TCREUR_Public/070124.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

           Wednesday, January 24, 2007, Vol. 8, No. 17      

                            Headlines


A U S T R I A

AT-INFO.AT: Claims Registration Period Ends January 30
FALKNER MASCHINENPUTZ: Claims Registration Period Ends Jan. 30
GERTRUDE LUKE: Claims Registration Period Ends January 29
KONZETT BAU: Feldkirch Court Orders Business Closure
PHARMA & CO: Claims Registration Period Ends January 26

PRIME CINE: Claims Registration Ends January 29
WAGNER PAPIERSACKE: Claims Registration Period Ends February 1
YOUKOE FORM: Claims Registration Period Ends January 25
ZIMMEREI POLANSCHUETZ: Claims Registration Ends January 29


B E L G I U M

GREIF INC: Moody's Lifts Ratings on Good Financial Performance


C Z E C H   R E P U B L I C

J&T BANKA: Moody's Assigns E+ Financial Strength Rating


E S T O N I A

KONINKLIJKE AHOLD: Rimi Baltic Hikes Sales by 20% to EUR970 Mln


F R A N C E

ALCATEL-LUCENT: Deploys Mobile Solution to Vodafone Netherlands
COOPER COS: Moody's Assigns Ba3 Rating on US$350-Mln Sr. Notes


G E O R G I A

BANK OF GEORGIA: Fitch Lifts Issuer Default Rating to B


G E R M A N Y

ALNUS GMBH: Creditors' Meeting Slated for February 14
BENQ CORP: Sentex Submits EUR52 Million Bid for Bankrupt Assets
BENQ CORP: Inks Mobile Phone Warranty Agreement with Siemens AG
CREATIV GASTSTATTEN: Claims Registration Ends February 14
CSH CABIN: Claims Registration Ends February 16

DAIMLERCHRYSLER AG: To Ink Deal to Sell EADS Stake This Month
M & C OSWALD: Creditors' Meeting Slated for February 12
M.S. BAU: Claims Registration Ends February 19
NURA ARABISCHE: Claims Registration Ends February 19
O + H VERWALTUNGS: Creditors' Meeting Slated for February 14

ROSE GMBH: Claims Registration Ends February 12
SEEMANN FRISCHEVERTRIEB: Creditors' Meeting Slated for Feb. 12
SMARTHAUS GMBH: Claims Registration Ends February 14
STUMPF GMBH: Claims Registration Ends February 12
SUPER BAYERN: Claims Registration Ends February 13

VOLKSWAGEN AG: MAN Drops Scania Takeover; Opens Merger Talks
VOLKSWAGEN AG: MAN AG Reinforces Support to CEO Samuelsson


I R E L A N D

NOMOS CAPITAL: Moody's Rates Loan Participation Notes at Ba3
NOMOS CAPITAL: Fitch Rates Upcoming Debt Issue at B+/RR4


I T A L Y

ALITALIA SPA: Sets February Meeting to Elect New Board
FIAT SPA: Alfa Romeo Division Will Return to U.S. Market by 2009
POPOLARE ITALIANA: Shareholders Reinstate Suspended CEO Gronchi


K A Z A K H S T A N

AK-ALMA LLP: Creditors Must File Claims by February 22
AKAD-AGRO LLP: Proof of Claim Deadline Slated for February 22
ALLIANCE BANK: Moody's Assigns Ba2 Rating to Sr. Unsec. Debt
ALLIANCE BANK: Fitch Affirms Issuer Default Rating at BB-
ALTYN LLP: Claims Filing Period Ends February 27

ARMAN LLP: Claims Registration Ends February 27
JANALYK LLP: Creditors' Claims Due February 27
MARHABAT & K: Creditors Must File Claims by February 22
METALLURGICHESKY INSTITUTE: Creditors' Claims Due February 28
OTAN ORDA: Proof of Claim Deadline Slated for February 22

REMSTROY-XXI LLP: Claims Filing Period Ends February 28
SPETSREMSTROY LLP: Claims Registration Ends February 22


K Y R G Y Z S T A N

TRANS SHAT-SERVICE: Claims Filing Period Ends March 4


N E T H E R L A N D S

ALB FINANCE: Moody's Assigns Ba2 Rating to Sr. Unsecured Debt
ALB FINANCE: Fitch Rates Upcoming Eurobond Issue at BB-
ALCATEL-LUCENT: Deploys Mobile Solution to Vodafone Netherlands
BG FINANCE: Moody's Assigns Ba2 Rating on Loan Notes
BG FINANCE: Fitch Puts B/RR4 Rating to Upcoming Debt Issue

GLOBAL POWER: Court Sets April 18 as General Claims Bar Date
GLOBAL POWER: U.S. Trustee Amends Creditors Committee Membership
GLOBAL POWER: Court OKs Saul Ewing as Equity Panel's Co-Counsel
KONINKLIJKE AHOLD: Rimi Baltic Hikes Sales by 20% to EUR970 Mln


R U S S I A

AGRO-INVEST LLC: Court Names A. Gubin as Insolvency Manager
BASHKATOVO CJSC: Creditors Must File Claims by March 2
BUILDING MATERIALS: Creditors Must File Claims by March 2
CAMOMILE-93 OJSC: Creditors Must File Claims by January 30
EAR CJSC: Creditors Must File Claims by January 30

EQUIPMENT-1 CJSC: Voronezh Bankruptcy Hearing Slated for Feb. 7
EUROPE CJSC: Creditors Must File Claims by January 30
IVANOVSKIY KHLADOKOMBINAT 4: Asset Sale Slated for January 31
KRYLOVSK-AGRO-PROM-KHIMIYA OJSC: Claims Deadline Set March 2
MILK LLC: Primorye Bankruptcy Hearing Slated for April 26

NEW CERAMICS: Moscow Bankruptcy Hearing Slated for Feb. 27
NOMOS BANK: Fitch Affirms IDR at B+ with Stable Outlook
NOMOS BANK: Fitch Rates Nomos Capital's Upcoming LPN Issue at B+
SEL-KHOZ-TEKHNIKA OJSC: Creditors Must File Claims by March 2
TIMASHEEVSKIY OJSC: Bankruptcy Hearing Slated for April 23

TOMSK-AIR OJSC: Court Starts Bankruptcy Supervision Procedure
TRANS-SERVICE-1401 OJSC: Creditors Must File Claims by Jan. 30
YUKOS OIL: Initial Appraisal Values Assets at US$22 Billion
YUKOS OIL: Moscow Court Sets Feb. 14 Hearing for PwC Tax Lawsuit


S P A I N

MILLS CORP: Farallon Offers to Purchase US$499 Million of Shares
MILLS CORP: Gazit-Globe Offers US$1.1B Revised Recap Plan
MILLS CORP: Inks US$1.35 Billion Agreement with Brookfield Asset


U K R A I N E

GIONET LVS: Claims Submission Deadline Set February 3
PAPIRUS LLC: Creditors Must Submit Claims by February 3
SOUTH-POLYMER SYNTHESIS: Claims Submission Deadline Set Feb. 3
TRE-KRUNER LLC: Claims Submission Deadline Set February 3


U N I T E D   K I N G D O M

ABBEY FLOORING: Names Jeremy Nicholas Bleazard as Administrator
ACQUIREMENT SOLUTIONS: Names Cooper Parry to Administer Assets
AGOY LTD: Hires Liquidator from Fisher Partners
ALLCARE HOME: Calls In Liquidator from Begbies Traynor
AUTO DRIVE: Creditors Confirm Voluntary Liquidation

AWARD INTERNATIONAL: Names William Antony Batty Liquidator
BAA PLC: Names Terry Morgan as Group Divisional Director
BAA PLC: Scottish Unit Shuffles Senior Management
BRITISH AIRWAYS: Wants Acas to Mediate Dispute with T&G Union
CONCURRENT REALISATIONS: Taps PwC as Joint Administrators

CORUS GROUP: Confirms Issuance of Ordinary Shares & Bonds
CRAIGHILL NURSERIES: Creditors Confirm Liquidator's Appointment
CRESTGATE LTD: Claims Filing Period Ends February 23
DARENTH DESIGNS: Nominates Liquidators from Abbott Fielding
DRAC LTD: Joint Liquidators Take Over Operations

DURA AUTOMOTIVE: RSM Updates Ontario Court on Chapter 11 Cases
DURA AUTOMOTIVE: Ontario Court Recognizes Final DIP Order
FORD MOTOR: Loses US$1 Bln Per Year on Counterfeit Auto Parts
FORD MOTOR: Mark Fields to Give Up Use of Company Plane
G T RANBY: Names Liquidators to Wind Up Business

GENERAL MOTORS: Sells More Than 9 Million Vehicles Globally
GLOBAL HERBAL: Appoints Peter Bridger to Liquidate Assets
GRANGE DIRECT: Claims Filing Period Ends February 28
HONEYCOMBE LEISURE: In Talks with Bankers Over GBP33-Mln Loan
INTELSAT LTD: Bermuda Unit Issues US$600 Million Senior Notes

LADBROKES PLC: Acquires Nordic Gaming Partner Sponsio Ltd.
ONE PLUS: Enters Liquidation After Rejection of Rescue Package
REFCO INC: Bankr. Court Denies Michael McNeil's Stay Request
REFCO INC: Court Directs Grant Thornton to Produce Documents
SANMINA-SCI: S&P Retains Negative CreditWatch on BB- Ratings

SCOTTS MIRACLE: S&P Holds Corporate Credit Rating at BB
SEA CONTAINERS: Committee Taps Morris Nichols as Counsel
SEA CONTAINERS: Principal Financial Discloses 9.5% Equity Stake
SKYEPHARMA PLC: Dr. David Ebsworth Buys 67,000 Ordinary Shares
STEINWAY MUSICAL: Terminates Dennis Bamber Asset Purchase Pact

TRANSRENT TRAILER: Names Administrators from Deloitte & Touche
U.K. COAL: HSE Calls for Review of Ground Control Requirements
VECTOR NETWORKS: Brings In Administrators from KPMG

                            *********

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


AT-INFO.AT: Claims Registration Period Ends January 30
------------------------------------------------------
Creditors owed money by LLC AT-INFO.AT (FN 251116p) have until
Jan. 30 to file written proofs of claims to court-appointed
property manager Bernhard Huber at:

         Dr. Bernhard Huber
         Schillerstrasse 12
         4020 Linz, Austria
         Tel: 65 69 69
         Fax: 65 69 69 60
         E-mail: b.huber@hep.co.at  

Creditors and other interested parties are encouraged to attend
the creditors' meeting at 9:30 a.m. on Feb. 13 to consider the
adoption of the rule by revision and accountability.

The meeting of creditors will be held at:

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

Headquartered in Linz, Austria, the Debtor declared bankruptcy
on Dec. 11, 2006 (Bankr. Case No. 38 S 57/06w).  


FALKNER MASCHINENPUTZ: Claims Registration Period Ends Jan. 30
--------------------------------------------------------------
Creditors owed money by LLC Falkner Maschinenputz (FN 151710d)
have until Jan. 30 to file written proofs of claims to court-
appointed property manager Peter Shamiyeh at:

         Dr. Peter Shamiyeh
         Hopfengasse 23
         4020 Linz, Austria
         Tel: 66 73 26
         Fax: 66 73 20-942
         E-mail: p.shamiyeh@wildmoser-koch.com  

Creditors and other interested parties are encouraged to attend
the creditors' meeting at 9:00 a.m. on Feb. 13 to consider the
adoption of the rule by revision and accountability.

The meeting of creditors will be held at:

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

Headquartered in Walding, Austria, the Debtor declared
bankruptcy on Dec. 11, 2006 (Bankr. Case No. 38 S 56/06y).  


GERTRUDE LUKE: Claims Registration Period Ends January 29
---------------------------------------------------------
Creditors owed money by LLC Gertrude Luke Installation (FN
227651g) have until Jan. 29 to file written proofs of claims to
court-appointed property manager Johanna Abel-Winkler at:

         Mag. Johanna Abel-Winkler
         c/o Mag. Norbert Abel
         Franz-Josefs-Kai 49/19
         1010 Vienna, Austria
         Tel: 533 52 72
         Fax: 533 52 72-15
         E-mail: office@abel-abel.at  

Creditors and other interested parties are encouraged to attend
the creditors' meeting at 10:30 a.m. on Feb. 12 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 1705
         Vienna, Austria

Headquartered in Vienna, Austria, the Debtor declared bankruptcy
on Dec. 11, 2006 (Bankr. Case No. 3 S 168/06k).  Norbert Abel
represents Mag. Abel-Winkler in the bankruptcy proceedings.


KONZETT BAU: Feldkirch Court Orders Business Closure
----------------------------------------------------
The Land Court of Feldkirch entered Dec. 7, 2006, an order
closing the business of LLC Konzett Bau-Tech (FN 56457a).  

Court-appointed property manager Guenter Flatz recommended the
business closure after determining that the continuing
operations would reduce the value of the estate.

The property manager can be reached at:

         Dr. Guenter Flatz
         c/o Mag. Klaus Tusch
         Muehletorplatz 12
         6800 Feldkirch, Austria
         Tel: 05522/39100
         Fax: 05522/391001
         E-mail: office@tfd.at   

Headquartered in Feldkirch, Austria, the Debtor declared
bankruptcy on Oct. 27, 2006 (Bankr. Case No. 13 S 49/06w).  
Klaus Tusch represents Dr. Flatz in the bankruptcy proceedings.


PHARMA & CO: Claims Registration Period Ends January 26
-------------------------------------------------------
Creditors owed money by LLC Pharma & Co Apothekenserivce (FN
159629z) have until Jan. 26 to file written proofs of claims to
court-appointed property manager Karin Wintersberger at:

         Mag. Karin Wintersberger
         Getreidegasse 31
         5020 Salzburg, Austria
         Tel: 0662-844202
         Fax: 0662-844202-44
         E-mail: office@drw.at  

Creditors and other interested parties are encouraged to attend
the creditors' meeting at 9:00 a.m. on Feb. 9 to consider the
adoption of the rule by revision and accountability.

The meeting of creditors will be held at:

         The Land Court of Salzburg
         Hall 256
         1st Floor
         Salzburg, Austria

Headquartered in Salzburg, Austria, the Debtor declared
bankruptcy on Dec. 11, 2006 (Bankr. Case No. 44 S 44/06d).  


PRIME CINE: Claims Registration Ends January 29
-----------------------------------------------
Creditors owed money by LLC Prime Cine Technologies (FN 245183p)
have until Jan. 29 to file written proofs of claims to court-
appointed property manager Christopher Straberger at:

         Dr. Christopher Straberger
         Maria Theresia Road 19
         4600 Wels, Austria
         Tel: 07242/47175
         Fax: 07242/641222
         E-mail: office@straberger.at  

Creditors and other interested parties are encouraged to attend
the creditors' meeting at 10:40 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 Land Court of Wels
         Hall 101
         1st Floor
         Maria Theresia Str. 12
         Wels, Austria

Headquartered in Wels, Austria, the Debtor declared bankruptcy
on Dec. 11, 2006 (Bankr. Case No. 20 S 160/06i).  


WAGNER PAPIERSACKE: Claims Registration Period Ends February 1
--------------------------------------------------------------
Creditors owed money by LLC Wagner Papiersacke (FN 217790f) have
until Feb. 1 to file written proofs of claims to court-appointed
property manager Florian Gehmacher at:

         Dr. Florian Gehmacher
         c/o Dr. Matthias Schmidt
         Dr. Karl Lueger-Ring 12
         1010 Vienna, Austria
         Tel: 533 16 95
         Fax: 535 56 86
         E-mail: gehmacher@preslmayr.at  

Creditors and other interested parties are encouraged to attend
the creditors' meeting at 9:45 a.m. on Feb. 15 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 1703
         Vienna, Austria

Headquartered in Vienna, Austria, the Debtor declared bankruptcy
on Dec. 7, 2006 (Bankr. Case No. 5 S 152/06x).  Matthias Schmidt
represents Dr. Gehmacher in the bankruptcy proceedings.


YOUKOE FORM: Claims Registration Period Ends January 25
-------------------------------------------------------
Creditors owed money by LLC Youkoe Form-Technik (FN 112432t)
have until Jan. 25 to file written proofs of claims to court-
appointed property manager Georg Rupprecht at:

         Mag. Georg Rupprecht
         c/o Dr. Michael Troethandl
         Hauptplatz 9-13
         2500 Baden bei Wien, Austria
         Tel: 02252/86380
         Fax: 02252/86380-3
         E-mail: rupprecht@lexacta.com  

Creditors and other interested parties are encouraged to attend
the creditors' meeting at 10:00 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 Land Court of Wiener Neustadt
         Room 15
         Wiener Neustadt, Austria

Headquartered in Oeynhausen, Austria, the Debtor declared
bankruptcy on Dec. 11, 2006 (Bankr. Case No. 10 S 112/06h).  
Michael Troethandl represents Mag. Rupprecht in the bankruptcy
proceedings.


ZIMMEREI POLANSCHUETZ: Claims Registration Ends January 29
----------------------------------------------------------
Creditors owed money by LLC Zimmerei Polanschuetz (FN 105782m)
have until Jan. 29 to file written proofs of claims to court-
appointed property manager Philip De Goederen at:

         Dr. Philip De Goederen
         Kurhausstrasse 9
         4820 Bad Ischl, Austria
         Tel: 06132/23517
         Fax: 06132/23517-9
         E-mail: info@rechtsangelegenheiten.at  

Creditors and other interested parties are encouraged to attend
the creditors' meeting at 10:20 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 Land Court of Wels
         Hall 101
         Wels, Austria

Headquartered in Ebensee, Austria, the Debtor declared
bankruptcy on Dec. 7, 2006 (Bankr. Case No. 20 S 159/06t).  


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B E L G I U M
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GREIF INC: Moody's Lifts Ratings on Good Financial Performance
--------------------------------------------------------------
Moody's Investors Service upgraded the ratings of Greif, Inc.
and assigned a first time rating to the company's new senior
unsecured notes.  The rating outlook is stable.

The rating on the new senior unsecured notes remains subject to
review of the final financing documentation.

Ratings/assessments upgraded:

   -- corporate Family Rating, to Ba1 from Ba2, and
   -- probability-of-default rating, to Ba1 from Ba2.

Ratings/assessments assigned:

   -- US$300-million senior unsecured notes due 2017 at Ba2
      (LGD 5, 75%).

In addition, the company speculative-grade liquidity rating of
SGL-1 has been affirmed.

The rating upgrade reflects the significant improvement in the
company's financial performance and credit profile.  The ratings
also reflect the company's leading market position in global
industrial packaging, its geographic, customer and end market
diversity as well as the meaningful financial flexibility
provided by its holdings of a large amount of unencumbered
timber assets.  On the other hand, the ratings continue to be
constrained by the cyclicality in the company's industrial
shipping container and paper packaging businesses, declining
demand for steel and fiber drum products, its modest profit
margins due to the mostly commodity nature of its products, and
considerable exposure to volatile raw material prices.

The rating outlook is stable.  Factors that could favorably
impact the ratings include:

   1) sustained improvement in the credit profile, through
      margin expansion and cash flow generation,

   2) demonstrated commitment to maintaining Moody's adjusted
      debt to EBITDA below 2.0x, and

   3) further successful reduction of costs through strategic
      sourcing and operational excellence.

Factors that could negatively impact the ratings include
deteriorating revenues due to substitution or market share shift
away from the company, declining profit margins, or large debt-
financed acquisitions.

Moody's also affirmed Greif's speculative-grade liquidity rating
of SGL-1, which indicates very good liquidity and reflects
Moody's expectation that the company's operating cash flow,
together with its cash balance and availability under its
committed revolver and A/R securitization facility, should be
more than sufficient to cover its capital spending and other
operational needs over the next 12 months.

The Ba2 rating on the senior unsecured notes reflects an LGD 5
loss given default assessment that reflects its contractual
subordination to all of Greif's senior secured creditors.  The
notes will rank pari passu in right of payment to Greif's
existing and future senior debt and will be senior to all
existing and future senior subordinated debt.  The proceeds from
the senior unsecured notes will be used to fund the purchase of
Greif's 8.87% senior subordinated notes due 2012 (rated Ba3).
Moody's will withdraw the ratings on the senior subordinated
notes upon the successful issuance of the senior unsecured
notes.

Greif, Inc., headquartered in Delaware, Ohio, is a world leader
in industrial packaging products and services.  The Company
provides extensive expertise in steel, plastic, fibre,
corrugated and multi-wall containers for a wide range of
industries.  Greif also produces containerboard and manages
timber properties in the United States.  For fiscal year 2006
the company generated around US$2.6 billion in net sales and
US$326 million in EBITDA.


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


J&T BANKA: Moody's Assigns E+ Financial Strength Rating
-------------------------------------------------------
Moody's Investors Service assigned a CZ-2 short-term national
scale bank deposit rating to Czech institution J&T BANKA, a.s.
and affirmed its Baa1.cz long-term national scale bank deposit
rating and E+ financial strength rating.  All ratings carry a
stable outlook.

According to Moody's, J&T BANKA's Baa1.cz/CZ-2 national scale
bank deposit ratings and E+ bank financial strength rating
reflect its weak franchise in the Czech Republic and the
extremely high concentration of loans and deposits.

J&T BANKA is a small bank operating predominantly in the Czech
market.  It is focused on offering private banking services to
highly affluent clients using an individual approach to its
client base, with the aim of involving clients in various joint
ventures.  

However, Moody's notes that the nearly half of the loan
portfolio is in the real estate development and construction
sectors and these sectors tend to be inherently volatile.  The
bank is also involved in financing corporate acquisitions and
restructurings.

The bank's ratings also reflect modest, albeit improving,
financial fundamentals as well as its good economic and
regulatory capitalization, supported by a CZK1 billion share
capital increase in 2005 and a stated zero dividend policy.
Whilst Moody's views positively the initiatives taken by the
bank in recent years to improve risk management and the level of
loans' collateralization, the lending concentrations remain very
high and many of the investment projects are of a speculative
nature.  

Asset quality is satisfactory, most of the bank's non-performing
loans were originated by operations conducted before J&T Group's
acquisition of the bank in 1998 and are fully provisioned.  That
said, Moody's cautions that much of the newly originated loan
portfolio has not been tested through an economic downturn.

The bank is 100% controlled by J&T Finance Group, a.s., which is
ultimately owned by two private individuals, Jozef Tkac and Ivan
Jakabovic.  These shareholders have proved to be supportive in
the past; however, given the size of the bank within the J&T
Finance Group (J&T BANKA represents 20% of J&T Group assets and
it is one of the largest companies within the group), Moody's
has not factored any support into the ratings.

J&T BANKA is headquartered in Prague, Czech Republic, and as of
Dec. 31, 2005 had total assets of CZK18.9 billion
(EUR663 million), according to IFRS.


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E S T O N I A
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KONINKLIJKE AHOLD: Rimi Baltic Hikes Sales by 20% to EUR970 Mln
---------------------------------------------------------------
Rimi Baltic, a unit of Koninklijke Ahold N.V., increased its net
sales for the operating year 2006.

Ahold opened 29 new stores in 2006 in the Baltic -- six Rimi
hypermarkets, one Rimi supermarket and 22
Supernetto/Saastumarket hard discount stores.

These sales allowed the company to maintain its leading
positions in Estonia (market share: 24%) and Latvia (market
share: 22%) as well as to boost the market share of Rimi's
operations in Lithuania, which reached 7%.

The market share of Rimi Baltic in the Baltic region grew with
one percentage point to 16%.

Total investments in all three Baltic countries in 2006 were
EUR62 millions.

"At the end of the year ICA acquired 50% Kesko Food's shares in
Rimi Baltic is now 100% owned by Swedish ICA AB -- being a
subsidiary of one company enables us to operate even more
effectively" says Rimi Baltic CEO Antonio Soares.

Rimi Baltic group sales in 2006 per country, excluding VAT:

                     EUR (Million)    Increase, %
                     -------------    -----------
   Rimi Eesti Food      345.6             7.2%
   Rimi Latvia          429.3            23.9%
   Rimi Lietuva         194.6            40.4%
   Rimi Baltic          969.5            20.0%

Rimi Baltic operates 204 stores in the Baltic region -- 90 in
Latvia, 63 in Estonia and 51 in Lithuania.  Some 58 Rimi
supermarkets, 30 Rimi hypermarkets and 116 hard discount stores
(Supernetto in Latvia and Lithuania, Saastumarket in Estonia).
Rimi Baltic employs more than 10 000 people.

                         About Ahold

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

                        *     *     *

As reported in the TCR-Europe on Dec. 22, 2006, Standard &
Poor's Ratings Services revised its outlook on the Dutch food
retailer and food service distributor Koninklijke Ahold N.V. to
positive from stable.  At the same time, the 'BB+/B' long- and
short-term corporate credit ratings were affirmed.
     
Moody's Investors Service and Standard and Poor's has assigned
low-B ratings to the company's 5.625% senior notes due 2007.
Also, the company's 5.875% senior unsubordinated notes due 2008
and 6.375% senior unsubordinated notes due 2007 carry Moody's,
S&P's and Fitch's low-B ratings.


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F R A N C E
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ALCATEL-LUCENT: Deploys Mobile Solution to Vodafone Netherlands
---------------------------------------------------------------
Alcatel-Lucent revealed that mobile operator Vodafone
Netherlands has deployed a network-based Alcatel-Lucent
enterprise solution to enable Vodafone Netherlands to expand the
capabilities of its Wireless Office service.

The Alcatel-Lucent solution provides Vodafone Netherlands with
an opportunity that both addresses the demands of enterprises
and transforms the way employees communicate.  With this
network-based solution, Alcatel-Lucent offers enterprises an
alternative choice to meet their communications and business
needs.  Employees benefit from mobility while having access to
their company communications resources, which can increase
productivity by eliminating the need to be in the office to
access fixed-line PBX or Centrex communications services.

In addition, Alcatel-Lucent is offering network integration
services, including design and engineering support, for the
enterprise solution being offered to Vodafone.

Vodafone's enhanced Wireless Office Service is a network-based
IP Centrex solution that enables business customers to use
mobile phones to access communications features that previously
would only have been available via fixed telephones in a
company's offices.  Features that Vodafone is initially making
available on mobile phones are extension dialing, hunt groups to
route a call to an available line, placing calls in queue,
conferencing, and call transfer.  In addition, the solution
comprises a receptionist switchboard for handling calls to a
company's prime number, geographical numbers, company numbers
(088) and Call Management Software for easy call management by
end users.

"For business customers it's critical to be able to communicate
anywhere anytime.  Vodafone has acknowledged this and has
introduced its Wireless Office service, which provides the best
of both worlds: the functionality of fixed communications with
the flexibility of mobile communications," said Jeroen Hoencamp,
Director Enterprise Business Unit at Vodafone Netherlands.  
"Vodafone's mobile plus strategic objective is to innovate and
deliver on customers total communications needs. Alcatel-Lucent
has helped us establish the new service, which is a next step in
realizing our strategic objective for the enterprise market."

