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        T R O U B L E D   C O M P A N Y   R E P O R T E R

                           E U R O P E

            Friday, January 26, 2007, Vol. 8, No. 19

                            Headlines


A U S T R I A

ALFRED BERNER: Creditors' Meeting Slated for January 30
ALLEGRO LLC: Vienna Court Orders Business Shutdown
ALU U. STAHLBAU: Creditors' Meeting Slated for January 29
BLOCKHAUS LLC: Creditors' Meeting Slated for February 13
FALKNER MASCHINENPUTZ: Linz Court Dismisses Property Manager

RINGSMUTH LLC: Claims Registration Period Ends January 31
UNIPROM HANDEL: Creditors' Meeting Slated for February 6


B E L G I U M

ARVINMERITOR INC: S&P Cuts BB Ratings & Removes Negative Watch
GREIF INC: S&P Rates Proposed US$300 Million Senior Notes at BB-


D E N M A R K

LEVEL 3: Completes US$132-Mln Acquisition of SAVVIS Network Biz
LEVEL 3: Investors Swap US$115-Mln Notes for 36.7 Million Shares


F I N L A N D

METSO OYJ: Inks EUR35-Mln Handling Equipment Deal with Alcoa


G E R M A N Y

AKTIENBRAUEREI VILSBIBURG: Claims Registration Ends February 15
ALLGEMEINE HYPOTHEKENBANK: Offers Mortgage Pfandbriefe Buyback
ARG REINIGUNGSDIENST: Claims Registration Ends February 16
BRAUNLAGER SCHLITTSCHUH: Claims Registration Ends February 14
CONCEPT & GRAPHIC: Claims Registration Ends February 13

DAIMLERCHRYSLER: Delaware Gives Incentive Bundle to Chrysler
HVS-HAUS-VERWALTUNGS: Creditors' Meeting Slated for February 7
JOSEF RHODE: Claims Registration Ends February 13
KIHA ZERSPANNUNGS: Claims Registration Ends February 14
MTU AERO: S&P Assigns BB- Rating to EUR150-Million Bonds

N.L.C. NASHVILLE: Claims Registration Ends February 16
NAPRAL EISCAFE: Creditors' Meeting Slated for February 19
PERIC & SOHN: Claims Registration Ends February 16
REIMER MEISTERBETRIEB: Claims Registration Ends February 14
VOLKSWAGEN AG: Skoda Unit Aims to Increase Sales by 5.5% in 2007

VOLKSWAGEN AG: Sets Up New Import Company in Ireland
WOLTERS IMMOBILIENKONTOR: Claims Registration Ends February 14


I R E L A N D

VOLKSWAGEN AG: Sets Up New Import Company in Ireland
ZOO HF: Fitch Assigns BB Rating to EUR5.5-Mln Class E Notes


I T A L Y

ALITALIA SPA: Texas Pacific to Bid for Italy's 30.1% Stake
FIAT SPA: To Collaborate with Tata Motors on Small Car Project


K A Z A K H S T A N

ARUANA-SERVICE LLP: Creditors Must File Claims by March 3
ASTANAGENPLAN: Proof of Claim Deadline Slated for March 9
EUROASIA TECHNICS: Pavlodar Court Opens Bankruptcy Proceedings
KARAGANDALIFT LLP: Claims Filing Period Ends March 9
KASKOR-INVEST LLP: Public Auction Scheduled for January 29

MEDIA SERVICE: Claims Registration Ends March 9
PROMTECHNOSERVICE LLP: Creditors Must File Claims by March 9
SNUB COMPLECT: Proof of Claim Deadline Slated for February 22
TIMIRAZEVSKY HLEBNY: Creditors' Claims Due March 3
TULPAR LLP: Claims Filing Period Ends March 3

USHKUL LLP: Proof of Claim Deadline Slated for March 3
ZAPKAZKAMAZ-KYZYLORDA LLP: Creditors' Claims Due March 3


K Y R G Y Z S T A N

AK-TILEK-A LLC: Creditors' Meeting Slated for January 30
DAKATA LLC: Creditors' Meeting Slated for January 31


L U X E M B O U R G

IIB LUXEMBOURG: Moody's Puts B1 Rating on Sr. Unsecured Notes
IIB LUXEMBOURG: Fitch Rates Upcoming Bond Issue at B/RR4


R U S S I A

AGRO-SNAB OJSC: Creditors Must File Claims by January 30
GAS-TUAPSE OJSC: Creditors Must File Claims by January 30
GOLUBAYA NIVA: Krasnodar Bankruptcy Hearing Slated for May 14
INTERNATIONAL INDUSTRIAL: Moody's Rates Senior Debenture at B1
INTERNATIONAL INDUSTRIAL: Fitch Rates Upcoming Bond Issue at B

INVEST-KHIM LLC: Orenburg Bankruptcy Hearing Slated for April 3
IRBITSKIY MOTOR: Creditors Must File Claims by March 2
KHABAROVSKIY FACTORY: Asset Bidding Deadline Slated for Jan. 30
KUKMORSKIY ELEVATOR: Creditors Must File Claims by March 2
LOCKO-BANK: Moody's Assigns E+ Financial Strength Rating

MEDVEDSKOYE GRAIN: Kirov Bankruptcy Hearing Slated for May 14
MGLIN-AGRO-TRANS OJSC: Asset Bidding Deadline Slated for Jan. 29
NORTH-EAST FISHING: Creditors Must File Claims by March 2
PLANET CJSC: Creditors Must File Claims by January 30
RUSSIAN BREAD: Creditors Must File Claims by March 2

RZHAVSKIYE SEEDS: Creditors Must File Claims by January 30
SIBERIA OJSC: Court Names S. Banenko as Insolvency Manager
SIBUR HOLDING: Moody's Assigns Ba2 Corporate Family Rating
SOKOLSKOYE GRAIN: Court Names V. Polyakov as Insolvency Manager
VNESHTORGBANK JSC: Shareholders' Meeting Slated for April 4


S P A I N

AIR MADRID: Air Plus Comet Takes Over Workforce & 7 LatAm Routes
MILLS CORP: Has Until January 2008 to Pay Back US$1 Billion Loan


S W I T Z E R L A N D

ALPHA HOLZBAU: St. Gallen Court Suspends Bankruptcy Proceedings
FUTURE TRANSPORTE: Olten Court Suspends Bankruptcy Proceedings
GASTRO PLANUNG: St. Gallen Court Starts Bankruptcy Proceedings
HOBI & SCHWARZMANN: St. Gallen Court Closes Bankruptcy Process
HTS HANDELS-TECHNIK: Solothurn Court Suspends Bankruptcy Process

LUKATEC LLC: Aargau Court Starts Bankruptcy Proceedings
MODE FIGURA: Aargau Court Starts Bankruptcy Proceedings
PARK PUB: St. Gallen Court Starts Bankruptcy Proceedings
PROFARM JSC: St. Gallen Court Suspends Bankruptcy Proceedings
RESTAURANT ROSE: Aargau Court Starts Bankruptcy Proceedings


T U R K E Y

FORTIS BANK: Fitch Affirms & Withdraws Low-B Ratings


U K R A I N E

AMVROSIEVSKOE LLC: Creditors Must Submit Claims by Feb. 8
AZOV BUSINESS: Creditors Must Submit Claims by Feb. 8
CHEMICAL RESERVE: Shareholders Opt to Wind Up Business
GRIF LLC: Claims Submission Deadline Set for February 8
NORINSK RUBBLY: Claims Submission Deadline Set for February 8


U N I T E D   K I N G D O M

ADVANCED MARKETING: Gets Court Nod to Employ BSI as Claims Agent
ADVANCED MARKETING: Court Sets Jan. 31 Bidding Protocol Hearing
AEROVAC SERVICES: Appoints Administrators from Vantis
AFFINIA GROUP: Moody's Lifts Corporate Family Rating to B2
ALPINE FOODS: Brings In Joint Administrators from BDO Stoy

AP HYDRAULICS: Claims Filing Period Ends March 22
AUTO DELIVERIES: Taps Administrators from Poppleton & Appleby
AUTOVETS LTD: Appoints Begbies Traynor to Administer Assets
AZURA IMPORT: Names T. Papanicola as Administrator
BRAZIER BROTHERS: Brings In Parkin S. Booth as Administrators

BRITISH AIRWAYS: Cabin Crew Union Agrees to Postpone Strike
BRITISH AIRWAYS: Plans Flight Cancellations to London
CAMPION MCCALL: Joint Liquidators Take Over Operations
CENTRAL GARDEN: Posts US$320 Million Sales in Qtr. Ended Dec. 30
CENTRAL SOUTHERN: Taps Moore Stephens to Administer Assets

CHAUFFEURCAR SERVICES: Appoints Leonard Curtis as Administrators
CLINICAL DIAGNOSTIC: Fanshawe Lofts Selling Diagnostic Firm
CONRAND LTD: Brings In Begbies Traynor as Administrators
COUNTRY SCENE: Appoints Joint Administrators from CBA
DFJ REALISATIONS: Appoints Neil Chesterton as Liquidator

DURA AUTOMOTIVE: Can Pay US$1.1 Million Prepetition Tax Claims
DURA AUTOMOTIVE: Judge Carey Approves Lease Rejection Procedures
ERICO INTERNATIONAL: S&P Withdraws BB- Corporate Credit Ratings
EOS UK: Creditors Must File Claims by Feb. 15
FLEET SAVE: Creditors' Claims Due April 9

FORD MOTOR: Posts US$12.75-Billion Net Loss in 2006
G2F LTD: Claims Registration Ends March 22
GLOBAL GARAGE: Hires Liquidator from Begbies Traynor
GSM LOGISTICS: S. J. Lowes Leads Liquidation Procedure
HINDLEFORM LTD: Creditors Must File Claims by March 9

HOLDEN ENGINEERING: Claims Filing Period Ends February 12
I T THROUGH: Proof of Claim Deadline Slated for March 31
L HUMPHREYS: Taps Susan Purnell to Liquidate Assets
LADDER SAFETY: Claims Filing Period Ends February 19
LEICESTER DYERS: Taps Liquidator from HKM LLP

MANCHESTER SPORTS: Claims Filing Period Ends May 15
MAPLEWOOD JOINERY: Names Keith Barry Stout Liquidator
MINERVA WORKSMAART: BDO Stoy Hayward Selling Hardware Supplier
PACKWELL CARTONS: Carton Manufacturer Up for Sale
REFER2US LTD: Appoints Neil Chesterton to Liquidate Assets

SEA CONTAINERS: Withdraws Plea for Non-Debtor Asset Sale
SEA CONTAINERS: Creditors' Panel Taps Houlihan Lokey as Advisor
SECAL SHEET: Calls On Creditors to File Claims
VALEANT PHARMA: Files Restated 2005 Financial Statements
VALEANT PHARMA: Moody's Confirms Low-B Rating After Restatement

* BOOK REVIEW: Health Plan: The Practical Solution to the
               Soaring Cost of Medical Care

                            *********

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A U S T R I A
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ALFRED BERNER: Creditors' Meeting Slated for January 30
-------------------------------------------------------
Creditors owed money by LLC Alfred Berner (FN 81659m) are
encouraged to attend the creditors' meeting at 10:00 a.m. on
Jan. 30 to consider the adoption of the rule by out-of-court
settlement.

The creditors' meeting will be held at:

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

Headquartered in St. Poelten, Austria, the Debtor declared
bankruptcy on Dec. 13, 2006 (Case No. 14 Sa 9/06y).  Friedrich
Nusterer serves as the court-appointed property manager of the
bankrupt estate.

The property manager can be reached at:

         Dr. Friedrich Nusterer
         Riemerplatz 1
         3100 St. Poelten, Austria
         Tel: 02742/47087
         Fax: 02742/47089
         E-mail: ra-nusterer@aon.at


ALLEGRO LLC: Vienna Court Orders Business Shutdown
--------------------------------------------------
The Trade Court of Vienna entered Dec. 4, 2006, an order
shutting down LLC Allegro (FN 277687p).

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

The property manager can be reached at:

         Dr. Kurt Freyler
         c/o Dr. Hans Rant
         Seilerstatte 5
         1010 Vienna, Austria
         Tel: 513 31 65
         Fax: 512 20 01
         E-mail: ra-kanzlei@rant-freyler.at

Headquartered in Vienna, Austria, the Debtor declared bankruptcy
on Nov. 28, 2006 (Bankr. Case No. 3 S 161/06f).  Hans Rant
represents Dr. Freyler in the bankruptcy proceedings.


ALU U. STAHLBAU: Creditors' Meeting Slated for January 29
---------------------------------------------------------
Creditors owed money by LLC Alu u. Stahlbau (FN 216893k) are
encouraged to attend the creditors' meeting at 10:00 a.m. on
Jan. 29 for the examination of claims.

The creditors' meeting will be held at:

         The Land Court of Eisenstadt
         Hall F
         Eisenstadt, Austria

Headquartered in Oberpullendorf, Austria, the Debtor declared
bankruptcy on Dec. 14, 2006 (Bankr. Case No. 26 S 144/06p).
Gerwald Holper serves as the court-appointed property manager of
the bankrupt estate.

The property manager can be reached at:

         Mag. Gerwald Holper
         Technologiezentrum
         Marktstrasse 3
         7000 Eisenstadt, Austria
         Tel: 02682/704 266-0
         Fax: 02682/704 266-15
         E-mail: eisenstadt@kosch-partner.at


BLOCKHAUS LLC: Creditors' Meeting Slated for February 13
--------------------------------------------------------
Creditors owed money by LLC Blockhaus (FN 141899a) are
encouraged to attend the creditors' meeting at 11:10 a.m. on
Feb. 13 for the examination of claims.

The creditors' meeting will be held at:

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

Headquartered in St. Poelten, Austria, the Debtor declared
bankruptcy on Dec. 13, 2006 (Bankr. Case No. 14 S 196/06y).
Hans-Joerg Haftner serves as the court-appointed property
manager of the bankrupt estate.

The property manager can be reached at:

         Dr. Hans-Joerg Haftner
         Wiener Road 12
         3100 St. Poelten, Austria
         Tel: 02742/354234
         Fax: 02742/351448
         E-mail: office@plusjus.at


FALKNER MASCHINENPUTZ: Linz Court Dismisses Property Manager
------------------------------------------------------------
The Land Court of Linz dismissed Dr. Peter Shamiyeh as property
manager of LLC Falkner Maschinenputz (FN 151710d) on
Dec. 13, 2006.

The court appointed Dr. Erhard Hackl as property manager
replacing Dr. Shamiyeh.  He can be reached at:

         Dr. Erhard Hackl
         Hofgasse 7
         4020 Linz, Austria
         Tel: 776234
         Fax: 77 62 34 22

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


RINGSMUTH LLC: Claims Registration Period Ends January 31
---------------------------------------------------------
Creditors owed money by LLC Ringsmuth (FN 186971h) have until
Jan. 31 to file written proofs of claim to court-appointed
property manager Gerhard Roessler at:

         Dr. Gerhard Roessler
         Hamerlingstrasse 1
         3910 Zwettl, Austria
         Tel: 02822/52208
         Fax: 02822/52208-20
         E-mail: office@anwalt-zwettl.at

Creditors and other interested parties are encouraged to attend
the creditors' meeting at 8:30 a.m. on Feb. 14 for the
examination of claims.

The meeting of creditors will be held at:

         The Land Court of Krems an der Donau
         Hall A
         2nd Floor
         Krems an der Donau, Austria

Headquartered in Rosenburg, Austria, the Debtor declared
bankruptcy on Dec. 13, 2006 (Bankr. Case No. 9 S 63/06x).


UNIPROM HANDEL: Creditors' Meeting Slated for February 6
--------------------------------------------------------
Creditors owed money by LLC Uniprom Handel (FN 272138d) are
encouraged to attend the creditors' meeting at 11:10 a.m. on
Feb. 6 for the examination of claims.

The creditors' meeting will be held at:

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

Headquartered in Purkersdorf, Austria, the Debtor declared
bankruptcy on Dec. 13, 2006 (Bankr. Case No. 14 S 199/06i).
Ulla Reisch serves as the court-appointed property manager of
the bankrupt estate.

The property manager can be reached at:

         Dr. Ulla Reisch
         Kremser Gasse 4
         3100 St. Poelten, Austria
         Tel: 02742/351 550
         Fax: 02742/351 550-5


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B E L G I U M
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ARVINMERITOR INC: S&P Cuts BB Ratings & Removes Negative Watch
--------------------------------------------------------------
Standard & Poor's Ratings Services lowered its ratings on
automotive components supplier ArvinMeritor Inc. including its
long-term corporate credit rating to 'BB-' from 'BB'.

In addition, Standard & Poor's removed the ratings from
CreditWatch, where they had been placed on Sept. 26, 2006, with
negative implications.  The 'B-1' short-term corporate credit
rating on the Troy, Michigan-based company was affirmed.

The outlook is stable.

"The downgrade reflects our expectations that ARM's financial
profile will remain weak during the next fiscal year or perhaps
longer, as it continues to face challenges in both its light
vehicle and commercial vehicle segments.  However, the stable
outlook incorporates the company's success in nearly eliminating
debt maturities until after 2011, adequate available sources of
liquidity, and expectations for some improvements in
profitability and cash flow generation due to enhanced
management focus," said Standard & Poor's credit analyst Robert
Schulz.


GREIF INC: S&P Rates Proposed US$300 Million Senior Notes at BB-
----------------------------------------------------------------
Standard & Poor's Ratings Services assigned its 'BB-' ratings to
Greif Inc.'s proposed US$300 million senior unsecured notes due
2017.

The proceeds from the notes will be used to retire approximately
US$248 million in existing senior subordinated notes due 2012
and for general corporate purposes.  The new senior notes issue
is contingent upon consummation of the tender offer for the
senior subordinated notes.

In addition, Standard & Poor's affirmed its 'BB+' corporate
credit rating on the Delaware, Ohio-based company.

The outlook is stable.

"The speculative-grade ratings on Greif reflect the company's
business profile, which Standard & Poor's considers to be weak.
This factor is mitigated to some extent by the company's
intermediate financial policies, satisfactory liquidity, and
fair credit protection measures.  Although it has leading
positions in niche markets, the company competes in cyclical,
commodity-like sectors that experience intense pricing
pressures, and its business units have significant operating
leverage," said Standard & Poor's credit analyst Dan Picciotto.


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


LEVEL 3: Completes US$132-Mln Acquisition of SAVVIS Network Biz
---------------------------------------------------------------
Level 3 Communications Inc. completed its acquisition of the
Content Delivery Network services business of SAVVIS Inc.

Pursuant to the definitive agreement, dated Dec. 23, 2006,
Level 3 has paid US$132.5 million in cash to acquire certain
assets, including network elements, customer contracts, and
intellectual property used in SAVVIS's CDN business.

"The opportunities presented by delivering rich media
applications over the Internet continue to increase, and the
addition of CDN capabilities to our service portfolio will
enable Level 3 to better address this important market," said
Kevin O'Hara, president and chief operating officer of Level 3.
"This acquisition does not require the type of physical
integration associated with the metro and backbone transactions
we announced in 2006.  We are confident in our ability to
incorporate this key capability into our service portfolio."

                        About SAVVIS Inc.

Headquartered in Town & Country, Missouri, SAVVIS Inc. (NASDAQ:
SVVS) -- http://www.savvis.net/-- provides managed and
outsourced IT services that focuses exclusively on IT solutions
for businesses.  With an IT services platform that extends to 47
countries, SAVVIS has over 5,000 enterprise customers and leads
the industry in delivering secure, reliable, and scalable
hosting, network, and application services.  These solutions
enable customers to focus on their core business while SAVVIS
ensures the quality of their IT systems and operations.  SAVVIS'
strategic approach combines virtualization technology, a global
network and 25 data centers, and automated management and
provisioning systems.

SAVVIS's CDN services business, based in Thousand Oaks,
California, with approximately 50 employees and over 100
customers, provides solutions that improve performance,
reliability, scalability and reach of customers' online content.
Initially developed in 1996 as Sandpiper Networks, the division
developed, deployed and operated a content delivery network.  It
has a globally distributed infrastructure in more than 20
countries.

                          About Level 3

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

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

                            *    *    *

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


LEVEL 3: Investors Swap US$115-Mln Notes for 36.7 Million Shares
----------------------------------------------------------------
Pursuant to an exchange agreement, certain institutional
investors exchanged approximately US$115 million aggregate
principal amount of Level 3 Communications Inc.'s 10%
Convertible Senior Notes due 2011 for a total of approximately
36.7 million shares of Level 3's common stock, equivalent to
approximately 318.9 shares per US$1,000 note, and the payment of
accrued and unpaid interest on the notes to the closing date.

The shares of common stock issued under this agreement are
exempt from registration pursuant to Section 3(a)(9) under the
Securities Act of 1933, as amended.  The notes were convertible
into shares of Level 3's common stock at a rate of 277.77 shares
per US$1,000 note.

As a result of the exchange, the company reduced its 2007 cash
interest expense by approximately US$11 million.  The notes are
callable by the company on May 1, 2009.

"This transaction, along with the previously announced exchange
last week, is positive for our company as it helps us continue
to reduce debt and interest expense," said Sunit S. Patel, CFO
of Level 3.  "Throughout 2007, we expect to continue taking
steps operationally and financially to improve our financial
position.

                          About Level 3

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

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

                            *    *    *

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


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F I N L A N D
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METSO OYJ: Inks EUR35-Mln Handling Equipment Deal with Alcoa
------------------------------------------------------------
Metso Minerals, a unit of Metso Oyj, will supply bulk materials
handling equipment to Alcoa for its Juruti Mine in Para state,
northern Brazil.

