvency Manager

STEEL-ENERGO CJSC: Court Names E. Boyarshinov to Manage Assets
SHUMERLINSKIY WOOD: Asset Sale Slated for January 24
TIMLYUYSKIY FACTORY: Creditors Must File Claims by February 23
TNK-BP HOLDING: Wrests Full Ownership of LLC JV Vanyoganneft
TUNING FORK: Creditors Must File Claims by Feb. 23

VOLNOVSKOYE CJSC: Court Names A. Lyubimenko to Manage Assets


S P A I N

ALLIANCE ATLANTIS: Inks CDN$2.3 Billion Deal with CanWest
ALLIANCE ATLANTIS: Moody's Changes Direction of Ratings Review


S W I T Z E R L A N D

DE BORTOLI: Arlesheim Court Starts Bankruptcy Proceedings
DONNA E UOMO: Aargau Court Starts Bankruptcy Proceedings
LIBERALE BAUGENOSSENSCHAFT: Court Closes Bankruptcy Proceedings
M & S BAUTECHNIK: Aargau Court Suspends Bankruptcy Proceedings
REUSSDACH GEBENSTORF: Asset Sale Auction Slated for January 25

ROPEX BAUTEC: Aargau Court Closes Bankruptcy Proceedings
S & S BIKEWEAR: Aargau Court Starts Bankruptcy Proceedings
SCHWITZKASTEN WETTINGEN: Asset Sale Auction Set for January 25
SOLAND ELEKTRO: Aargau Court Closes Bankruptcy Proceedings
WEITEX JSC: Basel-Stadt Court Closes Bankruptcy Proceedings


U K R A I N E

TNK-BP HOLDING: Wrests Full Ownership of LLC JV Vanyoganneft


U N I T E D   K I N G D O M

ADVANCED MARKETING: Seeks to Pay US$12-Mln Publisher Claims
ADVANCED MICRO: Shares Drop 10% as Lower Prices Cut Profit
ARRAN FUNDING: Moody's Rates GBP57.9-Mln Class Notes at (P)Ba1
AXS-ONE: Stock Trading Continues While Amex Reviews Compliance
BELTPACKER PLC: Creditors' Meeting Slated for January 19

BOMBARDIER INC: To Lay Off 170 Business-Jet Jobs in Montreal
BRITISH AIRWAYS: GMB Union's Shop Stewards Reject Pension Offer
BRITISH AIRWAYS: Reducing Fuel Surcharge on Longhaul Flights
BRITISH AND FOREIGN: Creditors' Meeting Slated for January 18
BURTENSHAW FM: Creditors' Meeting Slated for January 22

COLLINS & AIKMAN: Wants IHD Litigation Claims Agreement Approved
COLLINS & AIKMAN: Court Approves ASC Inc. License Agreement
DURA AUTOMOTIVE: U.S. Trustee Objects to Miller Buckfire Hiring
DURA AUTOMOTIVE: Discloses David L. Harbert's Employment Terms
EASTMAN KODAK: Onex Deal Prompts Moody's to Continue Review

EASTMAN KODAK: S&P Keeps Negative CreditWatch on Onex Deal
EMI GROUP: Unveils Restructuring Plan; Streamlines Management
EMI GROUP: Competing Media Spurs Poor Music Sales, Fitch Says
EUROTUNNEL GROUP: Paris Commercial Court Approves Safeguard Plan
F M RAIL: Brings In Begbies Traynor to Administer Assets

FABRICATION & TECHNOLOGY: Appoints Liquidators from BRI Business
FIELDS OF ITALY: Nominates Philip Weinberg as Liquidator
FIRST MORTGAGE: Creditors' Meeting Slated for January 30
FOCUS DIY: S&P Junks B- Corporate Credit Ratings
GENERAL MOTORS: Eyes More Job Cuts & Overseas Expansion

GENERAL MOTORS: Kirk Motors No Longer International Sales Rep
GENERAL MOTORS: Outlines Priorities for 2007 & Increases CapEx
HMV GROUP: Hikes 26-Week Sales to GBP767.2 Million
HUNTSMAN CORP: S&P Holds BB- Rating & Removes Positive Watch
IRON MOUNTAIN: Moody's Assigns B3 Rating on EUR175-Mln Notes

IXION PLC: S&P Assigns BB Rating on US$22.5-Mln Class G Notes
J & J CONTRACTING: Calls On Creditors to Submit Proofs of Claim
LAVENDER HILL: Creditors' Meeting Slated for January 18
PROPEX INC: Moody's Affirms Junk Rating on US$150-Mln Notes
SKYEPHARMA PLC: Lehman Europe Hikes Equity Stake to 10.12%

SOLO CUP: Fitch Initiates B- IDR; Outlook Negative
STERAID LIMITED: Liquidator Sets February 28 Claims Bar Date
URGENT SOLUTIONS: Alan Simon Leads Liquidation Procedure
VANE TEMPEST: Appoints Liquidator from Tenon Recovery
VIA IMPORTS: Joint Liquidators Take Over Operations

VOYAGER IT: Taps Mark Reynolds to Liquidate Assets

* EU Energy Unbundling Plan Could Weaken Sector, Fitch Says

* Large Companies with Insolvent Balance Sheets


                            *********


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A U S T R I A
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AGENTUR4FITNESS LLC: Creditors' Meeting Slated for January 29
-------------------------------------------------------------
Creditors owed money by LLC Agentur4Fitness (FN 219730h) are
encouraged to attend the creditors' meeting at 10:45 a.m. on
Jan. 29 to consider the adoption of the rule by revision and
accountability.

The creditors' meeting will be held at:

         The Trade Court of Vienna
         Room 1705
         Vienna, Austria

Headquartered in Vienna, Austria, the Debtor declared bankruptcy
on Nov. 29, 2006 (Bankr. Case No. 3 S 163/06z).  Bernhard Eder
serves as the court-appointed property manager of the bankrupt
estate.  Herbert Hochegger represents Dr. Eder in the bankruptcy
proceedings.

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  


BACKEREI STUEBE: Creditors' Meeting Slated for January 25
---------------------------------------------------------
Creditors owed money by LLC Backerei Stuebe (FN 267362f) are
encouraged to attend the creditors' meeting at 9:00 a.m. on
Jan. 25 to consider the adoption of the rule by revision and
accountability.

The creditors' meeting will be held at:

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

Headquartered in Bregenz, Austria, the Debtor declared
bankruptcy on Nov. 29, 2006 (Bankr. Case No. 14 S 51/06x).  
Christian Steurer serves as the court-appointed property manager
of the bankrupt estate.  Stefan Aberer represents Mag. Steurer
in the bankruptcy proceedings.

The property manager and his representative can be reached at:

         Mag. Christian Steurer
         c/o Mag. Stefan Aberer
         Rathausstrasse 37
         6900 Bregenz, Austria
         Tel: 05574/58085
         Fax: 05574/58085-8
         E-mail: office@ra-steurer.at   


BAR-COM: Creditors' Meeting Slated for February 7
-------------------------------------------------
Creditors owed money by Trade LLC Bar-Com (FN 218253k) are
encouraged to attend the creditors' meeting at 11:00 a.m. on
Feb. 7 to consider the adoption of the rule by revision.

The creditors' meeting will be held at:

         The Trade Court of Vienna
         Room 1707
         Vienna, Austria

Headquartered in Vienna, Austria, the Debtor declared bankruptcy
on June 2, 2006 (Bankr. Case No. 2 S 96/06i).  Robert
Gschwandtner serves as the court-appointed property manager of
the bankrupt estate.  Peter Pullez represents Dr. Gschwandtner
in the bankruptcy proceedings.

The property manager and his representative can be reached at:

         Dr. Robert Gschwandtner
         c/o Dr. Peter Pullez
         Tuchlauben 8
         1010 Vienna, Austria
         Tel: 513 29 79
         E-mail: pullezgschwandtner@aon.at


COMMTREND LLC: Claims Registration Period Ends January 25
---------------------------------------------------------
Creditors owed money by LLC CommTrend (FN 253960x) have until
Jan. 25 to file written proofs of claims to court-appointed
property manager Stefan Jahns at:

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

Creditors and other interested parties are encouraged to attend
the creditors' meeting at 11:00 a.m. on Feb. 8 to consider the
adoption of the rule by revision and accountability.

The meeting of creditors will be held at:

         The Trade Court of Vienna
         Room 1707
         Vienna, Austria

Headquartered in Vienna, Austria, the Debtor declared bankruptcy
on Nov. 29, 2006 (Bankr. Case No. 2 S 167/06f).  Michael
Neuhauser represents Mag. Jahns in the bankruptcy proceedings.


FRIEDRICH HUBER: Creditors' Meeting Slated for January 30
---------------------------------------------------------
Creditors owed money by LLC Friedrich Huber (FN 84043v) are
encouraged to attend the creditors' meeting at 11:10 a.m. on
Jan. 30 to consider the adoption of the rule by revision and
accountability.

The creditors' meeting will be held at:

         The Land Court of St. Poelten
         Room 216
         2nd Floor (Old Building)
         St. Poelten, Austria

Headquartered in Tulln, Austria, the Debtor declared bankruptcy
on Nov. 29, 2006 (Bankr. Case No. 14 S 193/06g).  Hans Pucher
serves as the court-appointed property manager of the bankrupt
estate.  

The property manager can be reached at:

         Dr. Hans Pucher
         Wiener Road 3
         3100 St. Poelten, Austria
         Tel: 02742/35 43 55
         Fax: 02742/35 14 35
         E-mail: office@gpls.at


SEG LLC: Creditors' Meeting Slated for January 23
-------------------------------------------------
Creditors owed money by LLC SEG (FN 86797v) are encouraged to
attend the creditors' meeting at noon on Jan. 23 to consider the
adoption of the rule by revision and accountability.

The creditors' meeting will be held at:

         The Trade Court of Vienna
         Room 708
         Vienna, Austria

Headquartered in Vienna, Austria, the Debtor declared bankruptcy
on Nov. 20, 2006 (Bankr. Case No. 6 S 115/06p).  Richard Proksch
serves as the court-appointed property manager of the bankrupt
estate.  Edmund Roehlich represents Dr. Proksch in the
bankruptcy proceedings.

The property manager can be reached at:

         Dr. Richard Proksch
         c/o Dr. Edmund Roehlich
         Heumarkt 9/I/11
         1030 Vienna, Austria
         Tel: 713 46 51
         Fax: 713 84 35
         E-mail: proksch@eurojuris.at


VORHANGNAHEREI SAUBERER: Vienna Court Orders Business Shutdown
--------------------------------------------------------------
The Trade Court of Vienna entered Nov. 28, 2006, an order
shutting down the business of LLC Vorhangnaherei Sauberer (FN
164863x).  

Court-appointed property manager Christof Stapf recommended the
business shutdown after determining that the continuing
operations would reduce the value of the estate.

The property manager can be reached at:

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

Headquartered in Vienna, Austria, the Debtor declared bankruptcy
on Nov. 9, 2006 (Bankr. Case No. 6 S 100/06g).  Michael
Neuhauser represents Dr. Stapf in the bankruptcy proceedings.


W + L ELEKTRO: Steyr Court Orders Business Shutdown
---------------------------------------------------
The Land Court of Steyr entered Nov. 27, 2006, an order shutting
down the business of LLC W + L Elektro (FN 198048y).  

Court-appointed property manager Christoph Rogler recommended
the business shutdown after determining that the continuing
operations would reduce the value of the estate.

The property manager can be reached at:

         Dr. Christoph Rogler
         Stelzhamerstrasse 9
         4400 Steyr, Austria
         Tel: 07252/54768-0
         E-mail: dr.rogler@aon.at


Headquartered in Adlwang, Austria, the Debtor declared
bankruptcy on Nov. 20, 2006 (Bankr. Case No. 14 S 58/06m).  


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B E L G I U M
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GOODYEAR TIRE: Moody's Affirms B1 Corporate Family Rating
---------------------------------------------------------
Moody's Investors Service affirmed Goodyear Tire & Rubber
Company's Corporate Family Rating of B1.  Ratings on Goodyear's
existing secured and unsecured obligations were also affirmed as
was the company's Speculative Grade Liquidity rating of SGL-2.
The outlook has reverted to stable from negative.  

The actions follow the resolution of Goodyear's organized labor
contract with the USW in North America and more detailed
disclosure of the settlement's applicable terms and benefits.  
Moody's would expect the company over time to achieve
significant efficiencies from the new contract and other
restructuring actions.  Collectively, those developments will
position the company's metrics in the B1 rating category.  In
the near-term, however, debt could peak at higher levels from
the ramp-up of production, re-structuring expenditures from
announced plant closures, and funding the contribution to a new
VEBA account.  

Although improvement in Goodyear's performance is weighted
towards 2008 and beyond, Moody's is comfortable that the company
has sufficient liquidity to weather an interim period, and,
thereafter, its coverage and leverage ratios would be on a
recovery path from an enhanced cost structure, increased
productivity, lower legacy costs and stream-lined manufacturing
footprint.

Ratings affirmed:

* Goodyear Tire & Rubber Company

   -- Corporate Family Rating, B1
   -- Probability of Default, B1
   -- first lien credit facility, Ba1, LGD2, 10%
   -- second lien term loan, Ba3, LGD3, 35%
   -- third lien secured term loan, B2, LGD4, 63%
   -- 11% senior secured notes, B2, LGD4, 63%
   -- floating rate senior secured notes, B2, LGD4, 63%
   -- 9% senior notes, B2, LGD4, 63%
   -- 8 5/8 % senior unsecured notes due 2011, B2, LGD4, 63%
   -- floating rate unsecured note due 2009, B2, LGD4, 63%
   -- 8 1/2% senior notes, B3, LGD6, 94%
   -- 6 3/8% senior notes, B3, LGD6, 94%
   -- 7 6/7% senior notes, B3, LGD6, 94%
   -- 7% senior notes, B3, LGD6, 94%
   -- senior unsecured convertible notes, B3, LGD6, 94%
   -- Speculative Grade Liquidity rating, SGL-2

* Goodyear Dunlop Tyres Europe

   -- Euro revolving credit facilities, Ba1, LGD2, 10%
   -- Euro secured term loan, Ba1, LGD2, 10%

The last rating action was on Nov. 16, 2006, at which time
ratings on the company's US$1.0 billion of unsecured notes with
maturities in 2009 and 2011 were assigned.

Goodyear has stated that the terms of the new labor contract
along with other actions announced during 2006 and early January
2007 will enable it to surpass its goals of reducing high cost
tire manufacturing capacity and achieving a more competitive
cost structure in its North American operations.  Collectively,
the actions at USW plants in North America are expected to
generate annual savings of US$300 million in 2009, which
represents more than 3% of that segments sales.  Savings from
actions at its Valleyfield, Quebec plant (estimated at roughly
US$40 million/year once implemented) and its Moroccan operations
would be supplemental to that figure.  

The Tyler, TX plant will operate through 2007, and Valleyfield,
Quebec will continue tire production through the first half of
this year.  The bulk of the savings will not be realized until
2008 and beyond.  In order to achieve those savings, some "up-
front" expenditure will be required.  These could lead to an
increase in indebtedness during 2007 as working capital
requirements are affected by the ramp of domestic production,
contributions are made to the VEBA cash restructuring costs for
Valleyfield  and Tyler, TX in early 2008 are incurred, and any
supplemental retirement "buy-outs" envisioned under the new USW
agreement are considered. Potentially offsetting those
requirements would be prospective proceeds from asset sales
and/or an equity offering which the company is evaluating.

Goodyear's Corporate Family rating of B1 continues to recognize
strong scores for several factors in Moody's Automotive Supplier
Methodology.  These factors include the company's substantial
scale, global brands with refreshed product offerings, leading
market share, diversified geographic markets, and improved debt
maturity and liquidity profiles.  Scores for those qualitative
attributes would normally track to a higher Corporate Family
rating.  

However, the B1 rating considers Goodyear's relatively weak
quantitative scores including leverage, which has stepped-up
from recent borrowings and could increase further in the near-
term, low EBIT returns and weak FCF/debt ratios. Contributions
to pension plans will remain substantial for another year before
declining in 2008.  Scores from those quantitative factors
counter qualitative strengths.  The company faces challenges in
restoring its balance sheet, and contending with various
contingent liabilities.  Debt levels should crest during 2007
and leverage measurements retreat as savings begin to be
realized from the terms in its North American labor settlement
and other actions.  Realization of those efficiencies will
require successful execution.

The stable outlook considers the prospective benefits Goodyear
is likely to achieve from the new labor contract and other
restructuring actions that will ultimately lead to improved
financial performance and lower leverage statistics.  Existing
cash and access to a sizable committed revolving credit facility
provide sufficient resources to manage through what could be a
choppy interim period during which demand in North American
replacement tire markets may not experience any material growth
and raw material costs remain volatile.  

While metrics for trailing periods covering the strike and its
lingering effects in early 2007 may suggest lower rating
categories, leverage and coverage measurements are expected to
improve as savings are realized and demand stabilizes.  Moody's
also anticipates Goodyear's year-end balance sheet will confirm
lower under-funded pension liabilities.  The company is
positioned with good liquidity and faces minimal debt maturities
until 2009.

A positive outlook or higher ratings could develop could develop
if debt/EBITDA were to fall to 4 times or below and
EBIT/interest were to be sustained above 2 times while
generating positive free cash flow.  Application of proceeds
from prospective asset sales or material equity issuance to
reduce leverage could also facilitate stronger ratings.  
Downward pressure on the rating or a negative outlook could
develop if replacement tire demand in North America were to
weaken and produce lower margins.  Similarly, higher raw
material costs, which were not recovered from pricing actions or
productivity gains, or an inability to realize savings
associated with the new USW labor contract could also lead to
lower profitability.  Evidence of this could come from negative
free cash flow, EBIT/interest declining below 1.25 X, or
debt/EBITDA metrics maintained at or above 5 times beyond 2007.

The SGL-2 liquidity rating represents good liquidity over the
coming year.  This stems from continuing extensive cash
resources, which were supplemented by a US$1 billion note
offering in November, and access to a committed US$1-billion
revolving credit.  Moody's would anticipate that a portion of
cash resources will be utilized for funding a new VEBA trust,
working capital requirements generated from the ramp of
production in North America as well as the cash portion of
restructuring costs at Tyler, TX and Valleyfield, Quebec.
Repayment of revolving credit borrowings in early January
restored external liquidity, and the company continues with
adequate cushion under its financial covenants.  Terms of its
bank credit agreement provide flexibility on the use of any
potential asset sale proceeds and provide some source for
alternate liquidity to develop.

Goodyear Tire & Rubber Company, based in Akron, OH, is one of
the world's largest tire companies with more than 100 facilities
in 29 countries around the world.  Products include tires,
engineered rubber products, and chemicals.  Revenues in 2005
were approximately US$20 billion.


LEVEL 3: Lenders Agree to US$490 Million Debt-for-Equity Swap
-------------------------------------------------------------
Pursuant to an exchange agreement, Southeastern Asset
Management, on behalf of certain investment accounts, and Legg
Mason Opportunity Trust have agreed to exchange US$490 million
aggregate principal amount of Level 3 Communications, Inc.'s 10%
Convertible Senior Notes due 2011 for a total of approximately
160.1 million shares of Level 3's common stock, equivalent to
approximately 326.78 shares per US$1,000 note, and the payment
of accrued and unpaid interest on the notes to the closing date.

The shares of common stock to be issued under this agreement are
exempt from registration pursuant to Section 3(a)(9) under the
Securities Act of 1933, as amended.

The notes are currently convertible into shares of Level 3's
common stock at a rate of 277.77 shares per US$1,000 note.

As a result of the exchange, the company expects to reduce its
2007 cash interest expense by approximately US$47 million.  The
notes are callable by the company on May 1, 2009.

"This transaction is positive for our company as it helps us
delever and reduce interest expense," said Sunit S. Patel, CFO
of Level 3.  "Throughout 2007, we expect to continue taking
steps operationally and financially to improve our financial
position."

                          About Level 3

Headquartered in Bloomfield, Colorado, Level 3 Communications,
Inc. (Nasdaq: LVLT) -- http://www.Level3.com/-- an  
international communications company, provides Internet
connectivity for millions of broadband subscribers.  The company
provides a comprehensive suite of services over its broadband
fiber optic network including Internet Protocol services,
broadband transport and infrastructure services, colocation
services, voice services and voice over IP services.   In
Europe, the company maintains operations in Belgium, Denmark,
France, Germany, and the United Kingdom, among others.

At June 30, 2006, Level 3's balance sheet showed a stockholders'
deficit of US$33 million, compared to a deficit of US$476
million at Dec. 31, 2005.

                            *    *    *

As reported in the Troubled Company Reporter on Dec. 20, 2006,
Standard & Poor's Ratings Services assigned its 'CCC-' rating to
US$650 million of 9.25% senior notes due 2014 issued by Level 3
Financing Inc., a subsidiary of Broomfield, Colorado-based
Level 3 Communications Inc.


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MARFIN POPULAR: Fitch Says Takeover Will Step Up Consolidation
--------------------------------------------------------------
Fitch Ratings says that an acquisition of Marfin Popular Bank by
Piraeus Bank or, conversely, a successful bid by MPB to acquire
both Piraeus and Bank of Cyprus would result in improved
national and regional franchises for the successful bidder but
would also entail considerable integration risk.

Piraeus announced Jan. 11 that it would make a voluntary public
offer for up to 100% of MPB's shares.  On Jan. 12, MPB in turn
announced a bid for both Piraeus and BoC.  All bids are subject
to regulatory and shareholder approvals and the legal procedures
are yet to be clarified.  Fitch will consider possible ratings
implications for each bank only if approvals are obtained and
when more detailed information, in particular on the financing
of the respective bids, becomes available.

Piraeus is bidding for at least 40% and up to 100% of MPB's
shares.  The bank would aim to fund the acquisition through a
share capital increase but would still need to obtain the
shareholder approval for any potential increase in its share
capital.

MPB aims to acquire at least 35% and up to 100% of the shares of
BoC.  Details on MPB's bid for Piraeus have not been made public
yet.  MPB's bid proposals follow an announcement by Marfin
Financial Group on Jan. 10 to increase its share capital by EUR5
billion in order to fund further expansion in the regional
financial sector.

"If Piraeus's bid were successful, Piraeus would increase its
presence in Cyprus considerably and would also grow in Greece
where MPB has recently made acquisitions and is now the seventh
biggest lender," says Cristina Torrella, director in Fitch's
Financial Institution team.  MPB has in late 2006 merged its
Greek operations with Marfin Bank, a small bank focusing on
corporate finance and with Egnatia Bank, a small consumer
lender.  

"Such an acquisition would make sense from a business point of
view, especially since it would improve Piraeus's position in
the lucrative consumer lending market.  However, it would also
entail considerable integration risk," adds Ms. Torrella.  
"Piraeus would in effect have to deal with a four-way merger
between the three banks making up MPB's Greek operations and its
own Greek business, and would additionally have to integrate
MPB's Cypriot operations."

Fitch views MPB's acquisition plans even more challenging since
the bank aims to acquire two banks of considerable size at the
same time.  "Since the merger of Laiki Hellas with Marfin Bank
and Egnatia Bank are still under way, the integration of BoC and
Piraeus would be subject to considerable integration risk," says
Paolo Fioretti, director in Fitch's Financial Institutions team.  
Although the merger between MPB and BoC would create one of the
largest banks in Greece with a good franchise and sound
prospects, it would produce the biggest bank in Cyprus with a
market share just below 50%, prompting possible opposition from
domestic or European competition bodies.

Fitch will continue to monitor the situation closely and will
take rating action when appropriate.

Piraeus is Greece's fourth largest banking group by total assets
with 480 branches and 8,747 staff in Greece and the neighboring
countries.  Traditionally, it had a strong franchise in SME
lending but has in recent years aggressively expanded its retail
lending activities.  The bank is listed at the Athens Stock
Exchange and has a diversified shareholder base.

MPB is the new name for Cyprus Popular Bank, Cyprus' second-
largest financial institution.  It offers full banking and
financial services and at the end of 2005, it had 114 branches
and 2,416 staff in Cyprus as well as 55 branches in Greece.  
Since 2006, the Dubai Fund, Dubai's investment arm, is MPB's
biggest shareholder with around 12%.  Other large shareholders
include the Tosca Fund and the former majority shareholders of
Egnatia, CPB, and Marfin respectively.  Institutional investors
hold around 35% of MPB's shares.

As reported in the TCR-Europe on Oct. 25, 2006, Fitch Ratings
assigned Cyprus Popular Bank ratings of Issuer Default BBB+,
Short-term F2, Individual C, and Support 2.  The Outlook for the
Issuer Default rating is Stable.


=============
F I N L A N D
=============


METSO OYJ: Inks Equipment Supply Deal with Japan Novopan
--------------------------------------------------------
Metso Panelboard, a unit of Metso Oyj, will deliver all the main
equipment for the new particleboard line of Japan Novopan
Industrial Co., Ltd. in Japan.  The new line is scheduled for
start-up in early 2008.  

The value of the order is not disclosed.  The order has been
booked in the order book for the fourth quarter of 2006.

Metso's delivery includes screens, gluing system with flake
metering and resin blending system, forming stations, press
outfeed line and process automation system.  Metso will also
supply the engineering services together with supervision of
installation and start-up.  The value of this type of delivery
is generally under EUR10 million.

The construction of the new particleboard line will begin in
spring/summer 2007 in Sakai, Osaka. The annual production
capacity will be about 250,000 cubic meters.

Japan Novopan is the largest particleboard manufacturer in Japan
with operations on two sites.  After this expansion project, the
company's combined annual production capacity of particleboard
will be in excess of 350,000 cubic meters.

                          About Metso

Headquartered in Helsinki, Finland, Metso Corporation --
http://www.metso.com/-- is a global engineering and technology    
corporation with 2005 net sales of around 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 principal production plants are located in Brazil,
China, Finland, France, Germany, India, Italy, South Africa,
Sweden, the United Kingdom and the United States.

                        *     *     *

As reported in the TCR-Europe on April 11, 2006, Standard &
Poor's Ratings Services revised its outlook on Finland-based
machinery and engineering group Metso Corp. to positive from
stable, reflecting improvements in the group's operating
performance and capital structure that offer it the potential to
return to a low investment-grade rating.  The 'BB+' long-term
and 'B' short-term corporate credit ratings, as well as the 'BB'
senior unsecured debt rating on the group were affirmed.


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


COMPAGNIE GENERALE: Moody's Confirms Ba2 Corporate Family Rating
----------------------------------------------------------------
Moody's Investors Service confirmed the Ba2 corporate family
rating of Compagnie Generale de Geophysique and the Ba3 ratings
on its two series of US$165-million senior notes due 2015.  

The (P)Ba2 ratings on its proposed US$1.3-billion secured credit
facilities remain unchanged.  The outlook on all ratings is
stable.  At the same time, Moody's has withdrawn the Ba3
corporate family rating of Veritas DGC Inc. for business
reasons.

The rating action follows the successful completion of the
merger between CGG and Veritas in a part cash, part stock
transaction valued at US$3.2 billion.  It reflects:

   (i) Moody's view that the transaction is mildly beneficial to
       CGG's overall business risk profile owing to the greater
       overall scale, enhanced leadership in offshore seismic
       services and data processing as well as more balanced
       customer mix that will result from the merger; and

  (ii) the agency's expectation that the combined entity's
       relatively high pro-forma leverage will decline rapidly
       on the back of the current strong market, characterized
       by double-digit growth rates.

Moody's last rating action on CGG was on Dec. 8, 2006, when the
rating agency assigned (P)Ba2 ratings to CGG's proposed secured
credit facilities.

The newly created entity Compagnie Generale de Geophysique-
Veritas, headquartered in Paris, France, will be the leading
global seismic services provider and manufacturer of seismic
equipment, ahead of Western-Geco and PGS.  In 2006, its combined
revenues amounted to around US$2.4 billion.


CNET NETWORKS: Expects to File Delinquent Reports on January 29
---------------------------------------------------------------
CNET Networks Inc. expects to file restated financial statements
as well as delinquent quarterly reports with the U.S. Securities
and Exchange Commission on Jan. 29, 2007.  

The company's restated financial statements for the years ended
Dec. 31, 2003, 2004, and 2005 will be filed as an amended 2005
Annual Report on Form 10-K.

The company also expects that on Jan. 29, 2007, it will file
with the Securities and Exchange Commission an amended Form 10-Q
for the quarter ended Mar. 31, 2006, as well as the delinquent
Quarterly Reports on Form 10-Q for the quarters ended June 30,
2006, and Sept. 30, 2006.  By filing on Jan. 29, 2007, CNET
Networks expects to meet the conditions of the Nasdaq Listing
Qualifications Panel for continued listing of its common stock
on The Nasdaq Global Select Market.

The company also reported that it will report its fourth quarter
and full year 2006 financial results after market close on
Monday, Jan. 29, 2007.

Headquartered in San Francisco, California, CNET Networks, Inc.
(Nasdaq: CNET) -- http://www.cnetnetworks.com/-- is an  
interactive media company that builds brands for people and the
things they are passionate about, such as gaming, music,
entertainment, technology, business, food, and parenting.  The
Company's leading brands include CNET, GameSpot, TV.com,
MP3.com, Webshots, CHOW, ZDNet and TechRepublic.  Founded in
1993, CNET Networks has a strong presence in the US, Asia and
Europe including Russia, Germany, Switzerland, France and the
United Kingdom.

                        *     *     *

On Oct. 23, 2006, Standard & Poor's Ratings Services lowered its
ratings on CNET Networks Inc., including lowering the corporate
credit rating to 'CCC+' from 'B', and placed the ratings on
CreditWatch with developing implications.


DE FURSAC: Commercial Court Gives Six Months Observation Period
---------------------------------------------------------------
A Commercial Court in France placed De Fursac in administration
and gave it an observation period of six months, Les Echos says.

According to the report, the expenses in sales outlets and
marketing burdened the company that led to its filing for
insolvency in December 2006.  

From year 2004 to 2006, the company's total cost of investments
amounted to EUR7.6 million.  It's bank debts increased by about
50% to EUR10.4 million and the EUR800,000 injection from its
private funds failed to alter the balance.

Headquartered in Paris, France, De Fursac --
http://www.defursac.fr/-- is a retailer for men's clothing.


EUROTUNNEL GROUP: Paris Commercial Court Approves Safeguard Plan
----------------------------------------------------------------
The Paris Commercial Court approved Eurotunnel Group's safeguard
plan, backed by the court-appointed representatives to the
company and to the creditors.

to cut its GBP6.2 billion debt to more than half.

The court also approved the proposal to pay creditors, including
Deutsche Bank AG and Oaktree Capital Management LLC cash and
convertible bonds, Bloomberg News relates.  It also dismissed 33
lawsuits that opposed the plan to cut Eurotunnel's GBP6.2
billion debt to more than half, Bloomberg adds.

The financing of the plan was agreed with the banking consortium
composed of Goldman Sachs, Deutsche Bank and Citigroup.  