"There is a new business generation that demands services that
match their professional and personal lifestyles, and it is our
mission to help service providers meet these customers' needs,"
said Luc Defieuw, head of Alcatel-Lucent's activities in the
Benelux, Nordic and Baltic countries.  "Vodafone now is in a
unique position to offer its customers a full mobile solution
for company communications."

Alcatel-Lucent's mobile enterprise voice solution for Vodafone
includes the Alcatel-Lucent Feature Server, Alcatel-Lucent
Network Controller, Alcatel-Lucent Media Gateway, Alcatel-Lucent
Firewall Brick and Alcatel-Lucent VitalSuite Performance
Management Software.

                   About Vodafone Libertel N.V

Vodafone is one of the largest mobile telecommunications
companies in the Netherlands and is part of the worldwide
Vodafone Group, the world's leading telecommunications company
for mobile telephony with over 191 million proportionate
customers on five continents.  The Vodafone Group has holdings
in the share capital of mobile operators in 26 countries and
collaborative arrangements with partner networks in 34
countries.

                      About Alcatel-Lucent

Headquartered in Paris, France, Alcatel-Lucent --
http://www.alcatel-lucent.com/-- provides solutions that enable  
service providers, enterprises and governments worldwide, to
deliver voice, data and video communication services to end
users.  Through its operations in fixed, mobile and converged
broadband networking, Internet protocol (IP) technologies,
applications, and services, Alcatel-Lucent offers the end-to-end
solutions that enable communications services for people at
home, at work and on the move.  The company has operations in
Indonesia.

On Nov. 30, 2006, Alcatel and Lucent Technologies Inc. completed
their merger transaction, and began operations as a
communication solutions provider under the name Alcatel-Lucent
on Dec. 1, 2006.

                          *     *     *

As reported on Dec. 14, 2006, following the completion of
Alcatel S.A.'s merger with Lucent Technologies Inc., at which
time Alcatel was renamed Alcatel-Lucent, Fitch Ratings
downgraded and removed Alcatel from Rating Watch Negative:

   -- Issuer Default Rating to BB from BBB-; and

   -- Senior unsecured debt to BB from BBB-.

Alcatel's F3 short-term rating has also been withdrawn.

The Rating Outlook for Alcatel-Lucent is Stable.

Fitch has also withdrawn the following Lucent ratings due to the
lack of clarity regarding Alcatel's support and, therefore,
expected recovery of these securities in a distressed scenario:

   -- Issuer Default Rating BB-;

   -- Senior unsecured debt BB-;

   -- Convertible subordinated debt B; and

   -- Convertible trust preferred securities B.

Moody's Investors Service downgraded to Ba2 from Ba1 the
Corporate Family Rating of Alcatel S.A., which has completed its
merger with Lucent Technologies Inc. and was renamed to Alcatel-
Lucent.  The ratings for senior debt of Alcatel were equally
lowered to Ba2 from Ba1 and its Not-Prime rating for short-term
debt was affirmed.

At the same time, Moody's raised the ratings for senior debt of
Lucent to Ba3 from B1 reflecting both the standalone credit
profile of Lucent and, given the strategic importance of Lucent
to round-off the group's product range and regional presence,
expected financial support from Alcatel-Lucent, although this is
not formally committed at this time.  The ratings for the other
legacy debt of Lucent were raised to B2 from B3 for subordinated
debt and trust preferred, and to P(B3) from P(Caa1) for
preferred stock issuable under its shelf registration.

Moody's has withdrawn Lucent's Corporate Family Rating of B1,
assuming that management of the two entities will be fully
integrated over the next several months and all of Lucent's non-
U.S. activities merged with their Alcatel counterparts.  This
should result in a rapid convergence of the credit risks of the
affected companies.  The outlook for all these ratings is
stable.  This rating action concludes the rating reviews
initiated on April 3, 2006.

Standard & Poor's, on Dec. 6, 2006, said that following news
that the merger between French telecoms equipment supplier
Alcatel and U.S. peer Lucent Technologies Inc. has received
final approval from the U.S. Committee on Foreign Investments,
it has lowered its long-term corporate credit and senior
unsecured debt ratings on Alcatel -- now named Alcatel-Lucent --
to 'BB-' from 'BB', in line with its preliminary indication in
its Nov. 7, 2006, research update.

The 'B' short-term corporate credit rating on Alcatel-Lucent was
affirmed.  S&P said the outlook is positive.


COOPER COS: Moody's Assigns Ba3 Rating on US$350-Mln Sr. Notes
--------------------------------------------------------------
Moody's Investors Service assigned a Ba3 (LGD3/45%) rating to
The Cooper Companies, Inc.'s US$350 million senior unsecured
notes due 2015.

Proceeds from the notes, along with a new US$650 million five
year revolving credit facility, will be used to refinance the
company's existing bank credit facilities comprised of a
US$500-million revolver and a US$250-million term loan, which
will be terminated.  The proposed revolver will contain a
US$250-million accordion that will be available throughout the
life of the facility.  Concurrently, Moody's assigned a Ba3
Corporate Family Rating, Ba3 Probability of Default Rating,
SGL-1 Speculative Grade Liquidity Rating, and a stable ratings
outlook.

The Ba3 Corporate Family Rating primarily reflects the company's
size, moderate amount of debt and stable free cash flow. "Based
on Moody's Medical Products and Device Rating Methodology, the
company's revenue size at US$859 million for the twelve months
ended Oct. 31, 2006, maps it to the middle of the 'Ba' rating
category," said Sidney Matti, Analyst at Moody's.  

"Moody's expects that the company's revenue size will grow over
the next few years, which will move it toward the upper end of
the 'Ba' rating category," said Matti.  With minimal increases
in debt as part of the proposed transaction, pro forma adjusted
debt to EBITDA will remain at 3.7 times.  Moody's expects that
the company's adjusted leverage position will decline to below
3.5 times by Oct. 31, 2007.

The Corporate Family Rating reflects the recent changes to
Cooper's 2007 revenue guidance, its highly acquisitive nature
and the competitiveness of the contact lens market.  The company
has guided projected revenues for fiscal year 2006 and fiscal
year 2007 downward over the past few quarters because of ramp-up
issues related to the silicon hydrogel product and the
introduction of the strip blister packaging in Japan.  

Matti also stated that, "Over the past two and a half years,
Cooper has spent about US$680 million in debt-financed
acquisitions in order to strengthen its position in both the
contact lens and women's healthcare divisions."  

Moody's expects Cooper to continue to engage in acquisitions
within the women's healthcare division with limited acquisition
opportunities in the contact lens arena.  Currently, the four
largest players in the contact lens market have an estimated
combined 96% market share, according to Moody's.

The stable ratings outlook anticipates the contact lens and
women's healthcare markets will continue to grow as the need for
each product increases driven by changing demographics.  With
its position within both segments, Cooper should benefit from
this growth.  The outlook also considers that the company will
not engage in a material acquisition over the ratings horizon.

The SGL-1 rating recognizes that over the next twelve months
ended Oct. 31, 2007, Moody's expects Cooper to generate cash
flow from operations sufficient to cover the company's capital
spending needs.  Additionally, the company will have material
availability under the proposed US$650-million revolving credit
facility and adequate cushion under the revolver covenants.

The following ratings were assigned:

   -- Ba3 (LGD3/45%) US$350 million senior unsecured note
      rating;

   -- Ba3 Probability of Default rating;
   -- SGL-1 Speculative Grade Liquidity rating; and
   -- Ba3 Corporate Family Rating.

Headquartered in Pleasanton, California, The Cooper Companies,
Inc., through its principal business units, develops,
manufactures and markets healthcare products.  Cooper reported
total revenues for the year ended Oct. 31, 2006, of US$859
million.


=============
G E O R G I A
=============


BANK OF GEORGIA: Fitch Lifts Issuer Default Rating to B
-------------------------------------------------------
Fitch Ratings assigned BG Finance B.V.'s upcoming senior notes
issue expected ratings of Long-term 'B' and Recovery 'RR4'.  The
issue is to be used solely for financing a loan to JSC Bank of
Georgia, which has been upgraded to foreign and local currency
Issuer Default ratings of 'B' from 'B-'.

BG Finance will only pay noteholders amounts received from BoG
under the loan agreement.  BG Finance will grant security over
the loan to a trustee, the Bank of New York, for the benefit of
noteholders.  The final ratings of the issue are contingent on
receipt of final documentation conforming materially to
information already received.

Noteholders' claims will rank at least equally with the claims
of other senior unsecured creditors of BoG, save those preferred
by relevant laws.  Under Georgian law, term and demand deposits
of retail and corporate customers and banks, as well as all
claims of the National Bank of Georgia, rank ahead of those of
other senior unsecured creditors.  

At end-9M06, such balances comprised around 36% of BoG's
liabilities, according to the bank's reviewed IFRS accounts.  
This degree of subordination is not sufficient for Fitch to
assign lower Recovery and Long-term ratings than 'RR4' and 'B'
to the current transaction.  However, the agency notes that
should the degree of subordination of noteholders increase, the
ratings of the notes could come under pressure.  That said, at
present such changes are not expected by Fitch.

The loan agreement contains a negative pledge clause, which
allows for a certain degree of securitization by BoG and its
subsidiaries.  In the event of any securitization, Fitch
comments that the nature and extent of any over-
collateralization would be assessed by the agency for any
potential impact on unsecured creditors.  The loan agreement
also limits mergers and disposals by BoG and its subsidiaries
and obliges them to carry out any transactions with affiliates
on market terms.

BoG has also made covenant to limit any equity distributions to
50% of consolidated IFRS net profit, investments in non-banking
subsidiaries to 20% of consolidated IFRS assets, guarantees
issued in favour of any subsidiaries to 1% of consolidated IFRS
assets and exposure to any single counterparty to 20% of IFRS
capital.  In addition, the bank has made a covenant to maintain
Basel I Tier 1 and Total capital-to-risk weighted assets ratios
at a minimum of 10% and 12%, respectively.

The noteholders are also provided with a put option, should a
rating downgrade or withdrawal be triggered by certain factors.

BoG is a systemically important bank with an around 28% share in
banking sector assets at end-November 2006.  Primarily foreign
portfolio investors broadly hold the bank.


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


ALNUS GMBH: Creditors' Meeting Slated for February 14
-----------------------------------------------------
The court-appointed insolvency manager for Alnus GmbH, Detlef
Ruediger Beckmann, will present his first report on the
Company's insolvency proceedings at a creditors' meeting at
12:05 p.m. on Feb. 14.

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 noon on May 23, 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 Alnus GmbH on Dec. 20, 2006.  Consequently,
all pending proceedings against the company have been
automatically stayed.

The Debtor can be reached at:

         Alnus GmbH
         Glasower Str. 65-66
         12051 Berlin, Germany

The insolvency manager can be reached at:

         Dr. Detlef Ruediger Beckmann
         Lietzenburger Road 77
         10719 Berlin, Germany


BENQ CORP: Sentex Submits EUR52 Million Bid for Bankrupt Assets
---------------------------------------------------------------
Sentex Sensing Technology Inc. submitted a EUR52 million bid for
the assets of BenQ Mobile GmbH & Co. OHG, the bankrupt German
unit of Taiwan-based BenQ Corp., the Associated Press reports.

According to AP, Henrik Rubenstein, Sentex's chief executive
officer, told Dow Jones Newswires that the bid is based on an
earn-out model, which would base payments on BenQ Mobile's
financial success in the future.

Mr. Rubenstein added that the company had secured a "three-digit
million euro sum" of working capital financing, AP relates.

In a TCR-Europe report on Jan. 12, Sentex said it 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.

                          Other Bidders

As previously reported in the Troubled Company Reporter-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.

In addition, a U.S.-German investor group headed by Hansjorg
Beha, a former Daimler-Benz executive, and Gilbert Amelio, a
former chairman of Apple Computer Inc., are in talks with BenQ
regarding a potential bid for BenQ's assets.

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

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

   -- compensation for employing 800 out of 3,000 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.

However, the Land of North-Rhine Westphalia declared that it was
only prepared to pay less than EUR100 million in state
guarantee, as a higher amount would cause problems with EU law,
Suddeutsche Zeitung relates.

As reported in the TCR-Europe on Jan. 16, Messrs. Amelio and
Beha said they 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.

                       About Sentex Sensing

Sentex Sensing Technologies, Inc. http://www.sentextech.com/--   
provides fingerprint, facial and voice biometric technologies,
as well as systems, and critical system components that empower
the identification of individuals in large-scale ID and ID
management programs.

                           About BenQ

Headquartered in Taiwan, Republic of China, BenQ Corporation,
Inc. -- http://www.benq.com/-- manufactures, develops and sells   
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. 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, 2006, 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.


BENQ CORP: Inks Mobile Phone Warranty Agreement with Siemens AG
---------------------------------------------------------------
Siemens AG and BenQ Corp. have reached an agreement on the
continuation of warranty services for mobile phones sold under
the brand names "Siemens" and "BenQ Siemens."  

BenQ Corp. has commissioned B2X Care Solutions GmbH to continue
services for mobile phones of either brand.  Siemens is
supporting this agreement.  Sales partners and end customers can
thus continue to use the existing channels in case of claims.  
The long-term agreement has been valid since the beginning of
January 2007.

Within the framework of this agreement, B2X is taking over the
warranty services for sales partners and end customers in
Europe, Russia and Latin America.  The warranty claims of Asian
customers will be dealt with directly by BenQ Corp.  To
guarantee the provision of services for mobile phones, Siemens
has agreed with BenQ Corp. to use the payments originally due in
December.

Siemens has recently provided a solid financial basis for the
job placement companies for employees of BenQ Mobile OHG in
North Rhine-Westphalia and Bavaria.  A EUR10 million aid fund
has also been set up by Siemens for supporting employees in
financial difficulties.  Through the job exchange established by
Siemens for employees of BenQ Mobile OHG, over 690 interviews
have been scheduled at Siemens.  Round about 150 concrete job
offers have so far been made.  In addition, Siemens has secured
the continuation of training for 88 trainees of BenQ Mobile
within Siemens AG.

                       About Siemens

Siemens (Berlin and Munich) -- http://www.siemens.com/-- is a  
global powerhouse in electrical engineering and electronics.
The company has around 461,000 employees working to develop and
manufacture products, design and install complex systems and
projects, and tailor a wide range of services for individual
requirements.  Siemens provides innovative technologies and
comprehensive know-how to benefit customers in 190 countries.
Founded more than 155 years ago, the company focuses on the
areas of Information and Communications, Automation and Control,
Power, Transportation, Medical, and Lighting.  In fiscal 2006
(ended Sept. 30), Siemens had sales from continuing operations
of EUR87.3 billion and net income of EUR3.1 billion.

                          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.         


CREATIV GASTSTATTEN: Claims Registration Ends February 14
---------------------------------------------------------
Creditors of Creativ Gaststatten-Betriebs GmbH have until
Feb. 14 to register their claims with court-appointed insolvency
manager Thilo Braun.

Creditors and other interested parties are encouraged to attend
the meeting at 10:30 a.m. on March 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 Karlsruhe
         Hall IV
         1st Floor
         Schlossplatz 23
         76131 Karlsruhe, 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 Karlsruhe opened bankruptcy proceedings
against Creativ Gaststatten-Betriebs GmbH on Dec. 21, 2006.  
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be contacted at:

         Creativ Gaststatten-Betriebs GmbH
         Attn: Stefan Drexel and Mirko Poluschny, Managers
         Amalienstr. 75
         76133 Karlsruhe, Germany

The insolvency manager can be contacted at:

         Thilo Braun
         Schillerstr. 2
         79102 Freiburg, Germany
         Tel: (0761) 70 39 00


CSH CABIN: Claims Registration Ends February 16
-----------------------------------------------
Creditors of CSH Cabin Systems Holding GmbH have until Feb. 16
to register their claims with court-appointed insolvency manager
Joachim Buettner.

Creditors and other interested parties are encouraged to attend
the meeting at 9:00 a.m. on March 21, 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 Anbau
         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 CSH Cabin Systems Holding GmbH on Dec. 27, 2006.  
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be contacted at:

         CSH Cabin Systems Holding GmbH
         Willy-Brandt-Road 57
         20457 Hamburg, Germany

         Attn: Karsten Lehrke, Manager
         Letheblick 2
         26203 Wardenburg, Germany

The insolvency manager can be contacted at:

         Joachim Buettner
         Osdorfer Highway 230
         22549 Hamburg, Germany


DAIMLERCHRYSLER AG: To Ink Deal to Sell EADS Stake This Month
-------------------------------------------------------------
DaimlerChrysler AG will sign this month a contract to sell its
7.5% stake in European Aeronautic Defence & Space Co. to a
consortium of financial institutions organized by the German
government, WirtschaftsWoche reports.

In a TCR-Europe report on Jan. 16, 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 the stake using derivatives, worth EUR1.5
billion based on EADS's stock-market value, the Wall Street
Journal relates.  

The 7.5% stake would be carved into:

   -- 60% for Credit Suisse, Morgan Stanley, Goldman Sachs,
      Deutsche Bank and Commerzbank;

   -- 13% for KfW Group;

   -- 10% for Hamburg;

   -- 5% for Baden-Wuerttemberg;

   -- 5% for Bavaria;

   -- 5% for Lower Saxony; and

   -- 2% for Bremen.

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 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.

                      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.


M & C OSWALD: Creditors' Meeting Slated for February 12
-------------------------------------------------------
The court-appointed insolvency manager for M. & C. Oswald
Kunststofftechnik GmbH, Thomas Maier, will present his first
report on the Company's insolvency proceedings at a creditors'
meeting at 2:00 p.m. on Feb. 12.

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

         The District Court of Pirmasens
         Area 235
         2nd Floor
         Pirmasens, Germany

The Court will also verify the claims set out in the insolvency
manager's report at 2:00 p.m. on March 12, at the same venue.

Creditors have until Feb. 28 to register their claims with the
court-appointed insolvency manager.

The District Court of Pirmasens opened bankruptcy proceedings
against M. & C. Oswald Kunststofftechnik GmbH on Dec. 28, 2006.  
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be reached at:

         M. & C. Oswald Kunststofftechnik GmbH
         Attn: Franz Anton Dachs, Manager
         Hauptstrasse 166
         66976 Rodalben, Germany

The insolvency manager can be reached at:

         Thomas Maier
         Pirmasenser Road 18
         66994 Dahn, Germany
         Tel: 063 91/92280
         Fax: 063 91/922899
         E-mail: insolvenz@stb-maier.de


M.S. BAU: Claims Registration Ends February 19
----------------------------------------------
Creditors of M.S. Bau Massiv-System-Bau GmbH have until Feb. 19
to register their claims with court-appointed insolvency manager
Andreas Kienast.

Creditors and other interested parties are encouraged to attend
the meeting at 11:30 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 Tostedt
         Meeting Room I
         Area CE.02
         Linden 23
         21255 Tostedt, 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 Tostedt opened bankruptcy proceedings
against M.S. Bau Massiv-System-Bau GmbH on Dec. 21, 2006.  
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be contacted at:

         M.S. Bau Massiv-System-Bau GmbH
         Attn: Walter Vogt, Manager
         Schwarzenberg 30
         21629 Neu Wulmstorf, Germany

The insolvency manager can be contacted at:

         Andreas Kienast
         Johnsallee 7
         20148 Hamburg, Germany
         Tel: 040/808065920
         Fax: 040/808065999


NURA ARABISCHE: Claims Registration Ends February 19
----------------------------------------------------
Creditors of "NURA" arabische Backwaren, Lebensmittel Im- und
Export GmbH have until Feb. 19 to register their claims with
court-appointed insolvency manager Thilo Streck.

Creditors and other interested parties are encouraged to attend
the meeting at 10:55 a.m. on March 19, 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 Anbau
         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 "NURA" arabische Backwaren, Lebensmittel Im- und Export
GmbH on Dec. 29, 2006.  Consequently, all pending proceedings
against the company have been automatically stayed.

The Debtor can be contacted at:

         "NURA" arabische Backwaren, Lebensmittel
         Im- und Export GmbH
         Beerenweg 1 b
         22761 Hamburg, Germany

         Attn: Ahmed Mireh, Manager
         Goldbachstrasse 8
         22765 Hamburg, Germany

The insolvency manager can be contacted at:

         Dr. Thilo Streck
         Neuer Wall 86
         20354 Hamburg, Germany


O + H VERWALTUNGS: Creditors' Meeting Slated for February 14
------------------------------------------------------------
The court-appointed insolvency manager for O + H Verwaltungs
Holding GmbH, Wolfgang Schroeder, will present his first report
on the Company's insolvency proceedings at a creditors' meeting
at 12:10 p.m. on Feb. 14.

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 12:05 p.m. on May 23, at the same venue.

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

The District Court of Aschaffenburg opened bankruptcy
proceedings against O + H Verwaltungs Holding GmbH on
Dec. 27, 2006.  Consequently, all pending proceedings against
the company have been automatically stayed.

The Debtor can be reached at:

         O + H Verwaltungs Holding GmbH
         Katharinenstrasse 18
         10711 Berlin, Germany

The insolvency manager can be reached at:

         Dr. Wolfgang Schroeder
         Genthiner Str. 48
         10785 Berlin, Germany


ROSE GMBH: Claims Registration Ends February 12
-----------------------------------------------
Creditors of Rose GmbH have until Feb. 12 to register their
claims with court-appointed insolvency manager Sabine Fochler.

Creditors and other interested parties are encouraged to attend
the meeting at 1:00 p.m. on March 12, 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 Neubrandenburg
         Hall 1
         Friedrich-Engels-Ring 15-18
         Neubrandenburg, 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 Neubrandenburg opened bankruptcy
proceedings against Rose GmbH on Dec. 28, 2006.  Consequently,
all pending proceedings against the company have been
automatically stayed.

The Debtor can be contacted at:

         Rose GmbH
         Otto-Intze-Str. 2
         17192 Waren, Germany

The insolvency manager can be contacted at:

         Sabine Fochler
         Schwedenstrasse 7
         17033 Neubrandenburg, Germany


SEEMANN FRISCHEVERTRIEB: Creditors' Meeting Slated for Feb. 12
--------------------------------------------------------------
The court-appointed insolvency manager for Seemann
Frischevertrieb-Fruchthandel GmbH, Markus Lehmkuehler, will
present his first report on the Company's insolvency proceedings
at a creditors' meeting at 9:00 a.m. on Feb. 12.

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

         The District Court of Saarbruecken
         Meeting Room 24
         2nd Floor
         Branch Office Sulzbach
         Vopeliusstrasse 2
         66280 Sulzbach, Germany

The Court will also verify the claims set out in the insolvency
manager's report March 12, at the same venue.

Creditors have until Feb. 23 to register their claims with the
court-appointed insolvency manager.

The District Court of Saarbruecken opened bankruptcy proceedings
against Seemann Frischevertrieb-Fruchthandel GmbH on
Dec. 27, 2006.  Consequently, all pending proceedings against
the company have been automatically stayed.

The Debtor can be reached at:

         Seemann Frischevertrieb-Fruchthandel GmbH
         Attn: Karl Seemann, Manager
         Gueterbahnhof 6
         66386 St Ingbert, Germany

The insolvency manager can be reached at:

         Markus Lehmkuehler
         Wilhelmstr. 40
         53111 Bonn, Germany
         Tel: 0228-92 66 60
         Fax: 0228-92 66 699


SMARTHAUS GMBH: Claims Registration Ends February 14
----------------------------------------------------
Creditors of Smarthaus GmbH have until Feb. 14 to register their
claims with court-appointed insolvency manager Tobias Schulze.

Creditors and other interested parties are encouraged to attend
the meeting at 10:00 a.m. on March 28, 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 Rostock
         Hall 330
         Zochstrasse
         18057 Rostock, 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 Rostock opened bankruptcy proceedings
against Smarthaus GmbH on Jan. 5.  Consequently, all pending
proceedings against the company have been automatically stayed.

The Debtor can be contacted at:

         Smarthaus GmbH
         Attn: Olaf Zuelow, Manager
         Dehmelstrasse 3
         18055 Rostock, Germany

The insolvency manager can be contacted at:

         Dr. Tobias Schulze
         Campus 1-11
         18182 Bentwisch, Germany


STUMPF GMBH: Claims Registration Ends February 12
-------------------------------------------------
Creditors of Stumpf GmbH have until Feb. 12 to register their
claims with court-appointed insolvency manager Nikolaus Schmidt.

Creditors and other interested parties are encouraged to attend
the meeting at 9:50 a.m. on March 12, 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 Leipzig
         Hall 145
         1st Floor
         Enforcement Court
         Bernhard Goering Road 64
         04275 Leipzig, 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 Leipzig opened bankruptcy proceedings
against Stumpf GmbH on Dec. 21.  Consequently, all pending
proceedings against the company have been automatically stayed.

The Debtor can be contacted at:

         Stumpf GmbH
         Doebichauerstrasse 9d
         04435 Schkeuditz OT Doelzig, Germany

         Attn: Brigitte Ruppert, Manager
         Ruststrasse 24
         04229 Leipzig, Germany

The insolvency manager can be contacted at:

         Dr. Nikolaus Schmidt
         Magdeburger Str. 23
         06112 Halle, Germany
         Tel: 0345/231110
         Fax: 0345/2311199


SUPER BAYERN: Claims Registration Ends February 13
--------------------------------------------------
Creditors of Super Bayern Verlag GmbH have until Feb. 13 to
register their claims with court-appointed insolvency manager
Barbara Beutler.

Creditors and other interested parties are encouraged to attend
the meeting at 9:45 a.m. on March 13, 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 Munich
         Meeting Room 102
         Infanteriestr. 5
         80097 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 Super Bayern Verlag GmbH on Dec. 22, 2006.  
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be contacted at:

         Super Bayern Verlag GmbH
         Attn: Falk Diehl, Manager
         Agnes-Bernauer-Str. 15 a
         80673 Munich, Germany

The insolvency manager can be contacted at:

         Barbara Beutler
         Schwanthalerstr. 32
         80336 Munich, Germany
         Tel: 089/54511-0
         Fax: 089/54511-444


VOLKSWAGEN AG: MAN Drops Scania Takeover; Opens Merger Talks
------------------------------------------------------------
MAN AG, absent Volkswagen AG's support, ended its EUR10.3
billion hostile bid for Scania AB saying it will opt for a
friendly merger with the truck company, Jeremy van Loon writes
for Bloomberg News.

In a press release, MAN disclosed that discussions between
Volkswagen, Investor, and MAN have shown that there is an
industrial logic behind a combination of MAN, Scania and
Volkswagen Heavy Trucks.  But both Volkswagen and Investor AB
have rejected such a combination by way of the current offer by
MAN for Scania.

MAN decided not to amend the terms and conditions or timing of
its offer but will seek the approval of the Swedish Securities
Council to withdraw the offer as it is clear that the conditions
of the offer will not be met by Jan. 31.

As Scania's shareholder, MAN is looking forward to entering into
further discussions during 2007 to seek a friendly combination
of MAN, Scania and Volkswagen Heavy Trucks.

"Removing this offer from the table was always the basic
requirement for some kind of combination of these three to
work," Robert Heberger, an analyst at Merck Finck in Munich told
Bloomberg.  "Now all options are on the table."