The delivery will be completed by the end of 2007.  The value of
the order is around EUR35 million.  The order was included in
the fourth quarter order backlog in 2006.

The order comprises one ship loader, three stackers, one
reclaimer, two apron feeders, five vibrating screens, one
railcar dumper and conveying systems.  The order also includes
technical erection assistance and a technical supervision of
operations for two years after the start up of the plant.

Metso's solution is for a new bauxite processing plant.  The
Juruti Mine will supply bauxite to the Alumar Refinery.  Once
completed, the processing plant will bring a major competitive
advantage to Alcoa.

                        About Metso

Headquartered in Helsinki, Finland, Metso Oyj --
http://www.metso.com/-- is a global engineering and technology
corporation with 2005 net sales of around EUR4.2 billion.  Its
22,000 employees in more than 50 countries serve customers in
the pulp and paper industry, rock and minerals processing, the
energy industry and selected other industries.

The company's principal production plants are located in Brazil,
China, Finland, France, Germany, India, Italy, South Africa,
Sweden, the United Kingdom and the United States.

                        *    *    *

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


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


AKTIENBRAUEREI VILSBIBURG: Claims Registration Ends February 15
---------------------------------------------------------------
Creditors of Aktienbrauerei Vilsbiburg AG i.L. have until
Feb. 15 to register their claims with court-appointed insolvency
manager Alexander Saponjic.

Creditors and other interested parties are encouraged to attend
the meeting at 8:20 a.m. on March 2, 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 Landshut
         Meeting Room 9/I
         Insolvency Court
         Maximilianstrasse 22-24
         Landshut, 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 Landshut opened bankruptcy proceedings
against Aktienbrauerei Vilsbiburg AG i.L. on Jan. 9.
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be contacted at:

         Aktienbrauerei Vilsbiburg AG i.L.
         Veldener Str. 5
         84137 Vilsbiburg, Germany

The insolvency manager can be contacted at:

         Alexander Saponjic
         Bachstr. 6
         84036 Landshut, Germany
         Tel: 0871/943210
         Fax: 0871/9432150


ALLGEMEINE HYPOTHEKENBANK: Offers Mortgage Pfandbriefe Buyback
--------------------------------------------------------------
Allgemeine HypothekenBank Rheinboden AG requests the holders of
five Pfandbriefe listed on the official market of the Frankfurt
Stock Exchange, one of which is also listed on Eurolist of
Euronext Paris S.A., to submit offers for the sale of the
Pfandbriefe concerned.

The offer period started on Jan. 24 and will end at 5 p.m.
Central European Time on Feb. 5.  It is intended to appoint
Deutsche Bank AG, London Branch, to carry out the transaction.

The buy-back relates to these Mortgage Pfandbriefe:

   -- DE0002029311 EUR2 billion 5.75% Mortgage Pfandbriefe
      series 331 of 2000/2008;

   -- DE0002029832 EUR1.5 billion 3.50% Mortgage Pfandbriefe
      series 363 of 2004/2009;

   -- DE0002029998 EUR1.25 billion 3.75% Mortgage Pfandbriefe
      series 371 of 2004/2010;

   -- DE000A0BVA14 EUR1.5 billion 2.50% Mortgage Pfandbriefe
      series 389 of 2005/2010; and

   -- DE000A0BVAK1 EUR1 billion 3.50% Mortgage Pfandbriefe
      series 388 of 2005/2013.

The buy-back volume for the Mortgage Pfandbriefe will amount to
a maximum of EUR2 billion and be divided among the series based
on the order of priority set above.  If the amount offered by
the Pfandbrief creditors exceeds this maximum figure, the
apportionment will be carried out in line with the ranking of
the relevant Pfandbrief and, to the extent necessary, on a pro
rata basis.

The buy-back of Mortgage Pfandbriefe is taking place as part of
AHBR's asset and liability management in real estate financing.
In light of AHBR's withdrawal from private real estate
financing, the aim is to reduce the volume of Pfandbriefe in
circulation and the associated interest liabilities.

                        About the Company

Headquartered in Frankfurt, Germany, Allgemeine Hypothekenbank
Rheinboden AG -- http://www.ahbr.de/-- finances residential and
commercial real estate projects locally.  The group is also
engaged in commercial lending abroad.  It has assets of more
than EUR80 billion.  It is owned directly and indirectly --
through BHW -- by the trade union private equity holding group
BGAG.  BGAG has provided it EUR1.2 billion in financing, and
guaranteed it under a EUR1.2 billion risk protection scheme.  It
recently sold the company to U.S. investment group Lone Star for
EUR400 million.

                        *     *     *

As reported in the TCR-Europe on Nov. 3, 2006, Standard & Poor's
Ratings Services lowered its long-term counterparty credit
rating on Germany-based Allgemeine HypothekenBank Rheinboden AG
to 'BB' from 'BB+', following the review of the new business
model the bank has started to implement.  At the same time, the
'B' short-term rating was affirmed.  S&P said the outlook
remains negative.

As reported in the TCR-Europe on Oct 24, 2006, Moody's Investors
Service downgraded the long-term debt and bank deposit ratings
of Allgemeine Hypothekenbank Rheinboden to Ba3 from Baa3 and the
short-term debt and deposit ratings to Not Prime from Prime-3.

The rating for AHBR's subordinated debt (lower tier 2) was
downgraded to B1 from Ba1.  The outlook on all long-term ratings
is negative.  The rating for AHBR's profit participation rights
(Genussscheine) was confirmed at Ca with a stable outlook.  The
E financial strength rating was affirmed and the outlook was
changed to positive.

As reported in the TCR-Europe on April 26, 2006, Fitch Ratings
placed Allgemeine Hypothekenbank Rheinboden's Short-term F3 and
Support 2 ratings, BBB- senior unsecured obligations, and BB+
subordinated obligations on Rating Watch Negative.  It assigned
AHBR an Issuer Default Rating of BBB-, which is also put on RWN.
The IDR, which replaces the Long-term rating, applies to those
obligations for which Fitch expects potential support to be
forthcoming.

At the same time, the bank's Individual rating is upgraded to
D/E from E and remains on Rating Watch Positive.  In addition,
Fitch affirmed AHBR's outstanding public sector Pfandbriefe at
AAA while the AA+ rated mortgage Pfandbriefe was placed on RWN.
The agency downgraded AHBR's participation rights maturing in
December 2005 through to December 2008 to C/RR6 on the Recovery
Rating Scale and removed them from RWN, following the
publication of its 2005 losses.  Genussscheine maturing after
December 2008 are affirmed at CC/RR5 and removed from RWN.


ARG REINIGUNGSDIENST: Claims Registration Ends February 16
----------------------------------------------------------
Creditors of ARG Reinigungsdienst GmbH have until Feb. 16 to
register their claims with court-appointed insolvency manager
Ingmar Jarchow.

Creditors and other interested parties are encouraged to attend
the meeting at 9:45 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
         Meeting Room B405
         4th Floor
         Sievkingplatz 1
         20355 Hamburg, Germany

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

The District Court of Hamburg opened bankruptcy proceedings
against ARG Reinigungsdienst GmbH on Jan. 4.  Consequently, all
pending proceedings against the company have been automatically
stayed.

The Debtor can be contacted at:

         ARG Reinigungsdienst GmbH
         Attn: Abdul Rassul Guenes, Manager
         Menckesallee 23
         22089 Hamburg, Germany

The insolvency manager can be contacted at:

         Ingmar Jarchow
         Heuberg 1
         20354 Hamburg, Germany


BRAUNLAGER SCHLITTSCHUH: Claims Registration Ends February 14
-------------------------------------------------------------
Creditors of Braunlager Schlittschuh-Club Harz e.V. have until
Feb. 14 to register their claims with court-appointed insolvency
manager Joerg Dauernheim.

Creditors and other interested parties are encouraged to attend
the meeting at 11:00 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 Goslar
         Hall II/D
         2nd Floor
         Haus II
         Kaiserbleek 8
         38640 Goslar, 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 Goslar opened bankruptcy proceedings
against Braunlager Schlittschuh-Club Harz e.V. on Jan. 1.
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be contacted at:

         Braunlager Schlittschuh-Club Harz e.V.
         Harzburger Str. 28
         38700 Braunlage, Germany

The insolvency manager can be contacted at:

         Joerg Dauernheim
         Hanauer Str. 30
         D 63674 Altenstadt, Germany
         Tel: 06047/9621-0
         Fax: 06047/9621-22


CONCEPT & GRAPHIC: Claims Registration Ends February 13
-------------------------------------------------------
Creditors of Concept & Graphic Werbeagentur GmbH have until
Feb. 13 to register their claims with court-appointed insolvency
manager Holger Bluemle.

Creditors and other interested parties are encouraged to attend
the meeting at 9:00 a.m. on March 13, at which time the
insolvency manager will present his first report on the
insolvency proceedings.

The meeting of creditors will be held at:

         The District Court of Stuttgart
         Hall 4
         Hauffstr. 5
         70190 Stuttgart, Germany

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

The District Court of Stuttgart opened bankruptcy proceedings
against Concept & Graphic Werbeagentur GmbH on Dec. 28, 2006.
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be contacted at:

         Concept & Graphic Werbeagentur GmbH
         Mittelstr. 2 A
         70180 Stuttgart, Germany

         Attn: Guenther Roeder, Manager
         Buchrain 5
         70184 Stuttgart, Germany

The insolvency manager can be contacted at:

         Holger Bluemle
         Kriegsstr. 113
         76135 Karlsruhe, Germany
         Tel: 0721/91 95 70
         Fax: 0721/91 95 711


DAIMLERCHRYSLER: Delaware Gives Incentive Bundle to Chrysler
------------------------------------------------------------
The state of Delaware has given DaimlerChrysler AG's Chrysler
Group a package of incentives and tax breaks to keep the company
from closing a plant in Newark, Del., Gina Chon of the Wall
Street Journal reports.

The Newark plant, which makes sport-utility vehicles, has made
80,000 vehicles in 2006, operates one shift a day, and has 2,100
employees.

Chrysler CEO Tom LaSorda is expected to unveil a restructuring
plan on Feb. 14, 2007.

Delaware Governor Ann Minner has signed a bill that will save
employers more than US$30 million.  Gov. Minner hopes that this
will convince Chrysler that the state is serious in saving the
plant and keeping the jobs of 2,100 employees, Ms. Chon said.

                       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.


HVS-HAUS-VERWALTUNGS: Creditors' Meeting Slated for February 7
--------------------------------------------------------------
The court-appointed insolvency manager for HVS-Haus-Verwaltungs
und -Sanierungs GmbH, Hans-A. Brauer, will present his first
report on the Company's insolvency proceedings at a creditors'
meeting at noon on Feb. 7.

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

         The District Court of Trier
         Hall 56
         Justizstrasse 2,4,6
         54290 Trier, Germany

The Court will also verify the claims set out in the insolvency
manager's report at 9:00 a.m. on March 14, at the same venue.

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

The District Court of Trier opened bankruptcy proceedings
against HVS-Haus-Verwaltungs und -Sanierungs GmbH on Jan. 1.
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be reached at:

         HVS-Haus-Verwaltungs und -Sanierungs GmbH
         Karl-Benz-Road 1
         54292 Trier, Germany

The insolvency manager can be reached at:

         Hans-A. Brauer
         Jahnstrasse 1
         54550 Daun, Germany
         Tel: 06592/7061
         Fax: 06592/7344
         E-mail: info@brauer-hoffmann.annonet.de


JOSEF RHODE: Claims Registration Ends February 13
-------------------------------------------------
Creditors of Josef Rhode GmbH have until Feb. 13 to register
their claims with court-appointed insolvency manager
Harald Kroth.

Creditors and other interested parties are encouraged to attend
the meeting at 10:00 a.m. on March 14, 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 Josef Rhode GmbH on Jan. 2.  Consequently, all pending
proceedings against the company have been automatically stayed.

The Debtor can be contacted at:

         Josef Rhode GmbH
         Attn: Roland Lechner and Waltraud Hammer, Managers
         Wagbachstr. 9
         76707 Hambruecken, Germany

The insolvency manager can be contacted at:

         Harald Kroth
         Eisenbahnstr. 19-23
         77855 Achern, Germany
         Tel: (07 8 41) 70 80


KIHA ZERSPANNUNGS: Claims Registration Ends February 14
-------------------------------------------------------
Creditors of KiHa Zerspannungs GmbH have until Feb. 14 to
register their claims with court-appointed insolvency manager
Johannes Walbroel.

Creditors and other interested parties are encouraged to attend
the meeting at 8:50 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 Hagen
         Meeting Room 259
         2nd Floor
         Heinitzstr. 42/44
         58097 Hagen, 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 Hagen opened bankruptcy proceedings
against KiHa Zerspannungs GmbH on Jan. 4.  Consequently, all
pending proceedings against the company have been automatically
stayed.

The Debtor can be contacted at:

         KiHa Zerspannungs GmbH
         Kamp 1 a
         58515 Luedenscheid, Germany

         Attn: Juergen Kienelt, Manager
         Kurze Str. 10
         58509 Luedenscheid, Germany

The insolvency manager can be contacted at:

         Johannes Walbroel
         Rathausplatz 21-23
         58507 Luedenscheid, Germany
         Tel: (02351) 3653-0


MTU AERO: S&P Assigns BB- Rating to EUR150-Million Bonds
--------------------------------------------------------
Standard & Poor's Ratings Services assigned its 'BB-' senior
unsecured debt rating to the EUR150 million in convertible bonds
guaranteed by MTU Aero Engines Holding AG and issued through the
wholly owned subsidiary MTU Aero Engines Finance B.V.

The issue size could be raised to EUR180 million, depending on
demand and the exercise of a EUR15 million green-shoe option.
The bonds are due in February 2012.

"MTU will use the proceeds from the convertible issue to fund
the early redemption of the outstanding high-yield senior notes
issued in March 2004," said Standard & Poor's credit analyst
Werner Staeblein.

The notional amount of outstanding senior notes is EUR165
million.  The redemption price including the call premium is
about EUR182 million.

Convertible debt generally does not attract any specific equity
credit in Standard & Poor's methodology for corporate hybrid
instruments.  They are therefore essentially viewed as debt,
except on rare occasions in which a conversion in the near term
is extremely likely.  Subject to the share price development of
MTU's ordinary shares, the convertible bond can be called no
sooner than three years after issuance.

The ratings continue to reflect the group's relatively weak
business profile, which is constrained by its reliance on the
cyclical civil aviation industry, vulnerability to the weakness
of the U.S. dollar, and its relatively modest size compared with
OEMs.  Nevertheless, MTU benefits from its leading positions in
niche markets and is protected by its long-term strategic
alliance with Pratt & Whitney engines, its participation in
engine programs through a number of risk and revenue sharing
partnerships; and its role as a strategic partner for the German
Air Force.


N.L.C. NASHVILLE: Claims Registration Ends February 16
------------------------------------------------------
Creditors of N.L.C. Nashville Leather Co. GmbH have until
Feb. 16 to register their claims with court-appointed insolvency
manager Werner Poehlmann.

Creditors and other interested parties are encouraged to attend
the meeting at 11:30 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 Fuerth
         Area 216
         II Office Building
         Baumenstrasse 28
         Fuerth, 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 Fuerth opened bankruptcy proceedings
against N.L.C. Nashville Leather Co. GmbH on Jan. 5.
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be contacted at:

         N.L.C. Nashville Leather Co. GmbH
         Poppenreuther Str. 72
         90765 Fuerth, Germany

The insolvency manager can be contacted at:

         Dr. Werner Poehlmann
         Auss. Sulzbacher Str. 118
         90491 Nuernberg, Germany
         Tel: 0911/598900
         Fax: 0911/5989011


NAPRAL EISCAFE: Creditors' Meeting Slated for February 19
---------------------------------------------------------
The court-appointed insolvency manager for Napral Eiscafe GmbH,
Christoph Rosenmueller, will present his first report on the
Company's insolvency proceedings at a creditors' meeting at 8:40
a.m. on Feb. 19.

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

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

The Court will also verify the claims set out in the insolvency
manager's report at 9:20 a.m. on June 4, at the same venue.

Creditors have until April 1 to register their claims with the
court-appointed insolvency manager.

The District Court of Charlottenburg opened bankruptcy
proceedings against Napral Eiscafe GmbH on Jan. 1.
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be reached at:

         Napral Eiscafe GmbH
         c/o Haagen-Dazs Café
         Potsdamer Place Arkaden
         Alte Potsdamer Road 7
         10785 Berlin, Germany

The insolvency manager can be reached at:

         Christoph Rosenmueller
         Berliner Str. 117
         10713 Berlin, Germany


PERIC & SOHN: Claims Registration Ends February 16
--------------------------------------------------
Creditors of Peric & Sohn GmbH have until Feb. 16 to register
their claims with court-appointed insolvency manager
Friedemann U. Schade.

Creditors and other interested parties are encouraged to attend
the meeting at 9:30 a.m. on March 9, 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 Gifhorn
         Hall 118
         Palace Garden 4
         38518 Gifhorn, 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 Gifhorn opened bankruptcy proceedings
against Peric & Sohn GmbH on Jan. 4.  Consequently, all pending
proceedings against the company have been automatically stayed.

The Debtor can be contacted at:

         Peric & Sohn GmbH
         Attn: Marco Peric, Manager
         Iseweg 3
         38527 Meine, Germany

The insolvency manager can be contacted at:

         Friedemann U. Schade
         Seelhorststrasse 64
         30175 Hanover, Germany
         Tel: 0511/515122-0
         Fax: 0511/515122-19
         Website: http://www.kuebler-gbr.de/


REIMER MEISTERBETRIEB: Claims Registration Ends February 14
-----------------------------------------------------------
Creditors of Reimer Meisterbetrieb Haus- und Warmetechnik GmbH &
Co. KG have until Feb. 14 to register their claims with court-
appointed insolvency manager Ulrike Hoge-Peters.

Creditors and other interested parties are encouraged to attend
the meeting at 9:30 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 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 Reimer Meisterbetrieb Haus- und Warmetechnik GmbH & Co.
KG on Jan. 4.  Consequently, all pending proceedings against the
company have been automatically stayed.

The Debtor can be contacted at:

         Reimer Meisterbetrieb Haus- und
         Warmetechnik GmbH & Co. KG
         Attn: Armin Reimer, Manager
         Mittelstrasse 3
         18209 Bad Doberan, Germany

The insolvency manager can be contacted at:

         Ulrike Hoge-Peters
         Rosa-Luxemburg-Road 8
         18055 Rostock, Germany
         Tel: 0381/364480
         Fax: 0381/3644812


VOLKSWAGEN AG: Skoda Unit Aims to Increase Sales by 5.5% in 2007
----------------------------------------------------------------
Skoda Auto AS, Volkswagen AG's Czech division, is relying on its
new Fabia small car and Roomster multipurpose vehicle to
increase 2007 sales by at least 5.5%, Bloomberg News reports.

"We should be able to get into the 580,000 range, maybe a little
more," Skoda CEO Detlef Wittig told Bloomberg.

According to Bloomberg, Skoda sold 549,667 cars in 2006.  The
carmaker sold more than 1.6 million Fabias since 1999, making it
Skoda's top-selling vehicle.

Skoda has a global target of 800,000 cars sold within about five
years as it expands production worldwide, including into Russia,
China and India.  Mr. Wittig also aimed at introducing a new
model every year, such as a new sport-utility vehicle called the
Yeti, which will be introduced in 2009.

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: Sets Up New Import Company in Ireland
----------------------------------------------------
Volkswagen AG and their importer in Ireland, Motor Distributors
Ltd., have agreed to a new arrangement whereby responsibility
for the wholesale business for the Volkswagen, Audi, Skoda and
Volkswagen Commercial Vehicles brands in Ireland will transfer
to the Volkswagen Group on Oct. 1, 2008.

To facilitate this agreement, a new company named "Volkswagen
Group Ireland" will be established in July 2007 by MDL into
which said import businesses will be transferred.

"For us, this demonstrates a clear commitment to the Irish
market, which we plan to develop further in cooperation with MDL
and Irish dealers for the benefit of our customers," Stefan
Jacoby, Volkswagen AG's executive vice president of marketing
and sales for the Volkswagen Group disclosed.

"The gradual transition means optimum integration of the great
know-how of MDL management and employees in the new business,"
Mr. Jacoby added.

Board participation by MDL will continue after the shares in
"Volkswagen Group Ireland" have been taken over in October 2008.

All MDL employees will continue on payroll of the new import
company.  The present dealership agreements with Irish car
dealers will also be transferred to the new company.  The
finance and mobility services of Volkswagen Financial Services
AG will in future also be offered in the Irish market.

                    About Motor Distributors

Headquartered in Ireland, Motor Distributors Ltd. (MDL), a
wholly owned subsidiary of O'Flaherty Holdings, is an Irish auto
importer, holding a market share of 16.7% of the passenger car
market for the Volkswagen, Audi and Skoda brands and a share of
14.4% for the Volkswagen Commercial Vehicles brand.  MDL has
represented Volkswagen since 1950, and delivered some 36,000
vehicles to customers in 2006.

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.


WOLTERS IMMOBILIENKONTOR: Claims Registration Ends February 14
--------------------------------------------------------------
Creditors of Wolters Immobilienkontor GmbH Niedersachsen have
until Feb. 14 to register their claims with court-appointed
insolvency manager Torsten Gutmann.

Creditors and other interested parties are encouraged to attend
the meeting at 11:00 a.m. on March 14, 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 Braunschweig
         E 01
         Martinikirche 8
         38100 Braunschweig, 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 Braunschweig opened bankruptcy proceedings
against Wolters Immobilienkontor GmbH Niedersachsen on Dec. 20,
2006.  Consequently, all pending proceedings against the company
have been automatically stayed.

