TCREUR_Public/070206.mbx         T R O U B L E D   C O M P A N Y   R E P O R T E R

                           E U R O P E

            Tuesday, February 6, 2007, Vol. 8, No. 26

                            Headlines


A U S T R I A

ERNST EDLINGER: Claims Registration Period End March 7
IBS-SCHLEIFTECHNIK: Claims Registration Period Ends March 5
MEEKORAH HOLDING: Claims Registration Period Ends Feb. 27
PASIPHAE PLANUNGS: Claims Registration Period Ends Feb. 27
PPO LLC: Claims Registration Period Ends March 5

RABATTPIRAT AGENTUR: Claims Registration Period Ends Feb. 26
SCHISTER FRUCHTHANDEL: Claims Registration Period Ends March 5


B E L G I U M

GOODYEAR TIRE: Names C. Mick & J. Copeland to New Lead Posts
GOODYEAR TIRE: Unveils Conversion Period for 4.00% Conv. Notes


D E N M A R K

TIMKEN CO: Lower Automobile Demand Affects Fourth Qtr. Results
TIMKEN CO: To Invest US$60 Mln on Steel Rolling Mill Operations


F R A N C E

BAUSCH & LOMB: Moody's Cuts Rating to Ba1 on Slow Revenue Growth
EUROTUNNEL GROUP: Four Tier 3 Debt Holders Choose Cash Option


G E R M A N Y

ANIMA GMBH: Claims Registration Ends March 5
ARVINMERITOR: Selling Emissions Technologies Biz for US$310 Mln
ARVINMERITOR INC: Earns US$7 Million in First Qtr. Ended Dec. 31
ARVINMERITOR INC: Moody's Lowers Corporate Family Rating to Ba3
ATTENBERGER GMBH: Claims Registration Ends Feb. 15

BOST INTERACTIVE: Claims Registration Ends Feb. 19
CCR-DIALOG-CENTER: Claims Registration Ends March 9
IMTEC GMBH: Creditors Must Register Claims by February 26
JB IMMOBILIEN: Creditors Must Register Claims by February 23
KASCHNER ABBRUCHTECHNOLOGIEGESELLSCHAFT: Claims Due March 5

KM PLANUNGSBUERO: Creditors Meeting Slated for March 1
LASSOW EVENT: Claims Registration Ends February 24
MAL.TA DECORMARKT: Claims Registration Ends February 28
MAUSER AG: Recapitalization Plan Cue S&P's B Rating
MAUSER BETEILIGUNGS: Moody's Junks EUR185-Mln Senior Notes

METALL-BAUER GMBH: Claims Registration Ends March 6
PRASIDENTEN PILS: Claims Registration Ends March 3
RAMCKE BLOCKHAUS: Claims Registration Ends March 13
REPRO SCHEINER: Claims Registration Ends March 3
RING GMBH: Claims Registration Ends March 1

S & K ELEKTROTECHNIK: Claims Registration Ends March 24
SANITATSHAUS KEVELAER: Claims Registration Ends Feb. 12
SASSE & CO: Claims Registration Ends March 19
SILVERHILL FASHION: Claims Registration Ends February 20
T.S. COM: Claims Registration Ends March 20

TMC GMBH: Claims Registration Ends February 15
TOOLTIME SERVICE: Creditors' Meeting Slated for March 2
TOP BAU: Claims Registration Ends February 7
WELLNESS & BADERWELT: Claims Registration Ends April 9
WORLD-BAR: Claims Registration Ends February 27

WTI-HAUSBAU-GMBH: Creditors' Meeting Slated for March 12
XANTHOS LIFE: Claims Registration Ends February 26


K A Z A K H S T A N

BAHYTNUR LLP: Creditors Must File Claims by March 16
CREDIT LINE-2000 LLP: Creditors' Claims Due March 16
ENGINEERING-CONSTRUCTION LLP: Claims Registration Ends March 16
INTRADE-SERVICE LLP: Claims Filing Period Ends March 16
JALYN LLP: Proof of Claim Deadline Slated for March 16

KAZKOMMERTSBANK JSC: Appoints Two New Managing Directors
STROYSANTECHSERVICE LLP: Court Begins Bankruptcy Proceedings
TECHOSTROYSNAB LLP: Creditors Must File Claims by March 16
TSESNA INT'L: Fitch Assigns B- Rating to US$125 Million Notes
VERTEX EXPLOSIVE LLP: Creditors' Claims Due March 16

VODOPROVOD I: Claims Filing Period Ends March 16
VOSTOK-SERVICE LTD LLP: Claims Registration Ends March 16


K Y R G Y Z S T A N

AKIM RIELT: Claims Filing Period Ends March 16
ELVIT-BUILD STROY: Creditors' Claims Due March 16


N E T H E R L A N D S

AMSTEL CORPORATE: Fitch Affirms EUR31.5-Mln Class E Notes at BB+
GRESHAM CAPITAL: Moody's Puts Low-B Ratings to Class E & F Notes


R U S S I A

AGROTON CJSC: Creditors Must File Claims by March 13
ANGARSKAYA GARMENT: Asset Sale Auction Slated for Feb. 21
ARSHALUYS LLC: Creditors Must File Claims by Feb. 13
B.I.N. BANK: Fitch Affirms B- IDR With Stable Outlook
BALANKULSKOYE CJSC: Creditors Must File Claims by Feb. 13

BOGATYREVSKOYE CJSC: Creditors Must File Claims by Feb. 13
CASINO LUCHANO: Creditors Must File Claims by Feb. 13
DIMITROV-GRAIN-PRODUCT: Creditors Must File Claims by March 20
DOLINSKAYA TIMBER: Court Names Y. Dolin as Insolvency Manager
GOLDEN TELECOM: Commences Long-Distance Call Service

MEGAFON: Moody's Upgrades B1 Corporate Family Rating to Ba3
MIG CJSC: Creditors Must File Claims by Feb. 13
MUROMSKIY ENGINEERING: Creditors Must File Claims by March 20
NONSTANDARD EQUIPMENT: Names S. Dzhembulatov to Manage Assets
NOVATEK OAO: Hikes Gas Production by 13.9% in 2006

ROSNEFT OIL: Forms Joint Venture with JSC Sovkomflot
RUS' LLC: Creditors Must File Claims by March 20
SIYSKIY COMPLEX: Bankruptcy Hearing Slated for May 16
TASHLINSKOYE CJSC: Bankruptcy Hearing Slated for April 17
TMK OAO: Inks Joint Venture Agreement with Corinth Pipeworks

VIMPEL-COMMUNICATIONS: To Double Investment in Armenia
YUKOS OIL: Court Further Moves Yugansk Claim Hearing to Feb. 9
YUKOS OIL: Kuibyshev Refinery Eyes US$102 Million Improvement
ZLATOUSTOVSKOYE LOGGING: Court Starts Bankruptcy Supervision


S P A I N

MILLS CORP: Inks Term Sheet With Kan Am on Co-Ventures
MILLS CORP: Will Pay Bonuses to CEO & CFO Under Performance Plan


S W E D E N

AZ CHEM: S&P Rates Proposed US$190-Mln Credit Facilities at B


S W I T Z E R L A N D

AREKO LLC: Fribourg Court Closes Bankruptcy Proceedings
CAREFREE EPILATION: Claims Registration Period Ends Feb. 20
EUROPEAN REINSURANCE: U.S. Court Grants Relief Under Chapter 15
GEOKART JSC: Claims Registration Period Ends Feb. 18
IT EXPRESS: Zurich Court Closes Bankruptcy Proceedings

LGT MANAGEMENT: Creditors' Liquidation Claims Due February 21
NUTRIVAL ENTERPRISE: Creditors' Liquidation Claims Due Feb. 19
SIDIGROUP LLC: Aargau Court Starts Bankruptcy Proceedings
SPAFORM (SCHWEIZ): Fribourg Court Closes Bankruptcy Proceedings
SWISS PUTZ: Claims Registration Period Ends Feb. 22

WEBAU JSC: Aargau Court Starts Bankruptcy Proceedings


T U R K E Y

PETROL OFISI: Reduced Fine Cues S&P to Affirm B+ Rating


U K R A I N E

ACCEPT LLC: Creditors Must Submit Claims by February 17
NORD-OST LTD: Creditors Must Submit Claims by February 17
OMETA-KOVEL LLC: Creditors Must Submit Claims by February 16
SUCCESS PLUS: Creditors Must Submit Claims by February 16
UNIVERSAL WATER: Creditors Must Submit Claims by February 16

ZEBRA-PRO LLC: Creditors Must Submit Claims by February 17


U N I T E D   K I N G D O M

ADVANCED TECHNOLOGY: Claims Filing Period Ends February 28
ADVANCED MARKETING: Hires O'Melveny as Bankruptcy Counsel
ADVANCED MARKETING: Hires Richards Layton as Local Counsel
ARUNDEL FESTIVAL: Creditors' Meeting Slated for February 14
ASCENDANT COMMUNICATIONS: Creditors' Claims Due March 23

BAA PLC: Reveals Revised Runway Plan at Lesser Cost
BENCHMARK CRAFTS: Creditors' Meeting Slated for February 16
BIKE SMART: Taps Andrew Rosler to Liquidate Assets
BRITISH AIRWAYS: Earns GBP107 Million in Third Quarter 2006
BRITISH AIRWAYS: Has 1,150,734,490 Voting Rights and Capital

C T SPECIALIST: Hires Liquidator from Bishop Fleming
CARD MARKETING: Names John Paul Bell Liquidator
CELESTICA INC: Posts US$60.8-Mln GAAP Net Loss in Fourth Quarter
CELESTICA INC: Weak Financials Cue S&P's Negative CreditWatch
CELESTICA INC: Fitch's B+ Rating Affects US$750 Million Debt

CLEANFLOW LTD: Creditors' Meeting Slated for February 20
COLLINS & AIKMAN: Has Until March 28 to File Chapter 11 Plan
COLLINS & AIKMAN: President & CEO Frank Macher Resigns
CORUS GROUP: Steel Union Threatens Strike Over Job Safety
DURA AUTOMOTIVE: Panel Wants Information Access Protocol Okayed

EASTMAN KODAK: Earns US$17 Million in Fourth Quarter of 2006
EASTMAN KODAK: Moody's May Downgrade Rating After Review
EUROMONEY INSTITUTIONAL: Hikes Capital to 102,885,429 Shares
EUROPEAN REINSURANCE: High Court Approves Solvent Scheme
EUROPEAN REINSURANCE: U.S. Court Grants Relief Under Chapter 15

EUROTUNNEL GROUP: Four Tier 3 Debt Holders Choose Cash Option
FOKUS SYSTEMS: Brings In Liquidators from Begbies Traynor
FORD MOTOR: To Invest US$866 Million in Six Michigan Plants
FORMOLD HIGH: Calls In Liquidators from KPMG LLP
GIFT CONCEPTS: Liquidator Sets March 9 Claims Bar Date

GRANGE CERAMICS: Creditors' Meeting Slated for February 22
HALLETT SPRAY: Claims Filing Period Ends March 5
HALLMARK TRAVEL: Appoints Andrew McTear as Liquidator
HAMILTON FORBES: High Court to Hear Wind-Up Petition on March 13
HILTON HOTELS: Reports Strong Results for Quarter Ended Dec. 31

HILTON HOTELS: Asset Sale Prompts S&P's Positive CreditWatch
HILTON HOTELS: Fitch Lifts Ratings & Assigns Positive Outlook
HYPNOTIC LTD: Names Gagen Dulari Sharma Liquidator
KINGSWAY GARDEN: Claims Registration Period Ends March 1
KITCHEN STUDIO: Appoints Liquidator from B & C Associates

L. STONEFIELD: Hires Liquidator from Debtmatters Ltd.
MAD RECRUITMENT: Taps Liquidators from Vantis Redhead French
MALBRO CONSTRUCTION: Creditors Confirm Liquidator's Appointment
MEANTIME FLOORING: Creditors' Meeting Slated for February 26
MEERKAT CULTURE: Creditors' Claims Due March 16

MERCURY SPRING: Appoints Tony Mitchell as Liquidator
MICHAEL KAVANAGH: Names Liquidator to Wind Up Business
MIDLAND METAL: M. T. Coyne Leads Liquidation Procedure
MULTISERVE UK: Creditors Confirm Liquidators' Appointment
NEWARK GROUP: Moody's Rates Proposed US$90-Mln Term Loan at Ba3

NORMAN R. COLE: Taps Mark Reynolds to Liquidate Assets
OAKDALE BAKERIES: Brings In Joint Administrators from KPMG
OAKSFIELD CONSTRUCTION: Creditors' Meeting Slated for Feb. 22
OCEAN FOOD: Names Roderick Julian Jones Liquidator
OZONE RECYCLING: Creditors Confirm Liquidator's Appointment

P.P.A. UK: High Court to Hear Wind-Up Petition on Feb. 22
PEACOCK BLUE: Brings In Administrators from Begbies Traynor
PEAK STORE: Appoints Liquidator from Arrans
PENNINE ROOFING: Creditors Ratify Voluntary Liquidation
PORTSCOPE LTD: Claims Filing Period Ends February 26

PRICE CHAMBERLAIN: Trade Secretary Submits Wind-Up Petition
QUAILS ON TOAST: Appoints Administrators from Begbies Traynor
RAILWAY TILE: Taps Deloitte & Touche as Joint Administrators
RELAX IN COMFORT: Names P R Dewey as Administrator
RIVERSIDE FABRICS: Joint Liquidators Take Over Operations

RY HENDERSON: Enters Into Administration Procedure
SCOPE PRECISION: Appoints Andrew T. Clay as Administrator
SHAKESPEARE UNDERWRITING: Hires Liquidators from Tenon Recovery
SOLUTIA INC: Agrees to Extend Claims Amendment Deadline
SPRINGFIELD SOFT: Brings In Dewey & Co as Administrator

SPRINGTIME NURSERIES: Taps Administrator from Valentine & Co
TELECOM MAINTENANCE: Creditors' Meeting Slated for February 23
TM GAS: Brings In Jeremy Nicholas Bleazard as Administrator
TRUSEAL LTD: Appoints Joint Administrators from Harrisons
VELOCE MOTORCYCLES: Creditors' Meeting Slated for February 21

WEEKENDERS UK: Brings In Administrators from Baker Tilly
WIDNEY CABS: Appoints Baker Tilly to Administer Assets
WILLIAM BELL: Creditors' Meeting Slated for February 20
WYMONDHAM CAR: Creditors' Meeting Slated for February 22
WYMONDHAM MOTOR: Creditors' Meeting Slated for February 22

* Financial Regulator's Chief Plans to Step Down in July
* Morgan Cole Appoints Paul Caldicott as Insolvency Lawyer

* Large Companies with Insolvent Balance Sheets

                            *********

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


ERNST EDLINGER: Claims Registration Period End March 7
------------------------------------------------------
Creditors owed money by LLC Ernst Edlinger & Co (FN 114814w)
have until March 7 to file written proofs of claim to estate
administrator Andreas Meissner at:

         Dr. Leopold Riess
         c/o Dr. Eva Riess
         Zeltgasse 3/12
         1080 Vienna
         Austria
         Tel: 402 57 01
         E-mail: law@riess.co.at

Creditors and other interested parties are encouraged to attend
the creditors' meeting at 10:10 a.m. on March 21 for examination
of claims.

The meeting of creditors will be held at:

         The Trade Court of Vienna
         Room 1707
         Vienna
         Austria

Headquartered in Vienna, Austria, the Debtor declared bankruptcy
on Jan. 17 (Bankr. Case No. 2 S 9/07x).  Eva Riess represents
Dr. Riess in the bankruptcy proceedings.


IBS-SCHLEIFTECHNIK: Claims Registration Period Ends March 5
-----------------------------------------------------------
Creditors owed money by LLC IBS-Schleiftechnik (FN 137090d) have
until March 5 to file written proofs of claim to estate
administrator Andreas Meissner at:

         Mag. Andreas Meissner
         Feldgasse 6
         4840 Voecklabruck
         Austria
         Tel: 07672/24418
         Fax: 07672/77830
         E-mail: hitzenberger@geocomp.at

Creditors and other interested parties are encouraged to attend
the creditors' meeting at 10:20 a.m. on March 15 for examination
of claims.

The meeting of creditors will be held at:

         The Land Court of Wels
         Hall 101
         First Floor
         Maria Theresia Str. 12
         Wels
         Austria

Headquartered in Voecklabruck, Austria, the Debtor declared
bankruptcy on Jan. 16 (Bankr. Case No. 20 S 10/07g).


MEEKORAH HOLDING: Claims Registration Period Ends Feb. 27
---------------------------------------------------------
Creditors owed money by LLC meekorah holding (FN 247823x) have
until Feb. 27 to file written proofs of claim to estate
administrator Matthias Klissenbauer at:

         Dr. Matthias Klissenbauer
         Gonzagagasse 15
         1010 Vienna, Austria
         Tel: 533 28 55
         Fax: 533 28 55-28
         E-mail: office@klissenbauer.com

Creditors and other interested parties are encouraged to attend
the creditors' meeting at 11:15 a.m. on March 13 for examination
of claims.

The meeting of creditors will be held at:

         The Trade Court of Vienna
         Room 1607
         Vienna
         Austria

Headquartered in Vienna, Austria, the Debtor declared bankruptcy
on Jan. 17 (Bankr. Case No. 28 S 5/07z).


PASIPHAE PLANUNGS: Claims Registration Period Ends Feb. 27
----------------------------------------------------------
Creditors owed money by LLC Pasiphae Planungs- und Bau (FN
192597g) have until Feb. 27 to file written proofs of claim to
estate administrator Susanne Fruhstorfer at:

         Dr. Susanne Fruhstorfer
         c/o Dr. Michael Guenther
         Seilerstatte 17
         1010 Vienna
         Austria
         Tel: 512 57 76
         Fax: 512 57 76 50
         E-mail: office@fg-lawyers.at

Creditors and other interested parties are encouraged to attend
the creditors' meeting at 12:45 p.m. on March 13 for examination
of claims.

The meeting of creditors will be held at:

         The Trade Court of Vienna
         Room 1701
         Vienna
         Austria

Headquartered in Vienna, Austria, the Debtor declared bankruptcy
on Jan. 17 (Bankr. Case No. 6 S 3/07v).  Michael Guenther
represents Dr. Fruhstorfer in the bankruptcy proceedings.


PPO LLC: Claims Registration Period Ends March 5
------------------------------------------------
Creditors owed money by LLC PPO (FN 272948w) have until March 5
to file written proofs of claim to estate administrator Frank
Riel at:

         Dr. Frank Riel
         c/o Dr. Frank Eberhart Riel
         Gartenaugasse 1
         3500 Krems
         Austria
         Tel: 02732/86565
         Fax: 02732/86566-11
         E-mail: anwalt@riel-grohmann.at

Creditors and other interested parties are encouraged to attend
the creditors' meeting at 8:30 a.m. on March 21 for examination
of claims.

The meeting of creditors will be held at:

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

Headquartered in Krems an der Donau, Austria, the Debtor
declared bankruptcy on Jan. 17 (Bankr. Case No. 9 S 5/07v).
Frank Eberhart Riel represents Dr. Riel in the bankruptcy
proceedings.


RABATTPIRAT AGENTUR: Claims Registration Period Ends Feb. 26
------------------------------------------------------------
Creditors owed money by LLC RabattPirat Agentur (FN 259860y)
have until Feb. 26 to file written proofs of claim to estate
administrator Barbara Senninger at:

         Mag. Barbara Senninger
         Kastellstrasse 4
         7551 Stegersbach
         Austria
         Tel: 03326/52423
         Fax: 03326/54156
         E-mail: office@anwalt-bgld.at

Creditors and other interested parties are encouraged to attend
the creditors' meeting at 10:15 a.m. on March 12 for examination
of claims.

The meeting of creditors will be held at:

         The Land Court of Eisenstadt
         Hall F
         Eisenstadt
         Austria

Headquartered in Guessing, Austria, the Debtor's bankruptcy
proceeding was reopened by the Supreme Court of Vienna on
Nov. 9, 2006 (Bankr. Case No. AZ 28R 203/06p).


SCHISTER FRUCHTHANDEL: Claims Registration Period Ends March 5
--------------------------------------------------------------
Creditors owed money by LLC Schister Fruchthandel (FN 182799y)
have until March 5 to file written proofs of claim to estate
administrator Richard Proksch at:

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

Creditors and other interested parties are encouraged to attend
the creditors' meeting at 9:30 a.m. on March 19 for examination
of claims.

The meeting of creditors will be held at:

         The Trade Court of Vienna
         Room 1609
         Vienna
         Austria

Headquartered in Vienna, Austria, the Debtor declared bankruptcy
on Jan. 17 (Bankr. Case No. 38 S 3/07d).  Edmund Roehlich
represents Dr. Proksch in the bankruptcy proceedings.


=============
B E L G I U M
=============


GOODYEAR TIRE: Names C. Mick & J. Copeland to New Lead Posts
------------------------------------------------------------
The Goodyear Tire & Rubber Co. named Charles "Chuck" Mick to the
newly created position of vice president and general manager,
North American holdings and integration on Jan. 30.

Mr. Mick had previously served as vice president and general
manager of the company's Global Off-Highway tire business since
2003.

In his new role, Mr. Mick will have general management
responsibility for Goodyear's Canadian tire business, and will
oversee Goodyear's interests in Tire & Wheel Assembly.
Simultaneously, he will be responsible for leading the
integration of Goodyear's North American shared services
activities in support of the company's strategic efforts to
drive additional cost savings.

Joseph Copeland, chief executive officer of Goodyear's South
Pacific Tyre business in Australia since May 2005, will succeed
Mr. Mick as vice president and general manager of the Global
Off-Highway tire business with responsibility for Goodyear's
worldwide off-the-road, aviation and race tire business units.

"Chuck has done an outstanding job in turning around our off-
highway businesses, and is ideally suited to his new role at a
time when his leadership will be instrumental in our efforts to
strengthen the overall business," said Jon Rich, president of
Goodyear's North American Tire business.  "And we are delighted
to welcome Joe back to Akron.  Joe is a proven leader with a
rich background in the automotive and technology industries
where he served with distinction at both Ford and Intel," Mr.
Rich said.

Since joining Goodyear, Mr. Copeland has moved rapidly through
positions of increasing responsibility, including senior vice
president of business development, strategy and restructuring,
and president of Goodyear's former chemical division.
Mr. Copeland, 45, holds a BBA in accounting and a JD in law from
Baylor University, as well as an MBA from the University of
Chicago.

Mr. Mick, 60, joined Goodyear in 1969 and has held various
managerial and executive positions including vice president and
comptroller for Kelly-Springfield, vice president dealer sales
and vice president business development.  He received his BS
degree in accounting from the University of Akron.

Headquartered in Akron, Ohio, The Goodyear Tire & Rubber Company
(NYSE: GT) -- http://www.goodyear.com/-- is the world's largest
tire company.  The company manufactures tires, engineered rubber
products and chemicals in more than 90 facilities in 28
countries.  Goodyear Tire has marketing operations in almost
every country around the world including Chile, Colombia,
Guatemala and Peru in Latin America.  Goodyear employs more than
80,000 people worldwide.  The company's European operation is
headquartered in Belgium.

                        *     *     *

As reported in the Troubled Company Reporter-Europe on Jan. 16,
Moody's Investors Service affirmed Goodyear Tire & Rubber
Company's Corporate Family Rating of B1.  Ratings on Goodyear's
existing secured and unsecured obligations were also affirmed as
was the company's Speculative Grade Liquidity rating of SGL-2.
Moody's said the outlook has reverted to stable from negative.

In a TCR-Europe report on Jan. 9, Fitch Ratings affirmed its
ratings on Goodyear Tire & Rubber Co. and removed them from
Rating Watch Negative where they were placed on Oct. 18, 2006,
when the company announced a US$975 million drawdown of its bank
revolver.

Goodyear's debt and recovery ratings are:

   -- Issuer Default Rating B;

   -- US$1.5 billion first lien credit facility BB/RR1;

   -- US$1.2 billion second lien term loan BB/RR1;

   -- US$300 million third lien term loan B/RR4;

   -- US$650 million third lien senior secured notes
      B/RR4; and

   -- Senior unsecured debt CCC+/RR6.

Goodyear Dunlop Tires Europe B.V.

   -- EUR505 million European secured credit facilities
      BB/RR1.

The Rating Outlook is Negative.


GOODYEAR TIRE: Unveils Conversion Period for 4.00% Conv. Notes
--------------------------------------------------------------
The Goodyear Tire & Rubber Co. disclosed that its 4.00%
Convertible Senior Notes due June 15, 2034, are now convertible
at the option of the holders and will remain convertible through
March 30, 2007, the last business day of the current fiscal
quarter.

The notes became convertible because the last reported sale
price of the company's common stock for at least 20 trading days
during the 30 consecutive trading-day period ending on
Jan. 18, 2007, (the 11th trading day of the current fiscal
quarter) was greater than 120% of the conversion price in effect
on that day.  The notes have been convertible in previous fiscal
quarters but no conversions have taken place.

The company will deliver shares of its common stock upon
conversion of any notes surrendered prior to March 30, 2007.
Cash will be paid in lieu of fractional shares only.  Issued in
June 2004, the notes are currently convertible at a rate of
83.0703 shares of common stock per US$1,000 principal amount of
notes, which is equal to a conversion price of US$12.04 per
share.

There is currently US$350 million in aggregate principal amount
of notes outstanding.

If all outstanding notes are surrendered for conversion, the
aggregate number of shares of common stock issued would be
around 29 million.  The notes could be convertible after
March 31, 2007, if the sale price condition described above is
met in any future fiscal quarter or if any of the other
conditions to conversion set forth in the indenture governing
the notes are met.

Headquartered in Akron, Ohio, The Goodyear Tire & Rubber Company
(NYSE: GT) -- http://www.goodyear.com/-- is the world's largest
tire company.  The company manufactures tires, engineered rubber
products and chemicals in more than 90 facilities in 28
countries.  Goodyear Tire has marketing operations in almost
every country around the world including Chile, Colombia,
Guatemala and Peru in Latin America.  Goodyear employs more than
80,000 people worldwide.  The company's European operations is
headquartered in Belgium.

                        *     *     *

As reported in the Troubled Company Reporter-Europe on Jan. 16,
Moody's Investors Service affirmed Goodyear Tire & Rubber
Company's Corporate Family Rating of B1.  Ratings on Goodyear's
existing secured and unsecured obligations were also affirmed as
was the company's Speculative Grade Liquidity rating of SGL-2.
Moody's said the outlook has reverted to stable from negative.

In a TCR-Europe report on Jan. 9, Fitch Ratings affirmed its
ratings on Goodyear Tire & Rubber Co. and removed them from
Rating Watch Negative where they were placed on Oct. 18, 2006,
when the company announced a US$975 million drawdown of its bank
revolver.

Goodyear's debt and recovery ratings are:

   -- Issuer Default Rating B;

   -- US$1.5 billion first lien credit facility BB/RR1;

   -- US$1.2 billion second lien term loan BB/RR1;

   -- US$300 million third lien term loan B/RR4;

   -- US$650 million third lien senior secured notes
      B/RR4; and

   -- Senior unsecured debt CCC+/RR6.

Goodyear Dunlop Tires Europe B.V.

   -- EUR505 million European secured credit facilities
      BB/RR1.

The Rating Outlook is Negative.


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


TIMKEN CO: Lower Automobile Demand Affects Fourth Qtr. Results
--------------------------------------------------------------
Timken Co. is reducing its earnings estimate for the fourth
quarter of 2006.  The reduction is primarily due to lower North
American automotive demand, an increase in the company's
Automotive warranty reserves, the effect of higher Industrial
manufacturing costs and the impact of the sale of Latrobe Steel.

The company now anticipates 2006 fourth-quarter earnings per
diluted share of around US$0.37 and US$2.36 for the full year.
Excluding the impact of special items, the company estimates
fourth-quarter earnings per diluted share of around US$0.30 and
US$2.48 for the full year.  Special items include income from
Continued Dumping and Subsidy Offset Act payments, net losses on
divestitures and charges related to restructuring,
rationalization and goodwill impairment.

The company had previously provided estimated earnings per share
of US$0.47 to US$0.57 for the fourth quarter and US$2.65 to
US$2.75 for the full year, excluding the impact of special
items.

"We are confident the actions we are taking are positioning the
company for stronger performance," said James W. Griffith,
Timken's president and chief executive officer.  "Specifically,
our efforts to ramp up Industrial capacity, restructure our
Automotive business, divest non-strategic assets and focus our
Steel business on more differentiated products have better
positioned the company to create higher levels of value and
customer service going forward.  As a result of these
initiatives, along with improvements in working capital
management and increased pension funding, we expect to see
substantial improvement in our 2007 financial performance, as
reflected in our earnings outlook."

The revised 2006 earnings estimates include Latrobe Steel
through November 30, in the amount of US$0.20 for the quarter
and US$0.49 for the full year or, excluding special items,
US$0.07 for the quarter and US$0.35 for the full year.  The
difference reflects the gain on the sale of Latrobe Steel.

                    About The Timken Company

Headquartered in Canton, Ohio, The Timken Company (NYSE: TKR)
-- http://www.timken.com/-- manufactures highly engineered
bearings and alloy steels.  It also provides related components
and services such as bearing refurbishment for the aerospace,
medical, industrial, and railroad industries.  The Company has
operations in 27 countries and employs 27,000 employees.  In
Europe, the company maintains operations in Austria, Croatia,
Denmark, Germany and the United Kingdom, among others.

                         *     *     *

As reported in the Troubled Company Reporter on Oct. 30, 2006,
Moody's Investors Service confirmed The Timken Company's Ba1
Corporate Family Rating and the Ba1 rating on the company's
US$300 Million Unsecured Medium Term Notes Series A due 2028 in
connection with the rating agency's implementation of its new
Probability-of-Default and Loss-Given-Default rating
methodology.


TIMKEN CO: To Invest US$60 Mln on Steel Rolling Mill Operations
---------------------------------------------------------------
The Timken Company will invest around US$60 million in its steel
rolling mill operations to increase the company's capability to
produce differentiated steel products.

The investment will enable Timken to competitively produce steel
bars down to 1-inch diameter for use in power transmission and
friction management applications for a variety of customers,
including the rapidly growing automotive transplants.

"We are making investments across our company to strengthen the
differentiation of our technology and product portfolio," said
James W. Griffith, Timken president and chief executive officer.
"The expansion of our small-bar steel capabilities is part of
our strategy of managing our company for value and taking
advantage of strong market opportunities to improve our ability
to create shareholder value throughout the economic cycle."

Assisting with the technical aspects of the project will be
Daido Steel Co. Ltd., a Japanese producer that has an
outstanding reputation for manufacturing special quality small-
bar steel and serving demanding customers, including Nissan
Motor Co. Ltd., Honda Motor Co. Ltd. and Toyota Motor Corp.

Daido and Timken also intend to explore other possible areas of
collaboration in connection with the manufacture and supply of
steel and steel-related products and services.

"We recognize Timken as a company with a long history of
steelmaking experience and sophisticated technical performance,"
said Masatoshi Ozawa, president and chief executive officer of
Daido Steel.  "The collaboration with Timken will bring us the
best solution to meet Japanese customers' expectation of success
in transplant projects of special bar-quality steel in the
United States.  Building on this initiative, we also will be
exploring other areas of possible collaboration."

The project will enable Timken to meet demanding requirements
for special bar-quality steel from a wide range of customers in
the bearing, industrial, energy, distribution and automotive
segments, as well as Timken's automotive and industrial groups.
Currently, some of this material is not readily available in the
United States.

"We welcome this opportunity to work with Daido.  They have an
impressive reputation for manufacturing high-performance
products and for providing customer service," Salvatore Miraglia
Jr., president of Timken's Steel Group, said.  "We have already
made investments to expand our large-bar capabilities to an
industry-leading 15-inch outer diameter.  With the new small-bar
project, we will be extending our capabilities down to one-inch
diameter, giving us an unmatched size range of alloy steel bar
products in North America."

A 76,000-square-foot addition will be built at the Harrison
Steel Plant in Canton.  The project will include expanded
rolling, finishing and inspection capabilities.  Construction is
expected to begin in mid-June, with completion expected in mid-
2008.  Once complete, Timken expects to add around 30 new
positions to operate the small-bar mill.

                    About Daido Steel Co.