                     Plan Implementation

With the support of the court-appointed supervisors, Laurent le
Guerneve and Valerie Leloup Thomas, Eurotunnel will implement
the plan in the first half of 2007 that would:

   -- list the shares of a new parent company, Groupe Eurotunnel
      SA, the fulcrum of the restructuring, in Paris and London;

   -- issue hybrid Notes Redeemable in Shares by an English law
      mirror company, Groupe Eurotunnel U.K.; and

   -- launch an Exchange Tender Offer by Groupe Eurotunnel SA
      for the shares in Eurotunnel Plc and Eurotunnel SA.  The
      ETO will be the subject of a prospectus, which must be
      approved by the market authorities.

At the same time, Eurotunnel will request that its auditors
certify its 2005 and 2006 accounts, established on a going
concern basis, with a view to publishing such accounts before
the ETO is launched and to allow the lifting of the current
suspension.

To this end, the Paris Commercial Court has authorized
Eurotunnel to extend the deadline for sending out notices of its
general meetings until March 31.

"This gives a future to the company," Nicolas Miguet, who owns 6
million shares and held 19.5% proxies of Eurotunnel, told
Bloomberg.  "This is a company that was heading to certain
bankruptcy and now that is no longer a concern."

Meanwhile, U.S. investment fund Oaktree Capital Management,
which owns some of the company's Tier 3 debt, said it lost its
case against Eurotunnel because the financial restructuring of
the company was executed under French rather than British rules,
Bloomberg cites Sunday Telegraph.

Mr. Laing told the Telegraph that the French ruling won't be the
end of the story.

According to Telegraph, Oaktree, which filed five legal
challenges including a second case in London's Commercial Court
on Jan. 10, planned to fight the Paris courts.

                        About Eurotunnel

Headquartered in Folkestone, United Kingdom and Calais, France,
Eurotunnel Group -- http://www.eurotunnel.co.uk/-- operates a  
fleet of 25 shuttle trains, which carry cars, coaches and
trucks.  It manages the infrastructure of the Channel Tunnel and
receives toll revenues from train operating companies whose
trains pass through the Tunnel.

The British and French governments have granted Eurotunnel a
concession to operate the Channel Tunnel until 2086.

                        Company Crisis

Eurotunnel's crisis began when costs to build the tunnels that
connect U.K. and France started to overrun before it opened in
1994.  The Iraq war followed, which didn't help as tourist
traffic fell.  In May 2004, Eurotunnel appointed Lazard (global
coordinator) and Lehman Brothers as bank advisors, and Dresdner
Kleinwort Wasserstein as restructuring adviser.

In July 2004, auditor KPMG Audit Plc said the company faced
uncertainty after 2005.  The firm's survival is dependent upon
its ability to put in place a refinancing plan or, if not, to
obtain an agreement with the lenders under the existing Credit
Agreement within the next two years, the auditor said.

Eurotunnel obtained Aug. 2 an order placing the channel operator
under the protection of the Court pursuant to the new safeguard
legislation (Procedure de sauvegarde).


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


BENQ CORP: Investor Group Eyes 2008 Profit for Bankrupt Unit
------------------------------------------------------------
BenQ Mobile GmbH & Co. OHG, the bankrupt German unit of Taiwan-
based BenQ Corp., may post a profit in 2008, Focus magazine
reports citing a proposal put forward by a group of investors in
talks of buying the business.

In a Troubled Company Reporter-Europe report on Jan. 15, Gilbert
Amelio, a former chairman of Apple Computer Inc., and Hansjorg
Beha, a former Daimler-Benz executive, are part of a consortium
of U.S.-German investors interested in acquiring BenQ Mobile.

The magazine states that Messrs. Amelio and Beha would aim to
hit break-even for the mobile company this year and report a
EUR10 million profit in 2008.  The managers are optimistic BenQ
Mobile could double its mobile phone production to 8 million
units by 2008, Focus relates.

The parties are continuing talks on the purchase price and
financing.

                   Parent Shifts Focus to LCD

Parent company BenQ Corp. told The Liberty Times that it will
focus on producing LCD televisions and monitors this year,
although mobile phone production will still continue.

"Last year we produced 270,000 handsets.  In 2007, we plan to
produce 300,000 handsets, mainly with youthful and metallic
casing, and will launch our lightest 3G handsets and BenQ-
Siemens E81 handset at the end of January, and will launch GPS
handset and 3.5G handset during the (schools') summer vacation,"
the paper quoted BenQ Manager Hung Han-ching as saying.

                        U.S.-German Bid

Frankfurter Allgemeine Zeitung earlier reported that the group
is suggesting that BenQ Mobile specialize in the production of a
limited number of expensive, high-quality mobile phones.  Mr.
Prager, however, believes that there is little chance the
group's offer will succeed because of its incomplete financing
concept, the daily relates.

Unnamed sources told German news magazine Spiegel that the
investor group is seeking:

   -- up to EUR100 million in state-backed credit lines;

   -- compensation for employing 800 BenQ Mobile employees, who
      have since been transferred to a temporary organization
      funded by Siemens and the Federal Employment Agency; and

   -- rights to BenQ Corp.'s brand names.

                        Other Bidders

As previously reported in the TCR-Europe, German laptop computer
company Bacoc is also in talks with BenQ Mobile over its plans
to acquire the company's business.

Bacoc, which eyes a two-third reduction of BenQ's work force,
plans to retain BenQ's facility in Kamp-Lintfort in North Rhine-
Westphalia and close down the central office in Munich.  It is
targeting sales of 4.5 million units in 2007.

On the other hand, Sentex Sensing Technologies has revealed
plans to acquire BenQ Mobile to the firm's creditors.  Sentex
disclosed that it has received a written statement of Nord Rhein
Westfahlen again on a country endorsement for working capital of
EUR25 million, which was forwarded to the Bank for approval.

Sentex is in serious discussions with several Financial
Institutions for the strategic financing for the deal to
succeed.

                          About BenQ

Headquartered in Taiwan, Republic of China, BenQ Corporation,
Inc. -- http://www.benq.com/-- is principally engaged in
manufacturing, developing and selling of computer peripherals
and telecommunication products.  It is also a major provider of
3G handset, 3G handset, Camera phones, and other products.

BenQ Mobile GmbH & Co., the company's wholly owned subsidiary,
operates from Munich, Germany.  BenQ Mobile filed for insolvency
in Germany on Sept. 29, after BenQ Corp.'s board decided to
discontinue capital injection into the mobile unit in order to
stem unsustainable losses.  The collapse follows a year after
Siemens sold the company to Taiwanese technology group BenQ.
BenQ Mobile has lost market share against giant competitors.

More than 3,000 manufacturing workers have been affected in the
company's insolvency proceedings after it disclosed of plans to
reduce two-thirds of its work force.  The mobile unit took over
a factory in Kamp Lintfort in western Germany from Siemens,
which cost Siemens more than US$1 billion.  Under the agreement,
BenQ will have the right to use the Siemens brand for five
years.  Siemens owns a 2.5 percent stake in BenQ Corp.

                        *     *     *

As reported in the TCR-AP on Oct. 31, Taiwan Ratings Corp.
affirmed its twBB+/twB corporate credit ratings and twBB+
unsecured corporate bond issue rating on BenQ Corp.  The outlook
on the long-term rating is negative.  At the same time, Taiwan
Ratings removed all ratings from Credit Watch with negative
implications, where they were placed on March 14, 2006, and
withdrew all the ratings upon the company's request.


DAIMLERCHRYSLER AG: To Sell 7.5% EADS Stake to Bank Consortium
--------------------------------------------------------------
DaimlerChrysler AG will sell a third of its 22.5% stake in
European Aeronautic Defence & Space Co. to a consortium of
financial institutions organized by the German government, the
Wall Street Journal reports citing a source privy to the matter.

The German government has been looking for a solution to
safeguard its interest in EADS as well as to allow Daimler to
cut its stake without risking the balance between German and
French interests in the aeronautics firm, WSJ relays.

Under the plan, the consortium -- comprising of Credit Suisse
Group, Morgan Stanley, Goldman Sachs Group Inc., Deutsche Bank
AG and Commerzbank AG, insurer Allianz SE, government-backed KfW
Banking Group and banks of German federal states -- would buy a
7.5% stake using derivatives, worth EUR1.5 billion based on
EADS's stock-market value, WSJ reports.  

Daimler, which repurchased the stake after four years, would
remain a shareholder and keep its voting rights for the entire
stake of 22.5%, WSJ cites another source.

Dieter Zetsche, DaimlerChrysler Chief Executive, told WSJ last
week that the carmaker was "relatively close" to an agreement
involving the sale of part of its stake in EADS.  Mr. Zetsche,
who refused to name the possible buyers, expressed irritation
with the severe attention the sale talks got in Germany.

"We would have liked to do our job, come up with a result and
then inform the public," Mr. Zetsche told WSJ.  "As this is a
very political sphere, it's probably naive to think that's
possible."

A German government spokesman said the deal would be unveiled by
the end of January.  

EADS experienced financial fix in 2006 following delays in the
production of its A380 superjumbo jetliner.  The company lost
around EUR5 billion in future profit and warned of possible job
cuts.

                      About DaimlerChrysler

Based in Stuttgart, Germany, DaimlerChrysler AG --
http://www.daimlerchrysler.com/-- develops, manufactures,  
distributes, and sells various automotive products, primarily
passenger cars, light trucks, and commercial vehicles worldwide.  
It primarily operates in four segments: Mercedes Car Group,
Chrysler Group, Commercial Vehicles, and Financial Services.

The Chrysler Group segment offers cars and minivans, pick-up
trucks, sport utility vehicles, and vans under the Chrysler,
Jeep, and Dodge brand names. It also sells parts and accessories
under the MOPAR brand.

The Chrysler Group is facing a difficult market environment in
the United States with excess inventory, non-competitive legacy
costs for employees and retirees, continuing high fuel prices
and a stronger shift in demand toward smaller vehicles.  At the
same time, key competitors have further increased margin and
volume pressures -- particularly on light trucks -- by making
significant price concessions. In addition, increased interest
rates caused higher sales & marketing expenses.

In order to improve the earnings situation of the Chrysler Group
as quickly and comprehensively, measures to increase sales and
cut costs in the short term are being examined at all stages of
the value chain, in addition to structural changes being
reviewed as well.

                             Outlook

As reported in the TCR-Europe on Oct. 30, 2006, DaimlerChrysler
said it expects a slight decrease in worldwide demand for
automobiles in the fourth quarter and thus slower market growth
than in Q4 2005. For full-year 2006, the company anticipates
market growth of around 3%. It expects unit sales in 2006 to be
lower than in the previous year (4.8 million units).

On Sept. 15, 2006, DaimlerChrysler reduced the Group's operating
profit target for 2006 to an amount of US$6.3 billion.  Although
the company now has to assume that the profit contribution from
EADS will be US$0.3 billion lower than originally anticipated
because of the delayed delivery of the Airbus A380,
DaimlerChrysler is maintaining this earnings target due to very
positive business developments in the divisions Mercedes Car
Group, Truck Group and Financial Services.


ELEKTRO KIMMEL: Claims Registration Ends February 1
---------------------------------------------------
Creditors of Elektro Kimmel GmbH i.Gr. have until Feb. 1 to
register their claims with court-appointed insolvency manager
Oliver Schartl.

Creditors and other interested parties are encouraged to attend
the meeting at 9:40 a.m. on March 6, at which time the
insolvency manager will present his first report on the
insolvency proceedings.

The meeting of creditors will be held at:

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

The District Court of Munich opened bankruptcy proceedings
against Elektro Kimmel GmbH i.Gr. on Dec. 21, 2006.  
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be contacted at:

         Elektro Kimmel GmbH i.Gr.
         Attn: Carlo Kellner, Manager
         Drachslstr. 8
         81541 Munich, Germany

The insolvency manager can be contacted at:

         Oliver Schartl
         Schwanthalerstr. 32
         80336 Munich, Germany
         Tel: 089-545110
         Fax: 089-54511-444


FRUECHTE LIENERT: Claims Registration Ends January 31
-----------------------------------------------------
Creditors of Fruechte Lienert GmbH have until Jan. 31 to
register their claims with court-appointed insolvency manager
Carin Hoesel-Eichinger.

Creditors and other interested parties are encouraged to attend
the meeting at 10:00 a.m. on Feb. 27, at which time the
insolvency manager will present his first report on the
insolvency proceedings.

The meeting of creditors will be held at:

         The District Court of Nuernberg
         Meeting Room 152/I
         Flaschenhofstr. 35
         Nuernberg, Germany      
      
The Court will also verify the claims set out in the insolvency
manager's report during this meeting, while creditors may
constitute a creditors' committee or opt to appoint a new
insolvency manager.

The District Court of Nuernberg opened bankruptcy proceedings
against Fruechte Lienert GmbH on Dec. 27, 2006.  Consequently,
all pending proceedings against the company have been
automatically stayed.

The Debtor can be contacted at:

         Fruechte Lienert GmbH
         Leyer Road 107
         90431 Nuernberg, Germany

The insolvency manager can be contacted at:

         Carin Hoesel-Eichinger
         Aussere Sulzbacher Road 155
         90491 Nuernberg, Germany
         Tel: 0911/5861780
         Fax: 0911/58617820


GUTMANN GMBH: Claims Registration Ends January 31
-------------------------------------------------
Creditors of Gutmann GmbH have until Jan. 31 to register their
claims with court-appointed insolvency manager Inge Rall.

Creditors and other interested parties are encouraged to attend
the meeting at 8:45 a.m. on March 6, at which time the
insolvency manager will present her first report on the
insolvency proceedings.

The meeting of creditors will be held at:

         The District Court of Stuttgart
         Room 178
         Hauffstr. 5 (Am Neckartor)
         70190 Stuttgart, Germany
      
The Court will also verify the claims set out in the insolvency
manager's report during this meeting, while creditors may
constitute a creditors' committee or opt to appoint a new
insolvency manager.

The District Court of Stuttgart opened bankruptcy proceedings
against Gutmann GmbH on Dec. 27, 2006.  Consequently, all
pending proceedings against the company have been automatically
stayed.

The Debtor can be contacted at:

         Gutmann GmbH
         Attn: Viola Gutmann, Manager
         Rank 19
         71336 Waiblingen, Germany

The insolvency manager can be contacted at:

         Inge Rall
         Neckarstr. 144-146
         70190 Stuttgart, Germany
         Tel: 0711/120 900 00
         Fax: 0711/120 900 09


HEROS GROUP: Mannheimer Versicherung Contests Contract
------------------------------------------------------
German insurer Mannheimer Versicherung is disputing a contract
with Heros Group, claiming that the insolvent cash transport
company committed deceit on the deal, Sonia Shinde writes for
Handelsblatt.

Mannheimer is declining to pay Heros customers, which included
Deutsche Bank and retailers Edeka, Metro and Rewe.

In a letter to Heros' insolvency administrator, Manuel Sack,
Mannheimer argued that due to the deceit on the part of Heros,
it is contesting its contract involving policy 7509,
Handelsblatt relates.  The insurer also claimed that Heros did
not meet its obligations to provide certain information prior to
the insurance contract and it is therefore withdrawing from the
deal.

As previously reported in the TCR-Europe, Heros Group and 23 of
its subsidiaries filed for insolvency proceedings on Feb. 21,
2006.  The bankruptcy filings were made following the arrest of
four executives from its Nordcash Geldbearbeitung unit, two
board members and two lower-ranking executives, who allegedly
embezzled EUR400 million from its clients for the firm's
expansion and for personal use.

Headquartered in Hanover, Germany, Heros Group --
http://www.heros-unternehmensgruppe.de/-- previously controlled  
around half of Germany's money- transport business and
transports around EUR600 million a day.


KERA-MOS GMBH: Creditors' Meeting Slated for January 29
-------------------------------------------------------
The court-appointed insolvency manager for KERA-MOS GmbH,
Christoph Schulte-Kaubruegger, will present his first report on
the Company's insolvency proceedings at a creditors' meeting at
10:15 a.m. on Jan. 29.

The meeting of creditors and other interested parties will be
held at:

         The District Court of Charlottenburg
         II. Stock Hall 218
         District Court Place 1
         14057 Berlin, Germany

The Court will also verify the claims set out in the insolvency
manager's report at 9:00 a.m. on May 21, at the same venue.

Creditors have until March 30 to register their claims with the
court-appointed insolvency manager.

The District Court of Charlottenburg opened bankruptcy
proceedings against KERA-MOS GmbH on Dec. 22, 2006.  
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be reached at:

         KERA-MOS GmbH
         Kaiserin-Augusta-Avenue 86 c
         10623 Berlin, Germany

The insolvency manager can be reached at:

         Dr. Christoph Schulte-Kaubruegger
         Genthiner Str. 48
         10785 Berlin, Germany


KROHN GMBH: Claims Registration Ends February 1
-----------------------------------------------
Creditors of Krohn GmbH fuer Fenster-Montage-Reparatur have
until Feb. 1 to register their claims with court-appointed
insolvency manager Stefan Hinrichs.

Creditors and other interested parties are encouraged to attend
the meeting at 10:00 a.m. on March 20, at which time the
insolvency manager will present his first report on the
insolvency proceedings.

The meeting of creditors will be held at:

         The District Court of Hamburg
         Hall B 405 (Civil Law Courts)
         4th Floor
         Sievkingplatz 1
         20355 Hamburg, Germany         
      
The Court will also verify the claims set out in the insolvency
manager's report during this meeting, while creditors may
constitute a creditors' committee or opt to appoint a new
insolvency manager.

The District Court of Hamburg opened bankruptcy proceedings
against Krohn GmbH fuer Fenster-Montage-Reparatur on
Dec. 22, 2006.  Consequently, all pending proceedings against
the company have been automatically stayed.

The Debtor can be contacted at:

         Krohn GmbH fuer Fenster-Montage-Reparatur
         Attn: Christa Neumann, Manager
         Kelloggstrasse 35
         22045 Hamburg, Germany

The insolvency manager can be contacted at:

         Stefan Hinrichs
         Kaiser-Wilhelm-Road 93
         20355 Hamburg, Germany
         

LORENZ GMBH: Claims Registration Ends January 31
------------------------------------------------
Creditors of Lorenz GmbH & Co. KG and Lorenz Verwaltungs GmbH
have until Jan. 31 to register their claims with court-appointed
insolvency manager Stephan Jaeger.

Creditors and other interested parties are encouraged to attend
the meeting at 10:15 a.m. on March 1, at which time the
insolvency manager 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 insolvency
manager'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 Lorenz GmbH & Co. KG and Lorenz Verwaltungs
GmbH on Dec. 27, 2006.  Consequently, all pending proceedings
against the company have been automatically stayed.

The Debtor can be contacted at:

         Lorenz GmbH & Co. KG and
         Lorenz Verwaltungs GmbH
         Elbestrasse 45
         82538 Geretsried, Germany

The insolvency manager can be contacted at:

         Stephan Jaeger
         c/o Finanzamt Wolfratshausen
         Sauerlacher Road 16
         82515 Wolfratshausesn, Germany


MASSIVHAUSBAU REINHARD: Claims Registration Ends January 25
-----------------------------------------------------------
Creditors of Massivhausbau Reinhard GmbH have until Jan. 25 to
register their claims with court-appointed insolvency manager
Sylvia Hofmann.

Creditors and other interested parties are encouraged to attend
the meeting at 9:30 a.m. on March 8, at which time the
insolvency manager will present his first report on the
insolvency proceedings.

The meeting of creditors will be held at:

         The District Court of Darmstadt
         Room 4.307
         4th Floor
         Building D
         Mathildenplatz 15
         64283 Darmstadt, Germany
      
The Court will also verify the claims set out in the insolvency
manager's report during this meeting, while creditors may
constitute a creditors' committee or opt to appoint a new
insolvency manager.

The District Court of Darmstadt opened bankruptcy proceedings
against Massivhausbau Reinhard GmbH on Dec. 19, 2006.  
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be contacted at:

         Massivhausbau Reinhard GmbH
         Wiener Road 78
         64287 Darmstadt, Germany

The insolvency manager can be contacted at:

         Sylvia Hofmann
         Birkenweg 24
         64295 Darmstadt, Germany
         Tel: 06151-66729-0
         Fax: 06151-66729-20
         E-mail: darmstadt@ltb-anwaelte.de


MD OBJEKTBAU: Claims Registration Ends January 30
-------------------------------------------------
Creditors of MD Objektbau-Eigenheim GmbH have until Jan. 30 to
register their claims with court-appointed insolvency manager
Achim Thomas Thiele.

Creditors and other interested parties are encouraged to attend
the meeting at 10:10 a.m. on March 13, at which time the
insolvency manager 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 insolvency
manager'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 MD Objektbau-Eigenheim GmbH on Dec. 22, 2006.  
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be contacted at:

         MD Objektbau-Eigenheim GmbH
         Attn: Marcus Dahmann, Manager
         Binnerstr. 38 A
         44319 Dortmund, Germany

The insolvency manager can be contacted at:

         Achim Thomas Thiele
         Bronnerstrasse 7
         44141 Dortmund, Germany


PROJEKT PLUS: Claims Registration Ends January 26
-------------------------------------------------
Creditors of Projekt Plus GmbH have until Jan. 26 to register
their claims with court-appointed insolvency manager Ute Jacob.

Creditors and other interested parties are encouraged to attend
the meeting at 11:35 a.m. on Feb. 7, at which time the
insolvency manager will present his first report on the
insolvency proceedings.

The meeting of creditors will be held at:

         The District Court of Flensburg
         Hall A 220
         Flensburg, Germany
      
The Court will also verify the claims set out in the insolvency
manager's report during this meeting, while creditors may
constitute a creditors' committee or opt to appoint a new
insolvency manager.

The District Court of Flensburg opened bankruptcy proceedings
against Projekt Plus GmbH on Dec. 23, 2006.  Consequently, all
pending proceedings against the company have been automatically
stayed.

The Debtor can be contacted at:

         Projekt Plus GmbH
         Attn: Christine Trueck, Manager
         Dorfstrasse 8
         24996 Ahneby, Germany

The insolvency manager can be contacted at:

         Ute Jacob
         Lorentzendamm 19
         24103 Kiel, Germany
         

SALMANIS BAU: Creditors' Meeting Slated for January 23
------------------------------------------------------
The court-appointed insolvency manager for Salmanis Bau GmbH,
Carsten Lenz, will present his first report on the Company's
insolvency proceedings at a creditors' meeting at 10:00 a.m. on
Jan. 23.

The meeting of creditors and other interested parties will be
held at:

         The District Court of Bad Hersfeld
         Hall 8
         District Court Building
         Duden Route 10
         36251 Bad Hersfeld, Germany

The Court will also verify the claims set out in the insolvency
manager's report at 10:00 a.m. on April 24 at the same venue.

Creditors have until Feb. 26 to register their claims with the
court-appointed insolvency manager.

The District Court of Bad Hersfeld opened bankruptcy proceedings
against Salmanis Bau GmbH on Dec. 27, 2006.  Consequently, all
pending proceedings against the company have been automatically
stayed.

The Debtor can be reached at:

         Salmanis Bau GmbH
         Attn: Harald Frei and Guenter Jackle, Managers
         Wehrdaer Road 3
         36272 Niederaula, Germany

The insolvency manager can be reached at:

         Carsten Lenz
         Dudenstrasse 14
         36251 Bad Hersfeld, Germany
         Tel: 06621/50780
         Fax: 06621/507840


TAUBERLUX WEINGUETER: Claims Registration Ends February 1
---------------------------------------------------------
Creditors of Tauberlux Weingueter GmbH have until Feb. 1 to
register their claims with court-appointed insolvency manager
Helmut Eisner.

Creditors and other interested parties are encouraged to attend
the meeting at 1:45 p.m. on March 13, at which time the
insolvency manager will present his first report on the
insolvency proceedings.

The meeting of creditors will be held at:

         The District Court of Mosbach
         Area 12
         Lohrtalweg 2
         74821 Mosbach, Germany

The Court will also verify the claims set out in the insolvency
manager's report during this meeting, while creditors may
constitute a creditors' committee or opt to appoint a new
insolvency manager.

The District Court of Mosbach opened bankruptcy proceedings
against Tauberlux Weingueter GmbH on Dec. 27, 2006.  
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be contacted at:

         Tauberlux Weingueter GmbH
         Attn: Henner and Gerlinde Hoernig, Managers
         Rebgutstrasse 80
         97922 Lauda-Koenigshofen
         Germany

The insolvency manager can be contacted at:

         Dr. Helmut Eisner
         Josef-Schmitt-Str. 10
         97922 Lauda-Koenigshofen
         Germany
         Tel: 09343/2065


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


ALITALIA SPA: Board Meeting Slated for January 19
-------------------------------------------------
The Board of Directors of ailing national carrier Alitalia
S.p.A. will convene on Jan. 19, Agenzia Giornalistica Italia
reports.

The board will discuss "clarifications to be given on Consob's
request," AGI relays.

                         About Alitalia

Headquartered in Rome, Italy, Alitalia S.p.A. --
http://www.alitalia.it/-- provides air travel services for  
passengers and air transport of cargo on national, international
and inter-continental routes.  In Europe, the company reaches 45
airports, with 1,238 flights per week.  In the rest of the
world, the Alitalia Group's aircrafts operate out of 32 airports
with 255 flights per week.  The Alitalia Group network is
centered on two main airports, Rome Fiumicino and Milan
Malpensa, and includes, as of Sept. 30, 2006, an operating fleet
of 182 aircrafts.  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: Management & Capitali Undecided on Possible Bid
-------------------------------------------------------------
Management & Capitali S.p.A. remains undecided whether to join
the bidding fray for Alitalia S.p.A., Agenzia Giornalistica
Italia reports.

Partners at M&C -- which include Carlo De Benedetti,
Ruggero Magnoni, Giorgio Magnoni, and Nerio Alessandri -- met on
Jan. 12 to review a possible bid for the Italian government's
30.1% stake in Alitalia.  

Following the meeting, the private fund said it "is looking into
possibilities regarding investments, with other potential
investors, in Alitalia, without drawing any conclusions at this
moment."

                   Formal Bidding Process

In a TCR-Europe report on Jan. 3, the Italian government
formally launched the bidding process for its 30.1% stake in
troubled national carrier Alitalia S.p.A. on Dec. 29, 2006.

Italy's Ministry of Economy and Finance is inviting interested
parties to submit a non-binding offer for around 30.1% to 49.9%
of Alitalia's capital and 1,207,147,404 convertible bonds of the
carrier's 7.5% 2002-2010 debenture loan.  The sale will take
place through a competitive procedure involving direct
negotiations with potential buyers.

Interested parties, which should have at least EUR100 million in
capital, have until 6:00 p.m. on Jan. 29, 2007, to submit their
written expression of interest to Merrill Lynch International,
the sale advisor.

According to the Ministry, potential buyers will be selected
based on the economic terms of the offers received and an
analysis of the business plans.  The Ministry will also examine
the compatibility of the offers and business plans with
Alitalia's restructuring, development and relaunch objectives.

The Ministry also outlined mandatory commitments for the buyer
to:

   -- keep at least a 30.1% stake in Alitalia until the business
      plan is successfully carried out:

   -- safeguard Alitalia's national identity; and

   -- guarantee the quality and quantity of services offered and
      coverage of the territory.

Several Italian entrepreneurs are reportedly interested in
Alitalia, The Times reports.  Local bets include:

   -- Carlo Toto, founder of Air One,
   -- Luca di Montezemolo, head of Fiat and Ferrari;
   -- Diego Della Valle, chief of the Tod's shoe empire; and
   -- Banca Intesa and Sanpaolo IMI;

As reported in the TCR-Europe on Jan. 5, Paolo Alazraki, owner
of Real Dreams Italy Srl, heads a group of 16 investors that
indicated their interest in acquiring the national carrier.

The government aims to complete the process this month.

                         About Alitalia

Headquartered in Rome, Italy, Alitalia S.p.A. --
http://www.alitalia.it/-- provides air travel services for  
passengers and air transport of cargo on national, international
and inter-continental routes.  In Europe, the company reaches 45
airports, with 1,238 flights per week.  In the rest of the
world, the Alitalia Group's aircrafts operate out of 32 airports
with 255 flights per week.  The Alitalia Group network is
centered on two main airports, Rome Fiumicino and Milan
Malpensa, and includes, as of Sept. 30, 2006, an operating fleet
of 182 aircrafts.  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: Unions Set Jan. 19 Strike Despite Possible Fines
--------------------------------------------------------------
Labor unions at Alitalia S.p.A. will hold an indefinite strike
on Jan. 19 until the Italian government open direct talks with
the carrier's worker representatives, Bloomberg News reports.

Paolo Maras, Secretary General of the Sindacato Unitario
Lavoratori dei Trasporti union, said that the unions "are
waiting for a sign" that the government is willing to meet them
directly.  Mr. Maras, along with representatives from four other
Alitalia unions, met on Jan. 11 with the Italian commission that
oversees strikes.

The commission can impose daily fines of up to EUR50,000 per
union during any illegal strike, Bloomberg says.  The commission
can also ask intervene from the Transport Ministry, which may
fine individual workers for an illegal job action.

The unions have criticized the Italian government for not
consulting them on decisions regarding Alitalia's future,
including the recent tender offer to sell its 30.1% stake,
Bloomberg relays.

In a TCR-Europe report on Jan 11, the Federazione Italiana
Trasporti-Confederazione Italiana Sindacati Lavoratori might
call off or postpone the scheduled Jan. 19 strike, after the
government committed to involve the union in the future of
Alitalia.

"The setting in motion of debate with the government could be of
great help and favor this period process which will lead to the
privatization of Alitalia," Claudio Genovesi, National Secretary
of FIT-CISL, told Agenzia Giornalistica Italia.

                   Formal Bidding Process

In a TCR-Europe report on Jan. 3, the Italian government
formally launched the bidding process for its 30.1% stake in
troubled national carrier Alitalia S.p.A. on Dec. 29, 2006.

Italy's Ministry of Economy and Finance is inviting interested
parties to submit a non-binding offer for around 30.1% to 49.9%
of Alitalia's capital and 1,207,147,404 convertible bonds of the
carrier's 7.5% 2002-2010 debenture loan.  The sale will take
place through a competitive procedure involving direct
negotiations with potential buyers.

Interested parties, which should have at least EUR100 million in
capital, have until 6:00 p.m. on Jan. 29, 2007, to submit their
written expression of interest to Merrill Lynch International,
the sale advisor.

According to the Ministry, potential buyers will be selected
based on the economic terms of the offers received and an
analysis of the business plans.  The Ministry will also examine
the compatibility of the offers and business plans with the
Alitalia's restructuring, development and relaunch objectives.

The Ministry also outlined mandatory commitments for the buyer
to:

   -- keep at least a 30.1% stake in Alitalia until the business
      plan is successfully carried out:

   -- safeguard Alitalia's national identity; and

   -- guarantee the quality and quantity of services offered and
      coverage of the territory.

Several Italian entrepreneurs are reportedly interested in
Alitalia, The Times reports.  Local bets include:

   -- Carlo Toto, founder of Air One,
   -- Luca di Montezemolo, head of Fiat and Ferrari;
   -- Diego Della Valle, chief of the Tod's shoe empire; and
   -- Banca Intesa and Sanpaolo IMI;

As reported in the TCR-Europe on Jan. 5, Paolo Alazraki, owner
of Real Dreams Italy Srl, heads a group of 16 investors that
indicated their interest in acquiring the national carrier.