The Debtor can be contacted at:

         Wolters Immobilienkontor GmbH Niedersachsen
         Weinbergweg 39
         38106 Braunschweig, Germany

         Attn: Winfried Banse, Manager
         Plan 15
         15831 Grossbeeren, Germany

The insolvency manager can be contacted at:

         Torsten Gutmann
         Lueders Partnergesellschaft
         Blauen See 5
         D 31275 Lehrte, Germany
         Tel: (051 32) 82 68 38
         Fax: (051 32) 82 68 96


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


VOLKSWAGEN AG: Sets Up New Import Company in Ireland
----------------------------------------------------
Volkswagen AG and their importer in Ireland, Motor Distributors
Ltd., have agreed to a new arrangement whereby responsibility
for the wholesale business for the Volkswagen, Audi, Skoda and
Volkswagen Commercial Vehicles brands in Ireland will transfer
to the Volkswagen Group on Oct. 1, 2008.

To facilitate this agreement, a new company named "Volkswagen
Group Ireland" will be established in July 2007 by MDL into
which said import businesses will be transferred.

"For us, this demonstrates a clear commitment to the Irish
market, which we plan to develop further in cooperation with MDL
and Irish dealers for the benefit of our customers," Stefan
Jacoby, Volkswagen AG's executive vice president of marketing
and sales for the Volkswagen Group disclosed.

"The gradual transition means optimum integration of the great
know-how of MDL management and employees in the new business,"
Mr. Jacoby added.

Board participation by MDL will continue after the shares in
"Volkswagen Group Ireland" have been taken over in October 2008.

All MDL employees will continue on payroll of the new import
company.  The present dealership agreements with Irish car
dealers will also be transferred to the new company.  The
finance and mobility services of Volkswagen Financial Services
AG will in future also be offered in the Irish market.

                    About Motor Distributors

Headquartered in Ireland, Motor Distributors Ltd. (MDL), a
wholly owned subsidiary of O'Flaherty Holdings, is an Irish auto
importer, holding a market share of 16.7% of the passenger car
market for the Volkswagen, Audi and Skoda brands and a share of
14.4% for the Volkswagen Commercial Vehicles brand.  MDL has
represented Volkswagen since 1950, and delivered some 36,000
vehicles to customers in 2006.

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.


ZOO HF: Fitch Assigns BB Rating to EUR5.5-Mln Class E Notes
-----------------------------------------------------------
Fitch assigned final ratings to Zoo HF 3 plc's market value
collateralized fund obligation issue of EUR127 million floating-
rate notes:

   -- EUR94.5 million Class A notes due 2016: AAA;
   -- EUR8 million Class B notes due 2016: AA;
   -- EUR6.5 million Class C notes due 2016: A;
   -- EUR12.5 million Class D notes due 2016: BBB; and
   -- EUR5.5 million Class E notes due 2016: BB.

The notes pay a floating-rate interest on a semi-annual basis.

The final rating of the A Class notes addresses ultimate
repayment of principal at maturity and timely payment of
interest, according to the terms of the notes.  For all other
rated Classes of notes, the ratings address ultimate payment of
principal and interest, including any deferred interest, at
maturity, according to the terms of the notes.

The ratings take into account the quality and diversification of
the underlying investments, which are selected by the collateral
manager, P&G SGR S.p.A, subject to the guidelines outlined in
the collateral management agreement.  The ratings are also based
on the credit enhancement provided to each Class of notes and
structural features such as collateral quality and
overcollateralization tests.

The underlying investments are hedge fund assets exposed to
different strategies including equity long-short, event driven
and fixed income.  The transaction's key risks are a sustained
poor performance of the underlying investments, as well as
liquidity and redemption rights of hedge fund investors.

Fitch notes, however, that the issuer investment guideline
triggers, which require adherence to a specified liquidity
profile and portfolio diversification across funds, managers and
strategies, mitigated these risks.  The collateral quality tests
ensure that sufficient credit enhancement is maintained.

The issuer is a special purpose company with limited liability,
incorporated under the laws of Ireland.  The net proceeds from
the notes' issuance are used to purchase a portfolio of at least
EUR148.7 million of hedge fund assets and to fund certain
initial expenses.


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


ALITALIA SPA: Texas Pacific to Bid for Italy's 30.1% Stake
----------------------------------------------------------
Texas Pacific will submit a non-binding offer to acquire the
Italian government's 30.1% stake in Alitalia S.p.A., Reuters
reports citing sources privy with the matter.

Texas Pacific plans to file its bid alone, rather than in a
consortium, Reuters relays.  The buyout firm, however, joins
other interested buyers later in the process to lead a larger
grouping of bidders in any final deal, sources told Reuters.

The group may also tie up later in the process with airline
consulting company Seabury Airline Planning Group, LLC, the
sources added.

The firm may likely tap N M Rothschild & Sons Ltd. as advisor.

                    Formal Bidding Process

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

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

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

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

The Ministry also outlined mandatory commitments for the buyer
to:

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

   -- safeguard Alitalia's national identity; and

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

The government aims to complete the process this month.

                       About Texas Pacific

Headquartered in Fort Worth, Texas, Texas Pacific Group
-- http://www.texaspacificgroup.com/-- holds stakes in
technology (Seagate Technology, ON Semiconductor), consumer
franchises/products (Burger King, Ducati), retailers (J. Crew,
Petco), airlines (Continental, America West), and entertainment
(Metro-Goldwyn-Mayer).  Texas Pacific Group raised US$15 billion
for a Texas-sized buyout fund in 2006.

                         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: To Collaborate with Tata Motors on Small Car Project
--------------------------------------------------------------
India's Tata Motors Ltd. accepted an offer from joint-venture
partner Fiat S.p.A. to develop vehicles for its cheap small car
project, which is currently in production, Reuters reports.

In 2004, Tata Motors Chairman Ratan Tata revealed plans to
unveil a small car by 2008 with a US$2,200 price tag, which was
met with skepticism among global auto industry moguls.  It now
appears, however, that Fiat is on board with the idea.

The company expressed its intent to assist Tata in building an
ultra-low-priced compact.

"Fiat has offered to help and we have accepted," said Ravi Kant,
managing director at Tata Motors.  However, he emphasized that
the extent of collaboration on the small-car project would be
limited.

"At the stage at which we are today, where design and styling
has been frozen and vendors have been fixed, the scope for
involvement is limited," said Mr. Kant.  "Perhaps, some fine-
tuning can be done," he added.

                     Project Construction

The Mumbai-based carmaker began construction of a small car
plant in Singur in the Indian state of West Bengal on Jan. 21,
in the wake of protests by residents against the acquisition of
farmland for the factory, Reuters relates.

Tata plans to start with an initial production run of roughly
250,000 cars per year intended for local and foreign markets.

                        Joint Venture

Fiat and Tata formed a joint venture in July 2006, with both
sides pledging to invest more than US$887 million to jointly
make cars, engines, and transmissions at the Italian automaker's
plant in Ranjangaon in the western Indian state of Maharashtra.

The two carmakers plan to jointly produce 100,000 vehicles and
200,000 engines and transmissions.  They are also working on a
pickup that will be built by Fiat in Argentina and by Tata in
India.  Both will export their shared-platform pickup to Europe
starting in 2008, BusinessWeek states.

"India will be a more strategic country for us," said Alfredo
Altavilla, senior vice president of business development.  Aside
from serving the Indian market, the joint venture expects to
export cars to emerging markets in Latin America.

                        About Tata Motors

Tata Motors Ltd. is India's largest automobile company, with
revenues of US$5.5 billion in 2005-2006.  It is the world's
fifth largest medium and heavy commercial vehicle manufacturer.

                        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.


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


ARUANA-SERVICE LLP: Creditors Must File Claims by March 3
---------------------------------------------------------
LLP Aruana-Service has declared insolvency.  Creditors have
until March 3 to submit written proofs of claim to:

         LLP Aruana-Service
         Lui Paster Str. 27
         Astana, Kazakhstan
         Tel: 8 (3172) 97-98-71
              8 (7013) 88-67-52


ASTANAGENPLAN: Proof of Claim Deadline Slated for March 9
---------------------------------------------------------
State Utility Enterprise Astanagenplan has declared insolvency.
Creditors have until March 9 to submit written proofs of claim
to:

         Astanagenplan
         Bukeihan Str. 24
         Saryarka District
         Astana, Kazakhstan


EUROASIA TECHNICS: Pavlodar Court Opens Bankruptcy Proceedings
--------------------------------------------------------------
The Specialized Inter-Regional Economic Court of Pavlodar Region
commenced bankruptcy proceedings against LLP Company Euroasia
Technics on Dec. 14, 2006.


KARAGANDALIFT LLP: Claims Filing Period Ends March 9
----------------------------------------------------
LLP Trade House Karagandalift has declared insolvency.
Creditors have until March 9 to submit written proofs of claim
to:

         LLP Karagandalift
         Alihanov Str. 14
         Karaganda
         Karaganda Region
         Kazakhstan


KASKOR-INVEST LLP: Public Auction Scheduled for January 29
----------------------------------------------------------
The Branch of the JSC Center of Work with the Financial Debts of
Mangistau and Atyrau Regions will auction LLP Kaskor-Invest's
bankruptcy enterprise properties to the public by English method
at 4:00 p.m. on Jan. 29 at:

         Floor 4
         Building of Auto Station
         Micro District 28
         Aktau
         Mangistau Region
         Kazakhstan

The enterprise is located at:

         Micro District 14, 24-6
         Aktau
         Mangistau Region
         Kazakhstan

The main type of activity of the enterprise is investment.

The assets for sale are:

   -- Lot 1: simple nominal shares of LLP Kaskor-Invest
             in authorized capital of JSC Kaskor-Mashzavod

             Number of shares: 1,028
             Starting price: KZT205,600

   -- Lot 2: preferred shares of LLP Kaskor-Invest in
             authorized capital of JSC Kaskor-Mashzavod

             Number of shares: 500
             Starting price: KZT100,000

Interested bidders have until 3:00 p.m. on Jan. 29 to deposit
guarantee payment equivalent to 10% of the starting price of the
lot to the settlement account of LLP Kaskor-Invest 005715302 to
Bank Centre Credit in Aktau (RNN 430610181894) (BIK 192901704).

Participants may submit their bids at:

         Room 7
         Floor 2
         Buiding of Auto Station
         Micro District 28
         Aktau
         Mangistau Region
         Tel: 8 (3292) 41-15-89
              8 (3292) 31-00-46
              8 (3292) 42-81-60


MEDIA SERVICE: Claims Registration Ends March 9
-----------------------------------------------
LLP Media Service ST has declared insolvency.  Creditors have
until March 9 to submit written proofs of claim to:
         LLP Media Service ST
         Kirpichnaya Str. 33
         Karaganda
         Karaganda Region
         Kazakhstan


PROMTECHNOSERVICE LLP: Creditors Must File Claims by March 9
------------------------------------------------------------
LLP Promtechnoservice has declared insolvency.  Creditors have
until March 9 to submit written proofs of claim to:

         LLP Promtechnoservice
         Bogenbai Baatyr Str. 142
         Almaty, Kazakhstan


SNUB COMPLECT: Proof of Claim Deadline Slated for February 22
-------------------------------------------------------------
LLP Karaganda Supply Complete Snub Complect has declared
insolvency.  Creditors have until Feb. 22 to submit written
proofs of claim to:

         LLP Snub Complect
         Gapeev Str. 6-101
         Karaganda
         Karaganda Region
         Kazakhstan


TIMIRAZEVSKY HLEBNY: Creditors' Claims Due March 3
--------------------------------------------------
The Specialized Inter-Regional Economic Court of North
Kazakhstan Region declared LLP Timirazevsky Hlebny Dom insolvent
on Dec. 11, 2006.

Creditors have until March 3 to submit written proofs of claim
to:

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


TULPAR LLP: Claims Filing Period Ends March 3
---------------------------------------------
LLP Trade Complex Tulpar has declared insolvency.  Creditors
have until March 3 to submit written proofs of claim to:

         LLP Tulpar
         Kutuzov Str. 30
         Pavlodar
         Pavlodar Region
         Kazakhstan


USHKUL LLP: Proof of Claim Deadline Slated for March 3
------------------------------------------------------
The Specialized Inter-Regional Economic Court of North
Kazakhstan Region declared LLP Ushkul insolvent on
Dec. 12, 2006.

Creditors have until March 3 to submit written proofs of claim
to:

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


ZAPKAZKAMAZ-KYZYLORDA LLP: Creditors' Claims Due March 3
--------------------------------------------------------
The Specialized Inter-Regional Economic Court of Kyzylorda
Region declared LLP Zapkazkamaz-Kyzylorda insolvent.

Creditors have until March 3 to submit written proofs of claim
to:

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


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


AK-TILEK-A LLC: Creditors' Meeting Slated for January 30
--------------------------------------------------------
Creditors of LLC Ak-Tilek-A will convene at 11:00 a.m. on
Jan. 30 at:

         Building of LLC Ak-Tilek-A
         Sai-Korgon
         Bazar-Korgon
         Djalal-Abad Region
         Kyrgyzstan

Creditors must submit their proofs of claim and be registered
within seven days before the meeting with the temporary
insolvency manager.

The representatives of the creditors must have authorization to
vote.

The Temporary Insolvency Manager is:

         Mr. Toktosun Sarygulov
         Tel: (0-502) 69-39-97


DAKATA LLC: Creditors' Meeting Slated for January 31
----------------------------------------------------
Creditors of LLC Dakata will convene at 11:00 a.m. on Jan. 31
at:

         Den Saopin Ave. 18
         Bishkek, Kyrgyzstan

The Inter-District Court of Bishkek for Economic Issues declared
LLC Dakata (Case No.ED-350/06 mbs9) insolvent on May 4, 2006.
Subsequently, bankruptcy proceedings were introduced at the
company.

Creditors must submit their proofs of claim and be registered
within seven days before the meeting with the temporary
insolvency manager.

Proxies must have authorization to vote.

The Temporary Insolvency Manager is:

         Mr. Askar Chotonov
    Tel: (+996 312) 65-02-33


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


IIB LUXEMBOURG: Moody's Puts B1 Rating on Sr. Unsecured Notes
-------------------------------------------------------------
Moody's Investors Service assigned a B1 long-term foreign
currency rating to the senior unsecured loan participation notes
to be issued by IIB Luxembourg S.A., a Luxembourg-based special
purpose vehicle.

The proceeds of the notes will be used for the sole purpose of
financing a loan to Russian institution International Industrial
Bank (rated B1/NP/E+ with stable outlook).  The loan represents
a senior unsecured obligation for IIB.  The outlook for the
rating is stable.

IIB's obligations under the transaction will rank at least pari
passu in right of payment with all its other senior unsecured
obligations.  According to the loan agreement, IIB must comply
with a number of covenants such as negative pledge, limitations
on mergers, distribution of dividends and asset sales.
Financial covenants also require IIB to maintain a consolidated
total capital adequacy ratio of at least 20% and restrict IIB's
aggregated net loans to related parties to 50% of its total
equity.

According to Moody's, the bank's reported total capital ratio of
41% at end-September 2006 should enable it to comply comfortably
with the high capital adequacy requirement.  Similarly with
regard to the related-party lending restriction: the net credit
exposure to related parties on the bank's balance sheet at end-
September 2006 is equivalent to 30% of its total equity.  In
addition, covenants embedded in the transaction state that the
notes may become payable in the event of the bank's ratings
being downgraded as a result of a re-organization (such as a
merger, accession, division, separation or transformation).
Moody's notes that this trigger could potentially, have adverse
liquidity implications for the bank and might exert additional
downward pressure on its ratings.

IIB is headquartered in Moscow, Russian Federation, and reported
total assets of RUR91.9 billion (US$3.4 billion) and total
equity of RUR34.4 billion (US$1.3 billion) in accordance with
IFRS as at Sept. 30, 2006.  The bank ranked 21st-largest in
Russia in terms of total assets, as calculated under Russian
accounting rules, as at end-September 2006.

Assignments:

   * Issuer: International Industrial Bank

     -- Senior Unsecured Regular Bond/Debenture, Assigned B1


IIB LUXEMBOURG: Fitch Rates Upcoming Bond Issue at B/RR4
--------------------------------------------------------
Fitch Ratings assigned IIB Luxembourg S.A.'s upcoming issue of
limited recourse loan participation notes expected ratings of
Long-term 'B' and Recovery 'RR4'.  The notes are to be used
solely for financing a loan to Russia's International Industrial
Bank, which is rated Issuer Default 'B' with a Stable Outlook,
Short-term 'B', Individual 'D' and Support '5'.

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

The noteholders will rank at least equally with the claims of
other senior unsecured creditors of IIB, save those preferred by
relevant laws.  Under Russian law, the claims of retail
depositors rank above those of other senior unsecured creditors.
At end-Q306, retail deposits accounted for approximately 7% of
IIB's total liabilities, according to the bank's IFRS accounts,
reviewed by auditors.  Of these, majority was still on the
balance sheet of IIB as opposed to that of Mezhprombank Plus,
its retail-banking subsidiary.

The loan agreement contains a negative pledge clause, which
allows for a certain degree of securitization by IIB 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 IIB and
its subsidiaries and obliges the bank to carry out any
transactions with affiliates on market terms.  Financial
covenants stipulate a Basle I Total capital ratio of at least
20%, restrict any capital distribution to 50% of IFRS net income
and limit loans to related parties to 50% of IFRS equity.

IIB ranked among the top 20 Russian banks by IFRS total assets
at end-Q306.  IIB's network, together with its retail
subsidiary, includes two branches and four other points-of-sale.
IIB is managed by a trust, beneficially owned by the family of
Sergei Pugachev and the bank's senior managers.

Mr. Pugachev also has significant industrial interests in a
broad range of sectors, which are consolidated under the
management company United Industrial Corporation.  Since 2001,
Mr. Pugachev has been a member of the upper house of the Russian
parliament from the Tyva Republic.


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


AGRO-SNAB OJSC: Creditors Must File Claims by January 30
--------------------------------------------------------
Creditors of OJSC Agro-Snab have until Jan. 30 to submit written
proofs of claim to:

         S. Shaydurova, Temporary Insolvency Manager
         Apartment 33
         Puteyskaya Str. 49
         672023 Chita Region
         Russia

The Arbitration Court of Chita Rregion commenced bankruptcy
supervision procedure on the company.  The case is docketed
under Case No. A-78-6249/2006-B-756.

The Debtor can be reached at:

         OJSC Agro-Snab
         60 Let Oktyabrya Str
         Kalga
         Kalganskiy Region
         674340 Chita Region
         Russia


GAS-TUAPSE OJSC: Creditors Must File Claims by January 30
---------------------------------------------------------
Creditors of OJSC Gas-Tuapse have until Jan. 30 to submit
written proofs of claim to:

         S. Chumak, Insolvency Manager
         Apartment 25
         Moskovskaya Str. 50
         350072 Krasnodar Region
         Russia

The Arbitration Court of Krasnodar commenced bankruptcy
proceedings against the company after finding it insolvent.  The
case is docketed under Case No. A-32-25414/06-46/2417-B.

The Arbitration Court of Krasnodar Region is located at:

         Krasnaya Str. 6
         Krasnodar Region
         Russia

The Debtor can be reached at:

         OJSC Gas-Tuapse
         Rabfakovskaya Str. 38
         Tuapse
         Krasnodar Region
         Russia


GOLUBAYA NIVA: Krasnodar Bankruptcy Hearing Slated for May 14
-------------------------------------------------------------
The Arbitration Court of Krasnodar Region will convene at
9:30 a.m. on May 14 to hear the bankruptcy supervision procedure
on OJSC Golubaya Niva.  The case is docketed under Case No.
A-32-26510/06-37/2499-B.

The Temporary Insolvency Manager is:

         B. Boyko
         Irkutskaya Str. 8
         Abinsk
         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 Golubaya Niva
         Mira Str. 27
         Primorsko-Akhtarsk
         Krasnodar Region
         Russia


INTERNATIONAL INDUSTRIAL: Moody's Rates Senior Debenture at B1
--------------------------------------------------------------
Moody's Investors Service assigned a B1 long-term foreign
currency rating to the senior unsecured loan participation notes
to be issued by IIB Luxembourg S.A., a Luxembourg-based special
purpose vehicle.

The proceeds of the notes will be used for the sole purpose of
financing a loan to Russian institution International Industrial
Bank (rated B1/NP/E+ with stable outlook).  The loan represents
a senior unsecured obligation for IIB.  The outlook for the
rating is stable.

IIB's obligations under the transaction will rank at least pari
passu in right of payment with all its other senior unsecured
obligations.  According to the loan agreement, IIB must comply
with a number of covenants such as negative pledge, limitations
on mergers, distribution of dividends and asset sales.
Financial covenants also require IIB to maintain a consolidated
total capital adequacy ratio of at least 20% and restrict IIB's
aggregated net loans to related parties to 50% of its total
equity.

According to Moody's, the bank's reported total capital ratio of
41% at end-September 2006 should enable it to comply comfortably
with the high capital adequacy requirement.  Similarly with
regard to the related-party lending restriction: the net credit
exposure to related parties on the bank's balance sheet at end-
September 2006 is equivalent to 30% of its total equity.  In
addition, covenants embedded in the transaction state that the
notes may become payable in the event of the bank's ratings
being downgraded as a result of a re-organization (such as a
merger, accession, division, separation or transformation).
Moody's notes that this trigger could potentially, have adverse
liquidity implications for the bank and might exert additional
downward pressure on its ratings.

IIB is headquartered in Moscow, Russian Federation, and reported
total assets of RUR91.9 billion (US$3.4 billion) and total
equity of RUR34.4 billion (US$1.3 billion) in accordance with
IFRS as at Sept. 30, 2006.  The bank ranked 21st-largest in
Russia in terms of total assets, as calculated under Russian
accounting rules, as at end-September 2006.