Headquartered in Nagoya, Japan, Daido Steel Co. Ltd.
(TOKYO: DADSF) manufactures specialty steel products and
components for automobiles as well as industrial and electrical
machinery.  Founded in 1916, Daido markets a broad range of
specialty steel products to companies such as Nissan Motor and
Honda Motor.  Daido operates an international network with
locations in North America, China, South Korea, Singapore,
Malaysia, Taiwan, Indonesia, the Philippines and Thailand.

Headquartered in Canton, Ohio, The Timken Company (NYSE: TKR)
-- http://www.timken.com/-- manufactures highly engineered
bearings and alloy steels.  It also provides related components
and services such as bearing refurbishment for the aerospace,
medical, industrial, and railroad industries.  The Company has
operations in 27 countries and employs 27,000 employees.  In
Europe, the company maintains operations in Austria, Croatia,
Denmark, Germany and the United Kingdom, among others.

                         *     *     *

As reported in the Troubled Company Reporter on Oct. 30, 2006,
Moody's Investors Service confirmed The Timken Company's Ba1
Corporate Family Rating and the Ba1 rating on the company's
US$300 Million Unsecured Medium Term Notes Series A due 2028 in
connection with the rating agency's implementation of its new
Probability-of-Default and Loss-Given-Default rating
methodology.


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


BAUSCH & LOMB: Moody's Cuts Rating to Ba1 on Slow Revenue Growth
----------------------------------------------------------------
Moody's Investors Service downgraded Bausch & Lomb Inc.'s senior
unsecured debt to Ba1 and continues to review all ratings for
possible downgrade.  The rating agency also assigned a Ba1
Corporate Family Rating.

According to Moody's, the downgrade primarily reflects the
belief that revenue growth will be sluggish for 2007 and lower
than Moody's previous expectations.  This belief is based on a
slower than anticipated recovery of the company's contact lens
and lens care businesses in Asia, sluggish growth in the U.S.
contact lens market, and the loss of significant market share in
the lens care segment following the recall of MoistureLoc.

Moody's believes that it will take the company around two to
three years to regain the lost market share in the lens care
market.

The downgrade also reflects heightened uncertainty about the
effectiveness of internal accounting controls and the
reliability of management's recent financial guidance.

Moody's review will focus primarily on the strength and
direction of financial forecasts, the company's ability to file
timely financial statements with the Securities and Exchange
Commission, lenders' and noteholders' willingness to continue
extending waivers pertaining to BOL's failure to file timely
financial statements and the outlook for BOL's near term
financial flexibility.

Moody's previous rating action on BOL occurred on March 23,
2006, when the company's ratings were placed on review for
possible downgrade following the company's failure to file
financial statements with the SEC.

These ratings were assigned:

   -- Ba1 Corporate Family Rating; and
   -- Ba1 Probability of Default Rating.

These ratings were downgraded:

   -- US$133.2-million senior unsecured notes due 2007 to Ba1
      (LGD4/52%) from Baa3;

   -- US$50-million senior unsecured notes due 2008 to Ba1
      (LGD4/52%) from Baa3;

   -- US$160-million senior unsecured convertible notes due 2023
      to Ba1 (LGD4/52%) from Baa3;

   -- US$0.4-million senior unsecured debentures due 2026 to Ba1
      (LGD4/52%) from Baa3; and

   -- US$66.4-million senior unsecured debentures due 2028 to
      Ba1 (LGD4/52%) from Baa3.

Moody's anticipates assigning a Speculative Grade Liquidity
rating subsequent to the company's filing of all delinquent
financial statements with the SEC.

Headquartered in Rochester, New York, Bausch & Lomb Inc. is a
leading worldwide provider of eye care products, including
contact lens, lens care, ophthalmic pharmaceuticals and surgical
products.


EUROTUNNEL GROUP: Four Tier 3 Debt Holders Choose Cash Option
-------------------------------------------------------------
Eurotunnel Group disclosed that four holders representing 32.5%
of the company's GBP575 million Tier 3 debt opted to exercise
the Cash Option.

The Tier 3 debt has an exchange rate of GBP1 = EUR1.46635.

The company's safeguard plan, approved by the Paris Commercial
Court on Jan. 15, allowed that in exchange for abandoning their
debt, the holders of Tier 3 debt will receive notes redeemable
in shares (NRS) issued by the new company, Eurotunnel Group U.K.
Plc, and redeemable in ordinary shares in the new company Groupe
Eurotunnel SA.

The plan also provided an option for a cash sum in place of
receiving NRS for this category of creditors.  Creditors
notified Eurotunnel of their decision by Jan. 31.

The payment of the corresponding amount will, inter alia, be
guaranteed according to the conditions set out in the plan,
through the subscription for the NRS, which would have been
attributed to those creditors who have chosen to take the Cash
Option, by some of the other holders of Tier 3 debt and some of
the bondholders.

The creditors who are interested in subscribing for these NRS
have until Feb. 14 to exercise this option.

To guarantee the financing of the Cash Option, Eurotunnel signed
a cash option provider agreement, Jan. 30, with Deutsche Bank
and Goldman Sachs.

                        About Eurotunnel

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

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

Eurotunnel Group files reports in the U.S. Securities and
Exchange Commission under the names of Eurotunnel PLC (ETNUF.PK)
and Eurotunnel SA (ETTFF.PK).

                        *     *     *

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

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

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

On Jan. 15, the Court approved Eurotunnel's safeguard plan,
backed by the court-appointed representatives to the company and
to the creditors.


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


ANIMA GMBH: Claims Registration Ends March 5
--------------------------------------------
Creditors of Anima GmbH have until March 5 to register their
claims with court-appointed insolvency manager Joerg
Trittermann.

Creditors and other interested parties are encouraged to attend
the meeting at 11:00 a.m. on April 5, 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 Wolfsburg
         Hall D
         Amtsgericht
         Rothenfelder Str. 43
         38440 Wolfsburg
         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 Wolfsburg opened bankruptcy proceedings
against Anima GmbH on Jan. 10.  Consequently, all pending
proceedings against the company have been automatically stayed.

The insolvency manager can be reached at:

         Joerg Trittermann
         Lessingplatz 9
         38100 Braunschweig
         Germany
         Tel: 0531/120 68 70
         Fax: 0531/1206880

The Debtor can be reached at:

         Anima GmbH
         Willy-Brandt-Platz 1
         38440 Wolfsburg
         Germany

         Attn: Vincenzo Cavaretta, Manager
         Kiesweg 4
         38440 Wolfsburg
         Germany


ARVINMERITOR: Selling Emissions Technologies Biz for US$310 Mln
---------------------------------------------------------------
ArvinMeritor Inc. has signed a definitive agreement to sell its
Emissions Technologies business group to One Equity Partners, an
equity investment firm based in New York.  Cash and other
consideration total around US$310 million.  The transaction will
be completed in the third quarter of fiscal year 2007.

"The decision to sell our Emissions Technologies business is
part of our long-term strategy to refocus our company and
concentrate on the strengths and core competencies that will
generate future earnings growth for ArvinMeritor," said
Chairman, CEO and President Charles G. "Chip" McClure.  "The
proceeds from this sale will support our continued efforts to
strengthen our balance sheet, and increase our ability to invest
in technology, research and development that more closely aligns
with our strategic focus on selected vehicle systems."

                    ArvinMeritor's Future

"By focusing on and investing in our light and commercial
vehicle businesses where we have superior products, strong
market positions and higher margins, we see greater potential
for sustained profitable growth in our core capabilities," Mr.
McClure said.  These include:

   * Chassis -- vehicle stability (ride and handling -- braking
     and suspension systems and wheels)

   * Drivetrain -- vehicle propulsion (steer axles, drivelines,
     suspensions, trailer axles and all-wheel drive systems and
     hybrids)

   * Apertures -- vehicle safety and security (body and control
     systems, such as doors and roofs).

"We continue to be committed to diversifying our customer base,
expanding our global presence and strengthening our product
portfolio in areas that provide the highest value to our
customers and return the greatest value to our shareowners," Mr.
McClure continued.

"In addition, we are implementing an aggressive strategy in
Asia, and committing resources to sustainable and profitable
growth in this region," said Mr. McClure.  "We also are planning
to increase our global aftermarket and specialty businesses, and
we are funding advanced engineering, research and development
initiatives that will better position us for the challenges
ahead."

ArvinMeritor's overarching strategy is to become a global
systems leader in its target markets, to build product
technology and develop capabilities that are scalable across
markets and platforms, and to profitably commercialize solutions
that meet customers' growing needs.

"ArvinMeritor's new Performance Plus program also is helping to
transform the company by identifying revenue growth and cost
savings opportunities that will position us for future global
expansion and success.  Together with the transaction we are
announcing, Performance Plus will help us build a more focused,
sustainable and profitable business model for ArvinMeritor," Mr.
McClure added.

                     Emissions Technologies

"While we are confident in the growth potential of the emissions
technologies portfolio, we believe that this business will be
better served by an organization that is specifically positioned
to invest capital and management resources in its development
and growth," Mr. McClure added.

"OEP is looking forward to working with the Emissions
Technologies management team to execute a focused and aggressive
growth plan," OEP Senior Partner, Lee Gardner said.  "We believe
that the worldwide push to reduce pollutants and greenhouse gas
emissions will create long-term opportunities for companies
focused on advanced exhaust and emissions technology, and we are
very pleased to be acquiring a leading company in this industry.
We will seek to build on the competitive strengths of the
business and position it for long-term success."

The Emissions Technologies business serves light and commercial
vehicle manufacturers.  The business has operations in 19
countries, 7,500 employees and several long-term joint venture
relationships.  H. H. "Buddy" Wacaser, President of Emissions
Technologies, and his management team will continue to lead it
following the close of the transaction.

Once the transaction closes, the new Emissions Technologies
company will have dual headquarters in Columbus, Indiana, as
well as in the metro Detroit area.

JPMorgan Securities is providing the debt financing in
connection with this transaction.

The transaction is subject to standard regulatory approvals,
including review under the Hart-Scott-Rodino Antitrust
Improvements Act.  Consultation with employee representatives
will also take place.

                          2007 Outlook

After the sale of its Emissions Technologies business,
ArvinMeritor will have about 20,000 employees, with 75
facilities in 22 countries.  The company will maintain its
diversified customer mix and a strong global presence.

The company anticipates sales from continuing operations in
fiscal year 2007 in the range of US$5.9 billion to US$6.1
billion, and the outlook for full-year diluted earnings per
share from continuing operations to be in the range of US$1.00
to US$1.10.  Cash flow guidance for fiscal year 2007 is US$50
million to US$100 million.  This guidance assumes that the
Emissions Technologies transaction closes during the third
quarter of fiscal 2007, and excludes gains or losses on
divestitures, restructuring costs, and other special items,
including potential extended customer shutdowns or production
interruptions.

The company reduced its fiscal year 2007 forecast for light
vehicle production to 15.3 million vehicles in North America,
down from 15.8 million forecast last quarter.  The company's
forecast for Western Europe is unchanged at 16.1 million
vehicles.

ArvinMeritor's forecast for North American Class 8 truck
production is 235,000 units in fiscal year 2007 (200,000 for the
2007 calendar year), unchanged from our previous forecast.  The
company's fiscal year 2007 forecast for heavy and medium truck
volumes in Western Europe is 475,000 units, up from the previous
forecast of 419,000.

                    About One Equity Partners

One Equity Partners manages US$5 billion of investments and
commitments for JPMorgan Chase & Co. in direct private equity
transactions.  Partnering with management, OEP invests in
transactions that initiate strategic and operational changes in
businesses to create long-term value.  OEP's investment
professionals are located across North America and Europe, with
offices in New York, Chicago and Frankfurt.

                       About ArvinMeritor

Headquartered in Troy, Michigan, ArvinMeritor Inc. (NYSE: ARM)
-- http://www.arvinmeritor.com/-- is a supplier of a broad
range of integrated systems, modules and components to the motor
vehicle industry.  The company serves light vehicle, commercial
truck, trailer and specialty original equipment manufacturers
and certain aftermarkets.  ArvinMeritor employs around 29,000
people at more than 120 manufacturing facilities in 25
countries.  It maintains 23 facilities in Argentina, Belgium,
Brazil, Germany, the United Kingdom, and Venezuela, among
others.  ArvinMeritor common stock is traded on the New York
Stock Exchange under the ticker symbol ARM.

                          *     *     *

As reported in the Troubled Company Reporter-Europe on Jan. 26,
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.

S&P said the outlook is stable.


ARVINMERITOR INC: Earns US$7 Million in First Qtr. Ended Dec. 31
----------------------------------------------------------------
ArvinMeritor Inc. reported financial results for its first
fiscal quarter ended Dec. 31, 2006.  Highlights include:

   -- sales from continuing operations of US$2.3 billion, up 12%
      from the same period last year.

   -- income from continuing operations, before special items,
      was US$11 million compared to US$12 million in the same
      period last year.

   -- net income on a GAAP basis was US$7 million compared to
      US$34 million last year.

   -- full-year EPS outlook for continuing operations, before
      special items, of US$1.15 to US$1.25, as previously
      forecasted.

Chip McClure, Chairman, CEO and President said, "We are
operating in a difficult environment in the passenger car,
light-duty truck, and commercial vehicle segments.  In an effort
to address the ongoing challenges, and create value for our
shareowners, we are making good progress and are on track with
our recently announced initiative, Performance Plus.  By
proactively taking control of our future through this global
transformational initiative, while at the same time maintaining
focus on improving our operational and financial performance, we
will emerge a stronger, more dynamic global organization."

              First-Quarter Fiscal Year 2007 Results

For the first quarter of fiscal year 2007, ArvinMeritor posted
sales from continuing operations of US$2.3 billion, a 12%
increase from the same period last year.  The impact of foreign
currency translation and strong sales in Commercial Vehicle
Systems in North America and Europe were partially offset by a
decrease in domestic original equipment manufacturers light
vehicle production and a strike at a customer's facility in
Brussels, Belgium, which temporarily shut down an ArvinMeritor
door module facility.

EBITDA, before special items, was US$86 million, down US$2
million from the same period last year.  This decrease is
partially due to higher than anticipated costs associated with
the simultaneous launch of a new axle product line and a new ERP
system in Europe.

Income from continuing operations was US$11 million compared to
US$28 million a year ago.  This decrease reflects a one-time,
pre-tax gain of US$23 million in the first fiscal quarter of
2006 from the sale of the CVS off-highway brake assets.  Net
income was US$7 million compared to US$34 million last year, a
decrease of US$27 million.

                           Outlook

The company reduced its fiscal year 2007 forecast for light
vehicle production to 15.3 million vehicles in North America,
down from 15.8 million forecasted last quarter.  The company's
forecast for Western Europe is unchanged at 16.1 million
vehicles.

ArvinMeritor's forecast for North American Class 8 truck
production is 235,000 units in fiscal year 2007 (200,000 for the
2007 calendar year), unchanged from our prior forecast.  The
company's fiscal year 2007 forecast for heavy and medium truck
volumes in Western Europe is 475,000 units, up from the previous
forecast of 419,000 units.

The company anticipates sales from continuing operations in
fiscal year 2007 in the range of US$8.9 to US$9.1 billion, and
the outlook for full-year diluted earnings per share from
continuing operations to be in the range of US$1.15 to US$1.25.
Cash flow guidance for fiscal year 2007 is US$75 million to
US$125 million, as previously forecast.  This guidance excludes
gains or losses on divestitures, restructuring costs, and other
special items, including potential extended customer shutdowns
or production interruptions.

"We are focused on redefining ArvinMeritor by creating a culture
of operational, commercial and individual excellence," said Mr.
McClure.  "Our vision is to be a global systems provider focused
on our target markets, deliver strong financial performance and
drive even greater value for our shareowners, employees and
customers."

Headquartered in Troy, Michigan, ArvinMeritor Inc. (NYSE: ARM)
-- http://www.arvinmeritor.com/-- is a supplier of a broad
range of integrated systems, modules and components to the motor
vehicle industry.  The company serves light vehicle, commercial
truck, trailer and specialty original equipment manufacturers
and certain aftermarkets.  ArvinMeritor employs around 29,000
people at more than 120 manufacturing facilities in 25
countries.  It maintains 23 facilities in Argentina, Belgium,
Brazil, Germany, the United Kingdom, and Venezuela, among
others.  ArvinMeritor common stock is traded on the New York
Stock Exchange under the ticker symbol ARM.


ARVINMERITOR INC: Moody's Lowers Corporate Family Rating to Ba3
---------------------------------------------------------------
Moody's Investors Service has downgraded ArvinMeritor's
Corporate Family Rating to Ba3 from Ba2.  Ratings on the
company's secured bank obligations and unsecured notes were
lowered one notch as a result.

The actions follow a decline in the company's margins over the
last year and anticipates expectations expect that, despite
recent progress in reducing its aggregate indebtedness and
leverage, ARM's profitability and related coverage metrics will
remain under pressure likely over the intermediate term as
commercial vehicle volumes in North America will significantly
decline and conditions in its light vehicle segment remain very
challenging.  ARM's metrics will increasingly fall short of Ba2
comparables as the year progresses and will assume the
complexion of the Ba3 rating category.  Moody's also affirmed
ARM's liquidity rating of SGL-2 to reflect the actions that the
company has taken to strengthen is capital structure which
includes minimal near term debt maturities and improved
availability under its committed revolving credit.  The outlook
is stable at the lower rating.

Ratings lowered:

ArvinMeritor Inc.

    -- Corporate Family Rating to Ba3 from Ba2

    -- Senior Secured bank debt to Ba1, LGD-2, 20% from Baa3,
       LGD-2, 18%

    -- Senior Unsecured notes to B1, LGD-4, 65% from Ba3,
       LGD-4, 64%

    -- Probability of Default to Ba3 from Ba2

    -- Shelf unsecured notes to (P)B1, LGD-4, 65% from (P)Ba3,
       LGD-4, 64%

Arvin Capital I

    -- Trust Preferred to B2, LGD-6, 96% from B1, LGD-6, 96%

Arvin International PLC

    -- Unsecured notes guaranteed by ArvinMeritor Inc. to B1,
       LGD-4, 65% from Ba3, LGD-4, 64%

Ratings affirmed:

ArvinMeritor Inc.

    -- Speculative Grade Liquidity rating, SGL-2

The last rating action was in September 2006 at which time
ratings were aligned with Moody's Loss Given Default
Methodology.  The outlook had been negative since April 2006.

The Ba3 Corporate Family rating continues to reflect solid
scores under the Auto Supplier Methodology for the company's
scale, market position and diversification spread across two
business segments.  Nonetheless, key credit metrics of EBITA
margin and interest coverage constrain these qualitative
strengths and pull the overall rating into the Ba3 category.  A
downturn in North American commercial vehicle production volumes
is anticipated as 2007 progresses and is likely to yield softer
margins and coverage metrics over the intermediate term.  While
leverage has been reduced as a result of its 2006 tender offer
and application of proceeds from business dispositions, it
remains high.  Financing actions taken in 2006 have improved the
company's liquidity profile, lengthened the company's debt
maturity schedule, enhanced its financial flexibility and lend
further support to the rating and stable outlook.

The Ba1 ratings on the bank obligations, two notches above the
Corporate Family Rating, flow from their perfected liens on
substantial assets at the borrower and guaranteeing subsidiaries
as well as a significant level of junior capital beneath their
claims.  Similarly, the B1 rating on the unsecured notes, one
level below the Corporate Family Rating, reflects their lower
priority as well as the benefits of up-streamed guarantees from
material domestic subsidiaries.  Arvin Capital's trust preferred
issue considers its underlying investment in subordinated notes
of ARM, which are not guaranteed by any operating subsidiaries.

The SGL-2 Speculative Grade Liquidity rating represents good
liquidity over the next twelve months.  Moody's notes that ARM
finished fiscal 2006 with US$350 million of consolidated cash on
the balance sheet and is expected to generate a modest amount of
free cash flow during fiscal 2007.  External sources of
liquidity include availability under its US$980 million
revolving credit facility with ample cushions under its
financial covenants.

ArvinMeritor Inc., headquartered in Troy, MI, is a global
supplier of a broad range of integrated systems, modules and
components serving light vehicles, commercial trucks, trailers,
and specialty original equipment manufacturers as well as
certain aftermarkets.  Revenues in fiscal 2006 were
around US$9.2 billion.


ATTENBERGER GMBH: Claims Registration Ends Feb. 15
--------------------------------------------------
Creditors of Attenberger GmbH have until Feb. 15 to register
their claims with court-appointed insolvency manager Dr.
Ruediger Werres.

Creditors and other interested parties are encouraged to attend
the meeting at 10:45 a.m. on April 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 Cologne
         Meeting Hall 142
         First Floor
         Luxemburger Strasse 101
         50939 Cologne
         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 Cologne opened bankruptcy proceedings
against Attenberger GmbH on Jan. 16.  Consequently, all pending
proceedings against the company have been automatically stayed.

The insolvency manager can be reached at:

         Dr. Ruediger Werres
         Friesenplatz 17 a
         50672 Cologne
         Germany
         Tel: 0221/95 14 46-20
         Fax: +4922195144690

The Debtor can be reached at:

         Attenberger GmbH
         Am Gieselbach 21
         51107 Cologne
         Germany


BOST INTERACTIVE: Claims Registration Ends Feb. 19
--------------------------------------------------
Creditors of BoST interactive GmbH have until Feb. 19 to
register their claims with court-appointed insolvency manager
Dr. Bruno Kuebler.

Creditors and other interested parties are encouraged to attend
the meeting at 10:45 p.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 Cologne
         Meeting Hall 142
         First Floor
         Luxemburger Strasse 101
         50939 Cologne
         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 Cologne opened bankruptcy proceedings
against BoST interactive GmbH on Jan. 15.  Consequently, all
pending proceedings against the company have been automatically
stayed.

The insolvency manager can be reached at:

         Dr. Bruno Kuebler
         Aachener Str. 222
         50931 Cologne
         Tel: 400 770
         Fax: +492214007720
         Web site: http://www.kuebler-gbr.de

The Debtor can be reached at:

         BoST interactive GmbH
         Zollstockguertel 5
         50969 Cologne
         Germany


CCR-DIALOG-CENTER: Claims Registration Ends March 9
---------------------------------------------------
Creditors of ccr-dialog-center GmbH have until March 9 to
register their claims with court-appointed insolvency manager
Dr. Hans-Peter Lehner.

Creditors and other interested parties are encouraged to attend
the meeting at 9:15 a.m. on March 15, 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 Deggendorf
         Meeting Hall 3
         E 29
         Amanstrasse 17
         94469 Deggendorf
         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 Deggendorf opened bankruptcy proceedings
against ccr-dialog-center GmbH on Jan. 19.  Consequently, all
pending proceedings against the company have been automatically
stayed.

The insolvency manager can be reached at:

         Dr. Hans-Peter Lehner
         Ditthornstrasse 5
         93055 Regensburg
         Germany
         Tel: 0941/6408200
         Fax: 0941/64082010

The Debtor can be reached at:

         ccr-dialog-center GmbH
         Moizerlitzplatz 18
         94209 Regen
         Germany


IMTEC GMBH: Creditors Must Register Claims by February 26
---------------------------------------------------------
Creditors of imtec GmbH have until Feb. 26 to register their
claims with court-appointed insolvency manager Cornelia Moenert.

Creditors and other interested parties are encouraged to attend
the meeting at 11:15 a.m. on March 26, 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 Detmold
         Meeting Room 12
         Ground Floor
         Gerichtsstr. 6
         32756 Detmold
         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 insolvency manager can be reached at:

         Cornelia Moenert
         Lise-Meitner-Str. 13
         33605 Bielefeld
         Germany

The District Court of Detmold opened bankruptcy proceedings
against imtec GmbH on Jan. 16.  Consequently, all pending
proceedings against the company have been automatically stayed.

The Debtor can be reached at:

         imtec GmbH
         Billinghauser Str. 382 a
         32791 Lage
         Germany

         Attn: Reinhard Miniges, Manager
         Bielefelder Str. 246
         32791 Lage
         Germany


JB IMMOBILIEN: Creditors Must Register Claims by February 23
------------------------------------------------------------
Creditors of JB Immobilien GmbH have until Feb. 23 to register
their claims with court-appointed insolvency manager Andreas
Pantlen.

Creditors and other interested parties are encouraged to attend
the meeting at 2:00 p.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 Siegen
         Hall 009
         Ground Floor
         Main Building
         Berliner Str. 21-22
         57072 Siegen
         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 insolvency manager can be reached at:

         Andreas Pantlen
         Koenigsallee 90
         40212 Duesseldorf
         Germany
         Tel: 0211/8606800
         Fax: 0211/8606810
         Germany

The District Court of Sigen opened bankruptcy proceedings
against JB Immobilien GmbH on Jan. 18.  Consequently, all
pending proceedings against the company have been automatically
stayed.

The Debtor can be reached at:

         JB Immobilien GmbH
         Mozartstr. 7
         57439 Attendorn
         Germany

         Attn: Ulrike Schmidt, Manager
         Franz-Rinscheid-Str. 54
         57439 Attendorn
         Germany


KASCHNER ABBRUCHTECHNOLOGIEGESELLSCHAFT: Claims Due March 5
-----------------------------------------------------------
Creditors of Kaschner Abbruchtechnologiegesellschaft mbH
have until March 5 to register their claims with court-appointed
insolvency manager Petra Mork.

Creditors and other interested parties are encouraged to attend
the meeting at 11:20 a.m. on March 26, at which time the
insolvency manager will present his first report on the
insolvency proceedings.

The meeting of creditors will be held at:

         The District Court of Dortmund
         Hall 3.201
         Second Floor
         Gerichtplatz 1
         44135 Dortmund
         Germany

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

The insolvency manager can be reached at:

         Dr. Petra Mork
         Arndtstr. 28
         44135 Dortmund
         Germany

The District Court of Dortmund opened bankruptcy proceedings
against Kaschner Abbruchtechnologiegesellschaft mbH on Jan. 15.
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be reached at:

         Kaschner Abbruchtechnologiegesellschaft mbH
         Attn: Katrin Pickert, Manager
         Marie-Curie-Str. 16
         59192 Bergkamen
         Germany


KM PLANUNGSBUERO: Creditors Meeting Slated for March 1
------------------------------------------------------
The court-appointed insolvency manager for KM Planungsbuero GmbH
& Co. Kommanditgesellschaft, Haro Helms, will present his first
report on the Company's insolvency proceedings at a creditors'
meeting at 9:00 a.m. on March 1.

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

         The District Court of Bremen
         Hall 115
         Ostertorstr. 25-31
         28195 Bremen
         Germany

The Court will also verify the claims set out in the insolvency
manager's report at 9:20 a.m. on April 19 at the same venue.

Creditors have until March 6 to register their claims with the
court-appointed insolvency manager.

The insolvency manager can be reached at:

         Haro Helms
         Schillerstr. 10
         28195 Bremen
         Germany
         Tel.: 0421/337790
         Fax: 0421/3377933
         E-mail: helms@dr-stankewitz.de

The District Court of Bremen opened bankruptcy proceedings
against KM Planungsbuero GmbH & Co. Kommanditgesellschaft on
Jan. 22.  Consequently, all pending proceedings against the
company have been automatically stayed.

The Debtor can be reached at:

         KM Planungsbuero GmbH & Co. Kommanditgesellschaft
         Bremerhavener Heerstr. 14
         28717 Bremen
         Germany

         Attn: Bodo Koehler, Manager
         Eibenweg 16
         27711 Osterholz-Scharmbeck
         Germany


LASSOW EVENT: Claims Registration Ends February 24
--------------------------------------------------
Creditors of Lassow Event GmbH have until Feb. 24 to register
their claims with court-appointed insolvency manager Andreas
Sontopski.

Creditors and other interested parties are encouraged to attend
the meeting at 11:15 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 Vechta
         Hall 129
         Main Building
         Kapitelplatz 8
         49377 Vechta
         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 insolvency manager can be reached at:

         Andreas Sontopski
         Gnoiener Platz 1
         48493 Wettringen
         Germany
         Tel: 02557-93840
         Fax: 02557-652
         E-mail: info@RA-Sontopski.de

The District Court of Vechta opened bankruptcy proceedings
against Lassow Event GmbH on Jan. 8.  Consequently, all pending
proceedings against the company have been automatically stayed.

The Debtor can be reached at:

         Lassow Event GmbH
         Robert-Bosch-Strasse 18
         49401 Damme
         Germany

         Attn: Horst Lassow, Manager
         Ohlkenbergsweg 12
         49401 Damme
         Germany


MAL.TA DECORMARKT: Claims Registration Ends February 28
-------------------------------------------------------
Creditors of MAL.TA Decormarkt Elmshorn GmbH have until Feb. 28
to register their claims with court-appointed insolvency manager
Hendrik Rogge.

Creditors and other interested parties are encouraged to attend
the meeting at 10:00 a.m. on April 4, 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 Pinneberg
         Hall 3
         1st Floor
         Station Route 17
         25421 Pinneberg
         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 insolvency manager can be reached at:

         Hendrik Rogge
         Albert-Einstein-Ring 15
         22761 Hamburg
         Germany

The District Court of Pinneberg opened bankruptcy proceedings
against MAL.TA Decormarkt Elmshorn GmbH on Jan. 15.
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be reached at:

         MAL.TA Decormarkt Elmshorn GmbH
         Attn: Ingrid Frieda Riewesell, Manager
         Am Eiskeller 17
         25336 Elmshorn
         Germany


MAUSER AG: Recapitalization Plan Cue S&P's B Rating
---------------------------------------------------
Standard & Poor's Ratings Services revised its outlook on
Germany-based packaging manufacturer Mauser AG to negative from
stable, following its announced plan to recapitalize the
company.  The 'B' long-term corporate credit rating was
affirmed.

"The outlook revision reflects our expectation that the
company's financial profile will weaken due to a material
increase in debt resulting from the planned recapitalization,"
said Standard & Poor's credit analyst Izabela Listowska.  "This
would weaken the group's credit measures, resulting in an
expected increase in adjusted debt to EBITDA to about 6.5x in
the near term, which is weak for the ratings."

In addition, the company's ongoing acquisition strategy could
make it difficult for it to restore credit measures in line with
the ratings.  At the end of September 2006, pro forma for the
acquisition of Metalúrgica Barra do Pirai S.A., Mauser had
adjusted debt of about EUR509 million, including unfunded
pension liabilities of about EUR31 million, operating leases of
about EUR21 million, shareholder loans of about EUR55 million,
and unrestricted cash of about EUR24 million.

The ratings on Mauser continue to reflect the group's highly
leveraged capital structure and its continuously aggressive
financial policy, in particular with regard to debt-funded
acquisitions.  The ratings are further constrained by Mauser's
sensitivity to raw-material price fluctuations, particularly
with regard to steel and high-density polyethylene resin, and
the fairly mature industry in which the group operates.

These factors are mitigated by Mauser's:

   -- large market share in the industrial packaging industry;

   -- global distribution network and market presence;

   -- focus on higher growth segments of the industry such as
      plastic drums and containers and intermediate bulk
      containers; and

   -- its good operating performance.

"Mauser's weak credit measures for the ratings, as well as its
ongoing aggressive growth strategy, could make it difficult for
it to restore credit measures to previous levels," said Ms.
Listoswka.

The ratings could be lowered if Mauser cannot gradually improve
credit measures to adjusted debt to EBITDA of about 5x and
adjusted funds from operations to debt of at least 10% over the
medium to longer term.  The rating could also be lowered in the
near term if the company further increased debt leverage due to
debt-funded acquisitions without offsetting this with an
increase in operating cash flows, or if its liquidity
deteriorates.


MAUSER BETEILIGUNGS: Moody's Junks EUR185-Mln Senior Notes
----------------------------------------------------------
Moody's Investors Service placed the B2 Corporate Family Rating
for Mauser Beteiligungs GmbH and the Caa1 senior note rating for
the EUR185-million notes issued by the same entity under review
for possible downgrade following the decision of the majority
shareholder to postpone an equity offering and instead issue a
payment-in-kind loan of EUR215-million, whose proceeds will
mostly be paid out as a dividend.

The proposed PIK loan will be issued at a Dutch legal entity
that will be formed solely for the purpose of the issuance of
the loan and will be outside of the restricted group.  Although
the documentation has not been drafted, Moody's understands that
the PIK loan is intended to be sold to third-party investors and
that almost all proceeds of EUR215 million will be used to pay
out a special dividend to the shareholder.