"The Board of Scania has previously said it was open for
discussions provided MAN withdrew its hostile offer," Scania was
quoted by Bloomberg as saying.  "Such discussions must however
build on industrial and commercial logic."

According to Bloomberg, Investor AB, the second largest
shareholder of Scania stated that it welcomed the announcement.  
Dropping the hostile nature of the offer allows the companies to
view at opportunities to combine "without the pressure,"
Investor stated.

"Investor will continue to support Scania's successful
development as a stand-alone company, but we will naturally
evaluate possible industrial partnerships and combinations in
order to develop Scania further," the Swedish holding company
owned by the Wallenberg family disclosed.

In an e-mailed statement, Volkswagen also welcomed the decision
by MAN and is "convinced that a friendly solution is the best
way to take advantage of the synergy potentials of a
combination."

Volkswagen holds the biggest share in Scania with 34% of the
voting rights and 18.7% of the equity.  VW also holds a 20%
stake in MAN.

A combination of MAN and Scania would create Europe's biggest
maker of commercial vehicles by market share and the world's
third biggest behind Sweden's Volvo AB and Germany's
DaimlerChrysler AG.

Headquartered in Wolfsburg, Germany, the Volkswagen Group --
http://www.volkswagen.de/-- is one of the world's leading  
automobile manufacturers and the largest carmaker in Europe.
With 47 production plants in eleven European countries and a
further seven countries in the Americas, Africa, and Asia,
including China, Volkswagen has more than 343,000 employees
producing over 21,500 vehicles or are involved in vehicle-
related services on every working day.

                        *    *    *

Volkswagen has been carrying out measures to cut costs and raise
profits, which could affect up to 30,000 jobs.  The potential
job cuts represent about a third of the carmaker's workforce and
three times higher than initial estimates made by then CEO Bernd
Pischetsrieder and former Volkswagen brand head, Wolfgang
Bernhard.

In November 2005, Volkswagen maintained its 2005 earnings
guidance amid rumors it may lower targets.  The company predicts
a year-on-year improvement in both operating profit after
special items and profit before tax this year.  Rumors flew that
the company would slash full-year earnings forecast due to
higher restructuring costs.  The company said the impact of its
workforce reduction measures, which will be charged as special
items in the fourth quarter, will be lower than last year's.

The company also admitted there were no significant improvements
in the economic environment in the first nine months of 2005,
and the overall situation in the important automotive markets
remained difficult.  It also expected tougher competition in the
Chinese and U.S. markets, and the rise in fuel prices to
influence consumer confidence.


VOLKSWAGEN AG: MAN AG Reinforces Support to CEO Samuelsson
----------------------------------------------------------
MAN AG's supervisory board reinforced their support to Chief
Executive Officer Hakan Samuelsson after Der Spiegel reported on
Jan. 20 that Volkswagen AG wants Mr. Samuelsson removed as part
of a plan to a MAN and Scania AB merger, Bloomberg reports.

According to Der Spiegel, Volkswagen views Mr. Samuelsson as an
obstacle in its plan to merge its Brazilian truck business with
MAN and Scania.

In a press release, MAN disclosed that the press coverage
prompted the standing committee of its supervisory board to
reinforce their unanimous support for the position of Mr.
Samuelsson as chief executive officer of MAN and expressed their
complete trust in him.

Volkswagen holds a 20% stake in MAN.  It also holds the biggest
share in Scania with 34% of the voting rights and 18.7% of the
equity.

As reported in the TCR-Europe on Jan. 23, Investor AB, the
second largest shareholder of Scania owned by the Wallenberg
family, reiterated its rejection of MAN AG's EUR10.3 billion
hostile bid for Scania, but is open to a friendly merger between
Scania and MAN.

VW's Supervisory Board of Volkswagen AG rejected MAN's offer to
take over Scania on Jan. 11.  It has requested that the Board of
Management worked on a friendly merger of Scania and MAN.

A combination of MAN and Scania would create Europe's biggest
maker of commercial vehicles by market share and the world's
third biggest behind Sweden's Volvo AB and Germany's
DaimlerChrysler AG.

Headquartered in Wolfsburg, Germany, the Volkswagen Group --
http://www.volkswagen.de/-- is one of the world's leading  
automobile manufacturers and the largest carmaker in Europe.
With 47 production plants in eleven European countries and a
further seven countries in the Americas, Africa, and Asia,
including China, Volkswagen has more than 343,000 employees
producing over 21,500 vehicles or are involved in vehicle-
related services on every working day.

                        *    *    *

Volkswagen has been carrying out measures to cut costs and raise
profits, which could affect up to 30,000 jobs.  The potential
job cuts represent about a third of the carmaker's workforce and
three times higher than initial estimates made by then CEO Bernd
Pischetsrieder and former Volkswagen brand head, Wolfgang
Bernhard.

In November 2005, Volkswagen maintained its 2005 earnings
guidance amid rumors it may lower targets.  The company predicts
a year-on-year improvement in both operating profit after
special items and profit before tax this year.  Rumors flew that
the company would slash full-year earnings forecast due to
higher restructuring costs.  The company said the impact of its
workforce reduction measures, which will be charged as special
items in the fourth quarter, will be lower than last year's.

The company also admitted there were no significant improvements
in the economic environment in the first nine months of 2005,
and the overall situation in the important automotive markets
remained difficult.  It also expected tougher competition in the
Chinese and U.S. markets, and the rise in fuel prices to
influence consumer confidence.


=============
I R E L A N D
=============


NOMOS CAPITAL: Moody's Rates Loan Participation Notes at Ba3
------------------------------------------------------------
Moody's Investors Service assigned a rating of Ba3 to the Loan
Participation Notes to be issued by Nomos Capital Plc,
incorporated under the laws of Ireland, for the sole purpose of
providing a loan to Nomos Bank.

The amount and the tenor of the Notes have yet to be determined.  
The outlook for the rating is stable.

Moody's notes that the Ba3 rating assigned to the Notes is based
on the fundamental credit quality of the underlying obligor,
Nomos Bank, rated at Ba3/NP/D- (stable), and does not factor in
any support from the bank's shareholders or the Russian
financial authorities; the rating also reflects the seniority of
the notes.  The bank's obligations under the loan received from
Nomos Capital Plc will rank at least pari passu in right of
payment with all other unsecured and unsubordinated obligations
of Nomos, except as otherwise provided by mandatory provisions
of applicable law.  Moody's notes that Russia is in general, a
country with individual depositor preference, which may reduce
the recovery rates for the bondholders, especially if such
deposits were to represent a sizeable proportion of the bank's
liabilities in the event of liquidation.

According to the terms and conditions of the loan agreement,
Nomos Bank must maintain on a consolidated basis a Tier-I
capital adequacy ratio of at least 10% as well as comply with
the Central Bank's capital regulations and with a number of
other covenants such as negative pledge, limitations on mergers
and disposals, and transactions with affiliates.  The rating
agency notes that, while the likelihood of any of the above-
mentioned covenants being triggered is relatively low, any such
occurrence could potentially have adverse liquidity implications
for the bank and, if accompanied at that time by deterioration
in the bank's credit standing, might exert additional downward
pressure on its ratings.

Headquartered in Moscow, Russian Federation, Nomos Bank reported
unaudited total consolidated assets of US$3,997 million -- in
accordance with IFRS -- as at Sept. 30, 2006.  Nomos Capital Plc
is the bank's special purpose vehicle domiciled in Ireland.


NOMOS CAPITAL: Fitch Rates Upcoming Debt Issue at B+/RR4
--------------------------------------------------------
Fitch Ratings assigned Nomos Capital Plc's upcoming issue of
limited recourse loan participation notes expected ratings of
Recovery 'RR4' and Long-term 'B+'.  

The notes are to be used solely for financing a loan to Russia's
Nomos Bank, which is rated Issuer Default 'B+' with Stable
Outlook, Short-term 'B', Individual 'D', and Support '5'.  The
final ratings are contingent upon receipt of final documentation
conforming materially to information already received.

Fitch has also affirmed Nomos's ratings.

Nomos Capital P.L.C, incorporated under the laws of Ireland,
will only pay noteholders' principal and interest received from
Nomos under the loan agreement.  It will charge certain rights
and interests to BNY Corporate Trustee Services Ltd. for the
benefit of the noteholders under a trust deed.  Its claims under
the loan agreement will rank at least equally with the claims of
other unsecured and unsubordinated creditors of Nomos, save
those whose claims are preferred by any bankruptcy, insolvency,
liquidation or similar laws of general application.  Under
Russian law, the claims of retail depositors rank above those of
other senior unsecured creditors. At end-Q306, retail deposits
accounted for 21% of Nomos' total liabilities, according to the
bank's IFRS accounts.

The loan agreement contains covenants restricting mergers and
disposals by Nomos, and specifies that transactions between the
bank and its affiliates must be done on market terms.  The loan
agreement limits liens and stipulates that the aggregate amount
of funding raised through securitizations is limited to 15% of
Nomos's assets.  According to the loan agreement, Nomos must
maintain a minimum Basel I Tier one capital adequacy ratio of
10% and ensure that dividend payments by the bank and its
subsidiaries do not exceed 50% of net income for the year.  The
loan agreement also contains a cross default clause, which is
triggered by overdue indebtedness of US$20 million or more.

Nomos is one of the 20 largest Russian banks, with US$4 billion
of total assets as of Sept. 30, 2006.  The franchise is
currently focused primarily on serving corporates operating in
the defense, energy and mining sectors, although a broadening of
the corporate franchise and some growth in retail lending are
also being pursued.  The bank is the third largest bullion
trader in Russia and has strong positions in fixed-income
trading.  Nomos is ultimately controlled by seven individuals,
four of whom are owners of the financial and industrial group
ICT.


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


ALITALIA SPA: Sets February Meeting to Elect New Board
------------------------------------------------------
Alitalia S.p.A. will hold a shareholders' meeting either on
Feb. 22 or 28 to elect a new set of board of directors, Philip
Webster writes for AFX News.

In a TCR-Europe report on Jan. 19, Jean-Cyril Spinetta, chief
executive officer of Air France-KLM, resigned as a director of
Alitalia.  Following his resignation, Alitalia now has only two
members of the board: Chief Executive Giancarlo Cimoli and
government representative Giovanni Sabatini.

Alitalia's by-laws require that the board comprise three to five
directors.  Four of Alitalia's board members resigned in the
past six months, with one being replaced by Mr. Saba, AFX News
reports.  With just two members, the carrier's board was
effectively dissolved.

                         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.


FIAT SPA: Alfa Romeo Division Will Return to U.S. Market by 2009
----------------------------------------------------------------
Fiat S.p.A.'s Alfa Romeo division will market its cars in the
U.S. by the end of 2009 after an absence of more than 10 years,
Bloomberg News cites Il Sole/24 Ore.

According to Il Sole, the division has an initial sales target
of 20,000 cars by selling its Brera, Spider and 159 models.

"If we should end up selling our full product range, our
potential in the U.S. is 50,000 cars," Il Sole quoted Antonio
Baravelle, Alfa Romeo's brand chief.

The 8C Competizione, a two-seat coupe may be available to U.S.
customers by 2008, Il Sole added.

                        About Fiat S.p.A.

Headquartered in Turin, Italy, Fiat S.p.A. --
http://www.fiatgroup.com/-- is one of the largest industrial  
groups in Italy and the fourth largest European-based automobile
manufacturer, with revenues of EUR33.4 billion in the first nine
months of 2005.  Fiat's creditors include Banca Intesa, Banca
Monte dei Paschi di Siena, Banca Nazionale del Lavoro,
Capitalia, Sanpaolo IMI, and UniCredito Italiano.

                          *     *     *

As reported in the TCR-Europe on Nov. 6, 2006, Moody's Investors
Service changed the outlook on Fiat S.p.A.'s Ba3 Corporate
Family Rating to positive from stable and affirmed the long-term
senior unsecured ratings as well as the short-term non-Prime
rating.

Issuers: Fiat Finance & Trade Ltd.
         Fiat Finance Canada Ltd.
         Fiat Finance Luxembourg S.A.
         Fiat Finance North America Inc.
         Fiat France S.A.
         Fiat S.p.A.

    * Outlook, Changed To Positive From Stable

On Oct. 4, 2006, Fitch Ratings affirmed Fiat S.p.A.'s Issuer
Default and senior unsecured ratings at BB- and Short-term
rating at B.  This follows Fiat's exercise of its call option to
buy back 29% of Ferrari's capital from a consortium led by
Mediobanca.  Fitch said the Outlook is Positive.

On Aug. 8, 2006, Standard & Poor's Ratings Services raised its
long-term corporate credit rating on Fiat S.p.A. to 'BB' from
'BB-'.  At the same time, Standard & Poor's affirmed its 'B'
Short-term rating on Fiat.  S&P said the outlook is stable.


POPOLARE ITALIANA: Shareholders Reinstate Suspended CEO Gronchi
---------------------------------------------------------------
Banca Popolare Italiana's shareholders voted Jan. 20 to
reinstate suspended Chief Executive Officer Divo Gronchi to his
post, Bloomberg News reports.

According to AFX News Ltd., 1,885 out of 2,847 investors,
representing 66%, rejected a motion to remove Mr. Gronchi.

"I am very happy about how the vote went," Mr. Gronchi was
quoted by Bloomberg as saying.

Mr. Gronchi was suspended on Dec. 13, 2006, after his conviction
on the Bagaglino/Italcase bankruptcy case.  At the time of his
suspension, he was the managing director of Banca Monte dei
Paschi di Siena S.p.A.

According to Bloomberg News, Mr. Gronchi became chief executive
in January 2006, after his predecessor, Gianpiero Fiorani,
resigned and was jailed for alleged securities violations in
BPI's attempt to purchase Banca Antonveneta S.p.A. in 2005.  Mr.
Gronchi reorganized BPI and negotiated its sale to Popolare di
Verona in Oct. 2006.

          Merger with Banco Popolare di Verona e Novara

As reported in the TCR-Europe on Dec. 19, 2006, Banca Popolare
Italiana will merge with Banco Popolare di Verona e Novara in
the middle of 2007, which would be approved by shareholders in
March.

According to AFX, BPI President Dino Piero Giarda disclosed that
he expects Bank of Italy's inquiry on the planned merger will be
resolved by Jan. 26, in time for the definitive merger proposals
to be filed.

"We are looking at a series of alternatives," Mr. Giarda was
quoted by AFX as saying. Mr. Giarda added there are close
contacts with the Bank of Italy.

                  About Banca Popolare Italiana

Headquartered in Lodi, Italy, Banca Popolare Italiana --
http://www.bancapopolareitaliana.it/-- attracts deposits and  
offers commercial banking services.  The Bank offers securities
brokerage, asset management, mortgage loans, insurance, lease
financing and treasury services and manages mutual funds.
Through a subsidiary, Banca Popolare Italiana offers merchant
banking services and medium- and long-term lending.

                        *     *     *

As reported in the TCR-Europe on Oct. 19, 2006, Moody's
Investors Service placed on review for possible downgrade the A2
long-term and Prime-1 short-term senior debt and bank deposit
ratings of Banco Popolare di Verona e Novara, as well as its C+
financial strength rating, following the announcement that
BPVN's proposal to merge with Banca Popolare Italiana has been
approved by BPI's board of directors.

At the same time, Moody's placed on review for possible upgrade
BPI's Baa2 long-term and Prime-2 short-term bank deposit and
debt ratings and its D financial strength rating, as well as the
Baa3/Prime-3/D ratings of Efibanca, BPI's medium- and long-term
lending and investment banking subsidiary.

Ratings placed on review for possible downgrade:

Banco Popolare di Verona e Novara:

    * long-term debt and deposits at A2
    * short-term deposit and debt ratings at Prime-1
    * commercial paper rating at Prime-1
    * subordinated debt at A3; junior subordinated debt at A3
    * Tier 3 debt at Baa1

Banco Popolare di Verona e Novara, London:

    * short-term deposit and debt ratings at P-1

Ratings placed on review for possible upgrade:

Banca Popolare Italiana:

    * Long-term debt and deposit ratings at Baa2
    * Short-term debt and deposit ratings at Prime-2
    * Financial Strength Rating at D
    * subordinated debt rating at Baa3
    * junior subordinated debt at Ba1
    * Tier III debt at Ba2

Banca Popolare di Lodi Investor Trust III:

    * non-cumulative guaranteed Trust Preferred Securities
      at Ba2

Efibanca:

    * Long-term deposit rating at Baa3
    * Short-Term deposit rating at Prime-3
    * Financial Strength Rating at D
    * backed long-term debt at Baa2
    * backed subordinated debt at Baa3

As reported in the TCR-Europe on Oct. 18, 2006, Fitch Ratings
placed Banco Popolare di Verona e Novara's A+ Issuer Default
rating and B Individual rating on Rating Watch Negative.  Its
other ratings are affirmed at Short-term F1 and Support 3.

At the same time, the agency placed Banca Popolare Italiana's
BBB IDR, F3 Short-term and C Individual ratings on Rating Watch
Positive.  Its Support rating is affirmed at 3.

The rating action follows the announcement by BPI's board of
directors that it has accepted a merger offer by BPVN.  Fitch
will resolve the Rating Watches on completion of the merger,
expected for March 2007.


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


AK-ALMA LLP: Creditors Must File Claims by February 22
------------------------------------------------------
The Specialized Inter-Regional Economic Court of Aktube Region
declared LLP AK-Alma insolvent.  Creditors have until Feb. 22 to
submit written proofs of claim to:

         LLP AK-Alma
         Altynsarin Str. 31
         Aktobe
         Aktube Region
         Kazakshtan


AKAD-AGRO LLP: Proof of Claim Deadline Slated for February 22
-------------------------------------------------------------
LLP Akad-Agro has declared insolvency.  Creditors have until
Feb. 22 to submit written proofs of claim to:

         LLP Akad-Agro
         Seifullin Str. 2/3-15
         Astana, Kazakhstan
         Tel: 8 (3172) 32-15-20


ALLIANCE BANK: Moody's Assigns Ba2 Rating to Sr. Unsec. Debt
------------------------------------------------------------
Moody's Investors Service assigned a Ba2 long-term foreign
currency rating to the senior unsecured debt to be issued by ALB
Finance B.V., a Netherlands-based special purpose vehicle wholly
owned by Alliance Bank (Kazakhstan), (rated Ba2/NP/E+ with
positive outlook) under its US$1.5 billion multiple seniority
medium-term note program, rated Ba2/NP for senior unsecured debt
and Ba3 for subordinated debt both with positive outlooks.

The senior notes will be unconditionally and irrevocably
guaranteed by Alliance Bank.  The issue will be denominated in
euros with a tenor of five years, while the amount and the price
of the notes will be determined by market conditions.  The
outlook for the rating is positive, in line with the positive
outlook on the MTN program.   

Alliance Bank is headquartered in Almaty, Kazakhstan, with
reported unaudited total assets of KZT665.4 billion and
shareholders' equity of KZT40.6 billion under IFRS at Sept. 30,
2006.

As at end-September 2006, Alliance Bank ranked the fourth
largest in Kazakhstan in terms of total assets and the fifth
largest in terms of shareholders' equity.


ALLIANCE BANK: Fitch Affirms Issuer Default Rating at BB-
---------------------------------------------------------
Fitch Ratings has affirmed Kazakhstan-based Alliance Bank's
ratings at Issuer Default 'BB-', Short-term 'B', Individual 'D'
and Support '3'.  The Outlook on the Issuer Default rating
remains Stable.

Fitch has also assigned the upcoming EUR issue of senior
unsecured notes under Alliance's and ALB Finance B.V.'s
US$1.5 billion global medium-term note program an expected long-
term 'BB-' rating.  The final rating is contingent on the
receipt of final documents conforming to information already
received.  The program's ratings for senior unsecured notes are
Long-term 'BB-' and Short-term 'B'.

The IDR, Short-term and Support ratings reflect Fitch's view of
the moderate likelihood of state support being available to
Alliance if needed.  The Individual rating reflects the risks
associated with Alliance's very rapid growth, its occasionally
tight capitalization and refinancing and structural risks
arising from the high share of foreign funding, as well as
certain weaknesses in the operating environment. However, it
also considers the bank's successful business development, sound
asset quality to date and adequate liquidity.

"There is no further upward potential for the support floor of
Alliance's IDR, given Fitch's current view of the authorities'
propensity to provide support to banks of Alliance's size,"
notes Alexei Kechko, Associate Director of Fitch's Financial
Institutions Group in Moscow.  "Although significant further
gains in market shares could cause Fitch to reconsider its view
of the sovereign's propensity to provide support to Alliance, we
note that the bank is currently planning to moderate its growth
to rates similar to those of competitors."

Positive factors for the Individual rating could be a
significant moderation of current growth rates, improvement in
franchise and better profitability.  Downward pressure on the
IDR could come from a reduced capacity of the sovereign to
provide support, which, however, is not expected given the
Positive Outlook on Kazahkstan's IDR's.  Downward pressure on
the Individual rating could result from significant
deterioration in asset quality resulting from currently rapid
growth or a further decline in capitalization.

Alliance is controlled by Seimar Alliance Financial Corp., which
is in turn owned by three brothers.  The bank has been growing
very rapidly and was the fourth largest in Kazakhstan by assets
as of Sept. 30, 2006.  Strategy is focused on retail lending and
lending to small- to medium-sized enterprises.


ALTYN LLP: Claims Filing Period Ends February 27
------------------------------------------------
The Specialized Inter-Regional Economic Court of Mangistau
Region declared LLP Altyn insolvent on Nov. 16, 2006.

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

         The Specialized Inter-Regional Economic Court
         of Mangistau Region
         Former Kindergarten #51
         Micro District 27
         Aktau
         Mangistau Region
         Kazakhstan
         Tel: 8 (3292) 41-22-37


ARMAN LLP: Claims Registration Ends February 27
-----------------------------------------------
The Specialized Inter-Regional Economic Court of Mangistau
Region declared LLP Arman insolvent on Nov. 16, 2006.

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

         The Specialized Inter-Regional Economic Court
         of Mangistau Region
         Former Kindergarten #51
         Micro District 27
         Aktau
         Mangistau Region
         Kazakhstan
         Tel: 8 (3292) 41-22-37


JANALYK LLP: Creditors' Claims Due February 27
----------------------------------------------
The Specialized Inter-Regional Economic Court of Mangistau
Region declared LLP Janalyk insolvent on Nov. 17, 2006.

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

         The Specialized Inter-Regional Economic Court
         of Mangistau Region
         Former Kindergarten #51
         Micro District 27
         Aktau
         Mangistau Region
         Kazakhstan
         Tel: 8 (3292) 41-22-37


MARHABAT & K: Creditors Must File Claims by February 22
-------------------------------------------------------
The Specialized Inter-Regional Economic Court of Kyzylorda
Region declared LLP Marhabat & K insolvent on Dec. 8, 2006.

Creditors have until Feb. 22 to submit written proofs of claim
to:

         The Specialized Inter-Regional Economic Court
         of Kyzylorda Region
         Aiteke bi Str. 29
         Kyzylorda
         Kyzylorda Region
         Kazakhstan


METALLURGICHESKY INSTITUTE: Creditors' Claims Due February 28
-------------------------------------------------------------
JSC Karagandinsky Metallurgical Institute Metallurgichesky
Institut has declared insolvency.

Creditors have until Feb. 28 to submit written proofs of claim
to:

         JSC Metallurgichesky Institut
         Respublika Ave. 30
         Temirtau
         Karaganda Region
         Kazakhstan
         Tel/Fax: 8 (3213) 91-56-26


OTAN ORDA: Proof of Claim Deadline Slated for February 22
---------------------------------------------------------
The Specialized Inter-Regional Economic Court of Kyzylorda
Region declared LLP Otan Orda insolvent on Dec. 12, 2006.

Creditors have until Feb. 22 to submit written proofs of claim
to:

         The Specialized Inter-Regional Economic Court
         of Kyzylorda Region
         Aiteke bi Str. 29
         Kyzylorda
         Kyzylorda Region
         Kazakhstan


REMSTROY-XXI LLP: Claims Filing Period Ends February 28
-------------------------------------------------------
LLP Remstroy-XXI has declared insolvency.  Creditors have until
Feb. 28 to submit written proofs of claim to:

         LLP Remstroy-XXI
         Naberejnaya Str. 3
         Badam
         Sairamsky District
         South Kazakhstan Region
         Kazakhstan


SPETSREMSTROY LLP: Claims Registration Ends February 22
-------------------------------------------------------
LLP Spetsremstroy has declared insolvency.  Creditors have until
Feb. 22 to submit written proofs of claim to:

         LLP Spetsremstroy
         Pervy Mai Str. 40-167
         Pavlodar
         Pavlodar Region
         Kazakhstan


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


TRANS SHAT-SERVICE: Claims Filing Period Ends March 4
-----------------------------------------------------
LLC Trans Shat-Service has declared insolvency.  Creditors have
until March 4 to submit written proofs of claim to:

         LLC Trans Shat-Service
         Almatinskaya Str. 4
         Bishkek, Kyrgyzstan
         Tel: (+996 312) 53-36-39


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


ALB FINANCE: Moody's Assigns Ba2 Rating to Sr. Unsecured Debt
-------------------------------------------------------------
Moody's Investors Service assigned a Ba2 long-term foreign
currency rating to the senior unsecured debt to be issued by ALB
Finance B.V., a Netherlands-based special purpose vehicle wholly
owned by Alliance Bank (Kazakhstan), (rated Ba2/NP/E+ with
positive outlook) under its US$1.5 billion multiple seniority
medium-term note program, rated Ba2/NP for senior unsecured debt
and Ba3 for subordinated debt both with positive outlooks.

The senior notes will be unconditionally and irrevocably
guaranteed by Alliance Bank.  The issue will be denominated in
euros with a tenor of five years, while the amount and the price
of the notes will be determined by market conditions.  The
outlook for the rating is positive, in line with the positive
outlook on the MTN program.   

Alliance Bank is headquartered in Almaty, Kazakhstan, with
reported unaudited total assets of KZT665.4 billion and
shareholders' equity of KZT40.6 billion under IFRS at Sept. 30,
2006.

As at end-September 2006, Alliance Bank ranked the fourth
largest in Kazakhstan in terms of total assets and the fifth
largest in terms of shareholders' equity.


ALB FINANCE: Fitch Rates Upcoming Eurobond Issue at BB-
-------------------------------------------------------
Fitch Ratings has affirmed Kazakhstan-based Alliance Bank's
ratings at Issuer Default 'BB-', Short-term 'B', Individual 'D'
and Support '3'.  The Outlook on the Issuer Default rating
remains Stable.

Fitch has also assigned the upcoming EUR issue of senior
unsecured notes under Alliance's and ALB Finance B.V.'s
US$1.5 billion global medium-term note program an expected long-
term 'BB-' rating.  The final rating is contingent on the
receipt of final documents conforming to information already
received. The program's ratings for senior unsecured notes are
Long-term 'BB-' and Short-term 'B'.

The IDR, Short-term and Support ratings reflect Fitch's view of
the moderate likelihood of state support being available to
Alliance if needed.  The Individual rating reflects the risks
associated with Alliance's very rapid growth, its occasionally
tight capitalization and refinancing and structural risks
arising from the high share of foreign funding, as well as
certain weaknesses in the operating environment. However, it
also considers the bank's successful business development, sound
asset quality to date and adequate liquidity.