Assignments:

   * Issuer: International Industrial Bank

     -- Senior Unsecured Regular Bond/Debenture, Assigned B1


INTERNATIONAL INDUSTRIAL: Fitch Rates Upcoming Bond Issue at B
--------------------------------------------------------------
Fitch Ratings assigned IIB Luxembourg S.A.'s upcoming issue of
limited recourse loan participation notes expected ratings of
Long-term 'B' and Recovery 'RR4'.  The notes are to be used
solely for financing a loan to Russia's International Industrial
Bank, which is rated Issuer Default 'B' with a Stable Outlook,
Short-term 'B', Individual 'D' and Support '5'.

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

The noteholders will rank at least equally with the claims of
other senior unsecured creditors of IIB, save those preferred by
relevant laws.  Under Russian law, the claims of retail
depositors rank above those of other senior unsecured creditors.
At end-Q306, retail deposits accounted for approximately 7% of
IIB's total liabilities, according to the bank's IFRS accounts,
reviewed by auditors.  Of these, majority was still on the
balance sheet of IIB as opposed to that of Mezhprombank Plus,
its retail-banking subsidiary.

The loan agreement contains a negative pledge clause, which
allows for a certain degree of securitization by IIB 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 IIB and
its subsidiaries and obliges the bank to carry out any
transactions with affiliates on market terms.  Financial
covenants stipulate a Basle I Total capital ratio of at least
20%, restrict any capital distribution to 50% of IFRS net income
and limit loans to related parties to 50% of IFRS equity.

IIB ranked among the top 20 Russian banks by IFRS total assets
at end-Q306.  IIB's network, together with its retail
subsidiary, includes two branches and four other points-of-sale.
IIB is managed by a trust, beneficially owned by the family of
Sergei Pugachev and the bank's senior managers.

Mr. Pugachev also has significant industrial interests in a
broad range of sectors, which are consolidated under the
management company United Industrial Corporation.  Since 2001,
Mr. Pugachev has been a member of the upper house of the Russian
parliament from the Tyva Republic.


INVEST-KHIM LLC: Orenburg Bankruptcy Hearing Slated for April 3
---------------------------------------------------------------
The Arbitration Court of Orenburg Region will convene at
10:00 a.m. on April 3 to hear the bankruptcy supervision
procedure on LLC Invest-Khim (TIN/KPP 5610090639/561001001).
The case is docketed under Case No. A47-10958/2006-14 GK.

The Temporary Insolvency Manager is:

         D. Samoylov
         Gaya Str. 23-a
         460000 Orenburg Region
         Russia

The Arbitration Court of Orenburg Region is located at:

         9th January Str. 64
         460046 Orenburg Region
         Russia

The Debtor can be reached at:

         LLC Invest-Khim
         Krasnoznamennaya Str., 22
         Orenburg Region
         Russia


IRBITSKIY MOTOR: Creditors Must File Claims by March 2
------------------------------------------------------
Creditors of LLC Irbitskiy Motor Cycle Factory have until
March 2 to submit written proofs of claim to:

         V. Legalov, Insolvency Manager
         St. Bolshevikov Str. 2a/2-209
         620017 Ekaterinburg Region
         Russia

The Arbitration Court of Sverdlovsk Region commenced bankruptcy
proceedings against the company after finding it insolvent.  The
case is docketed under Case No. A60-13610/06-S11.

The Arbitration Court of Sverdlovsk Region is located at:

         Lenina Pr. 34
         620151 Ekaterinburg Region
         Russia

The Debtor can be reached at:

         V. Legalov, Insolvency Manager
         St. Bolshevikov Str. 2a/2-209
         620017 Ekaterinburg Region
         Russia


KHABAROVSKIY FACTORY: Asset Bidding Deadline Slated for Jan. 30
---------------------------------------------------------------
M. Shalamov, the bidding organizer for CJSC Khabarovskiy Factory
of Metal Constructions, will open a public auction for the
company's properties at 10:00 a.m. on Feb. 2 at:

         CJSC Khabarovskiy Factory of Metal Constructions
         Assembly Hall
         Perspektivnaya Str. 38
         680018 Khabarovsk Region
         Russia

The company has set a RUR31,906,000 starting price for the
auctioned assets.

Interested participants have until Jan. 31 to deposit an amount
of RUR8 million to:

         CJSC Khabarovskiy Factory of Metal Constructions
         Dalnevostochnyj branch of OJSC Rosbank
         BIK 040813783
         Settlement Account 40702810943200000008
         Correspondent Account 30101810800000000783

Bidding documents must be submitted to:

         CJSC Khabarovskiy Factory of Metal Constructions
         Room 205
         Perspektivnaya Str. 38
         680018 Khabarovsk Region
         Russia
         Tel: 8-904-220-24-45, 8-914-540-30-30

The Debtor can be reached at:

         CJSC Khabarovskiy Factory of Metal Constructions
         Perspektivnaya Str. 38
         680018 Khabarovsk Region
         Russia


KUKMORSKIY ELEVATOR: Creditors Must File Claims by March 2
----------------------------------------------------------
Creditors of OJSC Kukmorskiy Elevator have until March 2 to
submit written proofs of claim to:

         L. Safin, Insolvency Manager
         Post User Box 143
         Kazan
         420039 Tatarstan Republic
         Russia

The Arbitration Court of Tatarstan Republic commenced bankruptcy
proceedings against the company after finding it insolvent.  The
case is docketed under Case No. A65-5017/2006-SG4-26.

The Arbitration Court of Tatarstan Republic is located at:

         Room 12
         Floor 2
         Entrance 2
         Building 1
         Kremlin
         Kazan
         Tatarstan Republic
         Russia

The Debtor can be reached at:

         OJSC Kukmorskiy Elevator
         Lenina Str. 52
         Kukmor
         Kukmorskiy Region
         422110 Tatarstan Republic
         Russia


LOCKO-BANK: Moody's Assigns E+ Financial Strength Rating
--------------------------------------------------------
Moody's Investors Service assigned these global scale ratings
with stable outlook to Locko-bank:

   * B2 long-term and Not Prime short-term foreign and local
     currency deposit ratings; and

   * an E+ financial strength rating.

At the same time, Moody's Interfax Rating Agency assigned an
A3.ru long-term national scale credit rating to the bank.
Moscow-based Moody's Interfax is majority-owned by Moody's, a
leading global rating agency.

According to Moody's and Moody's Interfax, the B2/NP/E+ global
scale ratings reflect the bank's global default and loss
expectation, while the A3.ru national scale rating reflects the
standing of its credit quality relative to its domestic peers.

The FSR of E+ takes account of Locko-bank's strategic focus on
the SME segment, which offers substantial growth potential in
Russia, and its growing franchise in lending to this segment
based on its developed product mix and expanding territorial
coverage.  Other positive rating drivers are:

   (i) the bank's established relationships with international
       financial institutions, which help it to achieve its
       strategic goals;

  (ii) its strong capitalization indicators, with plans for a
       US$20 million Tier II capital injection from the EBRD
       and an additional share issue of US$20-30 million in
       2007, which should enable it to support significant
       asset growth; and

(iii) a historically low level of credit losses.

However, the FSR is constrained by:

   (i) the challenges posed by the operating and regulatory
       environment in Russia, despite these being systemic
       factors common to all banks in the country;

  (ii) the bank's limited franchise, characterised by an
       untested ability to generate sufficient recurring
       earnings;

(iii) a considerable, albeit gradually declining, single-party
       concentration in the loan portfolio, and

  (iv) the bank's growing reliance on market sources of funding.

Locko-bank's global deposit ratings and NSR do not take into
account any possible support from its shareholders in the event
of need.  In Moody's view, although such support cannot be ruled
out following the recent changes in the bank's ownership
structure (in 2006 the International Financial Corporation and
East Capital Group acquired 15% and 11% stakes in the bank
respectively), its scope and timeliness are somewhat uncertain.
Given the bank's size and market position, any support from the
Russian financial authorities is unlikely.

Locko-bank is headquartered in Moscow, Russian Federation.  As
at Sept. 30, 2006, the bank reported total assets of US$500
million under IFRS.  Locko-bank ranked 104th by assets and 106th
by regulatory capital among Russian banks as of Sept. 30, 2006,
according to Interfax.


MEDVEDSKOYE GRAIN: Kirov Bankruptcy Hearing Slated for May 14
-------------------------------------------------------------
The Arbitration Court of Kirov Region will convene at 10:00 a.m.
on May 14 to hear the bankruptcy supervision procedure on OJSC
Medvedskoye Grain Receiving Enterprise (TIN 4321005368).  The
case is docketed under Case No. A28-645/06-396/20.

The Temporary Insolvency Manager is:

         A. Malygin
         Svobody Str. 23
         Medvedok
         Nolinskiy Region
         613451 Kirov Region
         Russia

The Arbitration Court of Kirov Region is located at:

         K-Libknekhta Str. 102
         610017 Kirov Region
         Russia

The Debtor can be reached at:

         OJSC Medvedskoye Grain Receiving Enterprise
         Svobody Str. 23
         Medvedok
         Nolinskiy Region
         613451 Kirov Region
         Russia


MGLIN-AGRO-TRANS OJSC: Asset Bidding Deadline Slated for Jan. 29
----------------------------------------------------------------
LLC Business Alliance, the bidding organizer for OJSC Mglin-
Agro-Trans will proceed with a repeated auction for the
company's properties at noon on Jan. 30 at:

         LLC Business Alliance
         Sovetskaya Str. 82
         Bryansk Region
         Russia

The company has set a RUR501,138 starting price for the
auctioned assets.

Interested participants have until 3:00 p.m. on Jan. 29 to
deposit an amount equivalent to 20% of the starting price to:

         OJSC Mglin-Agro-Trans
         Settlement Account 40502810408150100011 in
         Trubachevskiy OSB 5571
         Correspondent Account 3010181040000000601
         BIK 041501601

Bidding documents must be submitted to:

         LLC Business Alliance
         Sovetskaya Str. 82
         Bryansk Region
         Russia

The Debtor can be reached at:

         LLC Business Alliance
         Sovetskaya Str. 82
         Bryansk Region
         Russia


NORTH-EAST FISHING: Creditors Must File Claims by March 2
----------------------------------------------------------
Creditors of CJSC North-East Fishing Company have until March 2
to submit written proofs of claim to:

         O. Zhitaryuk, Insolvency Manager
         Office 7
         Komsomolskaya Str. 2
         685000 Magadan Region
         Russia

The Arbitration Court of Magadan Region commenced bankruptcy
proceedings against the company after finding it insolvent.  The
case is docketed under Case No. A-37-2607/05-6B.

The Debtor can be reached at:

         CJSC North-East Fishing Company
         N/r. Magadanki Str. 15
         685000 Magadan Region
         Russia


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

         A. Sidorak, Insolvency Manager
         Leningradskaya Str. 3-50
         680013 Khabarovsk Region
         Russia

The Arbitration Court of Khabarovsk Region commenced bankruptcy
proceedings against the company after finding it insolvent.  The
case is docketed under Case No. A73-11043/2006-9.

The Debtor can be reached at:

         CJSC Planet
         Sofiyskaya Str. 11
         Chegdomy
         Khabarovsk Region
         Russia


RUSSIAN BREAD: Creditors Must File Claims by March 2
----------------------------------------------------
Creditors of LLC Russian Bread have until March 2 to submit
written proofs of claim to:

         P. Pozdnyakov, Insolvency Manager
         Post User Box 38
         Kosmonavtov Str. 10
         394038 Voronezh Region
         Russia

The Arbitration Court of Tambov Region commenced bankruptcy
proceedings against the company after finding it insolvent.  The
case is docketed under Case No. A64-5591/06-18.

The Debtor can be reached at:

         LLC Russian Bread
         Avtozavodskaya Str. 3A
         Michurinsk
         Tambov Region
         Russia


RZHAVSKIYE SEEDS: Creditors Must File Claims by January 30
----------------------------------------------------------
Creditors of OJSC Rzhavskiye Seeds have until Jan. 30 to submit
written proofs of claim to:

         V. Smolgovskiy, Temporary Insolvency Manager
         1st Suvorovskiy Per. 67
         305040 Kursk Region
         Russia

The Arbitration Court of Kursk Region has commenced bankruptcy
supervision procedure on the company.  The case is docketed
under Case No. A35-7825/06 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 Rzhavskiye Seeds
         Airport
         634011 Kursk Region
         Russia


SIBERIA OJSC: Court Names S. Banenko as Insolvency Manager
----------------------------------------------------------
The Arbitration Court of Novosibirsk Region appointed Ms. S.
Banenko as Insolvency Manager for OJSC Siberia.  She can be
reached at:

         S. Banenko
         Office 207
         Nakhimova Str. 13/1
         634034 Tomsk Region
         Russia

The Court commenced bankruptcy proceedings against the company
after finding it insolvent.  The case is docketed under Case No.
A45-13387/06-29247.

The Arbitration Court of Novosibirsk Region is located at:

         Kirova Str. 3
         630007 Novosibirsk Region
         Russia

The Debtor can be reached at:

         S. Banenko
         Office 207
         Nakhimova Str. 13/1
         634034 Tomsk Region
         Russia


SIBUR HOLDING: Moody's Assigns Ba2 Corporate Family Rating
----------------------------------------------------------
Moody's Investors Service assigned a Ba2 Corporate Family Rating
to OJSC Sibur Holding with a stable outlook.

Moody's Ba2 corporate family rating reflects:

  (i) Sibur's position as the largest vertically integrated
      petrochemical company in Russia;

(ii) cost leadership benefiting from a stable access to lower
      cost feedstock and ability to process this lower cost
      feedstock (associated petroleum gas) at its
      integrated gas processing facilities,

(iii) the company's dominant or leading market share in a number
      of products, supported by the absence of similar-sized
      domestic competitors;

(iv) a strong financial performance and debt profile, with
      EBITDA margins in the high teens and with a Debt/EBITDA
      level targeted to remain below 1.0x going forward,

  (v) high growth potential of the Russian petrochemical market,
      still depending on less price-competitive imports to fill
      demand gap;

(vi) good liquidity situation as Sibur is committed to maintain
      US$500-million standby credit facilities and
      US$100-million cash balances at all times.

On the other hand, the ratings remain constrained by:

  (i) the key competitive advantage resulting from its hydro-
      carbon feedstock production both for internal further
      processing and external sale; this advantage largely
      depends on uninterrupted access to APG at low cost;

(ii) the cyclical nature of the petrochemical markets in which
      the company operates; the magnitude of the cyclical swings
      in the next few years depending to a large extent on the
      balance of capacity additions mainly in the Middle East
      and demand development in the growing Asian economies; any
      significant excess capacity of similarly low-cost
      producers in the Middle East could result in increasing
      competition or margin pressure in Sibur's domestic market;

(iii) the company's exposure to volatile energy and raw material
      markets, with current profitability positively affected by
      high oil and gas prices which also drive the sales price
      of its hydro-carbon feedstock;

(iv) high maintenance and development capital investment
      requirements,

  (v) a relativey short record of sustainable operating
      performance following the company's change of management
      since 2003,

(vi) political, fiscal, and legislation risks associated with
      the operational environment of the Russian Federation; and

(vii) the limited product diversification (mainly rubbers,
      liquid petroleum gases, polyolefins, tires and
      fertilizers) as well as the geographic concentration
      providing only little comfort against these risks.

The ratings also factor in Sibur's strong operational and
financial ties with Gazprom Group (export sales of Sibur are
channeled via OJSC Gazprom' export vehicle GazpromExport, and
GazpromBank supports the company's liquidity by providing
significant standby credit lines), the 100% holder of control
over Sibur, rated "A3" by Moody's, as well as a history of
credit support from Gazprom, particularly at the time of Sibur's
debt re-structuring in 2002.

The stable outlook on all ratings reflects Moody's expectation
that Sibur will further demonstrate sustainability of its
operations and management strategy.  Moody's expects that
implementation, cost overruns and liquidity risks associated
with the company's sizeable 3 year' capex program will be
mitigated by robust cash flows underpinned by further improving
domestic market conditions, and prudent financial strategy.
Moody's does not consider Sibur's contemplated acquisition
activities as significantly risk-generating.

OJSC Sibur Holding, domiciled in St. Petersburg, Russian
Federation, is the largest Russian petrochemical vertically
integrated holding, producing Hydrocarbon feedstock,
Fertilizers, Synthetic rubbers, Polymers, and Tires.  Sibur's
revenues in 2005 amounted to US$3.8 billion, EBITDA to
US$0.8 billion, net income to US$0.4 billion.


SOKOLSKOYE GRAIN: Court Names V. Polyakov as Insolvency Manager
---------------------------------------------------------------
The Arbitration Court of Nizhniy Novgorod Region appointed Mr.
V. Polyakov as Insolvency Manager for OJSC Sokolskoye Grain
Receiving Enterprise.  He can be reached at:

         V. Polyakov
         Lesnoy Kvartal Str. 5-28
         Chkalovsk
         606541 Nizhniy Novgorod Region
         Russia

The Court commenced bankruptcy proceedings against the company
after finding it insolvent.  The case is docketed under Case No.
A43-4594/2006-33-33.

The Arbitration Court of Nizhniy Novgorod Region is located at:

         Kremlin 9
         603082 Nizhniy Novgorod Region
         Russia

The Debtor can be reached at:

         V. Polyakov
         Lesnoy Kvartal Str. 5-28
         Chkalovsk
         606541 Nizhniy Novgorod Region
         Russia


VNESHTORGBANK JSC: Shareholders' Meeting Slated for April 4
-----------------------------------------------------------
The Supervisory Board JSC Vneshtorgbank decided to convene an
extraordinary General shareholders' meeting on April 4, 2007.
The Board approved the agenda of the meeting, top of which is
election of new members of the VTB Supervisory Board.

                     About Vneshtorgbank

Headquartered in Moscow, Russia, JSC Vneshtorgbank --
http://www.vtb.ru/-- and its subsidiaries offers a wide range
of banking services and conducting operations in both Russian
and international markets.

As of Dec. 31, 2005, the Group had a network of 151 branches,
including 55 branches of VTB, 42 branches of VTB Retail Services
and 54 branches of Industry and Construction Bank, located in
major Russian regions.  The Group operates through three
subsidiaries located in the CIS (Armenia, Georgia, Ukraine),
seven subsidiaries located in Western Europe (Austria, Cyprus,
Switzerland, Germany, Luxembourg, France) and Great Britain and
through five representative offices located in India, Italy,
China, Byelorussia and Ukraine.

                        *     *     *

Following the recent upgrade of the Russian sovereign foreign
and local currency IDRs to BBB+ from BBB, Fitch ratings affirmed
Vneshtorgbank's Individual rating at C/D and Support at 2.


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


AIR MADRID: Air Plus Comet Takes Over Workforce & 7 LatAm Routes
----------------------------------------------------------------
Air Plus Comet will operate routes in seven Latin American
countries previously covered by folded discount carrier Air
Madrid Lineas Aereas S.A., MercoPress reports.

Spanish Public Works Minister Magdalena Alvarez allowed Air
Comet to operate pursuant to an agreement with its president,
Gerardo Diaz.

"This agreement was held with the company that made the best
offer and which met all the requirements needed to come to a
solution," Ms. Alvarez told MercoPress.

Under the agreement, Air Comet will take over routes in
Argentina, Peru, Columbia, Chile, Ecuador, Panama and Costa
Rica; it aims to fly to Mexico and Cuba in the future.  The no-
frills airline also plans to take on stranded Air Madrid
passengers still holding ticket to fly for an extra EUR200, AFX
News reports, citing a statement by the Spanish ministry.  It
also plans to take over 53 percent of Air Madrid's 1,089
employees, AFX relates.

Earlier, German airline LTU dismissed plans to take over Air
Madrid's LatAm routes following talks with investors and
authorities in Spain, AFX adds.

Air Madrid shut down its operations on Dec. 15, 2006, leaving
330,000 passengers stranded in Latin America and Spain.  The
Spanish government had been investigating the company's
operations due to constant customer's claims of poor service
that resulted in the cancellation of its permit to operate.  The
budget airline had been under scrutiny for delays that have kept
hundreds of passengers in airports for days.

Air Madrid didn't show any intention of refunding tickets and it
is unknown if and when the carrier's operations will resume.

Headquartered in Madrid, Spain, Air Madrid Lineas Aereas S.A. --
http://www.airmadrid.com/-- operated 10 aircraft in its fleet.
Up until its shutdown, it operated routes to Spain and Latin
America.


MILLS CORP: Has Until January 2008 to Pay Back US$1 Billion Loan
----------------------------------------------------------------
The Mills Corp. has received an extension until Jan. 31, 2008,
to pay back its US$1 billion loan that was warned to force the
company into chapter 11 bankruptcy protection, the Baltimore
Business Journal reports.

According to the report, the loan, which is a part of an amended
credit agreement with Goldman Sachs Mortgage Co., could be
extended to April 30, 2008, if the termination date of the
merger agreement with Brookfield Asset Management Inc. is
similarly extended.

The Mills, the Journal says, took out the loan with Goldman
Sachs in May 2006 with a maturity date at the end of March.
Brookfield has agreed to take on the company's loan.

As reported in the Troubled Company Reporter on Jan. 18, 2007,
The Mills and Brookfield 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.

                    About The Mills Corporation

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.

                          *     *     *

As reported in the Troubled Company Reporter on Jan. 10, 2007,
The Mills Corp. issued a warning in a 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.


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


ALPHA HOLZBAU: St. Gallen Court Suspends Bankruptcy Proceedings
---------------------------------------------------------------
The Bankruptcy Court of St. Gallen suspended the bankruptcy
proceedings of LLC Alpha Holzbau on Dec. 20, 2006, pursuant to
Article 230 of the Swiss Bankruptcy Code.