The review will assess the impact of the PIK loan issuance on
the rated entities and any potential new servicing demands on
the restricted group, which backs the rated debt.  While the new
loan will be structurally subordinated to and outside of the
restricted group of the rated debt, Moody's will review whether
they may place additional pressure on the capital structure and
on Mauser's long-term financing plan.  The review will also
include an evaluation of Mauser's financial profile.

Based in Bruehl, Germany, Mauser AG is a leading global provider
of rigid industrial packaging solutions for the petrochemical,
chemical, pharmaceutical and food & beverage industries.  In
financial year 2005 reported revenues totaled EUR584.4 million
(EUR784 million pro-forma for all acquisitions until the end of
2005).


METALL-BAUER GMBH: Claims Registration Ends March 6
---------------------------------------------------
Creditors of Metall-Bauer GmbH have until March 6 to register
their claims with court-appointed insolvency manager Philip
Schober.

Creditors and other interested parties are encouraged to attend
the meeting at 2:10 p.m. on March 26, 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 Delmenhorst
         Hall 2
         Branch 1
         Cramerstrasse 183
         27749 Delmenhorst
         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 insolvency manager can be reached at:

         Philip Schober
         Martinistrasse 47/49
         28195 Bremen
         Germany
         Tel: 0421/95791-0
         Fax: 0421/95791-11
         E-mail: bremen@brinkmann-partner.de

The District Court of Delmenhorst opened bankruptcy proceedings
against Metall-Bauer GmbH on Jan. 12.  Consequently, all pending
proceedings against the company have been automatically stayed.

The Debtor can be reached at:

         Metall-Bauer GmbH
         Attn: Ruediger Bauer, Manager
         Am Friesenpark 28
         27751 Delmenhorst
         Germany


PRASIDENTEN PILS: Claims Registration Ends March 3
--------------------------------------------------
Creditors of Prasidenten Pils Verwaltungsgesellschaft mbH have
until March 3 to register their claims with court-appointed
insolvency manager Hans-Gert Dhonau.

Creditors and other interested parties are encouraged to attend
the meeting at 10:00 a.m. on March 26, 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 Bad Kreuznach
         Hall 309
         Ringstrasse 79
         55543 Bad Kreuznach
         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 insolvency manager can be reached at:

         Dr. Hans-Gert Dhonau
         Bahnhofstr. 7
         D 55566 Bad Sobernheim
         Germany
         Tel: 06751/938013
         Fax: 06751/9380-36

The District Court of Bad Kreuznach opened bankruptcy
proceedings against Prasidenten Pils Verwaltungsgesellschaft mbH
on Jan. 15.  Consequently, all pending proceedings against the
company have been automatically stayed.

The Debtor can be reached at:

         Prasidenten Pils Verwaltungsgesellschaft mbH
         Attn: Hans Erich Fuchs, Manager
         Kreuznacher Str. 4
         55452 Windesheim
         Germany


RAMCKE BLOCKHAUS: Claims Registration Ends March 13
--------------------------------------------------
Creditors of Ramcke Blockhaus GmbH have until March 13 to
register their claims with court-appointed insolvency manager
Dr. Berthold Riering.

Creditors and other interested parties are encouraged to attend
the meeting at 2:00 p.m. on Apr. 12, at which time the
insolvency manager will present his first report on the
insolvency proceedings.

The meeting of creditors will be held at:

         The District Court of Itzehoe
         Hall 2
         Theodor-Heuss-Platz 3
         25524 Itzehoe
         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 insolvency manager can be reached at:

         Dr. Berthold Riering
         Osdorfer Landstrasse 230
         22549 Hamburg
         Germany

The District Court of Itzehoe opened bankruptcy proceedings
against Ramcke Blockhaus GmbH on Jan. 19.   Consequently, all
pending proceedings against the company have been automatically
stayed.

The Debtor can be reached at:

         Ramcke Blockhaus GmbH
         De-Vos-Strasse 29
         25524 Itzehoe
         Germany


REPRO SCHEINER: Claims Registration Ends March 3
------------------------------------------------
Creditors of Repro Scheiner GmbH have until March 3 to register
their claims with court-appointed insolvency manager Dr. Hans-
Gert Dhonau.

Creditors and other interested parties are encouraged to attend
the meeting at 10:15 a.m. on March 26, 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 Bad Kreuznach
         Hall 309
         Ringstrasse 79
         55543 Bad Kreuznach
         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 insolvency manager can be reached at:

         Dr. Hans-Gert Dhonau
         Bahnhofstr. 7
         D 55566 Bad Sobernheim
         Germany
         Tel: 06751/938013
         Fax: 06751/9380-36

The District Court of Bad Kreuznach opened bankruptcy
proceedings against Repro Scheiner GmbH on Jan. 17.
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be reached at:

         Repro Scheiner GmbH
         Kreuznacher Str. 35
         55568 Staudernheim
         Germany


RING GMBH: Claims Registration Ends March 1
-------------------------------------------
Creditors of Ring GmbH have until March 1 to register their
claims with court-appointed insolvency manager Alexander
Pfadenhauer.

Creditors and other interested parties are encouraged to attend
the meeting at 11:00 a.m. on March 29, 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 Nuremberg
         Meeting Hall 152/I
         Flaschenhofstr. 35
         Nuremberg
         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 insolvency manager can be reached at:

         Alexander Pfadenhauer
         Sperberstr. 47
         90461 Nuremberg
         Germany
         Tel: 0911/448171
         Fax: 0911/441332

The District Court of Nuremberg opened bankruptcy proceedings
against Ring GmbH on Jan. 19.  Consequently, all pending
proceedings against the company have been automatically stayed.

The Debtor can be reached at:

         Ring GmbH
         Attn: Burkhard Ring, Manager
         Welserstr. 4
         91154 Roth
         Germany


S & K ELEKTROTECHNIK: Claims Registration Ends March 24
-------------------------------------------------------
Creditors of S & K Elektrotechnik GmbH have until March 24 to
register their claims with court-appointed insolvency manager
Wolfgang Breuer.

Creditors and other interested parties are encouraged to attend
the meeting at 10:45 a.m. on Apr. 24, 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 Cologne
         Meeting Room 1240
         12th. Floor
         Luxemburger Strasse 101
         50939 Cologne
         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 insolvency manager can be reached at:

         Wolfgang Breuer
         Sachsenring 75
         50677 Koeln
         Germany
         Tel: 3981180
         Fax: +492213981190

The District Court of Cologne opened bankruptcy proceedings
against S & K Elektrotechnik GmbH on Jan. 17.   Consequently,
all pending proceedings against the company have been
automatically stayed.

The Debtor can be reached at:

         S & K Elektrotechnik GmbH
         Attn: Johannes Hohs, Manager
         Geschwister-Scholl-Str. 25 b
         50374 Erftstadt
         Germany


SANITATSHAUS KEVELAER: Claims Registration Ends Feb. 12
-------------------------------------------------------
Creditors of Sanitatshaus Kevelaer Verwaltungsgesellschaft GmbH
have until Feb. 12 to register their claims with court-appointed
insolvency manager Natascha Habura.

Creditors and other interested parties are encouraged to attend
the meeting at 10:20 a.m. on Feb. 27, at which time the
insolvency manager will present his first report on the
insolvency proceedings.

The meeting of creditors will be held at:

         The District Court of Kleve
         Meeting Room C 58
         Ground Floor
         Schlossberg 1
         47533 Kleve
         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 insolvency manager can be reached at:

         Natascha Habura
         Eichendorffstrasse 25
         47800 Krefeld
         Germany
         Address

The District Court of Kleve opened bankruptcy proceedings
against Sanitatshaus Kevelaer Verwaltungsgesellschaft GmbH on
Jan. 18.  Consequently, all pending proceedings against the
company have been automatically stayed.

The Debtor can be reached at:

         Sanitatshaus Kevelaer Verwaltungsgesellschaft GmbH
         Bahnstrasse 19
         47623 Kevelaer
         Germany


SASSE & CO: Claims Registration Ends March 19
---------------------------------------------
Creditors of Sasse & Co Hausverwaltung GmbH have until March 19
to register their claims with court-appointed insolvency manager
Boris A. Schmidt-Burbach.

Creditors and other interested parties are encouraged to attend
the meeting at 9:00 a.m. on April 19, at which time the
insolvency manager will present her first report on the
insolvency proceedings.

The meeting of creditors will be held at:

         The District Court of Marburg/Lahn
         Hall 159
         District Court Building
         Universitatsstrasse 48
         35037 Marburg/Lahn
         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 insolvency manager can be contacted at:

         Dr. Boris A. Schmidt-Burbach
         Fach 25, Wilhelmstrasse 17
         35037 Marburg
         Germany
         Tel: 06421/30499-0
         Fax: 06421/30499-20

The District Court of Marburg/Lahn opened bankruptcy proceedings
against Sasse & Co Hausverwaltung GmbH on Jan. 17.
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be contacted at:

         Sasse & Co Hausverwaltung GmbH
         Attn: Matthias and Ute Sasse, Managers
         Kuhweg 7
         35041 Marburg
         Germany


SILVERHILL FASHION: Claims Registration Ends February 20
--------------------------------------------------------
Creditors of Silverhill Fashion GmbH have until Feb. 20 to
register their claims with court-appointed insolvency manager
Christoph Junker.

Creditors and other interested parties are encouraged to attend
the meeting at 10:00 a.m. on March 29, at which time the
insolvency manager will present her first report on the
insolvency proceedings.

The meeting of creditors will be held at:

         The District Court of Dresden
         Hall D132
         Olbrichtplatz 1
         01099 Dresden
         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 insolvency manager can be contacted at:

         Dr. Christoph Junker
         Karcherallee 25 a
         01277 Dresden
         Germany
         Web site: http://www.junker-kollegen.de/

The District Court of Dresden opened bankruptcy proceedings
against Silverhill Fashion GmbH on Jan. 16.  Consequently, all
pending proceedings against the company have been automatically
stayed.

The Debtor can be contacted at:

         Silverhill Fashion GmbH
         Attn: Siegfried Sowa, Manager
         Meissner Str. 4
         01612 Diesbar-Seusslitz
         Germany


T.S. COM: Claims Registration Ends March 20
-------------------------------------------
Creditors of T.S. Com GmbH have until March 20 to register their
claims with court-appointed insolvency manager Volker Viniol.

Creditors and other interested parties are encouraged to attend
the meeting at 9:00 a.m. on April 18, at which time the
insolvency manager will present her first report on the
insolvency proceedings.

The meeting of creditors will be held at:

         The District Court of Esslingen
         Hall 1, First Floor
         Ritterstr. 5
         Esslingen
         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 insolvency manager can be contacted at:

         Dr. Volker Viniol
         Danneckerstr. 52
         70182 Stuttgart
         Germany
         Tel: 0711/23889-0
         Fax: 0711/23889-30

The District Court of Esslingen opened bankruptcy proceedings
against T.S. Com GmbH on Jan. 19.  Consequently, all pending
proceedings against the company have been automatically stayed.

The Debtor can be contacted at:

         T.S. Com GmbH
         Attn: Monika and Tanja Spohn, Managers
         Wertstr. 8
         73240 Wendlingen
         Germany


TMC GMBH: Claims Registration Ends February 15
----------------------------------------------
Creditors of TMC GmbH i.Gr. have until Feb. 15 to register their
claims with court-appointed insolvency manager Heiner Thyssen.

Creditors and other interested parties are encouraged to attend
the meeting at 10:30 a.m. on March 29, at which time the
insolvency manager will present her first report on the
insolvency proceedings.

The meeting of creditors will be held at:

         The District Court of Osnabrueck
         Branch N 302
         Kollegienwall 10
         49074 Osnabrueck
         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 insolvency manager can be contacted at:

         Heiner Thyssen
         Schlossstr. 11
         49186 Bad Iburg
         Germany
         Tel: 05403/7333-0
         Fax: 05403/5802

The District Court of Osnabrueck opened bankruptcy proceedings
against TMC GmbH i.Gr. on Jan. 18.  Consequently, all pending
proceedings against the company have been automatically stayed.

The Debtor can be contacted at:

         TMC GmbH i.Gr.
         Cindy-Ramona Barth
         Grosse Str. 45a
         49186 Bad Iburg
         Germany


TOOLTIME SERVICE: Creditors' Meeting Slated for March 2
-------------------------------------------------------
The court-appointed insolvency manager for tooltime service
GmbH, Knut Rebholz, will present his first report on the
Company's insolvency proceedings at a creditors' meeting at
9:00 a.m. on March 2.

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 8:25 a.m. on June 22 at the same venue.

Creditors have until April 18 to register their claims with the
court-appointed insolvency manager.

The insolvency manager can be reached at:

         Knut Rebholz
         Cicerostr. 22
         10709 Berlin
         Germany

The District Court of Charlottenburg opened bankruptcy
proceedings against tooltime service GmbH on Jan 18.
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be reached at:

         tooltime service GmbH
         Beiersdorfer Str. 12
         16353 Werneuchen
         Germany


TOP BAU: Claims Registration Ends February 7
--------------------------------------------
Creditors of TOP Bau GmbH have until Feb. 7 to register their
claims with court-appointed insolvency manager Werner F.
Muehlenbrock.

Creditors and other interested parties are encouraged to attend
the meeting at 9:35 a.m. on Feb. 28, at which time the
insolvency manager will present her first report on the
insolvency proceedings.

The meeting of creditors will be held at:

         The District Court of Essen
         Meeting Hall 184
         First Floor
         Zweigertstr. 52
         45130 Essen
         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 insolvency manager can be contacted at:

         Werner F. Muehlenbrock
         Overwegstr. 47
         45879 Gelsenkirchen
         Germany

The District Court of Essen opened bankruptcy proceedings
against TOP Bau GmbH on Jan. 17.  Consequently, all pending
proceedings against the company have been automatically stayed.

The Debtor can be contacted at:

         TOP Bau GmbH
         Scharnhoelzstr. 177
         46238 Bottrop
         Germany


WELLNESS & BADERWELT: Claims Registration Ends April 9
------------------------------------------------------
Creditors of Wellness & Baderwelt GmbH have until April 9 to
register their claims with court-appointed insolvency manager
Rolf Rombach.

Creditors and other interested parties are encouraged to attend
the meeting at 3:10 p.m. on May 16, at which time the insolvency
manager will present her first report on the insolvency
proceedings.

The meeting of creditors will be held at:

         The District Court Erfurt
         Area 6
         Judicial Center
         Rudolfstr. 46
         99092 Erfurt
         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 insolvency manager can be contacted at:

         Rolf Rombach
         Magdeburger Avenue 159
         99086 Erfurt
         Germany

The District Court of Erfurt opened bankruptcy proceedings
against Wellness & Baderwelt GmbH on Jan. 15.  Consequently, all
pending proceedings against the company have been automatically
stayed.

The Debtor can be contacted at:

         Wellness & Baderwelt GmbH
         Bahnhofstr. 22
         99610 Soemmerda
         Germany


WORLD-BAR: Claims Registration Ends February 27
-----------------------------------------------
Creditors of World-Bar-Gastronomie GmbH have until Feb. 27 to
register their claims with court-appointed insolvency manager
Gerhard Wilhelm IV.

Creditors and other interested parties are encouraged to attend
the meeting at 9:45 a.m. on April 3, at which time the
insolvency manager will present her first report on the
insolvency proceedings.

The meeting of creditors will be held at:

         The District Court of Hanover
         Hall 226
         Second Upper Floor
         Service Bldg.
         Hamburger Avenue 26
         30161 Hanover
         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 insolvency manager can be contacted at:

         Gerhard Wilhelm IV
         Oskar-Winter-Str. 8
         30161 Hanover
         Germany
         Tel: 0511 696846-0
         Fax: 0511 696846-79

The District Court of Hanover opened bankruptcy proceedings
against World-Bar-Gastronomie GmbH on Jan. 17.  Consequently,
all pending proceedings against the company have been
automatically stayed.

The Debtor can be contacted at:

         World-Bar-Gastronomie GmbH
         Attn: Yulia Blumberg, Manager
         Goseriede 4
         30159 Hanover
         Germany


WTI-HAUSBAU-GMBH: Creditors' Meeting Slated for March 12
--------------------------------------------------------
The court-appointed insolvency manager for WTI-Hausbau-GmbH,
Josef Scherer, will present his first report on the Company's
insolvency proceedings at a creditors' meeting at 11:20 a.m. on
March 12.

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

         The District Court of Deggendorf
         Meeting Hall 3
         E 29
         Amanstrasse 17
         94469 Deggendorf
         Germany

The Court will also verify the claims set out in the insolvency
manager's report at 9:05 a.m. on June 11 at the same venue.

Creditors have until April 20 to register their claims with the
court-appointed insolvency manager.

The insolvency manager can be reached at:

         Dr. Josef Scherer
         Metzgergasse 2-4
         94459 Deggendorf
         Germany
         Tel: 0991/3201288
         Fax: 0991/3201290

The District Court of Deggendorf opened bankruptcy proceedings
against WTI-Hausbau-GmbH on Jan 22.  Consequently, all pending
proceedings against the company have been automatically stayed.

The Debtor can be reached at:

         WTI-Hausbau-GmbH
         Gewerbestr. 3
         94577 Winzer
         Germany


XANTHOS LIFE: Claims Registration Ends February 26
--------------------------------------------------
Creditors of Xanthos Life AG have until Feb. 26 to register
their claims with court-appointed insolvency manager Biner Bahr.

Creditors and other interested parties are encouraged to attend
the meeting at 9:15 a.m. on March 19, at which time the
insolvency manager will present her first report on the
insolvency proceedings.

The meeting of creditors will be held at:

         The District Court of Duesseldorf
         Meeting Hall A 341
         Third Floor
         Muehlenstrasse 34
         40213 Duesseldorf
         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 insolvency manager can be contacted at:

         Dr. Biner Bahr
         Graf-Adolf-Place 15
         40213 Duesseldorf
         Germany

The District Court of Duesseldorf opened bankruptcy proceedings
against Xanthos Life AG on Jan. 22.  Consequently, all pending
proceedings against the company have been automatically stayed.

The Debtor can be contacted at:

         Xanthos Life AG
         Rhein 10
         40597 Duesseldorf
         Germany

         Attn: Kai Nowak, Manager
         Carsten-Reimers-Ring 59
         22175 Hamburg
         Germany


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


BAHYTNUR LLP: Creditors Must File Claims by March 16
----------------------------------------------------
The Specialized Inter-Regional Economic Court of North
Kazakhstan Region has declared LLP Bahytnur insolvent.

Creditors have until March 16 to submit written proofs of claim
to:

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


CREDIT LINE-2000 LLP: Creditors' Claims Due March 16
----------------------------------------------------
The Specialized Inter-Regional Economic Court of Almaty has
ordered the compulsory liquidation of LLP Credit Line-2000 (RNN
092200002047) on Dec. 22, 2006.

Creditors have until March 16 to submit written proofs of claim
to:

         LLP Credit Line-2000 (RNN 092200002047)
         Room 208
         Jangusurov Str. 113a
         Taldykorgan
         Almaty
         Kasakhstan
         Tel: 8 (32822) 24-19-77


ENGINEERING-CONSTRUCTION LLP: Claims Registration Ends March 16
---------------------------------------------------------------
The Specialized Inter-Regional Economic Court of Almaty has
ordered the compulsory liquidation of LLP Engineering-
Construction Company (RNN 090400018741) on Dec. 20, 2006.

Creditors have until March 16 to submit written proofs of claim
to:

         LLP Engineering-Construction Company
         Room 208
         Jangusurov Str. 113a
         Taldykorgan
         Almaty
         Kasakhstan
         Tel: 8 (32822) 24-19-77


INTRADE-SERVICE LLP: Claims Filing Period Ends March 16
-------------------------------------------------------
LLP Intrade-Service has declared insolvency.  Creditors have
until March 16 to submit written proofs of claim to:

         LLP Intrade-Service
         Kalinin Str. 70
         Zatobolsk
         Kostanai
         Kazakhstan


JALYN LLP: Proof of Claim Deadline Slated for March 16
------------------------------------------------------
The Specialized Inter-Regional Economic Court of North
Kazakhstan Region has declared LLP Jalyn declared insolvent.

Creditors have until March 16 to submit written proofs to:


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


KAZKOMMERTSBANK JSC: Appoints Two New Managing Directors
--------------------------------------------------------
Kazkommertsbank JSC has appointed two new managing directors
Askarbek Nabiyev and Adil Batyrbekov.

Prior to the appointment, Mr. Nabiyev was the head of the
Financial Controlling Department.  In his new position, he will
assume responsibility for financial analysis, budgeting and
control, and management reporting.

The departments under his supervision are responsible for
strategically important profit projections for all of the Bank's
subsidiaries and branches.  They analyze the financial
performance of the Bank and control the implementation of the
financial plans.  In addition, they monitor financial budgets,
staff levels, loading norms, transfer pricing, and draft
internal reports.  The aim of these activities is to control and
forecast current sales and implement the Bank's business plans,
as well as to optimize and automate management reporting
systems.

Mr. Nabiyev holds a degree in Economics from the Kazakh State
Academy of Management.  He has been with Kazkommertsbank for 10
years, initially within the economic analysis division.

Mr. Batyrbekov has headed the Risk Management Department for the
last three years.  He will continue to cover risk management as
a Managing Director.

Mr. Batyrbekov will be responsible for the development
Kazkommertsbank's risk management systems with a particular
focus on regular analysis of the real estate market.  In the
context of an underdeveloped securities market in Kazakhstan and
due to the fact that this market was not considered as a
significant source of risk in past, market risk management will
also be a key focus.  The Bank's initiatives within credit risk
in corporate banking include a program aimed at further
improving rating and economic pricing models.  A further
initiative Mr. Batyrbekov will lead is the development of a
comprehensive action plan in retail banking including the
development of scoring models to provide more a streamlined
underwriting process.

Mr. Batyrbekov graduated from the Kazakh State Academy of
Management as an Economist specializing in international
affairs, and holds an MBA from the University of Nottingham.
Prior to joining Kazkommertsbank, he spent over 6 years as the
head of the credit division at ABN AMRO Kazakhstan.

Headquartered in Almaty Kazakhstan, Kazkommertsbank --
http://www.kkb.kz/-- offers banking services and other
financial products to large and medium-sized corporations
operating in a wide range of industry sectors. The bank has a
number of subsidiaries, including two in Kazakhstan: Kazkommerts
Securities and Kazkommertspolicy 2000; three in the Netherlands:
Kazkommerts International B.V., Kazkommerts Capital-2 B.V. and
Kazkommerts Finance-2 B.V., and one in Kyrgyzstan:
Kazkommertsbank Kyrgyzstan.

                        *     *     *

As reported in the TCR-Europe on Dec. 27, 2006, Fitch changed
the outlook on the bank's foreign currency BB+ IDR to positive
from stable, which was affirmed.  Other ratings of the bank
affirmed at local currency IDR BBB-/Stable, Short-term foreign
currency B, Short-term local currency F3, Support 3 and
Individual C/D.


STROYSANTECHSERVICE LLP: Court Begins Bankruptcy Proceedings
------------------------------------------------------------
The Specialized Inter-Regional Economic Court of Atyrau has
started bankruptcy proceeding against LLP Build Sanitary
Engineering Service Stroysantechservice.


TECHOSTROYSNAB LLP: Creditors Must File Claims by March 16
----------------------------------------------------------
LLP Techostroysnab has declared insolvency.  Creditors have
until March 16 to submit written proofs of claim to:

         LLP Techostroysnab
         Eset-Baatyr Str. 136-31
         Aktube
         Aktube
         Kazakhstan


TSESNA INT'L: Fitch Assigns B- Rating to US$125 Million Notes
-------------------------------------------------------------
Fitch Ratings assigned Tsesna International B.V.'s US$125
million 9.875% Eurobonds due 2010 a final Long-term 'B-' rating
and a final Recovery Rating 'RR4'.

Kazakhstan-based JSC Tsesnabank, rated Issuer Default 'B-' with
Stable Outlook, Short-term 'B', Individual 'D/E' and Support
'5', unconditionally and irrevocably guarantees the punctual
payment of all amounts due and payable in respect of the notes.

The final prospectus contains an additional clause specifying
that the notes may be redeemed at the option of the noteholders
at their principal amount, together with accrued interest to the
date of redemption, following the occurrence of a relevant
event.  The latter is defined as a merger event or an asset sale
resulting in a rating downgrade.

As at Sept. 30, 2006, TSB was the 14th-largest bank in
Kazakhstan with only a small, but increasing, percentage of
system assets.  Historically, the bank's business has been
concentrated in the capital Astana, where it still has a leading
position.  Around 96.5% of TSB's voting shares are held by
Tsesna Corp., which was established in 1988 in Astana.  The
group's ultimate beneficiaries are Adylbek Djaksybekov, who is
the current chairman of the presidential administration, and his
family.


VERTEX EXPLOSIVE LLP: Creditors' Claims Due March 16
----------------------------------------------------
LLP Vertex Explosive has declared insolvency.  Creditors have
until March 16 to submit written proofs of claim to:

         LLP Vertex Explosive
         Dostyk ave. 107-7
         Almaty
         Kazakhstan


VODOPROVOD I: Claims Filing Period Ends March 16
------------------------------------------------
The Specialized Inter-Regional Economic Court of Almaty has
declared State Utility Enterprise Vodoprovod I Kanalizatsiya
insolvent.

Creditors have until March 16 to submit written proofs of claim
to:

         Karasai Baatyr Str. 56
         Kaskelen
         Almaty
         Kazakhstan
         Tel: 8 (271) 2-10-77
              8 (271) 2-34-78
              8 701) 321 43-31


VOSTOK-SERVICE LTD LLP: Claims Registration Ends March 16
---------------------------------------------------------
LLP Vostok-Service Ltd. Has declared insolvency.

Creditors have until March 16 to submit written proofs of claim
to:

         Kazybek bi Str. 20-34
         Kyzylorda
         Kyzylorda
         Kazakhstan


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


AKIM RIELT: Claims Filing Period Ends March 16
----------------------------------------------
LLC Akim Rielt has declared insolvency.  Creditors have until
March 16 to submit written proofs of claim to:

         Messarosha Str. 93-25
         Bishkek
         Kyrgyzstan
         Tel: (+996 312) 69-85-20


ELVIT-BUILD STROY: Creditors' Claims Due March 16
-------------------------------------------------
LLC Elvit-Build Story has declared insolvency.  Creditors have
until March 16 to submit written proofs of claim to:

         Pobeda Str. 37
         Tokmok
         Chui Region
         Kyrgyzstan


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


AMSTEL CORPORATE: Fitch Affirms EUR31.5-Mln Class E Notes at BB+
----------------------------------------------------------------
Fitch affirmed Amstel Corporate Loan Offering 2001-1 and 2001-2
B.V.'s notes with a scheduled maturity in January 2015 as:

   * ACLO 2001-1 B.V.

      -- EUR1 billion Class A: 'AAA'
      -- EUR287.5 million Class B: 'AA'
      -- EUR262.5 million Class C: 'A'
      -- EUR71 million Class D1: 'BBB'
      -- EUR35 million Class D2: 'BBB'
      -- EUR31.5 million Class E: 'BB+'

   * ACLO 2001-2 B.V.

      -- EUR10,812.5m Class A: 'AAA'

The transaction completed its revolving period in January 2007.

The Weighted Average Rating Factor has remained stable since
January 2006 at 2.42, equivalent to 'A'/'A-'.  To date there
have been two defaults in the portfolio, Parmalat and Ponderosa
Pine, whose losses were absorbed by the reserve account.  As per
the October 2006 report, the balance of the reserve account
currently stands at its maximum of EUR93,750,000.  The dynamic
structure of the reserve account allows sufficient credit
enhancement in case of losses.

The reserve account is the first to absorb all losses on the
portfolio and accrues interest at 40bps per annum from closing
till the end of the revolving period to a maximum of
EUR93,750,000 and by 10bps per quarter thereafter to a maximum
of EUR187,500,000.  Fitch has stress tested this reserve account
with default assumptions as per Fitch's criteria for cash-flow
collateralized debt obligations.

In December 2001 ACLO 2001-1 and ACLO 2001-2, special purpose
vehicles with limited liability incorporated in the Netherlands,
issued the above listed floating-rate notes.  The notes are
synthetically credit-linked to a EUR12.5 billion reference
portfolio of loans granted by ABN AMRO to large European
corporates.  ACLO 2001-1 absorbs losses up to its issued notes
amount of EUR1.69 billion, while ALCO 2001-2 absorbs any losses
exceeding this amount, up to a maximum of EUR12.5 billion.


GRESHAM CAPITAL: Moody's Puts Low-B Ratings to Class E & F Notes
----------------------------------------------------------------
Moody's assigned definitive ratings to the notes issued by
Gresham Capital CLO III B.V., a special purpose company
established under the laws of the Netherlands.  The ratings are:

   -- Class A-1E Senior Secured Floating Rate Notes due 2027:
      Aaa;

   -- Class A-1S Senior Secured Floating Rate Notes due 2027:
      Aaa;

   -- Class A-1R Senior Secured Revolving Floating Rate Notes
      due 2027: Aaa;

   -- Class A-2 Senior Secured Floating Rate Notes due 2027:
      Aaa;

   -- Class B Senior Secured Floating Rate Notes due 2027: Aa2;

   -- Class C Senior Secured Deferrable Floating Rate Notes due
      2027: A2;

   -- Class D Senior Secured Deferrable Floating Rate Notes due
      2027: Baa2;

   -- Class E Senior Secured Deferrable Floating Rate Notes due
      2027: Ba2; and

   -- Class F Senior Secured Deferrable Floating Rate Notes due
      2027: B2.

Subordinated Notes have also been issued but are not rated by
Moody's.

The ratings address the expected loss posed to investors by the
legal final maturity.

This transaction is a high yield collateralized loan obligation
related to a portfolio comprised primarily of European senior
and mezzanine loans.  The investments may also include CLOs and
synthetic securities.  The Senior Secured Revolving Floating
Rate Notes provide for drawings denominated either in EUR, GBP,
US$, DKK, NOK, SEK and CHF or any other currency subject to
Rating Agency Confirmation.

This portfolio will be partially acquired at closing and
partially during the nine month ramp-up period. Thereafter, the
portfolio of debt obligations will be actively managed and the
investment manager will be able to buy or sell debt obligations
on behalf of the Issuer.  Any addition or removal of debt
obligations will be subject to a number of portfolio criteria.
Investec Bank (U.K.) Ltd. will act as investment manager for the
transaction. This is the investment manager's third European
CLO.

Barclay's Capital arranged the transaction.


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


AGROTON CJSC: Creditors Must File Claims by March 13
----------------------------------------------------
Creditors declared CJSC Agricultural Production Factory Agroton
have until March 13 to submit written proofs of claim to:

         Otstavnov, Insolvency Manager
         Post User Box 34-78
         Post Office 4
         Astrakhanskaya Str. 22/36
         410004 Saratov
         Russia

The Arbitration Court of Penza commenced bankruptcy proceedings
against the company after finding it insolvent.  The case is
docketed under Case No. A49-3049/2006-2736/26.

The court is located at:

         The Arbitration Court of Penza
         Belinskogo Str. 2
         440600 Penza
         Russia

The Debtor can be reached at:

         CJSC Agricultural Production Factory Agroton
         Yuzhnaya Str., 26
         Kondol'
         Kondolskiy
         442350 Penza
         Russia


ANGARSKAYA GARMENT: Asset Sale Auction Slated for Feb. 21
---------------------------------------------------------
The insolvency manager for OJSC Angarskaya Garment Factory will
proceed with a repeated auction for the company's properties at
noon on Feb. 21 at:

         OJSC Angarskaya Garment Factory
         Gorkogo Str. 21
         Angarsk
         665813 Irkutsk
         Russia

Interested participants have until Feb. 10 to deposit an amount
equivalent to 10% of the starting price to:

         OJSC Angarskaya Garment Factory
         Settlement Account 40702810618310100524
         Baykalskiy bank SB RF Angaskoye branch 7690
         Correspondent Account 3010181090000000607
         BIK 042520607

Bidding documents must be submitted to:

         Insolvency Manager
         Gorkogo Str. 21
         Angarsk
         665813 Irkutsk
         Russia
         Tel: (8-3951) 52-29-79

The Debtor can be reached at:

         OJSC Angarskaya Garment Factory
         Gorkogo Str. 21
         Angarsk
         665813 Irkutsk
         Russia


ARSHALUYS LLC: Creditors Must File Claims by Feb. 13
----------------------------------------------------
Creditors LLC Building Company Arshaluys have until Feb. 13 to
submit written proofs of claim to:

         V. Pegov, Insolvency Manager
         Korolenko, 43-185
         Biysk
         659333 Altay
         Russia

The Arbitration Court of Altay commenced bankruptcy proceedings
against the company after finding it insolvent.  The case is
docketed under Case No. A03-14489/06-B.