"There is no further upward potential for the support floor of
Alliance's IDR, given Fitch's current view of the authorities'
propensity to provide support to banks of Alliance's size,"
notes Alexei Kechko, Associate Director of Fitch's Financial
Institutions Group in Moscow.  "Although significant further
gains in market shares could cause Fitch to reconsider its view
of the sovereign's propensity to provide support to Alliance, we
note that the bank is currently planning to moderate its growth
to rates similar to those of competitors."

Positive factors for the Individual rating could be a
significant moderation of current growth rates, improvement in
franchise and better profitability.  Downward pressure on the
IDR could come from a reduced capacity of the sovereign to
provide support, which, however, is not expected given the
Positive Outlook on Kazahkstan's IDR's.  Downward pressure on
the Individual rating could result from significant
deterioration in asset quality resulting from currently rapid
growth or a further decline in capitalization.

Alliance is controlled by Seimar Alliance Financial Corp., which
is in turn owned by three brothers.  The bank has been growing
very rapidly and was the fourth largest in Kazakhstan by assets
as of Sept. 30, 2006.  Strategy is focused on retail lending and
lending to small- to medium-sized enterprises.


ALCATEL-LUCENT: Deploys Mobile Solution to Vodafone Netherlands
---------------------------------------------------------------
Alcatel-Lucent revealed that mobile operator Vodafone
Netherlands has deployed a network-based Alcatel-Lucent
enterprise solution to enable Vodafone Netherlands to expand the
capabilities of its Wireless Office service.

The Alcatel-Lucent solution provides Vodafone Netherlands with
an opportunity that both addresses the demands of enterprises
and transforms the way employees communicate.  With this
network-based solution, Alcatel-Lucent offers enterprises an
alternative choice to meet their communications and business
needs.  Employees benefit from mobility while having access to
their company communications resources, which can increase
productivity by eliminating the need to be in the office to
access fixed-line PBX or Centrex communications services.

In addition, Alcatel-Lucent is offering network integration
services, including design and engineering support, for the
enterprise solution being offered to Vodafone.

Vodafone's enhanced Wireless Office Service is a network-based
IP Centrex solution that enables business customers to use
mobile phones to access communications features that previously
would only have been available via fixed telephones in a
company's offices.  Features that Vodafone is initially making
available on mobile phones are extension dialing, hunt groups to
route a call to an available line, placing calls in queue,
conferencing, and call transfer.  In addition, the solution
comprises a receptionist switchboard for handling calls to a
company's prime number, geographical numbers (fixed numbers),
company numbers (088) and Call Management Software for easy call
management by end users.

"For business customers it's critical to be able to communicate
anywhere anytime.  Vodafone has acknowledged this and has
introduced its Wireless Office service, which provides the best
of both worlds: the functionality of fixed communications with
the flexibility of mobile communications," said Jeroen Hoencamp,
Director Enterprise Business Unit at Vodafone Netherlands.  
"Vodafone's mobile plus strategic objective is to innovate and
deliver on customers total communications needs. Alcatel-Lucent
has helped us establish the new service, which is a next step in
realizing our strategic objective for the enterprise market."

"There is a new business generation that demands services that
match their professional and personal lifestyles, and it is our
mission to help service providers meet these customers' needs,"
said Luc Defieuw, head of Alcatel-Lucent's activities in the
Benelux, Nordic and Baltic countries.  "Vodafone now is in a
unique position to offer its customers a full mobile solution
for company communications."

Alcatel-Lucent's mobile enterprise voice solution for Vodafone
includes the Alcatel-Lucent Feature Server, Alcatel-Lucent
Network Controller, Alcatel-Lucent Media Gateway, Alcatel-Lucent
Firewall Brick and Alcatel-Lucent VitalSuite Performance
Management Software.

                   About Vodafone Libertel N.V

Vodafone is one of the largest mobile telecommunications
companies in the Netherlands and is part of the worldwide
Vodafone Group, the world's leading telecommunications company
for mobile telephony with over 191 million proportionate
customers on five continents.  The Vodafone Group has holdings
in the share capital of mobile operators in 26 countries and
collaborative arrangements with partner networks in 34
countries.

                      About Alcatel-Lucent

Headquartered in Paris, France, Alcatel-Lucent --
http://www.alcatel-lucent.com/-- provides solutions that enable  
service providers, enterprises and governments worldwide, to
deliver voice, data and video communication services to end
users.  Through its operations in fixed, mobile and converged
broadband networking, Internet protocol (IP) technologies,
applications, and services, Alcatel-Lucent offers the end-to-end
solutions that enable communications services for people at
home, at work and on the move.  The company has operations in
Indonesia.

On Nov. 30, 2006, Alcatel and Lucent Technologies Inc. completed
their merger transaction, and began operations as a
communication solutions provider under the name Alcatel-Lucent
on Dec. 1, 2006.

                          *     *     *

As reported on Dec. 14, 2006, following the completion of
Alcatel S.A.'s merger with Lucent Technologies Inc., at which
time Alcatel was renamed Alcatel-Lucent, Fitch Ratings
downgraded and removed Alcatel from Rating Watch Negative:

   -- Issuer Default Rating to BB from BBB-; and
   -- Senior unsecured debt to BB from BBB-.

Alcatel's F3 short-term rating has also been withdrawn.

The Rating Outlook for Alcatel-Lucent is Stable.

Fitch has also withdrawn the following Lucent ratings due to the
lack of clarity regarding Alcatel's support and, therefore,
expected recovery of these securities in a distressed scenario:

   -- Issuer Default Rating BB-;
   -- Senior unsecured debt BB-;
   -- Convertible subordinated debt B; and
   -- Convertible trust preferred securities B.

Moody's Investors Service downgraded to Ba2 from Ba1 the
Corporate Family Rating of Alcatel S.A., which has completed its
merger with Lucent Technologies Inc. and was renamed to Alcatel-
Lucent.  The ratings for senior debt of Alcatel were equally
lowered to Ba2 from Ba1 and its Not-Prime rating for short-term
debt was affirmed.

At the same time, Moody's raised the ratings for senior debt of
Lucent to Ba3 from B1 reflecting both the standalone credit
profile of Lucent and, given the strategic importance of Lucent
to round-off the group's product range and regional presence,
expected financial support from Alcatel-Lucent, although this is
not formally committed at this time.  The ratings for the other
legacy debt of Lucent were raised to B2 from B3 for subordinated
debt and trust preferreds, and to P(B3) from P(Caa1) for
preferred stock issuable under its shelf registration.

Moody's has withdrawn Lucent's Corporate Family Rating of B1,
assuming that management of the two entities will be fully
integrated over the next several months and all of Lucent's non-
U.S. activities merged with their Alcatel counterparts.  This
should result in a rapid convergence of the credit risks of the
affected companies.  The outlook for all these ratings is
stable.  This rating action concludes the rating reviews
initiated on April 3, 2006.

Standard & Poor's, on Dec. 6, 2006, said that following news
that the merger between French telecoms equipment supplier
Alcatel and U.S. peer Lucent Technologies Inc. has received
final approval from the U.S. Committee on Foreign Investments,
it has lowered its long-term corporate credit and senior
unsecured debt ratings on Alcatel -- now named Alcatel-Lucent --
to 'BB-' from 'BB', in line with its preliminary indication in
its Nov. 7, 2006, research update.

The 'B' short-term corporate credit rating on Alcatel-Lucent was
affirmed.  S&P said the outlook is positive.


BG FINANCE: Moody's Assigns Ba2 Rating on Loan Notes
----------------------------------------------------
Moody's Investors Service assigned a rating of Ba2 to the Loan
Participation Notes to be issued on a limited recourse basis by
BG Finance B.V., a Dutch-based special purpose vehicle for the
sole purpose of providing a senior unsecured loan to Bank of
Georgia.

The issuer will be accountable to the noteholders only for the
amounts actually received from the bank in accordance with the
loan agreement.  The amount and the tenor of the Notes have yet
to be determined.  The outlook for the rating is stable.

Moody's explains that the Ba2 rating assigned to the notes is
based on the fundamental credit strength of BoG, one of the two
largest banks in the Georgian banking system, as captured by its
Baa3 (stable) global local currency rating, and is higher than
its B3 rating for foreign currency deposits.

Further, the rating also reflects the probability of a sovereign
default in Georgia and the likelihood that the Georgian
government could impose a debt moratorium in the event of
default on its own foreign currency obligations.  The rating
also addresses the risk that such a moratorium might include
foreign currency loans and that these notes in particular, being
dependent upon loan payments by BoG, might be affected.  Given
that the banking system is an arm of the government's monetary
and foreign exchange policy, Moody's believes that credits
dependent on bank performance may have a lower probability of
having such payments exempted from a moratorium than would, for
example, those of a major exporter.

The Ba2 rating thus indicates the joint probabilities of default
and the standalone rating of the security.  A discussion of the
rationale behind these credit evaluations can be found in
Moody's Rating Methodology entitled "Revised Country Ceiling
Policy."

According to the terms and conditions of the loan agreement, BoG
must maintain on a consolidated basis a Tier 1 capital adequacy
ratio of at least 10%, a ratio of single exposure to total
capital of not more than 20%, and must comply with the National
Bank of Georgia's prudential ratios and other requirements, and
with a number of other covenants such as negative pledge,
limitations on mergers and disposals, and transactions with
affiliates.  The rating agency notes that, while the likelihood
of any of the above-mentioned covenants being triggered is
relatively low, any such occurrence could potentially have
adverse liquidity implications for the bank and, if accompanied
at that time by deterioration in the bank's credit standing,
might exert additional downward pressure on its ratings.

Moody's cautions that the transaction also has an embedded
rating trigger whereby the notes will become payable if, during
the 90 days after the occurrence of change of control of BoG,
merger event or assets sale, the bank's ratings are downgraded
by one or more notches by two or more rating agencies.  Moody's
notes that the occurrence of change of control of BoG or its
merger or sale of assets will be viewed as a risk factor -- if
the noteholders' put option were to be exercised, this could
result in the need to repay a sizeable obligation, thus putting
a burden on the bank's financial resources and potentially
destabilizing the bank's ratings further.

Headquartered in Tbilisi, Georgia, Bank of Georgia reported
unaudited total consolidated assets of US$494 million -- in
accordance with IFRS -- as at Sept. 30, 2006.  BG Finance B.V.
is the bank's special purpose vehicle domiciled in the
Netherlands.


BG FINANCE: Fitch Puts B/RR4 Rating to Upcoming Debt Issue
----------------------------------------------------------
Fitch Ratings assigned BG Finance B.V.'s upcoming senior notes
issue expected ratings of Long-term 'B' and Recovery 'RR4'.  The
issue is to be used solely for financing a loan to JSC Bank of
Georgia, which has been upgraded to foreign and local currency
Issuer Default ratings of 'B' from 'B-'.

BG Finance will only pay noteholders amounts received from BoG
under the loan agreement.  BG Finance will grant security over
the loan to a trustee, the Bank of New York, for the benefit of
noteholders.  The final ratings of the issue are contingent on
receipt of final documentation conforming materially to
information already received.

Noteholders' claims will rank at least equally with the claims
of other senior unsecured creditors of BoG, save those preferred
by relevant laws.  Under Georgian law, term and demand deposits
of retail and corporate customers and banks, as well as all
claims of the National Bank of Georgia, rank ahead of those of
other senior unsecured creditors.  At end-9M06, such balances
comprised around 36% of BoG's liabilities, according to the
bank's reviewed IFRS accounts.  This degree of subordination is
not sufficient for Fitch to assign lower Recovery and Long-term
ratings than 'RR4' and 'B' to the current transaction.  However,
the agency notes that should the degree of subordination of
noteholders increase, the ratings of the notes could come under
pressure.  That said, at present such changes are not expected
by Fitch.

The loan agreement contains a negative pledge clause, which
allows for a certain degree of securitization by BoG and its
subsidiaries.  In the event of any securitization, Fitch
comments that the nature and extent of any over-
collateralization would be assessed by the agency for any
potential impact on unsecured creditors.  The loan agreement
also limits mergers and disposals by BoG and its subsidiaries
and obliges them to carry out any transactions with affiliates
on market terms.

BoG has also made covenant to limit any equity distributions to
50% of consolidated IFRS net profit, investments in non-banking
subsidiaries to 20% of consolidated IFRS assets, guarantees
issued in favor of any subsidiaries to 1% of consolidated IFRS
assets and exposure to any single counterparty to 20% of IFRS
capital.  In addition, the bank has made a covenant to maintain
Basel I Tier 1 and Total capital-to-risk weighted assets ratios
at a minimum of 10% and 12%, respectively.

The noteholders are also provided with a put option, should a
rating downgrade or withdrawal be triggered by certain factors.

BoG is a systemically important bank with an around 28% share in
banking sector assets at end-November 2006.  Primarily foreign
portfolio investors broadly hold the bank.


GLOBAL POWER: Court Sets April 18 as General Claims Bar Date
------------------------------------------------------------
The U.S. Bankruptcy Court for the District of Delaware set
April 18, 2007, as the deadline for all creditors and
governmental units owed money by Global Power Equipment Group
Inc. and its debtor-affiliates on the account of claims arising
prior to Sept. 28, 2006.

Copies of written proofs of claim must be sent or hand delivered
on or before the April 18 Bar Date to:

     Global Power Equipment Group, Inc.
     c/o Alix Partners LLC
     2100 McKinney Avenue, Suite 800
     Dallas, Texas 75201

The Court also set May 18, 2007, as the deadline for all
creditors, including the Debtors, owed money by co-Debtors,
sureties or guarantors, on accounts of claims arising prior to
Sept. 28, 2006.

Headquartered in Tulsa, Oklahoma, Global Power Equipment Group
Inc. aka GEEG Inc. -- http://www.globalpower.com/-- provides  
power generation equipment and maintenance services for its
customers in the domestic and international energy, power and
infrastructure and service industries.  The Company designs,
engineers and manufactures a range of heat recovery and
auxiliary equipment primarily used to enhance the efficiency and
facilitate the operation of gas turbine power plants as well as
for other industrial and power-related applications.  The
Company has facilities in Plymouth, Minnesota; Tulsa, Oklahoma;
Auburn, Massachusetts; Atlanta, Georgia; Monterrey, Mexico;
Shanghai, China; Nanjing, China; and Heerleen, The Netherlands.

The Company and 10 of its affiliates filed for chapter 11
protection on Sept. 28, 2006 (Bankr. D. Del. Case No 06-11045).
Attorneys at White & Case LLP and The Bayard Firm, P.A.,
represent the Debtors.  The Official Committee of Unsecured
Creditors appointed in the Debtors' cases has selected Landis
Rath & Cobb LLP as its counsel.  As of Sept. 30, 2005, the
Debtors reported total assets of US$381,131,000 and total debts
of US$123,221,000.  The Debtors' exclusive period to filed a
chapter 11 plan expires on Jan. 26, 2007.


GLOBAL POWER: U.S. Trustee Amends Creditors Committee Membership
----------------------------------------------------------------
Kelly Beaudin Stapleton, the U.S. Trustee for Region 3, amends
the membership of the Official Committee of Unsecured Creditors
in Global Power Equipment Group Inc. and its debtor-affiliates'
chapter 11 case, to reflect the resignation of D.B. Zwirn
Special Opportunity Fund, L.P.

The Creditors Committee is now composed of:

          1. Steelhead Investments Ltd.
             Attn: Jeffrey D. Estes
             c/o HBK Investments L.P.
             300 Crescent Court
             Dallas, TX 75201
             Phone: 214-758-6107
             Fax: 214-758-1207;

          2. Kings Road Investments Ltd.
             Attn: Erik M.W. Casperson
             598 Madison Avenue, 14th Floor,
             New York, NY 10022
             Phone: 212-359-7331
             Fax: 212-359-7303;

          3. Aarding Thermal Acoustics B.V.,
             Attn: Norbert Pieterse/Hugo V. Vredendaal
             Industrieweg 5g
             Nunspeet, The Netherlands, 8071 C.S.
             Phone: 31-341-252635
             Fax: 31-341-262112;

          4. Fan Group Inc.
             Attn: John E. Tinsley
             1701 Terminal Road
             Suite B
             Niles, MI 49120
             Phone: 269-687-1216
             Fax: 269-683-2789;

          5. Turner Industries, Inc.
             Attn: Don Wendt, 1700 South Westport Drive
             Port Allen, LA 70767,
             Phone: 225-376-4157
             Fax: 225-376-4176; and

          6. Cogburn Bros. Inc.
             Attn: Scott Sullivan, 3300 Faye Rd.
             Jacksonville, FL 32226
             Phone: 904-358-7344
             Fax: 904-358-0446.

Official creditors' committees have the right to employ legal
and accounting professionals and financial advisors, at the
Debtors' expense.  They may investigate the Debtors' business
and financial affairs.  Importantly, official committees serve
as fiduciaries to the general population of creditors they
represent.  Those committees will also attempt to negotiate the
terms of a consensual chapter 11 plan -- almost always subject
to the terms of strict confidentiality agreements with the
Debtors and other core parties-in-interest.  If negotiations
break down, the Committee may ask the Bankruptcy Court to
replace management with an independent trustee.  If the
Committee concludes reorganization of the Debtors is impossible,
the Committee will urge the Bankruptcy Court to convert the
chapter 11 cases to a liquidation proceeding.

Headquartered in Tulsa, Oklahoma, Global Power Equipment Group
Inc. aka GEEG Inc. -- http://www.globalpower.com/-- provides    
power generation equipment and maintenance services for its
customers in the domestic and international energy, power and
infrastructure and service industries.  The Company designs,
engineers and manufactures a range of heat recovery and
auxiliary equipment primarily used to enhance the efficiency and
facilitate the operation of gas turbine power plants as well as
for other industrial and power-related applications.  The
Company has facilities in Plymouth, Minnesota; Tulsa, Oklahoma;
Auburn, Massachusetts; Atlanta, Georgia; Monterrey, Mexico;
Shanghai, China; Nanjing, China; and Heerleen, The Netherlands.

The Company and 10 of its affiliates filed for chapter 11
protection on Sept. 28, 2006 (Bankr. D. Del. Case No 06-11045).
Attorneys at White & Case LLP and The Bayard Firm, P.A.,
represent the Debtors.  The Official Committee of Unsecured
Creditors appointed in the Debtors' cases has selected Landis
Rath & Cobb LLP as its counsel.  As of Sept. 30, 2005, the
Debtors reported total assets of US$381,131,000 and total debts
of US$123,221,000.  The Debtors' exclusive period to filed a
chapter 11 plan expires on Jan. 26, 2007.


GLOBAL POWER: Court OKs Saul Ewing as Equity Panel's Co-Counsel
---------------------------------------------------------------
The U.S. Bankruptcy Court for the District of Delaware gave
the Official Committee of Equity Security Holders of Global
Power Equipment Group and its debtor-affiliates to retain Saul
Ewing LLP, as its co-counsel, nunc pro tunc to Dec. 1, 2006.

The firm will work with Brown, Rudnick, Berlack, Israels, LLP,
who is also the Equity Committee's co-counsel, to represent its
interest relating to the Debtors' chapter 11 cases.

The firm is expected to:

     a) advise the Equity Committee with respect to its rights,
        duties and powers in these chapter 11 cases;

     b) assist and advise the Equity Committee in its
        consultations with the Debtors relative to the
        administration of these chapter 11 cases;

     c) assist the Equity Committee in analyzing the claims of
        the Debtors' creditors and the Debtors' capital
        structure and in negotiating with holders of claims and
        equity interest;

     d) assist the Equity Committee in its investigation of the
        acts, conduct, assets, liabilities and financial
        condition of the Debtors and of the operation of the
        Debtors' businesses;

     e) assist the Equity Committee in its investigation of the
        liens and claims of the Debtors' prepetition lenders and
        the prosecution of any claims or causes of action
        revealed by the investigation;

     f) assist the Equity Committee in its analysis of, and
        negotiations with, the Debtors or any third party
        concerning matters related to, among other things, the
        assumption or rejection of certain leases of
        nonresidential real property and executory contracts,
        asset dispositions, financing of other transactions and
        the terms of one or more plans of reorganization for the
        Debtors and accompanying disclosure statements and
        related plan documents;

     g) assist and advise the Equity Committee as to its
        communications to equity holders regarding significant
        matters in these chapter 11 cases;

     h) represent the Equity Committee at hearings and other
        proceedings;

     i) review and analyze applications, orders, statements of
        operations and schedules filed with the Court and advise
        the Equity Committee as to their propriety;

     j) assist the Equity Committee in preparing pleadings and
        applications as may be necessary in furtherance of the
        Equity Committee's interests and objectives;

     k) prepare, on behalf of the Equity Committee, any
        pleadings, including without limitations, motions,
        memoranda, complaints, adversary complaints, objections
        or comments in connection with any of the foregoing; and

     l) perform other legal services as may be required or are
        otherwise deemed to be in the interests of the Equity
        Committee in accordance with the Equity Committee's
        powers and duties as set forth in the Bankruptcy Code,
        Bankruptcy Rules or other applicable law.

Mark Minuti, Esq., a partner of the firm, will bill US$475 per
hour for this engagement.  He also discloses that the firm's
designated professionals bill:

     Professional              Designation       Hourly Rate
     ------------              -----------       -----------
     Jeremy W. Ryan, Esq.       Associate          US$330
     Patrick J. Railey, Esq.    Associate          US$260
     G. David Dean, Esq.        Associate          US$235

     Jason E. Kittinger         Paralegal          US$150

The firm's other professionals bill:

     Designation           Hourly Rate
     -----------           -----------
     Partners             US$335-US$650
     Special Counsel      US$250-US$440
     Paraprofessionals     US$95-US$215

Mr. Minuti assures the Court that the firm does not hold any
interest adverse to the Debtors, its estate or creditors.

Mr. Minuti can be reached at:
   
     Mark Minuti, Esq.
     222 Delaware Avenue
     Suite 1200
     P.O. Box 1266
     Wilmington, DE 19899
     Tel: (302) 421-6800
     Fax: (302) 421-6813
     http://www.saul.com/

Headquartered in Tulsa, Oklahoma, Global Power Equipment Group
Inc. aka GEEG Inc. -- http://www.globalpower.com/-- provides  
power generation equipment and maintenance services for its
customers in the domestic and international energy, power and
infrastructure and service industries.  The Company designs,
engineers and manufactures a range of heat recovery and
auxiliary equipment primarily used to enhance the efficiency and
facilitate the operation of gas turbine power plants as well as
for other industrial and power-related applications.  The
Company has facilities in Plymouth, Minnesota; Tulsa, Oklahoma;
Auburn, Massachusetts; Atlanta, Georgia; Monterrey, Mexico;
Shanghai, China; Nanjing, China; and Heerleen, The Netherlands.

The Company and 10 of its affiliates filed for chapter 11
protection on Sept. 28, 2006 (Bankr. D. Del. Case No 06-11045).
Attorneys at White & Case LLP and The Bayard Firm, P.A.,
represent the Debtors.  The Official Committee of Unsecured
Creditors appointed in the Debtors' cases has selected Landis
Rath & Cobb LLP as its counsel.  As of Sept. 30, 2005, the
Debtors reported total assets of US$381,131,000 and total debts
of US$123,221,000.  The Debtors' exclusive period to filed a
chapter 11 plan expires on Jan. 26, 2007.


KONINKLIJKE AHOLD: Rimi Baltic Hikes Sales by 20% to EUR970 Mln
---------------------------------------------------------------
Rimi Baltic, a unit of Koninklijke Ahold N.V., increased its net
sales for the operating year 2006.

Ahold opened 29 new stores in 2006 in the Baltic -- six Rimi
hypermarkets, one Rimi supermarket and 22
Supernetto/Saastumarket hard discount stores.

These sales allowed the company to maintain its leading
positions in Estonia (market share: 24%) and Latvia (market
share: 22%) as well as to boost the market share of Rimi's
operations in Lithuania, which reached 7%.

The market share of Rimi Baltic in the Baltic region grew with
one percentage point to 16%.

Total investments in all three Baltic countries in 2006 were
EUR62 millions.

"At the end of the year ICA acquired 50% Kesko Food's shares in
Rimi Baltic is now 100% owned by Swedish ICA AB -- being a
subsidiary of one company enables us to operate even more
effectively" says Rimi Baltic CEO Antonio Soares.

Rimi Baltic group sales in 2006 per country, excluding VAT:

                     EUR (Million)    Increase, %
                     -------------    -----------
   Rimi Eesti Food      345.6             7.2%
   Rimi Latvia          429.3            23.9%
   Rimi Lietuva         194.6            40.4%
   Rimi Baltic          969.5            20.0%

Rimi Baltic operates 204 stores in the Baltic region -- 90 in
Latvia, 63 in Estonia and 51 in Lithuania.  Some 58 Rimi
supermarkets, 30 Rimi hypermarkets and 116 hard discount stores
(Supernetto in Latvia and Lithuania, Saastumarket in Estonia).
Rimi Baltic employs more than 10 000 people.

                         About Ahold

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

                        *     *     *

As reported in the TCR-Europe on Dec. 22, 2006, Standard &
Poor's Ratings Services revised its outlook on the Dutch food
retailer and food service distributor Koninklijke Ahold N.V. to
positive from stable.  At the same time, the 'BB+/B' long- and
short-term corporate credit ratings were affirmed.
     
Moody's Investors Service and Standard and Poor's has assigned
low-B ratings to the company's 5.625% senior notes due 2007.
Also, the company's 5.875% senior unsubordinated notes due 2008
and 6.375% senior unsubordinated notes due 2007 carry Moody's,
S&P's and Fitch's low-B ratings.


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


AGRO-INVEST LLC: Court Names A. Gubin as Insolvency Manager
-----------------------------------------------------------
The Arbitration Court of Krasnodar Region appointed Mr. A. Gubin
as Insolvency Manager for LLC Agro-Invest (TIN/KPP
2332014635/233201001, OGRN 1022303884767).  He can be reached
at:

         A. Gubin
         Krasnaya Str. 1
         Novoukrainskoye
         Gulkevichskiy Region
         352165 Krasnodar Region
         Russia

The Court commenced bankruptcy proceedings against the company
after finding it insolvent.  The hearing in the Court will
convene on Nov. 8.  The case is docketed under Case No.
A-32-9792/2006-2/303-B.

The Arbitration Court of Krasnodar Region is located at:

         Krasnaya Str. 6
         Krasnodar Region
         Russia

The Debtor can be reached at:

         LLC Agro-Invest
         Region of Podstantsii
         Chernomurovskiy
         Kavkazskiy region
         352142 Krasnodar region
         Russia


BASHKATOVO CJSC: Creditors Must File Claims by March 2
------------------------------------------------------
Creditors of CJSC Bashkatovo have until March 2 to submit
written proofs of claim to:

         P. Klimenko, Insolvency Manager
         Office 607
         Moskovskoye Shosse 137
         Orel Region
         Russia

The Arbitration Court of Orel Region commenced bankruptcy
proceedings against the company after finding it insolvent.  The
case is docketed under Case No. A48-2033/06-20B.