The government aims to complete the process this month.

                         About Alitalia

Headquartered in Rome, Italy, Alitalia S.p.A. --
http://www.alitalia.it/-- provides air travel services for  
passengers and air transport of cargo on national, international
and inter-continental routes.  In Europe, the company reaches 45
airports, with 1,238 flights per week.  In the rest of the
world, the Alitalia Group's aircrafts operate out of 32 airports
with 255 flights per week.  The Alitalia Group network is
centered on two main airports, Rome Fiumicino and Milan
Malpensa, and includes, as of Sept. 30, 2006, an operating fleet
of 182 aircrafts.  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.


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


ALMATYTRANSAGRO LLP: Creditors Must File Claims by February 27
--------------------------------------------------------------
The Specialized Inter-Regional Economic Court of North
Kazakhstan Region declared LLP Almatytransagro insolvent on
Dec. 5, 2006.

Creditors have until Feb. 27 to submit written proofs of claim
to:

         Department of Agriculture
         Konstitutsiya Kazakhstana Str. 38
         Petropavlovsk
         North Kazakhstan Region
         Kazakhstan


CENTRAL-KAZAKHSTAN GROCERY: Creditors' Claims Due February 27
-------------------------------------------------------------
CJSC Central-Kazakhstan Grocery Corp. has declared insolvency.  
Creditors have until Feb. 27 to submit written proofs of claim
to:

         CJSC Central-Kazakhstan Grocery Corp.
         Kamskaya Str. 91
         Karaganda
         Karadanda Region
         Kazakhstan


JANA TOGAN: Proof of Claim Deadline Slated for February 27
----------------------------------------------------------
The Specialized Inter-Regional Economic Court of Almaty Region
declared LLP Jana Togan insolvent on Dec. 20, 2006.  
Subsequently, bankruptcy proceedings were introduced at the
company.

Creditors have until Feb. 27 to submit written proofs of claim
to:

         LLP Jana Togan
         Micro District Musheltoi, 37-21
         Taldykorgan
         Almaty Region
         Kazakhstan
         Tel: 8 701 268 92-77


KAZROP LLP: Claims Filing Period Ends February 27
-------------------------------------------------
LLP Joint Kazakh-Czechic Enterprise Kazrop has declared
insolvency.  Creditors have until Feb. 27 to submit written
proofs of claim to:

         LLP Joint Kazakh-Czechic Enterprise Kazrop
         Rayimbek Ave. 101-1
         Almaty, Kazakhstan


KAZROSSENERGO LLP: Aktube Region Starts Bankruptcy Procedure
------------------------------------------------------------
The Specialized Inter-Regional Economic Court of Aktube Region
commenced bankruptcy proceedings against LLP Kazrossenergo on
Nov. 17, 2006.


KYZYL AGASH: Claims Registration Ends February 27
-------------------------------------------------
The Specialized Inter-Regional Economic Court of North
Kazakhstan Region declared LLP Kyzyl Agash insolvent on
Dec. 5, 2006.

Creditors have until Feb. 27 to submit written proofs of claim
to:

         LLP Kyzyl Agash
         Department of Agriculture
         Konstitutsiya Kazakhstana Str. 38
         Petropavlovsk
         North Kazakhstan Region
         Kazakhstan


MUNAI PROJECT: Claims Filing Period Ends February 27
----------------------------------------------------
LLP Munai Project Engineering has declared insolvency.  
Creditors have until Feb. 27 to submit written proofs of claim
to:

         LLP Munai Project Engineering
         Bogenbai baatyr Str. 86
         Almaty, Kazakhstan


MURAT LLP: Proof of Claim Deadline Slated for February 27
---------------------------------------------------------
LLP Hydro-Electro Station Murat has declared insolvency.  
Creditors have until Feb. 27 to submit written proofs of claim
to:

         LLP Hydro-Electro Station Murat
         Tulebaev Str. 133
         Almaty, Kazakhstan


RATHAN AIR-CARGO: Almaty Court Opens Bankruptcy Proceedings
-----------------------------------------------------------
The Specialized Inter-Regional Economic Court of Almaty
commenced bankruptcy proceedings against LLP Air Company
Rathan Air-Cargo (RNN 600800033485) on Dec. 13, 2006.


ZAPKAZKAMAZ-KYZYLORDA LLP: Creditors' Claims Due February 27
------------------------------------------------------------
The Specialized Inter-Regional Economic Court of Kyzylorda
Region declared LLP Zapkazkamaz-Kyzylorda (RNN 330100213271)
insolvent.

Creditors have until Feb. 27 to submit written proofs of claim
to:

         LLP Zapkazkamaz-Kyzylorda
         Egida
         Str. 37
         Jeltoksan
         Kyzylorda
         Kyzylorda Region
         Kazakhstan


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


ASIA PROMETEY: Creditors' Claims Due February 27
------------------------------------------------
OJSC Asia Prometey has declared insolvency.  Creditors have
until Feb. 27 to submit written proofs of claim to:

         Ibraimov Str. 108-53
         Bishkek, Kyrgyzstan
         Tel: (+996 312) 43-23-77


SPARTAK SECURITY: Creditors Must File Claims by February 27
-----------------------------------------------------------
LLC Spartak Security has declared insolvency.  Creditors have
until Feb. 27 to submit written proofs of claim.

Inquiries can be addressed to (0-503) 33-30-43.


TSUM-ELECTRO LLC: Claims Filing Period Ends February 27
-------------------------------------------------------
LLC Tsum-Electro has declared insolvency.  Creditors have until
Feb. 27 to submit written proofs of claim.

Inquiries can be addressed to (+996 312) 55-12-13.


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


DANA CORP: Seeks Court Nod to Amend US$1.45BB DIP Debt Agreement
----------------------------------------------------------------
In support of its ongoing reorganization and anticipated
emergence from Chapter 11 bankruptcy protection later this year,
Dana Corp. has filed a motion in the U.S. Bankruptcy Court for
the Southern District of New York, seeking to amend its US$1.45
billion debtor-in-possession credit agreement.  

The court will convene on Jan. 24 to consider the Debtor's
request.

Among other things, Dana intends to reduce the amount of its
unused revolving credit facility under the DIP credit agreement
to correspond with changes in its borrowing base.  As it
continues to sell its non-core assets, these changes will adjust
the structure of Dana's debt facilities to more closely align
with the needs of the business.  

In order to ensure that Dana continues to have adequate
liquidity notwithstanding such reduction, Dana is seeking court
approval for an increase in the amount available under its term
loan facility from US$700 million to US$900 million, as well as
for certain financial covenant modifications and technical
changes to its DIP credit agreement.  

Citigroup Corporate and Investment Banking, the administrative
agent for the lenders under the DIP credit agreement, has agreed
to underwrite the proposed increase in the term loan facility.

"While we are pleased with the restructuring progress that Dana
has achieved over the past nine months, especially under
challenging market conditions, the additional funding and
financing flexibility that will result from the proposed
amendment position us to complete our restructuring and emerge
from Chapter 11," said Dana Chairman and CEO Mike Burns.  "We
are also pleased with the confidence that our DIP agent,
Citigroup, has demonstrated in our reorganization efforts by
underwriting the proposed increase to our DIP facility."

                       About Dana Corp.

Toledo, Ohio-based Dana Corp. -- http://www.dana.com/-- designs   
and manufactures products for every major vehicle producer in
the world, and supplies drivetrain, chassis, structural, and
engine technologies to those companies.  Dana employs 46,000
people in 28 countries including Switzerland and Luxembourg.  
Dana is focused on being an essential partner to automotive,
commercial, and off-highway vehicle customers, which
collectively produce more than 60 million vehicles annually.  
Dana has facilities in China, Argentina and Italy.

The company and its affiliates filed for chapter 11 protection
on Mar. 3, 2006 (Bankr. S.D.N.Y. Case No. 06-10354).  As of
Sept. 30, 2005, the Debtors listed US$7,900,000,000 in total
assets and US$6,800,000,000 in total debts.

Corinne Ball, Esq., and Richard H. Engman, Esq., at Jones Day,
in Manhattan and Heather Lennox, Esq., Jeffrey B. Ellman, Esq.,
Carl E. Black, Esq., and Ryan T. Routh, Esq., at Jones Day in
Cleveland, Ohio, represent the Debtors.  Henry S. Miller at
Miller Buckfire & Co., LLC, serves as the Debtors' financial
advisor and investment banker.  Ted Stenger from AlixPartners
serves as Dana's Chief Restructuring Officer.  

Thomas Moers Mayer, Esq., at Kramer Levin Naftalis & Frankel
LLP, represents the Official Committee of Unsecured Creditors.  
Fried, Frank, Harris, Shriver & Jacobson, LLP serves as counsel
to the Official Committee of Equity Security Holders.  Stahl
Cowen Crowley, LLC serves as counsel to the Official Committee
of Non-Union Retirees.

The Debtors' exclusive period to file a plan expires on Sept. 3,
2007.  They have until Nov. 2, 2007, to solicit acceptances to
that plan.  (Dana Corporation Bankruptcy News, Issue No. 29;
Bankruptcy Creditors' Service Inc.,
http://bankrupt.com/newsstand/or 215/945-7000).


DANA CORP: Moody's Puts Low-B Ratings on Amended DIP Financing
--------------------------------------------------------------
Moody's Investors Service has assigned ratings to the amended
US$1.55 billion debtor-in-possession financing of Dana
Corporation as a Debtor-in-Possession.  

The assigned ratings include a B1 rating for the US$650 million
(downsized from US$750 million in the original DIP facility)
super priority senior secured asset based revolving credit, and
a B2 rating for the US$900 million (upsized from US$700 million
in the original DIP facility) super priority senior secured term
loan B.

The ratings are assigned on a point-in-time basis, will not be
monitored going forward, and, as a result, do not have an
assigned rating outlook.  While a plan of reorganization
continues to be developed, the ratings incorporate Dana's
progress on identifying restructuring components in the areas of
improved pricing terms with its OEM customers, facility
rationalizations, and overhead cost reductions which should
facilitate an eventual emergence from Chapter 11.  The ratings
also continue to reflect the challenging automotive environment
for North American OEMs.

The ratings also consider the additional protection afforded DIP
lenders by the collateral package underlying both facilities,
and the benefits of a borrowing base governing availability
under the revolving credit facility.  The US$650 million asset
based revolving credit facility has a super priority first lien
claim on all domestic current assets and a second lien on assets
securing the DIP Term Loan B.  The DIP Term Loan B has a super
priority first lien claim on all domestic assets (excluding
current assets), 66% of the stock of the foreign subsidiaries,
and a second lien on assets securing the asset based revolving
credit facility.

Ratings assigned on a point in time basis:

Dana Corporation as a Debtor-in-Possession

    * US$650 million secured revolving credit, B1
    * US$900 million upsized secured term loan B, B2

The additional cash provided by the upsized term loan will be
used to provide additional liquidity to Dana over the remainder
of the life of the existing DIP facility.  This need is driven
by the impact of North American production declines during the
last quarter of 2006, and the up front cash cost of planned
restructuring initiatives in 2007.  The DIP facilities will
continue to be guaranteed by substantially all of Dana's direct
and indirect domestic subsidiaries that filed for Chapter 11
protection.  Both the revolving credit and upsized term loan B
will continue to have a maturity of the earlier of March 3,
2008, or the date of substantial consummation of a Plan of
Reorganization.

The revolving credit is governed by a borrowing base of up to
85% of eligible trade accounts receivables of the DIP Loan
Parties, and up to the lesser of (A) 85% of the net orderly
liquidation value of eligible inventory of the DIP Loan Parties
and (B) 65% of eligible inventory.  Due to Dana's considerable
exposure to U.S. auto OEMs the revolving credit borrowings are
also subject to concentration limits.

Moody's assessment of risk for DIP facilities addresses two
factors.  The first is the probability of the company
successfully reorganizing and emerging from bankruptcy with DIP
indebtedness being paid in full.  The second, should
reorganization be unsuccessful, is the extent of protection
provided to DIP lenders by the liquidation value and character
of the collateral.

Moody's continues to expect that it is probable that Dana will
emerge from bankruptcy.  Dana is a leading global automotive
supplier of light-and heavy-drivetrain products, structures,
thermal, and sealing systems with long-standing relationships
with leading OEMs.  The revolving credit facility and additional
cash from the upsized term loan is expected to provide
sufficient liquidity through the planned reorganization.  Dana
has made progress on identifying targets for cost reduction and
profit improvements.  However, implementation of many of these
initiatives is still in process.  Restructuring targets include
renegotiated customer contracts, savings from facility closures
and consolidations, overhead cost improvements, and reductions
in labor and benefit costs.  These initiatives are expected to
primarily impact Dana's domestic debtor operations.  As a result
of these initiatives and the upsized term loan, availability
under the downsized DIP revolving credit facility is expected to
be adequate through its maturity.  Dana's international
operations are expected to remain profitable, tempered by lower
expected growth in demand in Western Europe.  Dana will also
continue to benefit from shifting its manufacturing base to
lower cost countries.  The proposed amendments to the DIP
facilities also include accommodations to permit increased
secured debt at certain foreign subsidiaries and permit the
efficient repatriation of funds from foreign subsidiaries.  The
success of these efforts will supplement domestic liquidity.

Dana continues to be exposed to North American production
volumes and the loss of market share of the Big 3 OEMs.  Dana
also remains exposed to fluctuations in its raw material costs
with a limited ability to pass increases on to customers.  While
Moody's believes the potential for labor actions which could
disrupt automotive production lessened over the recent months,
the ratings reflect the risk of a potential disruption at key
customers, The proposed amendment to the DIP facility includes
modifications to the minimum consolidated EBITDAR financial
covenant ("EBITDAR" as defined with adjustments for certain
restructuring and bankruptcy administrative costs as well as
non-recurring items added back) which delays the ramp up minimum
thresholds under this test and could provide flexibility in the
event of any labor disruptions..

The B1 rating for the revolving credit benefits from the first
lien pledge of current assets and will continue to be supported
by regular borrowing base reporting, and quarterly field
examinations.  This collateral package, along with the advance
limitations contained in the borrowing base is expected to
provide strong asset protection for revolving credit lenders.  
The B2 rating for the term loan considers its first claim on
fixed assets and stock of subsidiaries, as well as its second
priority claim on current assets behind the revolver.  An
updated appraisal of real estate, and machinery and equipment
was not performed as part of the facility amendment.  However,
considering the net orderly liquidation values used at the
inception of the DIP facility and the current estimated values
of the stock of the foreign subsidiaries, the term loan B
continues to be adequately supported.

Dana Corporation, headquartered in Toledo, OH, is a global
supplier of drivetrain, chassis, structural, and engine
technologies for the automotive, engine, heavy truck, off-
highway, industrial and leasing markets.  Dana Credit
Corporation is a wholly owned leasing and finance subsidiary of
Dana Corporation, which is in the process of being liquidated.  
Dana has annual sales of approximately US$7.6 billion.


DANA CORP: S&P Rates US$1.55 Billion DIP Facilities at BB-
----------------------------------------------------------
Standard & Poor's Ratings Services assigned its 'BB-' rating to
Dana Corporation's proposed US$1.55 billion debtor-in-possession
facilities, which consist of:

    * a US$650 million revolving credit facility and
    * a US$900 million term loan,

both maturing in March 2008.

The rating reflects Standard & Poor's view of Dana's likelihood
of reorganizing in Chapter 11 bankruptcy proceedings, as well as
the level of collateral protection afforded by the assets
securing the DIP loans.

The proposed US$900 million DIP term loan, which is subject to
bankruptcy court approval of an amendment to Dana's credit
agreement, reflects a US$200 million addition to an existing
US$700 million DIP term loan, which the company obtained in
March 2006.  The incremental US$200 million in proceeds would be
used to improve Dana's liquidity, which would have been
stretched by increasing production cuts by its biggest automaker
customers in North America.

Separately, Dana has notified its DIP lenders that it is
reducing the size of its DIP revolving credit facility to US$650
million from the original US$750 million, largely because lower
sales levels due to the automaker production cuts have reduced
the amount of availability under the facility's borrowing base.  
Dana expects to further reduce the unused portion of its
revolving credit facility by another US$50 million at a later
date, reflecting planned asset sales.

With the new DIP facilities, Dana would have US$942 million of
debt and about US$1.6 billion of prepetition debt which is
subject to compromise.


EVRAZ GROUP: Completes Tender Offer for Oregon Steel Shares
-----------------------------------------------------------
Evraz Group S.A. disclosed that the cash tender offer by its
wholly owned subsidiary, Oscar Acquisition Merger Sub Inc., to
purchase outstanding shares of common stock (including the
associated preferred stock purchase rights) of Oregon Steel
Mills Inc. has been successfully completed.

Evraz and Oscar Acquisition Merger Sub Inc. have been advised by
Mellon Investor Services LLC, the depositary for the tender
offer, that as of the expiration of the offer at 5:00 p.m., New
York City time, on Jan. 12, 2007, stockholders of Oregon Steel
had tendered into the tender offer 32,784,081 shares of Oregon
Steel common stock, including 2,012,151 shares of common stock
delivered pursuant to notices of guaranteed delivery,
representing approximately 91.5% of the outstanding shares of
common stock of Oregon Steel.  Evraz has accepted for payment
all shares of Oregon Steel common stock that were validly
tendered during the offer period.

In accordance with the previously announced merger agreement,
Evraz now intends to effect a short-form merger.  Pursuant to
the merger agreement, each share of Oregon Steel common stock
not accepted for payment in the tender offer, other than those
as to which holders exercise dissenters' rights and those held
by Evraz or Oregon Steel or their respective subsidiaries, will
be converted in the merger into the right to receive US$63.25 in
cash, without interest and less any required withholding taxes.
This is the same price per share paid during the tender offer.
Evraz intends to complete the short-form merger in the next
several days.

                         About Evraz

Headquartered in Luxembourg, Evraz Group S.A. --
http://www.evraz.com/-- manufactures and distributes steel and        
related products.  In addition, the Company owns and operates
certain mining assets.  Its steel production and mining
facilities are mainly located in the Russian Federation.  It
operates three steel mills in Russia, one mill in Sverdlovsk
region and two mills in Kemerovo region.  

                          *     *     *

As reported in the TCR-Europe on Nov. 23, 2006, Fitch Ratings
affirmed Luxembourg-based Evraz Group SA's Issuer Default and
senior unsecured ratings at BB and its Short-term rating at B.  

At the same time, Fitch has affirmed the ratings of Mastercroft
Ltd.- Evraz's core subsidiary with most of its assets
concentrated in Russia- at Issuer Default BB and Short-term B.  
Evraz Securities SA's senior unsecured rating is affirmed at BB.  
Fitch said the Outlooks on the Issuer Default ratings are
Stable.

Evraz Group's 8-1/4% notes due November 2015 has been given by
Moody's Investors Service's (P)B2 rating, Standard & Poor's B+
rating and Fitch's BB- rating.


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


GETRONICS NV: Starts Repayment of EUR95-Mln Convertible Bonds
-------------------------------------------------------------
Getronics N.V. reveals that payment for and delivery of the
EUR95 million 3.875% senior unsecured convertible bonds due 2014
has taken place.  The prospectus relating to the Offering has
been made available in the English language.

Getronics successfully placed the offering on Dec. 14, 2006.  
The Offering was covered over 11 times.   Subsequently, the
Company announced a cash tender offer for its outstanding
EUR100 million 5.5% unsubordinated convertible bonds due 2008.  

On Dec. 19, 2006, the Company announced that EUR89,131,000 in
aggregate principal amount of Bonds 2008 had successfully been
tendered and on Dec. 22, 2006, announced that all Bonds 2008 so
tendered had been accepted for purchase by it under the
conditions as stated in the Tender Offer Memorandum.

                   Conversion and Redemption

The Bonds 2014 are convertible as from Jan. 26, 2007, until
Jan. 5, 2014, into ordinary shares in the capital of Getronics
against the then applicable conversion price.  The initial
conversion price has been set at EUR7.25, which represented a
premium of around 30% above the reference price of Getronics'
ordinary shares at the time of pricing.  

The conversion price is subject to adjustment in accordance with
the conditions of the Bonds 2014 as set down in the trust deed
in respect of the Bonds 2014 executed by notarial deed.  Unless
earlier redeemed, converted or purchased and cancelled, the
Bonds 2014 will be redeemed in cash on Jan. 12, 2014, against
100% of their nominal value, together with accrued, but not yet
paid, interest.  Under certain circumstances specified in the
Trust Deed, the Bonds 2014 may be redeemed earlier.

                      Payment and Delivery

Payment for and delivery of the Bonds 2014 took place on Jan.
12, 2007.  The settlement of the Cash Offer is expected to take
place on Jan. 15, 2007, barring unforeseen circumstances.

                             Listing

Listing of the Bonds 2014 on the official list of the Luxembourg
Stock Exchange and trading on the Luxembourg Stock Exchange's
Euro MTF Market commenced on Jan. 12, 2007.

                 Optimizing Financing Structure

The Offering, together with the Cash Offer, succeeded in
significantly improving Getronics' debt maturity profile,
reducing its cost of capital and strengthening its balance
sheet.  These transactions are in line with Getronics' recently
expressed goal of optimizing its financing structure and are
expected to provide increased financial flexibility for
Getronics' future development.

Copies of the Prospectus may be obtained free-of-charge at:

         Rabo Securities
         Rembrandt Tower
         Amstelplein 1
         1096 HA Amsterdam
         Fax: +31 20 460 4949
         E-mail: prospectus@rabobank.com

            -- or --

         Kredietbank S.A.  
         Luxembourgeoise
         43 Boulevard Royal
         L-2955 Luxembourg

            -- or --

         Getronics N.V.
         Rembrandt Tower
         Amstelplein 1
         1096 HA Amsterdam
         Fax: +31 20 460 4949
         E-mail: investor.relations@getronics.com
         Web site: http://www.getronics.com/investors/

                         About Getronics

Headquartered in Amsterdam, Netherlands, Getronics N.V.
-- http://www.getronics.com/-- designs, integrates and manages
ICT infrastructures and business solutions for many of the
world's largest global and local companies and organizations,
helping them maximize the value of their information technology
investments.  Getronics has some 27,000 employees in over 30
countries and approximate revenues of EUR3 billion.   The
company has regional offices in Boston, Madrid and Singapore.
Its shares are traded on Euronext Amsterdam.

                          *     *     *

Getronics N.V.'s 'B' long-term corporate credit rating, along
with the 'CCC+' senior unsecured debt, 'B' bank loan, and '3'
recovery ratings on CreditWatch with negative implications,
where they had originally been placed on Jan. 19.

The '3' recovery rating indicates Standard & Poor's expectation
of meaningful (50%-80%) recovery of principal for secured
lenders in the event of a payment default.

Moody's Investors Service downgraded Getronics' corporate family
rating to B2 from B1 and placed the ratings on review for
possible downgrade following the company's announcement of half
year results showing a widening of net losses and fall in
margins below the company's expectations.  Concurrently the
rating on the EUR100 million senior unsecured convertible Dutch
bonds due 2008 has been downgraded to Caa1 from B3.


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


AKER KVAERNER: Inks US$23-Million Deal with Atlantia Offshore
-------------------------------------------------------------
Atlantia Offshore Ltd. has awarded Aker Kvaerner a contract for
installation of a semi-submersible floating production unit for
the Thunder Hawk development system in the Gulf of Mexico.

Atlantia will be the client and owner of the FPU and Murphy
Exploration and Production Company will operate the platform.
The total contract value is around US$23 million.

The work, to be undertaken by the Aker Kvaerner unit Aker Marine
Contractors, comprises installation of the spread mooring
system, transportation and hook up of the FPU.

"This is an important milestone for Aker Marine Contractors and
we look forward to working with Atlantia towards a safe and
successful installation of the Thunder Hawk platform," Helge
Roraas, President of Aker Marine Contractors U.S. Inc. said.

The marine installation is planned to commence in the 2nd
quarter of 2008, using the offshore construction vessel, BOA Sub
C as main installation vessel.  The planning of the project will
commence immediately.

"This contract award confirms our strong position in the deep
water Gulf of Mexico market and provides the opportunity to
build strong relations with an important client," says Torgeir
Ramstad, President of Aker Marine Contractors.

The Thunder Hawk facility which will be based on Atlantia's deep
draft semi will be moored in 1800 meters water depth and
equipped to produce up to 60 000 barrels of oil and 70 million
standard cubic feet of gas per day.

The contract was booked in fourth quarter 2006.

                       About Aker Kvaerner

Headquartered in Lysaker, Norway, Aker Kvaerner ASA --
http://www.akerkvaerner.com/-- through its subsidiaries and   
affiliates, provides engineering and construction services,
technology products and integrated solutions.  The company has
operations in Brazil, Chile, China, India, Indonesia, Japan,
Malaysia, Singapore, South Korea, Thailand.

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.

                          *     *     *

Moody's Investors Service, in April 2006, upgraded the ratings  
of Aker Kvaerner Oil & Gas Group and Aker Kvaerner AS, primarily  
to reflect the sustainable strong recovery in profitability and  
cash flow generation of the ring-fenced oil and gas group over  
the past two years, coupled with the clear reduction in senior  
debt, repaid from internally generated funds.

Ratings affected:

Aker Kvaerner Oil & Gas Group AS

   -- Corporate family rating: upgraded to Ba1 from Ba3

Aker Kvaerner AS

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

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


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


DONSKAYA MILK: Rostov Court Names A. Reuk as Insolvency Manager
---------------------------------------------------------------
The Arbitration Court of Rostov Region appointed Mr. A. Reuk as
Insolvency Manager for OJSC Donskaya Milk Company.  He can be
reached at:

         A. Reuk
         3rd Floor
         Moskovskaya Str. 68
         344007 Rostov-na-Donu
         Russia
         Tel/Fax: (863) 262-52-68
                        262-43-34

The Court commenced bankruptcy proceedings against the company
after finding it insolvent.  The case is docketed under Case No.
A53-10292/06-S2-33.

The Arbitration Court of Rostov Region is located at:

         Stanislavskogo Str. 8a
         344008 Rostov-na-Donu
         Russia

The Debtor can be reached at:

         OJSC Donskaya Milk Company
         Vavilova Str. 56
         Rostov-na-Donu
         Russia


ELECTRO-TEXTILE CJSC: Creditors Must File Claims by Feb. 23
-----------------------------------------------------------
Creditors of CJSC Electro-Textile (TIN 2624025183) have until
Feb. 23 to submit written proofs of claim to:

         M. Kotlyarov, Temporary Insolvency Manager
         Zakrutkina Pr. 35
         Semikarakorsk
         346630 Stavropol Region
         Russia

The Arbitration Court of Stavropol Region commenced bankruptcy
supervision procedure on CJSC Electro-Textile (TIN 2624025183).
The case is docketed under Case No. A63-6675/06-S5.

The Arbitration Court of Stavropol Region is located at:

         Mira Str. 458 b
         Stavropol Region
         Russia

The Debtor can be reached at:

         CJSC Electro-Textile
         Promyshlennaya Str. 3
         Budennovsk
         356801 Stavropol Region
         Russia


GAZPROM NEFT: To Ink Joint Venture Deal with OAO Lukoil
-------------------------------------------------------
OAO Lukoil and OAO Gazprom Neft will sign final documents to
create a joint venture in the coming weeks,
RosBusinessConsulting reports citing Leonid Fedun, Lukoil Vice
President.

In a TCR-Europe report on Nov. 21, 2006, OAO Lukoil and OAO
Gazprom Neft disclosed of the formation of a joint venture for
operating projects and acquiring assets in Russia and abroad.

"It will unite our resources for joint projects in currently
operating oil fields and in obtaining licenses for new ones,"
Ravil Maganov, a member of Lukoil management board, said.

The joint venture, RBC relays, will focus on new projects,
particularly in:

   -- Eastern Siberia,
   -- Timan-Pechora basin, and
   -- offshore platforms in the Far East and abroad.

                          About Lukoil

Headquartered in Moscow, Russia, OAO Lukoil (LSE: LKOD; MICEX,
RTS: LKOH) -- http://www.lukoil.com/-- explores and produces  
oil & gas, petroleum products and petrochemicals, and markets
the outputs.  Most of the Company's exploration and production
activity is located in Russia, and its main resource base is in
Western Siberia.

                       About Gazprom Neft

Headquartered in Moscow, Russia, Gazprom Neft OAO --
http://www.gazprom-neft.ru/-- explores, produces, refines,  
markets, produces and sells petroleum products.  The Company
holds oilfield exploration and development licenses in the
Yamal-Nenets and Khanti-Mansiisk autonomous regions, as well as
in the Omsk and Tomsk regions, and in Chukotka.  The
Company'smain oil processing center is the Omsk Refinery.

                          *     *     *

As reported in the TCR-Europe on Nov. 20, 2006, Standard &
Poor's Ratings Services placed its 'BB+' corporate credit rating
and 'ruAA+' national scale rating on Russia-based oil company
JSC Gazprom Neft on CreditWatch with positive implications.


GOLDEN TELECOM: Receives Access Codes for Long Distance Services
----------------------------------------------------------------
Golden Telecom Inc. has received access codes for long distance
services in Russia.  

On Dec. 15, 2006, Minister of the Russian Federation for
Communications and Informatization Leonid D. Rejman signed a
Resolution No. 171 allocating access codes "51" for domestic
long distance services and "56" for international long distance
services to Golden Telecom.

This resolution was as required by Russian legislation
registered by the Ministry of Justice of the Russian Federation
on Dec. 28, 2006.  This will allow people to choose Golden
Telecom as an operator providing domestic and international long
distance services.  The access codes will allow Golden Telecom
to fully utilize its Federal Transit Network, which was
completed on Jan. 16, 2006.  The FTN consists of four
international communications transit nodes, seven intercity
communications transit nodes deployed in each federal district
of Russia, and 88 connection points or FTN access nodes located
in each constituent territory of Russia. With the access codes
and the FTN, Golden Telecom get access to a potential customer
base of 140 million people and 1,300,000 businesses across
Russia.

"Golden Telecom has constructed its own FTN which covers all
regions of Russia and is capable of providing a full range of
DLD\ILD services," Mr. Jean-Pierre Vandromme, Chief Executive
Officer of Golden Telecom, said.  "We expect to start providing
DLD/ILD services throughout Russia during first quarter of 2007.
Based on our existing client base, an effective marketing
campaign and a highly skilled and experienced sales force,
Golden Telecom plans to capture at least a 20% market share of
the total DLD/ILD market in Russia by the end of 2010.  
According to management estimates, the total market for such
services will reach US$3.5 to US$4.5 billion by the end of 2010.  
We see the receipt of our access codes as another exciting stage
in our continued growth and expansion into the Russian regions."

                      About Golden Telecom

Golden Telecom, Inc. -- http://www.goldentelecom.com/--  
provides integrated telecommunications and Internet services in
major population centers throughout Russia and other countries
of the Commonwealth of Independent States.  The Company offers
voice, data and Internet services to corporations, operators and
consumers using its overlay network in major cities including
Moscow, Kiev, St. Petersburg, Nizhniy Novgorod, Samara,
Kaliningrad, Krasnoyarsk, Alma-Ata, and Tashkent, and via
intercity fiber optic and satellite-based networks, including
around 287 combined access points in Russia and other countries
of the CIS.  The Company offers cellular communication services
in Kiev and Odessa, Ukraine.