The court is located at:

         The Arbitration Court of Altay
         Lenina Pr. 76
         Barnaul
         656015 Altay
         Russia

The Debtor can be reached at:

         LLC Building Company Arshaluys
         Isakova 173
         Barnaul
         Altay
         Russia


B.I.N. BANK: Fitch Affirms B- IDR With Stable Outlook
-----------------------------------------------------
Fitch Ratings affirmed Russia-based B.I.N. Bank's ratings at
Issuer Default 'B-', Short-term 'B', Support '5', Individual 'D'
and National Long-term 'B'.  The Outlooks on the Issuer Default
and National Long-term ratings remain Stable.

The ratings reflect BIN's limited, albeit growing franchise,
risks associated with the concentration of its loan book, weak
profitability and potentially vulnerable liquidity, the latter
as a result of high reliance on short-term retail deposits as a
funding source.  However, the ratings also consider the bank's
relatively low level of market risk and continued track record
of good asset quality, as well as reasonable capitalization
levels.  The ratings also acknowledge the bank's efforts to
diversify its franchise, backed by an ongoing network expansion,
both in Moscow and the Russian regions.

Greater scale and increased diversification into higher-yielding
small to medium-sized enterprise and retail lending should help
to support margins and profitability, but these business lines
still only represent a relatively small proportion of the
portfolio.  This expansion also gives rise to additional risks,
as well as requiring further significant investments into
infrastructure, and, therefore, tight control of risks and costs
will also be needed to improve performance.

Assets grew in 2005-2006 on the back of expanded lending
operations; however, construction and real estate sectors and
individual borrower concentrations remain significant. Lending
to companies controlled by current and former shareholders has
decreased considerably, but is still significant.

Upside potential to the ratings could result from a reduction in
assets concentration and an improvement in profitability.
Downward pressure on the ratings is viewed as unlikely at
present, but could result in case of a significant growth in
related-party business in the future, or deterioration in asset
quality or in liquidity.

B.I.N. bank, set up in 1993 in Moscow, is majority-owned by its
president.  BIN was ranked the 29th-largest bank in Russia by
total assets at end-9M06. Its core focus is on lending to
medium-sized corporates, although the bank is gradually
diversifying through increased retail business and regional
expansion.  At end-2006, BIN had a network of 64 outlets.


BALANKULSKOYE CJSC: Creditors Must File Claims by Feb. 13
---------------------------------------------------------
Creditors CJSC Balankulskoye have until Feb. 13 to submit
written proofs of claim to:

         L. Sitkina, Temporary Insolvency Manager
         Yubileynaya Str. 18-53
         Chernogorsk
         655158 Khakasiya Republic
         Russia

The Arbitration Court of Khakasiya Republic commenced bankruptcy
supervision procedure on the company.  The case is docketed
under Case No. A74-2264/2006.

The Debtor can be reached at:

         CJSC Balankulskoye
         Pulankol'
         Askizskiy
         Russia


BOGATYREVSKOYE CJSC: Creditors Must File Claims by Feb. 13
----------------------------------------------------------
Creditors CJSC Bogatyrevskoye have until Feb. 13 to submit
written proofs of claim to:

         I. Gorn, Insolvency Manager
         Post User Box 2513
         634045 Tomsk
         Russia

The Arbitration Court of Tomsk commenced bankruptcy proceedings
against the company after finding it insolvent.  The case is
docketed under Case No. A67-18513/05.

The Debtor can be reached at:

         CJSC Bogatyrevskoye
         Bogatyrevka, 28
         Bakcharskiy, Tomsk
         Russia


CASINO LUCHANO: Creditors Must File Claims by Feb. 13
-----------------------------------------------------
Creditors LLC Casino Luchano (TIN 1831098830) have until Feb. 13
to submit written proofs of claim to:

         S. Zhidov, Temporary Insolvency Manager
         Sovetskaya Str. 4
         440026 Penza
         Russia

The Arbitration Court of Udmurtiya Republic commenced bankruptcy
supervision procedure on the company.  The case is docketed
under Case No. A71-008311/2006 G-15.

The court is located at:

         The Arbitration Court of Udmurtiya
         Lomonosova Str. 5
         Izhevsk
         426004 Udmurtiya
         Russia

The Debtor can be reached at:

         LLC Casino Luchano
         Pushkinskaya Str. 270
         Izhevsk
         Udmurtiya
         Russia


DIMITROV-GRAIN-PRODUCT: Creditors Must File Claims by March 20
--------------------------------------------------------------
Creditors OJSC Dimitrov-Grain-Product have until March 20 to
submit written proofs of claim to:

         L. Mochalina, Insolvency Manager
         Office 205
         Building 1
         Permskaya Str. 11
         107150 Moscow
         Russia

The Arbitration Court of Moscow commenced bankruptcy proceedings
against the company after finding it insolvent.  The case is
docketed under Case No. A41-K2-17840/04.

The court is located at:

         The Arbitration Court of Moscow
         Novaya Basmannaya Str. 10
         Moscow
         Russia

The Debtor can be reached at:

         OJSC Dimitrov-Grain-Product
         Zheleznodorozhnyj Per. 3
         Dmitrov, Moscow
         Russia


DOLINSKAYA TIMBER: Court Names Y. Dolin as Insolvency Manager
-------------------------------------------------------------
The Arbitration Court of Sakhalin appointed Mr. Y. Dolin as
Insolvency Manager for CJSC Dolinskaya Timber Company (TIN
6503007684).  He can be reached at:

         Y. Dolin
         Bumazhnaya Str. 1
         Dolinsk
         Russia

The Court commenced bankruptcy proceedings against the company
after finding it insolvent.  The case is docketed under Case No.
A59-5297/06-S4.

The court is located at:

         The Arbitration Court of Sakhalin
         Kommunisticheskiy Pr. 24
         693020 Yuzhno-Sakhalinsk
         Russia

The Debtor can be reached at:

         CJSC Dolinskaya Timber Company
         Bumazhnaya Str. 1
         Dolinsk
         Russia


GOLDEN TELECOM: Commences Long-Distance Call Service
----------------------------------------------------
Golden Telecom Inc. launched its long-distance call service on
Jan. 29 after receiving access codes for local and overseas
communications, RIA Novosti reports citing chief executive Jean-
Pierre Vandromme.

In a TCR-Europe report on Jan. 16, the Ministry of the Russian
Federation for Communications and Informatization has allocated
access codes "51" for domestic long distance services and "56"
for international long distance services to Golden Telecom.

The access codes will allow Golden Telecom to fully utilize its
Federal Transit Network, which was completed on Jan. 16, 2006.
The access codes and the FTN, Golden Telecom get access to a
potential customer base of 140 million people and 1,300,000
businesses across Russia.

Golden Telecom, which joins Rostelecom and MTT as Russia's
providers of long-distance calls, aims to capture 20% of the
market by 2010, and earn US$1 billion from its services, Mr.
Vandromme told RIA Novosti.  Mr. Vandromme noted Russia's total
long-distance calls market would be worth US$4.8 billion in
2010, compared to US$2.8 billion in 2006.

Mr. Vandromme revealed GT would offer tariffs for national calls
at 10% lower than Rostelecom's.  GT's tariff for international
calls would also be 10-65% lower than Rostelecom's.  The company
would also offer special tariff for unlimited calls at US$20
monthly.  GT would also set up a network of more than 4,000
agents and about 30,000 distribution offices across Russia to
sell its services to customers.

                      About Golden Telecom

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

                          *     *     *

As of Feb. 6, Golden Telecom carries a long-term corporate
credit rating of 'BB' Standard & Poor's.  S&P said the outlook
is stable.


MEGAFON: Moody's Upgrades B1 Corporate Family Rating to Ba3
-----------------------------------------------------------
Moody's Investors Service upgraded ratings of Open Joint Stock
Company MegaFon to Ba3 from B1.  The outlook on the ratings is
stable.

The ratings affected are:

   * OJSC MegaFon

     -- Corporate Family rating upgraded to Ba3 from B1

   * MegaFon S.A.

     -- US$375 million loan participation notes due 2009
        upgraded to Ba3 from B1

The ratings upgrade reflects:

   (i) MegaFon's continued robust operational and financial
       performance;

  (ii) expected free cash flow position for the year 2006 based
       on the financial results for the first nine months 2006;

(iii) further streamlining of the company's capital structure
       with repayment of a derivative instrument, C- Loan, in
       the amount of US$188 million to the European Bank for
       Reconstruction and Development; and

  (iv) the company's modest leverage of approximately 0.9x Total
       Debt to EBITDA based on an annualized nine month reported
       EBITDA for 2006.

At the same time the ratings continue to take into account the
company's unresolved shareholder dispute to the extent that it
does not have an immediate impact on the company's operating
activity.  However, it does limit visibility as regards
financial policy and potential dividend payments, particularly
in light of the company's positive free cash flow generation.

Moody's recognizes the company's efforts to improve its internal
controls.  Moody's understands that the internal controls are
still subject to material weakness, although the company has
achieved significant progress to ensure their integrity.
Furthermore, Moody's derives comfort from the fact that
MegaFon's accounts have never been qualified.

The stable outlook on the rating reflects the near term
uncertainty associated with a possible award of a 3G license,
and the potential incremental capital expenditures that may be
required to implement possible license conditions.

               What Could Change the Rating -- Up

Continued robust operational and financial performance in
conjunction with greater visibility on 3G capex requirements; a
significant improvement or resolution of the shareholder
dispute; increased visibility on potential dividend
distributions

              What Could Change the Rating -- Down

Material debt financed acquisitions and/or material shareholder
distributions

Headquartered in Moscow, OJSC MegaFon is the third nationwide
GSM operator in Russia.  For the nine months ending
Sept. 30, 2006, MegaFon generated revenues of US$2.6 billion and
a reported EBITDA of US$1.3 billion.


MIG CJSC: Creditors Must File Claims by Feb. 13
-----------------------------------------------
Creditors CJSC Mig have until Feb. 13 to submit written proofs
of claim to:

         I. Strogov,  Temporary Insolvency Manager
         Post User Box 3/7
         Chubinina Str. 35
         Salekhard
         629008 Yamalo-Nenetskiy
         Russia

The Arbitration Court of Yamalo-Nenetskiy commenced bankruptcy
supervision procedure on the company.  The case is docketed
under Case No. A81-4873/2006.

The court is located at:

         The Arbitration Court of Yamalo-Nenetskiy
         Chubynina Str. 37A
         Salekhard
         Yamalo-Nenetskiy
         Russia

The Debtor can be reached at:

         CJSC Mig
         Apartment 9
         Komsomolskaya Str. 10b
         Nadym
         629730 Yamalo-Nenetskiy
         Russia


MUROMSKIY ENGINEERING: Creditors Must File Claims by March 20
-------------------------------------------------------------
Creditors OJSC Muromskiy Engineering Plant (TIN 3307001049) have
until March 20 to submit written proofs of claim to:

         P. Zemtsov, Insolvency Manager
         Karacharovskoye Shosse 5
         Murom
         602200 Vladimir
         Russia

The Arbitration Court of Vladimir commenced bankruptcy
proceedings against the company after finding it insolvent.  The
case is docketed under Case No. A11-2346/2003-K1-6B.

The court is located at:

         The Arbitration Court of Vladimir
         Oktyabrskiy Pr. 14
         600025 Vladimir Region
         Russia

The Debtor can be reached at:

         OJSC Muromskiy Engineering Plant
         Karacharovskoye Shosse 5
         Murom
         602200 Vladimir
         Russia


NONSTANDARD EQUIPMENT: Names S. Dzhembulatov to Manage Assets
-------------------------------------------------------------
The Arbitration Court of Orenburg appointed Mr. S. Dzhembulatov
as Insolvency Manager for LLC Factory of Nonstandard Equipment.
He can be reached at:

         S. Dzhembulatov
         Proletarskaya Str. 216
         460035 Orenburg
         Russia

The Court commenced bankruptcy proceedings against the company
after finding it insolvent.  The case is docketed under Case No.
A47-5666/06-14GK.

The court is located at:

         The Arbitration Court of Orenburg
         9th January Str. 64
         460046 Orenburg
         Russia

The Debtor can be reached at:

         LLC Factory of Nonstandard Equipment
         Mira Pr. 4
         Orsk
         Orenburg
         Russia


NOVATEK OAO: Hikes Gas Production by 13.9% in 2006
--------------------------------------------------
OAO Novatek reported preliminary production data for 2006.

Gross production totaled 28.7 billion cubic meters of natural
gas and 2.5 million tons of liquids (gas condensate and crude
oil).

Gross natural gas production increased by 3.5 billion cubic
meters, or by 13.9%, whereas gross liquids production decreased
by 90,000 tons, or by 3.5%, as compared with the corresponding
gross production in 2005.  The decrease in gross liquids
production was primarily due to the disposal of the company's
66% interest in OOO Geoilbent, in the second quarter 2005.
Excluding the asset disposal, gross liquids production increased
by 227,000 tons, or around 10.0%.

In the fourth quarter 2006, gross production for NOVATEK totaled
7.2 billion cubic meters of natural gas and 597 thousand tons of
liquids.  Gross natural gas production increased by 911 million
cubic meters, or by 14.5%, whereas gross liquids production
increased by one thousand tons, or by 0.2%, as compared to the
corresponding gross production in 2005.

In 2006, NOVATEK processed 2.06 million tons of unstable gas
condensate at the Purovsky processing plant, which commenced
operations in June 2005.  In the fourth quarter the plant's
throughput totaled 498 thousand tons.

                       About Novatek

Headquartered in Tarko-Sale, Russia, OAO Novatek --
http://www.novatek.ru/-- engages in the exploration, production
and processing of natural gas and liquid hydrocarbons. The
Company's upstream activities are concentrated in the prolific
Yamal-Nenets Region in Western Siberia.

For the first half of 2006, Novatek posted RUR7.2 billion in
net profit on RUR23.5 billion in revenues, compared to RUR7.9
billion in net profit on RUR17.4 billion in revenues for the
same period in 2005.   As of June 30, 2006, OAO Novatek had
RU80.5 billion in total assets, RUR17.2 billion in total
liabilities and RUR63.3 billion in total equity.

                        *     *     *

As of Feb. 5, OAO Novatek carry these ratings:

   * Moody's Investors Service:

      -- Long-Term Corporate Family Rating: Ba2
      -- Outlook: Stable

   * Standard & Poor's:

      -- Long-Term Foreign Issuer Credit Rating: BB-
      -- Long-Term Local Issuer Credit Rating: BB-
      -- Outlook: Stable


ROSNEFT OIL: Forms Joint Venture with JSC Sovkomflot
----------------------------------------------------
OAO Rosneft Oil Co. and JSC Sovkomflot agreed to form a joint
venture to service the sea component of the fuel group's
continental shelf projects, RIA Novosti reports.

Rosneft is planning to develop shelf deposits in the Arctic and
Pacific following the government's recent moves to take control
over Russia's natural resources and cut reduce foreign
participation in oil and gas deposits, RIA Novosti relates.

"This agreement will enable the oil company to reduce the burden
linked to a non-core activity - providing for the sea component
of shelf and other large projects in Russia," the firms said a
statement.

Rosneft will form the joint venture through its Rosnefteflot
unit, which has substantial practical experience in hydrocarbon
transportation, RIA Novosti adds.

Sovkomflot, which transports energy products by sea, expects the
joint venture to become a major component of its portfolio of
projects.  Sovkomflot added that the joint venture would ensure
the transportation of oil and gas by sea from Sakhalin I and II.

"This will make it possible to considerably strengthen Russian
companies' positions in the rapidly developing sector of
hydrocarbon transportation and transshipment, and the provision
of services by the auxiliary fleet to oil and gas companies to
implement their projects on the continental shelf, and other
projects," the firms added.

                        About Rosneft

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

                        *     *     *

In a TCR-Europe report on Jan. 16, Standard & Poor's Ratings
Services raised its long-term corporate credit rating on Russian
OJSC Oil Company Rosneft to 'BB+' from 'BB' and removed it from
CreditWatch, where it had been placed with positive implications
on Nov. 15, 2006.  S&P said the outlook is developing.

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


RUS' LLC: Creditors Must File Claims by March 20
------------------------------------------------
Creditors LLC Rus' have until March 20 to submit written proofs
of claim to:

         V. Lagutin, Insolvency Manager
         Gorkogo Str. 152
         Blagoveshensk
         675000 Amur
         Russia

The Arbitration Court of Amur commenced bankruptcy proceedings
against the company after finding it insolvent.  The case is
docketed under Case No. A 04-6482/06-12/202.

The Debtor can be reached at:

         LLC Rus'
         Sovetskaya Str. 6
         Poyarkovo
         Mikhaylovskiy
         676680 Amur
         Russia


SIYSKIY COMPLEX: Bankruptcy Hearing Slated for May 16
-----------------------------------------------------
The Arbitration Court of Arkhangelsk will convene at 4:00 p.m.
on May 16 to hear the bankruptcy supervision procedure on OJSC
Siyskiy Complex Wood-Prom-Khoz.  The case is docketed under Case
No. A05-12440/2006-15.

The Temporary Insolvency Manager is:

         P. Epifanov, Temporary Insolvency Manager
         Post User Box 59
         Central Post Office
         163000 Arkhangelsk
         Russia

The court is located at:

         The Arbitration Court of Arkhangelsk
         Loginova Str. 17
         163069 Arkhangelsk
         Russia

The Debtor can be reached at:

         OJSC Siyskiy Complex Wood-Prom-Khoz
         Siya
         Pinezhskiy
         Arkhangelsk
         Russia


TASHLINSKOYE CJSC: Bankruptcy Hearing Slated for April 17
---------------------------------------------------------
The Arbitration Court of Orenburg will convene at 9:30 a.m. on
April 17 to hear the bankruptcy supervision procedure on CJSC
Tashlinskoye.  The case is docketed under Case No. A47-10202/
06-14 GK.

The Temporary Insolvency Manager is:

         Y. Ustimova
         Turkestanskaya Str. 10a
         460024 Orenburg
         Russia

The court is located at:

         The Arbitration Court of Orenburg
         9th January Str. 64
         460046 Orenburg
         Russia

The Debtor can be reached at:

         CJSC Tashlinskoye
         Pridolinnyj
         Tashlinskiy
         Orenburg
         Russia


TMK OAO: Inks Joint Venture Agreement with Corinth Pipeworks
------------------------------------------------------------
Seversky Pipe Plant, part of TMK OAO, and HUMBEL Ltd., the 100%
subsidiary of Corinth Pipeworks S.A., have registered a joint
venture named ZAO "TMK-CPW" in Polevskoy town (Sverdlovsk
region, Russia).

SPP owns 51% of the shares in the JV, with HUMBEL owning the
remaining 49%.

The joint venture involves the installation of high-performance
pipe welding equipment presently owned by the Greek partners at
a production site of SPP.  This equipment is designed for the
production of longitudinal welded pipes with a diameter of 168
to 530mm, wall thickness of 4.8 to 12.7mm, and lengths up to 18m
with hollow sections complying with the international quality
standards.

ZAO TMK-CPW is scheduled to start production in the second
quarter of 2007 and is expected to reach sales of over 200,000
tons of pipes annually.

The joint venture will satisfy the growing needs of the largest
Russian and CIS oil and gas companies for pipes used in the
production and transportation of oil and gas, as well as the
growing needs of the construction industry.

The creation of the joint venture is another strategic move for
TMK towards ensuring a larger share of high value products in
the Company's product mix.

CPW' s participation is part of its global strategy for presence
in the major markets of technically sophisticated energy
solutions.

                            About TMK

Headquartered in Moscow, Russia, OAO TMK --
http://www.tmkgroup.ru/eng/-- manufactures the entire product
range of existing pipe products, which are used in the oil-and-
gas industry, the chemical and petrochemical industries, the
energy and machine-building industries, construction and the
municipal housing economy, shipbuilding, aviation, space and
rocket equipment, and agriculture.  TMK has production
facilities located in Russia and Romania, which unite the four
leading enterprises in the Russian pipe industry.

                        *     *     *

As of Feb. 5, OAO TMK carry these ratings:

   * Moody's Investors Service:

      -- Long-Term Corporate Family Rating: B1
      -- Outlook: Positive

   * Standard & Poor's:

      -- Long-Term Foreign Issuer Credit Rating: B+
      -- Long-Term Local Issuer Credit Rating: B+
      -- Outlook: Stable


VIMPEL-COMMUNICATIONS: To Double Investment in Armenia
------------------------------------------------------
OJSC Vimpel-Communications, Russky Aluminyum and OAO Gazprom
will double their investment in Armenia as part of a pledge by
Russian president Vladimir Putin to his Armenian counterpart
Robert Kocharyan, RIA Novosti reports.

"Three of our companies alone -- VimpelCom, RusAl and Gazprom --
are planning and have already made quite large investments,
which will at least double to US$1.5 billion," Mr. Putin said.

Mr. Putin noted that Russia was the second largest foreign
investor in Armenia in 2006 with total investment of around
US$800 million.  Mr. Putin added that other Russian firms like
Federal Nuclear Power Agency, Russian Railways could also invest
in Armenia, RIA Novosti relates.

"We have vast unused reserves, and we will use the current level
of political relations and transform them into economic ties,"
Mr. Putin said.

Messrs. Putin and Kocharyan also discussed trade and bilateral
agreements the two countries.

"On the whole, we are satisfied with the steady growth in trade
over the past few years," Mr. Putin said.  "It increased 40% in
2005, and 70% in the first eleven months of 2006.  The final
figure for the whole last year may reach about US$500 million."

Mr. Kocharyan said he hoped Russia would reclaim its leading
positions among Armenia's foreign investors by March.

"Trade is on the increase, and Russian investment in the
Armenian economy has also grown substantially," Mr. Kocharyan
said.

                       About VimpelCom

Headquartered in Moscow, Russia, OJSC Vimpel-Communications
(NYSE: VIP) -- http://www.vimpelcom.com/-- provides mobile
telecommunications services in Russia and Kazakhstan with newly
acquired operations in Ukraine, Tajikistan and Uzbekistan.  The
Company operates under the 'Beeline' brand in Russia and
Kazakhstan.  In addition, VimpelCom is continuing to use 'K-
mobile' and 'EXCESS' brands in Kazakhstan.  The group wholly
owns Mobitel in Georgia.

                        *     *     *

As reported in the TCR-Europe on Oct. 12, 2006, Standard &
Poor's Ratings Services raised its long-term corporate credit
rating on Russia-based mobile telecommunications operator
Vimpel-Communications (JSC) to 'BB+' from 'BB', reflecting the
company's continuing strong performance.  S&P said the outlook
is stable.


YUKOS OIL: Court Further Moves Yugansk Claim Hearing to Feb. 9
--------------------------------------------------------------
The Moscow Arbitration Court postponed until Feb. 9 substantive
hearings on OAO Yukos Oil. Co.'s request to invalidate an
auction that sold Yuganskneftegaz in 2004, RIA Novosti says.

The bankrupt oil producer's request also included a demand of
US$14.5 billion in damages, the Russian news and information
agency relates.

The hearings have been postponed several times due to
presentation of new case materials by both sides, RBC News
reports.

As reported in the Troubled Company Reporter-Europe on Oct. 10,
2006, Yugansk, the former core production unit of Yukos, was
bought by state-owned Rosneft in December 2004 after the Russian
government seized the asset as payment for more than US$30
billion in tax arrears for 2000-2003.  Yukos, declared bankrupt
on Aug. 1, retains a stake in Yugansk.

               Yukos Wants Auction Invalidated

In a TCR-Europe report on June 16, 2005, Yukos asked the court
to annul the auction where 43 shares, representing 76.79% of
Authorized Capital of Yugansk, were sold, and the deed of sale
of the shares in unit, as well as for reimbursement of damages
suffered as a result of the auction in the amount in excess of
RUB324 billion.

The case is filed against the Russian Federal Property Fund
(RFFI), OOO Baikal Finance Group, OAO Rosneft, OOO Gazpromneft,
OAO Gazprom, and the Finance Ministry of Russian Federation.
Respondent's interveners in the case are the Main Directorate of
the Justice Ministry of Russian Federation for the city of
Moscow, Federal Anti-Monopoly Service and OAO Yuganskneftegas.
YUKOS has also filed for the court to seize the Yuganskneftegas
shares in question under the legal process.

In its motion, Yukos contests that its core asset was
expropriated to satisfy the demands of tax authorities while the
lawsuits addressing the legitimacy of those tax claims, against
which Yukos is presently appealing, are still being heard by
various courts in Russia.

The Company's claim demands that the auction be ruled invalid.
Yukos contests that due to unjustified undercutting of the
selling price of Yuganskneftegas' shares and grave violations of
law in announcing and holding the auction, the auction process
itself was illegal.

The claim cites specific violations including the fact that RFFI
unlawfully set its own terms for the sale of Yukos's property
resulting in Yuganskneftegas shares being sold below the market
value or the value determined by the Russian Federation's own
evaluation company, Dresdner Kleinwort Wasserstein.  Breaches of
Russian law during preparation and holding of the auction
included:

   -- failure to comply with the legal requirement to announcing
      the timing of the auction and thus ruling out some
      potential buyers;

   -- neglecting to follow the very clear and defined procedure
      for conducting such an auction; and

   -- the direct and unwarranted interference of government
      bodies in the auction process.

Yukos Oil Company contests in its claim that the auction was a
sham and a 'front' for the expropriation of property in favor of
a named state-owned company, OAO Rosneft.

On Jan. 19, Nikolai Lashkevich, chief spokesman for Eduard
Rebgun, Yukos's bankruptcy receiver, disclosed of initial
estimates for Yukos' assets to be worth more than US$22 billion.
The preliminary valuation is US$4 billion short of the total
claims against Yukos, which stands at US$26.6 billion.

                        About Yukos Oil

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

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

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

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

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

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


YUKOS OIL: Kuibyshev Refinery Eyes US$102 Million Improvement
-------------------------------------------------------------
OAO Kuibyshev Oil Refinery, controlled by bankrupt OAO Yukos Oil
Co., will invest US$102 million this year in modernizing its
facilities to meet higher fuel standards, Reuters reports.

"The modernization programs will allow the refinery to lower the
content of sulphur, benzol and aromatic hydrocarbons in gasoline
and diesel and increase volumes of high-octane gasoline and
refining depth," Reuters cited a plant statement.

The refinery, one of Yukos' three plants in Samara, plans to
begin production of Euro-4 diesel in the third quarter this year
and launch a hydrogen-producing unit sometime in 2007, Reuters
relates.

According to Reuters, the Russian government intends to sell the
refinery, which processed 114,000 barrels per day of oil in
2006, later this year to recover its back tax debt.

                        About Yukos Oil

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

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

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

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

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

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


ZLATOUSTOVSKOYE LOGGING: Court Starts Bankruptcy Supervision
------------------------------------------------------------
The Arbitration Court of Chelyabinsk commenced bankruptcy
supervision procedure on State Unitary Enterprise
Zlatoustovskoye Logging Enterprise.  The case is docketed under
Case No. A76-27407/2006-52-214.

The Temporary Insolvency Manager is:

         G. Bogdanova
         Chkalova Str., 21
         390000 Ryazan
         Russia

The court is located at:

         The Arbitration Court of Chelyabinsk
         Vorovskogo Str. 2
         454091 Chelyabinsk
         Russia

The Debtor can be reached at:

         State Unitary Enterprise Zlatoustovskoye Logging
         Enterprise
         Zlatoust
         Chelyabinsk
         Russia


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


MILLS CORP: Inks Term Sheet With Kan Am on Co-Ventures
------------------------------------------------------
The Mills Corp. and The Mills Limited Partnership entered into a
binding omnibus term sheet, dated Dec. 27, 2006, with Kan Am
reflecting the parties' agreement on a number of issues
involving the projects in which they are co-venturers.

As expressed in the Term Sheet, with the exception of certain
items, the Term Sheet is a complete resolution of all material
financial disputes known to the parties with respect to each of
the Joint Venture Properties.

The material terms of the Term Sheet are:

   -- Kan Am approved the refinancing of the St. Louis Mills
      secured debt held by Goldman Sachs Mortgage Company on
      substantially the terms set forth in an exhibit to the
      Term Sheet and ratified the Nov. 30, 2006, refinancing of
      the Discover Mills secured debt formerly held by GSMC.

   -- the company and Mills LP agreed to make a capital
      contribution of no more than US$60 million but no less
      than US$55 million to the St. Louis Mills partnership to
      pay down the existing secured debt, which contribution,
      made in the amount of approximately US$56.4 million, will

      be treated as subordinate capital and accrue a priority
      return, subordinate to the payment of Kan Am's return on
      capital and return of capital.

   -- the preferred returns owed to Kan Am for St. Louis Mills
      and Discover Mills (totaling approximately US$10.5
      million) will be paid quarterly through Dec. 31, 2007,
      with the company and Mills LP required to contribute
      capital to the St. Louis Mills or Discover Mills
      partnerships, as appropriate, if necessary to pay such
      amounts.  The company and Mills LP will receive capital
      account and unreturned capital contribution account credit
      for any amounts so contributed and will earn a priority
      return with respect to any such amounts.

   -- The parties agreed to limit the payment to the company or
      Mills LP of amounts owed to them by St. Louis Mills and
      Discover Mills to certain items set forth in the Term
      Sheet, with all other amounts owed to the company or Mills
      LP, which are not expected to be material, to be converted
      to capital (with no preferred return to accrue or be paid
      to the company or Mills LP on account of such capital).

   -- the company and Mills LP agreed to make representations
      and warranties to St. Louis Mills and Discover Mills with
      regard to third party payables as of the closing date of
      the relevant construction loan refinancing and to be
      directly liable and indemnify St. Louis Mills and Discover
      Mills for undisclosed payables for a period of one year
      from the closing of their respective refinancings.

   -- the company and Mills LP agreed to make additional capital
      contributions totaling US$20 million to the St. Louis
      Mills and Discover Mills partnerships to reduce debt or
      fund project improvements in the reasonable discretion of
      Kan Am.  The company and Mills LP will receive capital
      account and unreturned capital contribution account credit
      for, and will earn a priority return with respect to,
      these contributions.  The company and Mills LP were
      released from certain development, leasing and other
      guarantees with respect to St. Louis Mills, Discover
      Mills, and Pittsburgh Mills.

   -- the company and Mills LP agreed to make an additional
      capital contribution totaling US$15 million to St. Louis
      Mills to fund certain tenant improvements.  The company
      and Mills LP will receive capital account and unreturned
      capital contribution account credit for and earn a
      priority return with respect to these contributions.

   -- In lieu of reconciling and repaying amounts that otherwise
      might be due to Kan Am with respect to certain FoodBrand
      lease modifications and charge-backs of corporate overhead
      costs, the company and Mills LP agreed to make a payment
      of US$4 million to affiliates of Kan Am.

   -- The company and Mills LP agreed to make additional capital
      contributions totaling US$564,000 to Grapevine Mills; no
      preferred return will accrue or be paid on such capital
      contribution and such capital contribution will not be
      returned upon a major capital event.

   -- the company and Mills LP agreed to make an additional
      capital contribution of US$1.5 million to Colorado Mills
      to make the company's and Mills LP's capital account equal
      to Kan Am's US$25.5 million capital account.  The company
      and Mills LP will receive capital account and unreturned
      capital contribution account credit for, and shall earn a
      priority return with respect to, the additional capital
      contribution.

   -- the parties agreed that the Katy Mills partnership will
      use the proceeds from a pending land sale first, to repay
      an approximate US$20 million inter-company loan made by
      the company and Mills LP and next, to pay Kan Am one year
      of its priority return, with any remaining funds to be
      treated in accordance with the waterfall provisions in the
      partnership agreement.  In the event the net proceeds from
      the land sale and available distributable cash are
      insufficient to repay the loan made by the company and Kan
      Am's one year priority return, the shortfall will be
      allocated equally to the company and Kan Am and deducted
      from the amounts otherwise described in the Term Sheet.