The Arbitration Court of Orel Region is located at:

         Gorkogo Str. 42
         302000 Orel Region
         Russia

The Debtor can be reached at:

         CJSC Bashkatovo
         Bashkatovo
         Mtsenskiy Region
         Orel Region
         Russia


BUILDING MATERIALS: Creditors Must File Claims by March 2
---------------------------------------------------------
Creditors of LLC Factory of Building Materials And Goods (TIN
2354007840) have until March 2 to submit written proofs of claim
to:

         A. Yamaletdinova, Insolvency Manager
         Post User Box 34
         Tsybanobalka
         Anapa Region
         Russia

The Arbitration Court of Krasnodar Region commenced bankruptcy
proceedings against the company after finding it insolvent.  The
hearing in the Court will convene at 2:15 p.m. on Nov. 28.  The
case is docketed under Case No. A-32-1942/2006-2/13-B.

The Arbitration Court of Krasnodar Region is located at:

         Krasnaya Str. 6
         Krasnodar Region
         Russia

The Debtor can be reached at:

         LLC Factory of Building Materials and Goods
         Kirpichnaya Str. 1
         Bratskiy
         Tikhoretskiy Region
         Krasnodar Region
         Russia


CAMOMILE-93 OJSC: Creditors Must File Claims by January 30
----------------------------------------------------------
Creditors of OJSC Camomile-93 (TIN 6452004467) have until
Jan. 30 to submit written proofs of claim to:

         M. Sotnik, Insolvency Manager
         Tsvetochnaya Str. 1B
         410009 Saratov Region
         Russia

The Arbitration Court of Saratov Region commenced bankruptcy
proceedings against the company after finding it insolvent.  
The case is docketed under Case No. A-57-500B/06-23.

The Arbitration Court of Saratov Region is located at:

         Babushkin Vvoz 1
         Saratov Region
         Russia

The Debtor can be reached at:

         OJSC Camomile-93
         Chelyuskintsev Str. 99
         Saratov Region
         Russia


EAR CJSC: Creditors Must File Claims by January 30
--------------------------------------------------
Creditors of CJSC Ear have until Jan. 30 to submit written
proofs of claim to:

         S. Ryzhkov, Insolvency Manager
         Office 719
         Knipovicha Str. 23
         183039 Murmansk Region
         Russia

The Arbitration Court of Murmansk Region commenced bankruptcy
proceedings against the company after finding it insolvent.  The
case is docketed under Case No. A42-743 3/2006.

The Arbitration Court of Murmansk Region is located at:

         Knipovicha Str. 20
         Murmansk Region
         Russia

The Debtor can be reached at:

         CJSC Ear
         Leninskogo Komsomola Str. 18
         Zaozersk
         Murmansk Region
         Russia


EQUIPMENT-1 CJSC: Voronezh Bankruptcy Hearing Slated for Feb. 7
---------------------------------------------------------------
The Arbitration Court of Voronezh Region will convene at 11:00
a.m. on Feb. 7 to hear the bankruptcy supervision procedure on
CJSC Equipment-1.  The case is docketed under Case No.
A14-1549b/2006-231/166.

The Temporary Insolvency Manager is:

         V. Udovenko
         Apartment 107
         Patriotov Pr. 22
         394065 Voronezh Region
         Russia

The Arbitration Court of Voronezh Region is located at:

         Room 606
         Srednemoskovskaya Str. 77
         Voronezh Region
         Russia

The Debtor can be reached at:

         CJSC Equipment-1
         Tikhaya Sosna
         Ostrogozhskiy Region
         307837 Voronezh Region
         Russia


EUROPE CJSC: Creditors Must File Claims by January 30
-----------------------------------------------------
Creditors of CJSC Europe have until Jan. 30 to submit written
proofs of claim to:

         I. Yas'ko, Insolvency Manager
         Post User Box 5973
         350007 Krasnodar Region
         Russia

The Arbitration Court of Krasnodar Region commenced bankruptcy
proceedings against the company after finding it insolvent.  The
hearing in the Court will convene on March 20.  The case is
docketed under Case No. A-32-19389/2006-44/1483-B.

The Arbitration Court of Krasnodar Region is located at:

         Krasnaya Str. 6
         Krasnodar Region
         Russia

The Debtor can be reached at:

         CJSC Europe
         Krasnaya Str. 33
         350000 Krasnodar Region
         Russia


IVANOVSKIY KHLADOKOMBINAT 4: Asset Sale Slated for January 31
-------------------------------------------------------------
CJSC Consulting Company Nikons, the bidding organizer for OJSC
Ivanovskiy Khladokombinat 4, will open a public auction for the
company's properties at 2:00 p.m. on Jan. 31 at:

         OJSC Ivanovskiy Khladokombinat 4
         Parizhskoy Kommuny Str. 62
         Ivanovo Region
         Russia

The company has set a RUR43,090,000 starting price for the
auctioned assets.

Interested participants have until noon on Jan. 30 to deposit an
amount of RUR8 million to:

         OJSC Ivanovskiy Khladokombinat 4
         Settlement Account 40702810117000160110 I Ivanovskiy
         OSB 8639
         Ivanovo
         Correspondent Account 30101810000000000608
         BIK 042406608

Bidding documents must be submitted to:

         CJSC Consulting Company Nikons, the bidding organizer
         Office 38
         8th Marta Str. 32
         Ivanovo Region
         Russia
         Tel: (4932) 414-374

The Debtor can be reached at:

         OJSC Ivanovskiy Khladokombinat 4
         Parizhskoy Kommuny Str. 62
         Ivanovo Region
         Russia
         Tel: (4932) 385-912


KRYLOVSK-AGRO-PROM-KHIMIYA OJSC: Claims Deadline Set March 2
------------------------------------------------------------
Creditors of OJSC Krylovsk-Agro-Prom-Khimiya (TIN 2338002234)
have until March 2 to submit written proofs of claim to:

         A. Artemenko, Insolvency Manager
         Office 307
         Kolkhoznaya Str. 3
         350042 Krasnodar Region
         Russia

The Arbitration Court of Krasnodar Region commenced bankruptcy
proceedings against the company after finding it insolvent.  The
case is docketed under Case No. A-32-43236/2005-27/523-B.

The Arbitration Court of Krasnodar Region is located at:

         Krasnaya Str. 6
         Krasnodar Region
         Russia

The Debtor can be reached at:

         OJSC Krylovsk-Agro-Prom-Khimiya
         Tishenko Str. 4
         Oktyabrskaya St.
         Krylovskiy Region
         353380 Krasnodar Region
         Russia


MILK LLC: Primorye Bankruptcy Hearing Slated for April 26
---------------------------------------------------------
The Arbitration Court of Primorye Region will convene at 1:00
p.m. on April 26 to hear the bankruptcy supervision procedure on
LLC Milk.  The case is docketed under Case No. A51-1359/2006
26-333 B.

The Temporary Insolvency Manager is:

         G. Grachev
         Apartment 31
         Makovskogo Str. 179
         Vladivostok
         Primorye Region
         Russia

The Debtor can be reached at:

         LLC Milk
         9th January Str. 30
         Lesozavodsk
         Primorye Region
         Russia


NEW CERAMICS: Moscow Bankruptcy Hearing Slated for Feb. 27
----------------------------------------------------------
The Arbitration Court of Moscow Region will convene on Feb. 27
to hear the bankruptcy supervision procedure on LLC New
Ceramics.  The case is docketed under Case No. A41-K2-23111/06.

The Temporary Insolvency Manager is:

         S. Suvorov
         Post User Box 183
         127018 Moscow Region
         Russia

The Arbitration Court of Moscow is located at:

         Novaya Basmannaya Str. 10
         Moscow Region
         Russia

The Debtor can be reached at:

         LLC New Ceramics
         Oktyabrskiy Pr. 327
         Lyubertsy
         140014 Moscow Region
         Russia


NOMOS BANK: Fitch Affirms IDR at B+ with Stable Outlook
-------------------------------------------------------
Fitch Ratings has affirmed Russia's Nomos Bank's ratings at
Issuer Default 'B+', Short-term 'B', Individual 'D', Support '5'
and National Long-term 'A-'.  The Outlooks for the Issuer
Default and National Long-term ratings are Stable.

Also Fitch has assigned expected ratings of Recovery 'RR4' and
Long-term 'B+' to Nomos' upcoming eurobond.

The ratings reflect the credit risk associated with continuing
rapid asset growth, high concentration risk on both sides of the
balance sheet and market risk stemming from the securities
portfolio, as well as declining, albeit still sound,
performance.  However, they also take into account the bank's
good asset quality, adequate capitalization and relatively
diversified funding base.

Capital levels are presently comfortable but expected to
moderate in 2007 as growth continues.  Profitability ratios have
fallen during recent years, albeit from high levels, due to
declining margins in the corporate sector and higher costs, but
they remain healthy.  Higher margin corporate products and a
gradual expansion into retail banking should help to support
performance, although the planned business and network expansion
may also put further pressure on efficiency ratios.

Upside to Nomos' ratings may arise from the successful expansion
and diversification of its franchise, reflected in continued
sound asset quality and performance as it expands into new
customer segments.  Downside pressure could result from a
significant deterioration in capitalization or asset quality
resulting from the bank's rapid growth.

Nomos is one of the 20 largest Russian banks, with US$4 billion
of total assets at Sept. 30, 2006.  The franchise is currently
focused primarily on serving corporations operating in the
defense, energy and mining sectors, although a broadening of the
corporate customer base and moderate retail lending expansion
are also being pursued.  The bank is the third largest bullion
trader in Russia and has strong positions in fixed-income
trading.  Nomos is ultimately controlled by seven individuals,
of whom four are owners of the financial and industrial group
ICT.


NOMOS BANK: Fitch Rates Nomos Capital's Upcoming LPN Issue at B+
----------------------------------------------------------------
Fitch Ratings assigned Nomos Capital P.L.C.'s upcoming issue of
limited recourse loan participation notes expected ratings of
Recovery 'RR4' and Long-term 'B+'.  

The notes are to be used solely for financing a loan to Russia's
Nomos Bank, which is rated Issuer Default 'B+' with Stable
Outlook, Short-term 'B', Individual 'D', and Support '5'.  The
final ratings are contingent upon receipt of final documentation
conforming materially to information already received.

Fitch has also affirmed Nomos's ratings.

Nomos Capital P.L.C, incorporated under the laws of Ireland,
will only pay noteholders' principal and interest received from
Nomos under the loan agreement.  It will charge certain rights
and interests to BNY Corporate Trustee Services Ltd. for the
benefit of the noteholders under a trust deed.  Its claims under
the loan agreement will rank at least equally with the claims of
other unsecured and unsubordinated creditors of Nomos, save
those whose claims are preferred by any bankruptcy, insolvency,
liquidation or similar laws of general application.  Under
Russian law, the claims of retail depositors rank above those of
other senior unsecured creditors. At end-Q306, retail deposits
accounted for 21% of Nomos' total liabilities, according to the
bank's IFRS accounts.

The loan agreement contains covenants restricting mergers and
disposals by Nomos, and specifies that transactions between the
bank and its affiliates must be done on market terms.  The loan
agreement limits liens and stipulates that the aggregate amount
of funding raised through securitizations is limited to 15% of
Nomos's assets.  According to the loan agreement, Nomos must
maintain a minimum Basel I Tier one capital adequacy ratio of
10% and ensure that dividend payments by the bank and its
subsidiaries do not exceed 50% of net income for the year.  The
loan agreement also contains a cross default clause, which is
triggered by overdue indebtedness of US$20 million or more.

Nomos is one of the 20 largest Russian banks, with US$4 billion
of total assets as of Sept. 30, 2006.  The franchise is
currently focused primarily on serving corporates operating in
the defense, energy and mining sectors, although a broadening of
the corporate franchise and some growth in retail lending are
also being pursued.  The bank is the third largest bullion
trader in Russia and has strong positions in fixed-income
trading.  Nomos is ultimately controlled by seven individuals,
of whom four are owners of the financial and industrial group
ICT.


SEL-KHOZ-TEKHNIKA OJSC: Creditors Must File Claims by March 2
-------------------------------------------------------------
Creditors of OJSC Sel-Khoz-Tekhnika (TIN 2326000514) have until
March 2 to submit written proofs of claim to:

         B. Popovskiy, Insolvency Manager
         Office 307
         Kolkhoznaya Str. 3
         350042 Krasnodar Region
         Russia

The Arbitration Court of Krasnodar Region commenced bankruptcy
proceedings against the company after finding it insolvent.  The
case is docketed under Case No. A-32-6921/20006-38/135-B.

The Arbitration Court of Krasnodar Region is located at:

         Krasnaya Str. 6
         Krasnodar Region
         Russia

The Debtor can be reached at:

         OJSC Sel-Khoz-Tekhnika
         Stepnaya Str., 11
         Belaya Glina
         Beloglinskiy region
         353040 Krasnodar Region
         Russia


TIMASHEEVSKIY OJSC: Bankruptcy Hearing Slated for April 23
----------------------------------------------------------
The Arbitration Court of Krasnodar Region will convene on
April 23 to hear the bankruptcy supervision procedure on OJSC
Breeding Factory Timasheevskiy (TIN 2353018038).  The case is
docketed under Case No. A-32-26424/2006-46/2552-B.

The Temporary Insolvency Manager is:

         V. Rybachenko
         Armavirskaya Str. 45
         Eysk
         353680 Krasnodar Region
         Russia

The Arbitration Court of Krasnodar Region is located at:

         Krasnaya Str. 6
         Krasnodar Region
         Russia

The Debtor can be reached at:

         OJSC Breeding Factory Timasheevskiy
         Parkovaya Str. 1
         Industrialnyj
         Timashevsk
         352747 Krasnodar Region
         Russia


TOMSK-AIR OJSC: Court Starts Bankruptcy Supervision Procedure
-------------------------------------------------------------
The Arbitration Court of Tomsk Region commenced bankruptcy
supervision procedure on OJSC Tomsk-Air.  The case is docketed
under Case No. A67-9053/06.

The Temporary Insolvency Manager is:

         N. Razumov
         Zheleznodorozhnaya Str. 3
         634006 Tomsk Region
         Russia

The Debtor can be reached at:

         OJSC Tomsk-Air
         Airport
         634011 Tomsk Region
         Russia


TRANS-SERVICE-1401 OJSC: Creditors Must File Claims by Jan. 30
--------------------------------------------------------------
Creditors of OJSC Trans-Service-1401 (TIN 4616003038) have until
Jan. 30 to submit written proofs of claim to:

         A. Chuykov, Insolvency Manager
         Marata Str. 21a
         305000 Kursk Region
         Russia

The Arbitration Court of Kursk Region commenced bankruptcy
proceedings against the company after finding it insolvent.  The
hearing in the Court will convene on March 14.  The case is
docketed under Case No. A35-5797/06 g.

The Arbitration Court of Kursk Region is located at:

         K. Marksa Str. 25
         305004 Kursk Region
         Russia

The Debtor can be reached at:

         OJSC Trans-Service-1401
         Lenina Str. 100
         Oboyan'
         306230 Kursk Region
         Russia


YUKOS OIL: Initial Appraisal Values Assets at US$22 Billion
-----------------------------------------------------------
Experts estimate the assets of bankrupt OAO Yukos Oil Co. to be
worth more than US$22 billion, Nikolai Lashkevich, chief
spokesman for Eduard Rebgun, Yukos's bankruptcy receiver.

"According to the valuers' preliminary estimates, the total
value of all Yukos assets may exceed US$22 billion," Reuters
quoted Mr. Lashkevich as saying.

Mr. Lashkevich said the consortium of five appraisers had valued
180 of 193 Yukos enterprises, Reuters relates.  He said six of
Yukos's domestic affiliates still need to submit necessary
information for the appraisal, while four foreign affiliates
refused to submit the required data.

An unidentified source told Russian daily Vedomosti that the
company's final market value could be slightly over US$20
billion, US$4 billion short of the total creditor claims against
Yukos.

The sale of Yukos's assets will begin following the completion
of the valuation process in February.  As soon as the valuation
is completed, Mr. Rebgun would submit to the creditors'
committee plans on the procedure, terms and timeframe for the
asset sale, RIA Novosti reports.

In a Troubled Company Reporter-Europe report on Oct. 26, 2006,
Yevgeny Neiman, general director of Roseco, one of the five
valuers in the consortium, said Yukos's assets may be sold at a
discount after appraisers complete the valuation of the
company's properties.

"The discount on the liquidation price will depend on which
asset we are valuing.  The discount could be 10 percent or it
could be 90 percent," he said.

                         Likely Bidders

Analysts believe Rosneft and Gazprom are the most likely bidders
for the bankrupt assets of what was once Russia's largest oil
producer.  However, they do not discount the possibility of
other bidders, which include Surgutneftegas as a potential
bidder for Tomskneft.

                        About Yukos Oil

Headquartered in Moscow, Yukos Oil -- http://yukos.com/-- is  
an open joint stock company existing under the laws of the
Russian Federation.  Yukos is involved in energy industry
substantially through its ownership of its various subsidiaries,
which own or are otherwise entitled to enjoy certain rights to
oil and gas production, refining and marketing assets.

The Company filed for Chapter 11 protection on Dec. 14, 2004
(Bankr. S.D. Tex. Case No. 04-47742), but the case was
dismissed on Feb. 24, 2005, by the Hon. Letitia Z. Clark.  A few
days later, the Russian Government sold its main production unit
Yugansk to a little-known firm Baikalfinansgroup for US$9.35
billion, as payment for US$27.5 billion in tax arrears for 2000-
2003.  Yugansk eventually was bought by state-owned Rosneft,
which is now claiming more than US$12 billion from Yukos.

On March 10, a 14-bank consortium led by Societe Generale filed
a bankruptcy suit in the Moscow Arbitration Court in an attempt
to recover the remainder of a US$1 billion debt under
outstanding loan agreements.  The banks, however, sold the claim
to Rosneft, prompting the Court to replace them with the state-
owned oil company as plaintiff.

On April 13, court-appointed external manager Eduard Rebgun
filed a chapter 15 petition in the U.S. Bankruptcy Court for the
Southern District of New York (Bankr. S.D.N.Y. Case No.  
06-0775), in an attempt to halt the sale of Yukos' 53.7%  
ownership interest in Lithuanian AB Mazeikiu Nafta.

On May 26, Yukos signed a US$1.49 billion Share Sale and
Purchase Agreement with PKN Orlen S.A., Poland's largest oil
refiner, for its Mazeikiu ownership stake.  The move was made a
day after the Manhattan Court lifted an order barring Yukos from
selling its controlling stake in the Lithuanian oil refinery.

On Aug. 1, the Hon. Pavel Markov of the Moscow Arbitration Court
upheld creditors' vote to liquidate OAO Yukos Oil Co. and
declared what was once Russia's biggest oil firm bankrupt.


YUKOS OIL: Moscow Court Sets Feb. 14 Hearing for PwC Tax Lawsuit
----------------------------------------------------------------
(JazeL)

The Moscow Arbitration Court will convene on Feb. 14 to hear the
suit filed by the Federal Tax Service of Russia against the
local branch of UK-based PricewaterhouseCoopers, the auditor of
bankrupt Yukos Oil Company in 2002-2004, RIA Novosti reports.

The tax regulator had accused PwC of covering up Yukos's alleged
illegal financial schemes and compiling two different audits.

On Dec. 18, the court accepted the case from the Federal Tax
Service, which sought to invalidate a contract between Yukos and
PwC's Russian office on auditing services.  The tax regulator
also demanded a US$145,000 repayment from PwC on the cost of the
contract, RIA Novosti noted.

According to RIA Novosti, the court granted FTS' request to
change the litigation claims to charge US$480,000 from PwC,
instead of the US$145,000 demand.

"The tax service has evidence that the auditor's report to the  
[oil] company's management and the official report were mutually  
contradictory," the tax service told RIA Novosti.

As previously reported, the tax officials said PwC confirmed
that Yukos's financial operations in 2003-2004 were in full
compliance with Russian legislation, even amidst tax violations
discovered in 2002, to which Yukos has failed to remove in the
subsequent two years.

The auditing firm has denied the tax regulator's accusations
asserting that the management of a company, not an auditor, was
responsible for financial decisions.

PwC argued that its report on Yukos contained an amendment
highlighting the disclosed irregularities, which the firm also
included in a written statement recommending that the company
review its operations.

                        About Yukos Oil

Headquartered in Moscow, Yukos Oil -- http://yukos.com/-- is an  
open joint stock company existing under the laws of the Russian
Federation.  Yukos is involved in energy industry substantially
through its ownership of its various subsidiaries, which own or
are otherwise entitled to enjoy certain rights to oil and gas
production, refining and marketing assets.

The Company filed for Chapter 11 protection on Dec. 14, 2004
(Bankr. S.D. Tex. Case No. 04-47742), but the case was
dismissed on Feb. 24, 2005, by the Hon. Letitia Z. Clark.  A few
days later, the Russian Government sold its main production unit
Yugansk to a little-known firm Baikalfinansgroup for US$9.35
billion, as payment for US$27.5 billion in tax arrears for 2000-
2003.  Yugansk eventually was bought by state-owned Rosneft,
which is now claiming more than US$12 billion from Yukos.

On March 10, a 14-bank consortium led by Societe Generale filed
a bankruptcy suit in the Moscow Arbitration Court in an attempt
to recover the remainder of a US$1 billion debt under
outstanding loan agreements.  The banks, however, sold the claim
to Rosneft, prompting the Court to replace them with the state-
owned oil company as plaintiff.

On April 13, court-appointed external manager Eduard Rebgun
filed a chapter 15 petition in the U.S. Bankruptcy Court for the
Southern District of New York (Bankr. S.D.N.Y. Case No.
06-0775), in an attempt to halt the sale of Yukos' 53.7%
ownership interest in Lithuanian AB Mazeikiu Nafta.

On May 26, Yukos signed a US$1.49 billion Share Sale and
Purchase Agreement with PKN Orlen S.A., Poland's largest oil
refiner, for its Mazeikiu ownership stake.  The move was made a
day after the Manhattan Court lifted an order barring Yukos from
selling its controlling stake in the Lithuanian oil refinery.

On Aug. 1, the Hon. Pavel Markov of the Moscow Arbitration Court
upheld creditors' vote to liquidate OAO Yukos Oil Co. and
declared what was once Russia's biggest oil firm bankrupt.


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


MILLS CORP: Farallon Offers to Purchase US$499 Million of Shares
----------------------------------------------------------------
Farallon Capital Management LLC submitted a term sheet to The
Mills Corp.'s financial advisors, Goldman Sachs & Co. and J.P.
Morgan Securities, for a proposed US$499 million acquisition of
additional shares.

Farallon said Mills solicited the offer.

Under the Term Sheet, Farallon will purchase US$499 million of
shares at a price of US$20.00 per share.  The Term Sheet will
terminate if Mills will not sign on or before Jan. 19, 2007.

Farallon investors will receive a commitment fee equal to 4% of
the total subscription amount upon execution of an agreement
relating to the shares.

The commitment to purchase shares will terminate if Mills will
enter into a competing transaction.  Under that scenario, Mills
would be required to pay a break-up fee of US$15 million.

Pursuant to the Term Sheet, Farallon would have the right to
terminate all of its obligations, if (i) the conditions set
forth in the Term Sheet are not met within 15 days from the date
that Mills signs the Term Sheet, except to the extent such
failure is due to Farallon's breach of its obligation to use
good faith efforts to consummate the transactions under the Term
Sheet, or (ii) Mills enters into or consummates a Competing
Transaction from the date the Term Sheet is executed by Mills
through and including Sept. 30, 2007.

The proposed transaction is subject to Mills signing the Term
Sheet and specified terms and conditions being met, including
but not limited to:

   (a) Mills' board of directors being reduced to 11 members,
       with the composition of the remaining members to be
       reasonably acceptable to Farallon,

   (b) Mills agreeing to nominate a 2007 board slate reasonably
       acceptable to Farallon, which would include two directors
       that are acceptable to Farallon in their sole discretion,

   (c) all required approvals and consents being obtained,

   (d) the absence of any material adverse change since Jan. 1,
       2005, that has not been disclosed to Farallon,

   (e) the termination of standstill arrangements entered into
       with Mills,

   (f) a waiver of the REIT limitations, if applicable, and

   (g) Mills' receipt of a fairness opinion with respect to the
       proposed transaction.

A full-text copy of the company's Schedule 13D filing is
available for free at http://ResearchArchives.com/t/s?1898

Headquartered in Chevy Chase, Maryland, The Mills Corporation
(NYSE:MLS) -- http://www.themills.com/-- develops, owns,   
manages retail destinations including regional shopping malls,
market dominant retail and entertainment centers, and
international retail and leisure destinations.  The Company owns
42 properties in the U.S., Canada and Europe, totaling 51
million square feet.  In addition, The Mills has various
projects in development, redevelopment or under construction
around the world including Spain and the United Kingdom.

                           *     *     *

                        Bankruptcy Warning

As reported in the Troubled Company Reporter-Europe on Jan. 15,  
The Mills Corp. issued a warning in a U.S. Securities and
Exchange Commission filing saying that it could file for
bankruptcy protection if it cannot sell all or part of the
company amidst accounting errors and speculations of possible
executive misconduct.

As reported in the Troubled Company Reporter on March 24, 2006,
The Mills Corp. disclosed that the SEC has commenced a formal
investigation.  The SEC initiated an informal inquiry in January
after the Company reported the restatement of its prior period
financials.

Mills is restating its financial results from 2000 through 2004
and its unaudited quarterly results for 2005 to correct
accounting errors related primarily to certain investments by a
wholly owned taxable REIT subsidiary, Mills Enterprises, Inc.,
and changes in the accrual of the compensation expense related
to its Long-Term Incentive Plan.


MILLS CORP: Gazit-Globe Offers US$1.1B Revised Recap Plan
---------------------------------------------------------
Gazit-Globe Ltd. chairman Chaim Katzman submitted a Revised
Recapitalization Proposal to The Mills Corp.  It said Mills
solicited the offer.

Israeli real estate firm Gazit-Globe proposes to recapitalize
Mills with US$1.1 billion of new capital.  Gazit-Globe will
immediately contribute US$500 million through a private
investment in public equity, or PIPE, transaction.

Gazit-Globe will also contribute US$600 million through a rights
offering in which all of Mills' stockholders would participate.
Gazit-Globe agrees to fully "backstop" as a standby purchaser to
ensure that Mills achieves the desired capital infusion.

In exchange, Gazit-Globe will invest US$500 million in Mills'
publicly traded common stock.  The PIPE transaction would have a
two-tier structure with the initial US$250 million of shares to
be purchased at US$23.50 per share.  The remaining US$250
million will be purchased at US$18.50 per share, resulting in an
average price of US$21.00 per share for the entire US$500
million.

Gazit-Globe's offer represents a premium of approximately 38%
over the closing price of US$15.21 on Jan. 12, 2007.  Gazit-
Globe disregarded the traditional 30-, 60- and 90-day volume
weighted averages trading price metrics due to the public
financial disclosures of this past week.