                          *     *     *

As reported in the TCR-Europe on Oct. 16, 2006, Standard &
Poor's Ratings Services raised its long-term corporate credit
rating on Golden Telecom Inc., to 'BB' from 'BB-', reflecting
the company's strengthened business profile and prudent
financial risk management.  S&P said the outlook is stable.

"The upgrade reflects the company's strengthened business
profile, with strong market shares and a leading consolidator
position in Russia's corporate fixed-line market," said Standard
& Poor's credit analyst Lorenzo Sliusarev.


GREMYACHINSKIY FISHING: Court Starts Bankruptcy Proceedings
-----------------------------------------------------------
The Arbitration Court of Buryatiya Republic commenced bankruptcy
supervision procedure on OJSC Gremyachinskiy Fishing Factory.
The case is docketed under Case No. A10-3574/06.

The Temporary Insolvency Manager is:

         B. Tsyvenkov
         Apartment 42
         Solnechnaya Str. 2
         Ulan-Ude
         670031 Buryatiya Republic
         Russia

The Arbitration Court of Buryatiya Republic is located at:

         Kommunisticheskaya Str. 51
         Ulan-Ude
         Russia

The Debtor can be reached at:

          OJSC Gremyachinskiy Fishing Factory
         Naberezhnaya Str
         Grmyachinsk
         Pribaykalskiy Region
         Buryatiya Republic
         Russia


GUBERNSKIY DIARY: Creditors Must File Claims by Feb. 23
-------------------------------------------------------
Creditors of OJSC Gubernskiy Diary (TIN 8009000142) have until
Feb. 23 to submit written proofs of claim to:

         S. Ananin, Insolvency Manager
         Post User Box 4790
         634034 Tomsk Region
         Russia

The Arbitration Court of Tomsk Region commenced bankruptcy
proceedings against the company after finding it insolvent.  The
case is docketed under Case No. A67-2267/06.

The Debtor can be reached at:

         OJSC Gubernskiy Diary
         Traktornaya Str. 27
         Krivosheino
         636300 Tomsk Region
         Russia


IZHEVSKIY COMBINE: Bidding Deadline Slated for Jan. 23
------------------------------------------------------
LLC Unikon, the bidding organizer for OJSC Izhevskiy Combine of
Grain Products, will proceed with a repeated auction for the
company's properties at 2:00 p.m. on Jan. 23 at:

         LLC Unikon
         7th floor
         Krasnoarmeyskaya Str. 127
         Izhevsk
         Udmurtiya Republic
         Russia

The company has set a RUR50,000,576 starting price for the
auctioned assets.

Interested participants have until 5:00 p.m. on Jan. 18 to
deposit an amount equivalent to 20% of the starting price to:

         LLC Unikon
         Settlement Account 40702810900010000807
         OJSC Mobilbank
         Izhevsk
         BIK 049401825
         Correspondent Account 30101810600000000825

Bidding documents must be submitted to:

         LLC Unikon
         7th Floor
         Krasnoarmeyskaya Str. 127
         Izhevsk
         Udmurtiya Republic
         Russia

The Debtor can be reached at:

         OJSC Izhevskiy Combine of Grain Products
         Poyma Str. 17
         Izhevsk
         Udmurtiya Republic
         Russia


KAMENSKIY DIARY: Creditors Must File Claims by Feb. 23
------------------------------------------------------
Creditors of OJSC Kamenskiy Diary have until Feb. 23 to submit
written proofs of claim to:

         A. Reus, Insolvency Manager
         3rd floor
         Mosvkoskaya Str. 68
         344007 Rostov-na-Donu
         Russia
         Tel/Fax: (863) 262-52-68
                        262-43-34

The Arbitration Court of Rostov Region commenced bankruptcy
proceedings against the company after finding it insolvent.  The
case is docketed under Case No. A53-10642/06-S2-33.

The Arbitration Court of Rostov Region is located at:

         Stanislavskogo Str. 8a
         344008 Rostov-na-Donu
         Russia

The Debtor can be reached at:

         OJSC Kamenskiy Diary
         Astakhovoy Per. 89
         Kamensk-Shakhtinsk
         Rostov Region
         Russia


LUKOIL OAO: To Ink Joint Venture Deal with OAO Gazprom Neft
-----------------------------------------------------------
OAO Lukoil and OAO Gazprom Neft will sign final documents to
create a joint venture in the coming weeks,
RosBusinessConsulting reports citing Leonid Fedun, Lukoil Vice
President.

In a TCR-Europe report on Nov. 21, 2006, OAO Lukoil and OAO
Gazprom Neft disclosed of the formation of a joint venture for
operating projects and acquiring assets in Russia and abroad.

"It will unite our resources for joint projects in currently
operating oil fields and in obtaining licenses for new ones,"
Ravil Maganov, a member of Lukoil management board, said.

The joint venture, RBC relays, will focus on new projects,
particularly in:

   -- Eastern Siberia,
   -- Timan-Pechora basin, and
   -- offshore platforms in the Far East and abroad.

                       About Gazprom Neft

Headquartered in Moscow, Russia, Gazprom Neft OAO --
http://www.gazprom-neft.ru/-- explores, produces, refines,  
markets, produces and sells petroleum products.  The Company
holds oilfield exploration and development licenses in the
Yamal-Nenets and Khanti-Mansiisk autonomous regions, as well as
in the Omsk and Tomsk regions, and in Chukotka.  The Company's
main oil processing center is the Omsk Refinery.

                          About Lukoil

Headquartered in Moscow, Russia, OAO Lukoil (LSE: LKOD; MICEX,
RTS: LKOH) -- http://www.lukoil.com/-- explores and produces  
oil & gas, petroleum products and petrochemicals, and markets
the outputs.  Most of the Company's exploration and production
activity is located in Russia, and its main resource base is in
Western Siberia.

                          *     *     *

As reported in the TCR-Europe on July 12, 2006, Standard &
Poor's Ratings Services raised its long-term corporate credit
rating on Lukoil OAO to 'BB+' from 'BB'.  S&P said the outlook
is positive.


LUKOIL OAO: Earns US$6.44 Billion in January-September 2006
-----------------------------------------------------------
Lukoil OAO unveiled its consolidated financial results for the
first nine months of 2006, prepared according to U.S. Generally
Accepted Accounting Principles.

Lukoil net income was US$6.44 billion in first nine months of
2006, which is an increase of 34.2% year-on-year.  EBITDA was
US$10.18 million, which is 32.9% higher year-on-year.  Revenue
from sales rose by 27.9% to US$51,459 million.

The increase in net income was due to favorable market
conditions, increase of hydrocarbon production and refinery
throughputs, cost control, and refining margins growth.  Growth
of net income was held back by:

   -- strengthening of the ruble against the dollar; and
   -- growth of the tax burden.  

The Company's tax expenses totaled US$18.1 billion, up 36.8%
year-on-year.

Operating expenses rose by US$943 million year-on-year.  Main
contributors to this growth were:

   -- real appreciation of the ruble against the dollar, which
      was 16.6% for the 12-months period ended Sept. 30, 2006
      (the effect of the appreciation exceeded US$200 million);

   -- considerable change in operating expenses relating to
      crude oil and petroleum product inventory originated
      within the Group (US$259 million); and

   -- increase in hydrocarbon lifting costs primarily due to the
      production volumes growth (US$391 million).  

Average hydrocarbon lifting costs rose from US$2.63 in first
nine months of 2005 to US$3.01 per boe in first nine months of
2006, or by 14.4% year-on-year.  Taking account of strengthening
of the ruble against the dollar in real terms, average lifting
costs remained at the same level as in first nine months of
2005.

Capital expenditures including non-cash transactions were
US$4,552 million, which is an increase of 55.0% year-on-year.  
Upstream CAPEX rose by 64.0% while downstream CAPEX increased by
24.8%.

Production of marketable hydrocarbons grew by 13.1% to 2.14
million boe per day.

Crude oil output -- including share in production by affiliates
-- increased 6.6% year-on-year to 524.9 million barrels.  
Average flow rate per well at Lukoil fields in Russia increased
to 11.21 tons per day or by 1.5% year-on-year.

Production of marketable gas (including share in production by
affiliates) was 9.98 billion cubic meters, which is 149.2%
higher year-on-year.  This growth is due to the increase of
natural gas production at the Nakhodkinskoye field.

Production of petroleum products at Lukoil refineries increased
by 2.4% year-on-year and totaled 33,550 thousand tons.  Russian
refineries of Lukoil Group increased petroleum product output by
5.1% year-on-year.  Production at foreign refineries of the
Group decreased by 8.0% due to closure of the Odessa Refinery
for upgrading.

Lukoil sold 94.4 million tons of crude oil and petroleum
products in first nine months of 2006, representing an increase
of 3.8% year-on-year.  Domestic sales of crude oil grew by
142.9% year-on-year, to 1.4 million tons.  At the same time
international sales of crude oil decreased by 12.1% reflecting
the high attractiveness of the Russian market.  Petroleum
product sales rose by 12.3% year-on-year to 62.2 million tons.  
Retail sales of petroleum products in Russia increased by 13.2%
year-on-year.

                          About Lukoil

Headquartered in Moscow, Russia, OAO Lukoil (LSE: LKOD; MICEX,
RTS: LKOH) -- http://www.lukoil.com/-- explores and produces   
oil & gas, petroleum products and petrochemicals, and markets
the outputs.  Most of the Company's exploration and production
activity is located in Russia, and its main resource base is in
Western Siberia.

                          *     *     *

As reported in the TCR-Europe on July 12, 2006, Standard &
Poor's Ratings Services raised its long-term corporate credit
rating on Lukoil OAO to 'BB+' from 'BB'.  S&P said the outlook
is positive.


LUKOIL OAO: Hikes Oil Production to 89.5 Million Tons in 2006
-------------------------------------------------------------
OAO Lukoil and its subsidiaries increased its crude oil
production by 5.7% to 95.2 million tons in 2006, RIA Novosti
reports.

The figure includes 89.5 million tons in Russia and 5.7 million
tons abroad.  The company's refineries processed three percent
more oil in 2006 to around 48.95 million tons: 39.54 million
tons in Russia and 9.41 million tons abroad, RIA Novosti relays.

The company also boosted its annual natural gas production by
more than 100% to 15.8 billion cubic meters, mainly due to
development of the Nakhodkinskoye gas field.  

Lukoil estimates its hydrocarbon reserves at:

   -- 20.3 billion barrels of oil equivalent;
   -- 16 billion barrels of oil; and
   -- 25 trillion cubic feet of natural gas.

Vagit Alekperov, Lukoil's President, revealed that the company
hiked its market capitalization to 48% in 2006; eight percentage
points higher than Russian oil industry's 40%.

Lukoil, which is developing 26 projects in 13 countries, plans
to spend around US$27 billion until 2017 for oil and gas
production and foreign acquisitions.

                          About Lukoil

Headquartered in Moscow, Russia, OAO Lukoil (LSE: LKOD; MICEX,
RTS: LKOH) -- http://www.lukoil.com/-- explores and produces   
oil & gas, petroleum products and petrochemicals, and markets
the outputs.  Most of the Company's exploration and production
activity is located in Russia, and its main resource base is in
Western Siberia.

                          *     *     *

As reported in the TCR-Europe on July 12, 2006, Standard &
Poor's Ratings Services raised its long-term corporate credit
rating on Lukoil OAO to 'BB+' from 'BB'.  S&P said the outlook
is positive.


MEGA-D CJSC: Creditors Must File Claims by Feb. 23
--------------------------------------------------
Creditors of CJSC Mega-D have until Feb. 23 to submit written
proofs of claim to:

         A. Gurskiy, Insolvency Manager
         Post User Box 56
         630079 Novosibirsk Region
         Russia

The Arbitration Court of Novosibirsk Region commenced bankruptcy
proceedings against the company after finding it insolvent.  The
case is docketed under Case No. A45-10897/06 - 29/251.

The Arbitration Court of Novosibirsk Region is located at:

         Kirova Str. 3
         630007 Novosibirsk Region
         Russia

The Debtor can be reached at:

         CJSC Mega-D
         Evropeyskaya Str.
         630051 Novosibirsk Region
         Russia


MILK OF DON: Creditors Must File Claims by Feb. 23
--------------------------------------------------
Creditors of LLC Milk of Don have until Feb. 23 to submit
written proofs of claim to:

         A. Reuk, Insolvency Manager
         3rd floor
         Moskovskaya Str. 68
         344007 Rostov-na-Donu
         Russia
         Tel/Fax: (863)262-52-68, 262-43-34

The Arbitration Court of Rostov Region commenced bankruptcy
proceedings against the company after finding it insolvent.  The
case is docketed under Case No. A53-10203/06-S2-33.

The Arbitration Court of Rostov Region is located at:

         Stanislavskogo Str. 8a
         344008 Rostov-na-Donu
         Russia

The Debtor can be reached at:

         LLC Milk Of Don
         Vavilova Str. 56
         Rostov-na-Donu
         Russia


MIRAX GROUP: Fitch Assigns B Rating with Stable Outlook
-------------------------------------------------------
Fitch Ratings assigned Russia-based Mirax Group foreign currency
and local currency Issuer Default ratings of B with Stable
Outlook and a Short-term foreign currency rating of B.  A
National Long-term rating of BBB- with a Stable Outlook has also
been assigned.  Mirax has public debt of around RUR6.6 billion.

The ratings reflect Mirax's position as one of Moscow's leading
developers of business class offices and premium housing, and
are supported by Mirax's ability to deliver highly profitable
projects as demonstrated over recent years.  This has led to
strong profit margins, with operating EBITDAR margins reaching
28% in Fiscal-Year 2005, comparing favorably to other European
peers.  Fitch expects these strong margins to continue to be
supported by positive underlying market conditions in Moscow,
where demand is expected to continue exceeding supply over the
near term.

The ratings are, however, limited by Mirax's relatively small
size, low equity base, and lack of diversification, which make
the company highly exposed to any potential downturn in the
Moscow real-estate market.  Furthermore, Mirax has a high degree
of project concentration, with cash flow from operations in 2007
and 2008 likely to be derived primarily from only four projects.

The ratings are also limited by weaknesses in Mirax's corporate
governance, including a lack of both independent board
membership and formalized internal controls.  Historically, the
latter has led to a lack of both restrictions on related-party
transactions and formal risk management procedures.  Steps are
now being taken to improve these aspects.

Past problems with accounting controls have also led Mirax's
auditors to qualify their auditors' statements in 2004 and 2005.  
These qualifications refer to inadequate record keeping for
certain accounts payable and for certain construction
inventories, all in 2004.  The former relates to inadequate
accounting practices not of Mirax but of a company it acquired,
while Fitch understands that the accounting procedures at fault
for the latter have improved subsequently.

Mirax is also exposed to a difficult Russian business
environment, with its non-transparent legal regime.  In
addition, the Russian construction market suffers from poor
transparency and an inconsistent approach to awarding building
permits, which further accentuate the risks faced by Mirax.

Mirax's Fiscal-Year 2005 credit metrics are deemed to be
adequate for the rating.  Adjusted leverage stood at 2.3x,
although Fitch expects leverage to have fallen in Fiscal Year
2006 and to decline further as cash generation improves with the
maturing of Mirax's key projects.  Mirax should also continue to
expand and strengthen its business profile without materially
increasing its debt burden, the latter of which is restricted by
the covenants attached to its credit-linked note issued in 2006.

Given the potentially volatile nature of Mirax's cash flows, its
liquidity is considered to be weaker than that typically seen
for a European corporate.  However, this is partially offset by
the absence of any short-term debt maturities.  Mirax's debt
maturity profile remains relatively short and concentrated with
RUR3.9 billion of its total debt of RUR9.2 billion falling due
before the end of 2008.  This represents a significant
refinancing risk, which is somewhat mitigated by Mirax's RUR1.2
billion of cash on balance sheet as of Fiscal Year Ended 2005,
undrawn committed credit lines of RUR5 billion as of October
2006, and proven ability to tap local and international debt
markets.


MOZHGINSKIY MEAT: Bankruptcy Hearing Slated for May 3
-----------------------------------------------------
The Arbitration Court of Udmurtiya Republic will convene at
1:30 p.m. on May 3 to hear the bankruptcy supervision procedure
on LLC Mozhginskiy Meat Combine.  The case is docketed under
Case No. A71-00836/2006-G21.

The Temporary Insolvency Manager is:

         S. Zhumaev
         Post User Box 89
         127560 Moscow Region
         Russia

The Arbitration Court of Udmurtiya Republic is located at:

         Lomonosova Str. 5
         Izhevsk
         426004 Udmurtiya Republic
         Russia

The Debtor can be reached at:

         LLC Mozhginskiy Meat Combine
         Zheleznodorozhnaya Str. 113
         Mozhga
         Udmurtiya Republic
         Russia


ROSNEFT OIL: To Hike Gas Production in Purneftegaz Unit
-------------------------------------------------------
OAO Rosneft-Purneftegaz, a gas unit of OAO Rosneft Oil Co.,
plans to increase its gas production in the coming years, Itar-
Tass reports citing Eduard Tropin, Rosneft-Purneftegaz Director
General.

"The gas production program of the company was worked out and
the drafting of the design and estimate documentation of
necessary facilities began," Mr. Tropin said, adding that the
unit produces around 3.9 billion cubic meters of gas yearly.

The unit plans to construct a booster compression station at its
Komsomolskoye site, Mr. Tropin revealed.  The station will
create the necessary pressure for gas supplies.

Purneftegaz is also expanding its hydrocarbon reserves through
two well-drilling projects at its Severo-Komsomolskoye and Kypa-
Kynskoye fields.

"It is very good, as Purneftegaz has not drilled any prospecting
wells already for several years," Mr. Tropin noted.

OAO Rosneft-Purneftegaz operates and develops the Komsomolskoye,
Barsukovskoye, Zapadno-Purpeiskoye sites, which have potential
gas production volume of around 178 billion cubic meters a year.

                        About Rosneft

Headquartered in Moscow, Russia, OAO Rosneft Oil Co. --
http://ns.roilcom.ru/english/-- produces and markets petroleum
products.  The Company explores for, extracts, refines and
markets oil and natural gas.  Rosneft produces oil in Western
Siberia, Sakhalin, the North Caucasus and the Arctic regions of
Russia.

                        *     *     *

As reported in the TCR-Europe on Jan. 2, Fitch Ratings placed
OJSC Rosneft Oil's foreign and local currency Issuer Default
ratings of BB+ on Rating Watch Positive following the company's
announcement of strong financial results for the first nine
months of 2006.

The Rating Watch is also supported by Fitch's expectations that
Rosneft will further enhance both its downstream integration and
upstream oil and gas production in 2007.  In addition, Fitch
expects the company to favorably resolve issues concerning its
relatively high debt levels which will positively influence its
leverage and coverage ratios over the coming year.

Standard & Poor's assigned B+ ratings to Rosneft's long-term and
local foreign issuer credit.


ROSNEFT OIL: State Support Cues S&P to Lift Rating to BB+
---------------------------------------------------------
Standard & Poor's Ratings Services raised its long-term
corporate credit rating on Russian OJSC Oil Company Rosneft to
'BB+' from 'BB' and removed it from CreditWatch, where it had
been placed with positive implications on Nov. 15, 2006.  The
outlook is developing.

"The upgrade, which follows the review of the Russian
government's influence on government-related entities, reflects
a greater likelihood of extraordinary state support for Rosneft
than previously factored into the rating, which may, in turn,
benefit creditors," said Standard & Poor's credit analyst
Tatiana Kordyukova.  

Rosneft's rating now incorporates a one-notch uplift from the
company's stand-alone credit quality, which we assess at 'BB'.
Russia's oil and gas sector has seen a marked increase in state
ownership and influence in recent years, with the government
taking an activist role.  

Rosneft has been both a major beneficiary and instrument of this
policy trend, having undergone dramatic growth during this
period.  An IPO and the consolidation of core subsidiaries
reduced government ownership to 75%.  The company's priority
access to new strategic oil fields, the supportive stance toward
Rosneft of state-owned and private financial institutions, and
the low risk of damaging tax claims or other adverse government
actions have progressively been factored into our rating on
Rosneft.  

Although, aside from directed lending by state-controlled banks,
the mechanisms for providing support are complex or ill defined,
should it need and choose to do so, the Russian Federation
(foreign currency BBB+/Stable/A-2; local currency A-/Stable/A-
2;) has ample financial ability to provide extraordinary support
to Rosneft owing to its plentiful reserves.

"The rating benefits from Rosneft's relationship with the
Russian government are limited by the lack of transparency and
specificity regarding oil and gas sector policy objectives,
priorities, roles, and mechanisms - -and their implications for
Rosneft," added Ms. Kordyukova.  

The exact nature, scope, cost, and means of funding of Rosneft's
ambitions and role in the government's energy policy remain
unclear pending the anticipated auctions of Yukos' assets, as
well as potential M&A activity in the industry.  Seeming
competition and diverging views among individuals and interests
within and close to the government about the way forward for the
oil and gas industry contribute to this uncertainty.

"S&P expects Rosneft's credit standing to be influenced, either
positively or negatively, in the short to medium term by the
expected bankruptcy auctions for the remaining Yukos assets,"
said Ms. Kordyukova.

Rosneft is a creditor to Yukos, with total claims supported by
the courts of US$10 billion, which, if repaid, would benefit the
company's financial position.  Credit quality could be weakened,
however, if the company also makes material acquisitions at the
auctions or elsewhere and uses debt to finance them.

"While previously limited corporate transparency has improved in
the months since the IPO in July 2006, Rosneft's established
penchant for aggressive, debt-financed acquisitions will be
factored into the rating absent credible evidence of a change in
the company's tolerance for taking on significant development,
operating, and financial risk in its pursuit of growth," said
Ms. Kordyukova.


SEVERNAYA KAZNA: Moody's Assigns E+ Financial Strength Rating
-------------------------------------------------------------
Moody's Investors Service assigned these global scale ratings
with stable outlook to Bank Severnaya Kazna: B2 long-term and
Not-Prime short-term foreign and local currency deposit ratings
and an E+ financial strength rating.

At the same time, Moody's Interfax Rating Agency has assigned a
Baa1.ru long-term national scale credit rating to the bank.  
Moscow-based Moody's Interfax is majority-owned by Moody's
Investors Service.

According to Moody's Investors Service and Moody's Interfax, the
B2/NP/E+ global scale ratings reflect the bank's global default
and loss expectation, while the Baa1.ru national scale rating
reflects the standing of its credit quality relative to its
domestic peers.

Severnaya Kazna's FSR is underpinned by its position as one of
the leading banking institutions in its home market of the
Oblast of Sverdlovsk, in the eastern part of European Russia,
which has been enjoying strong economic growth in recent years
with potential for further growth.  Other positive rating
drivers include the bank's good reported asset quality and its
sound core deposit funding base, with accounts of individuals
comprising about 50% of total liabilities.

Severnaya Kazna's strategy is focused on providing high-quality
banking services to the rapidly growing segments of middle-class
individuals and SMEs, both within its home territory and in the
neighbouring regions.  The bank is also planning to strengthen
its franchise by gradually transforming itself from a regional
bank into a nationwide institution, although implementation of
this strategy could be hampered by intense competition.

The bank's FSR is constrained by the geographical concentration
of its business in the Oblast of Sverdlovsk, which currently
accounts for about 95% of the loan portfolio and customer funds,
and a large exposure to related parties, which at year-end 2005
was equal to 105% of equity.  However, this related-party
exposure, which largely takes the form of loans to local
enterprises acquired by Severnaya Kazna's shareholders with a
view to restructuring and further reselling them, declined
somewhat over 2003-2005 and plans to reduce it further are
currently under way.  

Another key negative rating driver is the bank's unsatisfactory
level of economic capital: as at year-end 2005 the amount of
fixed assets exceeded shareholders' equity. Downward pressure on
the FSR is also exerted by Severnaya Kazna's relatively high
market risk appetite and an unbalanced maturity structure of
assets and liabilities due to a significant portion of long-term
investment loans in the portfolio.

The B2/NP deposit ratings and Baa1.ru NSR do not factor in any
possibility of support from the Russian financial authorities or
the bank's shareholders in the event of need. Although such
support is possible, particularly from the Russian financial
authorities in light of Severnaya Kazna's substantial market
share in private deposit-taking in the Oblast of Sverdlovsk
(currently about 10%), its scope and timeliness are somewhat
uncertain.

Severnaya Kazna is headquartered in Yekaterinburg, Russian
Federation.  As at year-end 2005, the bank reported total assets
of US$601 million under IFRS.  Severnaya Kazna ranked 57th by
assets and 72nd by regulatory capital among Russian banks as of
Sept. 30, 2006, according to Interfax.


SEVERSTAL OAO: Budgets RUR5 Billion to Rebuild N3 Blast Furnace
---------------------------------------------------------------
OAO Severstal will spend around RUR5 billion to reconstruct its
N3 blast furnace, AK&M reports.

The new furnace will have a capacity of 1.7 million tons and
will be furnished with modern equipment to allow technological
updates.  OAO Severstal is yet to tap a general designer,
general contractor, and equipment suppliers for the N3 furnace,
AK&M relays.

Severstal plans to demolish the furnace this quarter.  The
reconstruction is part of the company technical re-equipment
program to increase cast iron capacities.

                        About Severstal

Headquartered in Cherepovets, Russia, OAO Severstal --
http://www.severstal.com/-- is the country's largest steel
producer, with steel production of 17.1 million tons in 2005.
The Company owns Severstal North America, the fifth largest
integrated steel maker in the U.S. with 2005 production of 2.7
million tons, and Lucchini, Italy's second largest steel group
with 2005 production of 3.5 million tons.  Severstal is one of
the world's lowest cost and most profitable steel producers,
with 2005 EBITDA per ton of around EUR150 per ton.

As of June 30, 2006, Severstal had US14.04 billion in total
assets, US$4.89 billion in total liabilities and US$9.15 billion
in total shareholders' equity.

For the first nine months of 2006, Severstal posted a 7.4% year-
on-year slide in net profits to RUR23.5 billion, against a 6.3%
year-on-year hike in revenues to RUR113.59 billion.

                        *     *     *

As reported in the TCR-Europe on July 5, 2006, Standard & Poor's
Ratings Services kept its 'B+' long-term corporate credit rating
on Russian steelmaker OAO Severstal on CreditWatch with positive
implications following the consolidation of the company's mining
assets.

As reported in the TCR-Europe on June 28, 2006, Fitch Ratings
maintained the Rating Watch Positive status for OAO Severstal's
ratings of Issuer Default BB-, senior unsecured BB-, Short-term
B and National Long-term A+.


SIB-MET CJSC: Court Names A. Raskin as Insolvency Manager
---------------------------------------------------------
The Arbitration Court of Kemerovo Region appointed Mr. A. Raskin
as Insolvency Manager for CJSC Sib-Met.  He can be reached at:

         A. Raskin
         Post User Box 876
         650099 Kemerovo Region
         Russia

The court commenced bankruptcy proceedings against the company
after finding it insolvent.  The case is docketed under Case No.
A27-17440/2006-4.

The Arbitration Court of Kemerovo Region is located at:

         Krasnaya Str. 8
         Kemerovo
         Russia

The Debtor can be reached at:

         CJSC Sib-Met
         Oktyabrskaya Str. 22A
         Mezhdurechensk
         Kemerovo Region
         Russia


STEEL-ENERGO CJSC: Court Names E. Boyarshinov to Manage Assets
--------------------------------------------------------------
The Arbitration Court of Chelyabinsk Region appointed Mr. E.
Boyarshinov as Insolvency Manager for CJSC Steel-Energo.  He can
be reached at:

         E. Boyarshinov
         Office 60
         Elkina Str. 96
         454048 Chelyabinsk Region
         Russia

The Court commenced bankruptcy proceedings against the company
after finding it insolvent.  The case is docketed under Case No.
A76-29572/06-34-366.

The Arbitration Court of Chelyabinsk Region is located at:

         Vorovskogo Str. 2
         454091 Chelyabinsk Region
         Russia

The Debtor can be reached at:

         CJSC Steel-Energo
         Metallurgov Str. 2A
         Magnitogorsk
         455000 Chelyabinsk Region
         Russia


SHUMERLINSKIY WOOD: Asset Sale Slated for January 24
----------------------------------------------------
RSGU Fund of Property of Chuvashiya, the bidding organizer for
OJSC Shumerlinskiy Wood Combine, will open a public auction for
the compnay's properties at 2:00 p.m. on Jan. 24 at:

         RSGU Fund of Property of Chuvashiya
         Room 28
         K. Ivanova Str. 84
         Cheboksary
         Chuvashiya Republic
         Russia

Interested participants have until Jan. 18 to deposit an amount
equivalent to 20% of the starting price to:

         RSGU Fund of Property of Chuvashiya
         Settlement Account 40302810700003000011
         GRKTs NB Chuvashkoy Respubliki Bank of Russia
         Cheboksary
         BIK 049706001
         KPP 213001001
         TIN 2129023015

Bidding documents must be submitted to:

         OJSC Shumerlinskiy Wood Combine
         Surikova Str. 1
         Shumerlya
         Chuvashiya Republic
         Russia
         Tel: (8352) 42-88-62, 42-02-86, Fax: 42-58-13

The Debtor can be reached at:

         OJSC Shumerlinskiy Wood Combine
         Surikova Str. 1
         Shumerlya
         Chuvashiya Republic
         Russia


TIMLYUYSKIY FACTORY: Creditors Must File Claims by February 23
--------------------------------------------------------------
Creditors of OJSC Timlyuyskiy Factory of Asbestos-Cement
Products have until Feb. 23 to submit written proofs of claim
to:

         V. Bataev, Temporary Insolvency Manager
         Post User Box 3638
         Angarsk
         665825 Irkutsk Region
         Russia

The Arbitration Court of Buryatiya Republic commenced bankruptcy
supervision procedure on OJSC Timlyuyskiy Factory of Asbestos-
Cement Products.  The case is docketed Under Case No. A10-5032/
06.

The Arbitration Court of Buryatiya Republic is located at:

         Kommunisticheskaya Str. 51
         Ulan-Ude
         Russia

The Debtor can be reached at:

         OJSC Timlyuyskiy Factory of Asbestos-Cement Products
         Promyshlennaya Str. 1
         Kamensk
         Kabanskiy Region
         617205 Buryatiya Republic
         Russia


TNK-BP HOLDING: Wrests Full Ownership of LLC JV Vanyoganneft
------------------------------------------------------------
TNK-BP Holding Ltd. is acquiring Occidental Petroleum Corp.'s
50% stake in LLC JV Vanyoganneft for around US$485 million, RIA
Novosti reports.

TNK-BP, through its TNK-Nizhnevartovsk unit, and Occidental each
owns 50% of Vanyoganneft, which pumps 22,600 barrels of oil
equivalent daily, Reuters relays.  TNK-BP and Occidental each
has four representatives sitting as directors at Vanyoganneft's
board.