   -- the parties revised the waterfall provisions of the
      Discover Mills, St. Louis Mills, and Katy Mills
      partnerships to limit the amount paid by those
      partnerships to the company or Mills LP on account of
      their respective partner loans to no more than 60% of
      adjusted cash flow and to require the distribution to the
      partners of no less than 40% of adjusted cash flow.

The company and Mills LP have a long-standing relationship with
Kan Am, a German syndicator of closed and open-end real estate
funds, and its affiliates.  Since 1994, Kan Am has invested
approximately US$1 billion in equity in various projects with
Mills LP.

Kan Am currently has two representatives on the company's Board
of Directors: James Braithwaite and Franz von Perfall.

A full-text copy of the term sheet is available for free at:

               http://ResearchArchives.com/t/s?1845

                        Pittsburgh Mills

Its joint venture partners redeemed on Dec. 28, 2006, Mills LP's
ownership interest in Pittsburgh Mills for net total
consideration of approximately US$8.5 million.

As a result of the redemption of Mills LP's ownership interest,
the company and Mills LP expect to take a charge in 2006 for an
impairment related to Pittsburgh Mills of around US$46 million.

The company and Mills LP did not make a material infusion of
capital before the sale.  The net proceeds from the redemption
were used to pay the US$4 million Settlement Payment, with the
balance used to pay down the Senior Term Loan with Goldman
Sachs.

As a result of the redemption, the company's consolidated debt
was reduced by the amount of the Pittsburgh mortgage loan of
US$123.7 million.

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

The SEC commenced an informal inquiry in January 2006 after the
Company reported the restatement of its prior period financials.
A formal investigation commenced in March 2006.

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


MILLS CORP: Will Pay Bonuses to CEO & CFO Under Performance Plan
----------------------------------------------------------------
The Mills Corp.'s Executive Compensation Committee has
determined that the 2006 bonuses under its annual short-term
performance incentive plan for Mark S. Ordan, chief executive
officer and president and Richard J. Nadeau, executive vice
president and chief financial officer would be paid at the 2006
target award level for each under the Plan.

In addition, the Committee has determined that the bonuses,
which amount to US$382,250 for Mr. Ordan and US$209,250 for Mr.
Nadeau, would be paid in two equal installments, with the first
50% to be paid in 2006 and the second 50% to be paid during the
first quarter of 2007.

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

The SEC commenced an informal inquiry in January 2006 after the
Company reported the restatement of its prior period financials.
A formal investigation commenced in March 2006.

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


===========
S W E D E N
===========


AZ CHEM: S&P Rates Proposed US$190-Mln Credit Facilities at B
-------------------------------------------------------------
Standard & Poor's Ratings Services assigned its 'B' corporate
credit ratings to AZ Chem Sweden Holdings AB and its wholly
owned U.S. subsidiary AZ Chem U.S. Inc.  The outlook
on the Sweden-based producer of pine-based specialty chemicals
is stable.

At the same time, Standard & Poor's assigned its 'B' bank loan
ratings and its recovery ratings of '2' to AZ Chem U.S. Inc.'s
proposed US$190 million first-lien secured credit facilities,
consisting of a US$50 million revolving credit facility, and a
US$140 million term loan, and to AZ Chem Sweden AB's proposed
US$100 million first-lien term loan.  S&P also assigned a 'CCC+'
rating and a '5' recovery rating to AZ Chem U.S. Inc.'s proposed
US$136 million second-lien term loan.  Both borrowers are wholly
owned subsidiaries of AZ Chem Sweden Holdings AB.  The
obligations of AZ Chem Sweden AB under the proposed European
term loan are guaranteed by AZ Chem Sweden Holdings AB, most
European subsidiaries, the U.S. borrower, its parent, and
subsidiaries.  The bank loan ratings are based on preliminary
terms and conditions.

Total debt, pro forma for the transaction, including the present
value of capitalized operating leases, is estimated at US$403
million for the fiscal year ended Dec. 31, 2006.

"The ratings reflect a vulnerable business position in a
specialized niche for pine-based chemicals, with moderate
operating profit margins, some concentration of revenue among
key customers, and a highly leveraged financial profile," said
Standard & Poor's credit analyst Paul Kurias. "These risk
factors are partly offset by the company's favorable market
shares and global presence in its business, the stability of
operating profit margins reflecting satisfactory pricing power
and relatively stable non-hydrocarbon-based raw material costs,
and a focus on growing the contribution from value-added
products."

The company will be controlled by Rhone Capital III L.P. or its
affiliates after Rhone signed a definitive agreement to acquire
the pine-chemical business of the erstwhile Arizona Chemical
Division from International Paper Co. in December 2006.


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


AREKO LLC: Fribourg Court Closes Bankruptcy Proceedings
-------------------------------------------------------
The Cantonal Bankruptcy Service of Fribourg entered Jan. 8, an
order closing the bankruptcy proceedings of LLC AREKO.

The Debtor can be reached at:

         LLC AREKO
         Dorfstrasse 7
         1716 Plaffeien
         Sense
         Fribourg
         Switzerland

The Cantonal Bankruptcy Service of Fribourg can be reached at:

         Cantonal Bankruptcy Service of Fribourg
         1700 Fribourg
         Switzerland


CAREFREE EPILATION: Claims Registration Period Ends Feb. 20
-----------------------------------------------------------
The Bankruptcy Court of Zurich commenced bankruptcy proceedings
against JSC Carefree Epilation on Dec. 7, 2006.

Creditors have until Feb. 20 to file their written proofs of
claim.

The Debtor can be reached at:

         JSC Carefree Epilation
         Seefeldstrasse 69
         8008 Zurich
         Switzerland

The Bankruptcy Service of Riesbach-Zurich can be reached at:

         Bankruptcy Service Riesbach-Zurich
         8034 Zurich
         Switzerland


EUROPEAN REINSURANCE: U.S. Court Grants Relief Under Chapter 15
---------------------------------------------------------------
The Hon. Robert E. Gerber of the U.S. Bankruptcy Court for the
Southern District of New York issued an order granting
Europaische Ruckversicherungs-Gesselschaft in Zurich (European
Reinsurance Company of Zurich), relief under Chapter 15 of the
U.S. Bankruptcy Code.

Kevin McAtee, in his capacity as foreign representative for the
Debtor, filed the chapter 15 petition on Dec. 21, 2006.

The order recognizes the Debtor's foreign proceedings in the
High Court of Justice of England and Wales and granted European
Reinsurance injunctive relief that will give full force and
effect to a Scheme of Arrangement in the United States.

                     English Proceeding

The Debtor is subject to a collective proceeding currently
pending before the English High Court, in accordance with a
Solvent Scheme of Arrangement pursuant to Section 425 of the
Companies Act 1985 between the company and its Scheme Creditors.

On Jan. 15, the English Court sanctioned the Scheme of
Arrangement, which became effective on Jan. 23.

Except as provided in the Scheme of Arrangement, all Scheme
Creditors are required to:

  (a) turn over and account to the Scheme Manager for any
      property of the Debtor that is related to the Scheme
      Business and located in the U.S. or any proceeds thereof,
      of which they have possession, custody or control;

  (b) deliver to the Scheme Manager any documents of the Debtor
      that relate to the Scheme Business or may be required by
      the Scheme Manager; and

  (c) notify the Scheme Manager on claims against the Debtor or
      its property arising out of the Scheme Business in which
      ERZ is a party and put the Petitioner's U.S. counsel on
      the master service list.

Mr. McAtee is represented in the U.S. by:

         Jennifer C. DeMarco, Esq.
         Sara M. Tapinekis, Esq.
         Clifford Chance
         31 West 52nd Street
         New York, NY 10019
         Tel: (212) 878-8569
         Fax: (212) 878-8375

Chapter 15 of the U.S. Bankruptcy Code, which became effective
Oct. 17, 2005, broadens the mechanism through which
representatives of non-U.S. proceedings might obtain relief,
including injunctive relief, in the United States, expands the
powers of U.S. Bankruptcy Courts, and enhances the rights of
both U.S. and non-U.S. creditors.

                        RGM Pool

European Reinsurance, a wholly owned subsidiary of Swiss
Reinsurance Company, Zurich, conducts a portion of its business
as a member of a pool of four companies that transacted
insurance and reinsurance business from August 1963 until
November 1966, including some multiyear policies as a result of
which coverage may be extended until 1969.  The business of the
RGM Pool was written through the agency of Reinsurance Group
Managers Ltd.  Other members of the Pool include:

   * Mercantile & General Reinsurance Company Ltd.
   * NRG Victory Reinsurance Ltd.
   * Guildhall Insurance Company Ltd.

The RGM Pool ceased writing new business in November 1966 and
currently is in run-off.  The Pool is currently managed by PRO
Insurance Solutions Ltd. as a run-off specialist.

As of Dec. 31, 2006, European Reinsurance's balance sheet showed
US$18.2 billion of total assets and US$17.2 billion of total
liabilities.

                    Scheme of Arrangement

The Scheme of Arrangement applies solely to European
Reinsurance's portfolio of business written through the Pool.
The Debtor commenced the English proceeding to obtain the
English Court's approval of the Scheme of Arrangement.

A scheme of arrangement becomes legally binding when:

  (a) a majority in number representing not less than 75% in
      value of creditors vote in favor of the scheme;

  (b) the court subsequently enters and order sanctioning the
      scheme of arrangement; and

  (c) a copy of that order is delivered to the registrar of
      companies for registration.

The Debtor estimates about 3,200 potential scheme creditors with
claims likely to vary widely.

The Scheme establishes Dec. 31, 2006, as the Ascertain Date,
which is the date as of which claims will be valued in
accordance with the Scheme.

The Debtor believes that a solvent scheme will be the most
efficient method of making full payment to Scheme Creditors in
the short practicable time.

The Scheme provides for the appointment of:

    * PricewaterhouseCoopers LLP as Scheme Adviser to provide
      the Debtor with advice necessary to facilitate and
      implement the Scheme of Arrangement; and

    * PRO Insurance Solutions as Scheme Manager, who will have
      power to manage and control the business.

Jennifer C. DeMarco, Esq., of Clifford Chance U.S. LLP, who
represents the Debtor, tells the Court that the Scheme's primary
objective is to conclude the run-off of the Scheme Business
earlier than would be the case if the pre-Scheme of Arrangement
run-off were to continue until all claims had materialized and
been agreed upon and paid in the ordinary course.

Mr. McAtee sought the relief as a requirement to give effect to
the Scheme of Arrangement in the U.S. and to prevent the Scheme
and the English Proceeding from being frustrated.


GEOKART JSC: Claims Registration Period Ends Feb. 18
----------------------------------------------------
The Bankruptcy Court of Graubunden commenced bankruptcy
proceedings against JSC Geokart on Jan. 4.

Creditors have until Feb. 18 to file their written proofs of
claim.

The Debtor can be reached at:

         JSC Geokart
         Floracenter
         7018 Flims Waldhaus
         Switzerland

The Bankruptcy Service of Graubunden can be reached at:

         Bankruptcy Service of Graubunden
         7013 Domat/Ems
         Graubunden
         Switzerland


IT EXPRESS: Zurich Court Closes Bankruptcy Proceedings
------------------------------------------------------
The Bankruptcy Service of Zurich entered Jan. 10, an order
closing the bankruptcy proceedings of LLC IT express.

The Debtor can be reached at:

         LLC IT express
         Limmattalstrasse 232
         8049 Zurich
         Switzerland

The Bankruptcy Service of Hongg-Zurich can be reached at:

         Bankruptcy Service of Hongg-Zurich
         8049 Zurich
         Switzerland


LGT MANAGEMENT: Creditors' Liquidation Claims Due February 21
-------------------------------------------------------------
Creditors of JSC LGT Management have until Feb. 21 to submit
their claims to:

         Martin Signer
         Liquidator
         LGT Swiss Trust Company
         Glarnischstrasse 36
         8022 Zurich
         Switzerland

The Debtor can be reached at:

         JSC LGT Management
         Basel
         Switzerland


NUTRIVAL ENTERPRISE: Creditors' Liquidation Claims Due Feb. 19
--------------------------------------------------------------
Creditors of JSC Nutrival Enterprise have until Feb. 19 to
submit their claims to:

         Dr. Richard Muller
         Liquidator
         Artherstrasse 3
         6301 Zug
         Switzerland

The Debtor can be reached at:

         JSC Nutrival Enterprise
         Zug
         Switzerland


SIDIGROUP LLC: Aargau Court Starts Bankruptcy Proceedings
---------------------------------------------------------
The Bankruptcy Court of Aargau commenced bankruptcy proceedings
against LLC Sidigroup on Jan. 9.

The Debtor can be reached at:

         LLC Sidigroup
         Zurcherstrasse 92
         5432 Neuenhof
         Baden
         Aargau
         Switzerland

The Bankruptcy Service of Aargau can be reached at:

         Bankruptcy Service Aargau
         Office Baden
         5402 Baden
         Aargau
         Switzerland


SPAFORM (SCHWEIZ): Fribourg Court Closes Bankruptcy Proceedings
---------------------------------------------------------------
The Cantonal Bankruptcy Service of Fribourg entered Jan. 9, an
order closing the bankruptcy proceedings of LLC Spaform
(Schweiz).

The Debtor can be reached at:

         LLC Spaform (Schweiz)
         Rte du Pra Ronde 6
         1785 Cressier
         See, Fribourg
         Switzerland

The Cantonal Bankruptcy Service of Fribourg can be reached at:

         Cantonal Bankruptcy Service of Fribourg
         1700 Fribourg
         Switzerland


SWISS PUTZ: Claims Registration Period Ends Feb. 22
---------------------------------------------------
The Bankruptcy Court of Thurgau commenced bankruptcy proceedings
against LLC Swiss Putz on Dec. 1, 2006.

Creditors have until Feb. 22 to file their written proofs of
claim.

The Debtor can be reached at:

         LLC Swiss Putz
         Romanshornerstrasse 90
         9320 Arbon
         Thurgau
         Switzerland

The Bankruptcy Service of Thurgau can be reached at:

         Bankruptcy Service of Thurgau
         8510 Frauenfeld
         Thurgau
         Switzerland


WEBAU JSC: Aargau Court Starts Bankruptcy Proceedings
-----------------------------------------------------
The Bankruptcy Court of Aargau commenced bankruptcy proceedings
against JSC WeBau on Jan. 9.

The Debtor can be reached at:

         JSC WeBau
         Gyrhaldenstrasse 8
         8963 Kindhausen
         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
===========


PETROL OFISI: Reduced Fine Cues S&P to Affirm B+ Rating
-------------------------------------------------------
Standard & Poor's Ratings Services removed from CreditWatch and
affirmed its 'B+' long-term corporate credit rating on Turkey-
based petroleum products distributor Petrol Ofisi A.S.  The
outlook is stable.

The rating was originally placed on CreditWatch on Sept. 1,
2006, following the Turkish energy market regulator's decision
to fine the company TRL599.4 million for allegedly supplying
petroleum products to unlicensed gas stations.  This included
fines levied against POAS' subsidiary ERK Petrol A.S.

"The removal of the CreditWatch and affirmation of the rating
reflects a successful appeal by POAS to the Turkish upper
court," said Standard & Poor's credit analyst Sophia Dedemadis.
"This has resulted in a stay of execution of the installment
payments the company commenced in December 2006, and a reduction
of the fine to an estimated US$10 million."

POAS is still seeking to cancel the fine in its entirety.  The
appeal for the cancellation of the fine in the lower courts
could take more than two years.  There is still the low
possibility that the lower court might overrule the higher
court's decision and apply the higher fine.  In the event that
the lower court imposes a material fine on the company, the
rating could once again come under downward pressure if POAS has
to assume additional debt to pay the fine or the company's
liquidity is negatively affected.

We expect POAS will continue to benefit from its favorable
position as the leading petroleum products distributor in
Turkey. The rating could come under pressure if the company does
not successfully continue to refinance its high short-term debt.


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


ACCEPT LLC: Creditors Must Submit Claims by February 17
-------------------------------------------------------
Creditors of LLC Fund House Accept (code EDRPOU 33735347) have
until Feb. 17 to submit written proofs of claim to:

         Viacheslav Leckan, Liquidator
         Dovzhenko Str. 16v
         03057 Kiev
         Ukraine

The Economic Court of Kiev commenced bankruptcy proceedings
against the company on Dec. 27, 2006, after finding it
insolvent.  The case is docketed under Case No. 43/880.

The Economic Court of Kiev is located at:

         B. Hmelnitskij Boulevard 44-B
         01030 Kiev
         Ukraine

The Debtor can be reached at:

         LLC Fund House Accept
         Ivan Klimenko Str. 25
         03110 Kiev
         Ukraine


NORD-OST LTD: Creditors Must Submit Claims by February 17
---------------------------------------------------------
The Economic Court of Kiev commenced bankruptcy proceedings
against the company on Dec. 27, 2006, after finding it
insolvent.  The case is docketed under Case No. 43/872.

Creditors of LLC Nord-Ost Ltd. (code EDRPOU 30682591) have until
Feb. 17 to submit written proofs of claim to:

         I. Gusar, Liquidator
         P.O. Box 29
         01030 Kiev
         Ukraine

The Economic Court of Kiev is located at:

         B. Hmelnitskij Boulevard 44-B
         01030 Kiev
         Ukraine

The Debtor can be reached at:

         LLC Nord-Ost Ltd.
         Bilecky Str. 34
         Kiev
         Ukraine


OMETA-KOVEL LLC: Creditors Must Submit Claims by February 16
------------------------------------------------------------
Creditors of LLC Ometa-Kovel (code EDRPOU 13366023) have until
Feb. 16 to submit written proofs of claim to:

         State Tax Inspection of Kovel, Liquidator
         Bender Str. 15
         Kovel
         45000 Volin
         Ukraine
         Tel: (03352) 5-99-26

The Economic Court of Volin commenced bankruptcy proceedings
against the company on Jan. 11 after finding it insolvent.  The
case is docketed under Case No. 1/135/57-B.

The Economic Court of Volin is located at:

         Volia Avenue 54-a
         43010 Lutsk
         Volin
         Ukraine

The Debtor can be reached at:

         LLC Ometa-Kovel
         Bender Str. 14
         Kovel
         45000 Volin
         Ukraine


SUCCESS PLUS: Creditors Must Submit Claims by February 16
---------------------------------------------------------
Creditors of LLC Agricultural Enterprise of Processing Success
Plus have until Feb. 16 to submit written proofs of claim to:

         Tatiana Ratinskaya, Liquidator
         Geroev Stalingrada Str. 20
         Nikolaev
         Ukraine

The Economic Court of Nikolaev commenced bankruptcy proceedings
against the company on Dec. 11, 2006, after finding it
insolvent.  The case is docketed under Case No. 14/135/06.

The Economic Court of Nikolaev is located at:

         Admiralskaya Str. 22
         54009 Nikolaev
         Ukraine

The Debtor can be reached at:

         LLC Agricultural Enterprise of Processing Success Plus
         Geroev Stalingrada Str. 20
         Nikolaev
         Ukraine


UNIVERSAL WATER: Creditors Must Submit Claims by February 16
------------------------------------------------------------
Creditors of LLC Universal Water Construction (code EDRPOU
01239364) have until Feb. 16 to submit written proofs of claim
to:

         Tatiana Mihayliga, Liquidator
         Oleynikov Str. 7
         Krivoy Rog
         Ukraine

The Economic Court of Dnipropetrovsk commenced bankruptcy
proceedings against the company after finding it insolvent.  The
case is docketed under Case No. B 26/77/04.

The Economic Court of Dnipropetrovsk is located at:

         Kujbishev Str. 1a
         49600 Dnipropetrovsk
         Ukraine

The Debtor can be reached at:

         LLC Universal Water Construction
         Ciolkovskiy Str. 5
         Krivoy Rog
         50005 Dnipropetrovsk
         Ukraine


ZEBRA-PRO LLC: Creditors Must Submit Claims by February 17
----------------------------------------------------------
Creditors of LLC Zebra-Pro (code EDRPOU 34186737) have until
Feb. 17 to submit written proofs of claim to:

         Denis Maluska, Liquidator
         P.O. Box 46.
         04053 Kiev-53
         Ukraine

The Economic Court of Kiev commenced bankruptcy proceedings
against the company after finding it insolvent.  The case is
docketed under Case No. 23/569-b.

The Economic Court of Kiev is located at:

         B. Hmelnitskij Boulevard 44-B
         01030 Kiev
         Ukraine

The Debtor can be reached at:

         LLC Zebra-Pro
         Novozabarskaya Str. 21
         04074 Kiev
         Ukraine


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


ADVANCED TECHNOLOGY: Claims Filing Period Ends February 28
----------------------------------------------------------
Creditors of Advanced Technology Coatings Ltd. have until
Feb. 28 to send in their full names and addresses, full
particulars of their debts or claims, and the names and
addresses of their solicitors (if any) to:

         Ian E. Walker
         Liquidator
         Begbies Traynor
         Balliol House
         Southernhay Gardens
         Exeter EX1 1NP
         England

Ian E. Walker of Begbies Traynor was appointed liquidator of the
company on Dec. 15, 2006.

The company can be reached at:

         Advanced Coating Technology Ltd.
         Brockhampton Road
         Havant
         Hampshire PO9 1JN
         England
         Fax: 023 9248 1384


ADVANCED MARKETING: Hires O'Melveny as Bankruptcy Counsel
---------------------------------------------------------
Advanced Marketing Services Inc. and its debtor-affiliates
obtained authority from the U.S. Bankruptcy Court for the
District of Delaware to employ O'Melveny & Myers LLP as their
general bankruptcy counsel, nunc pro tunc to Dec. 29, 2006.

Since April 2004, O'Melveny has represented the Debtors as
general corporate, securitiesM and litigation counsel.  It has
provided:

   -- extensive representation and advice relating to the
      Debtors' prepetition Loan and Security Agreement with
      Wells Fargo Foothill, Inc., as agent, and a syndicate of
      lenders;

   -- efforts to refinance the Senior Facility and other
      strategic alternatives to recapitalize the Debtors; and

   -- disclosure advice regarding the Debtors' public
      announcements and regulatory obligations.

The Debtors wanted to hire O'Melveny because of the firm's
knowledge in their operations and finances, and its expertise
and experience in reorganizations, bankruptcy cases, and other
relevant areas of expertise.

As the Debtors' general bankruptcy counsel, O'Melveny will:

   (a) advise the Debtors regarding matters of bankruptcy law;

   (b) advise the Debtors of the requirements of the Bankruptcy
       Code, the Federal Rules of Bankruptcy Procedure,
       applicable local bankruptcy rules pertaining to the
       administration of their cases and U.S. Trustee Guidelines
       related to the daily operation of their business and the
       administration of the estates;

   (c) prepare motions, applications, answers, proposed orders,
       reports and papers in connection with the administration
       of the estates;

   (d) negotiate with creditors, prepare and seek confirmation
       of a chapter 11 plan and related documents and assist the
       Debtors with implementation of the plan;

   (e) assist the Debtors in the analysis, negotiation and
       disposition of certain estate assets for the benefit of
       the estates and their creditors;

   (f) advise the Debtors regarding general corporate and
       securities matters and bankruptcy related employment and
       litigation issues; and

   (g) render other necessary advice and services as the Debtors
       may require in connection with their cases.

O'Melveny will be paid on an hourly basis at its normal and
customary hourly rates, plus reimbursement of actual, necessary
expenses and other charges incurred:

       Professional                      Hourly Rate
       ------------                      -----------
       Suzzanne Uhland, Esq.               US$725
       Austin Barron, Esq.                 US$540
       Alexandra Feldman, Esq.             US$445
       Ana Acevedo                         US$300
       Lynn Talab                          US$285

Suzzanne Uhland, Esq., a partner at O'Melveny, disclosed that
before Dec. 29, 2006, the Debtors paid O'Melveny US$1,201,990
for fees and expenses for advice and legal services rendered in
connection with restructuring advice and the preparation and
commencement of the Debtors' cases, as well as to serve as a
retainer.  During the 90-day period before Dec. 29, 2006, the
Debtors paid invoices totaling US$942,682 to the firm.

According to Ms. Uhland, after deducting fees and expenses
previously billed and paid for the prepetition legal services
plus estimated unbilled prepetition amounts, approximately
US$721,038 remains as retainer, which will be applied to
postpetition services.

Ms. Uhland attested that her firm is a "disinterested person,"
as that term is defined in Section 101(14) of the Bankruptcy
Code, and does not hold or represent any interest adverse to the
estates.

                    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 April 28, 2007. (Advanced Marketing Bankruptcy News, Issue
No. 4; Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000)


ADVANCED MARKETING: Hires Richards Layton as Local Counsel
----------------------------------------------------------
Advanced Marketing Services Inc. and its debtor-affiliates
obtained authority from the U.S. Bankruptcy Court for the
District of Delaware to employ Richards, Layton & Finger, P.A.
as their local bankruptcy counsel, nunc pro tunc to Dec. 29,
2006.

Richards Layton will be performing extensive legal services that
will be necessary during the chapter 11 proceedings.

Aside from the firm's extensive knowledge in the field of
debtors' and creditors' rights and business reorganizations, the
Debtors also desired to employ Richards Layton because of its
expertise, experience, and knowledge in practicing before the
Delaware Bankruptcy Court, its proximity to the Court, and its
ability to respond quickly to emergency Court matters.

Richards Layton began providing legal services and advice to the
Debtors since December 2006.  During the firm's representation
period, it has acquired knowledge of the Debtors' business,
financial affairs, and capital structure.

The Debtors believe that Richards Layton is well qualified and
capable to efficiently represent them in the chapter 11 cases.

As the Debtors' counsel, Richards Layton will:

   (a) advise the Debtors of their rights, powers and duties as
       debtors and debtors in possession;

   (b) take all necessary action to protect and preserve the
       Debtors' estates, including the prosecution of actions,
       the defense of any actions against the Debtors, the
       negotiation of disputes involving the Debtors and the
       preparation of objections to claims;

   (c) prepare all necessary motions, applications, answers,
       orders, reports and papers in connection with the
       administration of the debtors' estates; and

   (d) perform all other necessary legal services in connection
       with the chapter 11 cases.

Richards Layton will be paid on an hourly basis at its normal
and customary hourly rates, plus reimbursement of actual,
necessary expenses and other charges incurred:

       Professional                      Hourly Rate
       ------------                      -----------
       Mark D. Collins, Esq.               US$520
       Paul N. Heath, Esq.                 US$350
       Chun I. Pang                        US$225
       Aja E. McDowell                     US$165

Mark D. Collins, Esq., a director at Richards Layton, reports
that prior to the filing of the bankruptcy case, the Debtors
paid the firm a US$125,000 retainer.

The Debtors proposed that the amount paid be treated as an
evergreen retainer to be held by the firm as security throughout
the chapter 11 cases, until its fees and expenses are awarded.

Mr. Collins assured the Court that his firm is a "disinterested
person," as that term is defined in Section 101(14) of the
Bankruptcy Code, and does not hold or represent any interest
adverse to the estates.

                    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 April 28, 2007. (Advanced Marketing Bankruptcy News, Issue
No. 4; Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000)


ARUNDEL FESTIVAL: Creditors' Meeting Slated for February 14
-----------------------------------------------------------
Creditors of Arundel Festival Society Ltd. will meet at 11:00
a.m. on Feb. 14 at:

         7 East Pallant
         Chichester
         West Sussex PO19 1TR
         England

Creditors who want to vote at the meeting have until noon on
Feb. 13 to submit their proxy forms together with particulars of
their claims or of any security at the offices of:

         Begbies Traynor
         2-3 Pavilion Buildings
         Brighton
         East Sussex BN1 1EE
         England

A list of names and addresses of the company's creditors will be
available for inspection between 10:00 a.m. and 4:00 p.m. on
Feb. 12.

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


ASCENDANT COMMUNICATIONS: Creditors' Claims Due March 23
--------------------------------------------------------
Creditors of Ascendant Communications Ltd. have until March 23
to send their names and addresses and particulars of their
claims to:

         David Antony Willis & Matthew Colin Bowker
         Joint Liquidators
         Jacksons Jolliffe Cork
         33 George Street
         Wakefield WF1 1LX
         England

Messrs. Willis and Bowker of Jacksons Jolliffe Cork were
appointed joint liquidators of the company on Jan. 23.

The company can be reached at:

         Ascendant Communications Ltd.
         4 Fair Road
         Bradford
         West Yorkshire BD6 1QN
         England
         Tel: 01274 600 700


BAA PLC: Reveals Revised Runway Plan at Lesser Cost
---------------------------------------------------
BAA PLC unveiled its revised plans to build a second runway at
Stansted airport at a lesser cost, compared to the original
design, Rod Stone writes for The Wall Street Journal.

WSJ says the new three-kilometer-long runway and terminal that
would accommodate 10 million passengers a year will not be
operational until 2015, about two years later than initially
projected.

According to the report, the airport operator disclosed that it
trimmed down projected opening expenses for the runway and
terminal building by 17.5% to GBP1.4 billion, cutting down land
requirement by 22% compared to its December 2005 estimate.  The
runway will help deal with rising demand in southeast England.

Airlines using Stansted had opposed BAA's plans believing that
the high development cost of the runway would increase airport
charges, WSJ states.

BAA CEO Stephen Nelson said it is not surprising for airlines to
want a less-expensive facility and pointed out that the total
development costs was roughly half of the government's original
estimate, WSJ relates.

The U.K. government, in 2003, estimated overall development of
Stansted's new runway, terminal and improved public-transport
access at about GBP4 billion.  BAA now expects the full
development of Stansted to cost about GBP2.2 billion when
completed in 2030.

                          About BAA Plc

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

                        *     *     *

As of Feb. 6, BAA Plc carries these ratings from Moody's:

   -- Issuer Rating: Ba1
   -- GBP425-million convertible bonds due August 2009: Ba1
   -- GBP424-million convertible bonds due April 2008: Ba1
   -- GBP200-million 7.875% bonds due February 2007: Ba1


BENCHMARK CRAFTS: Creditors' Meeting Slated for February 16
-----------------------------------------------------------
Creditors of Benchmark Crafts Ltd. will meet at 11:30 a.m. on
Feb. 16 at the offices of:

         Elwell Watchorn & Saxton LLP
         Cumberland House
         35 Park Row
         Nottingham NG1 6EE
         England

Creditors who want to vote at the meeting have until noon on
Feb. 15 to submit their proxy forms together with particulars of
their claims or of any security at the said address.

A list of names and addresses of the company's creditors will be
available for inspection between 10:00 a.m. and 4:00 p.m. on
Feb. 14 and Feb. 15.

Elwell Watchorn & Saxton -- http://www.ews-insolvency.co.uk/--
provides insolvency and recovery services.  The firm's partners
have considerable expertise in all formal areas of insolvency,
both corporate and personal and have been offering turnaround
advice without the need for formal insolvency.


BIKE SMART: Taps Andrew Rosler to Liquidate Assets
--------------------------------------------------
Andrew Rosler of Ideal Corporate Solutions Ltd. was appointed
liquidator of Bike Smart (U.K.) Ltd. on Jan. 25 for the
creditors' voluntary winding-up proceeding.

The company can be reached at:

         Bike Smart (U.K.) Ltd.
         254-264 Mitcham Road
         London SW179NT
         England
         Tel: 020 8767 5222
         Fax: 020 8767 3611


BRITISH AIRWAYS: Earns GBP107 Million in Third Quarter 2006
-----------------------------------------------------------
British Airways Plc released its unaudited financial results for
the three months ended Dec. 31, 2006.

British Airways reported GBP107 million in net profit against
GBP2.07 billion in net revenues for the three months ended
Dec. 31, 2006, compared with GBP124 million in net profit
against GBP2.06 billion in net revenues for the same period in
2005.

The company posted an operating profit of GBP129 million for the
three months to Dec. 31, 2006 (2005: GBP176 million).  For the
nine months, the operating profit was GBP571 million (2005:
GBP596 million).  The operating margin for the quarter was 6.2%,
2.4 points lower than last year.

Pre-tax profit for the quarter was GBP113 million (2005:
GBP166 million).  For the nine months, pre-tax profit was GBP584
million (2005: GBP518 million).  These results have been
restated to show the business on a continuing basis, excluding
BA Connect, following the decision to dispose of the regional
business to Flybe.

BA Chief Executive Willie Walsh said: "These are mixed results
with costs up 3% reflecting higher fuel costs and revenue up
0.5% to GBP2.1 billion.