The proceeds of the PIPE transaction would be used to pay down
the loan Mills received from Goldman Sachs & Co.

In addition, pursuant to the Revised Recapitalization Proposal,
Gazit-Globe would make available a commitment it has obtained
from Royal Bank of Canada for an aggregate of US$675 million to
(i) refinance the entire remaining balance of the Goldman Sachs
loan (after application of the proceeds from the PIPE
transaction) (US$575 million) and (ii) provide a working capital
facility (US$100 million).

Gazit-Globe also provided Goldman Sachs & Co. and J.P. Morgan
Inc. with a draft Securities Purchase Agreement proposed to be
used in connection with the proposed PIPE transaction.

Gazit-Globe wants to be entitled to appoint a majority of the
Mills Board.  It wants to reduce the board's size to nine
members, but subsequently agreed to revise this aspect of its
proposal.

Following Gazit-Globe's submission of the Revised Plan, JP
Morgan requested that it provide additional background for its
proposal that could be used by the Mills Board in its assessment
of the various bids received.

Gazit-Globe proposed to drop its request to be entitled to
appoint a majority of Mills Board and proposed that it would be
willing to accept a "one share one vote" structure.

It would amend the Revised Recapitalization Proposal and reduce
its proposed representation on the Mills Board from a majority
to a number that approximates its stock ownership after the
recapitalization, i.e., 4 out of 11 members, provided that Mills
eliminated its staggered board structure in favor of the more
stockholder-friendly structure with one-year terms for all board
members.

A full-text copy of the Revised Recapitalization Proposal is
available for free at http://ResearchArchives.com/t/s?1895

Headquartered in Chevy Chase, Maryland, The Mills Corporation
(NYSE:MLS) -- http://www.themills.com/-- develops, owns,   
manages retail destinations including regional shopping malls,
market dominant retail and entertainment centers, and
international retail and leisure destinations.  The Company owns
42 properties in the U.S., Canada and Europe, totaling 51
million square feet.  In addition, The Mills has various
projects in development, redevelopment or under construction
around the world including Spain and the United Kingdom.

                           *     *     *

                        Bankruptcy Warning

As reported in the Troubled Company Reporter-Europe on Jan. 15,  
The Mills Corp. issued a warning in a U.S. Securities and
Exchange Commission filing saying that it could file for
bankruptcy protection if it cannot sell all or part of the
company amidst accounting errors and speculations of possible
executive misconduct.

As reported in the Troubled Company Reporter on March 24, 2006,
The Mills Corp. disclosed that the SEC has commenced a formal
investigation.  The SEC initiated an informal inquiry in January
after the Company reported the restatement of its prior period
financials.

Mills is restating its financial results from 2000 through 2004
and its unaudited quarterly results for 2005 to correct
accounting errors related primarily to certain investments by a
wholly owned taxable REIT subsidiary, Mills Enterprises, Inc.,
and changes in the accrual of the compensation expense related
to its Long-Term Incentive Plan.


MILLS CORP: Inks US$1.35 Billion Agreement with Brookfield Asset
----------------------------------------------------------------
The Mills Corporation and Brookfield Asset Management Inc. has
entered into a definitive agreement pursuant to which Brookfield
will acquire The Mills for cash at a price of US$21 per share,
representing a total transaction value of approximately
US$1.35 billion for all of the outstanding common stock of The
Mills and common units of The Mills Limited Partnership, and
approximately US$7.5 billion including assumed debt and
preferred stock.

Brookfield is a global asset manager focused on property and
other infrastructure assets with over US$50 billion of assets
under management.

Under the terms of the agreement, The Mills will merge into a
newly formed subsidiary of Brookfield, and The Mills common
stockholders will receive US$21 in cash for each share of Mills
common stock.

Common stockholders will also have the ability to elect instead
to receive up to a maximum of 20% of the outstanding shares of a
continuing public company managed by Brookfield that will hold
the assets of The Mills.

The stock alternative will be subject to proration if holders of
more than 20% of The Mills shares elect to receive stock.  If
the holders of fewer than 10% of the shares elect this stock
rollover, all common shares of The Mills will be exchanged for
cash in the merger.  In the merger, preferred stockholders of
The Mills will receive preferred stock with substantially the
same terms.

Limited partners in The Mills Limited Partnership will be
offered the same consideration as common stockholders of The
Mills, and will have the opportunity to elect instead to roll
over all or a portion of such units into limited partnership
interests, subject to the terms and conditions of the merger
agreement.

Brookfield has also agreed to provide The Mills with debt
financing until the completion of the merger by assuming The
Mills' approximately US$1 billion Senior Term Loan from Goldman
Sachs Mortgage Company and subsequently revising the terms of
such loans and providing a US$500 million revolving line of
credit on terms to be contained in a restated credit and
guaranty agreement.

Mark Ordan, chief executive officer and president of The Mills,
said, "With this transaction, we have completed our strategic
alternatives process by joining with a world class real estate
owner and operator.

"After a very competitive process, in which our Board considered
numerous alternatives for the company, we believe we have
achieved an outcome that is the best possible result for all
involved.

"We believe the transaction with Brookfield not only provides
certain value to The Mills' stockholders, but also affords them
the opportunity to participate in the upside potential created
by this transaction.

"This merger will provide the resources to upgrade our
properties, reinforce our organization and continue to attract
premium tenants to The Mills concept."

Bruce Flatt, managing partner and chief executive officer of
Brookfield, said, "We are pleased to be able to work with The
Mills Corporation to move beyond the recent issues it has
encountered.

"We look forward to working with management of The Mills in
getting back to business and focusing on service excellence to
attract premium tenants to this high quality retail portfolio."

The Mills Board of Directors unanimously approved the
transaction, with those directors affiliated with Kan Am
abstaining.  The transaction is subject to approval by The
Mills' stockholders at a special meeting of stockholders, as
well as other customary closing conditions.

The Mills and Brookfield expect to file a proxy statement and
prospectus in connection with the special meeting of
stockholders following the filing of The Mills' Annual Report on
Form 10-K for the year ended Dec. 31, 2006.  The merger is
expected to close in the second half of 2007.

J.P. Morgan Securities Inc. and Goldman, Sachs & Co. served as
financial advisors and Wachtell, Lipton, Rosen & Katz and Hogan
& Hartson LLP served as legal advisors to The Mills.

Credit Suisse and Brookfield Financial Real Estate Group served
as financial advisors and Sidley Austin LLP served as legal
advisor to Brookfield.

                 About Brookfield Asset Management

Brookfield Asset Management Inc. (NYSE/TSX: BAM) --
http://www.brookfield.com/-- is focused on property, power, and
infrastructure assets.  The company has over US$50 billion of
assets under management.

Headquartered in Chevy Chase, Maryland, The Mills Corporation
(NYSE:MLS) -- http://www.themills.com/-- develops, owns,   
manages retail destinations including regional shopping malls,
market dominant retail and entertainment centers, and
international retail and leisure destinations.  The Company owns
42 properties in the U.S., Canada and Europe, totaling 51
million square feet.  In addition, The Mills has various
projects in development, redevelopment or under construction
around the world including Spain and the United Kingdom.

                           *     *     *

                        Bankruptcy Warning

As reported in the Troubled Company Reporter-Europe on Jan. 15,  
The Mills Corp. issued a warning in a U.S. Securities and
Exchange Commission filing saying that it could file for
bankruptcy protection if it cannot sell all or part of the
company amidst accounting errors and speculations of possible
executive misconduct.

As reported in the Troubled Company Reporter on March 24, 2006,
The Mills Corp. disclosed that the SEC has commenced a formal
investigation.  The SEC initiated an informal inquiry in January
after the Company reported the restatement of its prior period
financials.

Mills is restating its financial results from 2000 through 2004
and its unaudited quarterly results for 2005 to correct
accounting errors related primarily to certain investments by a
wholly owned taxable REIT subsidiary, Mills Enterprises, Inc.,
and changes in the accrual of the compensation expense related
to its Long-Term Incentive Plan.


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


GIONET LVS: Claims Submission Deadline Set February 3
-----------------------------------------------------
Creditors of LLC Gionet LVS (code EDRPOU 33520960) have until
Feb. 3 to submit their proofs of claim to:

         Larisa Timofeeva, Liquidator
         Post Office Box 179
         54017 Nikolaev Region
         Ukraine
         Tel: (512) 47-89-69

The Economic Court of Nikolaev Region commenced bankruptcy
proceedings against the company on Dec. 20, 2006, after finding
it insolvent.  The case is under docketed Case No. 5/534/06.

The Economic Court of Nikolaev Region is located at:

         Admiralskaya Str. 22
         54009 Nikolaev Region
         Ukraine

The Debtor can be reached at:

         LLC Gionet LVS
         60 years of USSR Str. 27
         Ochakov
         57500 Nikolaev Region
         Ukraine


PAPIRUS LLC: Creditors Must Submit Claims by February 3
-------------------------------------------------------
Creditors of LLC Papirus (code EDRPOU 32145149) have until
Feb. 3 to submit their proofs of claim to:

         V. Lisnichenko, Temporary Insolvency Manager
         Kommunisticheskaya Str. 21/19   
         86420 Donetsk Region
         Ukraine

The Economic Court of Donetsk Region commenced bankruptcy
supervision procedure on the company.  The case is under
docketed Case No. 5/210-B.

The Economic Court of Donetsk Region is located at:

         Artema Str. 157
         83048 Donetsk Region
         Ukraine

The Debtor can be reached at:

         LLC Papirus
         Kommunisticheskaya Str. 4
         Donetsk Region
         Ukraine


SOUTH-POLYMER SYNTHESIS: Claims Submission Deadline Set Feb. 3
--------------------------------------------------------------
Creditors of LLC South-Polymer Synthesis (code EDRPOU 33730155)
have until Feb. 3 to submit their proofs of claim to:

         Larisa Timofeeva, Liquidator
         Post Office Box 179
         54017 Nikolaev Region
         Ukraine
         Tel: (512) 47-89-69

The Economic Court of Nikolaev Region commenced bankruptcy
proceedings against the company on Dec. 26, 2006, after finding
it insolvent.   The case is under docketed Case No. 5/565/06.

The Economic Court of Nikolaev Region is located at:

         Admiralskaya Str. 22
         54009 Nikolaev Region
         Ukraine

The Debtor can be reached at:

         LLC South-Polymer Synthesis
         Geroev Stalingrada Str. 91
         Nikolaev Region
         Ukraine


TRE-KRUNER LLC: Claims Submission Deadline Set February 3
---------------------------------------------------------
Creditors of LLC Tre-Kruner (code EDRPOU 33853965) have until
Feb. 3 to submit their proofs of claim to:

         Larisa Timofeeva, Liquidator
         Post Office Box 179
         54017 Nikolaev Region
         Ukraine
         Tel: (512) 47-89-69

The Economic Court of Nikolaev Region commenced bankruptcy
proceedings against the company on Dec. 26, 2006, after finding
it insolvent.  The case is under docketed Case No. 5/558/06.

The Economic Court of Nikolaev Region is located at:

         Admiralskaya Str. 22
         54009 Nikolaev Region
         Ukraine

The Debtor can be reached at:

         LLC Tre-Kruner
         Morskaya Str. 15/2
         Nikolaev Region
         Ukraine


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


ABBEY FLOORING: Names Jeremy Nicholas Bleazard as Administrator
---------------------------------------------------------------
Jeremy Nicholas Bleazard of XL Business Solutions Ltd. was named
administrator of Abbey Flooring Services Ltd. (Company Number
04383787) on Dec. 20.

The administrator can be reached at:

         Jeremy Nicholas Bleazard
         XL Business Solutions Ltd.  
         1st Floor
         24 Market Street
         Cleckheaton BD19 5AJ
         United Kingdom
         Fax: 01274 870606
         Tel: 01274 870101
         E-mail: enquiries@xlbs.co.uk   
                 jbleazard@xlbs.co.uk   

Abbey Flooring Services Ltd. can be reached at:

         Copsham House
         53 Broad Street
         Chesham
         Buckinghamshire HP5 3EA  
         United Kingdom  
         Tel: 01494 772 344  
         Fax: 01494 791 312


ACQUIREMENT SOLUTIONS: Names Cooper Parry to Administer Assets
--------------------------------------------------------------
Tyrone Shaun Courtman and Jeremy Philip William Meadows of
Cooper Parry LLP were appointed joint administrators of
Acquirement Solutions Ltd. (Company Number 04339304) on Dec. 22.

Cooper Parry LLP -- http://www.cooperparry.com/-- are advisers  
to private business.  

Acquirement Solutions Ltd. can be reached at:

         208 Anglesey Road
         Burton-on-Trent
         Staffordshire DE14 3NP
         United Kingdom
         Tel: 01283 543 525
         Fax: 01283 543 959


AGOY LTD: Hires Liquidator from Fisher Partners
-----------------------------------------------
Stephen M. Katz of Fisher Partners was appointed liquidator of
Agoy Ltd. on Jan. 10 for the creditors' voluntary winding-up
procedure.

The company can be reached at:

         Agoy Ltd.
         2a Wrentham Avenue  
         Brent  
         London NW103HA  
         England  
         Tel: 0845 345 7335  
         Fax: 020 8960 9169  


ALLCARE HOME: Calls In Liquidator from Begbies Traynor
------------------------------------------------------
David R. Acland of Begbies Traynor was appointed liquidator of
Allcare Home Care Agency Ltd. on Jan. 5 for the creditors'
voluntary winding-up procedure.

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

The liquidator can be reached at:

         Begbies Traynor
         1 Winckley Court
         Chapel Street
         Preston
         Lancashire PR1 8BU
         England


AUTO DRIVE: Creditors Confirm Voluntary Liquidation
---------------------------------------------------
Creditors of Auto Drive Management Ltd. confirmed on Jan. 9 the
company's resolutions for voluntary liquidation and the
appointment of John Russell and Andrew Philip Wood of The P&A
Partnership as liquidators.

The P&A Partnership (aka Poppleton and Appleby) --
http://www.thepandapartnership.com/-- acts for all clearing  
banks and a growing number of factors and asset lenders.  Its
clients include multinational PLCs, SMEs, financial
institutions, accountants, solicitors and business advisors.

Auto Drive Management Ltd. can be reached at:

         Bramall Lane  
         John St.  
         Sheffield  
         South Yorkshire S2 4SU
         England  
         Tel: 0870 241 7183  
         Fax: 01246 456547  


AWARD INTERNATIONAL: Names William Antony Batty Liquidator
----------------------------------------------------------
William Antony Batty of Antony Batty & Co. was appointed
liquidator of Award International Ltd. (formerly Award
International (TP) Ltd.) on Dec. 22, 2006, for the creditors'
voluntary winding-up procedure.

The liquidator can be reached at:

         Antony Batty & Co.
         3 Field Court
         Gray's Inn
         London WC1R 5EF
         England


BAA PLC: Names Terry Morgan as Group Divisional Director
--------------------------------------------------------
BAA Plc appointed Terry Morgan, managing director of Stansted
Airport, to join the BAA Executive Committee as Group Divisional
Director with overall responsibility for Stansted and Gatwick
airports and the Stansted Generation 2 project.

Stewart Wingate, currently BAA's chief executive officer at
Budapest Airport, will be joining Stansted as the new managing
director.

Mr. Wingate, a chartered engineer, has a first-class honors
degree in engineering, a Postgraduate Diploma in Marketing and a
Masters degree in Business Administration.  He brings to
Stansted considerable experience of the international aviation
industry and of airport operations.  Previously he was Customer
Service Director at Glasgow Airport.

Prior to joining BAA, Mr. Wingate had a background in global
manufacturing having worked for 16 years at Black & Decker in
Germany, the Czech Republic, as well as his native England.

"I have spent a total of eight very happy years in charge at
Stansted and have greatly enjoyed helping to lead this growing
international business through some exciting and challenging
times," Mr. Morgan said.  "While I am naturally sorry to be
leaving behind day-to-day responsibility for the airport I am
delighted my new role will allow me to stay in close touch with
Stansted and to offer my full support to Stewart and the airport
team.

"I've made many friends at Stansted, and in the wider community,
and I'd like to thank everyone for their help and support over
the years."

"I'm very pleased to be joining Stansted at such an important
time for the airport and to have the opportunity to work with
colleagues and the local community to make the most of the huge
potential that exists here," Mr. Wingate said.  "Stansted has a
very exciting future and I'm looking forward to leading the
growth and development of this very successful international
business, and to keeping it at the heart of the local community
and a thriving regional economy."

                         About BAA Plc

Headquartered in London, United Kingdom, BAA plc --
http://www.baa.com/-- owns and operates seven airports in the
United Kingdom, including Healthrow, the world's busiest
international airport, and Budapest Airport, serving 700
destination by around 300 airlines.  Its airports in the U.K.
handled over 117 million international passenger during the 12
months up to October 2005.  International passengers make up 81%
of its total U.K. airport traffic.  BAA had total assets of
GBP15.2 billion and pre-tax profits of GBP757 million for the
year ended March 31, 2006.

                        *     *     *

As reported in the TCR-Europe on June 9, 2006, Moody's Investors
Service downgraded to Ba1 from Baa3 the issuer rating of BAA Plc
as well as the ratings for:

   -- GBP425 million convertible bonds due August 2009;
   -- GBP424 million convertible bonds due April 2008; and
   -- GBP200 million 7.875% bonds due February 2007.

BAA's short-term rating was also downgraded to Not Prime from
Prime-3.  All other long-term debt ratings remain at Baa2.  All
long-term ratings remain on review for further downgrade.


BAA PLC: Scottish Unit Shuffles Senior Management
-------------------------------------------------
BAA Plc Scotland disclosed of a number of senior management
changes, with new managing directors for Aberdeen and Glasgow
Airports, and a new group finance director.

At Aberdeen, Kevin Brown is appointed managing director with
immediate effect.  Mr. Brown is currently customer services
director at the airport, following a period during which he was
responsible for engineering across BAA's Scottish airports.  Mr.
Brown succeeds Andy Flower, who has been appointed to another
senior role in BAA, as managing director of London Gatwick.

In addition, BAA has appointed a leading Scottish transport
professional to its top Glasgow management role.  Gordon Dewar,
formerly of First Scotrail and more recently of Arriva, joins
Glasgow Airport as managing director on Feb. 5.

Mr. Dewar will succeed Alan Barr, who is appointed finance
director of BAA Scotland, following a successful year-long spell
as acting managing director at Glasgow.  Mr. Barr in turn
succeeds Douglas Dewar, BAA Scotland's long-serving finance
director, who is appointed interim commercial director ahead of
his planned retirement in June 2007. Both appointments take
effect on Feb. 5.

"I am pleased to be announcing this important series of
appointments to my senior team and welcoming Gordon Dewar to
BAA," Stephen Baxter, BAA Scotland Divisional Managing Director,
said.  "The challenges facing BAA Scotland are considerable,
exciting and varied, ranging from our substantial capital
investment program, which will transform our airports, to our
sustained efforts to strengthen Scotland's influence on the
world through direct international air services.

"I am confident that we are building a strong team of talented
leaders who can rise to our many challenges, take this business
forward and deliver world-class airports to our customers and
Scotland."

                         About BAA Plc

Headquartered in London, United Kingdom, BAA plc --
http://www.baa.com/-- owns and operates seven airports in the  
United Kingdom, including Healthrow, the world's busiest
international airport, and Budapest Airport, serving 700
destination by around 300 airlines.  Its airports in the U.K.
handled over 117 million international passenger during the 12
months up to October 2005.  International passengers make up 81%
of its total U.K. airport traffic.  BAA had total assets of
GBP15.2 billion and pre-tax profits of GBP757 million for the
year ended March 31, 2006.

                        *     *     *

As reported in the TCR-Europe on June 9, 2006, Moody's Investors
Service downgraded to Ba1 from Baa3 the issuer rating of BAA Plc
as well as the ratings for:

   -- GBP425 million convertible bonds due August 2009;
   -- GBP424 million convertible bonds due April 2008; and
   -- GBP200 million 7.875% bonds due February 2007.

BAA's short-term rating was also downgraded to Not Prime from
Prime-3.  All other long-term debt ratings remain at Baa2.  All
long-term ratings remain on review for further downgrade.


BRITISH AIRWAYS: Wants Acas to Mediate Dispute with T&G Union
-------------------------------------------------------------
British Airways Plc is seeking outside mediation through the
Advisory, Conciliation and Arbitration Service after the
Transport & General Workers Union, representing 11,000 cabin
crew employees of BA, revealed its plans to carry out a three-
day strike next week over sick leave, pay and staffing concerns,
Tracy Alloway writes for Bloomberg News.

The airline called on Acas to discuss ways of solving the
dispute with T&G, BA said in a statement.

According to Lou Owen, a spokesman for Acas, both parties would
have to sign up voluntarily to the mediator's conciliation
service.

Anthony Cane, a spokesman for BA, said, "The actual structure"
of the arbitration service's involvement "will be discussed and
agreed with all the parties."

The union would welcome the mediator's help but "it should be
possible for British Airways to resolve this themselves within
48 to 72 hours," Andrew Andrew Dodgshon, a spokesman for
T&G, told Bloomberg.

As previously reported in the TCR-Europe on Jan. 23, T&G will
stage a three-day strike starting Jan. 29 after talks with BA
management failed to reach an agreement.

According to Andrew Murray, a spokesman for T&G, two more three-
day strikes are expected to happen in February unless the
dispute is resolved.

The airline will incur losses between GBP10 million and GBP15
million a day if the 11,000 cabin crew members will push through
with the three 72-hour strikes, The New Zealand Herald relates.

BA was disappointed by the union's move as industrial action
would cause "massive disruption" for its customers.  The carrier
is now allowing passengers who had booked flights between
Jan. 29 and Feb. 16 to change the dates of their trips.

BA spokesman Paul Marston revealed that union is seeking a
unified pay scale that would cost the airline up to GBP50
million pounds a year.

As previously disclosed, 96% of T&G union's cabin crew members,
who are employed at BA, voted in favor of a strike action over
the airline's proposed deal that would narrow a GBP2.1-billion
pension deficit.

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 Ltd. and British Airways Travel
Shops Ltd.  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.


CONCURRENT REALISATIONS: Taps PwC as Joint Administrators
---------------------------------------------------------
Ian Christopher Oakley Smith and Edward Klempka of
PricewaterhouseCoopers LLP were appointed joint administrators
of Concurrent Realisations Ltd. (Company Number 00962023) on
Jan. 10.

PricewaterhouseCoopers LLP -- http://www.pwcglobal.com/--  
provides auditing services, accounting advice, tax compliance
and consulting, financial consulting and advisory services to
clients in a variety of industries.   

Concurrent Realisations Ltd. can be reached at:

         Voyager Place
         Shoppenhangers Road
         Maidenhead
         Berkshire SL6 2PJ
         United Kingdom  
         Tel: 01628 513 900  
         Fax: 01753 216 877


CORUS GROUP: Confirms Issuance of Ordinary Shares & Bonds
---------------------------------------------------------
In accordance with Rule 2.10 of the City Code on Takeovers and
Mergers, Corus Group plc confirmed that, as at Jan. 22, it had
the following relevant securities in issue (including any
ordinary shares represented by American Depositary Shares but
excluding any ordinary shares held in treasury):

   -- 946,070,318 ordinary shares of 50p each under
      ISIN code GB00B127GF29.

   -- 4.625% convertible subordinated bonds due 2007
      amounting to NLG345,000,000 convertible into
      19,338,687 ordinary shares of Corus Group plc.
     
      The ISIN code for these securities is NL0000183184.

Each American Depositary Share represents two ordinary shares of
the company.

                       About Corus Group

Corus Group plc, fka British Steel, was formed when the UK
privatized its major steelworks in 1988.  It then changed its
name to Corus Group after acquiring most of Dutch rival
Koninklijke Hoogovens.  Corus makes coated and uncoated strip
products, sections and plates, wire rod, engineering steels, and
semi-finished carbon steel products.  It also manufactures
primary aluminum products. Customers include companies in the
automotive, construction, engineering, and household-product
manufacturing industries.

Six years ago, the group suffered from the crisis in British
manufacturing, which prompted it to shake up management, close
plants, cut jobs, and sell assets to lower debt.  Its debt was
thought to stand at GBP1.6 billion in 2002.

After posting a net loss of GBP458 million in 2003, it embarked
on a restructuring program, signed a new EUR1.2 billion banking
facility, and issued GBP307 million worth of shares.  It
returned to operating profit in the first quarter of 2004.  The
recent recovery of steel prices and the strength of the euro are
expected to help it achieve relatively strong earnings.

                          *     *     *

As reported in the TCR-Europe on Nov. 22, 2006, Standard &
Poor's Ratings Services kept its 'BB' long-term corporate rating
on U.K.-based steelmaker Corus Group PLC on CreditWatch with
developing implications, following the announcement by Brazil-
based steel maker Companhia Siderurgica Nacional (BB/Watch Neg/
--) of a proposed takeover offer worth 475 pence per share.

At the same time, the 'BB+' senior secured bank loan ratings and
'BB-' unsecured debt ratings on Corus remain on CreditWatch with
developing implications.  The 'B' short-term corporate credit
rating remains on CreditWatch with positive implications.  All
ratings were placed on CreditWatch on Oct. 18  following the
announcement of an initial bid for the company from India-based
steel manufacturer Tata Steel Ltd.

In a TCR-Europe report on Oct. 25, 2006, Moody's Investors
Service placed all ratings of Corus Group plc under review with
direction uncertain following the recommendation of the board of
Corus Group in favor of the proposed acquisition of the entire
capital of Corus Group by Tata Steel Limited.

Ratings affected:

Corus Group plc

    * Ba2 Corporate Family Rating;

    * Ba1 Rating on EUR800 million Secured
      Bank Facilities maturing July 2008;

    * B1 Rating on EUR800 million Unsecured Notes due 2011; and

    * B1 Rating on GBP200 million in Unsecured Notes due 2008.

Moody's last rating action on Corus was the upgrade to
Ba2/Ba1/B1 on May 8.

As reported in the TCR-Europe on Oct. 24, 2006, Fitch Ratings
changed the Rating Watch on Corus Group PLC's Issuer Default and
senior unsecured BB- and Short-term B ratings to Negative from
Positive.  This follows the recommendation by the CS Board of an
offer from India-based Tata Steel Ltd. valued at GBP4.3 billion.

The RWN also applies to these debt instruments issued by CS:

   -- CS EUR800 million 7.5% senior notes;
   -- CS EUR307 million 3% convertible bonds; and
   -- Corus Finance Plc GBP200 million 6.75% guaranteed bonds.

Fitch will resolve the Rating Watch following publication of
CS's 2006 results, further details on the level of synergies and
operational benefits that could accrue under the transaction,
and the closure of the deal.


CRAIGHILL NURSERIES: Creditors Confirm Liquidator's Appointment
---------------------------------------------------------------
Creditors of Craighill Nurseries Ltd. confirmed on Jan. 11 the
appointment of Situl Devji Raithatha as liquidator of the
company.