"We are expecting to close the deal in the first quarter of 2007
following standard approval procedures by Russian state
regulatory bodies," TNK-BP said in a statement.  "As a result,
TNK-BP Holding will become the sole owner of Vanyoganneft."

"We got an excellent price," Larry Meriage, spokesman for
Occidental, told Bloomberg News.  "It was not a core region for
us, it was the only operation we had in Russia.  Our assets are
concentrated in the U.S., the Middle East and Latin America."

Formed in March 1992, Vanyoganneft operates the Van Yogan and Ay
Yogan fields in Western Siberia, Russia under 20-year renewable
production licenses.  The joint venture had reported proven
reserves of around 25 million tons as of Dec. 31, 2005.

                          About TNK-BP

Headquartered Moscow, Russia, TNK-BP Holding OAO --
http://www.tnk-bp.com/-- operates six refineries in Russia and
Ukraine, and markets products through 2,100 retail service
stations operating under TNK and BP brand.  TNK owns 56.5% of
TNK-BP Holding, and Onako and Sidanco hold 6.8% and 30.9%,
respectively.  The other 5.8% belongs to TNK-BP shareholders.

TNK-BP holds a strategic position as the second largest liquids
producer in the Russian intergraded operating environment,
accounting for around 18% of Russia's total crude oil
production.
                          *     *     *

Standard & Poor's assigned BB+/Stable foreign currency local
currency ratings to TNK-BP on June 30, 2006.

Moody's assigned Ba2/Positive foreign currency rating to the
company on Jan. 24, 2006.

Fitch assigned BB+/Positive foreign currency rating to TNK-BP on
Feb. 13, 2006, and BB+/Positive local currency rating on
Aug. 24, 2005.


TUNING FORK: Creditors Must File Claims by Feb. 23
--------------------------------------------------
Creditors of OJSC Tuning Fork have until Feb. 23 to submit
written proofs of claim to:

         N. Belobragina, Insolvency Manager
         Office 43
         Lenina Pr. 57a
         300041 Tula Region
         Russia

The Arbitration Court of Tula Region commenced bankruptcy
proceedings against the company after finding it insolvent.  The
case is docketed under Case No. A68-441/B-06.

The Arbitration Court of Tula Region is located at:

         Hall 35
         Sovetskaya Str. 112
         Tula Region
         Russia

The Debtor can be reached at:

         OJSC Tuning Fork
         Tsentralnaya Str. 17a
         Block 5/15
         Uzlovaya
         301632 Tula Region
         Russia


VOLNOVSKOYE CJSC: Court Names A. Lyubimenko to Manage Assets
------------------------------------------------------------
The Arbitration Court of Saratov Region appointed Mr. A.
Lyubimenko as Insolvency Manager for CJSC Volnovskoye.  He can
be reached at:

         A. Lyubimenko
         Post User Box 3465
         410086 Saratov Region
         Russia

The Court commenced bankruptcy proceedings against the company
after finding it insolvent.  The case is docketed under Case No.
A-57-409B/05-23.

The Arbitration Court of Saratov Region is located at:

         Babushkin Vvoz 1
         Saratov Region
         Russia

The Debtor can be reached at:

         CJSC Volnovskoye
         Shevyrevka
         Saratov Region
         Russia


=========
S P A I N
=========


ALLIANCE ATLANTIS: Inks CDN$2.3 Billion Deal with CanWest
---------------------------------------------------------
CanWest Global Communications Corp. and GS Capital Partners, a
private equity affiliate of Goldman, Sachs & Co., reported that
a new acquisition company has entered into a definitive
agreement with Alliance Atlantis Communications Inc. to acquire
all of Alliance's outstanding Class A voting and Class B non-
voting shares at a purchase price of CDN$53 per share in cash
for an aggregate price of approximately CDN$2.3 billion.

"[Wednes]day's transaction is consistent with CanWest's strategy
to enhance its existing television business and expand its
presence in the fast growing specialty television sector," said
Leonard Asper, President & CEO of CanWest.  "The combined
expertise of CanWest and Alliance Atlantis will enable us to
produce even better Canadian content, promote it more
effectively, and provide greater access to more viewers across
more platforms. We are thrilled to be working with Goldman Sachs
to effect this strategic transaction."

"I believe this transaction represents great value for our
shareholders," said Michael MacMillan, Executive Chairman of
Alliance Atlantis.  "The combination of CanWest's conventional
and specialty television businesses and Alliance Atlantis' 13
specialty television channels creates an excellent foundation
for future growth in both businesses."

The acquisition of Alliance Atlantis is to be carried out by way
of a statutory Plan of Arrangement.  The newly formed
acquisition company is an indirect wholly owned subsidiary of
CanWest.  The Arrangement requires a vote by Alliance Atlantis'
Class A voting and Class B non-voting shareholders at a meeting
of shareholders, which is currently expected to be held in the
spring of 2007.

Shareholders representing approximately 80% of the Class A
voting shares, have agreed to vote their shares of Alliance
Atlantis in favor of the shareholders' resolution approving the
Arrangement.  The Arrangement is also subject to court approval
as well as certain other customary conditions, including the
receipt of regulatory approvals.  Pending approval from the
Canadian Radio-television and Telecommunications Commission for
the change of ownership and transfer of control of the specialty
television channels, the securities of the relevant regulated
entities will be deposited with a trustee pursuant to a voting
trust agreement approved by the CRTC.

A special committee of the Board of Directors of Alliance
Atlantis, comprised of Robert Steacy (Chair), Barry Reiter and
Anthony Griffiths, has reviewed the Plan of Arrangement in
consultation with its legal and financial advisors.  The Special
Committee unanimously recommends the Plan of Arrangement to the
company's Board of Directors, and the Board of Directors
unanimously recommends (with one director recusing himself due
to conflict) that shareholders vote in favor of the Arrangement.

RBC Capital Markets has provided an opinion to the Board of
Directors indicating that, as of the date of such opinion, the
consideration under the Plan of Arrangement is fair from a
financial point of view to the shareholders.

A CanWest-controlled company will be the controlling shareholder
of Alliance Atlantis following the closing of the transaction
(expected to occur by summer 2007).  It is intended that a
reorganization of Alliance Atlantis will take place to separate
the businesses of the Company:

       -- upon receipt of CRTC approval, Alliance Atlantis'
          specialty television business and CanWest's Canadian
          television business will be managed on an integrated
          basis by CanWest and ultimately combined;

       -- it is intended that Alliance Atlantis' Motion Picture
          Distribution business will be controlled by a Canadian
          partner of GS Capital Partners; and

       -- it is intended that GS Capital Partners will own 100%
          of Alliance Atlantis' financial interest in the highly
          successful CSI franchise.  As part of this new
          relationship with Goldman Sachs, CBS will assume
          international distribution of CSI, CSI: Miami and CSI:
          NY.

The formal combination of the broadcast businesses will occur
sometime in 2011.  The equity of each of CanWest and GS Capital
Partners in the combined entity will be determined by the EBITDA
of the combined operation at that time.  There are a variety of
customary liquidity mechanisms that will be available to the
parties following the combination.  "We are looking forward to
this relationship with CanWest to support the expansion of its
television business and to facilitate the combination of two
great Canadian media companies," said Gerry Cardinale, a
Managing Director of GS Capital Partners.

CanWest was advised by Genuity Capital Markets and GS Capital
Partners was advised by Goldman, Sachs & Co. Alliance Atlantis
was advised by RBC Capital Markets.

                          About CanWest

CanWest Global Communications Corp. --
http://www.canwestglobal.com/-- is Canada's largest media  
company.  CanWest is Canada's largest publisher of daily
newspapers and also owns, operates or holds substantial
interests in conventional television, out-of-home advertising,
specialty cable channels, web sites and radio stations and
networks in Canada, New Zealand, Australia, Turkey, Singapore,
Indonesia, Malaysia, the United Kingdom and the United States.

                      About Alliance Atlantis

Headquartered in Toronto, Canada, Alliance Atlantis
Communications Inc. -- http://www.allianceatlantis.com/-- is a  
specialty channel broadcaster with a 50% ownership interest in
the CSI TV franchise.  The company has worldwide offices in the
United Kingdom, Spain and Australia.

                         *     *     *

As reported in the Troubled Company Reporter on Jan. 12, 2007,
Standard & Poor's Ratings Services reported that the ratings on
Alliance Atlantis Communications Inc., including the 'BB' long-
term corporate credit rating, remain on CreditWatch.  The
implications, however, have been revised to negative from
developing.  The ratings were first placed on CreditWatch with
developing implications Dec. 20, 2006, after Alliance Atlantis'
disclosure that it is exploring strategic alternatives, namely
the possible sale of the entire company.


ALLIANCE ATLANTIS: Moody's Changes Direction of Ratings Review
--------------------------------------------------------------
Moody's Investors Service placed all long term ratings of
CanWest MediaWorks Inc. under review direction uncertain and
changed the direction of its current ratings review of Alliance
Atlantis Communications Inc. to down from up.

The rating actions follow the announcement made jointly by the
companies that CanWest's parent, CanWest Global Communications
Corp. and Goldman Sachs Capital Partners have reached an
agreement to acquire AACI in a transaction valued at roughly
$2.6 billion.  The transaction will initially see CanWest
contribute cash of $132 million into a new entity to own a 17%
equity interest in AACI 's specialty broadcasting channels.

CanWest will also have the option to contribute an additional
$70 million to increase its equity interest.  There will be
future mechanisms for CanWest to increase its stake in the
specialty channels beginning in 2011 when CanWest will
contribute its Canadian broadcasting assets to newco in exchange
for an increased ownership of that entity, which the company
currently believes may then approximate 50%.  CanWest will not
have any interest in either the CSI TV franchise or Movie
Distribution business currently owned by AACI.  The transaction
remains subject to shareholder approval and regulatory rulings.  
It is expected to close in the summer of 2007.

While CanWest's initial cash investment is relatively small,
Moody's is concerned that the transaction may eventually
increase CanWest's leverage to levels above previous
expectations.  On the other hand, CanWest continues to review
the strategic alternatives for its assets in the South Pacific,
which Moody's believes could be sold for significant value and
used to reduce leverage.  The ratings review for CanWest will
focus on the likelihood that the AACI transaction will be
completed, the potential for some or all of its assets in the
South Pacific to be sold, as well as the expected change to
CanWest's overall capital structure, cash flows and strategic
direction that may result.

The direction of the review of AACI's rating was changed to down
as it appears likely that AACI will be acquired by a more highly
levered entity, superseding the previous review for possible
upgrade, which was largely based on AACI's strengthening
fundamentals.  The review of AACI's ratings will focus on the
potential for the transaction to be completed, or alternatives
AACI may pursue in the event it is not acquired as is now
currently expected.  Moody's noted that should the acquisition
of AACI by CanWest and GSCP be completed as announced, AACI's
rated debt will likely be repaid pursuant to a Change of Control
clause in its bank agreement and its debt ratings withdrawn.


   * CanWest ratings placed under review direction uncertain:

      -- Corporate Family Rating, Ba3

      -- Probability-of-Default rating, Ba3

      -- Senior Subordinate rating, B2

      -- Loss-Given-Default rating for Senior Subordinate debt,
         LGD5 (87%)


   * AACI ratings placed under review down:

      -- Corporate Family Rating, Ba2

      -- Probability-of-Default rating, Ba3

      -- Senior Secured rating, Ba1

      -- Loss-Given-Default rating for Senior Secured debt, LGD2
         (26%)

CanWest MediaWorks Inc. is a communications holding company
based in Winnipeg, Manitoba Canada, with interests in TV, radio
and publishing operations in Canada, Australia, New Zealand, and
other international locations.

Alliance Atlantis Communications Inc., headquartered in Toronto,
Canada, is specialty channel broadcaster with a 50% ownership
interest in the CSI TV franchise.


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


DE BORTOLI: Arlesheim Court Starts Bankruptcy Proceedings
---------------------------------------------------------
The Bankruptcy Court of Arlesheim commenced bankruptcy
proceedings against JSC De Bortoli, Arlesheim on Nov. 22, 2006.

The Debtor can be reached at:

         JSC De Bortoli, Arlesheim
         Im Baumgarten 9
         4144 Arlesheim
         Basel-Country
         Switzerland

The Bankruptcy Service of Arlesheim can be reached at:

         Bankruptcy Service of Arlesheim
         4144 Arlesheim
         Basel-Country
         Switzerland


DONNA E UOMO: Aargau Court Starts Bankruptcy Proceedings
--------------------------------------------------------
The Bankruptcy Court of Aargau commenced bankruptcy proceedings
against LLC Donna e Uomo on Nov. 8, 2006.

The Debtor can be reached at:

         LLC Donna e Uomo
         Vordere Vorstadt 12
         5000 Aarau
         Switzerland

The Bankruptcy Service of Aargau can be reached at:

         Bankruptcy Service of Aargau
         Office Oberentfelden
         5036 Oberentfelden
         Aargau
         Switzerland


LIBERALE BAUGENOSSENSCHAFT: Court Closes Bankruptcy Proceedings
---------------------------------------------------------------
The Bankruptcy Court of Aargau entered Nov. 17, 2006, an order
closing the bankruptcy proceedings of Liberale Baugenossenschaft
Seestern.

The Debtor can be reached at:

         Liberale Baugenossenschaft Seestern
         Engenbuhl 333
         5705 Hallwil
         Aargau
         Switzerland

The Bankruptcy Service of Aargau can be reached at:

         Bankruptcy Service of Aargau
         Office Oberentfelden
         5036 Oberentfelden
         Aargau
         Switzerland


M & S BAUTECHNIK: Aargau Court Suspends Bankruptcy Proceedings
--------------------------------------------------------------
The Bankruptcy Court of Aargau suspended the bankruptcy
proceedings of JSC M & S Bautechnik on Dec. 11, 2006, pursuant
to Article 230 of the Swiss Bankruptcy Code.

The bankruptcy proceedings will be declared closed once
creditors fail to submit their claims and pay a CHF5,000
deposit.  The right for the additional deposit is retained.

The Debtor, declared bankrupt on Nov. 2, 2006, can be reached
at:

         JSC M & S Bautechnik
         Schwarzackerstrasse 60
         4303 Kaiseraugst
         Aargau
         Switzerland

The Bankruptcy Service of Aargau can be reached at:

         Bankruptcy Service of Aargau
         Office Brugg
         5201 Brugg
         Aargau
         Switzerland


REUSSDACH GEBENSTORF: Asset Sale Auction Slated for January 25
--------------------------------------------------------------
JSC Reussdach Gebenstorf will auction certain assets at 4:00
p.m. on Jan. 25 at the first floor of Hotel Linde in
Mellingerstrasse 22, Aargau.

The assets for sale include land records in Gebenstorf, Aargau,
estimated at CHF830,000.

Interested bidders must deposit CHF50,000 in cash or through
check from one of the Swiss banks.  This sum includes CHF7,000,
which covers the cost of transferring the property rights, and
CHF20,000 as a deposit for the equipment.

The Debtor can be reached at:

         JSC Reussdach Gebenstorf
         Kungenwinkel 1
         5412 Gebenstorf
         Switzerland

The Bankruptcy Service of Aargau can be reached at:

         Bankruptcy Service of Aargau
         Office Baden
         Oberstadtstrasse 9
         5402 Baden
         Switzerland


ROPEX BAUTEC: Aargau Court Closes Bankruptcy Proceedings
--------------------------------------------------------
The Bankruptcy Court of Aargau entered Nov. 14, 2006, an order
closing the bankruptcy proceedings of LLC Ropex Bautec.

The Debtor can be reached at:

         LLC Ropex Bautec
         Baslerstrasse 47
         5222 Umiken
         Switzerland

The Bankruptcy Service of Aargau can be reached at:

         Bankruptcy Service of Aargau
         Office Brugg
         5201 Brugg
         Switzerland


S & S BIKEWEAR: Aargau Court Starts Bankruptcy Proceedings
----------------------------------------------------------
The Bankruptcy Court of Aargau commenced bankruptcy proceedings
against LLC S&S bikewear on Nov. 22, 2006.

The Debtor can be reached at:

         LLC S&S bikewear
         Zurcherstrasse 120
         5432 Neuenhof
         Switzerland

The Bankruptcy Service of Aargau can be reached at:

         Bankruptcy Service of Aargau
         Office Baden
         5402 Baden
         Switzerland


SCHWITZKASTEN WETTINGEN: Asset Sale Auction Set for January 25
--------------------------------------------------------------
JSC Schwitzkasten Wettingen will auction certain assets at 2:00
p.m. on Jan. 25 at the first floor of Hotel Linde in
Mellingerstrasse 22, Aargau.

The assets for sale include land records in Wettingen, Aargau,
estimated at CHF921,000.

Interested bidders must deposit CHF50,000 in cash or through
check from one of the Swiss banks.  This sum includes CHF7,000,
which covers the cost of transferring the property rights.

The Debtor can be reached at:

         JSC Schwitzkasten Wettingen
         Marzengasse 19
         5430 Wettingen
         Switzerland

The Bankruptcy Service of Aargau can be reached at:

         Bankruptcy Service of Aargau
         Office Baden
         5402 Baden
         Switzerland


SOLAND ELEKTRO: Aargau Court Closes Bankruptcy Proceedings
----------------------------------------------------------
The Bankruptcy Court of Aargau entered Nov. 21, 2006, an order
closing the bankruptcy proceedings of LLC Soland Elektro.

The Debtor can be reached at:

         LLC Soland Elektro
         Rappertshausernstrasse 11b
         4313 Mohlin
         Rheinfelden, Aargau
         Switzerland

The Bankruptcy Service of Aargau can be reached at:

         Bankruptcy Service of Aargau
         Office Brugg
         5201 Brugg
         Aargau
         Switzerland


WEITEX JSC: Basel-Stadt Court Closes Bankruptcy Proceedings
-----------------------------------------------------------
The Bankruptcy Court of Basel-Stadt entered Nov. 10, 2006, an
order closing the bankruptcy proceedings of JSC Weitex.

The Debtor can be reached at:

         JSC Weitex
         St. Jakobs-Strasse 7
         4002 Basel
         Basel-City
         Switzerland

The Bankruptcy Service of Basel-Stadt can be reached at:

         Bankruptcy Service of Basel-Stadt
         4051 Basel
         Switzerland


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


TNK-BP HOLDING: Wrests Full Ownership of LLC JV Vanyoganneft
------------------------------------------------------------
TNK-BP Holding Ltd. is acquiring Occidental Petroleum Corp.'s
50% stake in LLC JV Vanyoganneft for around US$485 million, RIA
Novosti reports.

TNK-BP, through its TNK-Nizhnevartovsk unit, and Occidental each
owns 50% of Vanyoganneft, which pumps 22,600 barrels of oil
equivalent daily, Reuters relays.  TNK-BP and Occidental each
has four representatives sitting as directors at Vanyoganneft's
board.

"We are expecting to close the deal in the first quarter of 2007
following standard approval procedures by Russian state
regulatory bodies," TNK-BP said in a statement.  "As a result,
TNK-BP Holding will become the sole owner of Vanyoganneft."

"We got an excellent price," Larry Meriage, spokesman for
Occidental, told Bloomberg News.  "It was not a core region for
us, it was the only operation we had in Russia.  Our assets are
concentrated in the U.S., the Middle East and Latin America."

Formed in March 1992, Vanyoganneft operates the Van Yogan and Ay
Yogan fields in Western Siberia, Russia under 20-year renewable
production licenses.  The joint venture had reported proven
reserves of around 25 million tons as of Dec. 31, 2005.

                          About TNK-BP

Headquartered Moscow, Russia, TNK-BP Holding OAO --
http://www.tnk-bp.com/-- operates six refineries in Russia and
Ukraine, and markets products through 2,100 retail service
stations operating under TNK and BP brand.  TNK owns 56.5% of
TNK-BP Holding, and Onako and Sidanco hold 6.8% and 30.9%,
respectively.  The other 5.8% belongs to TNK-BP shareholders.

TNK-BP holds a strategic position as the second largest liquids
producer in the Russian intergraded operating environment,
accounting for around 18% of Russia's total crude oil
production.
                          *     *     *

Standard & Poor's assigned BB+/Stable foreign currency local
currency ratings to TNK-BP on June 30, 2006.

Moody's assigned Ba2/Positive foreign currency rating to the
company on Jan. 24, 2006.

Fitch assigned BB+/Positive foreign currency rating to TNK-BP on
Feb. 13, 2006, and BB+/Positive local currency rating on
Aug. 24, 2005.


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


ADVANCED MARKETING: Seeks to Pay US$12-Mln Publisher Claims
-----------------------------------------------------------
Advanced Marketing Services Inc. and its debtor-affiliates seek
authority from the U.S. Bankruptcy Court for the District of
Delaware to pay, in the ordinary course of business, up to
US$12,000,000 in prepetition claims of publishers who supply
goods and credit critical to the continued operation of
Publishers Group West Inc.'s business.

The Debtors want to make the payments to minimize disruption and
possible "domino effect" of further insolvencies that could be
caused if PGW immediately ceased all payments with respect to
the PGW Publisher Claims.

The Debtors estimate that PGW owed approximately US$36,009,556
to PGW Publishers as of December 31, 2006.  Unlike majority of
Advanced Marketing Services Inc.'s publisher creditors, PGW's
publisher clients are smaller, independent producers.

The Debtors relate that the Distribution Agreements with the PGW
Publishers are not "consignments" governed by Article 9 of the
Uniform Commercial Code, but rather are true bailments governed
by common law.

The Debtors tell the Court that they will seek the most
advantageous of credit terms possible from each PGW Publisher as
a condition of making the payments.  At minimum, the Debtors
will seek trade credit for postpetition transactions for PGW, on
not less than 30-day terms, for new postpetition purchases at
least equal to the amount of the PGW Publisher Claims paid.

The Debtors also propose that payments made be credited against
the ultimate distributions that would otherwise be paid to the
PGW Publisher in order of priority -- that is, first, against
any allowed administrative claim under Section 503(b)(1) of the
Bankruptcy Code; second, against any allowed administrative
claims under Section 503(b)(9); and, against any allowed general
unsecured claims.

If a PGW Publisher refuses to sell books to the Debtors on terms
agreed by the parties following payment of any portion of its
PGW Publisher Claim, or fails to comply with any trade
agreement, the Debtors will seek authority to:

   -- declare that the parties' trade agreement is terminated;

   -- declare that any payments made on account of the PGW
      Publisher Claims be deemed to have been in payment of then
      -outstanding postpetition claims of that PGW Publisher,
      without further Court order; and

   -- recover any payment made to the PGW Publisher, without
      giving effect to any rights of set-off, claims, provision
      for payment of reclamation or trust fund claims, or other
      defense.

PGW acts as a warehouser, marketer, and distributor of books for
the PGW Publishers pursuant to a series of written marketing and
distribution agreements.  Upon receipt of an order for certain
titles, PGW purchases the books from the PGW Publishers on
credit terms and sells them to the third party retailers.

PGW is under no obligation to purchase the books held in its
warehouses if it receives no orders for those books from third
party retailers.  For a fee, PGW returns to the PGW Publisher or
destroys any books that have become old or unmarketable.

A substantial number of PGW Publishers provide PGW with
significant trade credit -- up to 90 days between the time PGW
purchases the products for further sale, and the time PGW is
required to pay the PGW Publishers for the purchase.

                      About Advanced Marketing

Based in San Diego, California, Advanced Marketing Services Inc.
-- http://www.advmkt.com/-- provides customized merchandising,  
wholesaling, distribution and publishing services, currently
primarily to the book industry.  The company has operations in
the U.S., Mexico, the United Kingdom and Australia and employs
approximately 1,200 people worldwide.

The company and its two affiliates, Publishers Group
Incorporated and Publishers Group West Incorporated filed for
Chapter 11 protection on Dec. 29, 2006 (Bankr. D. Del. Case Nos.
06-11480 through 06-11482).  Chun I. Jang, Esq., Mark D.
Collins, Esq., and Paul Noble Heath, Esq., at Richards, Layton &
Finger, P.A., represent the Debtors.  When the Debtors filed for
protection from their creditors, they listed estimated assets
and debts of more than US$100 million.  The Debtors' exclusive
period to file a Chapter 11 plan expires on Apr. 28.  (Advanced
Marketing Bankruptcy News, Issue No. 2; Bankruptcy Creditors'
Service Inc., http://bankrupt.com/newsstand/or 215/945-7000)


ADVANCED MICRO: Shares Drop 10% as Lower Prices Cut Profit
----------------------------------------------------------
Advanced Micro Devices Inc.'s shares dropped nearly 10% Friday
after the company warned of substantially lower profits caused
by a price war with its bigger rival Intel Corp., Chris Nuttall
writes for the Financial Times.

AMD disclosed expects revenue, excluding ATI-related segments,
for the fourth quarter ended Dec. 31, 2006, to increase
approximately three percent from the US$1.33 billion reported in
the third quarter of 2006.  Fourth quarter operating income,
excluding ATI-related segments and acquisition-related charges,
is expected to be positive but substantially lower than in the
third quarter.  The company said that its fourth quarter gross
margin and operating income were impacted by "significantly
lower microprocessor average selling prices, which largely
offset a significant increase in unit sales."

FT reports that AMD's total expected sales of US$1.72 billion
for the fourth quarter, including expected revenue of US$350
million from the purchase of ATI Technologies, is below analyst
expectations of US$1.85 billion for the fourth quarter.  Bank of
America semiconductor analyst Sumit Dhanda expressed the figures
as a big miss.

Joe Osha, an analyst at Merrill Lynch, warned that AMD might
lose money in the first half of 2007 citing competition from
rival Intel, slower discovery in its ATI's graphics card
business and the need to raise capacity.

AMD will report fourth quarter 2006 consolidated results after
market close on January 23, 2007.

                           About AMD

Based in Sunnyvale, California, Advanced Micro Devices Inc.
(NYSE: AMD) -- http://www.amd.com/-- designs and produces  
innovative microprocessor and graphics and media solutions for
the computer, communications, and consumer electronics
industries.  The company has corporate locations in Sunnyvale,
California, Austin, Texas, and Markham, Ontario, and global
operations and manufacturing facilities in the United States,
Europe, Japan, and Asia.  It maintains operations in Belgium,
France, Germany, the United Kingdom, Mexico and Brazil.

                         *     *     *

As reported in the Troubled Company Reporter on Oct. 31, 2006,
in connection with Moody's Investors Service's implementation of
its new Probability-of-Default and Loss-Given-Default rating
methodology for the U.S. technology semiconductor and
distributor sector, the rating agency affirmed its Ba3 corporate
family rating  on Advanced Micro Devices, Inc.

As reported in the Troubled Company Reporter on Oct. 6, 2006,
Standard & Poor's Ratings Services affirmed its 'B+' corporate
credit rating on AMD.  The rating agency also assigned its 'BB-'
bank loan rating, one notch above the corporate credit rating,
and a '1' recovery rating to the company's proposed US$2.5
billion senior secured term loan, to be used as partial funding
of the acquisition.  S&P further raised its rating on the
company's US$600 million (US$390 million outstanding) senior
notes to 'B+' from  'B'.


ARRAN FUNDING: Moody's Rates GBP57.9-Mln Class Notes at (P)Ba1
--------------------------------------------------------------
Moody's Investors Service affirmed the provisional (P)Ba1
ratings to around GBP57.9 million equivalent of asset-backed
notes to be issued by Arran Funding Limited and originally
assigned on Nov. 17, 2006, following the announcement made by
The Royal Bank of Scotland on Dec. 4, 2006, that it had become
aware that the "excess spread (%)" and "excess spread (%)
quarterly average" had been overstated in the Monthly Servicer's
Reports since December 2005.  

After carefully reviewing the revised monitoring data, which was
confirmed by RBS internal auditors, Moody's believes the revised
data and the fact that 25% of the spread account will be funded
at closing is consistent with the outstanding (P)Ba1 ratings:

   -- EUR[.] Series 2007-A Class A2 Notes: (P)Ba1;
      and

   -- GBP[.] Series 2007-A Class A3 Notes: (P)Ba1.

Moody's issues provisional ratings in advance of the final sale
of securities, but these ratings only represent Moody's
preliminary credit opinion.  Upon a conclusive review of the
transaction and associated documentation, Moody's will endeavor
to assign definitive ratings to the Notes.  A definitive rating
may differ from a provisional rating.  Moody's will disseminate
the assignment of any definitive ratings through its Client
Service Desk."

The provisional ratings address the expected loss posed to
investors by the legal final maturity date.  In Moody's opinion,
the structure allows for ultimate payment of interest and
principal at par on or before the rated legal final maturity
date.  Moody's ratings address only the credit risks associated
with the transaction.  Other non-credit risks have not been
addressed, but may have a significant effect on yield to
investors.


AXS-ONE: Stock Trading Continues While Amex Reviews Compliance
--------------------------------------------------------------
The staff of the American Stock Exchange has reviewed the AXS-
One Inc.'s plan of compliance to meet the AMEX's continued
listing standards and will continue the company's listing while
the company seeks to regain compliance with the listing
standards during the period ending April 6, 2008.

The AMEX staff notified AXS-One on Oct. 6, 2006, that the
company had fallen below the listing standard set forth in
Section 1003(a)(i) of the AMEX Company Guide.  During the plan
period, the company must continue to provide the AMEX staff with
updates regarding initiatives set forth in its plan of
compliance.

The company will be subject to periodic review by the AMEX staff
during the plan period.  If the company is not in compliance
with the continued listing standards on April 6, 2008 or the
company does not make progress consistent with the plan during
the plan period, then the AMEX may initiate immediate delisting
proceedings.

                           About AXS-One

Headquartered in Rutherford, NJ, AXS-One Inc. (AMEX: AXO) --
http://www.axsone.com/-- is a leading provider of high-
performance Records Compliance Management solutions.  The AXS-
One Compliance Platform enables organizations to implement
secure, scalable and enforceable policies that address records
management for corporate governance, legal discovery and
industry regulations such as SEC17a-4, NASD 3010, Sarbanes-
Oxley, HIPAA, The Patriot Act and Gramm-Leach Bliley. AXS-One
has offices worldwide including the United States, Australia,
Singapore, United Kingdom and South Africa.

At Sept. 30, 2006, the company's balance sheet showed $7.3
million in total assets and $17 million in total liabilities,
resulting in a $9.8 million total stockholders' deficit.


BELTPACKER PLC: Creditors' Meeting Slated for January 19
--------------------------------------------------------
Creditors of Beltpacker PLC will meet at 10:30 a.m. on Jan. 19
at:

         RSM Robson Rhodes LLP
         St. George House
         40 Great George Street
         Leeds LS1 3DQ
         United Kingdom

Creditors who want to vote at the meeting must submit
particulars of their claims or of any security, together with
their proxy forms, at noon on Jan. 18 at the said address.

A list of names and addresses of the Company's Creditors will be
available for inspection free of charge between 10:00 a.m. and
4:00 p.m. on Jan. 17 and Jan. 18.  

RSM Robson Rhodes LLP -- http://www.robsonrhodes.co.uk/--  
provides a wide range of auditing, assurance, advisory and
compliance services for both private and public sectors.  The
firm is a member of the RSM International, the world's sixth
largest international organization of accountants and business
advisers.