"Our drive on costs continues ahead of our move to Terminal 5.
Fuel remains a significant burden with costs in the quarter up
11.2%.  We remain committed to achieving our cost reduction
target of GBP450 million and a 10% operating margin by March
2008.

"Revenue has been hit by a raft of external factors.  These
include the continued impact of the August security measures.
Common EU baggage standards on liquids were not agreed until
mid-way through the quarter and more restrictive rules on hand
baggage continue to apply in the U.K.  As a result, transfer
volumes at Heathrow are still down.  The baggage system operated
by the BAA at Heathrow's Terminal 4, failed twice in December
and severe fog led to the cancellation of 800 flights in the
pre-Christmas peak period. The impact of all these external
factors in the quarter is estimated at GBP40 million.

"The patience and loyalty of our customers has been tested and I
want to apologize for the inconvenience they have suffered
during this period.  The uncertainty caused by the threat of
recent industrial action has added to this but we have reached
an agreement with the cabin crew branch of the T&G over a range
of issues which I am confident forms the basis of a good
relationship in the future.  We are now re-focusing on customer
service to win back the confidence and trust of our customers.

"On pensions, we are delighted that the BA Forum, which
represents British Airways' unions, recently issued a statement
recommending acceptance of the changes in benefits to tackle the
GBP2.1 billion deficit in the New Airways Pension Scheme (NAPS).
This is a major milestone and we can now move forward on our
plans for fleet renewal and replacement.

"We are now flying our new Club World on four aircraft and the
embodiment program is on schedule for completion by summer 2008.
Feedback from our customers has been fantastic.  They love the
extra comfort, space and flexibility of the new flat bed and our
greatly enhanced in-flight entertainment system."

BA Chairman Martin Broughton said: "The market continues to show
good demand in premium cabins.  The weakness in some non-premium
segments is also still a feature.  The revenue outlook for the
fourth quarter has been impacted by the threat of industrial
action.  While the strike was averted, the estimated revenue
loss is still some GBP80 million.  Revenue guidance for the full
year is now 3.25 - 3.75% growth.

"While cost control remains strong, full year costs excluding
fuel are expected to be some GBP50 million higher than last
year.  This reflects higher costs in the first quarter.  Our
full year fuel guidance has been revised down by GBP40 million
reflecting the reduction in fuel prices.  The fuel bill will now
be accounted for on a continuing operations basis, and is
expected to be some GBP1.95 billion."

Group turnover for the third quarter at GBP2.1 billion was up
0.5% on a flying program 1.8% smaller measured in available ton
kilometers (ATKs).  Passenger yields were up 1.9% measured in
pence per revenue passenger kilometers (RPKs).  Seat factor was
down 0.5 points at 74% on capacity 0.8% higher measured in
available seat kilometers (ASKs).

For the nine-month period, turnover improved by 6.5% to GBP6.6
billion on a flying program 1.5% higher in ATKs.  Passenger
yields were up 3.7% with seat factor up 0.6 points at 77.6% on
capacity 3.3% higher in ASKs.

For the quarter, unit costs were up 4.9% on the same period as
last year reflecting total costs up 3% and capacity 1.8% lower
in ATKs. Excluding fuel, unit costs were up 2.6%.

Total costs were up, driven mainly by higher fuel and employee
costs.  Fuel costs rose by 11.2% due to the increase in fuel
price net of hedging.  Employee costs were up by 2% due mainly
due to increased pension costs.

Operating cashflow for the nine months was GBP608 million.
Including current interest bearing deposits, the cash position
at Dec. 31, 2006, was GBP2.6 billion, up GBP203 million compared
with March 31, 2006.  Net debt was GBP866 million, down by
GBP775 million since the start of the year.

At Dec. 31, 2006, the company's balance sheet showed
GBP11.6 billion in total assets and GBP9.1 billion in total
liabilities, resulting in a GBP2.5 billion stockholders' equity.

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.

A full-text copy of the company's financial report for the three
months ended June 30, 2006, is available at no charge at
http://ResearchArchives.com/t/s?1974

                        *     *     *

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: Has 1,150,734,490 Voting Rights and Capital
------------------------------------------------------------
In conformity with the Transparency Directive's transitional
provision 6, British Airways Plc disclosed that its capital
consists of 1,150,734,490 ordinary 25 pence shares with voting
rights.  As BA does not hold any ordinary shares in Treasury its
total number of voting rights equals its capital.

The total voting rights figure may be used by shareholders as
the denominator for the calculations by which they will
determine if they are required to notify their interest in, or a
change to their interest in, BA under the FSA's Disclosure and
Transparency Rules.

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+


C T SPECIALIST: Hires Liquidator from Bishop Fleming
----------------------------------------------------
Jeremiah Anthony O'Sullivan of Bishop Fleming was appointed
liquidator of C T Specialist Fabrication U.K. Ltd. on Jan. 25
for the creditors' voluntary winding-up procedure.

The liquidator can be reached at:

         Bishop Fleming
         16 Queen Square
         Bristol BS1 4NT
         England


CARD MARKETING: Names John Paul Bell Liquidator
-----------------------------------------------
John Paul Bell of Clarke Bell was appointed liquidator of Card
Marketing Services Ltd. (formerly Spyrock Ltd. and D R
Operations Ltd.) on Jan. 24 for the creditors' voluntary
winding-up procedure.

The liquidator can be reached at:

         Clarke Bell
         Parsonage Chambers
         3 The Parsonage
         Manchester M3 2HW
         England


CELESTICA INC: Posts US$60.8-Mln GAAP Net Loss in Fourth Quarter
----------------------------------------------------------------
Celestica Inc. reported financial results for the fourth quarter
and fiscal year ended Dec. 31, 2006.

Revenue was US$2.2 billion, up 9% from US$2.0 billion in the
fourth quarter of 2005.  Net loss on a GAAP basis for the fourth
quarter was US$60.8 million compared to GAAP net loss of US$28.2
million for the same period last year.

Included in GAAP net loss for the quarter are these items:

   -- a net charge to gross profit of US$30 million resulting
      primarily from a previously announced increase in
      inventory provisions at the Monterrey, Mexico facility;
      and

   -- a US$59 million restructuring charge.

For the same period in 2005, restructuring charges of
US$57 million were incurred.

Adjusted net earnings for the quarter were US$6.5 million
compared to US$28.8 million for the same period in 2005.
Adjusted net earnings is defined as net earnings before
amortization of intangible assets, gains or losses on the
repurchase of shares and debt, integration costs related to
acquisitions, option expense, option exchange costs and other
charges, net of tax and significant deferred tax write-offs.
These results compare with the company's updated guidance for
the fourth quarter, announced on Dec. 12, 2006, of revenue of
US$2.2 to US$2.25 billion.

For 2006, revenue was US$8.8 billion, up 4%, compared to US$8.4
billion for 2005.  Net loss on a GAAP basis was US$150.6 billion
compared to net loss of US$46.8 billion for last year.  Adjusted
net earnings for 2006 were US$93.5 million compared to adjusted
net earnings of US$129.1 million for 2005.

"While revenues for the fourth quarter came in above the high-
end of the updated guidance, our financial results were
extremely disappointing.  The year-to-year growth in the
consumer segment was offset by higher than expected demand
reductions from several key customers in the telecommunications
segment.  This demand reduction along with the impact of the
inventory provision taken in Mexico significantly impacted
operating margins," said Craig Muhlhauser, President and Chief
Executive Officer, Celestica.  "We have implemented and will
continue to implement aggressive actions to materially improve
the performance of our Mexican facilities by standardizing our
ERP platform, re-architecting our warehouse logistics and
strengthening the local management team while driving more
efficiency and cost reductions.  In light of our current
outlook, we are also reducing our overhead structures and costs
globally.  These actions will result in an additional US$60 to
US$80 million of restructuring charges, US$40 million of which
has been recorded in the fourth quarter, with the remaining
charges to be incurred during 2007."

                    CFO Anthony Puppi to Retire

The company also announced that Anthony (Tony) Puppi, Executive
Vice President and Chief Financial Officer has declared his
intention to retire from Celestica.  Mr. Puppi will continue to
act in the capacity of Chief Financial Officer until the
company's search for a new CFO is complete.

"Tony is one of Celestica's founding executives and he has
provided strong leadership and dedication to the company over
the course of his career.  I am pleased that Tony will continue
to provide his support for the successful transition to a new
CFO and I wish him the very best in the years ahead," said Craig
Muhlhauser, President and Chief Executive Officer, Celestica.

                           Outlook

For the first quarter ending March 31, 2007, the company
anticipates revenue to be in the range of US$1.7 billion to
US$1.9 billion.

                  Supplementary Information

In addition to disclosing detailed results in accordance with
Canadian generally accepted accounting principles, Celestica
also provides supplementary non-GAAP measures as a method to
evaluate the company's operating performance.

Management uses adjusted net earnings as a measure of
enterprise-wide performance.  As a result of acquisitions made
by the company, restructuring activities, securities repurchases
and the adoption of fair value accounting for stock options,
management believes adjusted net earnings is a useful measure
that facilitates period-to-period operating comparisons and
allows the company to compare its operating results with its
competitors in the U.S. and Asia.  Adjusted net earnings exclude
the effects of acquisition-related charges (most significantly,
amortization of intangible assets and integration costs related
to acquisitions), other charges (most significantly,
restructuring costs and the write-down of goodwill and long-
lived assets), gains or losses on the repurchase of shares or
debt, option expense and option exchange costs, and the related
income tax effect of these adjustments and any significant
deferred tax write-offs.  Adjusted net earnings do not have any
standardized meaning prescribed by GAAP and is not necessarily
comparable to similar measures presented by other companies.
Adjusted net earnings is not a measure of performance under
Canadian or U.S. GAAP and should not be considered in isolation
or as a substitute for net earnings (loss) prepared in
accordance with Canadian or U.S. GAAP.

Based in Toronto, Ontario, Celestica, Inc. (NYSE: CLS,
TSX: CLS/SV) -- http://www.celestica.com/-- provides electronic
manufacturing services to original equipment manufacturers in
the computing, telecommunications, aerospace and defense,
automotive, consumer electronics, and industrial sectors in
Malaysia, Brazil, China, Ireland, Italy, Japan, Philippines,
Puerto Rico, and the United Kingdom, among others.  Its
solutions comprise design and engineering, manufacturing and
systems integration, and fulfillment, as well as after-market
services.

The company has a strategic alliance with Bartolini Progetti
S.p.a.  Celestica was incorporated as Celestica International
Holdings, Inc. in 1996 and changed its name to Celestica, Inc.
The company is based in Toronto, Canada.  Celestica, Inc. is a
subsidiary of the Onex Corp.

                        *     *     *

As reported in the TCR-Europe on Oct. 6, 2006, Moody's affirmed
its Ba3 Corporate Family Rating for Celestica International.

Celestica carries Fitch's 'BB-' issuer default and unsecured
credit facility ratings.  Fitch also assigned a 'B+' rating to
the Company's senior subordinated debt.  Fitch said the Rating
Outlook is Stable.

In February 2005, Moody's Investors Service lowered Celestica's
senior implied rating to Ba3 from Ba2, senior unsecured issuer
rating to B1 from Ba3 and the subordinated notes rating to B2
from Ba3.


CELESTICA INC: Weak Financials Cue S&P's Negative CreditWatch
-------------------------------------------------------------
Standard & Poor's Ratings Services placed its ratings, including
its 'BB-' long-term corporate credit rating, on Celestica Inc.
on CreditWatch with negative implications.

This action follows the company's weak fourth-quarter operating
results, which reflected larger-than-expected weakness in end-
market demand, particularly with respect to key
elecommunications clients and persistent problems at the
company's Mexican operations.

"Although revenues from the majority of Celestica's customer
segments grew in the fourth quarter, revenues from the
telecommunications segment declined 28% from the third quarter,"
said Standard & Poor's credit analyst Don Povilaitis.

"Likewise, revenues declined from the automotive and defense
segments, as well as the consumer business segment, demand of
which (despite an element of seasonality) has become inherently
unpredictable," added Mr. Povilaitis.

The company's Mexican operations remain challenged, affected by
the continued execution issues that resulted in lost customers
and an unadjusted EBIT loss.  Celestica has a three-step plan to
rectify its production problems, including reducing parts
complexity, reducing multiple platforms, and ensuring reliable
delivery by consolidating warehouses.  The company also has
transferred several customer orders to its Asian facilities.

Standard & Poor's remains concerned with Celestica's prospects
for fiscal 2007, with no improvement expected before the second
half of 2007, as the company is likely to remain challenged by
persistent weakness in the telecommunications segment and the
effect of more customer disengagements.

In addition, Standard & Poor's is concerned by the potential
disruption caused by recent management turnover, with the
imminent resignation of CFO Tony Puppi, which follows the
departure in late 2006 of President Steve Delaney.

Standard & Poor's will meet with Celestica's management shortly
in order to resolve the CreditWatch placement.


CELESTICA INC: Fitch's B+ Rating Affects US$750 Million Debt
------------------------------------------------------------
Fitch Ratings has changed its Ratings Outlook for Celestica Inc.
to Negative from Stable and affirmed the following ratings:

   -- Issuer default rating at 'BB-'
   -- Unsecured credit facility at 'BB-'
   -- Senior subordinated debt at 'B+'

Fitch's action affects approximately US$750 million of debt.

The Ratings and Negative Outlook reflect:

   -- negative operational issues that precipitated a drop in
      demand from telecom customers which, when combined with
      seasonal factors, led to a sequential decline in revenue
      and profitability in fiscal fourth quarter 2006;

   -- expectations for continued declines in revenue and EBIT
      margin in the first half of 2007 due to customer attrition
      as management attempts to resolve its execution issues;

   -- limited financial leverage with total debt/operating
      EBITDA of 2.9 times along with a net cash position for the
      company at the end of 2006; and

   -- modest but positive free cash flow over the past two
      quarters.

Ratings concerns center on:

   -- the potential for continued declines in revenue beyond the
      first half of 2007;

   -- further weakening in operating metrics due to lower than
      expected revenue and/or continued execution issues;

   -- limited liquidity in the revolving credit facility due to
      a leverage covenant which currently limits additional debt
      incurrence to around US$60 million, although Fitch
      believes Celestica will be able to renew this facility
      before it expires in June 2007 and potentially improve
      liquidity; and

   -- significant customer concentration with the top ten
      customers accounting for around 60% of revenue including
      IBM and Cisco, both of which were 10% customers in 2006.

In addition, Celestica is highly dependent on the communication
and information technology sectors which combined account for
roughly 75% of total revenue.

Ratings strengths include:

   -- limited debt maturities until 2011;

   -- a well established customer base and significant scale in
      core markets; and

   -- positive long-term trends towards increased outsourcing of
      manufacturing services across numerous industries.

Fitch believes that a decline in operating metrics beyond that
expected during the first half of 2007 or a lack of improvement
to operations in the second half of 2007 could lead to further
negative ratings action, as could the further incurrence of
debt.  Conversely, significant improvements in operating
performance including successfully correcting customer attrition
issues could stabilize the ratings.

As of Dec. 31, 2006, liquidity was adequate with no near-term
debt maturities and was supported by approximately US$804
million of cash and cash equivalents and an undrawn US$600
million senior unsecured revolving credit facility expiring June
2007.  The leverage covenant contained within the credit
agreement currently limits the incurrence of additional debt to
approximately US$60 million.  Celestica also has a committed
agreement providing the company with the ability to sell up to
US$250 million of accounts receivable to a third party financial
institution plus additional receivables at the discretion of the
purchaser, which expires November 2007. As of Dec. 31, 2006,
total debt was approximately US$750 million and consisted
primarily of i) US$500 million 7.875% senior subordinated notes
due 2011 and ii) US$250 million 7.625% senior subordinated notes
due 2013.


CLEANFLOW LTD: Creditors' Meeting Slated for February 20
--------------------------------------------------------
Creditors of Cleanflow Ltd. will meet at 12:30 p.m. on Feb. 20
at the offices of:

         Harris Lipman
         Coptic House
         4-5 Mount Stuart Square
         Cardiff Bay CF10 5EE
         Wales
         England

Creditors have until noon on Feb. 19 to submit their proxy forms
together with particulars of their claims or of any security at
the said address.

A list of names and addresses of the company's creditors will be
available for inspection free of charge between 10:00 a.m. and
4:00 p.m. on Feb. 16 and Feb. 19.


COLLINS & AIKMAN: Has Until March 28 to File Chapter 11 Plan
------------------------------------------------------------
The Honorable Steven W. Rhodes of the U.S. Bankruptcy Court for
the Eastern District of Michigan extends Collins & Aikman Corp.
and its debtor-affiliates' exclusive period to file a plan of
reorganization through and including March 28, 2007.

The Court extends the Debtors' exclusive period to solicit
acceptances of the plan through and including May 28, 2007.

As reported in the TCR-Europe on Jan. 11, 2007, in connection
with the pursuit of a cooperative sale process, the Debtors
recently negotiated a customer agreement with their principal
customers and the senior, secured lenders' agent, JPMorgan Chase
Bank, N.A.

As a result of the Customer Agreement's interim approval, the
Debtors filed their first amended Chapter 11 Plan and Disclosure
Statement on Dec. 22, 2006.  JPMorgan and the Customers agreed
to support the Plan.

Upon information and belief, JPMorgan and the Official Committee
of Unsecured Creditors will soon re-engage in negotiations
regarding the Plan.  Accordingly, more time is needed to
negotiate the terms of a consensual plan with the Creditors
Committee and to incorporate the terms into the Amended Plan for
the Court's approval.

The Debtors are also continuing their efforts to market and sell
substantially all of their assets.  Pursuant to the Customer
Agreement, the Debtors intend to complete the process by the end
of June 2007.

Headquartered in Troy, Michigan, Collins & Aikman Corporation
-- http://www.collinsaikman.com/-- is a global leader in
cockpit modules and automotive floor and acoustic systems and is
a leading supplier of instrument panels, automotive fabric,
plastic-based trim, and convertible top systems.  The Company
has a workforce of approximately 23,000 and a network of more
than 100 technical centers, sales offices and manufacturing
sites in 17 countries throughout the world.  The Company and its
debtor-affiliates filed for chapter 11 protection on May 17,
2005 (Bankr. E.D. Mich. Case No. 05-55927).  Richard M. Cieri,
Esq., at Kirkland & Ellis LLP, represents C&A in its
restructuring.  Lazard Freres & Co., LLC, provides the Debtor
with investment banking services.  Michael S. Stammer, Esq., at
Akin Gump Strauss Hauer & Feld LLP, represents the Official
Committee of Unsecured Creditors Committee.  When the Debtors
filed for protection from their creditors, they listed
US$3,196,700,000 in total assets and US$2,856,600,000 in total
debts.  (Collins & Aikman Bankruptcy News, Issue No. 50;
Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000)


COLLINS & AIKMAN: President & CEO Frank Macher Resigns
------------------------------------------------------
The board of directors of Collins & Aikman Corp. has accepted
the resignation of Frank E. Macher as President and CEO.

After thorough deliberations, the board and Mr. Macher concluded
that a new structure for the leadership of the company would be
appropriate as it executes the balance of its ongoing sale
process.

On Nov. 14, 2006, the company expected to sell its operations,
in whole or in parts, to maximize the value of the enterprise
for its creditors and preserve the largest number of jobs for
its employees.  On Dec. 22, 2006, the company filed an amended
joint plan under which it will proceed with soliciting qualified
bids for the sale of the majority of its assets.

"The board appreciates the effort Frank put forth overseeing the
company's operations," Steve Cooper, Chairman of the Board,
said.  "We accepted his decision knowing that the timing of his
resignation was appropriate given the shift in focus of the
restructuring efforts and that the existing senior management
team is fully capable of executing the remaining aspects of the
plan."

The position of President and CEO will be replaced by the Office
of the Chairman that will consist of the chairman, Steve Cooper,
and these six members of the senior management team:

  (1) John Boken, Chief Restructuring Officer;

  (2) Stacy Fox, Executive Vice President, Chief Administrative
      Officer and General Counsel;

  (3) Millard King, President Soft Trim Operations

  (4) Tim Trenary, Executive Vice President, Chief Financial
      Officer & Treasurer;

  (5) Mary Ann Wright, Executive Vice President -- Engineering,
      Design and Product Development, Commercial and Program
      Management; and

  (6) James Wynalek, President Plastics Operations.

In addition to their previous responsibilities overseeing the
company's day-to-day operations, these individuals will work
closely with the company's creditors and customers to ensure an
orderly execution of the sale process.

                      Reorganization Update

The company has selected a lead bidder in its proposed sale of
the company's automotive flooring and acoustic components
business.  Details of the bid, including the identification of
the lead bidder, will be made available when the company files
its sale motion with the bankruptcy court.

The company recently received final approval from the Bankruptcy
Court in Detroit, Michigan for an agreement between the company,
its senior secured lenders and principal customers that will
provide the financial support necessary to maintain normal
operations while it attempts to sell its injection molded
plastic and convertible roof system businesses and assets.  The
company is in the process of soliciting and reviewing qualified
bids for the purchase of all or portions of these businesses
from a number of interested parties.

On Jan. 25, the company received approval from the
Bankruptcy Court for its Disclosure Statement, which will be
distributed to creditors for voting on the Plan on or before
Feb. 20.

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


CORUS GROUP: Steel Union Threatens Strike Over Job Safety
---------------------------------------------------------
Britain's leading steel union Community threatened to carry out
a widespread industrial action after Tata Steel Chairman Ratan
Tata warned that there were no guarantees over job safety
following a successful bid for Corus Group Plc, AFX News reports
citing The Observer as its source.

Mr. Tata told the Financial Times that his company has yet to
examine Corus' plants in detail.

"I wouldn't even attempt to do so because it would be wrong of
me to give those assurances or to deny that that was so," Mr.
Tata was quoted by FT as saying.  "But I would say that we're
not a company that would first look at jobs."

"Our plan would be to try to make the U.K. operations more
profitable," he added.

According to a senior Community official, the union wants Tata
Steel to invest GBP200 million in steel finishing capacity for
Port Talbot works in South Wales, where Corus employs 3,100
people.

The union is also seeking talks with the new owners to discuss
an investment strategy that will secure the future of Corus's
British plants, Robin Turner writes for Western Mail.

As previously reported in the TCR-Europe on Jan. 31, Tata Steel
won an auction for Corus over Companhia Siderurgica Nacional
after offering investors 608 pence per share in cash, or
GBP5.7 billion (US$11.3 billion).

                        About Tata Steel

Established in 1907, Tata Steel is Asia's first and India's
largest private sector steel company. Tata Steel is among the
lowest cost producers of steel in the world and one of the few
select steel companies in the world that is EVA+ (Economic Value
Added).

                       About Corus Group

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

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

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

                          *     *     *

As reported in the TCR-Europe on Feb. 2, Fitch Ratings said that
Corus Group Plc's Issuer Default 'BB-' and Short-term 'B'
ratings remain on Rating Watch Negative following a recommended
bid, valued at GBP6.2 billion, from India-based Tata Steel Ltd.
in the wake of an auction process conducted by the U.K. Takeover
Panel on Jan. 30-31.

The RWN also applies to the 'B+' ratings on CS's EUR800 million
7.5% senior notes and Corus Finance Plc's GBP200m 6.75%
guaranteed bonds.

At the same time, Standard & Poor's Ratings Services kept its
'BB' long-term corporate credit rating on U.K.-based steelmaker
Corus Group PLC on CreditWatch with developing implications,
after the completion of the auction process, during which India-
based steel manufacturer Tata Steel Ltd. offered the highest bid
of 608 pence per share.


DURA AUTOMOTIVE: Panel Wants Information Access Protocol Okayed
---------------------------------------------------------------
The Official Committee of Unsecured Creditors in DURA Automotive
Systems Inc. and its debtor affiliates' bankruptcy cases asks
the U.S. Bankruptcy Court for the District of Delaware to
approve procedures that will not require it to disseminate
confidential and privileged information to general unsecured
creditors.

On April 20, 2005, as part of the Bankruptcy Abuse Prevention &
Consumer Protection Act of 2005, Congress enacted the new
Section 1102(b)(3) of the Bankruptcy Code.  Section 1102(b)(3)
states, a statutory creditors' committee appointed under Section
1102(a) will "provide access to information for creditors who
(i) hold claims of the kind represented by that committee; and
(ii) are not appointed to the committee."  Section 1102(b)(3)(B)
provides that the committee will also "solicit and receive
comments from those creditors.

Representing the Official Committee of Unsecured Creditors, M.
Blake Cleary, Esq., at Young Conaway Stargatt and Taylor LLP, in
Wilmington, Delaware, notes that Section 1102(b)(3) does not
indicate how a statutory creditors' committee should provide
"access," what "information" should be provided, or what it
means to "solicit and receive comments" from creditors.  There
is no legislative history to Section 1102(b)(3) to provide
guidance on the application of this new provision, he adds.

The lack of specificity in Section 1102(b)(3) creates
significant issues for debtors and creditors committees, Mr.
Cleary avers.  He relates that a debtor typically will share
non-public information with a creditors committee and its
retained professionals.  Creditors committees use this
information to assess, among other things, a debtor's capital
structure, opportunities for the restructuring of the debtor's
business in Chapter 11, the results of any revised operations of
the debtor in the bankruptcy case, and the debtor's overall
prospects for reorganization under a Chapter 11 plan.

Statutory creditors committees are typically governed by
confidentiality provisions contained in their bylaws, which
prohibit its members from disclosing non-public information,
Mr. Cleary notes.  Because of these bylaws or other arrangements
made with a debtor regarding confidentiality, a debtor can
ensure that the committee members will keep its information
confidential and will not use confidential information, except
in connection with the Chapter 11 case.

The enactment of Section 1102(b)(3) raises the issue of whether
a statutory creditors committee could be required to share a
debtor's confidential information or otherwise privileged
information with any creditor represented by that committee,
Mr. Cleary tells the Court.

The Creditors Committee also asks the Court to deem its members
and its advisors to be in compliance with Section 1102(b)(3) as
a result of the implementation of procedures that will govern
the dissemination of information to its constituency.

Pursuant to the Procedures, the Creditors Committee will
establish and maintain a Web site to make certain non-
Confidential Information and non-Privileged Information
available to unsecured creditors.

The information available on the Committee Web site will
include:

     * the Petition Date;

     * the case number that relates to the Chapter 11 Cases;

     * the contact information for the Debtors (and any
       information hotlines that they establish), the Debtors'
       counsel and the Committee's counsel;

     * the date by which unsecured creditors must file their
       proofs of claim;

     * the voting deadline with respect to any Chapter 11 plan
       filed in the Debtors' cases;

     * access to the claims docket as and when established by
       the Debtors or any claims and noticing agent retained in
       the Debtors' cases;

     * a general overview of the Chapter 11 process;

     * press releases (if any) made by the Debtors or the
       Committee;

     * filings made by the Debtors with the Securities Exchange
       Commission;

     * the Debtors' monthly operating reports;

     * a list of upcoming omnibus hearing dates;

     * available transcripts from all hearings in the Chapter 11
       cases;

     * important pleadings and orders filed in the Chapter 11
       cases;

     * answers to frequently asked questions;

     * links to other relevant Web sites; and

     * any other information that the Committee, in its sole and
       absolute discretion, deems appropriate which may include
       contact information for entities that have appeared as
       transferees of claims under Rule 3001(e)(2).

In addition to establishing the Web site, the Creditors
Committee will establish an e-mail address to allow unsecured
creditors to send questions and comments in connection with the
Chapter 11 Cases.  A link to this e-mail address will be made
available on the Web site.

Pursuant to the Procedures, within five business days of the
creation of the Web site, the Committee will work with the
Debtors' notice, claims and balloting agent, Kurtzman Carson
Consultants LLC, to serve a notice of the Procedures on those
parties listed in the Debtors' creditor matrix maintained by
Kurtzman.

The Creditor Notice will advise creditors of the of the entry of
the order approving the Procedures, the address of the Committee
Web site and the e-mail address established to allow unsecured
creditors to send questions and comments in connection with the
Chapter 11 Cases.

The Procedures will not authorize or require the Creditors
Committee to provide to any creditor or any other entity, access
to non-public information, including, without limitation,

   (i) non-public information concerning the Debtors' assets,
       liabilities, business operations, business practices,
       business plans, intellectual property and trade secrets,
       financial projections, financial and business analysis
       and compilations and studies relating to the foregoing,
       unless the information becomes generally available to the
       public or is or becomes available to the Committee on a
       non-confidential basis, in each case to the extent that
       the information became so available other than by a known
       violation of contractual, legal or fiduciary obligation
       to the Debtors; and

  (ii) Confidential Information -- communications among
       Committee members in their capacity as such, including
       information regarding specific positions taken by members
       and communications among or between Members and
       Committee-retained professionals.

In addition, the Procedures will not authorize or require the
Creditors Committee to provide any creditor or other entity with
any information subject to the attorney-client privilege or
similar state, federal or other jurisdictional law privilege,
whether the privilege is solely controlled by the Committee or
is a joint privilege with the Debtors or some other party;
provided, however, the Committee will be permitted, but not
required, to provide access to Privileged Information to any
party provided that:

   (a) the Privileged Information is not Confidential
       Information, and

   (b) the relevant privilege is held and controlled solely by
       the Committee.

The Procedures will not require the Creditors Committee to
provide access to information or solicit comments from any
entity that has not demonstrated to the satisfaction of the
Committee, that it holds claims of the kind described in Section
1102(b)(3) of the Bankruptcy Code.

The proposed Procedures, Mr. Cleary asserts, will allow the
Creditors Committee to satisfy its obligation to provide access
to information for general unsecured creditors and to solicit
comments from the creditors, thereby allowing the Committee to
perform its statutory function.

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

The Debtors filed for chapter 11 petition on Oct. 30, 2006
(Bankr. District of Delaware Case No. 06-11202).  Richard M.
Cieri, Esq., Marc Kieselstein, Esq., Roger James Higgins, Esq.,
and Ryan Blaine Bennett, Esq., of Kirkland & Ellis LLP are lead
counsel for the Debtors' bankruptcy proceedings.  Mark D.
Collins, Esq., Daniel J. DeFranseschi, Esq., and Jason M.
Madron, Esq., of Richards Layton & Finger, P.A. Attorneys are
the Debtors' co-counsel.  Baker & McKenzie acts as the Debtors'
special counsel.  Togut, Segal & Segal LLP is the Debtors'
conflicts counsel.  Miller Buckfire & Co., LLC is the Debtors'
investment banker.  Glass & Associates Inc., gives financial
advice to the Debtor.  Kurtzman Carson Consultants LLC handles
the notice, claims and balloting for the Debtors and Brunswick
Group LLC acts as their Corporate Communications Consultants for
the Debtors.  As of July 2, 2006, the Debtor had
US$1,993,178,000 in total assets and US$1,730,758,000 in total
liabilities.  (Dura Automotive Bankruptcy News, Issue No. 7;
Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000).


EASTMAN KODAK: Earns US$17 Million in Fourth Quarter of 2006
------------------------------------------------------------
Eastman Kodak Company reported fourth-quarter net earnings from
continuing operations of US$17 million, on lower year-over-year
revenues, reflecting cost reduction efforts that boosted
earnings and an emphasis on pursuing profitable sales.

The company achieved US$271 million in digital earnings for the
fourth quarter, driven by wider gross profit margins and the
company's global cost-reduction initiatives, resulting in strong
earnings improvement in the company's Consumer Digital and
Graphic Communications businesses.

The company also delivered a US$271 million increase in digital
earnings for the full year.  Significantly, digital earnings
growth for the year exceeded the traditional earnings decline
for the first time in the company's history.

    For the fourth quarter of 2006:

     -- Sales totaled US$3.821 billion, a decrease of 9% from
        US$4.197 billion in the fourth quarter of 2005.  Digital
        revenue totaled US$2.449 billion, a 5% decrease from
        US$2.587 billion in the prior-year quarter, consistent
        with the company's focus on improving digital profit
        margins.   Traditional revenue totaled US$1.357 billion,
        a 15% decline from US$1.592 billion in the fourth
        quarter of 2005.

     -- The GAAP earnings from continuing operations were
        US$17 million, compared with a GAAP loss from continuing
        operations of US$137 million in the year-ago period.

     -- The company's fourth-quarter earnings from continuing
        operations, before interest, other income (charges),
        net, and income taxes were US$222 million, compared with
        a loss of US$171 million in the year-ago quarter.