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

The Debtor, declared bankrupt on Nov. 27, 2006, can be reached
at:

         LLC Alpha Holzbau
         Glatthaldestrasse 2
         9230 Flawil
         Switzerland

The Bankruptcy Service of St. Gallen can be reached at:

         Bankruptcy Service of St. Gallen
         Office Oberuzwil
         Urs Ghirlanda
         9242 Oberuzwil
         St. Gallen
         Switzerland


FUTURE TRANSPORTE: Olten Court Suspends Bankruptcy Proceedings
--------------------------------------------------------------
The Bankruptcy Court of Olten in Solothurn suspended the
bankruptcy proceedings of LLC Future Transporte on Dec. 25,
2006, pursuant to Article 230 of the Swiss Bankruptcy Code.

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

The Debtor, declared bankrupt on July 13, 2006, can be reached
at:

         LLC Future Transporte
         Industriestrasse 28
         4703 Kestenholz
         Switzerland

The Bankruptcy Service of Olten can be reached at:

         Bankruptcy Service of Olten
         4702 Oensingen
         Solothurn
         Switzerland


GASTRO PLANUNG: St. Gallen Court Starts Bankruptcy Proceedings
--------------------------------------------------------------
The Bankruptcy Court of St. Gallen commenced bankruptcy
proceedings against JSC Gastro Planung on Nov. 6, 2006.

The Debtor can be reached at:

         JSC Gastro Planung
         Oberstrasse 11
         9230 Flawil
         St. Gallen
         Switzerland

The Bankruptcy Service of St. Gallen can be reached at:

         Bankruptcy Service St. Gallen
         Office Oberuzwil
         Fritz Buchschacher
         9242 Oberuzwil
         St. Gallen
         Switzerland


HOBI & SCHWARZMANN: St. Gallen Court Closes Bankruptcy Process
--------------------------------------------------------------
The Bankruptcy Court of St. Gallen entered an order closing the
bankruptcy proceedings of JSC Hobi & Schwarzmann Architekten.

The Debtor can be reached at:

         JSC Hobi & Schwarzmann Architekten
         Brunnenstrasse 2
         8890 Flums
         Switzerland

The Bankruptcy Service of St. Gallen can be reached at:

         Bankruptcy Service of St. Gallen
         Office Buchs
         Yves Beljean
         9471 Buchs
         St. Gallen
         Switzerland


HTS HANDELS-TECHNIK: Solothurn Court Suspends Bankruptcy Process
----------------------------------------------------------------
The Bankruptcy Court of Solothurn suspended the bankruptcy
proceedings of JSC HTS Handels-Technik on Jan. 3 pursuant to
Article 230 of the Swiss Bankruptcy Code.

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

The Debtor, declared bankrupt on Nov. 14, 2006, can be reached
at:

         JSC HTS Handels-Technik
         Gartenmattweg 10
         4532 Feldbrunnen
         Switzerland

The Bankruptcy Service of Solothurn can be reached at:

         Bankruptcy Service of Solothurn
         4702 Oensingen
         Solothurn
         Switzerland


LUKATEC LLC: Aargau Court Starts Bankruptcy Proceedings
-------------------------------------------------------
The Bankruptcy Court of Aargau commenced bankruptcy proceedings
against LLC Lukatec on Dec. 12, 2006.

The Debtor can be reached at:

         LLC Lukatec
         Hofstrasse 23
         5406 Baden-Rutihof
         Aargau
         Switzerland

The Bankruptcy Service of Aargau can be reached at:

         Bankruptcy Service Aargau
         Office Baden
         5402 Baden
         Aargau
         Switzerland


MODE FIGURA: Aargau Court Starts Bankruptcy Proceedings
-------------------------------------------------------
The Bankruptcy Court of Aargau commenced bankruptcy proceedings
against JSC Mode Figura on Dec. 11, 2006.

The Debtor can be reached at:

         JSC Mode Figura
         Schachen 36
         5000 Aarau
         Aargau
         Switzerland

The Bankruptcy Service of Aargau can be reached at:

         Bankruptcy Service Aargau
         Office Oberentfelden
         5036 Oberentfelden
         Aargau
         Switzerland


PARK PUB: St. Gallen Court Starts Bankruptcy Proceedings
--------------------------------------------------------
The Bankruptcy Court of St. Gallen commenced bankruptcy
proceedings against LLC Park Pub on Nov. 23, 2006.

The Debtor can be reached at:

         LLC Park Pub
         Bachstrasse 19
         9230 Flawil
         St. Gallen
         Switzerland

The Bankruptcy Service of St. Gallen can be reached at:

         Bankruptcy Service St. Gallen
         Office Oberuzwil
         Fritz Buchschacher
         9242 Oberuzwil
         St. Gallen
         Switzerland


PROFARM JSC: St. Gallen Court Suspends Bankruptcy Proceedings
-------------------------------------------------------------
The Bankruptcy Court of St. Gallen suspended the bankruptcy
proceedings of JSC Profarm on Jan. 3 pursuant to Article 230 of
the Swiss Bankruptcy Code.

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

The Debtor, declared bankrupt on Nov. 23, 2006, can be reached
at:

         JSC Profarm
         Rorschacherstrasse 15
         9450 Altstatten
         Switzerland

The Bankruptcy Service of St. Gallen can be reached at:

         Bankruptcy Service of St. Gallen
         Office Buchs
         Leila Spirig-Hayoz
         9471 Buchs
         St. Gallen
         Switzerland


RESTAURANT ROSE: Aargau Court Starts Bankruptcy Proceedings
-----------------------------------------------------------
The Bankruptcy Court of Aargau commenced bankruptcy proceedings
against LLC Restaurant Rose on Dec. 12, 2006.

The Debtor can be reached at:

         LLC Restaurant Rose
         Weite Gasse 23
         5400 Baden
         Aargau
         Switzerland

The Bankruptcy Service of Aargau can be reached at:

         Bankruptcy Service Aargau
         Office Baden
         5402 Baden
         Aargau
         Switzerland


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


FORTIS BANK: Fitch Affirms & Withdraws Low-B Ratings
----------------------------------------------------
Fitch Ratings affirmed Turkey-based Fortis Bank A.S.'s ratings
at foreign currency Issuer Default 'BB', local currency Issuer
Default 'BB+', Short-term foreign and local currency 'B',
Individual 'D', Support '3' and National Long-term 'AA'.

At the same time, Fitch has withdrawn all the ratings and will
no longer provide ratings or analytical coverage of this issuer.


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


AMVROSIEVSKOE LLC: Creditors Must Submit Claims by Feb. 8
---------------------------------------------------------
Creditors of LLC Amvrosievskoe (code EDRPOU 30905528) have until
Feb. 8 to submit written proofs of claim to:

         K. Laskaviy, Temporary Insolvency Manager
         Starobeshevskaya Str. 12-A
         83069 Donetsk Region
         Ukraine
         Tel: (062)348-80-17

The Economic Court of Donetsk Region commenced bankruptcy
supervision procedure on the company on Nov. 21, 2006.  The case
is docketed under Case No. 42/275B.

The Economic Court of Donetsk Region is located at:

         Artema Str. 157
         83048 Donetsk Region
         Ukraine

The Debtor can be reached at:

         LLC Amvrosievskoe
         Moskovskaya Str. 27
         Lisichye
         Amvrosievka District
         87370 Donetsk Region
         Ukraine


AZOV BUSINESS: Creditors Must Submit Claims by Feb. 8
-----------------------------------------------------
Creditors of LLC Azov Business Company (code EDRPOU 24808089)
have until Feb. 8 to submit written proofs of claim to:

         Inessa Kiriachok, Temporary Insolvency Manager
         Pervomayskaya Str. 12, of. 501
         83086 Donetsk Region
         Ukraine
         Tel: (062) 304-12-81

The Economic Court of Donetsk Region commenced bankruptcy
supervision procedure on the company on Nov. 22, 2006.  The case
is docketed under Case No. 5/261B.

The Economic Court of Donetsk Region is located at:

         Artema Str. 157
         83048 Donetsk Region
         Ukraine

The Debtor can be reached at:

         LLC Azov Business Company
         Avtotransportnaya Str. 1
         Makeevka
         86152 Donetsk Region
         Ukraine


CHEMICAL RESERVE: Shareholders Opt to Wind Up Business
------------------------------------------------------
Shareholders of CJSC Chemical Reserve have resolved to
discontinue the company's operation through a liquidation
process.

The company is planning to call another shareholders' meeting.

Chemical Reserve operates accredited laboratories and research
institutes.  The company manufactures paints, varnishes,
solvents, auto chemical goods, and benzyl peroxide.


GRIF LLC: Claims Submission Deadline Set for February 8
-------------------------------------------------------
Creditors of LLC Grif (code EDRPOU 24372031) have until Feb. 8
to submit written proofs of claim to:

         Alexey Gorelov, Liquidator 03126
         M. Donec Str. 14, ap. 73
         Kiev Region
         Ukraine

The Economic Court of Kiev Region commenced bankruptcy
proceedings against the company on Dec. 7, 2006, after finding
it insolvent.  The case is docketed under Case No. 15/728-b.

The Economic Court of Kiev Region is located at:

         B. Hmelnitskij Boulevard 44-B
         01030 Kiev Region
         Ukraine

The Debtor can be reached at:

         LLC Grif
         Glybochickaya Str. 40
         04050 Kiev Region
         Ukraine


NORINSK RUBBLY: Claims Submission Deadline Set for February 8
-------------------------------------------------------------
Creditors of OJSC Norinsk Rubbly Plant (code EDRPOU 04865033)
have until Feb. 11 to submit written proofs of claim to:

         B. Petrychuk, Liquidator
         Sverdlov Str. 53
         Berdychev
         Zhytomir Region
         Ukraine
         Tel: 04143-40378

The Economic Court of Zhytomir Region commenced bankruptcy
proceedings against the company on Dec. 19, 2006, after finding
it insolvent.  The case is docketed under Case No. 14/261-b.

The Economic Court of Zhytomir Region is located at:

         Putiatinskiy Square 3/65
         10014 Zhytomir Region
         Ukraine

The Debtor can be reached at:

         OJSC Norinsk Rubbly Plant
         Norinsk
         Ovruck District
         11100 Zhytomir Region
         Ukraine


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


ADVANCED MARKETING: Gets Court Nod to Employ BSI as Claims Agent
----------------------------------------------------------------
The Hon. Christopher S. Sontchi of the U.S. Bankruptcy Court for
the District of Delaware authorized Advanced Marketing Services
Inc. and its debtor-affiliates to employ Bankruptcy Services LLC
as claims and noticing agent in their Chapter 11 cases to, among
other things:

    (1) maintain, process and docket claims filed in their
        bankruptcy cases;

    (2) transmit notices to appropriate parties as required by
        the Bankruptcy Code, the Federal Rules of Bankruptcy
        Procedure and the Local Rules of the District of
        Delaware;

    (3) assist the Debtors within the dissemination of
        solicitation materials relating to a plan of
        reorganization; and

    (4) assist the Debtors with the preparation of their
        schedules and statements.

Furthermore, BSI will assist the Debtors with:

    (1) the preparation of amendments to the master creditor
        lists;

    (2) administrative tasks relating to the reconciliation and
        resolution of claims; and

    (3) the preparation, mailing, and tabulation of ballots for
        the purpose of voting to accept or reject a
        Reorganization Plan or Reorganization Plans.

BSI will not perform any services involving the exercise of
professional judgment without further Court ruling, Mark D.
Collins, Esq., at Richards, Layton & Finger, P.A., in
Wilmington, Delaware, notes.

The Debtors submit that the employment of BSI will promote the
economical and efficient administration of their estates because
the Debtors will be able to avoid duplication in claims
administration, and in providing notices to their creditors.  In
addition, the Court and the Clerk of Court will be relieved from
the heavy administrative burden and other burdens due to the
large number of creditors and other parties-in-interest involved
in the Debtors' Chapter 11 cases.

According to Mr. Collins, BSI is a firm that specializes in
claims processing, noticing, and other administrative tasks in
Chapter 11 cases.  BSI has (a) substantial experience in the
matters on which it is to be engaged, and (b) acted as official
claims agent in several cases in the U.S. Bankruptcy Court for
the District of Delaware.

Daniel C. McElhinney, BSI Vice President of Client Services,
assures the Court that in its capacity as the Claims and
Noticing Agent in the Debtors' Chapter 11 cases, BSI:

    (a) will not consider itself employed by the U.S. Government
        and will not seek any compensation from the U.S.
        Government;

    (b) waives any rights to receive compensation from the U.S.
        Government;

    (c) will not be an agent of the U.S. Government and will not
        act on behalf of the U.S. Government; and

    (d) will not employ any past or present employees of the
        Debtors in connection with its work as the Claims and
        Noticing Agent.

Mr. Collins relates that BSI will bill the Debtors monthly, and
all invoices will be due and payable upon receipt at these
rates:

     Consulting Services                       Hourly Rate
     -------------------                       -----------
     Senior Bankruptcy Consultant            US$225 - US$295
     Bankruptcy Consultant                   US$185 - US$225
     IT Programming Consultant               US$140 - US$190
     Cash Managers-Document and Data Review  US$125 - US$175
     Clerical                                 US$40 - US$60

BSI reserves the right to reasonably increase its prices,
charges and rates annually on January 2nd of each year.
However, if the increases exceed 10%, BSI will be required to
give 60 days' prior written notice to the Debtors.

                    About Advanced Marketing

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

The company and its two affiliates, Publishers Group
Incorporated and Publishers Group West Incorporated filed for
Chapter 11 protection on Dec. 29, 2006 (Bankr. D. Del. Case Nos.
06-11480 through 06-11482).  Suzzanne S. Uhland, Esq., Austin K.
Barron, Esq., Alexandra B. Feldman, Esq., O'Melveny & Myers,
LLP, represent the Debtors as Lead Counsel.  Chun I. Jang, Esq.,
Mark D. Collins, Esq., and Paul Noble Heath, Esq., at Richards,
Layton & Finger, P.A., represent the Debtors as Local Counsel.
When the Debtors filed for protection from their creditors, they
listed estimated assets and debts of more than US$100 million.
The Debtors' exclusive period to file a chapter 11 plan expires
on Apr. 28, 2007. (Advanced Marketing Bankruptcy News, Issue No.
3; Bankruptcy Creditors' Service Inc.,
http://bankrupt.com/newsstand/or 215/945-7000)


ADVANCED MARKETING: Court Sets Jan. 31 Bidding Protocol Hearing
---------------------------------------------------------------
The Hon. Christopher S. Sontchi of the U.S. Bankruptcy Court for
the District of Delaware scheduled a hearing on Jan. 31 to
consider Advanced Marketing Services Inc. and its debtor-
affiliates' request to establish procedures and a timeline to
consummate a Qualified Transaction, as well as an offer
evaluation process for certain Qualified Transactions.

The Debtors have been seeking to recapitalize their businesses
through a strategic transaction, by way of the sale of
substantially all or a portion of their major assets, or a debt
or equity investment.  The Debtors have received substantial
investor interest, with multiple third parties executing non-
disclosure agreements and conducting diligence.

Pursuant to their Amended and Restated Loan and Security
Agreement dated as of Jan. 3, with Wells Fargo Foothill Inc. as
DIP agent and a consortium of lenders, the Debtors are obligated
to take steps to consummate a Qualified Transaction pursuant to
a specified timeline.

The Debtors also seek permission to provide stalking horse
protections with respect to a stalking horse for the Qualified
Transaction.  The Debtors also seek approval of the manner of
notice of the Qualified Transaction Procedures.

The Debtors will seek approval of a Qualified Transaction not
more than two days following Court approval of the Qualified
Transaction Procedures.

                           Sale Notice

In the event they enter into an agreement to sell substantially
all of their assets, the Debtors will send notice of the
proposed Qualified Transaction Procedures and the proposed time
and date of the Sale Procedures to all parties-in-interest and
all potential purchasers.  The Qualified Transaction Motion will
attach the form of asset purchase agreement executed by the
Stalking Horse, and the notice will include instructions as to
how parties-in-interest may obtain a copy of the Definitive
Agreement.

                       Access to Data Room

The Debtors will establish an electronic data room that contains
information relevant to the Debtors for evaluation by interested
parties.  The Debtors will make the electronic data room
available to any entity the Debtors determine to be qualified
that executes an appropriate confidentiality agreement.

                         Offer Deadline

Binding offers to purchase all or any defined portion of the
Debtors' assets may be submitted up to two days prior to the
date the Offer Evaluation Process is to occur.  Each Qualified
Offer should include:

   (i) a mark up of the Definitive Agreement;

  (ii) detailed information about the party making the Qualified
       Offer, including its financial and other capacity to
       consummate the transaction;

(iii) an identification of the executory contracts and leases
       to be assumed by the party making the Qualified Offer;
       and

  (iv) information sufficient to demonstrate that the party
       making the Qualified Offer will be able to provide
       parties to the contracts and leases with adequate
       assurance of its ability to perform under them.

                    Offer Evaluation Process

Two business days prior to the Qualified Transaction Hearing, a
meeting will be held at the offices of Richards Layton & Finger,
the Debtors' Delaware counsel, if the Debtors determine in their
discretion, after consultation with their major creditors, that
proceeding with the Offer Evaluation Process is appropriate.

During the Offer Evaluation Process, the Debtors will evaluate
the offers of the Stalking Horse and any Qualified Offers.
Successive Qualified Offers will be considered only if they
exceed the previous offer by a minimum increment to be
determined by the Debtors in their business judgment, provided
that the initial increment will be not less than the amount that
would be owed if the Debtors would be required to pay the
Stalking Horse Protections to the Stalking Horse.

The Debtors may recess the Offer Evaluation Process from time to
time in their discretion to assess Qualified Offers or permit
participants whether to alter or increase their Qualified
Offers.

If the Qualified Transaction Motion seeks approval of a
financing transaction or other debt or equity infusion, no
overbid procedures will be necessary.

In the event the Debtors have not selected a Stalking Horse at
the time they file the Qualified Transaction Motion, the
Definitive Agreement will be drafted by the Debtors.

                          Multiple Lots

The Debtors reserve the right to accept and evaluate one or more
Qualified Offers seeking the purchase of one or more defined
subsets of their assets.  In the event that acceptance and
evaluation of the Qualified Offers is deemed appropriate in the
Debtors' business judgment, formed after consultation with their
major creditors, the Offer Evaluation Process may proceed in
multiple lots, provided that any participant will have an
opportunity to submit a Qualified Offer on one or more lots or
on all lots together, and the Debtors will be free in their
business judgment to accept the Qualified Offer or Offers that,
alone or in conjunction with others, the Debtors deem to
comprise the highest and best offer available.

                  Qualified Transaction Hearing

The Debtors ask the Court to schedule the Qualified Transaction
Hearing on a date not less than 22 days after entry of the
Qualified Transaction Procedures Order.

                   Stalking Horse Protections

The Debtors seek authority, but not direction, to provide these
Stalking Horse Protections upon the execution of a Definitive
Agreement:

  (i) a break up fee of up to 2.5% of the net consideration to
      the Debtors under the Definitive Agreement, or

(ii) reimbursement of reasonable, documented out of pocket
      expenses not to exceed $200,000.

To be entitled to the Protections, the Debtors explain that the
Stalking Horse must agree to keep its offer open until the
conclusion of the Offer Evaluation Process.

In the event that the Debtors seek a Qualified Transaction in
the form of a refinancing of the DIP Facility, the Debtors seek
authority, but not direction, to provide a refinancing lender
with these protections:

  (i) a break up fee of up to 0.5% of the face amount of the new
      facility, or

(ii) reimbursement of reasonable, documented out of pocket
      expenses not to exceed $150,000.

The Qualified Transaction Protections are modest sums, Paul N.
Heath, Esq., at Richards, Layton & Finger, P.A., in Wilmington,
Delaware, assures Judge Sontchi.

"Not only will a Stalking Horse or Refinancing Lender provide
the Debtors and their creditors with a measure of comfort that
the Qualified Transaction will in fact be consummated, but the
presence of a Stalking Horse will encourage third parties to
submit competitive offers and will enable the Debtors to
maximize value for their estates," Mr. Heath says.  "The
benefits of having a Stalking Horse or a Refinancing Lender thus
far outweigh the potential costs associated with the Qualified
Transaction Protections."

                    About Advanced Marketing

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

The company and its two affiliates, Publishers Group
Incorporated and Publishers Group West Incorporated filed for
Chapter 11 protection on Dec. 29, 2006 (Bankr. D. Del. Case Nos.
06-11480 through 06-11482).  Suzzanne S. Uhland, Esq., Austin K.
Barron, Esq., Alexandra B. Feldman, Esq., O'Melveny & Myers,
LLP, represent the Debtors as Lead Counsel.  Chun I. Jang, Esq.,
Mark D. Collins, Esq., and Paul Noble Heath, Esq., at Richards,
Layton & Finger, P.A., represent the Debtors as Local Counsel.
When the Debtors filed for protection from their creditors, they
listed estimated assets and debts of more than US$100 million.
The Debtors' exclusive period to file a chapter 11 plan expires
on Apr. 28, 2007. (Advanced Marketing Bankruptcy News, Issue
No. 3; Bankruptcy Creditors' Service Inc.,
http://bankrupt.com/newsstand/or 215/945-7000)


AEROVAC SERVICES: Appoints Administrators from Vantis
-----------------------------------------------------
Mark Newman and Robert Knight of Vantis Business Recovery
Services were appointed joint administrators of Aerovac Services
Ltd. (Company Number 04834380) on Jan. 11.