BOMBARDIER INC: To Lay Off 170 Business-Jet Jobs in Montreal
------------------------------------------------------------
Bombardier Inc. will cut 170 jobs at its business-jet unit in
Montreal next month, Frederic Tomesco writes for Bloomberg News.

Bombardier spokesman Leo Knaapen told Bloomberg that about 90
workers on the Challenger 604 model and 80 workers on the Global
Express jet would lose their jobs.  Mr. Knaapen disclosed that
there were about 1,860 workers on the two planes at painting and
interior-finishing plants near the city's airport.

Citing Mr. Knaapen, Bloomberg relates that the company, which
reorganizes production to cut cost, is getting the workforce in
line with the completion requirements.  "There is just a handful
of 604 aircraft currently in completion, and they will be
completed by the second quarter of this year."  Mr. Knaapen
adds.

Bloomberg reports that the company will move its manufacturing
and painting to a single facility between April and September,
to make the operation more efficient.  Bombairdier's Challenger
605 model, which will replace the 604, won't be available in
service until September.

                         About Bombardier

Headquartered in Valcourt, Quebec, Bombardier Inc. (TSX: BBD) --
http://www.bombardier.com/-- manufactures transportation      
solutions, from regional aircraft and business jets to rail
transportation equipment.  In Europe, it maintains operations in
Northern Ireland, United Kingdom, Germany, Switzerland, Sweden,
and Austria.  Its revenues for the fiscal year ended Jan. 31,
2006 were USUS$14.7 billion and its shares are traded in the
Toronto Stock Exchange.

                         *     *     *

As reported in the Troubled Company Reporter on Nov. 1, 2006,
Dominion Bond Rating Service confirmed the ratings of Bombardier
Inc. and Bombardier Capital Ltd.  The Senior Unsecured
Debentures of both Bombardier Inc. and Bombardier Capital Ltd.
are confirmed at BB, and Preferred Shares of Bombardier Inc. at
Pfd-4.  All trends are Negative.

In a TCR-Europe report on Nov. 1, Fitch Ratings has downgraded
the debt and Issuer Default Ratings for both Bombardier Inc.
The Company's issuer default rating was downgraded from BB to
BB-. Other rating actions include, Senior unsecured debt revised
to 'BB-' from 'BB'; Credit facilities revised to 'BB-' from 'BB'
and Preferred stock revised to 'B' from 'B+'.  The Rating
Outlook is Stable.

At the same time, Standard & Poor's Ratings Services affirmed
its 'BB' long-term corporate credit rating on Bombardier.  At
the same time, Standard & Poor's assigned its 'BB' issue rating
to Bombardier's proposed issuance of up to EUR1.8 billion seven-
to-ten-year multi-tranche senior unsecured notes.

Moody's Investors Service also assigned its Ba2 rating to
Bombardier Incorporated's proposed EUR1.8 billion in new senior
unsecured notes and affirms all current ratings.


BRITISH AIRWAYS: GMB Union's Shop Stewards Reject Pension Offer
---------------------------------------------------------------
British Airways Plc is facing a potential strike action after
union leaders unanimously rejected the airline's proposed deal
that would cut a GBP2.1-billion pension deficit, Tracy Alloway
writes for Bloomberg News.

Rose Conrody, a spokeswoman for GMB union's shop stewards, told
Bloomberg that the proposal favored higher paid workers such as
pilots.

Some 4,500 members of the GMB union, who are employed at BA,
will vote on the pension scheme tomorrow and decide whether to
carry the industrial action.

                  Pilots Endorse Pension Deal

Meanwhile, the British Airline Pilots' Association (BALPA) had
unanimously endorsed the pension offer and is set to reveal
balloting results of its 3,000 members on Feb. 9, Reuters
relates.

"We are disappointed with the position taken by the GMB,"
British Airways said in a statement.  "We have just concluded 16
months of talks by accepting a collective proposal put forward
by the four trade unions."

                      Terms of the Scheme

As reported in the TCR-Europe on Jan. 11, under the proposals
there will be a normal retirement age of 65 with a contribution
rate of 5.25% and the ability for employees to pay a higher
pension contribution rate of 8.5% to retire at 60.  Staff can
still choose to retire earlier than the normal retirement age
but with are reduced pension.

There will also be a normal retirement age of 55 with a
contribution rate of 9% on top of the cost of retiring at 60.  
This option is available to all staff.

Future pensionable pay rises will be capped to inflation and
pension growth in retirement remains at 5%.

The company will make a one-off contribution of GBP800 million
and up to GBP150 million more in contributions over the next
three years subject to financial targets.

Together with the one-off employee saving of GBP400 million and
changes to future benefits, the GBP2.1 billion deficit will be
more than halved to GBP0.9 billion.

The airline's annual contributions for the next ten years of
GBP280 million, up from GBP272 million in November last year,
will clear the remaining deficit.  The GBP8-million increase
represents the cost of improved contributions and keeping LPI at
5%.

The NAPS trustees approved the funding plan to clear the deficit
last year.

GMB is the smallest union of the four trade unions that make up
the British Airways Forum.  The three other trade unions
comprising the BA Forum are BALPA, Amicus and Transport &
General Workers union.

                    About British Airways

Headquartered in West Drayton, United Kingdom, British Airways
Plc -- http://www.ba.com/-- operates of international and
domestic scheduled and charter air services for the carriage of
passengers, freight and mail, and provides of ancillary
services.  The British Airways group consists of British Airways
Plc and a number of subsidiary companies including in particular
British Airways Holidays Limited and British Airways Travel
Shops Limited.  BA has offices in India and Guatemala.

                        *     *     *

British Airways' 7-1/4% senior unsubordinated notes due 2016 and
10-7/8% notes due 2008 carry Moody's Investors Service's Ba2
ratings and Standard & Poor's BB- ratings.


BRITISH AIRWAYS: Reducing Fuel Surcharge on Longhaul Flights
------------------------------------------------------------
British Airways Plc is to reduce its fuel surcharge on its
shorter longhaul routes from Jan. 12 as a result of a fall in
the price of oil.

As a result, the fuel surcharge on tickets sold in the U.K. for
longhaul flights scheduled at under nine hours in duration will
be reduced from GBP35 per sector to GBP30 per sector
(GBP60 return trip).

The fuel surcharge on longer-range services, will remain at
GBP35 per sector (GBP70 return trip) to reflect the higher fuel
consumption on these flights.

The shorthaul fuel surcharge will remain unchanged at GBP8 per
sector (GBP16 a return trip).

"The cost of oil has reduced in recent weeks and therefore we
believe that it is right that our customers benefit from lower
prices on shorter flights. Robert Boyle, British Airways'
commercial director, said.  

"Reducing the fuel surcharge on some of our longhaul flights
means that the amount customers pay better reflects the cost of
fuel to BA for their specific flight.

"Despite the recent drop in oil price, our fuel costs remain a
real burden.  It is our second largest cost after employee
costs," Mr. Boyle added.

The reduced fuel surcharge on certain longhaul flights will
apply to tickets issued from Jan. 12.

British Airways will also reduce its fuel surcharges by
equivalent levels in all markets.

Headquartered in West Drayton, United Kingdom, British Airways
Plc -- http://www.ba.com/-- operates of international and
domestic scheduled and charter air services for the carriage of
passengers, freight and mail, and provides of ancillary
services.  The British Airways group consists of British Airways
Plc and a number of subsidiary companies including in particular
British Airways Holidays Limited and British Airways Travel
Shops Limited.  BA has offices in India and Guatemala.

                        *     *     *

British Airways' 7-1/4% senior unsubordinated notes due 2016 and
10-7/8% notes due 2008 carry Moody's Investors Service's Ba2
ratings and Standard & Poor's BB- ratings.


BRITISH AND FOREIGN: Creditors' Meeting Slated for January 18
-------------------------------------------------------------
Creditors of British and Foreign Consultants Ltd. will meet at
noon on Jan. 18 at:
  
         Langley Group LLP
         Langley House
         Park Road
         East Finchley
         London N2 8EX
         United Kingdom

Creditors who want to vote at the meeting must submit
particulars of their claims or of any security, together with
their proxy forms, at noon on Jan. 17 at the said address.  
  
A list of names and addresses of the Company's Creditors will be
available for inspection free of charge between 10:00 a.m. and  
4:00 p.m. on Jan. 16.


BURTENSHAW FM: Creditors' Meeting Slated for January 22
-------------------------------------------------------
Creditors of Burtenshaw FM LLP will meet at 11:00 a.m. on  
Jan. 22 at:
  
         McTear Williams & Wood
         90 St. Faiths Lane
         Norwich NR1 1NE
         United Kingdom
        
Creditors who want to vote at the meeting must submit
particulars of their claims or of any security, together with
their proxy forms, at noon on Jan. 19 at the said address.  
  
A list of names and addresses of the Company's Creditors and
other information concerning the Company's affairs will be
available for inspection free of charge between 10:00 a.m. and
4:00 p.m. on Jan. 19.


COLLINS & AIKMAN: Wants IHD Litigation Claims Agreement Approved
----------------------------------------------------------------
Collins & Aikman Corp. and its debtor-affiliates asked the U.S.
Bankruptcy Court for the Eastern District of Michigan to approve
a stipulation with the IHDG Litigation Trust.

Pursuant to a stipulation, the Debtors and the IHDG Litigation
Trust agree that:

    a. C&A will have an allowed general unsecured claim against
       the estates of IHDG for US$2,691,917 and the
       IHDG Litigation Trust will make distributions to
       C&A based on the claim in the same manner and, except
       for the distribution in November 2005, at the
       same time as distributions are made to other holders
       of general unsecured claims against the estates of IHDG;

    b. within 15 business days after the approval of the
       Stipulation in the IHDG Cases and C&A cases, the IHDG
       Litigation Trust will pay US$174,402 to C&A;

    c. the IHDG Litigation Trust will have an allowed general
       unsecured claim against the estate of C&A
       for US$40,000; and

    d. the parties agree to mutual releases of all
       claims arising prior to the date of the
       Stipulation except for those agreed to in
       the Stipulation.

As reported in the Troubled Company Reporter on Dec. 22, 2006,
Collins & Aikman Products Co. sold in March 1998 the stock of
its wholly owned subsidiary, Imperial Wallcoverings Inc., to
Imperial Home Decor Group Inc.  As part of the sale, IHDG
assumed certain liabilities associated with the business of
Imperial Wallcoverings, including workers compensation and other
casualty claims that arose prior to the sale.  

After the sale closed, C&A (a) continued to administer and pay
the claims, (b) provided freight hauling services to IHDG and
(c) continued to permit former employees of Imperial
Wallcoverings to use C&A's Diners Club corporate cards.  IHDG
was obligated to reimburse C&A for all the amounts.

On Jan. 5, 2000, IHDG and certain affiliates filed voluntary
petitions for relief commencing cases under Chapter 11 before
the United States Bankruptcy Court for the District of Delaware.

On Aug. 1, 2000, C&A filed general unsecured proofs of claim for
US$2,571,917 plus an unliquidated amount against the IHDG
Debtors.

The C&A Claims were comprised, in part, of:

   (a) payments made by C&A for IHDG workers compensation and
       other insurance claims that were not reimbursed,

   (b) projected future IHDG workers compensation and other
       insurance claims that would be paid by C&A,

   (c) amounts owed to C&A by IHDG for freight service and

   (d) amounts owed for Diners Club charges by IHDG employees.

Pursuant to the Amended Joint Plan of Reorganization confirmed
in the IHDG Cases, a trust was created to

   (1) prosecute certain causes of action belonging to the IHDG
       Debtors and certain objections to claims filed in
       the IHDG Cases; and

   (2) distribute a certain percentage of the proceeds
       to general unsecured creditors.

On Aug. 2, 2001, the IHDG Litigation Trust filed objections to
the C&A Claims.

Then, on Jan. 4, 2002, the IHDG Litigation Trust commenced an
adversary proceeding against C&A seeking to avoid and recover
preferential transfers for US$185,814.

On Jan. 26, 2005, the court in the IHDG cases approved a
settlement between the IHDG Litigation Trust and C&A resolving
both the objection to the C&A Claims and the IHDG Preference
Action.  Pursuant to the 2005 Settlement, C&A agreed to pay
US$120,000 to the IHDG Litigation Trust in three installments of
US$40,000 payable on Jan. 14, 2005, April 15, 2005, and June 15,
2005.  In exchange, among other things, the Litigation Trustee
agreed to make distributions from the IHDG Litigation Trust to
C&A as the holder of an allowed general unsecured claim in the
amount of US$2,691,917.

C&A made the first two installment payments under the 2005
Settlement on Jan. 15, 2005, and April 15, 2005.  The second
installment payment was made on May 17, 2005, within 90 days of
their bankruptcy filing.  C&A has not made the third installment
payment, which came due after their bankruptcy filing.

On Dec. 27, 2005, the IHDG Litigation Trust filed a proof of
claim in C&A's Chapter 11 cases for US$105,814.  The IHDG Claim
amount is the amount sought in the IHDG Preference Action,
US$185,814, minus the two installments of US$40,000 paid by C&A
under the 2005 Settlement.

Because C&A has not paid the final installment under the 2005
Settlement, the Litigation Trustee has not made any
distributions to C&A from the IHDG Litigation Trust on account
of the C&A Claims.

The Debtors and the IHDG Litigation Trust had engaged in
negotiations to resolve the IHDG Claim and provide for
distribution from the IHDG Litigation Trust on account of the
C&A Claims.

                    About Collins & Aikman

Headquartered in Troy, Michigan, Collins & Aikman Corporation
-- http://www.collinsaikman.com/-- is a global leader in  
cockpit modules and automotive floor and acoustic systems and is
a leading supplier of instrument panels, automotive fabric,
plastic-based trim, and convertible top systems.  The Company
has a workforce of approximately 23,000 and a network of more
than 100 technical centers, sales offices and manufacturing
sites in 17 countries throughout the world.  The Company and its
debtor-affiliates filed for chapter 11 protection on May 17,
2005 (Bankr. E.D. Mich. Case No. 05-55927).  Richard M. Cieri,
Esq., at Kirkland & Ellis LLP, represents C&A in its
restructuring.  Lazard Freres & Co., LLC, provides the Debtor
with investment banking services.  Michael S. Stammer, Esq., at
Akin Gump Strauss Hauer & Feld LLP, represents the Official
Committee of Unsecured Creditors Committee.  When the Debtors
filed for protection from their creditors, they listed
$3,196,700,000 in total assets and US$2,856,600,000 in total
debts.  (Collins & Aikman Bankruptcy News, Issue No. 49;  
Bankruptcy Creditors' Service, Inc.,  
http://bankrupt.com/newsstand/or 215/945-7000)
The Honorable Steven W. Rhodes of the U.S. Bankruptcy Court for
the Eastern District of Michigan


COLLINS & AIKMAN: Court Approves ASC Inc. License Agreement
-----------------------------------------------------------
The Honorable Steven W. Rhodes of the U.S. Bankruptcy Court for  
the Eastern District of Michigan approved the Settlement and
License Agreement between Collins & Aikman Corp. and its
debtor-affiliates and ASC Incorporated.

No plan of reorganization of the Debtors will contain terms,  
provisions or treatment of the Settlement in a manner  
inconsistent with the Settlement.

ASC is granted relief from the automatic stay of Section 362 of  
the Bankruptcy Code to exercise any and all rights and remedies  
available to it under the Settlement upon Dura Convertible  
Systems Inc.'s uncured breach.

As reported in the Troubled Company Reporter on Dec. 20, 2006,
ASC commenced on March 30, 2006, Adversary Proceeding No. 06-
04507 in the Bankruptcy Court against Dura.  The ASC Complaint
alleged four counts of patent infringement relating to
convertible tops produced by Dura for the Dodge Viper and Ford
Mustang.  Specifically, the ASC Complaint alleged infringement
of:

   (a) U.S. Reissue Patent No. RE38,546;
   (b) U.S. Design Patent No. D442,541;
   (c) U.S. Design Patent No. D464,605 and
   (d) U.S. Patent No. 5,785,375.

Dura filed its answer to the ASC Complaint on June 21, 2006, and
asserted counterclaims seeking declaratory judgments of non-
infringement and invalidity of the ASC Patents.

The Bankruptcy Court held an initial scheduling conference on
Aug. 14, 2006.  The triable issues of (a) liability and (b)
damages were bifurcated and the Court entered an order setting a
trial date of Jan. 9, 2007, on the issue of liability.

The parties have each served discovery requests on the issues of
liability and damages.  To alleviate the potential costs to the
Debtors' estates, Dura requested that the discovery process be
bifurcated as well, however, this request was denied.  Dura
produced hundreds of thousands of documents and responded to
ASC's written discovery.  On the verge of spending exorbitant
sums to conduct discovery, the Parties agreed to a stay of
discovery as they pursue a settlement.

Dura and ASC have engaged in significant negotiations to resolve
the ASC Lawsuit.  Dura and ASC have agreed to resolve the ASC
Lawsuit pursuant to the terms and conditions in the Settlement.

The Settlement provided, among other things, that Dura will have
a license to the ASC Patents for the Ford Mustang and Dodge
Viper convertible roof assemblies.  The Settlement also allows
for the assignment of the license for the ASC Patents to a
potential purchaser.

The Debtors also agree to pay for a royalty fee, which is far
less than the royalty fee that would likely be determined in the
event that ASC were to prevail in the ASC Lawsuit.

The Ford Mustang and Dodge Viper convertible roof systems can
continue to be manufactured and sold at a profit by Dura after
paying the royalty fee to ASC.

Outside of the bankruptcy process, the information contained in   
the Settlement generally is held to be confidential because,
otherwise, Dura and ASC believe would be competitively  
disadvantaged in the operation of their businesses by the  
disclosure of the information.

The ASC licenses the ASC Patents for use by Dura in the
production and sale of convertible roof systems for the Ford
Mustang and Dodge Viper.  If the competitors of Dura or ASC knew
the terms of the Settlement, it could provide them with a
competitive advantage in their dealings with ASC or Dura, as the
case may be.  Further, if Dura's customers were aware of the
terms of the Settlement, it could provide them with a
competitive advantage in negotiating agreements with Dura.

                    About Collins & Aikman

Headquartered in Troy, Michigan, Collins & Aikman Corporation
-- http://www.collinsaikman.com/-- is a global leader in  
cockpit modules and automotive floor and acoustic systems and is
a leading supplier of instrument panels, automotive fabric,
plastic-based trim, and convertible top systems.  The Company
has a workforce of approximately 23,000 and a network of more
than 100 technical centers, sales offices and manufacturing
sites in 17 countries throughout the world.  The Company and its
debtor-affiliates filed for chapter 11 protection on May 17,
2005 (Bankr. E.D. Mich. Case No. 05-55927).  Richard M. Cieri,
Esq., at Kirkland & Ellis LLP, represents C&A in its
restructuring.  Lazard Freres & Co., LLC, provides the Debtor
with investment banking services.  Michael S. Stammer, Esq., at
Akin Gump Strauss Hauer & Feld LLP, represents the Official
Committee of Unsecured Creditors Committee.  When the Debtors
filed for protection from their creditors, they listed
$3,196,700,000 in total assets and US$2,856,600,000 in total
debts.  (Collins & Aikman Bankruptcy News, Issue No. 49;  
Bankruptcy Creditors' Service, Inc.,  
http://bankrupt.com/newsstand/or 215/945-7000)
The Honorable Steven W. Rhodes of the U.S. Bankruptcy Court for
the Eastern District of Michigan


DURA AUTOMOTIVE: U.S. Trustee Objects to Miller Buckfire Hiring
---------------------------------------------------------------
Kelly Beaudin Stapleton, the United States Trustee for Region 3,
objects to DURA Automotive Systems Inc. and its debtor
affiliates' application to employ Miller Buckfire & Co. LLC, to
the extent the firm is seeking approval for its request to apply
to the U.S. Bankruptcy Court for the District of Delaware for
its compensation pursuant to the standard set forth under
Section 328(a) of the Bankruptcy Code.

William K. Harrington, Esq., trial attorney, notes that the
Application provides that the U.S. Trustee can only object to
the fees of Miller Buckfire pursuant to the standards set forth
in Section 328.  In effect, according to Mr. Buckfire, the
Debtors are seeking to have the Court approve not only the
firm's retention, but to determine at the time of the retention
that the fees they have agreed to pay to the firm are reasonable
under the standards set forth in Section 328(a).  

The U.S. Trustee asserts that any present determination with
respect to the reasonableness of the fees is premature and
inconsistent with Sections 330 and 331, and merely serves to
limit the Court's later review of the reasonableness of the fees
as contemplated by those sections.

Instead, Mr. Harrington asserts, review and approval by the
Court should be made at an interim or final fee application
hearing, when the benefit of the firm's services and the
reasonableness of the fees can be better evaluated, with all
rights of interested parties fully preserved until then.

Mr. Harrington explains that the issue of the reasonableness of
Miller Buckfire's fees is of particular concern because the fees
requested are substantial and it is impossible at the present
time to determine if the fees are reasonable.  He notes that the
firm will be paid a monthly fee of $200,000, plus a Transaction
Fee of 1% of the aggregate gross consideration from a sale of
the Debtors' assets or a flat Transaction Fee of $7,700,000 if a
plan of reorganization is confirmed.  

Mr. Harrington notes, at the present time, it is impossible for
any party to evaluate these fees as no sales have currently been
proposed by the Debtors and no plan of reorganization has been
proposed.

The U.S. Trustee also objects to the Application on these
grounds:

   (i) The liability cap provisions in the Engagement Letter
       protect Miller Buckfire's exposure if indemnification
       does not apply by limiting its damages to the fees it
       actually received.  The U.S. Trustee asserts that these
       provisions are unreasonable and contrary to standard
       practice in the District of Delaware; and

  (ii) the Engagement Letter provides that the firm is providing
       services as an independent contractor and that the firm's
       employment does not create a fiduciary relationship
       between the firm and the Debtors.  The provision is
       inconsistent with Section 327(a) of the Bankruptcy Code,
       the U.S. Trustee says.  A professional employed on behalf
       of a debtor-in-possession under Section 327(a) owes
       fiduciary obligations to the debtor and its creditors to
       act solely in the best interests of the estate.

In addition, given the breadth of the client-relationships
identified by Marc D. Puntus, a managing director at Miller
Buckfire, in his affidavit, the U.S. Trustee wants the firm to
provide clarification as to its ability to take positions
adverse to Debtor's secured and unsecured creditors.

Moreover, The U.S. Trustee is concerned with certain provisions
in the Engagement Letter regarding the expenses for which Miller
Buckfire can be reimbursed.

                   Miller Buckfire Responds

Harold Neu, Esq., at Miller Buckfire, in New York, clarifies
that the firm, like other investment bankers, does not charge
for its services on an hourly basis.  The customary practice of
Miller Buckfire and other investment bankers is to charge fixed
monthly fees plus additional fees that are payable upon the
occurrence of certain transactions or events.  However, Mr. Neu
notes, if there is a Sale of substantially all assets, Miller
Buckfire will receive only the Sale Transaction Fee and not a
Restructuring Transaction Fee.

Miller Buckfire submits that its proposed fees should be
approved pursuant to Section 328(a).  Section 328(a), not
Section 330, is the section that addresses non-hourly fee
arrangements such as Miller Buckfire's.  Mr. Neu notes that
there are numerous recent cases in this District in which Miller
Buckfire's monthly fees and transaction-based fees have been
approved pursuant to Section 328(a).  This engagement should not
be treated differently, he says.

Miller Buckfire also has agreed to other modifications to the
Engagement Letter that address the remaining issues raised by
the U.S. Trustee.  At the U.S. Trustee's behest:

   (i) the limited liability provision in the Engagement Letter
       is eliminated.

  (ii) the proposed order approving the application provides
       modifications to the indemnity provisions and the
       limitation of liability to conform to the orders
       customarily entered in the District of Delaware and in
       other cases involving the firm.

                     About DURA Automotive

Rochester Hills, Mich.-based DURA Automotive Systems, Inc.
(Nasdaq: DRRA) -- 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 industry.  The company is also a supplier of similar
products to the recreation vehicle and specialty vehicle
industries.  DURA sells its automotive products to North
American, Japanese and European original equipment manufacturers
and other automotive suppliers.

The Debtors filed for chapter 11 petition on October 30, 2006
(Bankr. District of Delaware Case No. 06-11202).  Richard M.
Cieri, Esq., Marc Kieselstein, Esq., Roger James Higgins, Esq.,
and Ryan Blaine Bennett, Esq., of Kirkland & Ellis LLP are lead
counsel for the Debtors' bankruptcy proceedings.  Mark D.
Collins, Esq., Daniel J. DeFranseschi, Esq., and Jason M.
Madron, Esq., of Richards Layton & Finger, P.A. Attorneys are
the Debtors' co-counsel.  Baker & McKenzie acts as the Debtors'
special counsel.  Togut, Segal & Segal LLP is the Debtors'
conflicts counsel.  Miller Buckfire & Co., LLC is the Debtors'
investment banker.  Glass & Associates Inc., gives financial
advice to the Debtor.  Kurtzman Carson Consultants LLC handles
the notice, claims and balloting for the Debtors and Brunswick
Group LLC acts as their Corporate Communications Consultants for
the Debtors.  As of July 2, 2006, the Debtor had $1,993,178,000
in total assets and $1,730,758,000 in total liabilities.  (Dura
Automotive Bankruptcy News, Issue No. 6; Bankruptcy Creditors'
Service, Inc., http://bankrupt.com/newsstand/or 215/945-7000).


DURA AUTOMOTIVE: Discloses David L. Harbert's Employment Terms
--------------------------------------------------------------
Dura Automotive Systems Inc. has informed the U.S. Securities
and Exchange Commission that it has entered into an employment
agreement with David L. Harbert as its interim vice president
and chief financial officer, which agreement is subject to the
U.S. Bankruptcy Court for the District of Delaware's approval.  

The terms of the agreement are:

   (a) The Employment Agreement will be deemed effective as of
       December 9, 2006;

   (b) As chief financial officer, Mr. Harbert will:

         * perform all duties as are consistent therewith as the
           Chief Executive Officer or the Board of Directors
           will designate;

         * report directly to Dura's chief executive officer;

         * devote his full time and attention and expend his
           best efforts, energies and skills on behalf of Dura
           in the performance of his duties and
           responsibilities;

   (c) Dura will pay Mr. Harbert $43,200 a month payable in
       accordance with the Company's normal payroll periods and
       procedures, but no less frequently than on a semi-monthly
       basis.  Dura, in its sole discretion, may increase
       Mr. Harbert's salary.

       Dura will pay Mr. Harbert an early termination fee should
       it elect to terminate the Employment Agreement within 90
       days of the Beginning Date.  Dura will pay Mr. Harbert in
       an amount such that the total of Salary and Early
       Termination Fee paid is equal to $2,250 per day worked by
       Mr. Harbert from the Beginning Date to the date of
       termination of the agreement;

   (d) During the course of Mr. Harbert's employment, he will
       remain a partner at Tatum.  Mr. Harbert will share with
       Tatum a portion of his economic interest in any stock
       options or equity bonus that Dura may, in its discretion,
       grant him.  He may also share with Tatum a portion of any
       cash bonus and severance the Company may, in its
       discretion, pay him, to the extent specified in that
       certain Interim Engagement Resources Agreement between
       Dura and Tatum.

       Dura will promptly reimburse Mr. Harbert directly for
       reasonable travel and out-of-pocket business expenses in
       accordance with Dura's expense reimbursement policies and
       procedures and a per diem of $50.00;

   (e) Mr. Harbert will be eligible for:

         * any 401(k) plan offered to Dura's senior management
           in accordance with the terms and conditions of that
           401(k) plan;

         * holidays consistent with Dura's policy as it applies
           to senior management; and

         * vacation accrued at 1.67 days per month.

       Mr. Harbert be exempt from any waiting periods required
       for eligibility under any benefit plan of Dura, other
       than a qualified retirement plan or if that exemption
       would otherwise cause impermissible discrimination under
       the income tax laws applicable to employee benefit plans;

   (f) Mr. Harbert must receive written evidence that Dura
       maintains directors' and officers' insurance to cover him
       in an amount comparable to that provided to senior
       management of the Company at no additional cost.  Dura
       will maintain that insurance at all times while the
       Employment Agreement remains in effect.

       Furthermore, Dura will maintain that insurance coverage
       with respect to occurrences arising during the term of
       the Employment Agreement for at least three years after
       the termination or expiration of the Employment
       Agreement, or will purchase a directors' and officers'
       extended reporting period, or "tail," policy to cover Mr.
       Harbert.

       Dura has also agreed to indemnify Mr. Harbert for any
       claim arising from, related to or in connection with the
       his performance of the services.

   (g) Dura or Mr. Harbert may terminate the Employment
       Agreement for any reason on at least 30 days' prior
       written notice.
       Mr. Harbert will continue to render services and to be
       paid during that 30-day period, regardless of who give
       that notice;

   (h) Mr. Harbert may terminate the agreement immediately if
       Dura has not remained current in its obligations under
       the Employment Agreement or the Tatum Agreement, or if
       Dura engages in, or asks him to engage in or to ignore,
       any illegal or unethical conduct;

   (i) Dura may terminate the Employment Agreement immediately
       for cause; and

   (j) Either party may terminate the agreement in the event the
       Court declines to approve the Employment Agreement on or
       before January 23, 2007.

             Service Agreement with Mr. Harbert's Firm

Dura entered into a related services agreement dated Dec. 20,
2006, with Tatum for the provision of resources and support in
connection with Mr. Harbert's employment.

The Tatum Agreement is subject to Court approval and will be
deemed effective as of Dec. 9, 2006.

Pursuant to the Tatum Agreement, Dura will pay directly to Tatum
a fee equal to 25% of Mr. Harbert's salary as partial
compensation for resources provided.  In the event Mr. Harbert
will be paid a bonus, Dura will pay Tatum, whether cash or
equity, 25% of the total bonus paid by Dura during the term of
the Tatum Agreement.

Dura will have the opportunity to make Mr. Harbert a full-time
permanent member of Dura management at any time during the term
of the Tatum Agreement entering into another form of agreement.

The Tatum Agreement will terminate immediately upon the earlier
of:

   (a) the effective date of the Termination;
   (b) expiration of Mr. Harbert's employment with Dura; or
   (c) Mr. Harbert ceasing to be a partner of Tatum.

During the 12-month period following termination or expiration
of the Tatum Agreement, other than in connection with another
agreement with the firm, Dura will not employ Mr. Harbert or
engage him as an independent contractor, to render services of
substantially the same nature as those for which Tatum is making
him available pursuant to the Agreement.  The parties agree that
a breach by Dura of this provision would result in the loss to
Tatum of Mr. Harbert's valuable expertise and revenue potential.  
Thus, in the event of breach, Tatum will be entitled to receive
liquidated damages in an amount equal to 45% of Mr. Harbert's
Annualized Compensation.

In the event a court or arbitrator, as applicable, determines
that liquidated damages are not appropriate for the breach,
Tatum will have the right to seek actual damages.  The amount
will be due and payable to Tatum upon written demand to Dura.