     -- Digital earnings for the fourth quarter were US$271
        million, an increase of US$130 million compared with the
        year-ago quarter, and benefited from a number of items.
        The company generated significant earnings growth in its
        Graphic Communications business and achieved operational
        improvements in its Consumer Digital Group, including a
        year-over-year increase in income from licensing
        arrangements, which reflects the company's continuing
        progress in generating returns from its intellectual
        property.

Commenting on the results, Antonio M. Perez, Chairman and Chief
Executive Officer, Eastman Kodak Company, said, "I am extremely
pleased with our performance in 2006 and our progress in
implementing our digital business model.  Our digital earnings
greatly exceeded traditional earnings in the fourth quarter.
Profit margins expanded in the sizeable digital businesses that
we have assembled, debt declined by more than US$800 million in
2006, and the year ended with a strong cash position.  We intend
to conclude our restructuring this year, as part of the creation
of a digital company with sustainable revenue and profit
growth."

Other fourth-quarter 2006 details:

    -- net cash provided by operating activities from continuing
       operations for the fourth quarter totaled US$1.028
       billion, compared with US$1.240 billion in the year-ago
       quarter.  Net cash generation (formerly investable cash)
       was US$916 million, bringing full-year net cash
       generation to US$592 million, which is at the upper end
       of the range provided by the company.  Full-year net cash
       provided by operating activities from continuing
       operations totaled US$956 million.

    -- Kodak held US$1.469 billion in cash as of Dec. 31, 2006,
       compared with US$1.665 billion on Dec. 31, 2005.

    -- debt decreased US$561 million from the third-quarter
       level, to US$2.778 billion as of Dec. 31, 2006.  For
       the full-year 2006, debt decreased US$805 million.

    -- Selling, General and Administrative expenses decreased
       US$172 million from the year-ago quarter, primarily
       reflecting the company's cost reduction activities.  SG&A
       as a percentage of revenue was 15.6%, down from 18.3% in
       the year-ago quarter, amplified by seasonally strong
       fourth-quarter revenue.

    -- gross profit margins were 26.4% in the current quarter,
       up from 23.0% in the prior year quarter.  This was driven
       by operational improvements across the company's business
       units, most notably KODAK PICTURE kiosks, the KODAK
       GALLERY, and the favorable impact of the previously noted
       Licensing arrangements.  The company also benefited from
       reduced restructuring costs.

Fourth-quarter segment sales and results from continuing
operations, before interest, other income (charges), net, and
income taxes (earnings from operations), are as follows:

    -- Consumer Digital Group earnings from operations were
       US$150 million, compared with US$40 million a year ago,
       on sales of US$1.154 billion, which were down 13% from
       the prior-year quarter, consistent with the company's
       focus on improving digital profit margins. On a full
       year-over-year basis, earnings from operations improved
       by US$132 million.

       Highlights for the quarter included a 27% increase in
       sales of KODAK PICTURE kiosks, of which 52% was a volume
       increase in related thermal media sales, a significant
       earnings improvement in the KODAK GALLERY, and an
       increase in income from licensing arrangements.
       According to the NPD Group's consumer tracking service,
       KODAK EASYSHARE digital cameras were number one in unit
       market share in the U.S. for the fourth quarter and full
       year of 2006.

    -- Graphic Communications Group earnings from operations
       were US$57 million, compared with US$28 million in the
       year-ago quarter, on sales of US$974 million, which were
       up 3% from the prior-year quarter.  On a full year-over-
       year basis earnings from operations improved by US$182
       million.  The sales growth largely reflects increased
       demand for NEXPRESS Color Presses and digital plates,
       partially offset by a decline in NEXPRESS Black & White
       Printers and the traditional product portfolio.

    -- Film and Photofinishing Group earnings from operations
       were US$77 million, compared with US$51 million a year
       ago, on sales of US$1.013 billion, which were down 16%
       from the prior-year quarter.  During the fourth quarter
       of 2006, the group achieved an 8% operating margin,
       double the rate of the year-ago quarter and in line with
       company expectations.

    -- Health Group segment earnings from operations were
       US$86 million, compared with US$87 million a year ago,
       despite substantial costs associated with the divestiture
       effort and increased costs for silver.  Sales for this
       segment were US$660 million, down 6%. Highlights for the
       quarter included sales increases in Healthcare
       Information System, digital dental products, and digital
       capture, offset by declines in traditional radiography
       and digital output.  The company announced on January
       10th that it has reached an agreement to sell the Health
       Group to Onex for as much as US$2.55 billion.  The
       transaction is expected to close in the first half of
       2007.

    Other 2006 Highlights:

    -- the company's net loss narrowed by US$754 million from a
       negative US$1.354 billion in 2005 to a negative US$600
       million in 2006.  The favorable year-over-year change
       reflects greatly improved operational performance in the
       company's Consumer Digital, Graphic Communications, and
       Film and Photofinishing businesses.  It also reflects a
       year-over-year decrease in restructuring charges, reduced
       SG&A expenses and lower tax valuation allowances versus
       the prior year.

    -- on a full-year basis, the company posted US$343 million
       in digital earnings, a nearly five-fold improvement
       year-over-year, and close to the company's aggressive
       target for the year.

    -- net cash provided by operating activities from continuing
       operations totaled US$956 million for the year, compared
       with US$1.180 billion in 2005, at the upper end of the
       company's forecasted range.

"I'm proud of my team and their accomplishments in 2006, and our
results reflect our progress in becoming a more profitable
company," said Mr. Perez.  "We delivered on every important goal
that we set, with the exception of digital revenue growth, where
we made a specific decision to focus on overall digital profit
margins over revenue growth.  Kodak is now a company with a
strong market position in a significant number of digital
categories. We enter 2007 with solid momentum, a strong emphasis
on sustaining profitable growth, and the talent and resources
necessary to generate value for our shareholders."

                      About Eastman Kodak Co.

Headquartered in Rochester, New York, Eastman Kodak Co. (NYSE:
EK) -- http://www.kodak.com/-- develops, manufactures, and
markets digital and traditional imaging products, services, and
solutions to consumers, businesses, the graphic communications
market, the entertainment industry, professionals, healthcare
providers, and other customers.


EASTMAN KODAK: Moody's May Downgrade Rating After Review
--------------------------------------------------------
Moody's Investors Service commented that its continuing review
for possible downgrade for the Eastman Kodak Company is focused
on not only the company's reported sale of the Kodak Health
Group, but also on the fundamental operating performance of the
company.

The review for possible downgrade continues to focus on the
potential KHG sale consummation, the application of KHG sale
proceeds toward debt reduction as well as other uses, Kodak's
prospects to grow earnings and cash flow, including the effects
of non-recurring licensing arrangements, and the company's
management of restructuring and KHG separation costs.

Based on Kodak's results reported [Wednes]day, Moody's believes
that the company's revenue, earnings, and cash flow remain
challenged relative to cross industry peers rated B1.

"Based on Moody's estimates, the company achieved its 2006
guidance for digital revenue growth and cash flow only through
non-recurring licensing arrangements and the company did not
meet its guidance for digital earnings" commented John Moore,
VP/Senior Analyst.

"However, as evidenced in its [reported 2006 earnings], the
company has delivered on its goal set in early 2006 to reduce
debt by US$800 million" Moore added.

The company reported about 4% 2006 digital revenue growth
compared to its twice revised 2006 digital revenue growth target
guidance.

Kodak generated US$343 million 2006 digital earnings.  This
US$343 million is slightly below its 2006 digital earnings
guidance of between US$350 million and US$450 million and is a
US$271 million improvement over fiscal 2005 results.

The company reported US$592 million 2006 Investible Cash Flow
and achieved its 2006 US$400 million to US$600 million
Investible Cash Flow guidance.  Moody's notes that this US$592
million includes about US$315 million cash flow from non-
recurring licensing arrangements.

Ratings on Review for Possible Downgrade:

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

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


EUROMONEY INSTITUTIONAL: Hikes Capital to 102,885,429 Shares
------------------------------------------------------------
In conformity with the Transparency Directive's transitional
provision 6, Euromoney Institutional Investor PLC disclosed that
its capital has increased from 102,881,429 ordinary shares with
voting rights as previously stated on Jan. 10 to 102,885,429, as
a result of the issue of new shares from the exercise of share
options.

Each of the International Depositary Receipts issued by Banque
Internationale a Luxembourg, as depositary agent under the IDR
arrangement with the company, equates to one underlying ordinary
share in the capital of Euromoney Institutional Investor PLC.

Therefore, the total number of voting rights in the company is
102,885,429.

The total voting rights figure (102,885,429) may be used by
shareholders as the denominator for the calculations by which
they will determine if they are required to notify their
interest in, or a change to their interest in, Euromoney under
the FSA's Disclosure and Transparency Rules.

Headquartered in London, England, Euromoney Institutional
Investor PLC -- http://www.euromoneyplc.com/-- is an
international publishing and events organizer offering business
information for the finance, law, energy and transport sectors.

At Sept. 30, 2006, Euromoney's balance sheet showed GBP239.09
million in total assets and GBP265.86 million in total
liabilities, resulting in a GBP26.77 million in stockholders'
deficit.

The company's Sept. 30 balance sheet also showed strained
liquidity with GBP104.08 million in total current assets
available to pay GBP171.55 million in total liabilities coming
due within the next 12 months.


EUROPEAN REINSURANCE: High Court Approves Solvent Scheme
--------------------------------------------------------
The High Court of Justice of England and Wales sanctioned
Jan. 15, the solvent scheme of arrangement made between
Europaische Ruckversicherungs-Gesellschaft in Zurich (European
Reinsurance Company of Zurich) and its scheme creditors pursuant
to section 425 of the Companies Act 1985.

The scheme of arrangement was voted on and approved by the two
classes of ERZ's scheme creditors at their respective scheme
meetings on Dec. 20, 2006.

The solvent scheme became effective Jan. 23, when an official
copy of the order was delivered to the Registrar of Companies in
England and Wales.

Scheme creditors are required to submit completed claim forms in
respect of their scheme liabilities to the company on or before
the final claims submission date at 5:00 p.m. on July 23, 2007.

Completed claim forms should be submitted to:

         The Scheme Manager
         Attn: Kevin McAfee or Dave Armstrong
         Bruton Court
         Bruton Way
         Gloucester GL1 1DA
         United Kingdom
         Tel: +44 (0) 1452 310 171
         E-mail: pro-rgmpoolhelpline@pro-ltd.co.uk

Information on the Solvent Scheme and a version of the claim
form is available at: http://www.rgmpool.com/


EUROPEAN REINSURANCE: U.S. Court Grants Relief Under Chapter 15
---------------------------------------------------------------
The Hon. Robert E. Gerber of the U.S. Bankruptcy Court for the
Southern District of New York issued an order granting
Europaische Ruckversicherungs-Gesselschaft in Zurich (European
Reinsurance Company of Zurich), relief under Chapter 15 of the
U.S. Bankruptcy Code.

Kevin McAtee, in his capacity as foreign representative for the
Debtor, filed the chapter 15 petition on Dec. 21, 2006.

The order recognizes the Debtor's foreign proceedings in the
High Court of Justice of England and Wales and granted European
Reinsurance injunctive relief that will give full force and
effect to a Scheme of Arrangement in the United States.

                     English Proceeding

The Debtor is subject to a collective proceeding currently
pending before the English High Court, in accordance with a
Solvent Scheme of Arrangement pursuant to Section 425 of the
Companies Act 1985 between the company and its Scheme Creditors.

On Jan. 15, the English Court sanctioned the Scheme of
Arrangement, which became effective on Jan. 23.

Except as provided in the Scheme of Arrangement, all Scheme
Creditors are required to:

  (a) turn over and account to the Scheme Manager for any
      property of the Debtor that is related to the Scheme
      Business and located in the U.S. or any proceeds thereof,
      of which they have possession, custody or control;

  (b) deliver to the Scheme Manager any documents of the Debtor
      that relate to the Scheme Business or may be required by
      the Scheme Manager; and

  (c) notify the Scheme Manager on claims against the Debtor or
      its property arising out of the Scheme Business in which
      ERZ is a party and put the Petitioner's U.S. counsel on
      the master service list.

Mr. McAtee is represented in the U.S. by:

         Jennifer C. DeMarco, Esq.
         Sara M. Tapinekis, Esq.
         Clifford Chance
         31 West 52nd Street
         New York, NY 10019
         Tel: (212) 878-8569
         Fax: (212) 878-8375

Chapter 15 of the U.S. Bankruptcy Code, which became effective
Oct. 17, 2005, broadens the mechanism through which
representatives of non-U.S. proceedings might obtain relief,
including injunctive relief, in the United States, expands the
powers of U.S. Bankruptcy Courts, and enhances the rights of
both U.S. and non-U.S. creditors.

                        RGM Pool

European Reinsurance, a wholly owned subsidiary of Swiss
Reinsurance Company, Zurich, conducts a portion of its business
as a member of a pool of four companies that transacted
insurance and reinsurance business from August 1963 until
November 1966, including some multiyear policies as a result of
which coverage may be extended until 1969.  The business of the
RGM Pool was written through the agency of Reinsurance Group
Managers Ltd.  Other members of the Pool include:

   * Mercantile & General Reinsurance Company Ltd.
   * NRG Victory Reinsurance Ltd.
   * Guildhall Insurance Company Ltd.

The RGM Pool ceased writing new business in November 1966 and
currently is in run-off.  The Pool is currently managed by PRO
Insurance Solutions Ltd. as a run-off specialist.

As of Dec. 31, 2006, European Reinsurance's balance sheet showed
US$18.2 billion of total assets and US$17.2 billion of total
liabilities.

                    Scheme of Arrangement

The Scheme of Arrangement applies solely to European
Reinsurance's portfolio of business written through the Pool.
The Debtor commenced the English proceeding to obtain the
English Court's approval of the Scheme of Arrangement.

A scheme of arrangement becomes legally binding when:

  (a) a majority in number representing not less than 75% in
      value of creditors vote in favor of the scheme;

  (b) the court subsequently enters and order sanctioning the
      scheme of arrangement; and

  (c) a copy of that order is delivered to the registrar of
      companies for registration.

The Debtor estimates about 3,200 potential scheme creditors with
claims likely to vary widely.

The Scheme establishes Dec. 31, 2006, as the Ascertain Date,
which is the date as of which claims will be valued in
accordance with the Scheme.

The Debtor believes that a solvent scheme will be the most
efficient method of making full payment to Scheme Creditors in
the short practicable time.

The Scheme provides for the appointment of:

    * PricewaterhouseCoopers LLP as Scheme Adviser to provide
      the Debtor with advice necessary to facilitate and
      implement the Scheme of Arrangement; and

    * PRO Insurance Solutions as Scheme Manager, who will have
      power to manage and control the business.

Jennifer C. DeMarco, Esq., of Clifford Chance U.S. LLP, who
represents the Debtor, tells the Court that the Scheme's primary
objective is to conclude the run-off of the Scheme Business
earlier than would be the case if the pre-Scheme of Arrangement
run-off were to continue until all claims had materialized and
been agreed upon and paid in the ordinary course.

Mr. McAtee sought the relief as a requirement to give effect to
the Scheme of Arrangement in the U.S. and to prevent the Scheme
and the English Proceeding from being frustrated.


EUROTUNNEL GROUP: Four Tier 3 Debt Holders Choose Cash Option
-------------------------------------------------------------
Eurotunnel Group disclosed that four holders representing 32.5%
of the company's GBP575 million Tier 3 debt opted to exercise
the Cash Option.

The Tier 3 debt has an exchange rate of GBP1 = EUR1.46635.

The company's safeguard plan, approved by the Paris Commercial
Court on Jan. 15, allowed that in exchange for abandoning their
debt, the holders of Tier 3 debt will receive notes redeemable
in shares (NRS) issued by the new company, Eurotunnel Group U.K.
Plc, and redeemable in ordinary shares in the new company Groupe
Eurotunnel SA.

The plan also provided an option for a cash sum in place of
receiving NRS for this category of creditors.  Creditors
notified Eurotunnel of their decision by Jan. 31.

The payment of the corresponding amount will, inter alia, be
guaranteed according to the conditions set out in the plan,
through the subscription for the NRS, which would have been
attributed to those creditors who have chosen to take the Cash
Option, by some of the other holders of Tier 3 debt and some of
the bondholders.

The creditors who are interested in subscribing for these NRS
have until Feb. 14 to exercise this option.

To guarantee the financing of the Cash Option, Eurotunnel signed
a cash option provider agreement, Jan. 30, with Deutsche Bank
and Goldman Sachs.

                        About Eurotunnel

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

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

Eurotunnel Group files reports in the U.S. Securities and
Exchange Commission under the names of Eurotunnel PLC (ETNUF.PK)
and Eurotunnel SA (ETTFF.PK).

                        *     *     *

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

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

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

On Jan. 15, the Court approved Eurotunnel's safeguard plan,
backed by the court-appointed representatives to the company and
to the creditors.


FOKUS SYSTEMS: Brings In Liquidators from Begbies Traynor
---------------------------------------------------------
Robert Michael Young and Paul Finnity of Begbies Traynor were
appointed joint liquidators of Fokus Systems Ltd. on Jan. 23 for
the creditors' voluntary winding-up proceeding.

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

Fokus Systems Ltd. can be reached at:

         Quarry Hill
         Box
         Corsham
         Wiltshire SN138LP
         England
         Tel: 0871 310 1010


FORD MOTOR: To Invest US$866 Million in Six Michigan Plants
----------------------------------------------------------
Ford Motor Co. is producing more fuel-efficient vehicles by
investing US$866 million to raise six Michigan plants, the
Associated Press reports.

Under the investment, US$130 million would be spent for a
stamping and assembly plant in Wayne, US$320 million for a
transmission plant in Van Dyke, US$88 million for a transmission
plant in Livonia, US$89 million for Woodhaven Stamping, US$31
million for Dearborn Stamping, and US$208 million at a Dearborn
plant.

In addition, Ford would receive state incentives of up to
US$151 million and could get that amount matched by local
governments.

According to AP, the US$151 million in tax abatements and other
incentives offered by the Michigan Economic Development Corp. is
based on Ford's billion-dollar commitment.  The company has
reportedly said in August that it plans to invest up to
US$1 billion in its Detroit operations.

Local governments also have considered offering another
US$150 million to US$170 million in incentives, AP adds.

Citing Ford President Mark Fields, AP relates that the
investment in new products and infrastructure will help the
plants become an avenue to build the best vehicles in the world.

                       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 TCR-Europe on Dec. 13, 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 US$18.5 billion, up from US$15
billion.

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

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


FORMOLD HIGH: Calls In Liquidators from KPMG LLP
------------------------------------------------
David John Crawshaw and Richard John Hill of KPMG LLP were
appointed joint liquidators of Formold High Pressure Plastics
Ltd. on Jan. 24 for the creditors' voluntary winding-up
proceeding.

KPMG LLP -- http://www.kpmg.co.uk/-- offers accounting, audit,
and tax-related services to customers in such target industries
as banking, media and entertainment, consumer products, health
care providers, insurance, and pharmaceuticals.

Formold High Pressure Plastics Ltd. can be reached at:

         5B Grange Road
         Houstoun Industrial Estate
         Livingston
         West Lothian EH54 5DE
         Scotland
         Tel: 01506 430 902
         Fax: 01506 436 148


GIFT CONCEPTS: Liquidator Sets March 9 Claims Bar Date
------------------------------------------------------
Creditors of Gift Concepts Ltd. have until March 9 to send in
their full forenames and surnames, their addresses and
descriptions, full particulars of their debts or claims and the
names and addresses of their solicitors, if any, to:

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

Martin Henry Linton of Leigh & Co. was appointed liquidator of
the company on Jan. 25.


GRANGE CERAMICS: Creditors' Meeting Slated for February 22
----------------------------------------------------------
Creditors of Grange Ceramics Ltd. will meet at 10:30 a.m. on
Feb. 22 at:

         41-43 William Street
         Herne Bay
         Kent CT6 5NT
         England

Creditors who want to vote at the meeting have until noon on
Feb. 21 to submit their proxy forms together with particulars of
their claims or of any security at the said address.

David Jenner Cork of McCabe Ford Williams will furnish creditors
with information concerning the company's affairs free of charge
as they may reasonably require.


HALLETT SPRAY: Claims Filing Period Ends March 5
------------------------------------------------
Creditors of Hallett Spray Services Ltd. have until March 5 to
send in their names and addresses with particulars of their
debts or claims and the names and addresses of their solicitors
(if any), to:

         John William Lewis
         J W Lewis Insolvency Services Ltd.
         Suite B1
         White House Business Centre
         Forest Road
         Kingswood
         Bristol BS15 8NH
         England

John William Lewis and Terry C. Evans of J W Lewis Insolvency
Services Ltd. were appointed joint liquidators of the company on
Jan. 19.


HALLMARK TRAVEL: Appoints Andrew McTear as Liquidator
-----------------------------------------------------
Andrew McTear of McTear Williams & Wood was appointed liquidator
of Hallmark Travel Consultants Ltd. (formerly WB Travel
Incentives Ltd., Europa Travel (U.K.) Ltd. and Lookremote Ltd.)
on Jan. 25 for the creditors' voluntary winding-up procedure.

The company can be reached at:

         Hallmark Travel Consultants Ltd.
         Hallmark House
         Layer Road
         Kingsford
         Colchester
         Essex CO2 0HT
         England
         Tel: 01206 734 888
         Fax: 01206 213 457


HAMILTON FORBES: High Court to Hear Wind-Up Petition on March 13
----------------------------------------------------------------
The Secretary of State for Trade and Industry has presented a
petition in the High Court of England and Wales to wind up
Hamilton Forbes Ltd. in the public interest.

The petitions to wind up the company were presented following an
investigation carried out by Companies Investigation Branch
under Section 447 of the Companies Act 1985 (as amended).

The Official Receiver has been appointed provisional liquidator
of each of the companies.

The Official Receiver can be reached at:

         Public Interest Unit
         PO Box 326
         17 - 21 Chorlton Street
         Manchester M60 3ZZ
         England
         Tel: 0161 934 4182
         Email: piu.north@insolvency.gsi.gov.uk

The case is now subject to High Court action and no further
information will be available until the petition is heard on
March 13.

Headquartered in Ormskirk, England, Hamilton Forbes Ltd. sells
advertising space in wall-planners to businesses by way of cold-
calling.


HILTON HOTELS: Reports Strong Results for Quarter Ended Dec. 31
---------------------------------------------------------------
Hilton Hotels Corp. reported financial results for the fourth
quarter and fiscal year ended Dec. 31, 2006.  Fourth quarter
highlights compared with fourth quarter 2005 are as follows:

   * Diluted EPS of US$0.50 vs. US$0.26 in 2005, an increase of
     92%;

   * Total company Adjusted EBITDA of US$485 million, up 78%;

   * Pro forma worldwide comparable owned RevPAR increased 10.7%
     driven by strong rate increases and high demand in most
     major markets.  Pro forma worldwide comparable owned
     margins improved 90 basis points;

   * Fees up 60% to US$182 million on strong RevPAR and unit
     growth, the favorable impact of the Hilton International
     acquisition and a one-time termination fee; and

   * Timeshare profitability up 11%.

Hilton reported fourth quarter 2006 net income of US$207 million
compared with US$105 million in the 2005 quarter.  Diluted net
income per share was US$0.50 in the 2006 fourth quarter, versus
US$0.26 in the 2005 period.

In total, non-recurring items benefited the 2006 quarter by
approximately US$.11 per share as follows:

   * US$11 million pre-tax benefit (US$.02 per share) from
     contract termination fees related to the sale of a
     joint-venture hotel;

   * US$14 million pre-tax gain (US$.02 per share) on foreign
     currency transactions;

   * US$6 million benefit (US$.01 per share) to the tax
     provision related to a prior year's tax return;

   * US$36 million pre-tax gain (US$.06 per share) on asset
     sales and other items, including a US$22 million pre-tax
     gain from the sale of a joint-venture hotel in which the
     company had a minority interest.

Additionally, fourth quarter results included a revision to the
full year effective tax rate primarily due to higher than
expected utilization of foreign tax credits against the
company's U.S. income tax liability.  This revision benefited
fourth quarter results by US$31 million or US$0.07 per share.
In the 2005 fourth quarter, non-recurring items benefited
results by US$0.04 per share.

The company reported fourth quarter 2006 total operating income
of US$358 million (an 85% increase from the 2005 quarter,) on
total revenue of US$2.232 billion (a 106% increase from US$1.083
billion in the 2005 quarter.)  Total company earnings before
interest, taxes, depreciation and amortization (Adjusted EBITDA)
were US$485 million, an increase of 78% from US$273 million in
the 2005 quarter.

         System-wide RevPAR; Management/Franchise Fees

All of the company's brands reported significant system-wide
revenue-per-available-room increases, with particularly strong
gains in average daily rate.  On a system-wide basis (including
owned, leased, managed and franchised properties) and pro forma
as if the acquisition of Hilton International had occurred
Jan. 1, 2005, the company's brands showed fourth quarter RevPAR
gains as follows:

   -- Scandic, 18.1%;
   -- Conrad, 15.8%;
   -- Hilton, 12.2%;
   -- Embassy Suites, 9.9%;
   -- Doubletree, 9.7%;
   -- Hampton, 9.0%;
   -- Hilton Garden Inn, 8.1%; and
   -- Homewood Suites by Hilton, 6.9%.

Management and franchise fees increased 60% in the fourth
quarter to US$182 million, benefiting from RevPAR gains, the
addition of new units, and the acquisition of HI.  Fees in the
quarter also include a one-time US$11 million management
contract termination fee related to a joint-venture hotel.  The
property was sold and converted to a franchised hotel during the
quarter.

                    Owned Hotel Results

Continued strong demand trends and pricing power resulted in
high single digit or double digit ADR increases at many of the
company's gateway hotels around the world.  Business transient,
group and leisure segments each showed significant ADR
improvement.

Across all brands, revenue from the company's owned hotels
(majority owned and controlled hotels) was US$683 million in the
fourth quarter 2006, a 39% increase from US$490 million in the
2005 quarter.  Total owned hotel expenses were up 34% in the
quarter to US$459 million.

Comparable North America owned revenue and expenses increased
10.7% and 9.2%, respectively.  Expenses were impacted by higher
insurance and marketing costs.

RevPAR from comparable N.A. owned hotels increased 10.2% (91%
rate driven.)  Comparable N.A. owned hotel occupancy increased
0.7 points to 76.3%, while ADR increased 9.2% to US$220.77.
Particularly strong RevPAR growth was reported at the company's
owned hotels in Chicago, New York, San Francisco and Phoenix.
Results also benefited from higher food and beverage revenue and
profits in the quarter.  Comparable N.A. owned hotel margins in
the fourth quarter increased 90 basis points to 33.4%.  The
aforementioned higher insurance and marketing costs impacted
margins by approximately 120 basis points. Renovation activity
at the Waldorf-Astoria, Hilton New York and Hilton Hawaiian
Village did not significantly impact results during the fourth
quarter.

On a pro forma basis, as if the acquisition of HI had occurred
Jan. 1, 2005, comparable international owned revenue and
expenses increased 9.7% and 8.7%, respectively.  Pro forma
RevPAR from international comparable owned hotels increased
12.8% (92% rate driven.)  Occupancy increased 0.7 points to
68.9%, while ADR increased 11.7% to US$147.34. Strong results
were reported in Barcelona, Brussels, Sao Paulo and Zurich.
Excluding the impact of foreign exchange, RevPAR from
international comparable owned hotels increased 6.0%. Pro forma
comparable international owned margins improved 70 basis points
to 26.5%.

On a worldwide basis, pro forma comparable owned RevPAR
increased 10.7% (91% rate driven,) with margins increasing 90
basis points to 31.8%.  Excluding the impact of foreign
exchange, worldwide pro forma comparable owned RevPAR increased
9.2%.

                       Leased Hotels

Revenue from leased hotels was US$731 million in the fourth
quarter 2006 compared with US$24 million in the 2005 quarter,
while leased hotel expenses were US$605 million in the current
quarter versus US$22 million last year.  The EBITDAR-to-rent
coverage ratio was 1.9 times in the quarter.

Pro forma comparable leased revenue increased 14.0%, leased
expenses increased 11.6% and margins increased 170 basis points
to 17.0%.  RevPAR from comparable leased properties increased
17.4%.  Excluding the impact of foreign exchange, RevPAR from
comparable leased hotels increased 9.9%.  Strong results were
reported at the company's leased hotels in London, Amsterdam,
Paris, and across Germany and the Nordic region.

                   Hilton Grand Vacations

Hilton Grand Vacations Company or HGVC, the company's vacation
ownership business, reported an 11% increase in profitability in
the fourth quarter of 2006 compared with 2005, due primarily to
increased financing income.  Although average unit sales prices
increased 15% and unit sales increased 8%, percentage-of-
completion accounting negatively impacted the reported results.

HGVC had fourth quarter revenue of US$142 million, a 9% increase
from US$130 million in the 2005 quarter.  Expenses were US$121
million in the fourth quarter, compared with US$111 million in
the 2005 period.

                 Brand Development/Unit Growth

In the fourth quarter, the company added 59 properties and 9,040
rooms to its system as:

   -- Hilton Garden Inn, 18 hotels and 2,616 rooms;
   -- Hampton Inn, 21 hotels and 1,980 rooms;
   -- Embassy Suites, 5 hotels and 1,384 suites;
   -- Hilton, 4 hotels and 1,136 rooms;
   -- Homewood Suites by Hilton, 8 hotels and 885 suites;
   -- Doubletree, 2 hotels and 438 rooms; and
   -- other, 1 hotel and 601 rooms.

Nineteen properties and 4,066 rooms were removed from the system
during the quarter.

During the fourth quarter, the company added new full-service
hotels in Boston, Chicago, Mexico City, Tampa, Honolulu, Kauai,
and Manchester, U.K.  The company also added the Qasr Al Sharq
in Jeddah, Saudi Arabia to the Waldorf-Astoria Collection. In
addition, the company opened new Hilton Garden Inns in Florence
and Rome, Italy.

During the quarter, the company announced plans to form a joint
venture with DLF Ltd. to develop hotel properties and
serviced apartments in India.  The joint-venture company plans
to develop and own 50-75 midscale and extended-stay hotels over
the next seven years.  The company also announced an agreement
to develop and franchise an initial 25 Hilton Garden Inns in
Beijing, Shanghai and Tianjin, China to Deutsche Asset
Management and HQ Asia Pacific.  The company also announced that
it has signed a management agreement for a new Conrad in Koh
Samui, Thailand scheduled to open in 2008.

At Dec. 31, 2006, the Hilton worldwide system consisted of 2,935
properties and 501,478 rooms.  The company's current development
pipeline is its biggest yet, and the largest for any U.S.-based
hotel company, with more than 775 hotels and 110,000 rooms at
Dec. 31, 2006.  Approximately 90% of the hotels in the current
development pipeline are in the Americas (U.S., Canada, Mexico
and South America,) though international development is expected
to comprise an increasingly larger%age of the company's
development pipeline over the next few years.

                    Asset Dispositions

Hilton noted that the sale processes continue for the Scandic
portfolio, 10 hotels in Continental Europe, the Hilton
Caledonian in Scotland, and six properties in the U.S. First or
second round bids have been received for 14 of the 17 properties
for sale and Scandic.

As previously announced, during the fourth quarter the company
completed the sale of two hotels located in the U.K., the 1,054-
room Hilton London Metropole and the 794-room Hilton Birmingham
Metropole, for GBP417 million.

                      Corporate Finance

At Dec. 31, 2006, Hilton had total debt of US$6.97 billion
(net of approximately US$500 million of debt and capital lease
obligations resulting from the consolidation of certain joint-
venture entities and a managed hotel, which are non-recourse to
Hilton,) a reduction of approximately US$860 million from
Sept. 30, 2006.  Of the US$6.97 billion, approximately 53% is
floating rate debt.  Total cash and equivalents (including
restricted cash of approximately US$293 million) were
approximately US$420 million at Dec. 31, 2006.

The company's average basic and diluted share counts for the
fourth quarter were 387 million and 422 million, respectively.
Hilton's debt currently has an average life of 6.1 years, at an
average cost of approximately 6.6%.

Hilton's effective tax rate in the fourth quarter 2006 was
22.5%.  As previously noted, the fourth quarter effective tax
rate benefited from a higher than expected utilization of full-
year 2006 foreign tax credits and a non-recurring item related
to the prior year's tax return.

Total capital expenditures in the fourth quarter were
approximately US$300 million, including US$40 million for
timeshare development.