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

Aerovac Services Ltd. can be reached at:

         500 Bradford Road
         Sanbeds
         Keighley
         West Yorkshire BD20 5NG
         United Kingdom
         Tel: 012 7455 0500
         Fax: 012 7455 0501


AFFINIA GROUP: Moody's Lifts Corporate Family Rating to B2
----------------------------------------------------------
Moody's Investors Service has upgraded Affinia Group Inc.'s
Corporate Family Rating to B2 from B3 and revised the outlook to
stable from negative.

Ratings on the company's first lien bank obligations and
subordinated notes were also raised one notch.  The actions
reflect progress Affinia has achieved to date in restoring its
margins from continuing operations, benefits provided by its
liquidity and debt maturity profiles, and lower volatility in
demand associated with the bulk of its product offering, which
address normal service and maintenance requirements in the
automotive aftermarket.

While the company's ongoing results will continue to experience
restructuring charges and related cash expenditures, Affinia
will increasingly realize meaningful savings in operating
expenses, and, going forward, those savings will begin to exceed
the remaining cash disbursements under the program.  Although
seasonal working capital swings may require use of external
sources before unwinding in subsequent periods, internal
resources are expected to finance capital expenditures and
restructuring actions over the intermediate period.  As a
result, lower leverage will evolve and coverage ratios will
trend higher, firmly positioning the company in the B2 rating
category.

Ratings Upgraded:

   -- Corporate Family Rating to B2 from B3
   -- Probability of Default to B2 from B3
   -- First lien bank debt to Ba3, LGD2, 27% from B1, LGD2, 27%
   -- Subordinated Notes to B3, LGD5, 76% from Caa1, LGD5, 76%
   -- Outlook to stable from negative

Ratings affirmed:

   -- Senior Unsecured Issuer Rating, B3
   -- Speculative Grade Liquidity Rating, SGL-2

The last rating action was in September 2006 when Affinia's
ratings were adjusted to incorporate Moody's Loss Given Default
Methodology.  The company's liquidity rating of SGL-2 was
affirmed in December 2006.

Affinia's debt/EBITDA declined to roughly 4.8x at the end of
September 2006, and its EBITA/interest improved to 1.6x on an
LTM basis at the same date.

While these ratios exclude the impact of non-recurring charges,
principally restructuring costs associated with its multi-year
program, they are considered reflective of the ongoing return
and coverage capacity of the business.  To date, the cash
portion of the restructuring initiative has not required any
external funding.  And, going forward, the savings generated by
the program are anticipated to reach a point at which they will
match or exceed the remaining cash disbursements.  Consequently,
Affinia's quantitative metrics are anticipated to exhibit
improving trends and will be consistent with peers in the B2
Corporate Family Rating category.

The stable outlook considers the ongoing level of demand and
market share for Affinia's replacement parts and improving
operating margins.  Demand for Affinia's products are correlated
with normal maintenance and wear requirements.  This contrasts
with repair and warranty requirements, which are more influenced
by product failure rates which have been affected by general
trends in improved quality of original equipment parts.

It further recognizes benefits from the company's good liquidity
profile, which is supported by access to substantial amounts of
external liquidity, and anticipates that the company's
restructuring efforts will lead to stronger operating margins
and free cash flow over the intermediate period.

The Ba3 rating on the first lien bank debt reflects its
estimated 26% loss-given-default, which results from the first
priority nature of its secured claims, up-streamed guarantees
from certain material domestic subsidiaries, and considerable
amounts of junior capital.  Those amounts include US$300 million
of senior subordinated notes as well as approximately US$61.5
million of accreted notes at a holding company two levels above
the issuer, which are both structurally and contractually
subordinate to the bank debt.

The B3 rating on the subordinated notes reflects their 76% loss-
given-default, and their junior status to the bank debt.  The
US$300 million of senior subordinated notes at Affinia benefit
from up-streamed guarantees from material domestic subsidiaries
and the structural subordination of the aforementioned notes at
a higher holding company.  The Senior Unsecured Issuer rating of
B3, one notch below the Corporate Family Rating, reflects its
junior priority to secured bank obligations and its comparable
status to the senior subordinated notes.

Affinia Group Inc., headquartered in Ann Arbor, Michigan, is a
designer, manufacturer and distributor of aftermarket components
for passenger cars, sport utility vehicles, light, medium and
heavy trucks and off-highway vehicles.  The company's product
range addresses filtration, brake and chassis markets in North
and South America, Europe and Asia.  In 2005, the company
reported revenues of approximately US$2.1 billion.


ALPINE FOODS: Brings In Joint Administrators from BDO Stoy
----------------------------------------------------------
Toby Underwood and Dermot Power of BDO Stoy Hayward LLP were
appointed joint administrators of Alpine Foods Ltd. (Company
Number 3422992) on Jan. 15.

BDO Stoy Hayward -- http://www.bdo.co.uk/-- focuses on business
assurance (audit), corporate advisory, tax, and investment
management services, specializing in such industries as
charities, educational institutions, family businesses,
financial services, leisure, and hospitality.  The company is
the U.K. arm of BDO International and has offices in more than
15 cities throughout the U.K.

Alpine Foods Ltd. can be reached at:

         Gourdie Industrial Estate
         Kingsway
         Dundee DD2 4TD
         United Kingdom
         Tel: 01382621011
         Fax: 01382610965


AP HYDRAULICS: Claims Filing Period Ends March 22
-------------------------------------------------
Creditors of AP Hydraulics Ltd. have until March 22 to send in
writing their names and addresses and the particulars of their
debts or claims, and the names and addresses of their Solicitors
(if any), to:

         David Matthew Hammond
         Edward Mark Shires
         Joint Liquidators
         PricewaterhouseCoopers LLP
         Hill House
         Richmond Hill
         Bournemouth BH2 6HR
         England

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.


AUTO DELIVERIES: Taps Administrators from Poppleton & Appleby
-------------------------------------------------------------
Stephen Lord and Stephen James Wainwright of Poppleton & Appleby
were appointed joint administrators of Auto Deliveries Ltd.
(Company Number 05145095) on Jan. 15.

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

Auto Deliveries Ltd. can be reached at:

         Majestic House
         Viaduct Street
         Huddersfield
         West Yorkshire HD1 6AJ
         United Kingdom
         Tel: 01484 422 260
         Fax: 01484 422 270


AUTOVETS LTD: Appoints Begbies Traynor to Administer Assets
-----------------------------------------------------------
I P Sykes and G W Rhodes of Begbies Traynor were appointed joint
administrators of Autovets Ltd. (Company Number 04361013) 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.

Autovets Ltd. can be reached at:

         534 Falmer Road
         Brighton
         East Sussex BN2 6ND
         United Kingdom
         Tel: 012 7330 9555
         Fax: 012 7330 9509


AZURA IMPORT: Names T. Papanicola as Administrator
--------------------------------------------------
T. Papanicola of Bond Partners LLP was named administrator of
Azura Import Export Ltd. (Company Number 04573312) on Jan. 15.

The administrator can be reached at:

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

Azura Import Export Ltd. can be reached at:

         Langley Brook Farm
         London Road
         Middleton
         Tamworth
         Staffordshire B78 2BP
         Tel: 0121 311 0930


BRAZIER BROTHERS: Brings In Parkin S. Booth as Administrators
-------------------------------------------------------------
Jonathan R. Booth and Robert M. Rutherford of Parkin S. Booth &
Co. were appointed joint administrators of Brazier Brothers Ltd.
(Company Number 2008450) on Jan. 11.

Parkin S. Booth & Co http://www.parkinsbooth.co.uk/-- deals
entirely with insolvency practice.

Brazier Brothers Ltd. can be reached at:

         Raddle Wharf
         Dock Street
         Ellesmere Port
         Merseyside CH65 4FY
         United Kingdom
         Tel: 0151 355 1056


BRITISH AIRWAYS: Cabin Crew Union Agrees to Postpone Strike
-----------------------------------------------------------
The Transport and General Workers Union, representing 11,000
cabin crew employees of British Airways Plc, has agreed to
postpone the first 24 hours of a planned three-day strike to
allow more time for further negotiations in a dispute over sick
leave, pay and staffing, Bloomberg News reports.

However, if the dispute is not resolved, the strike will push
through on Tuesday and Wednesday next week, Tony Woodley,
general secretary of TGWU, was quoted by Bloomberg as saying.

Mr. Woodley added that the decision was made after a personal
intervention of BA Chief Executive Willie Walsh with union
representatives and "as a goodwill gesture."

According to Bloomberg, BA called on the T&G to completely call
off the strike as it would affect a large number of passengers.

"The T&G has taken a small step forward, but it should now take
a proper stride and end the anxiety it is causing for so many of
our customers," Mr. Walsh said.  "The solution to this dispute
can, and should, be found at the negotiating table and not on
the picket lines."

BA revealed that the T&G is not in favor with its move to seek
outside mediation through the Advisory, Conciliation and
Arbitration Service.

If the union goes ahead with the rest of its strikes for next
week, the carrier intends to disclose details of its flight
program for the first period of the action, Bloomberg relates.

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 actions
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 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 carry these ratings:

   * Moody's Investors Service:

-- Long-Term Corporate Family Rating: Ba1
-- Senior Unsecured Debt: Ba2
-- Outlook: Negative

   * Standard & Poor's:

-- Long-Term Foreign Issuer Credit Rating: BB+
-- Long-Term Local Issuer Credit Rating: BB+


BRITISH AIRWAYS: Plans Flight Cancellations to London
-----------------------------------------------------
Due to a planned strike by British Airways Plc's U.K.-based
cabin crew, the airline has disclosed a reduced flying schedule
for next week between the U.S.A./Canada and London.

British Airways' schedule is as follows:

    * Tuesday, Jan. 30 -- all flights to London Heathrow
      operate normally; all inbound flights from
      London Heathrow are cancelled.

    * Wednesday, Jan. 31 -- most flights between
      North America and London Heathrow are cancelled.

    * Thursday, Feb. 1 -- all flights to North America
      from Heathrow will operate; most flights from
      North America to London Heathrow are cancelled.

    * Friday, Feb. 2 -- most flights to London from
      North America will operate with a few selected
      exceptions due to crew or aircraft being out of position.

Flights between the U.S.A. and London Gatwick Airport --
Orlando, Dallas/Ft. Worth, Atlanta and Houston -- will not be
affected and will operate normally; the daily flights between
JFK and Manchester will also operate normally.

All domestic U.K. and shorthaul European flights to and from
London Heathrow and Gatwick Airports will be cancelled Tuesday,
Jan. 30 and Wednesday, Jan. 31.

Robin Hayes, Executive Vice President Americas, said, "Everyone
at British Airways in the Americas is working diligently to
ensure our customers are looked after and are given sufficient
notification to make alternative travel arrangements.

"We will permit any customer due to travel on a British Airways
flight cancelled by the strike to claim a full refund, rebook
their flight for a later date or be rebooked by British Airways
with another airline."

Customers are urged to check the airline's website (www.ba.com)
regularly and use the Manage My Booking link to obtain
information about their individual reservation, to rebook or to
refund.

Customers also may rebook their flights by contacting British
Airways on its toll-free number 1 800 AIRWAYS (1 800 247 9297).

Travelers are advised to check http://www.ba.com/to see if
their flight is still operating before departing for the
airport.  If their flight has been cancelled they should contact
British Airways or their local travel agent.

                     Cabin Union Strike

The Transport and General Workers Union, representing 11,000
cabin crew employees of British Airways Plc, has postponed the
first 24 hours of its scheduled three-day strike to give way to
more talks to settle a dispute over sick leave, pay and
staffing.  If no agreement is reached, the strike will push
through on Tuesday or Wednesday next week.

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 carry these ratings:

   * Moody's Investors Service:

-- Long-Term Corporate Family Rating: Ba1
-- Senior Unsecured Debt: Ba2
-- Outlook: Negative

   * Standard & Poor's:

-- Long-Term Foreign Issuer Credit Rating: BB+
-- Long-Term Local Issuer Credit Rating: BB+


CAMPION MCCALL: Joint Liquidators Take Over Operations
------------------------------------------------------
David Rubin and Asher Miller were appointed joint liquidators of
Campion McCall Holdings Ltd. on Dec. 15, 2006, for the
creditors' voluntary winding-up procedure.

The company can be reached at:

         Campion McCall Holdings Ltd.
         22-23 Widegate Street
         City of London
         London E1 7HP
         England
         Tel: 020 7377 8585
         Fax: 020 7377 1892


CENTRAL GARDEN: Posts US$320 Million Sales in Qtr. Ended Dec. 30
----------------------------------------------------------------
Central Garden & Pet Co. reported an approximately US$320
million sales on its preliminary results for fiscal first
quarter ended Dec. 30, 2006.  This compares to the previous
guidance of approximately breakeven for the quarter.

"The reasons for the earnings outlook revision for the quarter
were a late quarter shift in seasonal purchases by lawn and
garden retailers, lower sales and mix shift within pet bird and
small animal products and higher-than-previously anticipated
grain costs," commented Glenn Novotny, President and Chief
Executive Officer of Central Garden & Pet Company.  "These three
factors resulted in lower-than-anticipated sales and gross
profit contribution.  Overall, we have strong listings for 2007,
we believe we are continuing to take market share and we are
continuing to implement price increases to offset rising grain
costs."

Headquartered in Walnut Creek, California, Central Garden & Pet
Company (NASDAQ: CENT) -- http://www.central.com/-- markets and
produces branded products for the lawn & garden and pet supplies
markets.  Products are sold to specialty independent and mass
retailers.  The company also provides a host of other regional
and application-specific garden and pet brands and supplies.
The company has approximately 5,000 employees, primarily in
North America and Europe.

                           *     *     *

As reported in the Troubled Company Reporter on Sept. 28, 2006,
Moody's Investors Service affirmed its Ba3 corporate family
rating for Central Garden and Pet Company.  Additionally,
Moody's held its Ba2 probability-of-default rating on the
company's US$350 million senior secured revolver.


CENTRAL SOUTHERN: Taps Moore Stephens to Administer Assets
----------------------------------------------------------
Steven Draine and David Rolph of Moore Stephens Corporate
Recovery were appointed joint administrators of Central Southern
Interiors Ltd. (Company Number 03372447) on Dec. 21

Moore Stephens -- http://www.moorestephens.co.uk/-- offers
audit, business support, corporate finance, corporate recovery,
dispute analysis, financial services, insurance broking, IT
consultancy, pensions audit, risk advisory services, tax and
trusts & estates services.  Its U.K. network comprises over
1,400 partners and staff.

Central Southern Interiors Ltd. can be reached at:

         Parklands Business Park
         Forest Road
         Denmead
         Waterlooville
         Hampshire PO7 6 AR
         United Kingdom
         Tel: 023 9223 2020


CHAUFFEURCAR SERVICES: Appoints Leonard Curtis as Administrators
----------------------------------------------------------------
N A Bennett and K D Goodman of Leonard Curtis were appointed
joint administrators of Chauffeurcar Services Ltd. (Company
Number 04616557) on Dec. 22.

DTE Leonard Curtis -- http://www.dtegroup.com/-- offers tax
consultancy, company secretarial services, corporate finance,
corporate recovery, turnaround, forensic accounting, financial
services and insurance & risk management.

Chaffeurcar Services Ltd. can be reached at:

         196- 200 Yorkway
         Islington
         London N7 9AX
         United Kingdom
         Tel: 0845 345 0227
         Fax: 0845 345 0337


CLINICAL DIAGNOSTIC: Fanshawe Lofts Selling Diagnostic Firm
-----------------------------------------------------------
Antony Fanshawe and Sue Stockley of Fanshawe Lofts, in their
capacity as joint administrators for Clinical Diagnostic
Chemicals Ltd., are offering to sell the company's business and
assets.

Clinical Diagnostic Chemicals develops a range of "ready-for-
market" in-vitro diagnostic self-test allergy kits.  The
business is based in North Wales.

Offers are invited for all available IPR including product-
related patents, stock in trade, and tooling.

Inquiries can be addressed to:

         James Stares
         Fanshawe Lofts
         41 Castle Way
         Southampton SO14 2BW
         United Kingdom
         Tel: 023 8023 3522
         E-mail: jws@fanshawelofts.co.uk

Fanshawe Lofts -- http://www.fanshawelofts.co.uk/-- provides
commercial solutions to business issues, including: corporate
finance; corporate recovery, turnaround and insolvency; and
litigation support and forensic accounting.


CONRAND LTD: Brings In Begbies Traynor as Administrators
--------------------------------------------------------
Louise Donna Baxter and Lloyd Biscoe of Begbies Traynor were
appointed joint administrators of Conrand Ltd. (Company Number
01302077) on Jan. 5.

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

Conrand Ltd. can be reached at:

         22 Mill Road
         Billericay
         Essex CM11 2SF
         United Kingdom
         Tel: 01277 658 025


COUNTRY SCENE: Appoints Joint Administrators from CBA
-----------------------------------------------------
Neil Charles Money and Neil Richard Gibson of CBA were appointed
joint administrators of Country Scene U.K. Ltd. (Company Number
02122554) on Jan. 3.

CBA -- http://www.cba-insolvency.co.uk/-- provides solutions to
financial difficulties when the perceivable option is either
liquidation or bankruptcy.

Country Scene U.K. Ltd. can be reached at:

         2 Lythalls Lane
         Coventry
         West Midlands CV6 6FG
         United Kingdom
         Tel: 024 7663 8228
         Fax: 024 7666 6308


DFJ REALISATIONS: Appoints Neil Chesterton as Liquidator
--------------------------------------------------------
Neil Chesterton of The MacDonald Partnership Plc (formerly
CSO Ltd.) was appointed Liquidator of DFJ Realisations Ltd. on
Jan. 12 for the creditors' voluntary winding-up proceeding.

The company can be reached at:

         DFJ Realisations Ltd.
         1 Emperor Way
         Exeter Business Park
         Exeter
         Devon EX1 3QS
         England
         Tel: 01392 314 034


DURA AUTOMOTIVE: Can Pay US$1.1 Million Prepetition Tax Claims
--------------------------------------------------------------
The Honorable Kevin J. Carey of the U.S. Bankruptcy Court for
the District of Delaware authorized Dura Automotive Systems Inc.
and its debtor-affiliates to pay, in their sole discretion, the
undisputed prepetition claims of certain governmental units in
respect of real and personal property taxes in an aggregate
amount not to exceed US$1,100,000.

As reported in the Troubled Company Reporter on Dec. 29, 2006,
the Debtors own real and personal property in at least 12 U.S.
states and Canadian provinces.  Under applicable law, state,
provincial, and local governments in the jurisdictions where the
properties are located are granted the authority to levy taxes
against the real and personal property.

The Debtors typically pay taxes on their Owned Properties in the
ordinary course as the taxes are invoiced, which typically
covers
taxes for the prior year, or quarter, depending on how the
applicable tax is assessed.  Thus, as of their bankruptcy
filing, the Debtors owed taxes that accrued with respect to the
Owned Properties for some portions of the 2006 calendar year.

While the Bankruptcy Code does not require the Debtors to pay
the Property Taxes at this time, nonpayment or late payment of
certain prepetition Property Taxes will, among others:

   (i) likely subject the Debtors to above-market interest rates
       and penalties in certain circumstances;

  (ii) cause Taxing Authorities' county or municipal to suffer a
       significant gross revenue cutback, in turn leading to
       reduced funding of public schools, fire and police
       departments, and other municipal services from which the
       Debtors and their employees enjoy the benefits;

(iii) unnecessarily divert the Debtors' attention away from the
       operations of their businesses and the reorganization
       process in the event the Taxing Authorities would cause
       the Debtors to be audited; and

  (iv) result in the creation of statutory liens on the Owned
       Properties, which creation and perfection does not
       violate the automatic stay under Section 362 of the
       Bankruptcy Code.

                 About DURA Automotive Systems Inc.

Rochester Hills, Mich.-based DURA Automotive Systems Inc.
(Nasdaq: DRRA) -- http://www.DURAauto.com/-- is an independent
designer and manufacturer of driver control systems, seating
control systems, glass systems, engineered assemblies,
structural door modules and exterior trim systems for the global
automotive industry.  The company is also a supplier of similar
products to the recreation vehicle and specialty vehicle
industries.  DURA sells its automotive products to North
American, Japanese and European original equipment manufacturers
and other automotive suppliers.

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


DURA AUTOMOTIVE: Judge Carey Approves Lease Rejection Procedures
----------------------------------------------------------------
The Honorable Kevin J. Carey of the U.S. Bankruptcy Court for
the District of Delaware approved Dura Automotive Systems Inc.
and its debtor-affiliates' procedure for rejecting executory
contracts and unexpired leases of personal and non-residential
real property:

    a. the Debtors will file a notice to reject any executory
       contract, lease or sublease, or interest in the lease or
       sublease, pursuant to Section 365 and will serve the
       Notice, as well as the deadlines and procedures for
       filing objections to the Notice, via overnight delivery
       service upon:

         (i) the United States Trustee;

        (ii) counsel to the agent to the Debtors' prepetition
             secured lenders;

       (iii) counsel to the agent to the Debtors' postpetition
             secured lenders;

        (iv) counsel to the Official Committee of Unsecured
             Creditors;

         (v) the contract counter-party or landlord(s) affected
             by the Notice, and

        (vi) any other parties-in-interest to the executory
             contract or lease, including subtenants, if any,
             sought to be rejected by the Debtors.