The Tatum Agreement defines "annualized compensation" as
Mr. Harbert's most recent annual salary and the maximum amount
of any bonus for which he was eligible with respect to the then
current bonus year.

Also, pursuant to the Tatum Agreement, Dura will provide Tatum
or Mr. Harbert written evidence that it maintains directors' and
officers' insurance covering the Partner as it covers similarly
situated executive employees of the Company.

Rochester Hills, Mich.-based DURA Automotive Systems Inc.
(Nasdaq: DRRA) -- 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 industry.  The company is also a supplier of similar
products to the recreation vehicle and specialty vehicle
industries.  DURA sells its automotive products to North
American, Japanese and European original equipment manufacturers
and other automotive suppliers.

The Debtors filed for chapter 11 petition on October 30, 2006
(Bankr. District of Delaware Case No. 06-11202).  Richard M.
Cieri, Esq., Marc Kieselstein, Esq., Roger James Higgins, Esq.,
and Ryan Blaine Bennett, Esq., of Kirkland & Ellis LLP are lead
counsel for the Debtors' bankruptcy proceedings.  Mark D.
Collins, Esq., Daniel J. DeFranseschi, Esq., and Jason M.
Madron, Esq., of Richards Layton & Finger, P.A. Attorneys are
the Debtors' co-counsel.  Baker & McKenzie acts as the Debtors'
special counsel.  Togut, Segal & Segal LLP is the Debtors'
conflicts counsel.  Miller Buckfire & Co., LLC is the Debtors'
investment banker.  Glass & Associates Inc., gives financial
advice to the Debtor.  Kurtzman Carson Consultants LLC handles
the notice, claims and balloting for the Debtors and Brunswick
Group LLC acts as their Corporate Communications Consultants for
the Debtors.  As of July 2, 2006, the Debtor had $1,993,178,000
in total assets and $1,730,758,000 in total liabilities.  (Dura
Automotive Bankruptcy News, Issue No. 9; Bankruptcy Creditors'
Service, Inc., http://bankrupt.com/newsstand/or 215/945-7000).


EASTMAN KODAK: Onex Deal Prompts Moody's to Continue Review
-----------------------------------------------------------
Moody's Investors Service commented that it is continuing its
review for possible downgrade for the Eastman Kodak Company,
which will focus on not only the company's reported sale of the
Kodak Health Group, but also on the fundamental operating
performance of the company.

Kodak reported that it has reached an agreement to sell its
Health Group to Onex Healthcare Holdings, a subsidiary of Onex
Corporation, for up to $2.55 billion, comprised of $2.35 billion
in cash at closing, plus up to $200 million in additional future
payments if Onex achieves an internal rate of return in excess
of 25% on their investment.

Moody's expects it will likely conclude its review concurrent
with the closing of the Health Group sale, which Kodak expects
to occur by June 30, 2007.

"With this Health Group sale announcement, the company has
established plans to make substantial improvements to its
balance sheet" commented John Moore, VP/Senior Analyst.

The company plans to use a portion of these sale proceeds to
fully repay its approximately $1.15 billion of secured term
debt. Because of tax-loss carry forwards, Kodak expects to
obtain the vast majority of the initial $2.35 billion cash
proceeds.  At the same time the company continues to face
challenges as it invests in new business development and
transitions from a film to digital business portfolio.

The review for possible downgrade continues to focus on the
potential Health Group sale consummation, the application of
proceeds from the Health Group sale toward debt reduction or any
other potential uses, the company's management of recurring
restructuring costs, and its prospects to grow earnings.

In addition, Moody's will focus on the potential for separation
and restructuring costs associated with the Health Group sale.
The company expects to discuss other potential uses of Health
Group sale proceeds at its investor meeting, scheduled for
Feb. 8.

Ratings on Review for Possible Downgrade:

   -- Corporate Family Rating B1
   -- Senior Unsecured Rating B2
   -- Senior Secured Credit Facilities Ba3

Headquartered in Rochester, New York, the Eastman Kodak Company
is a worldwide provider of imaging products and services.


EASTMAN KODAK: S&P Keeps Negative CreditWatch on Onex Deal
----------------------------------------------------------
Standard & Poor's Ratings Services reported that its ratings,
including the 'B+' corporate credit rating, on Eastman Kodak Co.
remain on CreditWatch with negative implications.

The ratings were placed on CreditWatch on Aug. 2, 2006, after
the company's disclosure that it had reached an agreement to
sell its Health Group to Onex Healthcare Holdings Inc., a
subsidiary of Onex Corp., for up to $2.55 billion.  The purchase
price is composed of $2.35 billion in cash at closing and
potential additional consideration of $200 million depending on
future operating performance of the Health Group.

The company stated that it will use some of the proceeds to
entirely pay off its $1.15 billion outstanding senior secured
term loan, but the use of the balance of the funds is still
under management review.  The transaction is expected to close
in the first half of 2007.  The Rochester, New York-based
imaging company had $3.3 billion in debt as of Sept. 30, 2006.

"Debt reduction from the proceeds of the transaction may not
fully offset what we regard as a negative shift in the company's
business portfolio," said Standard & Poor's credit analyst Tulip
Lim.

"We are concerned about this, given the weakened fundamentals of
Kodak's traditional businesses and the importance of developing
its digital operations."

In resolving the CreditWatch listing, Standard & Poor's will
include an updated assessment of the company's near- and
intermediate-term profit and cash flow potential in light of
technology migration pressures, implementation challenges, and
competition facing the remaining businesses.  

The rating agency's evaluation will also consider the ultimate
use of proceeds from the pending sale of Kodak's Health Group.


EMI GROUP: Unveils Restructuring Plan; Streamlines Management
-------------------------------------------------------------
EMI Group Plc remains positive on the long-term trends for the
industry and in particular that there will be continued strong
demand for digital music.  However, to secure sustainable growth
in underlying profits and cash flow, EMI will re-align its
investment priorities and focus its resources in areas where it
is positioned to make the best and most certain returns.

This will include:

   -- de-layering the Group's management structure to allow a
      more streamlined approach, particularly within the
      developing digital landscape;

   -- investing and operating in territories and business areas
      where superior, secure returns can be generated, and
      reducing exposure to territories and business areas in
      which these conditions are not satisfied;

   -- continuing expansion of the Group's presence across the
      music value chain;

   -- extracting revenue and cost synergies between recorded
      music and music publishing;

   -- strengthening EMI's digital and consumer marketing
      capabilities; and

   -- pursuing partnerships which allow EMI to extract further
      leverage from its operating infrastructure (e.g.  
      distribution and administration arrangements).

The Company believes that this will align EMI's business more
closely to its operating environment, allow a continuing strong
focus on artist and songwriter development, re-allocate
resources to attractive growth areas, increase the level and
certainty of overall return on investment, and significantly
improve margins and the generation of free cash flow.

               Board and Senior Management Changes

Alain Levy, who has been chairman and chief executive officer of
EMI Music since October 2001, is stepping down from the Board
and both he and David Munns, Vice Chairman of EMI Music, will be
leaving the Company with immediate effect.  The Board thanks
them both for their contribution to the business over the past
five years.

Eric Nicoli, who has been Executive Chairman of EMI Group since
July 1999, becomes Chief Executive Officer of EMI Group and, as
part of this role, takes direct responsibility for the
management of EMI Music, the Group's recorded music business.

John Gildersleeve, currently Non-executive Deputy Chairman of
EMI Group and Senior Non-executive director, becomes Non-
executive Chairman of EMI Group.

Martin Stewart continues as Chief Financial Officer of EMI Group
and, as part of this role, takes direct responsibility for the
management of the finance function of EMI Music.

                     Restructuring Program

As part of its focus on delivering higher and more certain
returns on investment, the Group will significantly reduce the
size of its cost base.  This cost saving plan is expected to
deliver GBP110 million of annual savings across the Group,
incremental to previously announced cost saving initiatives,
with over half of these savings being reflected in the financial
results for the year to March 31, 2008 and the full
GBP110 million reflected in the financial results for the year
to March 31, 2009.

The significant majority of these cost savings will be achieved
through the elimination of fixed costs with a small proportion
resulting from a permanent reduction in the variable cost base.   
The initiatives will impact all regions in which EMI operates.   
The cost savings will be generated largely from EMI Music, with
the remainder from EMI Music Publishing.

Specific fixed cost saving initiatives will include the
reduction of front and back-office overhead and an increase in
shared services in both divisions and across all regions.  In
addition there will be a significant reduction in central
overheads at EMI Music and EMI Group.

The one-off cash cost of implementing the restructuring is
expected to be no more than GBP150 million.  EMI has secured
bank financing commitments with respect to both this entire
amount and the recently announced purchase of the outstanding
45% minority interest in its Japanese subsidiary Toshiba-EMI.

In the context of these restructuring initiatives, the Company
is reviewing its balance sheet.   This will be completed by 31
March 2007 and it is expected to result in a non-cash charge
being reported separately in the Group's 2006-2007 income
statement.

The cash flow generation of the business is expected to
strengthen significantly when the gains from the cost savings
are fully realized.  In this context, the Board will continue to
review the optimal capital structure for the Group.

                       Current Trading

EMI Music's second half performance to date, in terms of
revenues and profits, has been below prior expectations.   This
has resulted from weak market conditions, particularly over the
Christmas period, and lower than expected sales from EMI Music's
portfolio of second half releases to date.

EMI Music Publishing continues to perform in line with
expectations.

                           Outlook

EMI Music's second half financial performance to date combined
with the expectation of continuing weak market conditions, and
the expected significant disruption to the business from the
implementation of the restructuring initiatives outlined above,
has led to a change in the outlook for the Group for the
financial year ended March 31, 2007.   As a result, EMI Music's
full year revenues could decline, year on year, by around 6% to
10% on a constant currency basis.

The Group expects that disruption from the restructuring
initiatives will continue into the early months of the following
financial year, constraining revenue at EMI Music in the year to
March 31, 2008, but expects to see a significant improvement in
margins as cost savings are delivered.

                          About EMI

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

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

                        *     *     *

As reported in the TCR-Europe on Dec. 19, 2006, Standard &
Poor's Ratings Services affirmed its 'BB/B' long- and short-term
corporate credit and 'BB' senior unsecured debt ratings on U.K.-
based music major EMI Group PLC.

The long-term and debt ratings were removed from CreditWatch,
where they had been placed with negative implications on
Nov. 28, 2006, when the group reported a takeover approach.  The
outlook is negative.

As reported on Nov. 27, 2006, that Moody's Investors Service
downgraded EMI Group plc's senior debt and guaranteed debt
ratings to Ba2 from Ba1.  At the same time Moody's assigned a
Ba2 Corporate Family Rating to EMI.  The downgrade is based on
Moody's expectation that EMI's debt protection measurements will
not improve near-term to a level commensurate with the Ba1
rating category.  The rating outlook is now stable.


EMI GROUP: Competing Media Spurs Poor Music Sales, Fitch Says
-------------------------------------------------------------
Fitch Ratings says that poor sales of recorded music over the
holiday period are primarily the result of competing media and
pricing pressures.  This follows a statement by EMI Group plc -
one of the four music majors - that sales since Sept. 30, 2006,
have been below expectations.

"Early indicators of poor music sales over Christmas are really
no surprise," says Alex Griffiths, director in Fitch's European
TMT group.  "While music companies' release cycles do have an
impact, the release of the Wii and PS3 games consoles and a
growing market for the Xbox 360 hardware and software were
always likely to have a significant negative impact.  This
demand situation has been worsened by price pressures from DVDs,
where discounting is being used to drive volume increases."

EMI announced that poor sales since the half year, together with
an expectation that the market will remain weak, and some
disruption from an announced restructuring, could lead to
declines in its recorded music revenues of 6%-10% for the year
to March 31, 2007.  EMI is targeting GBP110 million ongoing cost
savings by Fiscal-Year 2008-2009, at a one-off cost of GBP150
million.

While EMI attributed part of its performance to its own release
schedule, a large part of the sales decline was believed to have
been due to the market, with falls in physical sales continuing
to exceed digital sales growth.  This is likely to be reflected
in difficult conditions for the other three music majors,
Universal Music group, Sony BMG and Bertelsmann, and Warner
Music Group, though Fitch notes the ability of some of these
players to grow in the past despite negative market trends.

EMI also stated in its announcement its intention to give
further consideration to its capital structure.  There may be an
opportunity for EMI to reduce its debt costs by securitizing its
music-publishing assets.  These possess many characteristics
that make them candidates for securitization, such as
historically very stable revenue streams from a highly diverse
portfolio.  Even in the face of a troubled recorded music
market, music-publishing groups have continued to show solid
results.

EMI's announcement of further restructuring reflects the
continuing revenue pressures in the industry, which, combined
with the rise of digital distribution, is changing the business
models of the major players.  Universal Music has begun selling
music direct to the public through its Internet presence, and
Fitch expects this practice to spread.  In the U.K., some of the
major supermarkets have begun dealing directly with the recorded
music majors, where previously wholesalers had been involved.


EUROTUNNEL GROUP: Paris Commercial Court Approves Safeguard Plan
----------------------------------------------------------------
The Paris Commercial Court approved Eurotunnel Group's safeguard
plan, backed by the court-appointed representatives to the
company and to the creditors.

to cut its GBP6.2 billion debt to more than half.

The court also approved the proposal to pay creditors, including
Deutsche Bank AG and Oaktree Capital Management LLC cash and
convertible bonds, Bloomberg News relates.  It also dismissed 33
lawsuits that opposed the plan to cut Eurotunnel's GBP6.2
billion debt to more than half, Bloomberg adds.

The financing of the plan was agreed with the banking consortium
composed of Goldman Sachs, Deutsche Bank and Citigroup.  

                     Plan Implementation

With the support of the court-appointed supervisors, Laurent le
Guerneve and Valerie Leloup Thomas, Eurotunnel will implement
the plan in the first half of 2007 that would:

   -- list the shares of a new parent company, Groupe Eurotunnel
      SA, the fulcrum of the restructuring, in Paris and London;

   -- issue hybrid Notes Redeemable in Shares by an English law
      mirror company, Groupe Eurotunnel U.K.; and

   -- launch an Exchange Tender Offer by Groupe Eurotunnel SA
      for the shares in Eurotunnel Plc and Eurotunnel SA.  The
      ETO will be the subject of a prospectus, which must be
      approved by the market authorities.

At the same time, Eurotunnel will request that its auditors
certify its 2005 and 2006 accounts, established on a going
concern basis, with a view to publishing such accounts before
the ETO is launched and to allow the lifting of the current
suspension.

To this end, the Paris Commercial Court has authorized
Eurotunnel to extend the deadline for sending out notices of its
general meetings until March 31.

"This gives a future to the company," Nicolas Miguet, who owns 6
million shares and held 19.5% proxies of Eurotunnel, told
Bloomberg.  "This is a company that was heading to certain
bankruptcy and now that is no longer a concern."

Meanwhile, U.S. investment fund Oaktree Capital Management,
which owns some of the company's Tier 3 debt, said it lost its
case against Eurotunnel because the financial restructuring of
the company was executed under French rather than British rules,
Bloomberg cites Sunday Telegraph.

Mr. Laing told the Telegraph that the French ruling won't be the
end of the story.

According to Telegraph, Oaktree, which filed five legal
challenges including a second case in London's Commercial Court
on Jan. 10, planned to fight the Paris courts.

                        About Eurotunnel

Headquartered in Folkestone, United Kingdom and Calais, France,
Eurotunnel Group -- http://www.eurotunnel.co.uk/-- operates a  
fleet of 25 shuttle trains, which carry cars, coaches and
trucks.  It manages the infrastructure of the Channel Tunnel and
receives toll revenues from train operating companies whose
trains pass through the Tunnel.

The British and French governments have granted Eurotunnel a
concession to operate the Channel Tunnel until 2086.

                        Company Crisis

Eurotunnel's crisis began when costs to build the tunnels that
connect U.K. and France started to overrun before it opened in
1994.  The Iraq war followed, which didn't help as tourist
traffic fell.  In May 2004, Eurotunnel appointed Lazard (global
coordinator) and Lehman Brothers as bank advisors, and Dresdner
Kleinwort Wasserstein as restructuring adviser.

In July 2004, auditor KPMG Audit Plc said the company faced
uncertainty after 2005.  The firm's survival is dependent upon
its ability to put in place a refinancing plan or, if not, to
obtain an agreement with the lenders under the existing Credit
Agreement within the next two years, the auditor said.

Eurotunnel obtained Aug. 2 an order placing the channel operator
under the protection of the Court pursuant to the new safeguard
legislation (Procedure de sauvegarde).


F M RAIL: Brings In Begbies Traynor to Administer Assets
--------------------------------------------------------
W. J. Kelly and Mark R. Fry of Begbies Traynor were appointed
joint administrators of F M Rail Ltd. (Company Number 03268963)
on Dec. 9, 2006.

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

F M Rail Ltd. c an be reached at:

         Wyvern House
         Railway Terrace
         Derby  
         Derbyshire DE1 2RU
         United Kingdom
         Tel: 01332 332 222


FABRICATION & TECHNOLOGY: Appoints Liquidators from BRI Business
----------------------------------------------------------------
Peter John Windatt and Gary Steven Pettit of BRI Business
Recovery and Insolvency were appointed Joint Liquidators of
Fabrication & Technology Services Limited on Dec. 14, 2006, for
the creditors' voluntary winding-up procedure.

The company can be reached at:

         Fabrication & Technology Services Limited
         Green End
         Gamlingay
         Sandy
         Bedfordshire SG19 3LF
         United Kingdom  
         Tel: 01767 652 869


FIELDS OF ITALY: Nominates Philip Weinberg as Liquidator
--------------------------------------------------------
Philip Weinberg of Marks Bloom was nominated Liquidator of The
Fields of Italy Limited on Dec. 18, 2006, for the creditors'
voluntary winding-up procedure.

The company can be reached at:

         The Fields of Italy Limited
         Unit 16  
         Capital Place  
         Harlow  
         Essex CM195AS
         United Kingdom
         Tel: 01279 429 455


FIRST MORTGAGE: Creditors' Meeting Slated for January 30
--------------------------------------------------------
Creditors of First Mortgage Management Limited will meet at  
2:00 p.m. on Jan. 30 at:

         Purnells
         St. Marks House
         3 Gold Tops
         Newport
         South Wales NP20 4PG
         United Kingdom
  
For voting purposes, creditors must submit particulars of their
claims or of any security before the meeting at the said
address.  
  
A list of names and addresses of the Company's Creditors will be
available for inspection free of charge on Jan. 26.
  

FOCUS DIY: S&P Junks B- Corporate Credit Ratings
------------------------------------------------
Standard & Poor's Ratings Services lowered its long-term
corporate credit ratings on Focus DIY (Finance) PLC and Focus
DIY (Investments) Ltd., the parent companies of U.K.-based home-
improvement retailer Focus, to 'CCC-' from 'B-', and placed the
ratings on CreditWatch with negative implications.

"The downgrade reflects the apparent lack of a solution as to
how Focus will manage its onerous debt burden, and also a
general lack of timely information," said Standard & Poor's
credit analyst Sunita Kara.

Standard & Poor's also lowered its long-term debt rating on
Focus DIY (Investments) Ltd.'s GBP285-million senior secured
bank loan to 'CCC-' from 'B'.  At the same time, the recovery
rating on the senior secured debt was lowered to '2' from '1',
reflecting a change in the expected levels of recovery in an
event of default.  S&P now expect lenders to receive substantial
(80%-100%) recovery of principal in an event of default. In
addition, the long-term debt rating on Focus DIY (Finance) PLC's
GBP100-million second-lien mezzanine senior subordinated notes
was lowered to 'C' from 'CCC'.  All ratings on the group except
the recovery rating of '2' are on CreditWatch with negative
implications.

Focus is owned by a private equity consortium under which it has
had a very highly leveraged financial profile.  The group's
financial profile in the 12 months to July 30, 2006, which was
the last reporting period by the group, had materially
deteriorated.  This was due to significantly reduced profits and
cash flows, largely resulting from the downturn in the U.K. do-
it-yourself industry.  The group is not obliged to report until
the end of February 2007.  For the 12 months to July 30, 2006,
adjusted debt to earnings before interest, depreciation,
amortization, and rents was about 7.0x.

Over the next few weeks, we will aim to discuss with management
its plans for funding the group over the longer term, and
subsequently aim to resolve the CreditWatch placement.


GENERAL MOTORS: Eyes More Job Cuts & Overseas Expansion
-------------------------------------------------------
General Motors Corp. warned of more job cuts in 2007, BBC News
reports citing Chief Executive Rick Wagoner as saying.

The company shut down 12 sites and shed over 34,000 jobs to trim
US$9 billion from operating costs in 2006, following a
US$10.6 billion net loss in 2005.

Despite the job cuts, GM will continue its expansion overseas,
where sales outperformed its U.S. business for the third
straight year.  GM is struggling to keep up with Asian rivals in
the U.S., where company sales dipped 8.7% in 2006 while pursuer
Toyota posted a 13% hike in sales, BBC News relays.

"I like being number one, and I think our people take pride in
it," Mr. Wagoner told BBC News.  "We're not going to sit back
and let somebody else pass us by."

Mr. Wagoner said that GM would improve productivity,
profitability and its competitive edge to remain as the world's
leading car producer.  The company is also rolling out new
vehicles as well as unveiling its new Camaro convertible concept
car at the Detroit Motor Show in the weekend.

The company will also negotiate for more concessions on a new
four-year contract with United Auto Workers (UAW) Union, as it
focuses on lightening its health care burden, BBC News reports.

"We are not fully competitive yet," Mr Wagoner said. "We need to
make progress in the 2007 negotiations.

"These are tough issues ... and health-care has put us at a
US$5bn disadvantage.  The structure we have doesn't work in
today's global industry."

GM plans to hike its average transaction price, mainly through
ongoing reductions in discount offers.

BBC News relays that GM's health care costs account for US$1,500
of each new car compared to US$200 at Toyota.

                     About General Motors Corp.

General Motors Corp. (NYSE: GM) -- http://www.gm.com/-- is the
world's largest automaker and has been the global industry sales
leader since 1931.  Founded in 1908, GM employs about 327,000
people around the world.  It has manufacturing operations in
33 countries and its vehicles are sold in 200 countries.  GM
sells cars and trucks under these brands: Buick, Cadillac,
Chevrolet, GMC, GM Daewoo, Holden, HUMMER, Opel, Pontiac, Saab,
Saturn and Vauxhall.

                           *     *     *

As reported in the TCR-Europe on Nov. 16, 2006, Standard &
Poor's Ratings Services assigned its 'B+' bank loan rating to
General Motors Corp.'s proposed USUS$1.5 billion senior term
loan facility, expiring 2013, with a recovery rating of
'1'.  The 'B+' rating was placed on Creditwatch with negative
implications, consistent with the other issue ratings of GM,
excluding recovery ratings.

At the same time, Moody's Investors Service assigned a Ba3,
LGD1, 9% rating to the proposed USUS$1.5 Billion secured term
loan of General Motors Corp.  The term loan will be secured by a
first priority perfected security interest in all of the U.S.
machinery and equipment, and special tools of GM and Saturn
Corporation.


GENERAL MOTORS: Kirk Motors No Longer International Sales Rep
-------------------------------------------------------------
Kirk Motors general manager Carl Gordon told Caymanian Compass
that the firm's contract as the exclusive sales and service
representative of General Motors International Sales, a Cayman
Islands-based firm that handles inventory and logistics for
General Motors dealerships across the Caribbean and Latin
America, has ended.

Caymanian Compass relates that the 33-year contract ended on
Dec. 31, 2006.

Mr. Gordon told Caymanian Compass that the contract was
terminated by mutual agreement.

According to the report, Kirk Motors will continue to sell its
inventory of General Motors vehicles.  However, the firm will no
longer be taking new shipments.

Caymanian Compass underscores that General Motors International
conducted an open bidding process to select Cayman's new General
Motors products dealer.  

The new General Motors dealership contract will be a far more
modern and comprehensive one showing the many changes that have
occurred in the automotive sector over the past 33 years,
Caymanian Compass says, citing General Motors International
president and managing director Nicolas Wsevolojskoy.

Mr. Wsevolojskoy told Caymanian Compass, "We are absolutely not
excluding Kirk from the bidding process, indeed we welcome their
submission, but it was time to make some necessary changes that
meet the needs of 21st Century customers.  We have a number of
very strong candidates we are currently looking at."

Caymanian Compass underscores that a decision on the contract is
expected in about a month.

Meanwhile, Advance Automotive, a Mazda dealership and a general
service center specializing in all vehicle types, signed a one-
year contract as the Cayman's new authorized General Motors
service provider.  The company will be responsible for honoring
all warranties and service for General Motors vehicles bought at
Kirk Motors, Caymanian Compass notes.  

Mr. Wsevolojskoy told Caymanian Compass that the firm chose
Advance Automotive due to a pre-existing relationship.

According to Caymanian Compass, Advance Automotive
proprietor/director Charles Markman has provided service for
Kirk Motors for the past 10 years.

Mr. Wsevolojskoy told Caymanian Compass, "With the quality
leadership of Charles Markman, Advance has proven itself to be
just the kind of business we were looking for to provide our
customers with an attractive, impeccably maintained location and
an unparalleled level of professionalism and service."

"We are happy with this development as I think the hard work and
dedication of our staff is the reason for this great news.  We
are already expanding our existing 15-member team, and this is a
truly exciting development for our business and we know we will
be able to offer the service GM (General Motors) clients have
come to expect," Mr. Markman commented to Caymanian Compass.

                     About General Motors Corp.

General Motors Corp. (NYSE: GM) -- http://www.gm.com/-- is the
world's largest automaker and has been the global industry sales
leader since 1931.  Founded in 1908, GM employs about 327,000
people around the world.  It has manufacturing operations in
33 countries and its vehicles are sold in 200 countries.  GM
sells cars and trucks under these brands: Buick, Cadillac,
Chevrolet, GMC, GM Daewoo, Holden, HUMMER, Opel, Pontiac, Saab,
Saturn and Vauxhall.

                           *     *     *

As reported in the TCR-Europe on Nov. 16, 2006, Standard &
Poor's Ratings Services assigned its 'B+' bank loan rating to
General Motors Corp.'s proposed USUS$1.5 billion senior term
loan facility, expiring 2013, with a recovery rating of
'1'.  The 'B+' rating was placed on Creditwatch with negative
implications, consistent with the other issue ratings of GM,
excluding recovery ratings.

At the same time, Moody's Investors Service assigned a Ba3,
LGD1, 9% rating to the proposed USUS$1.5 Billion secured term
loan of General Motors Corp.  The term loan will be secured by a
first priority perfected security interest in all of the U.S.
machinery and equipment, and special tools of GM and Saturn
Corporation.


GENERAL MOTORS: Outlines Priorities for 2007 & Increases CapEx
--------------------------------------------------------------
General Motors Corp. chairman and CEO officer Rick Wagoner
informed securities analysts that GM has made considerable
progress in its North America turnaround, and outlined 2007
priorities for the automaker's ongoing transformation.

"GM's North America turnaround plan moved faster and further
than people expected a year ago," Mr. Wagoner said.  "To be
direct, 2006 needed to be a huge year for us -- and it was."

Mr. Wagoner noted that through the third quarter of last year,
GM's adjusted net income had improved by US$4.2 billion to a
profit of US$1.9 billion, with most of the improvement coming in
North America.  GM's improvement was also aided by strong
financials and positive results outside North America,
particularly in China.  In addition, liquidity remained strong
with over US$20 billion cash on hand at the end of the third
quarter.

An important area of improvement for GM in 2006 was in
structural cost.  The company far exceeded its reduction target
of US$6 billion in North America on an annual running-rate
basis, achieving US$9 billion of cost reduction on a running-
rate basis by year-end 2006.

"We expect to reflect at least US$6 billion of these savings in
our 2006 financials, and then realize the full US$9 billion
savings in 2007," Mr. Wagoner said.  "This represents a major
first step in achieving our aggressive global target of reducing
structural costs to 25% of revenue by 2010."

In fact, GM reduced its global automotive structural costs from
34% of revenue in 2005, to between 29% and 30% of global revenue
in 2006, and expects to further improve on that figure during
2007.

GM also made big moves on the revenue side of its turnaround
plan in 2006, especially in terms of its sales and marketing
strategy.  Thanks to a disciplined approach that included
reduced prices, lower incentives, and a renewed focus on
products and brands, GM achieved its U.S. retail sales target of
3 million units.  The other big move, Mr. Wagoner noted, came
with GM's introduction last September of the best powertrain
warranty of any full-line manufacturer -- five years or 100,000
miles on every 2007 model year GM car and light-duty truck.

"Overall, there is a lot more work to do, but we stand today in
a much more favorable position than we did just 12 months ago,"
he added.

Mr. Wagoner said GM has five key priorities for 2007:

   -- Stay focused on the North America turnaround;

   -- Continue to drive aggressively in emerging markets, such
      as China, Brazil, Russia, and India;

   -- Maximize the benefits of running the business globally;

   -- Build on GM's comprehensive advanced propulsion strategy;
      and

   -- Continue to improve business results, especially improved
      earnings and cash flow.

For the North American turnaround, Mr. Wagoner pointed out that
product excellence was the most important element of the
strategy, and "will continue to remain our absolute number-one
focus."  To that end, he announced that GM's global capital
spending would increase from under US$8 billion in 2005 and
2006, to between US$8.5 billion and US$9 billion in 2007 and
2008.

"We have had a very positive reaction to our newest vehicles,
including the Chevy Tahoe, GMC Yukon, and Cadillac Escalade
full-size utilities, and the Saturn Outlook, GMC Acadia, and
Buick Enclave midsize crossovers," Mr. Wagoner said.

"We also swept the car and truck of the year awards at the North
American International Auto Show in Detroit with the Saturn Aura
and Chevrolet Silverado.

"The progress in the execution of our new cars and trucks around
the world is a credit to the men and women of General Motors.  
And we're going to continue raising the bar in future product,
with a particular focus on outstanding design and technology
leadership," he added.

In terms of the global marketplace, Mr. Wagoner noted that 55%
of the company's unit sales were outside the United States in
2006, and that this trend would likely continue.  To capitalize
on this opportunity, Mr. Wagoner said GM would continue to push
hard and build on its already strong position in emerging
markets.

This worldwide sales growth will be aided by GM's continued
efforts to run its business globally, particularly in product
development, manufacturing, purchasing, and powertrain.

"This move to run the business in a globally integrated manner
is, in fact, probably the most profound change that is going on
in the company today," Mr. Wagoner explained.

"In 2007, we'll drive to accelerate the value we realize from
global integration of GM."

GM's leveraging of global resources is also a key element of the
company's drive to achieve energy diversity and environmental
leadership, as evidenced by the introduction this week of the
Chevrolet Volt concept car, an extended-range electric vehicle
based on GM's all-new E-Flex technology.

E-Flex is a family of electrically driven propulsion systems for
future small and midsize GM vehicles, and a potential "game-
changer" for GM and the auto industry, Mr. Wagoner said.

The final 2007 priority for GM is very clear: continue to
improve business results.