The company can be reached at:

         Craighill Nurseries Ltd.
         Craighill Road  
         Leicester  
         Leicestershire LE2 3FB  
         England  
         Tel: 011 6270 7065  
         Fax: 0116 270 1370  


CRESTGATE LTD: Claims Filing Period Ends February 23
----------------------------------------------------
Creditors of Crestgate Ltd. (t/a Trend and Dapper) have until  
Feb. 23 to send their names and addresses with particulars of
their debts or claims to:  

         David Moore
         Liquidator
         Begbies Traynor
         No.1 Old Hall Street
         Liverpool L3 9HF
         England

David Moore and Donald Bailey of Begbies Traynor were appointed
joint liquidators of the company on Jan. 12.

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


DARENTH DESIGNS: Nominates Liquidators from Abbott Fielding
-----------------------------------------------------------
Nedim Ailyan and Andrew Tate of Abbot Fielding were nominated
joint liquidators of Darenth Designs (1984) Ltd. on Jan. 8 for
the creditors' voluntary winding-up proceeding.

The company can be reached at:

         Darenth Designs (1984) Ltd.
         Darenth Hill Trading Est  
         Darenth Road South  
         Dartford  
         Kent DA2 7QT  
         England  
         Tel: 01322 291 383  
         Fax: 01322 291 383  


DRAC LTD: Joint Liquidators Take Over Operations
------------------------------------------------
Carl Derek Faulds and James Richard Tickell of Portland Business
& Financial Solutions Ltd. were appointed joint liquidators of
Drac Ltd. on Jan. 9 for the creditors' voluntary winding-up
procedure.

The company can be reached at:

         Drac Ltd.
         172a Anns hill road  
         Gosport  
         Hampshire PO123RE  
         England  
         Tel: 023 9251 0222


DURA AUTOMOTIVE: RSM Updates Ontario Court on Chapter 11 Cases
--------------------------------------------------------------
RSM Richter Inc., as Dura Automotive Systems Inc. and its
debtor-affiliates' information officer, delivered its first
report with the Ontario Superior Court of Justice (Commercial
List) in Canada to:

   (a) provide with background information concerning the
       Debtors, including information with respect to their
       Canadian operations;

   (b) provide updates with respect to developments in the
       Debtors' restructuring proceedings since Nov. 1, 2006;

   (c) summarize and seek approval of its activities since     
       Nov. 1, 2006; and

   (d) recommend that the Ontario Court approve the Debtors'
       request for an extension of its stay of proceedings to
       March 15, 2007.

A full-text copy of RSM Richter's First Report is available for
free at http://ResearchArchives.com/t/s?18a7

RSM Richter reported these material developments with respect to
the Debtors' Canadian operations:

   (1) the Canadian facilities at Bracebridge, Stratford and
       Brantford, comprising the Debtors' Canadian operations,
       have terminated a number of employees:

       A. Hourly Unionized Employees

                               No. of Hourly     No. of Hourly
                                 Employees        Employees as
                Facilities       Terminated       of 11/01/06
                ----------     -------------     -------------
                Bracebridge         57                220
                Stratford           23                238
                Brantford           34                 90

       B. Salaried Employees

                               No. of Salaried  No. of Salaried
                                 Employees        Employees as
                Facilities       Terminated       of 11/01/06
                ----------     -------------     -------------
                Bracebridge          8                 72
                Stratford           --                 42
                Brantford           --                 23

   (2) the Canadian facilities have continued to operate in the
       normal course.  To the extent requested, RSM Richter has
       been assisting the Canadian Operations with common
       "day-one" issues that the facilities faced when they
       entered formal insolvency proceedings.

RSM Richter attended a meeting on Dec. 4, 2006, with the
Debtors and the International Association of Machinists and
Aerospace Workers to inform IAMAW an opportunity to detail its
concerns with respect to various employee issues.  

IAMAW, Local Lodge No. 1927, represents the hourly workforce at
the Stratford Facility.  Local 61 of the Canadian Automotive
Workers' Union represents the hourly workforce at the
Bracebridge Facility while CAW's Local 397 represents the
Brantford Facility's hourly workforce.

Moreover, RSM Richter:

     * reviewed and commented on certain of the Debtors' draft
       application materials;

     * posted copies of various Court materials, including the
       Ontario Court's Initial Order dated Nov. 1, 2006, on
       its Web site;

     * placed a notice regarding the Debtors' Canadian filings
       in The Globe and Mail (National Edition) around Nov. 6,
       2006;

     * spoke routinely with each Canadian facility in order to
       determine if any critical issues are affecting
       operations;

     * convened periodic conference calls with each of the
       facilities;

     * worked intensively with the Bracebridge Facility to
       assist it to obtain a continued supply of goods and
       services;

     * responded to calls from creditors or suppliers concerning
       the Debtors' proceedings;

     * attended at conference calls with the Canadian Debtors
       and their legal counsel, Davies Ward Phillips and
       Vineberg LLP, to discuss the operational issues and other
       developments; and

     * corresponded with Davies Ward to stay apprised of the
       developments in the Debtors' Chapter 11 proceedings.

                   Stay Extended to March 15

At the Debtors' request, Justice Lederman extends to March 15,
2007, the expiration of the stay enjoining and restraining
creditors and parties-in-interest from initiating or continuing
actions in any court or tribunal in Canada against the Debtors
or that affect the their ability to carry on their business.

In support of the Debtors' request, RSM Richter informed the
Ontario Court that the Debtors have been diligently pursuing
restructuring initiatives and have been acting in good faith.

The Court approves the activities and conduct of RSM Richter as
set forth in the First Report.

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 Oct. 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
US$1,993,178,000 in total assets and US$1,730,758,000 in total
liabilities.  (Dura Automotive Bankruptcy News, Issue No. 10;
Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000).


DURA AUTOMOTIVE: Ontario Court Recognizes Final DIP Order
---------------------------------------------------------
The Honorable Justice Lederman of the Ontario Superior Court of
Justice (Commercial List) in Canada rules that the Final DIP
Order dated Nov. 21, 2006, of the U.S. Bankruptcy Court for the
District of Delaware is given full effect in all provinces and
territories of Canada.

Justice Lederman previously granted the directors and officers
of Dura Automotive Systems Inc.'s Canadian affiliates a charge
on the Debtors' property not exceeding US$2,500,000 in the
aggregate, as security for the their indemnification obligations
to their directors and officers.

Justice Lederman declared that the Directors' Charge rank
subordinate and junior in priority to the claims, liens, charges
and security interests arising in connection with the first lien
revolver.

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 Oct. 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
US$1,993,178,000 in total assets and US$1,730,758,000 in total
liabilities.  (Dura Automotive Bankruptcy News, Issue No. 10;
Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000).


FORD MOTOR: Loses US$1 Bln Per Year on Counterfeit Auto Parts
-------------------------------------------------------------
Ford Motor Co. claims that it loses about US$1 billion annually
from counterfeit auto parts, according to a study by the U.S.
Chamber of Commerce.

"The growing problem of counterfeiting and piracy threatens
businesses and consumers in nearly every region of the world,"
according to the study, which will be released this week.

The study also looked at counterfeiting problems for office
equipment company Xerox Corp., pharmaceutical company Merck &
Co. Inc., athletic shoe maker New Balance, and brake and
friction material supplier Bendix Commercial Vehicle Systems
LLC, Reuters says.

                        About Ford Motor Co.

Headquartered in Dearborn, Michigan, Ford Motor Co. (NYSE: F) --
http://www.ford.com/-- manufactures and distributes automobiles  
in 200 markets across six continents.  With more than 324,000
employees worldwide, including Mexico, the company's core and
affiliated automotive brands include Aston Martin, Ford, Jaguar,
Land Rover, Lincoln, Mazda, Mercury and Volvo.  Its automotive-
related services include Ford Motor Credit Company and The Hertz
Corp.


                        *     *     *

As reported in the Troubled Company Reporter-Europe on Dec. 13,
Standard & Poor's Ratings Services affirmed its 'B' bank loan
and '2' recovery ratings on Ford Motor Co. after the company
increased the size of its proposed senior secured credit
facilities to between US$17.5 billion and US$18.5 billion, up
from US$15 billion.

As reported in the Troubled Company Reporter on Dec. 7, 2006,
Fitch Ratings downgraded Ford Motor Company's senior unsecured
ratings to 'B-/RR5' from 'B/RR4' due to the increase in size of
both the secured facilities and the senior unsecured convertible
notes being offered.

As reported in the Troubled Company Reporter on Dec. 6, 2006,
Moody's Investors Service assigned a Caa1, LGD4, 62% rating to
Ford Motor Company's US$3 billion of senior convertible notes
due 2036.


FORD MOTOR: Mark Fields to Give Up Use of Company Plane
-------------------------------------------------------
Mark Fields, the head of North American operations at Ford Motor
Co., told the United Press Institute that he would give up his
free use of a company plane to fly home to south Florida from
Detroit on weekends.

According to UPI, Mr. Fields had been widely criticized for
using Ford Motor's jet when the firm is trying to make up for a
projected US$4.5 billion loss in its North American operations
last year, out of the total US$7 billion loss.

UPI notes that the Detroit-Florida flights cost Ford Motor
US$214,479 in the fourth quarter of 2005, the only period Ford
Motor has made public.  The full cost for last year is likely to
be disclosed of later this year.

Mr. Fields was put in charge of the North American operations,
Ford Motor's largest business sector in October 2005.  His
compensation that year was US$3.2 million, including a
US$1 million bonus to take the job, UPI states.

Bryce G. Hoffman of The Detroit News writes that part of Mr.
Fields' compensation contract when he was promoted to head
Ford's Americas group in 2005, was the use of the Ford corporate
jet for personal travel.  

Mr. Hoffman relates that Ford spokesman Tom Hoyt confirmed Mr.
Field's decision.  Mr. Fields was worried that the controversy
was distracting Ford's efforts to turnaround its North American
automobile operations.

"He doesn't want this or any other issue to distract the team,"
Mr. Hoyt said, adding that decision was Fields' alone.  "This
was Mark's decision.  The company supported his commitment to
his family."

Mr. Fields will continue his weekly commute from south Florida,
where his family lives, using a commercial carrier, Mr. Hoffman
reports.

During his career at Ford, Mr. Fields and his family have
relocated several times.  He felt the deal would allow him to
give Ford his undivided attention during the week while avoiding
another disruption for his wife and children, Mr. Hoffman says.

Mr. Fields was credited for turning around Ford's European and
Premier Automotive Group as head for 17 months, the Associated
Press relates.

Headquartered in Dearborn, Michigan, Ford Motor Co. (NYSE: F) --
http://www.ford.com/-- manufactures and distributes automobiles  
in 200 markets across six continents.  With more than 324,000
employees worldwide, including Mexico, the company's core and
affiliated automotive brands include Aston Martin, Ford, Jaguar,
Land Rover, Lincoln, Mazda, Mercury and Volvo.  Its automotive-
related services include Ford Motor Credit Company and The Hertz
Corp.

                        *     *     *

As reported in the Troubled Company Reporter-Europe on Dec. 13,
Standard & Poor's Ratings Services affirmed its 'B' bank loan
and '2' recovery ratings on Ford Motor Co. after the company
increased the size of its proposed senior secured credit
facilities to between US$17.5 billion and US$18.5 billion, up
from US$15 billion.

As reported in the Troubled Company Reporter on Dec. 7, 2006,
Fitch Ratings downgraded Ford Motor Company's senior unsecured
ratings to 'B-/RR5' from 'B/RR4' due to the increase in size of
both the secured facilities and the senior unsecured convertible
notes being offered.

As reported in the Troubled Company Reporter on Dec. 6, 2006,
Moody's Investors Service assigned a Caa1, LGD4, 62% rating to
Ford Motor Company's US$3 billion of senior convertible notes
due 2036.


G T RANBY: Names Liquidators to Wind Up Business
------------------------------------------------
W. John Kelly and Timothy S. Cockcroft were appointed joint
liquidators of G T Ranby (Nottingham) Ltd. on Jan. 4 for the
creditors' voluntary winding-up procedure.

W. John Kelly can be reached at:

         Begbies Traynor
         4th Floor
         Newater House
         11 Newhall Street
         Birmingham B3 3NY
         England

Timothy S. Cockcroft can be reached at:

         Vale Cottage
         Watson's Lane
         Harby
         Leicestershire LE14 4DD
         England


GENERAL MOTORS: Sells More Than 9 Million Vehicles Globally
-----------------------------------------------------------
General Motors Corp. sold 9.09 million cars and trucks around
the world in 2006, according to preliminary sales figures
released.  It marked the third time (2006, 2005, and 1978) the
world's largest automaker has sold more than 9 million vehicles
in a calendar year.

The company's 2006 global sales were down less than 1% from the
9.17 million vehicles sold in 2005, reflecting a number of
factors, including planned cuts of 75,000 vehicles in daily
rental fleet sales in the United States and offsetting growth in
other global markets.

"GM had some notable sales successes as we continued to expand
in key growth markets around the world in 2006," John
Middlebrook, GM vice president, Global Sales, Service and
Marketing Operations said.

"In 2006, we saw 18% growth in the Asia/Pacific region, and 17%
growth in the Latin America, Africa, and Middle East region.  
We're also seeing improving results in Europe where we sold more
than 2 million vehicles for the first time."

The expansion of GM's four global brands -- Chevrolet, HUMMER,
Saab, and Cadillac -- is showing concrete signs of success.

Global sales of GM's value brand, Chevrolet, were 4.3 million
vehicles compared with 2005 sales of 4.37 million.  Chevrolet
showed growth in all three regions outside North America, with
the strongest performance in the Latin America, Africa and the
Middle East region, with an additional 19% (144,000 vehicles)
delivered over the 2005 level.  Chevrolet also performed well in
the Asia/Pacific region, which also was up 19%.  There was a 15%
increase in Chevrolet sales in Europe, compared with 2005.  The
Chevrolet Aveo helped Chevrolet field a strong competitor in the
very competitive global small car market.

GM also retains its strong truck portfolio, evidenced by HUMMER
sales that grew nearly 34% globally in 2006, with 82,000
vehicles delivered, compared with 61,000 in 2005.  This
performance was paced by the continued strength of the midsize
H3.  While much of this growth was in the United States (up
26%), HUMMER also saw significant expansion in Mexico and
Canada.

Saab's 2006 global sales set a record at more than 133,000
vehicles.  Saab had its highest sales volume ever in Europe,
exceeding 90,000 vehicles and record sales in Spain, Belgium,
and Canada.

Cadillac posted a sales increase outside of North America last
year, thanks to 22% sales growth in Europe.

Global sales highlights include:

   * at 4.97 million vehicles, 2006 sales outside of the United
     States accounted for about 55% of GM's total global sales,
     growing at close to 7% compared with 2005, outpacing the
     industry average growth rate of 6%.  The industry has seen
     a 10 million vehicle increase in the global automotive
     market in the past five years, and the market now tops 67
     million.

   * in the Asia/Pacific region, GM sales of 1.26 million
     vehicles topped 1 million vehicles for the second
     consecutive year, and GM China saw more than 32% sales
     growth, compared with 2005, outpacing the country's
     industry growth rate of 26%.  GM was the top-selling
     automaker in China in 2006, with 877,000 vehicles sold.  
     For the first time, GM sold more Buicks in China (304,000)
     than in the United States (241,000).

   * in the Latin America, Africa and Middle East region, GM
     sales reached an all-time record 1.03 million vehicles,
     exceeding 1 million vehicles for the first time, up 17% in
     volume compared with 2005.  Truck sales were up 21% and car
     sales were up 16%.  GM saw volume increases in 10 of 11
     major Latin America, Africa, and Middle East markets in
     2006.  GM do Brazil set an all-time domestic sales record
     with 410,000 vehicles delivered.

   * in Europe, GM sales -- for the first time -- exceeded
     2 million vehicles, up about 1%.  Growth in Eastern Europe,
     up 59%, led the increase.  Cadillac, Corvette, HUMMER,
     Saab, and Chevrolet set European sales records for their
     brands.  Chevrolet achieved record sales of more than
     340,000 vehicles, up 15%.  Saab sold more than
     90,000 vehicles, beating its previous European sales record
     of 82,000 sold in 2005.

Several of GM's regional brands also experienced notable growth
in 2006.

Opel and Vauxhall sold 1.6 million vehicles, growing share in
14 European markets.  The brands achieved segment leadership
with Meriva and Zafira -- in the monocab segment -- and second
position with Astra in the popular compact segment.

Saturn sales in the United States and Canada were up 5% compared
with 2005, largely on the popularity of the new 2007 Aura, Sky,
and Vue Green Line Hybrid.  Saturn expects stronger sales this
year as it continues the launch of the Outlook crossover and
welcomes the Ion small-car replacement, Astra.

GM Holden sold 147,000 vehicles in 2006 and the brand
strengthened its second-place position in Australia, as the
Commodore remained that country's best-selling car for the 11th
consecutive year.

As GM executes the North America turnaround plan, much media
attention has focused on the global sales horse races between GM
and its competitors.  "Being the largest car company in the
world can't be a focus, it has to be a by-product of giving
people in each market the vehicles they really want.  GM enjoys
that position today," Mr. Middlebrook said.  

"GM employees remain focused on delivering cars and trucks that
lead in design, quality and technology.  We believe our newest
products reflect that commitment.  But no one should question
our continued resolve to compete head-to-head with every
automaker."

                     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 284,000
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 Troubled Company Reporter-Europe on
Dec. 15, 2006, Standard & Poor's Ratings Services affirmed its
'B' corporate credit rating and other ratings on General Motors
Corp. and removed them from CreditWatch with negative
implications, where they were placed March 29, 2006.  S&P said
the outlook is negative.

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 US$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 US$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
Corp.


GLOBAL HERBAL: Appoints Peter Bridger to Liquidate Assets
---------------------------------------------------------
Peter Bridger of Bridgers was appointed liquidator of Global
Herbal Products Ltd. on Nov. 16, 2006, for the creditors'
voluntary winding-up proceeding.

The company can be reached at:  

         Global Herbal Products Ltd.
         Curzon Street  
         Calne  
         Wiltshire SN110DD  
         England
         Tel: 070 0078 5854


GRANGE DIRECT: Claims Filing Period Ends February 28
----------------------------------------------------
Creditors of Grange Direct Ltd. have until Feb. 28 to send in
their full forenames and surnames, their addresses and
descriptions, full particulars of their debts or claims, and the
names and addresses of their Solicitors (if any) to:

         Martin C. Armstrong
         Liquidator
         Turpin Barker Armstrong
         Allen House
         1 Westmead Road
         Sutton
         Surrey SM1 4LA
         England

The company can be reached at:

         Grange Direct Ltd.
         Unit 16 The Pines Trading Est  
         Broad Street  
         Guildford  
         Surrey GU3 3BH  
         England
         Tel: 014 8353 8468  
         Fax: 01483 303533  


HONEYCOMBE LEISURE: In Talks with Bankers Over GBP33-Mln Loan
-------------------------------------------------------------
Pub operator Honeycombe Leisure plc revealed that discussions
with bankers over a further extension of its GBP33 million loan
facility as well as takeover talks with an unnamed third-party
buyer are ongoing, Nic Paton writes for CatererSearch.

According to Tenon Audit Ltd., the group's auditors, the
negotiations indicated "the existence of a material uncertainty
which may cast significant doubt about the group's ability to
continue as a going concern."

Honeycombe's hight street venues suffered from lack of
investment while its food-led pubs faced competitive conditions
as customers visited rival pubs showing the World Cup.  Total
sales of the group were down 16% to GBP18.8 million, however,
sales over the two-week Christmas period were up 3.2%, The
Publican relates.

Honeycombe chairman Sandy Anderson told CatererSearch that the
company's position has deteriorated over the past two years to
three years and has gone from usefully profitable to marginally
profitable.

The pub operator is also concerned about the looming smoking
ban.

Headquartered in Preston, England, Honeycombe Leisure plc --
http://www.honeycombe.co.uk/-- operates a growing estate of  
over 95 individually managed pubs and hotels throughout the
North of England.


INTELSAT LTD: Bermuda Unit Issues US$600 Million Senior Notes
-------------------------------------------------------------
Intelsat Bermuda Ltd. issued US$600 million in aggregate
principal amount of Floating Rate Senior Notes due 2015.  

The Refinancing Notes bear interest at LIBOR plus 350 basis
points.  The net proceeds from the Refinancing Notes, together
with cash on hand, were used to refinance the company's
outstanding US$600 million senior unsecured credit facility.

The Indenture contains covenants, which include, among other
things:

   -- a limitation on Intelsat Bermuda and some of its
      subsidiaries' ability to incur or guarantee additional
      debt or issue disqualified or preferred stock;

   -- a limitation on Intelsat Bermuda's and some of its
      subsidiaries' ability to pay dividends, make other equity
      distributions or repurchase or redeem capital stock;

   -- a limitation on Intelsat Bermuda's and some of its
      subsidiaries' ability to make certain investments;

   -- a limitation on Intelsat Bermuda's and some of its
      subsidiaries' ability to enter into transactions with
      affiliates;

   -- a limitation on merger, consolidation, amalgamation and
      sale of assets applicable to Intelsat Bermuda and some of
      its subsidiaries; and

   -- a limitation on Intelsat Bermuda's and some of its
      subsidiaries' ability to incur liens on any of Intelsat
      Bermuda's assets securing other indebtedness.

The Indenture also contains events of default with respect to:

   -- default in payments of interest after a 30-day grace
      period or a default in the payment of principal when due;

   -- subject to a certain exception, default in the performance
      of any covenant in the Indenture that continues for more
      than 60 days after notice of default has been provided to
      Intelsat Bermuda;

   -- failure to make any payment when due, including applicable
      grace periods, under any indebtedness for money borrowed
      by Intelsat, Ltd., Intelsat Bermuda or a significant
      subsidiary thereof having a principal amount in excess of
      US$75 million;

   -- the acceleration of the maturity of any indebtedness for
      money borrowed by Intelsat, Ltd., Intelsat Bermuda or a
      significant subsidiary thereof having a principal amount
      in excess of US$75 million;

   -- failure by Intelsat, Ltd., Intelsat Bermuda or a
      significant subsidiary to pay final judgments aggregating
      in excess of US$75 million, which judgments are not
      discharged, waived or stayed for 60 days; and

   -- certain events of bankruptcy, insolvency or reorganization
      of Intelsat, Ltd., Intelsat Bermuda or a significant
      subsidiary.

The Refinancing Notes are redeemable on the dates, at the
redemption prices and in the manner specified in the Indenture.

Intelsat Bermuda agreed pursuant to a registration rights
agreement to make an offer to exchange the Refinancing Notes for
registered, publicly tradable notes that have substantially
identical terms to the Refinancing Notes.

A full-text copy of the Company's Indenture is available for
free at: http://ResearchArchives.com/t/s?18c4

A full-text copy of the Company's Registration Rights Agreement
is available for free at: http://ResearchArchives.com/t/s?18c5

Intelsat, Ltd. - http://www.intelsat.com/-- offers telephony,  
corporate network, video and Internet solutions around the globe
via capacity on 25 geosynchronous satellites in prime orbital
locations.  Customers in around 200 countries rely on Intelsat's
global satellite, teleport and fiber network for high-quality
connections, global reach and reliability.

                        *     *     *

Moody's Investors Service has assigned a B2 rating to Intelsat
Ltd.'s proposed US$1 billion of Senior Unsecured Term Loan and a
Caa1 rating to Intelsat Bermuda's proposed US$600 million Senior
Unsecured Notes.  

On Oct. 17, 2006, Fitch Ratings assigned a 'CCC+' rating and
'RR6' Recovery Rating to the US$600 million senior unsecured
credit facility of Intelsat Bermuda, Ltd., which is a subsidiary
of Intelsat, Ltd.


LADBROKES PLC: Acquires Nordic Gaming Partner Sponsio Ltd.
----------------------------------------------------------
Ladbrokes Plc has acquired Sponsio Ltd., its online betting and
gaming partner in Sweden, Norway, Denmark and Finland.

The acquisition is aimed at strengthening Ladbrokes' position in
the Nordic region, where per capita spend on gambling is among
the highest levels in Europe.

Ladbrokes will pay an initial consideration of GBP36 million to
acquire the company, with an additional GBP4 million due if
future growth targets are achieved in the region.  The
acquisition will be earnings enhancing in the first year of
ownership.

Ladbrokes signed a partnership agreement with Sponsio Ltd. in
2001 to expand the Ladbrokes business in the Nordic region.
Today the Nordic countries together represent the biggest
earning region for Ladbrokes eGaming outside of the U.K.

Following the acquisition, Douglas Roos, current Managing
Director of Sponsio Ltd. will head up Ladbrokes' Scandinavian
division.  Ladbrokes aims to build on the historic success of
the partnership with the Sponsio team and expand the range of
localized betting and gaming opportunities available to
customers across the region.

"Working with Sponsio has enabled Ladbrokes to become one of the
leading online betting and gaming companies in the Nordic
region. Having benefited from their local expertise, we are now
consolidating our Nordic operations and will continue to drive
successful online growth throughout Scandinavia," John O'Reilly,
Managing Director of Ladbrokes Remote Betting and Gaming
commented.

"We are proud of both the success that we have achieved and the
brand recognition that Ladbrokes now commands in the Nordic
region.  We feel that this deal will help Ladbrokes increase its
market share and serve its Nordic customers even better," Bertil
Knutsson of Sponsio Ltd. commented.

                       About Ladbrokes

Headquartered in Watford, United Kingdom, Ladbrokes plc --
http://www.ladbrokesplc.com/-- engages in fixed odds betting.  
The company is comprised of Ladbrokes, the biggest retail
bookmaker in the U.K. and Ireland, Ladbrokes.com, a world-
leading provider of interactive betting and gaming services,
Vernons, the leading football pools operator and Ladbrokes
Casinos, which opened its first casino at the Hilton London
Paddington in July 2006.

                        *     *     *

As reported in the TCR-Europe on Oct. 26, Standard & Poor's
Ratings Services affirmed its 'BB' ratings on the senior
unsecured debt of the U.K.-based gaming operator Ladbrokes PLC
and its guaranteed subsidiary Ladbrokes Group Finance PLC, and
removed the ratings from CreditWatch with negative implications.

Moody's Investors Service downgraded in February the senior
unsecured long-term ratings of Hilton Group Plc (nka Ladbrokes
Plc) and its guaranteed subsidiaries to Ba2 from Baa3; the
outlook is stable.


ONE PLUS: Enters Liquidation After Rejection of Rescue Package
--------------------------------------------------------------
One Plus, one of Scotland's biggest child care providers, has
gone into liquidation after Scottish Executive ministers turned
down a GBP2 million rescue package, BBC News reports.

According to a spokesman for the Scottish Executive, the
refinancing "just did not stand up."  He added that the
ministers wanted to know how financial difficulties had been
allowed to develop.

A spokeswoman for One Plus revealed that the board has been
advised by accountants and lawyers that they have no option but
to place the company into liquidation as attempts to keep the
business running failed, BBC relates.

The Glasgow City Council, one of One Plus's biggest customers,
is coordinating with other organizations in providing assistance
to families and children affected by any potential care
disruption.  The city council has already extended GBP700,000 of
financial support, BBC discloses.