       If the Notice is issued by the Debtors prior to the
       effective date of a plan of reorganization, the affected
       executory contract, lease, sublease or interest in the
       ease or sublease will be deemed to be subject to a motion
       to reject for all purposes.

    b. the Notice will set forth this information, to the best
       of the Debtors' knowledge, as applicable:

         (i) the street address of the real property underlying
             the lease or sublease, the interest in the personal
             property lease or sublease or the type of executory
             contract which the Debtors seek to reject;

        (ii) the Debtors' monthly payment obligation, if any,
             under the contract, lease or sublease or interest
             in the lease or sublease;

       (iii) the remaining term of the contract, lease or
             sublease or interest in the lease or sublease;

        (iv) the name and address of the contract counterparty,
             landlord or subtenant;

         (v) a general description of the terms of the executory
             contract or lease; and

        (vi) a disclosure describing the procedures for fling
             objections, if any.

    c. should a party-in-interest object to the proposed
       rejection by the Debtors of an executory contract, lease
       or sublease, or interest in the lease or sublease, the
       party must file and serve a written objection so that the
       objection is filed with the Court and is actually
       received by these parties no later than 10 days after the
       date the Debtors serve the Notice:

         (i) counsel to the Debtors: Kirkland & Ellis LLP, 200
             East Randolph Drive, Chicago, Illinois 60601, Attn:
             Ryan Blaine Bennett, Esq., and Richards, Layton &
             Finger, One Rodney Square, 920 N, King Street,
             Wilmington, Delaware 19801, Attention: Daniel J.
             DeFranceschi, Esq.;

        (ii) counsel to the Creditors Committee; and

       (iii) the Office of the United State Trustee.

    d. absent an objection, the rejection of the executory
       contract, lease or sublease, or interest in the lease or
       sublease, will become effective 10 days from the date the
       Notice was served on the Service Parties without further
       notice, hearing or order of the Court; provided, however,
       that with respect to leases or subleases for non-
       residential real property, the rejection will become
       effective on the later of:

         (x) the Rejection Date or

         (y) the date the Debtors unequivocally relinquished
             control of the premises to the affected landlord by
             turning over keys or "key codes" to the affected
             landlord.

    e. if a timely objection is filed that cannot be resolved,
       the Court will schedule a hearing to consider the
       objection only with respect to the rejection of any
       executory contract, lease or sublease, or interest in the
       lease or sublease, as to which an objection is properly
       filed and served.  If the Court upholds the objection and
       determines the effective date of rejection of the
       executory contract, lease or sublease, or interest in the
       lease or sublease, that date will be the rejection date.
       If the objection is overruled or withdrawn or the Court
       does not determine the date of rejection, the rejection
       date of the lease, sublease or interest will be deemed to
       have occurred on the Rejection Date or NRP Lease
       Rejection Date, as applicable.

    f. if the Debtors have deposited funds with a lessor or
       contract counterparty as a security deposit or other
       arrangement, the lessor or contract counterparty may not
       set-off for otherwise use the deposit without the prior
       authority of the Court.

    g. with respect to any personal property of the Debtors
       located at any of the premises subject to any Notice, the
       Debtors will remove the property prior to the expiration
       of the period within which a party must file and serve a
       written objection.  If they determine that the value of
       the property at a particular location has a de minimis
       value or cost of removing the property exceeds the
       value of the property, the Debtors will generally
       describe the property in the Notice and, absent a timely
       objection, the property will be deemed abandoned pursuant
       to Section 554, as is, where is, effective as of the date
       of the rejection of the underlying unexpired lease.

Counterparties to executory contracts, leases or subleases, or
interests in the leases and subleases that are rejected pursuant
to the Rejection Procedures are required to file a proof of
claim relating to the rejection of the executory contract, lease
or sublease, or interest in the lease or sublease, if any, by
the later of:

   (a) the claims bar date established in the Chapter 11 cases,
       if any; and

   (b) 30 days after the Rejection Date.

The Debtors believed that the Rejection Procedures provide a
fair and efficient manner for rejecting contracts, leases,
subleases, and interests in leases and subleases.

                 About DURA Automotive Systems Inc.

Rochester Hills, Mich.-based DURA Automotive Systems Inc.
(Nasdaq: DRRA) -- http://www.DURAauto.com/-- is an independent
designer and manufacturer of driver control systems, seating
control systems, glass systems, engineered assemblies,
structural door modules and exterior trim systems for the global
automotive industry.  The company is also a supplier of similar
products to the recreation vehicle and specialty vehicle
industries.  DURA sells its automotive products to North
American, Japanese and European original equipment manufacturers
and other automotive suppliers.

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


ERICO INTERNATIONAL: S&P Withdraws BB- Corporate Credit Ratings
---------------------------------------------------------------
Standard & Poor's Ratings Services withdrew its 'BB-' corporate
credit rating on ERICO International Corp. at the company's
request.  At the same time, all ratings were removed from
CreditWatch with negative implications.

The rating withdrawal follows completion of the company's tender
offer for its senior subordinated notes due 2012.  The tender
offer was completed in conjunction with ERICO's plans to
recapitalize the company in a transaction valued at
approximately US$675 million.


EOS UK: Creditors Must File Claims by Feb. 15
---------------------------------------------
Creditors of EOS (U.K.) Ltd. have until Feb. 15 to send their
names and addresses and particulars of their debts or claims to:

         Gerard Keith Rooney
         Liquidator
         Rooney Associates
         2nd Floor
         19 Castle Street
         Liverpool L2 4SX
         England

Gerard Keith Rooney of Rooney Associates was appointed
liquidator of the company on Jan. 15.


FLEET SAVE: Creditors' Claims Due April 9
-----------------------------------------
Creditors of Fleet Save Ltd. have until April 9 to send their
names and addresses and particulars of their debts or claims,
and the names and addresses of the Solicitors (if any), to:

         Robert Michael Young
         Paul Finnity
         Joint Liquidators
         Begbies Traynor
         The Old Barn
         Caverswall Park
         Caverswall Lane
         Stoke-on-Trent ST3 6HP
         England

Robert Michael Young and Paul Finnity of Begbies Traynor were
appointed joint liquidators of the company on Jan. 9.

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


FORD MOTOR: Posts US$12.75-Billion Net Loss in 2006
---------------------------------------------------
Ford Motor Co. released its preliminary financial results for
the year and quarter ended Dec. 31, 2006.

Ford posted US$12.75 billion in losses against US$160.1 billion
in revenues for the full year 2006, compared with US$1.4 billion
in net profit against US$176.9 billion in revenues for 2005.

Ford posted US$5.76 billion in net loss against US$40.3 billion
in revenues for the fourth quarter of 2006, compared with
US$74 million in net loss against US$46.3 billion in revenues
for the same period in 2005.

"We began aggressive actions in 2006 to restructure our
automotive business so we can operate profitably at lower
volumes and with a product mix that better reflects consumer
demand for smaller, more fuel efficient vehicles," Alan Mulally,
Ford's president and chief executive, said.  "We fully recognize
our business reality and are dealing with it.  We have a plan
and we are on track to deliver."

                        Results by Sector

Automotive Sector

For 2006, Ford's worldwide Automotive sector reported a pre-tax
loss of US$5.2 billion, compared to a pre-tax loss of
US$993 million a year ago.  The decline primarily reflected
unfavorable volume and mix, unfavorable net pricing and currency
exchange, partially offset by favorable cost performance and
higher interest income.

For the fourth quarter, Ford's worldwide Automotive sector
reported a pre-tax loss of US$2.5 billion, compared to a pre-tax
loss of US$109 million a year earlier.  The decline primarily
reflected adverse volume and mix and higher incentives in North
America.

Worldwide Automotive revenue for 2006 was US$143.3 billion,
compared to US$153.5 billion a year ago.  Total fourth-quarter
Automotive revenue was US$36 billion, a decrease from US$40.7
billion a year ago.

Total company vehicle wholesales in 2006 were 6,597,000, a
decrease from 6,767,000 in 2005.  Fourth-quarter vehicle
wholesales totaled 1,568,000, compared to 1,737,000 units a year
ago.

Automotive cash at Dec. 31, 2006, totaled US$33.9 billion of
cash, net marketable securities, loaned securities and short-
term Voluntary Employee Benefits Association (VEBA) assets.

Financial Services Sector

For 2006, the Financial Services sector earned a pre-tax profit
of more than US$1.9 billion, compared to US$3.5 billion the
prior year.  For the fourth quarter, the Financial Services
sector earned a pre-tax profit of US$416 million, compared to
US$626 million the prior year.

Ford Motor Credit Company reported net income of US$1.3 billion
in 2006, down US$621 million from earnings of US$1.9 billion a
year earlier.  On a pre-tax basis from continuing operations,
Ford Motor Credit earned more than US$1.9 billion in 2006, down
US$970 million from 2005.  The decrease in full-year earnings
primarily reflected higher borrowing costs, higher depreciation
expense and the impact of lower average receivable levels.
These were partially offset by market valuations primarily
related to non-designated derivatives and reduced operating
costs.

In the fourth quarter of 2006, Ford Motor Credit's net income
was US$279 million, down US$26 million from a year earlier.  On
a pre-tax basis, Ford Motor Credit earned US$406 million in the
fourth quarter, compared to US$482 million in the previous year.
The decrease primarily reflected higher borrowing costs and
higher depreciation expense, partially offset by market
valuations primarily related to non-designated derivatives.

                       Cash and Liquidity

The company ended 2006 with total Automotive cash, net
marketable securities, loaned securities and short-term
Voluntary Employee Beneficiary Association (VEBA) assets at
Dec. 31, 2006 of US$33.9 billion, an increase from US$23.6
billion at the end of the previous quarter.  Total Automotive
liquidity at Dec. 31, 2006 was US$46 billion including credit
facilities. The company's Automotive operating-related cash flow
was US$1.8 billion negative for the fourth quarter.

"We're pleased the financial markets expressed confidence in our
turnaround plan by providing us with the additional liquidity we
will need to fund our operations as we restructure to deliver
sustainable profitability," Mr. Mulally said. "We will deploy
this capital wisely to ensure we earn returns for our
shareholders and deliver products our customers prefer."

                          2007 Outlook

The company shared its financial outlook for 2007 and,
consistent with previous guidance, expects market share and most
earnings comparisons to remain challenging for the next two to
three quarters.

   -- U.S. market share is expected to be down through the third
      quarter of 2007, primarily due to lower fleet sales;

   -- production is expected to be down through the first half
      of 2007, but is expected to increase on a year-over-year
      basis in the second half of the year;

   -- year-over-year third quarter comparisons will be impacted
      by the non-recurrence of tax-related interest income in
      2006;

   -- essentially no tax offsets to losses will be recognized --
      negatively impacting the first nine months of comparisons.

   -- the company's structural cost reductions will continue to
      grow during the year as personnel are separated, plants
      are idled and capacity is reduced;

   -- as previously stated, from 2007 through 2009 cumulative
      Automotive operating-related cash outflows will be about
      US$10 billion, and cumulative restructuring expenditures
      will be about US$7 billion.  The company expects more than
      half of this US$17 billion outflow will occur in 2007.
      These outflows also reflect plans to invest in new
      products at levels comparable to previous years, or about
      US$7 billion annually.

   -- special charges in 2007 are expected to be significantly
      lower than in 2006.

"While challenges lie ahead for us in 2007, we're focused on
making continuous improvements to our plan, so we can capitalize
on opportunities to create and sell more products and save more
costs," Mr. Mulally said. "Our priorities, combined with our
sense of urgency, will continue to transform Ford Motor
Company."

                           Deep Trouble

Analysts, however, are skeptical that Ford's products are strong
enough to turn the company around, AFX News relays.

"There is no question that Ford is in deep trouble -- probably
the worst trouble they have been in since the Depression,"
Gerald Meyers, a University of Michigan business professor and
former chief executive of American Motors Corp, told Bloomberg
News.  "It is going to be a while before it gets out."

"The basic story of Ford's stunning collapse in its home-market
profitability remains the same," David Healy, Burnham Securities
analyst, told Reuters.  "Ford's finances were wrecked by the
collapse in volume and pricing of its most profitable truck
models."

Ford's losses are likely to have huge impact on its Credit-
default swaps -- financial instruments based on bonds and loans
that are used to speculate on a company's ability to repay debt,
Mark Altherr, a Credit Suisse Group analyst in New York, said.

Credit-default swap prices for Ford debt will continue to
tighten "unless there are big negative surprises to the
downside, in this market," Mr. Altherr stressed.

Full-text copies of Ford Motor Co.'s 2006 results are available
at no charge at: http://researcharchives.com/t/s?190d

                      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, 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
Corporation.

                           *     *     *

As reported in the Troubled Company Reporter on Dec. 12, 2006,
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 $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 $3 billion of senior convertible notes due
2036.


G2F LTD: Claims Registration Ends March 22
------------------------------------------
Creditors of G2F Ltd. have until March 22 to send in their full
names, their addresses and descriptions, full particulars of
their debts or claims, and the names and addresses of their
Solicitors (if any), to:

         Gordon Craig
         Liquidator
         Cresswall Associates Ltd.
         Maple View
         White Moss Business Park
         Skelmersdale
         Lancashire WN8 9TG
         England

Gordon Craig of Cresswall Associates Ltd. was appointed
Liquidator of the company on Dec. 22, 2006, by a resolution of
creditors.


GLOBAL GARAGE: Hires Liquidator from Begbies Traynor
----------------------------------------------------
Louise Donna Baxter of Begbies Traynor was appointed liquidator
of Global Garage Doors Ltd. on Jan. 12 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.

Global Garage Doors Ltd. can be reached at:

         Unit 1 VW House
         Selinas Lane
         Dag enham
         Essex RM8 1QH
         England
         Tel: 020 8984 9944


GSM LOGISTICS: S. J. Lowes Leads Liquidation Procedure
------------------------------------------------------
S. J. Lowes of Rogers Evans was appointed liquidator of GSM
Logistics Ltd. on Jan. 5 for the creditors' voluntary winding-up
procedure.

S. J. Lowes can be reached at:

         Rogers Evans
         20 Brunswick Place
         Southampton SO15 2AQ
         England


HINDLEFORM LTD: Creditors Must File Claims by March 9
-----------------------------------------------------
Creditors of Hindleform Ltd. have until March 9 to send in their
full names, their addresses and descriptions, full particulars
of their debts or claims, and the names and addresses of their
Solicitors (if any), to:

         Martin Henry Linton
         Leigh & Co.
         Brentmead House
         Britannia Road
         London N12 9RU
         England

Martin Henry Linton of Leigh & Co. was appointed liquidator of
the company on Jan. 12.

The company can be reached at:

         Hindleform Ltd.
         10-12 Queens Promenade
         Blackpool
         Lancashire FY2 9SQ
         England
         Tel: 01253 595 516
         Fax: 01253 595 516


HOLDEN ENGINEERING: Claims Filing Period Ends February 12
---------------------------------------------------------
Creditors of Holden Engineering Ltd. have until Feb. 12 to send
their names and addresses and particulars of their debts or
claims, and the names and addresses of the Solicitors (if any)
to:

         Paul Finnity
         Robert Michael Young
         Joint Liquidators
         Begbies Traynor
         The Old Barn
         Caverswall Park
         Caverswall Lane
         Stoke-on-Trent
         Staffordshire ST3 6HP
         England

Paul Finnity and Robert Michael Young of Begbies Traynor were
appointed joint liquidators of the company on Jan. 9.

The company can be reached at:

         Holden Engineering Ltd.
         Wetherby road
         Derby
         Derbyshire DE248HN
         England
         Tel: 01332 349 475
         Fax: 01332 293 215


I T THROUGH: Proof of Claim Deadline Slated for March 31
--------------------------------------------------------
Creditors of I T Through Work Ltd. have until March 31 to send
their names and addresses, together with particulars of their
debts or claims, and names and addresses of their Solicitors, if
any, to:

         Philip John Gorman
         Hazlewoods LLP
         Windsor House
         Barnett Way
         Barnwood
         Gloucester GL4 3RT
         England

Philip John Gorman of Hazlewoods LLP was appointed liquidator of
the company on Dec. 21, 2006.

Hazlewoods -- http://www.hazlewoods.co.uk/-- offers a service
that sets it apart from other chartered accountancy firms.   It
is highly qualified and experienced staff provides the greatest
level of professionalism in all areas of business advice,
accountancy, financial planning and tax.  The firm employs 150
staff.


L HUMPHREYS: Taps Susan Purnell to Liquidate Assets
---------------------------------------------------
Susan Purnell of Purnells was nominated liquidator of
L Humphreys Ltd. on Jan. 11 for the creditors' voluntary
winding-up proceeding.

Susan Purnell can be reached at:

         Purnells
         St. Marks House
         3 Gold Tops
         Newport
         South Wales NP20 4PG
         Wales


LADDER SAFETY: Claims Filing Period Ends February 19
----------------------------------------------------
Creditors of Ladder Safety Devices Ltd. have until Feb. 19 to
send in their full names, their addresses and descriptions, full
particulars of their debts or claims, and the names and
addresses of their Solicitors (if any), to:

         Martin Charles Armstrong
         Turpin Barker Armstrong
         Allen House
         1 Westmead Road
         Sutton
         Surrey SM1 4LA
         England

Martin Charles Armstrong of Turpin, Barker Armstrong was
appointed liquidator of the company on Jan. 11.

Turpin Barker Armstrong -- http://www.turpinba.co.uk/--
provides accounting, tax and business advisory services.


LEICESTER DYERS: Taps Liquidator from HKM LLP
---------------------------------------------
Jason Allan Groocock of HKM LLP was appointed liquidator of
Leicester Dyers Ltd. (formerly Honorvale Ltd.) on Jan. 17 for
the creditors' voluntary winding-up procedure.

The company can be reached at:

         Leicester Dyers Ltd.
         Abbey Lane
         Leicester
         Leicestershire LE4 0DA
         England
         Tel: 0116 266 6779
         Fax: 0116 268 2024


MANCHESTER SPORTS: Claims Filing Period Ends May 15
---------------------------------------------------
Creditors of Manchester Sports Ltd. have until May 15 to send in
their full names, addresses and descriptions, full particulars
of their debts or claims, and the names and addresses of their
Solicitors (if any), to:

         Tina Bullock
         Liquidator
         Crossfields
         85-87 High Street West
         Glossop
         Derbyshire SK13 8AZ
         England

Tina Bullock of Crossfields was appointed liquidator of the
company on Jan. 15 by resolutions of members and creditors.


MAPLEWOOD JOINERY: Names Keith Barry Stout Liquidator
-----------------------------------------------------
Keith Barry Stout was appointed liquidator of Maplewood Joinery
Ltd. on Jan. 12 for the creditors' voluntary winding-up
proceeding.

The company can be reached at:

         Maplewood Joinery Ltd.
         53 Pavilion Drive
         Leigh-on-Sea
         Essex SS9 3JS
         England
         Fax: 01702 719 973


MINERVA WORKSMAART: BDO Stoy Hayward Selling Hardware Supplier
--------------------------------------------------------------
Dermot Power and Martha Thompson, in their capacity as joint
administrators for Minerva Worksmaart Ltd., are offering to sell
the company's business and assets.

The asset for sale features:

   -- wholesale of Worksmaart branded safety products and Power
      Master branded hardware products;

   -- 30,000 sq. ft. warehouse on long-leasehold;

   -- several blue chip customers;

   -- relationships with quality-badge production facilities in
      China;

   -- available in whole or in parts.

Inquiries can be addressed to:

         Matthew Harvey
         BDO Stoy Hayward LLP
         Tel: 0113 2041302
         E-mail: matthew.harvey@bdo.co.uk

BDO Stoy Hayward -- http://www.bdo.co.uk/-- focuses on business
assurance (audit), corporate advisory, tax, and investment
management services, specializing in such industries as
charities, educational institutions, family businesses,
financial services, leisure, and hospitality.  The company is
the U.K. arm of BDO International and has offices in more than
15 cities throughout the U.K.


PACKWELL CARTONS: Carton Manufacturer Up for Sale
-------------------------------------------------
Glyn Mummery of Yantis Business Recovery Services and Anthony
Julius Donovan Bakonyvari of Ansers, in their capacity as joint
administrators for Packwell Cartons Ltd., are offering to sell
the company's business and assets.

Features:

   -- manufactures cartons and printed packaging;
   -- freehold premises based in Isle of Sheppey, Kent
   -- Extensive range of plant and machinery;
   -- skilled workforce;
   -- loyal customer base; and
   -- good potential to grow business.

Inquiries can be addressed to:

         Nigel Strike
         Yantis Business Recovery Services
         43/45 Butts Green Road
         Hornchurch
         Essex RM II 2JX
         Tel: 01708 458211
         Fax: 01708 442308
         E-mail: nigel.strike@vantisplc.com

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


REFER2US LTD: Appoints Neil Chesterton to Liquidate Assets
----------------------------------------------------------
Neil Chesterton of The MacDonald Partnership Plc was appointed
liquidator of Refer2us Ltd. on Jan. 12 for the creditors'
voluntary winding-up procedure.

Neil Chesterton can be reached at:

         The MacDonald Partnership Plc
         Tower 42
         25 Old Broad Street
         London EC2N 1HQ
         England


SEA CONTAINERS: Withdraws Plea for Non-Debtor Asset Sale
--------------------------------------------------------
Sea Containers, Ltd. and its debtor-affiliates filed, but
immediately withdrew, without prejudice, a request for approval
of procedures for selling or transferring certain assets owned
by their various non-debtor subsidiaries without any need for
further Court-approval of the transactions.  The Debtors did not
divulge the reasons for the withdrawal in their notice filed
with the U.S. Bankruptcy Court for the District of Delaware.

               Non-Debtor Asset Sale Procedures

Robert S. Brady, Esq., at Young Conaway Stargatt & Taylor, LLP,
in Wilmington, Delaware, said, although those assets do not
constitute property of their estates, (i) the Debtors may be
required by third parties to provide shareholder consent before
consummation of any sale, and (ii) certain buyers may also be
concerned that Court approval is necessary to consummate the
sale.