"The rate of improvement in our financials through three
quarters of 2006 was significant, and it needed to be," Mr.
Wagoner said.  "But no one at GM believes that hitting breakeven
in North America, or making a couple of billion in corporate net
income is 'winning.'  We know we need to move to steady revenue
growth, solid earnings, consistent positive cash flow, and a
stronger balance sheet.

"We plan to make another significant step in the right direction
on these metrics in 2007," he said.

                     About General Motors Corp.

General Motors Corp. (NYSE: GM) -- http://www.gm.com/-- is the
world's largest automaker and has been the global industry sales
leader since 1931.  Founded in 1908, GM employs about 327,000
people around the world.  It has manufacturing operations in
33 countries and its vehicles are sold in 200 countries.  GM
sells cars and trucks under these brands: Buick, Cadillac,
Chevrolet, GMC, GM Daewoo, Holden, HUMMER, Opel, Pontiac, Saab,
Saturn and Vauxhall.

                           *     *     *

As reported in the TCR-Europe on Nov. 16, 2006, Standard &
Poor's Ratings Services assigned its 'B+' bank loan rating to
General Motors Corp.'s proposed USUS$1.5 billion senior term
loan facility, expiring 2013, with a recovery rating of
'1'.  The 'B+' rating was placed on Creditwatch with negative
implications, consistent with the other issue ratings of GM,
excluding recovery ratings.

At the same time, Moody's Investors Service assigned a Ba3,
LGD1, 9% rating to the proposed USUS$1.5 Billion secured term
loan of General Motors Corp.  The term loan will be secured by a
first priority perfected security interest in all of the U.S.
machinery and equipment, and special tools of GM and Saturn
Corporation.


HMV GROUP: Hikes 26-Week Sales to GBP767.2 Million
--------------------------------------------------
HMV Group plc reported interim results for the 26 weeks ended
Oct. 28, 2006, and provided an update on the Group's recent
trading, including Christmas.

                        Christmas Trading

For the five weeks ended Jan. 6, 2007, the company's group total
sales rose 10.3%, including 0.8% like for like sales decline.  

In HMV U.K. & Ireland, total sales increased 3.7%, including
like for like growth of 0.7%.  Gross margins in HMV U.K. &
Ireland are expected to be 30 basis points below previous
expectations.  

At Waterstone's, total sales grew 39.2%, benefiting from the
acquisition of Ottakar's, with like for like sales down 2.0%.

                     Operational Highlights

HMV experienced strong market share gains in HMV U.K., following
the launch of simplified, lower prices.  The company also saw
accelerating growth of online sales, including 200% sales growth
in hmv.co.uk and the launch of waterstones.com.  The company
accomplished the successful integration of Ottakar's, as well as
the reduction of controllable costs.

                  Interim Financial Headlines

For the 26 weeks ended Oct. 28, 2006, group sales increased to
GBP767.2 million, compared with GBP759.7 million in 2005, with
growth from new stores and the acquisition of Ottakar's plc
offsetting like for like sales decline of 5.5%.  Operating loss
before exceptional items was GBP24.5 million for the 26 weeks
ended Oct. 28, 2006, compared with a profit of GBP2.8 million in
2005, including GBP4.2 million one-off costs associated with key
strategic initiatives.  Operating loss after exceptional items
was GBP31.8 million while interim dividend maintained at 1.8
pence per share.

"The markets in which we operate continue to be very difficult.  
However, we delivered an improved performance at Christmas,
particularly at HMV U.K. where we achieved strong gains in
market share.  The actions the Group has taken to improve its
competitive position are yielding benefits, but these are not
sufficient to offset the profound changes taking place in our
markets.  We will do more to build upon the initiatives taken in
2006 to drive the business forward, and we will be updating the
market with those plans in March," CEO Simon Fox said.

                            About HMV

Headquartered in Maindenhead, United Kingdom, HMV Group PLC --
http://www.hmvgroup.com/-- operates 580 stores in eight  
different countries under two powerful retail brands, HMV and
Waterstone's.

On March 31, 2005, the Group completed a refinancing of its
senior bank facilities, creating a more efficient capital
structure.  A five-year GBP260 million revolving credit facility
was arranged, replacing an existing GBP150 million revolving
credit facility, together with outstanding term debt of GBP160
million which was repaid in full.  Consequent to the
refinancing, GBP2.7 million of unamortized deferred financing
fees were written-off in the financial year to April 30, 2005,
as a non-cash exceptional interest charge.

At April 29, 2006, the company's balance sheet showed GBP2.4
million in stockholders' deficit, compared with a GBP14.4
million deficit at April 30, 2005.


HUNTSMAN CORP: S&P Holds BB- Rating & Removes Positive Watch
------------------------------------------------------------
Standard & Poor's Ratings Services affirmed its 'BB-' corporate
credit rating and other ratings on Salt Lake City, Utah-based
chemicals producer Huntsman Corp. and its subsidiary Huntsman
International LLC.

The ratings were removed from CreditWatch with positive
implications, where they were placed on Sept. 29, 2006, pending
the completion of the previously announced sale of its European
base chemicals and polymers business to Saudi Basic Industries
Corp. (SABIC; A+/Stable/A-1).  The outlook is positive.

The rating actions follow the completion of the transaction,
with proceeds substantially as expected including US$685 million
in cash (prior to closing adjustments) and the assumption of
US$126 million of pension liabilities.  S&P views the
transaction as an important step forward in the transformation
of the portfolio toward greater reliance on differentiated
product categories, while providing meaningful cash for debt
reduction.

"The positive outlook reflects our belief that the improved
business portfolio, with its increased weighting toward the
company's higher growth and more competitive business positions,
will make Huntsman increasingly resilient during industry or
economic downturns, less capital and energy intensive, and will
provide more consistent free cash generation to support growth
and additional debt reduction," said Standard & Poor's credit
analyst Kyle Loughlin.

The positive outlook indicates that we could raise the ratings
if Huntsman remains committed to a financial policy that allows
for the improvement of its balance sheet while pursuing its
growth objectives.  This commitment is a key support to higher
ratings as we do not expect that the potential sale of the U.S.
commodity petrochemical assets, if completed during the next
year, to be a deleveraging event in terms of key measures of
cash flow to adjusted debt.

Huntsman Corp. is a holding company with diverse chemical
operations that generated annual sales during 2006 of
approximately US$13 billion.


IRON MOUNTAIN: Moody's Assigns B3 Rating on EUR175-Mln Notes
------------------------------------------------------------
Moody's Investors Service assigned a B3 rating to the proposed
EUR175-million (US$225-million) 6.75% senior subordinated notes
due 2018 of Iron Mountain Incorporated.  

The B3 rating reflects Moody's expectation of loss-given-default
greater or equal to 50% but less than 70% (LGD4).  Proceeds from
the notes will be used to repay outstanding indebtedness and for
general corporate purposes, including possible future
acquisitions.  Existing ratings are unaffected.

Moody's believes that the proposed refinancing does not
materially impact the credit profile of Iron Mountain.  Despite
meaningful improvement over the past two years, the Corporate
Family Rating of B2 and instrument ratings continue to reflect
high financial leverage, the significant amount of goodwill and
intangibles to total assets and the relatively low level of pro
forma free cash flow (defined as cash from operations less
capital expenditures less dividends) relative to debt.  The
ratings also reflect a capital intensive business with most
revenues deriving from paper document storage and related
services which require significant customized physical space.

The ratings are supported by Moody's expectations of solid
interest coverage for the rating category of about 1.8 times in
2006 and adequate EBIT return on assets of about 7% in the same
period.  The ratings also reflect the company's prominent
position as a global leader in information storage and data
protection, including its strategic expansion in the digital
market in recent years.  The ratings also benefit from the
company's historical revenue stability, geographical
diversification and low customer concentration.

Moody's took these rating actions:

   -- assigned a B3 (LGD4, 67%) rating to the proposed EUR175-   
      million 6.75% Euro senior subordinated notes due 2018;

   -- affirmed the Ba2 (LGD2, 10%) rated US$400-million IMI
      revolving credit facility;

   -- affirmed the Ba2 (LGD2, 10%) rated US$343-million IMI term
      loan facility;

   -- affirmed the B3 (LGD4, 67%) rated US$72-million 8.25%
      senior subordinated notes due 2010;

   -- affirmed the B3 (LGD4, 67%) rated US$200-million 8.75%
      senior subordinated notes due 2018;

   -- affirmed the B3 (LGD4, 67%) rated US$448-million 8.625%
      senior subordinated notes due 2013;

   -- affirmed the B3 (LGD4, 67%) rated US$272-million 7.25% GBP
      senior subordinated notes due 2014;

   -- affirmed the B3 (LGD4, 67%) rated US$439-million 7.75%
      senior subordinated notes due 2016;

   -- affirmed the B3 (LGD4, 67%) rated US$315-million 6.625%
      senior subordinated notes due 2016;

   -- affirmed the (P)Ba2 (LGD2, 10%) rated secured drawings
      under the existing shelf;

   -- affirmed the (P)B3 (LGD4, 67%) rated subordinated draws
      under the existing shelf;

   -- affirmed the (P)Caa1 (LGD6, 97%) preferred stock draws
      under the existing shelf;

   -- affirmed the (P)B3 (LGD4, 67%) rated Trust preferred stock
      shelf;

   -- affirmed the B2 Corporate Family Rating;

   -- affirmed the B2 Probability of Default Rating.

The Speculative Grade Liquidity rating is unchanged at SGL-3.

The outlook for the ratings is stable.

Headquartered in Boston, Massachusetts, Iron Mountain
Incorporated is an international provider of information storage
and protection related services.  The company offers
comprehensive records management and data protection solutions,
along with the expertise to address complex information
challenges such as rising storage costs, litigation, regulatory
compliance and disaster recovery.  Founded in 1951, Iron
Mountain has more than 90,000 corporate clients throughout North
America, Europe, Latin America, and Asia Pacific.  Revenue for
the 12 months ended Sept. 30, 2006, was approximately US$2.3
billion.


IXION PLC: S&P Assigns BB Rating on US$22.5-Mln Class G Notes
-------------------------------------------------------------
Standard & Poor's Ratings Services assigned its preliminary
ratings to Ixion PLC's US$140 million Faxtor 2007-1 notes due
2037.

The preliminary ratings are based on information as of Jan. 11,
2007.  Subsequent information may result in the assignment of
final ratings that differ from the preliminary ratings.

The preliminary ratings reflect:

   -- the expected commensurate level of credit support in the
      form of subordination;

   -- the experience of the collateral manager;

   -- the rating of the swap counterparty with appropriate
      downgrade triggers; and

   -- the legal structure of the transaction, including the
      bankruptcy remoteness of the issuer and the segregated
      nature of the series.

   
                  Preliminary Ratings Assigned
                            Ixion PLC
   
     Class             Rating              Amount (mil. US$)
     -----             ------              ------

     B                 AA                  40
     C                 A+                  20
     D                 A-                  20
     E                 BBB+                17.5
     F                 BBB                 20
     G                 BB                  22.5


J & J CONTRACTING: Calls On Creditors to Submit Proofs of Claim
---------------------------------------------------------------
Creditors of J & J Contracting Limited who have not yet proved
their debts are required to forward their proofs of claim to
appointed Liquidator Daniel Plant at:  

         SFP
         9 Ensign House
         Admirals Way
         Marsh Wall
         London E14 9XQ
       &nbs p; United Kingdom

Daniel Plant of SFP was appointed Liquidator of the company on
Dec. 14, 2006.   

The company can be reached at:

         J & J Contracting Limited
         185 Alcester Road
         Hollywood
         Birmingham
         West Midlands B47 5HE
         Tel: 01564 823 531
         Fax: 01564 826 682  


LAVENDER HILL: Creditors' Meeting Slated for January 18
-------------------------------------------------------
Creditors of Lavender Hill Garage Limited will meet at
11:00 a.m. on Jan. 18 at:
  
         Franklin & Co.
         Albany House
         18 Theydon Road
         London E5 9NZ
         United Kingdom

Information concerning the Company's affairs will be available
for inspection on Jan. 16 free of charge.


PROPEX INC: Moody's Affirms Junk Rating on US$150-Mln Notes
-----------------------------------------------------------
Moody's Investors Service changed the outlook on Propex Inc.'s
long-term debt ratings to negative from stable.

The action was prompted by operating weakness, including
declining sales and profitability resulting from a cyclical
slowdown in residential construction and overall economic
activity.  The company is currently in the process of
renegotiating its bank covenants.

The operating weakness was exacerbated by the greater than
expected impact of the backward integration of the large
residential carpet manufacturers, namely Shaw Industries, Inc.
and Mohawk Industries, Inc. (Baa3 with a negative outlook) into
the carpet backing business.  Volumes in geotextiles as well as
other industrial and concrete applications were also below
expectations, as was the case with other polypropylene
converters in recent months.  Moody's expects that weak
performance is likely to continue through 2007 or until
residential construction begins to recover.

Although Moody's believes that current ratings appropriately
balance the company's leadership position in its principal
markets with the mature and cyclical nature of many of these
markets, Moody's is at a point in the business cycle which, if
prolonged, presents increased risk for the lenders.
Notwithstanding the probable covenant breach as of Dec. 31,
2006, Moody's believes that covenant relief should be provided
by the lender group at levels, which recognize current weakness
in the company's principal end markets.

The B2 Corporate Family Rating and instrument ratings continue
to reflect the company's high leverage, weak interest coverage
and low free cash flow generation relative to debt.  The ratings
also reflect the highly competitive, mature industry that Propex
operates in and the cyclical nature of many of the end markets.
Residential renovation and construction are particularly
vulnerable to economic downturns, increases in interest rates
and housing-specific market disruptions or corrections.  

The ratings benefit from scale and diversification opportunities
offered by the integration of SI's industrial fabrics,
geotextiles and concrete systems businesses and a shift away
from carpet backing as the source of the majority of the
revenues along with a reduction in customer concentration.  The
ratings recognize the completion of key initiatives to achieve
cost reductions and eliminate duplication.  The ratings also
acknowledge Propex's leadership position in its principal market
segments and historical ability in managing price fluctuations
relating to raw materials.

Moody's affirmed these ratings:

   -- Ba3 (LGD3, 30%) rating on:

         -- the senior secured credit facilities consisting of a
            US$50 million revolver due 2011, and

         -- the original US$260 million term loan due 2012;

   -- Caa1 (LGD5, 82%) rating on the US$150-million senior
      unsecured due 2012;

   -- B2 Corporate Family Rating;

   -- B2 Probability of Default Rating;

   -- the ratings outlook was changed to negative from positive.

The Speculative Grade Liquidity Rating is SGL-3.  Adequate
liquidity is subject to covenant relief.

Propex Inc., based in Chattanooga, Tennessee is the world's
largest independent producer of primary and secondary carpet
backing and a leading manufacturer and marketer of woven and
nonwoven polypropylene fabrics and fibers used in geosynthetic
applications and a variety of other industrial applications such
as fabric bags/containers, fabric protective coverings and
concrete fiber reinforcement.  The company became a stand-alone
company following the acquisition of the BP Fabrics and Fibers
Business of BP p.l.c by The Sterling Group, L.P., Genstar
Capital, L.P., Laminar Direct Capital, L.P., Paribas North
America Inc. and members of management in December 2004.  The
company has manufacturing operations in North America, Europe
and Brazil.  Sales for the last 12 months ending Sept. 30, 2006,
were US$646 million.


SKYEPHARMA PLC: Lehman Europe Hikes Equity Stake to 10.12%
----------------------------------------------------------
SkyePharma PLC disclosed that Lehman Brothers International
(Europe) had increased their holding in the company by
15,282,860 since their last filing.

Lehman's revised holding amounts to 76,314,195 ordinary shares,
representing 10.12% of the issued share capital of the company.

As reported in the Troubled Company Reporter-Europe on Dec. 4,
2006, Skyepharma disclosed that Lehman's revised holding amounts
to 54,670,736 ordinary shares, representing 7.25% of the issued
share capital of the Company.

Headquartered in London, SkyePharma PLC (Nasdaq: SKYE; LSE: SKP)
-- http://www.skyepharma.com/-- develops pharmaceutical  
products benefiting from world-leading drug delivery
technologies that provide easier-to-use and more effective drug
formulations.  There are now 12 approved products incorporating
SkyePharma's technologies in the areas of oral, injectable,
inhaled, and topical delivery supported by advanced
solubilisation capabilities.

                      Going Concern Doubt

As reported in the Troubled Company Reporter on Aug. 1, 2006,
PricewaterhouseCoopers LLP in London raised substantial doubt
about Skyepharma PLC's ability to continue as a going concern
after auditing the company's financial statements for the year
ended Dec. 31, 2005.  The auditing firm pointed to the
uncertainty as to when Skyepharma's certain strategic
initiatives may be concluded and their effect on the company's
working capital requirements.


SOLO CUP: Fitch Initiates B- IDR; Outlook Negative
--------------------------------------------------
Fitch Ratings initiated ratings for Solo Cup Co.:

    -- Issuer default rating B-;

    -- Senior secured first lien credit facility B+/Recovery
       Rating 2;

    -- Senior secured second lien credit facility CCC+/RR5; and

    -- Senior subordinated notes CCC/RR6.

The Rating Outlook is Negative.  Around US$1.2 billion of debt
is covered by the ratings.  The company's Canadian bank debt is
excluded from the ratings.

The ratings reflect Fitch's concern about the company's negative
operating and free cash flow, high leverage, a lengthy and
difficult integration process associated with the SF Holdings
acquisition, margin contraction due to higher resin and energy
prices, material weaknesses in internal accounting controls, low
unit volume growth, and management turnover in the past year.  
The ratings also recognize Solo's leading market share across
its product categories, strong brand equity, modest near-term
debt maturities, diversified product mix, and stable customer
base.  The ratings also reflect Solo's increased focus on cost
reduction and the possibility of asset sales, the proceeds from
which would be used to reduce debt.

The Negative Outlook is based on constrained operating cash flow
generation and declining operating margins.  Inability by Solo
to generate cash in the next year as a result of performance
improvement or asset sales would likely lead to a review of the
ratings for a possible downgrade.

The Recovery Ratings and notching in the debt structure reflect
Fitch's recovery expectations under a scenario in which
distressed enterprise value is allocated to each debt class.  
The recovery rating for Solo's senior secured first lien credit
facility, consisting of a revolving credit facility and term
loan, reflect superior expected recovery given the security from
substantially all assets.  

With most of the estimated distressed enterprise value being
distributed to the first lien senior secured creditors, Fitch
estimates that recoveries for second lien creditors and 8.50%
senior subordinated noteholders would be significantly impaired.  
The recovery rating for the second lien credit facility reflects
the secondary claim to assets and the allocation of concession
payments to improve recovery.  The recovery on the subordinated
notes would likely be poor in a reorganization given the lack of
security, contractual subordination, and limited, if any,
enterprise value remaining to distribute.

Solo is a market-leading foodservice disposables manufacturer
that has recently endured several business challenges.  An
unusually adverse operating environment and a difficult merger
integration have combined to pose serious challenges to the
company over the past two years.  Raw materials and energy
prices have shown unprecedented increases, creating an inflated
cost structure and lower profitability.  The merger with
Sweetheart has been costly and delayed, with most expected
synergies not yet realized.  In some respects the two companies
have continued to operate as distinct entities, even two years
post-acquisition.  With this backdrop, the company has also had
turnover in several key management positions during the past
year.

Given Solo's difficult, although improving, operating
environment and growing competitive pressures, the company's
ability to maintain market share without increased investment in
R&D is a concern.  Fitch believes that the company's debt burden
may be limiting its ability to invest in innovative, higher
margin products.  Competitors have been able to leverage their
brands into certain Solo Cup product areas, and have taken
advantage of lower cost resins to produce similar products at
lower prices in some cases.  Along with pricing pressure from
low-cost foreign producers, this has lead to volume losses and
constrained cash flows over the past year.

Weak cash flows and tightening liquidity forced the company to
arrange second lien financing twice in 2006; first with an US$80
million term loan in March, then an additional US$50 million
under the same facility acquired in December to pay down the
first lien revolver and improve liquidity.  Management has
acknowledged the need for immediate action to improve the
company's performance.  Workforce reductions, cost savings
initiatives, and sale-leaseback transactions are being
contemplated or are already under way.  

The company is working with external advisors to explore the
possible sale of certain non-core assets or business lines.  In
connection with the December financing arrangements, the credit
facility covenants were modified to allow for the sale of up to
20% of consolidated assets in 2007, with proceeds used to pay
down debt.  Fitch is also encouraged by the appointment of four
new board members, including a new chairman by Vestar Capital
Partners, the company's minority equity investor.  AlixPartners,
a consultancy, has also been engaged to implement a performance
improvement program.

Fitch calculates LTM Oct. 1, 2006, operating EBITDA of US$147.5
million and total leverage of 7.8 times.  Interest coverage for
the same period was 1.7x.  Although the company has implemented
price increases in response to higher raw materials costs,
competitive pressures and overall higher freight and other costs
will likely prove to be an ongoing challenge, which will require
structural changes in the business.  Asset divestitures will
likely be needed to bring the company into compliance with
leverage ratio covenant requirements, which start at 9.75x and
decline every three months this year to 7.25x by Dec. 31.  Fitch
believes the company will likely be able to comply with leverage
ratio requirements in 2007, assuming sufficient asset sales are
executed.  The fundamental trend should improve somewhat in
2007, given cost management initiatives, completion of the new
order management system, and moderating raw materials and energy
prices.

As of Oct. 1, 2006, the company had about US$49 million of
availability under the revolver and cash of US$22 million for
total liquidity of roughly US$71 million.  Considering the
additional US$50 million of second-lien financing, Fitch
estimates current liquidity of about US$121 million.  Near term
debt maturities are not significant with US$6.5 million due in
both 2007 and 2008.  Capital expenditures are expected to be
US$55 to US$60 million in the coming year.  The amended credit
agreement of Dec. 22, 2006, stipulates that all management fees
to Vestar will be suspended in 2007, unless the consolidated
leverage ratio is equal to or less than 4.5x.

Solo's credit profile could improve in 2007 if significant cost
savings or de-leveraging occurs.  The company has outlined an
aggressive agenda to rationalize costs, maximize cash flows, and
change corporate culture.  Significant asset sales or other
divestitures could materially improve leverage.  The company's
new technology system is scheduled to come online in the first
quarter, which could significantly improve order management,
reduce redundancies stemming from the merger, and lead to
improved profitability.  Fitch believes the rationale for the
Sweetheart merger remains mostly intact.  There is ample scope
for operational improvement such as asset utilization and
productivity and better product line management.  Many of the
originally anticipated synergies could yet be realized
accordingly.


STERAID LIMITED: Liquidator Sets February 28 Claims Bar Date
------------------------------------------------------------
Creditors of Steraid Limited have until Feb. 28 to send in their
full names, their addresses and descriptions, full particulars
of their debts or claims, and the names and addresses of their
Solicitors (if any), to appointed Liquidator Charles Howard  
Ranby-Gorwood at:

         CRG Insolvency & Financial Recovery
         Al exandra Dock Business Centre  
         Fisherman's Wharf
         Grimsby DN31 1UL
         United Kingdom

Charles Howard Ranby-Gorwood of CRG Insolvency & Financial
Recovery was appointed Liquidator of the company on  
Dec. 22, 2006, by resolutions of members and creditors.

The company can be reached at:

         Steraid Limited
         Sandars Road
         Heapham Road Industrial Estate
         Gainsborough
         Lincolnshire DN211RZ
         United Kingdom
         Tel: 01427 677 559


URGENT SOLUTIONS: Alan Simon Leads Liquidation Procedure
--------------------------------------------------------
Alan Simon of Langley Group LLP was appointed Liquidator of
Urgent Solutions Limited (t/a Access Solutions) on Dec. 12,
2006, for the creditors' voluntary winding-up procedure.

The company can be reached at:

         Urgent Solutions Limited
         Meridian Court
         Norman Road
         Greenwich
         London SE109QF
         Tel: 020 8853 8840


VANE TEMPEST: Appoints Liquidator from Tenon Recovery
------------------------------------------------------
Ian William Kings of Tenon Recov ery was appointed Liquidator of
Vane Tempest Miners Welfare Scheme Social Club Limited on  
Dec. 13, 2006, for the creditors' voluntary winding-up
proceeding.

Tenon Recovery -- http://www.tenongroup.com/-- provides  
accounting and business advice to owner-managed and private
business.

Vane Tempest Miners Welfare Scheme Social Club Limited can be
reached at:

         New Drive
         Seaham
         County Durham SR7 7BX
         United Kingdom  
         Tel: 0191 581 2744


VIA IMPORTS: Joint Liquidators Take Over Operations
---------------------------------------------------
Philip Anthony Brooks and Julie Willetts of Blades Insolvency
Services were appointed Joint Liquidators of Via Imports Limited
on Dec. 11, 2006, for the creditors' voluntary winding-up
procedure.

The company can be reached at:

         Via Imports Limited
         Trent House  
         100 Trent Road  
         Opp The Meres  
         Grantham  
         Lincolnshire NG31 7XQ  
         United Kingdom
         Tel: 01476 590 116
         Fax: 01476 590 117  


VOYAGER IT: Taps Mark Reynolds to Liquidate Assets
--------------------------------------------------
Mark R eynolds of Valentine & Co. was appointed Liquidator of
Voyager IT Limited on Dec. 12, 2006, for the creditors'
voluntary winding-up proceeding.

The company can be reached at:

         Voyager IT Limited
         The Clock House
         Station Approach
         Marlow
         Buckinghamshire SL7 1NT
         Tel: 0870 240 0471
         Fax: 0870 240 0472  


* EU Energy Unbundling Plan Could Weaken Sector, Fitch Says
-----------------------------------------------------------
Fitch Ratings says that the full ownership unbundling proposed
by the European Union competition regulators for the energy
sector could weaken the credit profiles of the more volatile
generation and retail companies.  

On the other hand, the ratings of regulated network companies
are likely to remain stable or may even strengthen compared with
their vertically integrated counterparts.  Ultimately, rating
migration will depend on Fitch's assessment of the cash flow
characteristics of the unbundled businesses in relation to their
new debt profiles and the sector framework.

"Full ownership unbundling would result in a profound change to
the utilities' underlying risk profiles.  However, such a
proposal is unlikely to be quickly actioned as long as there is
no political consensus to pursue unbundling within a country."
says Rebeca Ehrnrooth, director in Fitch's Energy & Utilities
team.

Ownership unbundling is the European Commission's favored and
the most far-reaching option.  It involves separating ownership
of regulated network businesses from that of unregulated,
commercially run generation and supply activities.  This is to
foster competitive access to networks and to minimize the
potential for cross-subsidies between the different components
of the value chain.

It remains to be seen whether the benefits from full ownership
unbundling would outweigh the costs.  Potential advantages of
ownership unbundling include enhanced network efficiency,
supported by stronger network independence, and improved
management focus.  Unbundling tends to foster transparency and a
better regulatory framework, thereby enhancing the position of
new market entrants, but potentially to the detriment of the
incumbents' performance.  However, the unbundling process will
also result in numerous costs, such as those related to IT and
call center separation, legal expenses, taxation, and
potentially an early termination of cross-border leases.

Fitch notes that given past resistance to full unbundling, the
EC has also proposed the introduction of system operators as a
second-best option.  SOs would operate the networks while the
utilities would continue to own the actual network assets and be
responsible for their maintenance.  This system has a proven
track record of non-discriminatory access for generators with no
regulatory impediment to new entrants.  By starting out with
this clear position, the EC might buy itself more bargaining
power in future negotiations with member states.


* 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      293


BELGIUM
-------
City Hotels               CITY.BR     (7)         210      (15)
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
Dollfus Mieg & Cie S.A.   DS         (16)         143      (45)
Euro Computer System                (110)         682      377
Genesys S.A.              GNS.PA     (10)         120       (5)
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)
Oeneo S.A.                SABT.PA    (12)         292       38
Pneumatiques Kleber S.A.             (34)         480      139
Rhodia S.A.               RHA       (788)       6,681      171
SDR Centrest                        (132)         252      N.A.
SDR Picardie                        (135)         413      N.A.
Selcodis S.A.             SPVX       (18)         128       22
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                    (174)       3,003      606
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)
Plambeck Neue
   Energien AG            PNE3        (4)         141       19
Primacom AG               PRIG      (268)       1,257   (1,048)
Rinol AG                  RLIG       (64)         104      (15)
Schaltbau Hold            SLTG       (23)         144       (7)
SinnLeffers AG            WHGG        (4)         454     (145)
Spar Handels- AG          SPAG      (442)       1,433     (234)
Vivanco Gruppe                       (55)         131      (31)


GREECE
------
Empedos S.A.              EMPED      (34)         175      (48)
Pouliadis Associates      
   Corporation            POUL       (28)         124      (31)
Radio A.Korassidis        KORA      (101)         181     (139)
   Commercial

HUNGARY
-------
Exbus Asset Management
   Nyrt.                  EXBUS      (30)         118   (5,162)


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)
Wind Telecomunicazioni
   S.p.A.                            (10)      12,698     (815)

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)
Vista Alegre Atlantis
   SGPS S.A.              VAAAE      (18)         193      (83)  

ROMANIA
-------
Oltchim RM Valce          OLT        (45)         232     (321)


RUSSIA
------
OAO Samaraneftegas                  (332)         892  (16,942)
Zil Auto                            (185)         378  (11,107)


SPAIN
-----
Altos Hornos de
   Vizcaya S.A.                     (116)       1,283     (278)
Santana Motor S.A.                   (46)         223       41
Sniace S.A.                          (10)         134      (37)


SWITZERLAND
-----------
Wedins Skor
    Accessoarer AB                   (10)         139     (129)


TURKEY
------
Nergis Holding                       (24)         125       26
Yasarbank                           (948)         623      N.A.


UKRAINE
-------
Dnepropetrovsk Metallurgical
   Plant Imeni Petrovsko              (2)         278     (509)
Dniprooblenergo                      (38)         478     (797)
Donetskoblenergo                    (166)         706   (1,320)


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
Atkins (WS) Plc           ATK        (63)       1,279       70
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
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     (1,264)       2,818     (253)
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         (4)         948     (175)
Homestyle Group Plc       HME        (29)         409     (124)
Imperial Chemical
   Industries Plc         ICI       (835)       8,881      (49)
Invensys PLC                      (1,031)       3,875      494
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)
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 Farner Plc        PFL        (33)         964      127
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    (490)         155      (80)
Wincanton Plc             WIN        (66)       1,236      (71)


                           *********

Each Tuesday edition of the TCR contains a list of companies
with insolvent balance sheets whose shares trade higher than
US$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/

Each Friday's edition of the TCR includes a review about a book
of interest to troubled company professionals.  All titles are
available at your local bookstore or through Amazon.com.  Go to
http://www.bankrupt.com/books/to order any title today.

                           *********

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 P. Laureno, Julybien Atadero, Carmel Zamesa
Paderog, Joy Agravante, Zora Jayda Zerrudo Sala, and Kristina A.
Godinez, Editors.

Copyright 2007.  All rights reserved.  ISSN 1529-2754.

This material is copyrighted and any commercial use, resale or
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Information contained herein is obtained from sources believed
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                 * * * End of Transmission * * *