More than 1,000 families rely on the services of One Plus
annually.  The organization costs about GBP11 million a year to
operate with more than half the money coming from public funds.

News of the liquidation generated a "great amount of anger and
disappointment from the workers," Dan Sharpe, regional
industrial organizer for the TGW union, was quoted by BBC as
saying.

                        About One Plus

One Plus -- http://www.oneplus.org/-- provides new  
opportunities to lone parents and other families, creating
training, employment and services in communities throughout
Scotland.  One Plus Childcare is one of Scotland's leading
voluntary sector providers of high-quality childcare services.  
It specializes in providing affordable, accessible childcare and
in training childcare staff to meet the professional standards
set by the Scottish Executive.  One Plus delivers school age
childcare in over thirty out of school care centers and pre-five
provision in eight childcare centers.


REFCO INC: Bankr. Court Denies Michael McNeil's Stay Request
------------------------------------------------------------
The Hon. Robert D. Drain of the U.S. Bankruptcy Court for the
Southern District of New York denied the request of Michael A.
McNeil to grant a stay on the Dec. 15, 2006, Court order
confirming the Modified Chapter 11 Plan filed by Refco Inc. and
its debtor-affiliates, so that the Debtors' assets would not be
distributed until the Jan. 9, 2007 hearing.

Judge Drain said the request is not appropriate under given
circumstances.

Mr. McNeil, a commodity futures customer of Refco F/X Associates
LLC, states that if Judge Drain denies his request, he will be
completing the process of his appeal from the Plan Confirmation
Order to the District Court, to have any of his requests
considered by the appellate court.

           Plan Administrators Supports Denying Stay Motion

Priort to the Court's order, RJM, LLC, as Plan Administrator,
and Marc S. Kirschner, Chapter 11 Trustee of Refco Capital
Markets, Ltd., and acting as the RCM Plan Administrator under
the Modified Plan, ask the Court to deny the Stay Motion because
Mr. McNeil has failed to:

   (a) show that the extraordinary remedy of substantive
       consolidation would be appropriate in the Debtors' cases;

   (b) demonstrate that FXA should be considered a commodity
       broker, and that the Court erred as a matter of fact when
       it found that the Debtors' case presents "unusual
       circumstances" sufficient to permit the Debtors,
       including a Debtor preliminarily adjudged to be broker,
       to be in Chapter 11; or

   (c) prove an entitlement to a constructive trust that would
       prefer him over similarly situated creditors.

Timothy B. DeSieno, Esq., at Bingham McCutchen LLP, in New York,
tells Judge Drain that Mr. McNeil should not be permitted to
jeopardize the myriad debtor-creditor, inter-debtor and inter-
creditor compromises, and releases as embodied in the Plan.
Mr. DeSieno states that since the entry of the Confirmation
Order, the Plan has been substantially consummated.

"This renders Mr. McNeil's appeal moot, further reducing the
chances that Mr. McNeil can prevail on appeal," Mr. DeSieno
states.

In addition, Mr. DeSieno argues that Mr. McNeil has failed to
show any risk of irreparable injury to himself if the requested
stay is not granted.  Mr. DeSieno notes that Mr. McNeil is a
creditor with a US$68,000 claim against FXA and is currently
entitled to all of the benefits afforded under the Plan to
others similarly situated.

Mr. DeSieno further contends that the risks to the settlements
embodied in the Plan would be greatly increased by an indefinite
stay, and the remaining distributions to other FXA creditors and
the other Refco estates would be delayed.  Other creditors in
the Debtors' Chapter 11 cases should not be the ones to bear
those risks and delays, Mr. DeSieno maintains.

Moreover, Mr. DeSieno avers that Mr. McNeil has failed to show
that the public interest would favor granting a stay.  Indeed,
Mr. DeSieno points out, the interests of the bulk of creditors
in the Debtors' case would be harmed, not served, by the
requested stay.

In the unlikely event that the Court is inclined to grant a
stay, the Administrators insist that Mr. McNeil should be
required to post a bond to protect the thousands of other
creditors against the harm that will befall them if Mr. McNeil
is unsuccessful in his appeal.

The Administrators maintain that the creditors must await the
resolution of Mr. McNeil's appellate litigation order to receive
their Plan-specified distributions.

                      About Refco Inc.

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

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

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

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

Three more affiliates of Refco, Westminster-Refco Management
LLC, Refco Managed Futures LLC, and Lind-Waldock Securities LLC,
filed for chapter 11 protection on June 6, 2006 (Bankr. S.D.N.Y.
Case Nos. 06-11260 through 06-11262).

Refco Commodity Management, Inc., formerly known as CIS
Investments, Inc., a debtor-affiliate of Refco Inc., filed for
chapter 11 protection on Oct. 16, 2006 (Bankr. S.D.N.Y. Case No.
06-12436).  (Refco Bankruptcy News, Issue No. 54; Bankruptcy
Creditors' Service, Inc., http://bankrupt.com/newsstand/or  
215/945-7000)

                        Plan Update

On Sept. 14, 2006, Refco, Inc., and 25 of its subsidiaries,
along with Marc S. Kirschner, the Chapter 11 Trustee for the
estate of Refco Capital Markets, Ltd., delivered a Chapter 11
plan of reorganization and accompanying Disclosure Statement to
the Court.

On Oct. 10, 2006, the Debtors filed an Amended Plan and
Disclosure Statement and on Oct. 13, filed a Modified Amended
Disclosure Statement.  On Oct. 16, 2006, the Court gave its
tentative approval on the Disclosure Statement and the Court
Clerk entered an order on Oct. 20, 2006.

On Dec. 15, 2006, the Modified Joint Chapter 11 Plan of Refco
Inc. and certain of its direct and indirect subsidiaries,
including Refco Capital Markets, Ltd., and Refco F/X Associates
LLC, was confirmed by the Court.  That Plan became effective on
Dec. 26, 2006.  


REFCO INC: Court Directs Grant Thornton to Produce Documents
------------------------------------------------------------
The Hon. Robert D. Drain of the U.S. Bankruptcy Court for the
Southern District of New York granted the request of Joshua R.
Hochberg, the duly appointed examiner in Refco Inc. and its
debtor-affiliates' Chapter 11 cases, to compel Grant Thornton
LLP to produce certain documents under its custody.

The Lead Plaintiff's objection is overruled.

Judge Drain requires Grant Thornton to produce the documents on
or before the date that is 20 days after service of subpoenas
compelling the production as authorized by the Order.

Absent further Court order, the documents designated as
"Confidential" and produced in response to the subpoenas will or
may be made available to, and may be reviewed by:

   (a) the Examiner and attorneys McKenna Long & Aldridge LLP,
       which has been retained by the Examiner to aid in the
       discharge of his duties;

   (b) consultants retained by the Examiner;

   (c) attorneys employed by Milbank, Tweed, Hadley & McCloy,
       LLP, counsel to the Official Committee of Unsecured
       Creditors;

   (d) consultants retained by the Committee, the Additional
       Official Committee of Unsecured Creditors or the Joint
       Subcommittee, including Houlihan Lokey Howard and Zukin,
       FTI Consulting Inc. and Alix Partners;

   (e) attorneys employed by Kasowitz, Benson, Torres & Friedman
       LLP, conflicts counsel to the Committee and counsel to
       the Additional Official Committee;

   (f) attorneys employed by Skadden, Arps, Slate, Meagher &
       Flom LLP, counsel to the Refco Debtors;

   (g) consultants employed by the Debtors, including Goldin
       Associates, LLC, and any of the consultants;

   (h) Marc S. Kirschner, the Chapter 11 Trustee of Refco
       Capital Markets, Ltd., and Bingham McCutchen LLP;

   (i) consultants retained by the RCM Trustee;

   (j) the United States Attorney's Office for the Southern
       District of New York; and

   (k) individuals who have been noticed for depositions,
       scheduled for interviews, or subpoenaed for testimony at
       a trial or hearing.

The production, review and handling of the Documents and
materials produced in response to the Subpoenas will be governed
by the terms of a protective order governing the production and
use of confidential material.

The Examiner believes that Grant Thornton is likely in
possession of documents detailing:

   (i) the procedures and policies applicable to audits and
       reviews performed on the Debtors' financial statements
       from Aug. 1, 2002, to Nov. 30, 2005; and

  (ii) the activities of individual Grant Thornton members,
       professionals, and staff in connection with the audits or
       reviews during the period.

Grant Thornton became the auditor for several of the Refco
companies from August 2002 through the Petition Date.  Grant
Thornton also conducted quarterly reviews of the Debtors'
financial statements.

For a significant period of time prior to becoming Refco's
auditor, Grant Thornton served as tax accountants to Phillip
Bennett, Refco's chairman and chief executive officer.

Based on his understanding of standard practice in the
accounting industry, the Examiner believes it is likely that
other members of Refco's senior management may have been tax
clients of Grant Thornton or may have received tax-related
information or services from the firm as well.

The Examiner states that the documents and information could
have a significant impact on his assessment of the potential
existence of claims against those within the scope of his
investigation.

The Examiner reserves his right to seek depositions at a future
date and to serve requests for supplemental and additional
documents.

A schedule of the Documents to be produced by Grant Thornton is
available at no charge at http://researcharchives.com/t/s?1894  

           Brokerage Customer Class Plaintiffs Object

The Court-appointed lead plaintiff in In re Refco Capital
Markets, Ltd. Brokerage Customer Securities Litigation, 06-CIV
643 (GEL), pending in the U.S. District Court for the Southern
District of New York opposes to the Motion to the extent that it
does not enumerate the Lead Plaintiff's counsel -- Cole, Schotz,
Meisel, Forman & Leonard, P.A., and Kirby McInerney and Squire,
LLP -- as one of the several parties which will be permitted
access to the Documents under certain restrictions.

The Lead Plaintiff wants the proposed order expanded to provide
its Lead Counsel the same access to the Documents as the other
listed entities.

                      About Refco Inc.

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

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

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

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

Three more affiliates of Refco, Westminster-Refco Management
LLC, Refco Managed Futures LLC, and Lind-Waldock Securities LLC,
filed for chapter 11 protection on June 6, 2006 (Bankr. S.D.N.Y.
Case Nos. 06-11260 through 06-11262).

Refco Commodity Management, Inc., formerly known as CIS
Investments, Inc., a debtor-affiliate of Refco Inc., filed for
chapter 11 protection on Oct. 16, 2006 (Bankr. S.D.N.Y. Case No.
06-12436).  (Refco Bankruptcy News, Issue No. 54; Bankruptcy
Creditors' Service, Inc., http://bankrupt.com/newsstand/or  
215/945-7000)

                        Plan Update

On Sept. 14, 2006, Refco, Inc., and 25 of its subsidiaries,
along with Marc S. Kirschner, the Chapter 11 Trustee for the
estate of Refco Capital Markets, Ltd., delivered a Chapter 11
plan of reorganization and accompanying Disclosure Statement to
the Court.

On Oct. 10, 2006, the Debtors filed an Amended Plan and
Disclosure Statement and on Oct. 13, filed a Modified Amended
Disclosure Statement.  On Oct. 16, 2006, the Court gave its
tentative approval on the Disclosure Statement and the Court
Clerk entered an order on Oct. 20, 2006.

On Dec. 15, 2006, the Modified Joint Chapter 11 Plan of Refco
Inc. and certain of its direct and indirect subsidiaries,
including Refco Capital Markets, Ltd., and Refco F/X Associates
LLC, was confirmed by the Court.  That Plan became effective on
Dec. 26, 2006.


SANMINA-SCI: S&P Retains Negative CreditWatch on BB- Ratings
------------------------------------------------------------
Standard & Poor's Ratings Services left its 'BB-' ratings on San
Jose, California-based Sanmina-SCI Corp. on CreditWatch with
negative implications because of delayed financial-statement
filings.  The company has filed required statements, but the
ratings remain on CreditWatch, reflecting concerns about the
company's deteriorating profitability levels, negative cash flow
and weakening credit protection measures.

For the quarter ended Sept. 30, 2006, EBITDA margin dropped to
about 2.7% from a historic range of between 3.5% and 4.0%, after
adjusting for one-time charges related to the termination of its
original design manufacturer initiative and the stock-option
investigation.

"Weakened profitability is attributable to ongoing
inefficiencies in the migration of production from closed
European facilities to new, low-cost plants," said S&P credit
analyst Lucy Patricola. The company continues to experience
declining revenue and poor profitability in its personal
computing business, down about 20% for the year and generating a
2% gross profit margin. Cash flow from operations continues
negative on expanding inventory levels, resulting in borrowings
under its line of credit and declining cash balances.  Debt
protection measures weakened, with debt to EBITDA at 5.2x for
the trailing 12 months, up from 4.2x in the previous quarter.

If the company continues to report execution issues or further
weakness in the personal computing business, causing weak
profitability, the rating could be lowered one notch.


SCOTTS MIRACLE: S&P Holds Corporate Credit Rating at BB
-------------------------------------------------------
Standard & Poor's Ratings Services affirmed its ratings,
including the 'BB' corporate credit rating, on lawn and garden
care products supplier The Scotts Miracle-Gro Co.

The ratings have been removed from CreditWatch with negative
implications, where they were placed on Dec. 13, 2006 after the
company's report that it will return US$750 million to its
shareholders through a US$500 million special one-time cash
dividend and fund share repurchases of up to US$250 million.

The outlook is negative.

As of Sept. 30, 2006, Scotts had about US$481.2 million in total
debt outstanding, excluding operating lease obligations.

Scotts will have about US$1.7 billion in debt outstanding
subsequent to its leveraged recapitalization.  The company plans
to fund the share repurchase and special dividend through a
proposed US$2.1 billion senior secured credit facility,
consisting of a US$1.55 billion revolving credit facility due
2012 and a US$550 million term loan A due 2012.  

As part of the plan, the company intends to launch a tender
offer to repurchase its existing US$200 million of 6.625% senior
subordinated notes.  Upon successful completion of the tender,
Standard & Poor's would withdraw the 'B+' rating on the
company's subordinated notes.  Scotts expects to complete the
recapitalization by March 31, 2007.

"The 'BB' rating reflects the competitive markets in which the
company participates, the seasonal nature of its revenue
streams, an increasingly concentrated retail base, and a more
aggressive financial policy," said Standard & Poor's credit
analyst Chris Johnson.

"Partially mitigating these factors are the company's leading
market positions and well-recognized brand names."

Pro forma for the transaction, the company will become highly
leveraged.  Pro forma lease adjusted average debt to EBITDA is
expected to be about 4.2x compared with average leverage of
about 2.0x at Sept. 30, 2006.  Pro forma funds from operation to
total average debt is expected to be about 15% compared with
just below 30% prior to the planned transactions.

Standard & Poor's expects the company to apply a portion of
adjusted free operating cash flows to debt reduction, to bring
average debt leverage to levels more appropriate for the rating
category over the intermediate term.


SEA CONTAINERS: Committee Taps Morris Nichols as Counsel
--------------------------------------------------------
The Official Committee of Unsecured Creditors in Sea Containers,
Ltd. and its debtor-affiliates bankruptcy case ask authority
from the Honorable Kevin J. Carey of the U.S. Bankruptcy Court
for the District of Delaware to retain Morris, Nichols, Arsht &
Tunnell LLP as its Delaware counsel, nunc pro tunc to
Oct. 26, 2006.

The Creditors Committee selected Morris Nichols because of the
firm's extensive experience, knowledge and resources in the
fields of, inter alia, debtors' and creditors' rights and
business reorganizations under Chapter 11 of the Bankruptcy
Code, Andrew B. Cohen, managing director of Dune Capital LLC,
relates.

Mr. Cohen adds that Morris Nichols is well qualified to
represent the Creditors Committee because of its expertise,
experience and knowledge practicing before the U.S. Bankruptcy
Court for the District of Delaware, as well as its proximity to
the Court, and its ability to respond quickly to emergency
hearings and other emergency matters in the Court.

Specifically, Morris Nichols will:

   (a) advise the Creditors Committee with respect to its
       rights, duties and powers in the Debtors' Chapter 11
       cases;

   (b) assist and advise the Creditors Committee in its  
       consultations with the Debtors relative to the
       administration of their cases;

   (c) assist the Creditors Committee in analyzing the claims of
       the Debtors' creditors in negotiating with them;

   (d) assist with the Creditors Committee's investigation of
       the acts, conduct, assets liabilities and financial
       condition of the Debtors and of the operation of their
       business;

   (e) assist the Creditors Committee in its analysis of, and
       negotiations with, the Debtors or their creditors
       concerning matters related to, among other things, the
       terms of a plan of reorganization for the Debtors;

   (f) assist and advise the Creditors Committee with respect to
       its communications with the general creditor body
       regarding significant matters in the Debtors' bankruptcy
       cases;

   (g) assist and counsel the Creditors Committee in respect to
       its organization, the conduct of its business and
       meetings, the dissemination of information to its
       constituency, and other matters as are reasonably deemed
       necessary to facilitate the administrative activities of
       the Committee;

   (h) attend the meetings of the Creditors Committee;

   (i) represent the Creditors Committee at all hearings and
       other proceedings;

   (j) review and analyze all applications, orders, statements
       of operations and schedules filed with the Court and
       advise the Creditors Committee as to their propriety;

   (k) assist the Creditors Committee in preparing pleadings and
       applications as may be necessary in furtherance of the
       Creditors Committee's interests and objectives; and

   (1) perform other legal services as may be required and are
       deemed to be in the interests of the Creditors Committee
       in accordance with the Committee's powers and duties as
       set forth in the Bankruptcy Code.

Morris Nichols will be paid on an hourly basis, plus
reimbursement of actual and necessary expenses incurred:

      Designation                      Hourly Rate
      -----------                      -----------
      Partners                         US$425 - US$625
      Associates                       US$220 - US$400
      Paraprofessionals                   US$175
      Case Clerks                         US$100

William H. Sudell, Jr., Esq., a partner at Morris Nichols,
assures the Court that his firm is a "disinterested person" as
defined in Section 101(14) of the Bankruptcy Code.  Morris
Nichols does not hold or represent any interest adverse to the
Debtors' estates or their creditors, Mr. Sudell adds.

                      About Sea Containers

Headquartered in Hamilton, Bermuda, Sea Containers Ltd. --
http://www.seacontainers.com/-- provides passenger and freight  
transport and marine container leasing.  Registered in Bermuda,
the company has regional operating offices in London, Genoa, New
York, Rio de Janeiro, Sydney, and Singapore.  The company is
owned almost entirely by United States shareholders and its
primary listing is on the New York Stock Exchange (SCRA and
SCRB) since 1974.  On Oct. 3, the company's common shares and
senior notes were suspended from trading on the NYSE and NYSE
Arca after the company's failure to file its 2005 annual report
on Form 10-K and its quarterly reports on Form 10-Q during 2006
with the U.S. Securities and Exchange Commission.

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

Sea Containers Ltd. and two subsidiaries filed for chapter 11
protection on Oct. 15, 2006 (Bankr. D. Del. Case No. 06-11156).
Robert S. Brady, Esq., at Young, Conaway, Stargatt & Taylor
represents the Debtors in their restructuring efforts.  When the
Debtors filed for protection from their creditors, they reported
US$1.7 billion in total assets and US$1.6 billion in total
debts.  (Sea Containers Bankruptcy News, Issue No. 9; Bankruptcy
Creditors' Service, Inc., http://bankrupt.com/newsstand/or   
215/945-7000)


SEA CONTAINERS: Principal Financial Discloses 9.5% Equity Stake
---------------------------------------------------------------
In a regulatory filing with the U.S. Securities and Exchange
Commission dated Jan. 11, 2007, Principal Financial Group,
Inc., disclosed that it beneficially owns 2,480,300 shares of
Sea Containers Ltd.'s common stock, which represents 9.5% of the
total outstanding shares issued.

Principal Financial's subsidiary, Post Advisory Group, LLC, also
holds beneficial ownership of the 2,480,300 shares of SCL stock.  

Post Advisory is the beneficial owner of the shares on behalf of
the numerous clients who have the right to receive and the power
to direct the receipt of dividends from, or the proceeds of the
sale of, the Common Stock.  No client has the right to receive
or the power to direct the receipt of dividends from, or the
proceeds from the sale of, more than 5% of SCL's Common Stock.

Principal Financial and Post Advisory have shared voting and
selling power over the shares.

                      About Sea Containers

Headquartered in Hamilton, Bermuda, Sea Containers Ltd. --
http://www.seacontainers.com/-- provides passenger and freight  
transport and marine container leasing.  Registered in Bermuda,
the company has regional operating offices in London, Genoa, New
York, Rio de Janeiro, Sydney, and Singapore.  The company is
owned almost entirely by United States shareholders and its
primary listing is on the New York Stock Exchange (SCRA and
SCRB) since 1974.  On Oct. 3, the company's common shares and
senior notes were suspended from trading on the NYSE and NYSE
Arca after the company's failure to file its 2005 annual report
on Form 10-K and its quarterly reports on Form 10-Q during 2006
with the U.S. Securities and Exchange Commission.

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

Sea Containers Ltd. and two subsidiaries filed for chapter 11
protection on Oct. 15, 2006 (Bankr. D. Del. Case No. 06-11156).
Robert S. Brady, Esq., at Young, Conaway, Stargatt & Taylor
represents the Debtors in their restructuring efforts.  When the
Debtors filed for protection from their creditors, they reported
US$1.7 billion in total assets and US$1.6 billion in total
debts.  (Sea Containers Bankruptcy News, Issue No. 9; Bankruptcy
Creditors' Service, Inc., http://bankrupt.com/newsstand/or   
215/945-7000)


SKYEPHARMA PLC: Dr. David Ebsworth Buys 67,000 Ordinary Shares
--------------------------------------------------------------
SkyePharma PLC Non-Executive Director Dr. David Ebsworth
purchased on Jan. 19 67,000 Ordinary Shares in the Company at a
price of 23.99 pence per share.  The shares are registered in
the name of DWP Bank.  

As a result of the transaction Dr. Ebsworth now has a beneficial
interest in 200,000 Ordinary Shares in the Company, which
represents 0.03% 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.


STEINWAY MUSICAL: Terminates Dennis Bamber Asset Purchase Pact
--------------------------------------------------------------
Steinway Musical Instruments Inc. provided a notice of
termination of the asset purchase agreement with Dennis Bamber
Inc. dba The Woodwind & The Brasswind.

As reported in the Troubled Company Reporter on Dec. 21, 2006,
Steinway has been named the lead bidder in the auction for music
retailer The Woodwind & The Brasswind, which filed for Chapter
11 bankruptcy protection in November 2006 after losing a
lawsuit.

Based on the due diligence performed, the company has concluded
that there will be a failure of certain conditions necessary to
close the transaction.  Therefore, Steinway is exercising its
right to terminate the agreement.  The timing and effect of the
termination is subject to approval by the U.S. Bankruptcy Court
for the Northern District of Indiana.

               About The Woodwind & The Brasswind

Headquartered in South Bend, Indiana, Dennis Bamber, Inc. dba
The Woodwind & The Brasswind sells musical instruments through
its retail store, catalogs and Internet sites.  The company
filed for chapter 11 protection on Nov. 21, 2006 (Bankr. N.D.
Ind. Case No. 06-31800).  Howard L. Adelman, Esq., at Adelman &
Gettleman, Ltd., in Chicago, Illinois, represents the Debtor.  
When the Debtor filed for protection from its creditors, it
estimated assets and debts between US$1 million and US$100
million.

               About Steinway Musical Instruments

Steinway Musical Instruments, Inc. --
http://www.steinwaymusical.com/ -- (NYSE: LVB), through its  
Steinway and Conn-Selmer divisions, manufactures musical
instruments.  Its notable products include Bach Stradivarius
trumpets, Selmer Paris saxophones, C.G. Conn French horns,
Leblanc clarinets, King trombones, Ludwig snare drums and
Steinway & Sons pianos.  The company employs a workforce of over
2,300 and operates 14 manufacturing facilities in the United
States and Europe.

                          *     *     *

As reported in the Troubled Company Reporter on Nov. 7, 2006,
Standard & Poor's Ratings Services placed its ratings for
Steinway Musical Instruments Inc., including the 'BB-' corporate
credit rating, on CreditWatch with negative implications.

As reported in the TCR-Europe on Oct. 4, 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. consumer products sector, the rating agency
confirmed its Ba3 Corporate Family Rating for Steinway Musical
Instruments, and downgraded its Ba3 rating to B1 on the
company's US$175 million senior unsecured notes.  Additionally,
Moody's assigned an LGD4 rating to those bonds, suggesting
noteholders will experience a 64% loss in the event of a
default.


TRANSRENT TRAILER: Names Administrators from Deloitte & Touche
--------------------------------------------------------------
Nicholas Guy Edwards, Neville Barry Khan and Dominic Lee Zoong
Wong of Deloitte & Touche LLP were appointed joint
administrators of Transrent Trailer Rental Ltd. (Company Number
03528641), Transrent Holdings Ltd. (Company Number 04191385),
and United Transport Finance Ltd. (Company Number 04199831) on
Jan. 11.

Deloitte & Touche LLP -- http://www.deloitte.com/-- provides  
audit, tax, consulting and corporate finance services through
more than 9,000 people in 21 locations.  The group is the United
Kingdom member firm of Deloitte Touche Tohmatsu, a Swiss Verein
whose member firms are separate and independent legal entities.   

Transrent Trailer Rental Ltd. can be reached at:

         Askeys Farm Lane
         Grays
         Essex RM20 3EG  
         United Kingdom
         Tel: 01375 387 187


U.K. COAL: HSE Calls for Review of Ground Control Requirements
--------------------------------------------------------------
The Health and Safety Executive issued an order, which calls for
a systematic review of ground control requirements in an area of
U.K. Coal Plc's Daw Mill mine associated with the current
production phase.  

The review came as a result of a fatal accident last week caused
by a fall of ground.

At the present time, it is estimated this will mean production
at Daw Mill will be restricted for some four weeks.  No other
operations will be affected.

                       About the Company

Headquartered in Doncaster, United Kingdom, U.K. Coal Plc --
http://www.rjb.co.uk/-- produces coal and supplies around 7% of  
the country's energy needs for electricity generation.  The
company owns a power generation business utilizing waste
gas from coal mines to generate electricity and has received
planning permission for the development of the Group's first
wind farm.

At June 30, 2006, the company's balance sheet showed strained
liquidity with GBP157.4 million in total current assets
available to pay GBP183.7 million in total liabilities coming
due within the next 12 months.


VECTOR NETWORKS: Brings In Administrators from KPMG
---------------------------------------------------
Richard Dixon Fleming and Howard Smith of KPMG LLP were
appointed joint administrators of Vector Networks Ltd. (Company
Number 02699925) on Jan. 12.

KPMG LLP -- http://www.kpmg.co.uk/-- offers accounting, audit,  
and tax-related services to customers in such target industries
as banking, media and entertainment, consumer products, health
care providers, insurance, and pharmaceuticals.  

Vector Networks Ltd. can be reached at:

         Unit 4  
         Mercury Park
         Amber Close
         Tamworth
         Staffordshire B77 4RP
         United Kingdom
         Tel: 0182767333
         Fax: 0182767068

                           *********

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.

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                 * * * End of Transmission * * *