Under the procedures, the Debtors will notify the U.S. Trustee
and the Official Committee of Unsecured Creditors of any
proposed sale or transfer of the Non-Debtor Subsidiary Assets.
Absent any objections by either party, the Debtors will pursue
the sale without a request for Court-approval of the sale.

Mr. Brady narrated that the Debtors have been working with the
Official Committee of Unsecured Creditors in its bankruptcy case
to craft their proposal in a mutually acceptable manner.
Although no definitive agreement has been reached, the Debtors
continue to work with the Committee and anticipate that the
Committee will support the request, Mr. Brady said in the
Motion.

A non-exhaustive list of various Non-Debtor Assets is available
for free at http://researcharchives.com/t/s?18d5

                      About Sea Containers

Headquartered in Hamilton, Bermuda, Sea Containers Ltd. (NYSE:
SCRA, SCRB) -- 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 October 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: Creditors' Panel Taps Houlihan Lokey as Advisor
---------------------------------------------------------------
The Official Committee of Unsecured Creditors in Sea Containers,
Ltd. and its debtor-affiliates' chapter 11 case ask authority
from the Honorable Kevin J. Carey of the U.S. Bankruptcy Court
for the District of Delaware to employ Houlihan Lokey Howard &
Zukin Capital, Inc. as financial advisor, nunc pro tunc to
Oct. 26, 2006.

In addition, the Debtors ask the Judge Carey to approve the
terms of employment and the compensation of Houlihan Lokey at
the expense of the Debtor's estate set forth in an engagement
letter, and approve that Houlihan Lokey be excused from
maintaining time records with respect to the services it will
render in the bankruptcy case.

Before the Debtors filed for bankruptcy, Houlihan Lokey was the
special financial advisor to the ad hoc committee of holders of
public debt securities issued by SCL.  As a result, the firm is
already very familiar with the Debtors' financial and
operational situation, material constituencies, and issues
requiring resolution in order to reorganize, and has become
uniquely situated to increase the likelihood of a successful
restructuring, Andrew B. Cohen, managing director of Dune
Capital LLC, discloses.

Houlihan Lokey is an international investment banking and
financial advisory firm, which provides corporate finance and
financial advisory services, as well as execution capabilities,
in a variety of areas, including financial restructuring.  Mr.
Cohen adds that the firm's financial restructuring group has
advised on over 400 transactions, valued in excess of
US$200,000,000,000, over the past 10 years.

Houlihan Lokey will:

    -- evaluate the assets and liabilities of Sea Containers
       and its subsidiaries;

    -- analyze and review the financial and operating
       statements of the group;

    -- analyze the business plans and forecasts of the Group;

    -- evaluate all aspects of the Group's near-term liquidity,
       including various financing alternatives available to the
       Group and, if required, any exit financing in connection
       with any plan of reorganization filed by the Debtors or
       any other plans and any related budgets;

    -- provide specific valuation or other financial analyses
       as the Creditors' Committee may require;

    -- assist the Creditors Committee in negotiations with
       the Company, its advisors, and other interested third
       parties;

    -- help with the claim resolution process and related
       distributions;

    -- develop, evaluate, and assess the financial issues
       and options concerning any proposed transaction;

    -- prepare, analyze, and explain the Plan and the
       Transaction to various constituencies;

    -- provide testimony in court on behalf of the Creditors
       Committee if necessary or as reasonably requested by the
       Committee; and

    -- undertake any other analysis and advisory work as may be
       requested from time to time by the Creditors Committee,
       Bingham McCutchen LLP or Morris, Nichols, Arsht & Tunnell
       LLP and which are consistent with Houlihan Lokey's
       capabilities.

The Debtors will pay Houlihan Lokey a fee of US$150,000 per
month beginning Oct. 26, 2006, and after that on the 26th day of
each subsequent month until termination or expiration of the
agreement.

Upon consummation of any Transaction, Houlihan Lokey will be
paid in cash an additional fee of US$2,100,000, offset by
US$50,000 of each Monthly Fee, if any, earned and paid on or
after March 26, 2007.

Houlihan Lokey will also seek reimbursement for reasonable out-
of-pocket expenses incurred in connection with its engagement.

Mr. Cohen tells the Court that the complexity, intense activity,
and speed that have characterized the Debtors' case have
necessitated that Houlihan Lokey focus its immediate attention
on time-sensitive matters, and devote substantial resources to
the Creditors Committee's affairs.

Chris Di Mauro, managing director of Houlihan Lokey, assures the
Court that his firm is a "disinterested person" as that term is
defined in Section 101(14) of the Bankruptcy Code.  Houlihan
Lokey does not represent any party with an interest materially
adverse to the Debtors or the estate, Mr. Mauro says.

                      About Sea Containers

Headquartered in Hamilton, Bermuda, Sea Containers Ltd. (NYSE:
SCRA, SCRB) -- 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 October 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)


SECAL SHEET: Calls On Creditors to File Claims
----------------------------------------------
Creditors of Secal Sheet Metal (Southern) Ltd. are required to
prove and send their debts or claims in writing to:

         C. K. Rayment
         M. Dunham
         Joint Liquidators
         BDO Stoy Hayward LLP
         125 Colmore Row
         Birmingham B3 3SD
         England

The company can be reached at:

         Secal Sheet Metal (Southern) Ltd.
         Durban Road
         Bognor Regis
         West Sussex PO229QT
         England
         Tel: 01243 830 340
         Fax: 01243 822 390


VALEANT PHARMA: Files Restated 2005 Financial Statements
--------------------------------------------------------
Valeant Pharmaceuticals International has filed with the United
States Securities and Exchange Commission an amended annual
report on Form 10-K for the year ended Dec. 31, 2005.  The
company also filed its quarterly report on Form 10-Q for the
quarter ended Sept. 30, 2006.  The company expects to file its
amended quarterly reports on Form 10-Q for the quarters ended
March 31, 2006, and June 30, 2006, in the next few days.

The company has restated its financial statements primarily to
reflect the results of its review of historical stock option
granting practices.  The company recorded a cumulative pretax
charge of US$31.1 million for additional compensation expense on
stock options granted from 1982 through June 2006 as a result of
the completed review.  The company also restated its financial
statements to correct certain additional accounting errors that
were considered immaterial at the time the financial statements
were prepared, and to record the tax effect of these items and
other issues.  The cumulative after-tax impact of all
restatement charges was US$23.5 million.

                    Stock Option Review

The company received a request from the SEC for data on its
stock option granting practices as part of an informal inquiry.
Following this request, a special committee of the board,
comprised solely of independent directors (the Special
Committee), conducted an extensive review of the company's
historical stock option granting practices and related
accounting.

The Special Committee has concluded its comprehensive
investigation and reported its findings to the board of
directors.  For the period between November 1994 and July 2006,
the Special Committee reviewed paper and electronic documents
supporting or related to the company's stock option grants, the
accounting for those grants, compensation-related financial and
securities disclosures and e-mail communications, and conducted
interviews with numerous current and former employees and
current and former members of the board of directors.  The
Special Committee also analyzed supporting documentation for
awards granted between 1982 and 1994.

While the Special Committee concluded that there were some
errors as late as January 2006, the majority of errors in
accounting for options pertained to those options granted prior
to the change in the company's board of directors and management
in mid-2002 or the Change in Control. None of the errors that
occurred in periods after the Change in Control related to
options granted to the chief executive officer, chief financial
officer or members of the board of directors.

The Special Committee found that the recorded grant dates for
the majority of the stock options awarded prior to the Change in
Control differed from the actual grant dates for those
transactions.  In connection with that finding, the Special
Committee concluded that, with respect to many broad-based
grants of stock options prior to the Change in Control, prior
management used a methodology of selecting a recorded grant date
based on the lowest closing price during some time period (e.g.,
quarter, ten trading days) preceding the actual grant date.
While the Special Committee did not reach a conclusion as to how
prior management selected other recorded grant dates for broad-
based or individual grants that did not use the lowest closing
price methodology, there is some evidence that dates were
selected based on the occurrence of an event or when the
company's former chief executive officer, Milan Panic, agreed in
principle to the grant.

The Special Committee also found that, due to flaws in the
processes relied on to make its annual broad-based grants after
the Change in Control, the company did not correctly apply the
requirements of Accounting Principles Board Opinion No. 25.
These option accounting errors, however, differ significantly
from those made prior to the Change in Control.  Unlike the
broad-based grants made prior to the Change in Control, for
which the recorded grant dates were selected from a period prior
to the approval dates, all of the broad-based grants after the
Change in Control were approved either at regularly scheduled
meetings of the compensation committee or at meetings of the
board of directors, and the exercise price for each of these
grants was the closing price on the date of such meetings.

The stock option accounting errors after the Change in Control
resulted from allocation adjustments to the list of grants to
individual rank-and-file employees after the compensation
committee or the board of directors had approved the allocation
of an aggregate number of shares to be available to rank-and-
file employees.  In no event did the adjustments result in
shares being granted in excess of the aggregate number of shares
approved by the compensation committee or the board of
directors.

The Special Committee concluded that there was no evidence that
management operating since the Change in Control were aware that
the processes used to grant and account for broad-based grants
were flawed or that the process employed was for the purpose of
granting in-the-money stock options.  In reaching this
conclusion, the Special Committee took note that that process
had been consistently employed even for the November 2005 grants
in which the process resulted in stock option grants at higher
exercise prices than the closing price of the company's common
stock on the date of finalization of the allocation list for
rank-and-file employees.  The Special Committee also concluded
that there was no evidence that current management was aware of
any financial statement impact, tax consequences or disclosure
implications of its flawed processes.

Based on the findings of the Special Committee, the board of
directors has concluded that the company's consolidated
financial statements as of Dec. 31, 2005, and 2004 and for the
years ended Dec. 31, 2005, 2004 and 2003, and the selected
financial data as of and for the years ended December 31, 2002
and 2001, should be restated to record additional stock-based
compensation expense, correct certain accounting errors, and
record related tax effects.  The impacts of the restatement
adjustments on Valeant's statement of operations for the periods
are presented in Table 10 to this release.  Adjustments for
periods prior to 2003 have been made to the Selected Financial
Data in item 6 of the amended annual report on Form 10-K for the
year ended Dec. 31, 2005, and a cumulative adjustment has been
made to the Dec. 31, 2004, balance sheet for all adjustments for
periods prior to that time.  Valeant has not amended and does
not intend to amend any of its other previously filed annual
reports on Form 10-K for the periods affected by the
restatements or adjustments.

The board of directors also concluded that the company's
condensed consolidated financial statements and related
disclosures for the quarters ended March 31, 2006 and 2005, the
quarters ended June 30, 2006 and 2005 and the quarter ended
Sept. 30, 2005, should be restated.

             Revised Sept. 30, 2006 Results

On Nov. 2, 2006, Valeant released preliminary financial
information for the quarter ended Sept. 30, 2006.  To date, the
company released final financial results for the quarter and
year-to-date periods ended Sept. 30, 2006.  The results were
revised to reflect the effects of the restatement associated
with the stock option review, as well as information that has
subsequently become available which has altered certain
estimates and assumptions used in the preparation of the
Sept. 30, 2006, preliminary information.

Income from continuing operations for the Sept. 30, 2006 quarter
improved to US$0.18 per diluted share from the preliminary
US$0.14 per diluted share released earlier, adjusted for non-
GAAP items.  The improvement is due to adjustments made to
certain estimates and assumptions used in the preparation of the
preliminary financial information to recognize new information
received, principally to eliminate an inventory provision for
Infergen for US$4.8 million following positive stability testing
results allowing for extension of the shelf life of the product.

The company also restated its results for the quarter and nine
months ended Sept. 30, 2005, primarily as a result of the stock
option review.

  Revised Third Quarter 2006 vs. Third Quarter 2005 Highlights

   * Revenues increased 7 percent to US$220.0 million, compared
     with US$205.4 million.

   * Product sales increased 8 percent to US$199.0 million,
     compared with US$183.4 million.

   * Ribavirin royalties decreased 4 percent to US$21.0 million,
     compared with US$22.0 million.

   * Income from continuing operations was US$6.2 million, or
     US$0.06 per diluted share, compared with a loss of US$3.8
     million, or US$0.04 per diluted share.

   * Adjusted for non-GAAP items, income from continuing
     operations was US$16.8 million, or US$0.18 per diluted
     share, compared with US$8.2 million, or US$0.09 per diluted
     share.

                  About Valeant Pharmaceuticals

Headquartered in Costa Mesa, California, Valeant Pharmaceuticals
International (NYSE:VRX) -- http://www.valeant.com/-- is a
research-based specialty pharmaceutical company that discovers,
develops, manufactures and markets products primarily in the
areas of neurology, infectious disease and dermatology.  In
Europe, the company has commercial offices in Belarus, Czech
Republic, France, Germany, Hungary, Italy, The Netherlands,
Poland, Russia, Slovak Republic, Spain, Turkey, Ukraine, and the
United Kingdom.

                        *     *     *

As reported in the TCR-Europe on Dec. 20, Moody's Investors
Service downgraded the Corporate Family Rating of Valeant
Pharmaceuticals International to B2 from B1, and kept Valeant's
ratings under review for possible further downgrade.  Moody's
initially placed the ratings under review for possible downgrade
on Oct. 23, 2006.

This rating action follows the company's recent announcement
that the trustee for the holders of its 3% convertible notes due
2010 has declared a notice of default related to Valeant's late
filing of its Form 10-Q for the quarter ended Sept. 30.

In a TCR-Europe report on Nov. 20, Standard & Poor's Ratings
Services lowered its ratings on Valeant Pharmaceuticals
International.  The corporate credit rating was lowered to 'B+'
from 'BB-'.

The ratings remain on CreditWatch with negative implications,
where they were placed Oct. 24 to reflect the ongoing
uncertainty regarding the company's inability to file its Form
10-Q for the third quarter and the consequences if the company
is not able to resolve the situation in 60 days.


VALEANT PHARMA: Moody's Confirms Low-B Rating After Restatement
---------------------------------------------------------------
Moody's Investors Service confirmed the ratings of Valeant
Pharmaceuticals International, including the B2 Corporate Family
Rating, and concluded the rating review for possible downgrade
first initiated on Oct. 23, 2006.  Valeant's rating outlook is
now stable.

The rating action follows the company's recent filing of its
Form 10-Q for the period ended Sept. 30, 2006, and its amended
Form 10-K for the period ended Dec. 31, 2005.  The restatement
follows Valeant's review of its stock option granting practices.

In Moody's view, Valeant's restated financial statements had
minimal to no effect on previously reported revenue, cash flow,
cash balances, or debt.  Valeant's filing of its delinquent Form
10-Q alleviates Moody's concern about potential debt
acceleration that might have happened had Valeant not filed its
statements within 60 days of the trustees' declaration of a
notice of default.

Valeant's B2 Corporate Family Rating reflects its relatively
small scale as a specialty pharmaceutical manufacturer along
with its concentrated focus among three therapeutic categories -
- Dermatology, Infectious Diseases, and Neurology.  Valeant's
scale, based on revenue, maps to the "B" category according to
Moody's Global Pharmaceutical Rating Methodology.

Moody's anticipates that the company's cash flow to debt ratios
for the next several years will remain reflective of a "B2"
rating based on the ranges specified in our Global
Pharmaceutical Rating Methodology.  Although Valeant launched
two new products in 2006, Moody's believes that an improvement
in cash flow to debt could be delayed by these challenges:

   (1) setbacks in the Viramidine clinical development program;

   (2) boosting sales of newly launched products, such as
       Zelapar and Cesamet, without a substantial increase in
       promotional spending; and

   (3) finding suitable external partners in which the company
       can enter co-development agreements for several late-
       stage pipeline products.

To consider a ratings upgrade, Moody's would expect CFO/Debt
sustained at approximately 15% (or higher) and FCF/Debt at
approximately 10% (or higher); these levels represent the high
ends of the "B" category outlined in our methodology.
Successful approval and launch of Viramidine may be necessary
for Valeant to achieve these ratios.

Although not expected, downward rating pressure could result
under these scenarios:

   (1) a decline in CFO/Debt to below 5%;

   (2) a significant negative development in the Viramadine
       clinical development program; or

   (3) a sizeable cash-financed acquisition that pressures the
       company's cash coverage of debt and cash flow to debt
       ratios.

Ratings confirmed:

   -- B2 Corporate Family Rating

   -- B1 Probability of default rating

   -- Ba3 (LGD3, 39%) senior unsecured notes of US$300-million
      due 2011

Moody's does not rate Valeant's 3% convertible subordinated
notes of US$240-million due 2010 or its 4% convertible
subordinated notes of US$240-million due 2013.

Headquartered in Aliso Viejo, California, Valeant
Pharmaceuticals International [NYSE: VRX] is a global specialty
pharmaceutical company.  Valeant reported approximately US$650
million of net product sales for the nine months ended Sept. 30,
2006.


* BOOK REVIEW: Health Plan: The Practical Solution to the
               Soaring Cost of Medical Care
---------------------------------------------------------
Author:     Alain C. Enthoven
Publisher:  Beard Books
Paperback:  196 pages
List Price: US$34.95

Order your personal copy at
http://www.amazon.com/exec/obidos/ASIN/1587981238/internetbankru
pt

Since this book was first published in 1980, the problem it
tackles -- the high cost of medical care in this country -- has
become an even more vexing national problem.  No one is more
qualified to take on this subject than the author.

In 1997, the governor of California appointed Mr. Enthoven to be
chairman of the state's Managed Health Care Improvement Task
Force.  Mr. Enthoven also consults for the leading healthcare
provider Kaiser Permanente, and holds leadership positions in
several private and public healthcare organizations.

The main causes of runaway medical costs, which were identified
by Mr. Enthoven in 1980, continue today.  Among the causes are
the growth of medical technology, an aging population, and the
proliferation of physician specialists.  Lax cost controls by
health maintenance organizations and government health agencies
are another cause.

Unlike many other critics, Mr. Enthoven does not advocate free-
market practices in the healthcare field.  He offers an approach
that is more knowledgeable, nuanced, and practical.

The author searches for the elusive goal of formulating a health
plan that takes into account the altruistic desires of U.S.
society to address the needs of all its members, while also
accepting the reality of government regulation, a profit-driven
industry, and a population with varied healthcare needs and
objectives.

Mr. Enthoven names his comprehensive health plan the Consumer
Choice Health Plan.  The Consumer Choice Health Plan is
ambitious and far-reaching, especially considering the inertia
of the present healthcare system and its layers upon layers of
vested interests.

Nonetheless, the author states that his plan is within reach and
sustainable because it "function[s] with existing institutions
operating in new ways."

While healthcare delivery would be kept fully in the private
sector, the government would have a formative role by managing
the enrollment of organizations and companies in the plan on the
basis of compliance with "a system of rules designed to foster
socially desirable competition."  Government would also help
individuals take part in such a plan by offering tax credits and
vouchers "based on both financial need and predicted medical
need."

As the book progresses, one begins to see how the Consumer
Choice Health Plan synthesizes and employs in novel ways parts
of the healthcare system as it presently operates.  Besides the
formative role of government, the plan would involve "fair
economic competition, multiple choice, [and] private
underwriting and management."

Mr. Enthoven's Consumer Choice Health Plan is not radical.  It
calls for altering relationships among existing components of
the health system, giving them new roles and purposes.

The plan does propose one sweeping, though not radical, change,
which is to "shift the basis for healthcare financing from
experience-related insurance serving employee groups to
community-rated financing and delivery plans open to all
eligible persons in a market area."

By shifting the financing of healthcare, providers and consumers
are brought into close, and often direct, contact.  To protect
consumers from fraudulent and inferior health plans, the
government would play a primary role in establishing enrollment
standards and policies.

The different health plans would compete among the respective
consumer groups according to the main qualification that they be
engaged in "socially desirable competition."  Thus, the health
plans that would be available in any market would operate much
like branches of today's corporate health providers.

The government's role, then, would primarily lie in exercising
oversight and enforcement responsibilities.  The result would be
a field of screened health providers offering health plans in a
defined community/market.  The most successful providers would
be those offering the best services and prices.

As reasonable as Mr. Enthoven's recommendations are, he realizes
that they cannot be applied immediately.  Consequently, the
author also offers a series of steps, some of which are options
that assist in fully implementing the plan.

Among these steps are requiring employers to provide employees
choices in medical plans, allowing tax credits for employers and
employees for those plans offering good basic care (rather than
more costly health plans), and working with influential
government officials to reach the goal of the Consumer Choice
Health Plan.

Some of Mr. Enthoven's recommendations have been introduced to
areas of the healthcare system, and have achieved demonstrable,
though limited, improvements.

Many of his recommendations have been embraced by legislators
and policymakers as requisites for a workable national health
plan.  Anyone wishing to have a relevant, productive role in
devising such a plan will want to take this book to heart.

Alain C. Enthoven's career spans more than 40 years in the
public and private sectors, where he has held many top
positions.   During this time, he has been chairman and director
of major healthcare organizations, and he continues to work to
bring positive changes to the healthcare system.


                           *********

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, Kristina A.
Godinez, and Pius Xerxes Tovilla, Editors.

Copyright 2007.  All rights reserved.  ISSN 1529-2754.

This material is copyrighted and any commercial use, resale or
publication in any form (including e-mail forwarding, electronic
re-mailing and photocopying) is strictly prohibited without
prior written permission of the publishers.

Information contained herein is obtained from sources believed
to be reliable, but is not guaranteed.

The TCR Europe subscription rate is US$625 per half-year,
delivered via e-mail.  Additional e-mail subscriptions for
members of the same firm for the term of the initial
subscription or balance thereof are US$25 each. For subscription
information, contact Christopher Beard at 240/629-3300.


                 * * * End of Transmission * * *