                     Full-Year Results

For full-year 2006, Hilton reported net income of US$572
million, compared with US$460 million in 2005.  Diluted net
income per share was US$1.39 versus US$1.13 in 2005.  Non-
recurring items benefited the 2006 full-year period by US$.18
per share, versus US$.28 per share in 2005.  On a recurring
basis (including the full year impact of a lower effective tax
rate due to higher than expected utilization of foreign tax
credits,) EPS was US$1.21 versus US$.85 in 2005, an increase of
42%.

Total company operating income was US$1.274 billion in
2006 (compared with US$805 million in 2005) on revenue of
US$8.162 billion (compared with US$4.437 billion in 2005.)
Total company Adjusted EBITDA was US$1.742 billion, a 53%
increase from US$1.140 billion in 2005.  Management and
franchise fees were US$684 million, a 51% increase from US$452
million in 2005.  Timeshare profitability was up 19% versus
2005.  The company added 223 hotels and 35,970 rooms in 2006.

                        2007 Outlook

The 2007 guidance includes incremental operating and corporate
costs associated with international growth and development
activities and technology initiatives.  The guidance also
includes cost increases related to stock compensation, including
incremental costs from extending the company's equity
compensation plans to international employees.  The 2007
effective tax rate guidance assumes full utilization of
available foreign tax credits.

As previously communicated, 2007 diluted EPS guidance includes
these two items which combine to adversely impact diluted EPS
growth by a total of US$.14 per share:

   * the company's timeshare business is expected to be
     negatively impacted, from a reporting standpoint, by
     percentage-of-completion accounting associated with new
     projects.  The net change attributable to
     percentage-of-completion accounting between 2006 and 2007
     is expected to total approximately US$60 million pre-tax,
     or US$.09 per share.  The company expects the impact of
     percentage-of-completion accounting on 2007 results to
     reverse in 2008.

   * reported earnings growth in 2007 is expected to be impacted
     by the timing of the HI acquisition. Results in 2006
     include HI from the Feb. 23, 2006, acquisition date.  Had
     the acquisition been completed on Jan. 1, 2006, expected
     full-year 2006 results would have been reduced by
     approximately US$.05 per share.  During the period Jan. 1
     to Feb. 23, 2006, HI's pro forma fixed costs significantly
     exceeded its operating performance due to the seasonally
     weak business environment of the period.

Total capital spending in 2007 is expected to be approximately
US$985 million as:

   -- around US$320 million for routine improvements and
      technology,

   -- around US$315 million for timeshare projects and

   -- around US$350 million for hotel renovation, special
      projects, and hotel investments.

To the extent the company completes additional asset sales,
capital expenditures would be expected to decrease.

The company expects to add approximately 255 hotels and 35,000
rooms to its system in 2007.

Stephen F. Bollenbach, co-chairman and chief executive officer
of Hilton Hotels Corp., said, "A historic and successful year
that began with our acquisition of Hilton International ended
with another strong quarter, highlighted by excellent RevPAR
growth both domestically and internationally, and significant
progress in introducing our brands to new markets around the
world.  We are particularly excited about the agreements we
signed with respected partners to develop Hilton Garden Inns and
other Hilton Family brands in India and China.  These agreements
lay the foundation for our global growth going forward.

"With our market leading presence in such robust markets as New
York City, Chicago, Hawaii and London; a domestic and
international development pipeline that guarantees rapid growth,
and strong demand for our timeshare properties, the elements are
in place for continued solid operating results in 2007."

Mr. Bollenbach concluded, "We expect that the operational,
development, marketing and financial plans we have in place for
2007 will further enhance our industry-leading position."

                       About Hilton Hotels

Headquartered in Beverly Hills, California, Hilton Hotels Corp.
-- http://www.hilton.com/-- together with its subsidiaries,
engages in the ownership, management, and development of hotels,
resorts, and timeshare properties, as well as in the franchising
of lodging properties in the United States and internationally.

Hilton Hotels also operates in the United Kingdom,
Germany, Belgium, Estonia, Lithuania, Norway, Denmark, Finland,
Italy, The Netherlands, Sweden, Indonesia, Australia, Austria,
India, Philippines, Vietnam.


HILTON HOTELS: Asset Sale Prompts S&P's Positive CreditWatch
------------------------------------------------------------
Standard & Poor's Ratings Services placed its ratings on Hilton
Hotels Corp., including the 'BB' corporate credit rating, on
CreditWatch with positive implications.

The CreditWatch listing follows Hilton's update that it
continues to make good progress in selling assets and that a
meaningful level of asset sales could occur over the near term,
which could lead to a faster-than-expected pace of debt
reduction.

Hilton has reported these potential transactions:

   -- The sale of part or all of the company's Scandic-branded
      portfolio, which Standard & Poor's would view favorably
      because it would lead to sale proceeds in excess of
      expectations and the transfer of a meaningful portion of
      Hilton's fixed lease obligations, as well as improve
      margins in Hilton's global lodging portfolio;

   -- The sale of a portfolio of 10 hotels in Continental
      Europe;

   -- The sale of the Hilton Caledonian in Scotland; and

   -- The sale of six hotels in the U.S.


HILTON HOTELS: Fitch Lifts Ratings & Assigns Positive Outlook
-------------------------------------------------------------
Fitch Ratings has upgraded the debt ratings for Hilton Hotels
Corporation as:

   -- Issuer Default Rating to 'BB+' from 'BB';
   -- Senior credit facility to 'BB+' from 'BB';
   -- Senior notes to 'BB+' from 'BB';

The ratings apply to its US$5.75 billion credit facility and
roughly US$2.6 billion of its senior notes.

Fitch has also revised Hilton's Rating Outlook to Positive from
Stable.

The ratings upgrade reflects Hilton's indicated and demonstrated
commitment to delever following the acquisition of the Hilton
International assets in February 2006.  Fueled by roughly
US$1.5 billion of asset sales since the closing of the
transaction through the end of 2006, Hilton improved its
adjusted leverage ratio from 5x at March 31, 2006, to an
estimated 4.2x as of Dec. 31, 2006.

At the same time, adjusted coverage increased from 3.0x as of
March 31, 2006, to an estimated 3.3x as of Dec. 31, 2006.  The
pace of asset sales since the acquisition has been faster than
Fitch anticipated following the transaction and Hilton retained
long-term management/franchise agreements on most of the
properties.  While the current credit metrics remain somewhat
weak for the rating category, Fitch expects further deleveraging
in 2007 driven by additional asset sales in a vibrant lodging
asset demand environment and a continued strong operating
environment.  These factors are incorporated into Hilton's
Positive Rating Outlook.

Asset Sales Could Accelerate Deleveraging

Adjusted leverage could decline to less than 4.0x by the end of
2007 with no asset sales, but Fitch expects that improvement
could be accelerated given the current demand environment for
lodging assets primarily by real estate investment trusts and
private equity firms.  In the latest example of numerous
transactions over the past 12-24 months, CNL Hotels & Resorts
Inc. reported on Jan. 19 that it had agreed to be acquired by
Morgan Stanley's Real Estate Group for US$6.6 billion with
Ashford Hospitality Trust Inc. acquiring some of the assets as
part of the transaction.  Furthermore, European hotel asset
demand could be bolstered by the introduction of REITs this year
in the U.K. and possibly Germany.

Hilton currently has the Scandic brand for sale, which includes
roughly 130 hotels and 23,000 rooms and accounted for roughly
45% of proforma 2006 leased profit.  Also currently for sale are
17 owned hotels or 6,500 rooms, which accounted for roughly 15%
of proforma 2006 owned profits.  An additional 30 owned hotels
10,000 rooms accounting for roughly 25% of proforma 2006 owned
profits could be put on the market down the road, roughly half
of which could be sold in the next one-to-three years.

Fitch believes the negotiations for the sale of Scandic are
progressing very well and believes a transaction could be
completed possibly by first quarter-2007, but more likely by the
end of second quarter-2007.  First or second round bids have
been received for 14 of the 17 properties for sale and Scandic.
Furthermore, Hilton is required to pay down some of its credit
facility when certain assets are sold.

Strong Industry Operating Environment Continues to Provide
Tailwinds:

The lodging industry is poised to benefit from continued
positive fundamentals with strong demand and limited supply
growth of less than 2% in 2007.  While Fitch expects the overall
economy to continue to slow in 2007, the outlook for the
business sector remains healthier than that of the consumer
sector, which bodes well for the lodging companies since their
operating environment is more sensitive to the business economy.

Industrywide RevPAR gains are expected to continue in the mid-
to-high single-digit range over the next two-to-three years,
below the low double-digit gains in 2006 but very solid
nonetheless.  The RevPAR gains are likely to be driven by rate
rather than occupancy in 2007, which should drive stronger
margins since rate-driven RevPAR gains don't carry the
additional operating costs of occupancy-driven RevPAR gains.

On its fourth quarter earnings release, Hilton raised its 2007
RevPAR growth assumptions indicating the operating environment
remains robust.  In 2007, Hilton projects the strong
supply/demand environment to drive 14-16% growth in its
management/franchise fees and RevPAR growth of 9-11% with
margins increasing 125-175 basis points.  Its leased portfolio
is expected to show slightly slower RevPAR growth of 8-10% with
margins increasing 30-70 basis points in 2007.

Off-Balance Sheet Debt Exposure:

Following the HI acquisition, Hilton increased its exposure to
the leased hotel segment and as a result gained a significant
amount of off-balance sheet debt and non-recourse, on-balance
sheet debt primarily in the form of leases.  Fitch believes that
many of the leases will be sold with the Scandic brand in the
next few months.  Furthermore, Hilton reports nearly US$300
million in operating leases in its financial statements, which
equates to roughly US$2.4 billion of adjusted debt.  However,
the actual exposure is likely much lower than that, as Hilton
and its banks have agreed to a lower lease adjustment in its
adjusted leverage calculations.

Management Track Record:

Also incorporated into the rating upgrade and Positive Outlook
is management's track record of executing on a plan to get back
to investment grade.  Following the travel disruptions brought
on by the events of Sept. 11, 2001, Fitch downgraded Hilton's
credit ratings in 2002 to below investment grade.  Hilton
subsequently suspended its share repurchase program and focused
on reducing debt and improving the credit profile, which
resulted in an upgrade to investment grade in 2004 as the travel
environment recovered.  Following the HI transaction last year,
management again suspended share repurchase activity and
dividend increases and has indicated a target adjusted leverage
ratio of 3.5x.

Fitch believes that Hilton will restart its share repurchase
program at some point within the next 12-24 months if asset
sales and the operating environment proceed as expected.  Hilton
has 44.7 million shares authorized for repurchase and management
was continually challenged by equity shareholders at its recent
analyst day in December to adopt a more shareholder-friendly
capital allocation policy.  Furthermore, Marriott and Starwood
are both actively buying back shares.

Rating Outlook Considerations:

Fitch's rating upgrade incorporates management's track record
that is again being demonstrated through the asset sale and
deleveraging execution since the HI transaction.  The Positive
Outlook incorporates an expectation that balance sheet
improvement remains a priority in the near term, that management
continues to execute on its asset sale/deleveraging plan, and
that the strong demand environment remains intact.  A further
upgrade to an investment grade rating will be considered as the
company makes substantial progress toward its stated goal of
achieving its target adjusted leverage ratio of 3.5x.

Fitch may lower Hilton's Positive Outlook if there is change in
management's current asset sale/deleveraging plan, if there is a
resumption of share repurchase activity in the near term, or if
Fitch's outlook on industry demand changes.  Longer-term, Fitch
believes Hilton's credit profile can support a sizable share
repurchase program.


HYPNOTIC LTD: Names Gagen Dulari Sharma Liquidator
--------------------------------------------------
Gagen Dulari Sharma was appointed liquidator of Hypnotic Ltd. on
Jan. 23 for the creditors' voluntary winding-up procedure.

The company can be reached at:

         Hypnotic Ltd.
         Unit 2
         Fordhouse Road Industrial Estate
         Steel Drive
         Wolverhampton
         West Midlands WV10 9XA
         England
         Tel: 01902 787 032
         Fax: 01902 783 524


KINGSWAY GARDEN: Claims Registration Period Ends March 1
--------------------------------------------------------
Creditors of Kingsway Garden Buildings Ltd. have until
March 1 to send in their names and addresses, with particulars
of their debts or claims, and the names and addresses of their
solicitors (if any) to:

         John William Lewis
         Liquidator
         J W Lewis Insolvency Services Ltd.
         Suite B1
         White House Business Centre
         Forest Road
         Kingswood
         Bristol BS15 8NH
         England

John William Lewis and Terry C. Evans of J W Lewis Insolvency
Services Ltd. were appointed joint liquidators of the company on
Jan. 18.

The company can be reached at:

         Kingsway Garden Buildings Ltd.
         71 Bath Road
         Longwell Green
         Bristol
         Avon BS30 9DF
         England
         Tel: 0117 932 4341


KITCHEN STUDIO: Appoints Liquidator from B & C Associates
---------------------------------------------------------
Jeffrey Mark Brenner of B & C Associates was appointed
liquidator of The Kitchen Studio (Reigate) Ltd. on Jan. 25 for
the creditors' voluntary winding-up procedure.

The company can be reached at:

         The Kitchen Studio (Reigate) Ltd.
         39 High Street
         Reigate
         Surrey RH2 9AE
         England
         Tel: 01737 248 228
         Fax: 01737 224 180


L. STONEFIELD: Hires Liquidator from Debtmatters Ltd.
-----------------------------------------------------
Gerald Nicholas Ratcliffe of Debtmatters Ltd. was appointed
liquidator of L. Stonefield Ltd. on Jan. 29 for the creditors'
voluntary winding-up procedure.

The company can be reached at:

         L. Stonefield Ltd.
         207 Lord Street
         Southport
         Merseyside PR8 1PF
         England
         Tel: 01704 531 048


MAD RECRUITMENT: Taps Liquidators from Vantis Redhead French
------------------------------------------------------------
G. Mummery and P. Atkinson of Vantis Redhead French Ltd. were
appointed joint liquidators of Mad Recruitment Services Ltd. on
Jan. 23 for the creditors' voluntary winding-up procedure.

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

Mad Recruitment Services Ltd. can be reached at:

         North Hill
         Colchester
         Essex CO1 1EG
         England
         Tel: 01206 766 767


MALBRO CONSTRUCTION: Creditors Confirm Liquidator's Appointment
---------------------------------------------------------------
Creditors of Malbro Construction Ltd. confirmed on Jan. 25 the
appointment of Jonathan Lord of Bridgestones as the company's
liquidator.

The company can be reached at:

         Malbro Construction Ltd.
         79 Featherstall Road North
         Oldham
         Lancashire OL9 6QB
         England
         Tel: 0161 626 1999
         Fax: 0161 626 4997


MEANTIME FLOORING: Creditors' Meeting Slated for February 26
------------------------------------------------------------
Creditors of Meantime Flooring Ltd. will meet at 10:30 a.m. on
Feb. 26 at:

         Carter Clark
         Meridian House
         62 Station Road
         North Chingford
         London E4 7BA
         England

Creditors who want to vote at the meeting have until noon on
Feb. 23 to submit their proxy forms together with particulars of
their claims or of any security at the said address.

Alan J. Clark of Carter Clark will furnish creditors with
information concerning the company's affairs free of charge as
they may reasonably require.


MEERKAT CULTURE: Creditors' Claims Due March 16
-----------------------------------------------
Creditors of Meerkat Culture Marketing Ltd. (formerly Culture
Marketing Ltd.) have until March 16 to prove their debts by
sending written statements of the amounts they claim to be due
to them from the company to:

         Stephen Goderski
         Liquidator
         Geoffrey Martin & Co.
         7-8 Conduit Street
         London W1S 2XF
         England

The company can be reached at:

         Meerkat Culture Marketing Ltd.
         139 King Street
         Hammersmith and Fulham
         London W6 9JG
         England
         Tel: 020 7323 6666
         Fax: 020 8735 6699


MERCURY SPRING: Appoints Tony Mitchell as Liquidator
----------------------------------------------------
Tony Mitchell of Cranfield Recovery Ltd. was appointed
liquidator of Mercury Spring Ltd. on Jan. 24 for the creditors'
voluntary winding-up procedure.

The company can be reached at:

         Mercury Spring Ltd.
         Unit 2
         Leamore Industrial Estate
         Wall End Close
         Walsall
         West Midlands WS2 7PH
         England
         Tel: 01922 712 271
         Fax: 01922 712 271


MICHAEL KAVANAGH: Names Liquidator to Wind Up Business
------------------------------------------------------
Tony Mitchell of Cranfield Recovery Ltd. was appointed
liquidator of Michael Kavanagh Building & Roofing Contractors
Ltd. on Jan. 22 for the creditors' voluntary winding-up
procedure.

The company can be reached at:

         Michael Kavanagh Building & Roofing Contractors Ltd.
         Warwick Street
         Coventry
         West Midlands CV5 6ET
         England
         Tel: 01635 435 12


MIDLAND METAL: M. T. Coyne Leads Liquidation Procedure
------------------------------------------------------
M. T. Coyne of Poppleton & Appleby was appointed liquidator of
Midland Metal Alloys Ltd. on Jan. 24 for the creditors'
voluntary winding-up procedure.

The liquidator can be reached at:

         Poppleton & Appleby
         35 Ludgate Hill
         Birmingham B3 1EH
         England


MULTISERVE UK: Creditors Confirm Liquidators' Appointment
---------------------------------------------------------
Creditors of Multiserve (U.K.) Ltd. confirmed on Jan. 24 the
appointment of Christopher David Stevens and Colin Ian Vickers
of Vantis as the company's joint liquidators.

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

Multiserve (U.K.) Ltd. can be reached at:

         76 Firle Road
         Eastbourne
         East Sussex BN22 8EG
         England
         Tel: 01323 641 166
         Fax: 01323 417 696


NEWARK GROUP: Moody's Rates Proposed US$90-Mln Term Loan at Ba3
---------------------------------------------------------------
Moody's Investors Service assigned a Ba3 rating to Newark
Group's proposed US$90-million term loan facility.  At the same
time, Moody's affirmed the company's B2 corporate family rating
and upgraded the senior subordinated notes rating to B3.

TNG's plan to refinance its former US$150-million senior secured
revolving credit facility (matures in March 2007) drove the
rating action.  The company's new facilities will include an
US$85-million five year asset-based revolving credit facility
and a US$90-million six year credit-linked term loan facility,
consisting of a US$15-million traditional term loan and a
US$75-million synthetic letter of credit term loan.  No ratings
were assigned to the asset-based revolving credit facility and
Moody's withdrew the ratings on the former revolving credit
facility.

Due to the company's improved liquidity profile, Moody's
upgraded the SGL rating to SGL-3 from SGL-4.  Proceeds of the
term loan were primarily used to repay the amounts outstanding
under the former credit facility.  The outlook remains stable.

Over the last few years, TNG was impacted by unfavorable costs
for natural gas, recovered paper, and freight.  These costs were
difficult to fully pass through to its major customers.  As a
result, margins have been compressed, causing the company to
maintain a high level of debt on the balance sheet and weak debt
protection measures.

Recently, however, TNG's operating results have been better than
expected in the first half of its fiscal year.  Natural gas
costs have begun to moderate, additional mill closures have been
announced in the recycled paperboard industry, pricing has
increased, and the operating performance at the company's
Fitchburg mill has improved.  Even with this progress, however,
Moody's believes that a slowdown in the economy could affect the
favorable pricing, particularly the company's ability to sustain
current price increases.  The severity of the slowdown may
negate margin improvement, thus Moody's believes that the
company's leverage over the intermediate period may weaken from
the levees seen over the past two quarters.

Furthermore, cost pressure from the recent increase in recovered
paper prices and a slowdown in the U.S. economy may pressure
margins for the remainder of fiscal 2007.  Recovered paper is
TNG's primary raw material and China's strong demand for U.S.
recovered paper has caused prices in the U.S. to rise to
approximately US$120/ton over the past month.  Other factors
that temper the ratings are the company's commoditized products,
weak margins, and the uncertainty of the effectiveness of recent
industry rationalization.

The upgrade of TNG's speculative grade liquidity rating of SGL-3
reflects Moody's view that the company will be able to fund its
cash needs from internal sources, with the exception of
extraordinary capital expenditures and working capital needs.
Moody's anticipates that free cash flow levels will be
relatively modest and that the company will not be restricted
from the new revolver due to covenants.

At the close of its recent refinancing, TNG will have no
revolver outstandings and excess availability of approximately
US$60 million.

The upgrade of TNG's senior subordinated notes to B3 from Caa1
was a function of the new capital structure within Moody's Loss-
Given-Default (LGD) rating methodology.

The most recent prior rating action for TNG occurred on
Sept. 21, 2006.  Moody's announced the implementation of its new
Probability-of-Default and LGD rating methodology for the North
American Forest Products sector.  At the time, TNG's senior
secured revolving credit facility was revised upward to Ba2 from
B1.

Upgrades:

   * Newark Group Inc. (The)

     -- Speculative Grade Liquidity Rating, Upgraded to SGL-3
        from SGL-4

Assignments:

   * Newark Group Inc. (The)

     -- Senior Secured Bank Credit Facility, Assigned a range of
        3-LGD2 to Ba3

The Newark Group Inc., headquartered in Cranford, NJ, is an
integrated producer of 100% recycled paperboard and paperboard
products in North America and Europe.


NORMAN R. COLE: Taps Mark Reynolds to Liquidate Assets
------------------------------------------------------
Mark Reynolds of Valentine & Co. was appointed liquidator of
Norman R. Cole Ltd. on Jan. 25 for the creditors' voluntary
winding-up procedure.

The company can be reached at:

         Norman R. Cole Ltd.
         321-323 New Covent Garden Market
         Flower Market
         London SW8 5NB
         England
         Tel: 020 7720 3057
         Fax: 020 7738 8585


OAKDALE BAKERIES: Brings In Joint Administrators from KPMG
----------------------------------------------------------
Richard Dixon Fleming and Myles Antony Halley of KPMG LLP were
appointed joint administrators of Oakdale Bakeries Ltd. (Company
Number 01461281) on Jan. 26.

"The business has encountered difficulties as it has been making
trading losses in the highly competitive environment of the food
production sector.  However, we are looking to continue to trade
the business with a view to selling it as a going concern," Mr.
Fleming said.  "We are keen to hear from any parties interested
in buying the business."

The company reported a turnover of GBP30 million for the fiscal
year 2006.

KPMG LLP -- http://www.kpmg.co.uk/-- offers accounting, audit,
and tax-related services to customers in such target industries
as banking, media and entertainment, consumer products, health
care providers, insurance, and pharmaceuticals.

With sites in Leeds, Doncaster and Wigan, Oakdale Bakeries Ltd.
-- http://www.oakdale-bakeries.co.uk/-- supplies predominantly
private label ambient cakes, fruit pies, malt loaves and tarts
to many of the U.K.'s foodservice businesses.  The company
employs a total of 350 staff.


OAKSFIELD CONSTRUCTION: Creditors' Meeting Slated for Feb. 22
-------------------------------------------------------------
Creditors of Oaksfield Construction Ltd. will meet at 10:45 a.m.
on Feb. 22 at:

         The Chasley Hotel
         Queen Street
         Wakefield WF1 1JU
         England

Creditors who want to vote at the meeting have until noon on
Feb. 21 to submit their proxy forms together with particulars of
their claims or of any security at the offices of:

         Jacksons Jolliffe Cork
         33 George Street
         Wakefield WF1 1LX
         England

A list of the names and addresses of the company's creditors
will be available for inspection free of charge on Feb. 20 at
the offices of Jacksons Jolliffe Cork.

Jackson Jolliffe Cork -- http://www.jjcork.co.uk/-- engages
exclusively in business recovery and insolvency work and
comprises certified and chartered accountants, licensed
insolvency practitioners and business turnaround consultants,
many having joined us from senior positions within National
firms.


OCEAN FOOD: Names Roderick Julian Jones Liquidator
--------------------------------------------------
Roderick Julian Jones of Jackson Gregory & Co. was appointed
liquidator of Ocean Food Group Plc, Ocean Funding Ltd., and
Canco (U.K.) Ltd. on Jan. 12 for the creditors' voluntary
winding-up proceeding.

The company can be reached at:

         Ocean Food Group PLC
         Kitling Road
         Knowsley Business Park
         Knowsley
         Merseyside L34 9JA
         England


OZONE RECYCLING: Creditors Confirm Liquidator's Appointment
-----------------------------------------------------------
Creditors of Ozone Recycling Ltd. (formerly Lewsend Ltd.)
confirmed on Jan. 19 the appointment of Adrian Graham of
Hamiltons Insolvency Practitioners Ltd. as the company's
liquidator.

The liquidator can be reached at:

         Hamiltons Insolvency Practitioners Ltd.
         Omega Court
         368 Cemetery Road
         Sheffield S11 8FT
         England


P.P.A. UK: High Court to Hear Wind-Up Petition on Feb. 22
---------------------------------------------------------
The Secretary of State for Trade and Industry has presented a
petition in the High Court to wind up P.P.A. (U.K.) Ltd. in the
public interest.

The petition to wind up the company was presented following an
investigation carried out by Companies Investigation Branch
under Section 447 of the Companies Act 1985 (as amended).

The Official Receiver has been appointed provisional liquidator
of the company.

The Official Receiver can be reached at:

         Public Interest Unit
         PO Box 326
         17 - 21 Chorlton Street
         Manchester M60 3ZZ
         England
         Tel: 0161 934 4182
         E-mail: piu.north@insolvency.gsi.gov.uk

The case is now subject to High Court action and will be heard
at 3:45 p.m. on Feb. 22 at:

         Manchester District Registry
         The Courts of Justice
         Crown Square
         Manchester M60 9DJ
         England

Any person intending to appear on the hearing of the petition
has until 4:00 p.m. on Feb. 21 to give notice of intention to
the petitioner or its solicitors.

The petitioner's solicitor is:

         Cobbetts LLP
         Ship Canal House
         King Street
         Manchester M2 4WB
         England

Headquartered in Liverpool, England, P.P.A. (U.K.) Ltd. sells
advertising space in wall-planners and other publications to
businesses by way of cold-calling.


PEACOCK BLUE: Brings In Administrators from Begbies Traynor
-----------------------------------------------------------
Timothy John Edward Dolder and Paul Michael Davis of Begbies
Traynor (South) LLP were appointed joint administrators of
Peacock Blue Ltd. (Company Number 03190747) on Jan. 17.

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

Peacock Blue Ltd. can be reached at:

         201 New Kings Road
         Hammersmith and Fulham
         London SW6 4SR
         United Kingdom
         Tel: 020 7384 3400
         Fax: 020 7384 3500


PEAK STORE: Appoints Liquidator from Arrans
-------------------------------------------
Robert Gibbons of Arrans was appointed liquidator of Peak Store
Ltd. on Jan. 23 for the creditors' voluntary winding-up
procedure.

The liquidator can be reached at:

         Arrans
         Leonard House
         14 Silver Street
         Tamworth B79 7NH
         England


PENNINE ROOFING: Creditors Ratify Voluntary Liquidation
-------------------------------------------------------
Creditors of Pennine Roofing & Building Ltd. ratified on Jan. 23
the company's resolutions for voluntary liquidation and
confirmed the appointment of Jonathan Lord of Bridgestones as
liquidator.

The liquidator can be reached at:

         Bridgestones
         125-127 Union Street
         Oldham OL1 1TE
         England


PORTSCOPE LTD: Claims Filing Period Ends February 26
----------------------------------------------------
Creditors of Portscope Ltd. have until Feb. 26 to prove their
debts by sending written statements of the amount they claim to
be due to them from the company to:

         Elliot Green
         Liquidator
         Oury Clark
         Herschel House
         58 Herschel Street
         Slough
         Berkshire SL1 1HD
         England

The company can be reached at:

         Portscope Ltd.
         London City House
         198 City Road
         Islington
         London EC1V2PH
         England
         Tel: 020 7620 0770


PRICE CHAMBERLAIN: Trade Secretary Submits Wind-Up Petition
-----------------------------------------------------------
The Secretary of State for Trade and Industry has presented a
petition in the High Court to wind up Price Chamberlain Ltd.
in the public interest.

The petitions to wind up the company were presented following an
investigation carried out by Companies Investigation Branch
under Section 447 of the Companies Act 1985 (as amended).

The Official Receiver has been appointed provisional liquidator
of each of the companies.

The Official Receiver can be reached at:

         Public Interest Unit
         PO Box 326
         17 - 21 Chorlton Street
         Manchester M60 3ZZ
         England
         Tel: 0161 934 4182
         Email: piu.north@insolvency.gsi.gov.uk

The case is now subject to High Court action and no further
information will be available until the petition is heard on
March 13.

Headquartered in Liverpool, England, Price Chamberlain Ltd.
sells advertising space in wall-planners to businesses by way of
cold-calling.


QUAILS ON TOAST: Appoints Administrators from Begbies Traynor
-------------------------------------------------------------
Paul Michael Davis and Timothy John Edward Dolder of Begbies
Traynor (South) LLP were appointed joint administrators of
Quails on Toast Ltd. (Company Number 04668071) on Dec. 19, 2006.

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

Quails on Toast Ltd. can be reached at:

         59 High Street
         Barton
         Cambridge
         Cambridgeshire CB3 7BG
         United Kingdom
         Tel: 01223 841 178


RAILWAY TILE: Taps Deloitte & Touche as Joint Administrators
------------------------------------------------------------
Robin David Allen and Dominic Lee Zoong Wong of Deloitte &
Touche LLP were appointed joint administrators of Railway Tile
Store (U.K.) Ltd. (t/a Right Price Tiles) (Company Number
05640410) on Jan. 25.

"Right Price Tiles has a good customer base and stores in
excellent locations across the country.  We are continuing to
trade the business and are seeking interested parties to acquire
the business and assets as a going concern," Robin Allen,
principal in Deloitte's Reorganization Services practice said.

According to Creditman UK, the company reported a turnover of
GBP21 million in the last financial year.

Deloitte & Touche LLP -- http://www.deloitte.com/-- provides
audit, tax, consulting and corporate finance services through
more than 9,000 people in 21 locations.  The group is the United
Kingdom member firm of Deloitte Touche Tohmatsu, a Swiss Verein
whose member firms are separate and independent legal entities.

Headquartered in Bridgend, South Wales, Railway Tile Store
(U.K.) Ltd. retails ceramic tiles from 53 leasehold stores
across England and Wales.  It has around 300 employees.  Its
trading name is Right Price Tiles and was formerly Tiles R Us.


RELAX IN COMFORT: Names P R Dewey as Administrator
--------------------------------------------------
P R Dewey of Dewey & Co. was named administrator of Relax in
Comfort Ltd. (Company Number 04113534) on Jan. 9.

The administrator can be reached at:

         P R Dewey
         Dewey & Co.
         17 St Andrews Crescent
         Cardiff
         Glamorgan CF10 3DB
         United Kingdom
         Tel: 029 2022 2244
         Fax: 029 2022 2223
         E-mail: peter@dewey.demon.co.uk

Relax in Comfort Ltd. can be reached at:

         20 Cowbridge Road
         Pontyclun
         Mid Glamorgan CF72 9EE
         United Kingdom
         Tel: 01443 229 119
         Fax: 01443 223 147


RIVERSIDE FABRICS: Joint Liquidators Take Over Operations
---------------------------------------------------------
Keith Hinds and Joseph McLean of Grant Thornton U.K. LLP were
appointed joint liquidators of Riverside Fabrics Ltd. on
Nov. 23, 2006, for the creditors' voluntary winding-up
procedure.

Grant Thornton U.K. LLP -- http://www.grant-thornton.co.uk/--
provides value-added professional services as assurance
services, compensation and benefits, merger and acquisition
transaction services, management advisory services, tax
consulting and valuation services.

Riverside Fabrics Ltd. can be reached at:

         Keighley Road
         Silsden
         Keighley
         West Yorkshire BD200EH
         England
         Tel: 0870 835 6600


RY HENDERSON: Enters Into Administration Procedure
--------------------------------------------------
Scottish abbatoir and processing firm RY Henderson & Sons has
gone into administration after struggling with tough trading
conditions, BBC News reports citing Ernst & Young.

According to the report, the firm has also laid off 54 of its 72
employees.

Tom Burton and Colin Dempster of Ernst & Young have been
appointed joint administrators, BBC News relates.

"We are currently reviewing the financial position of the firm
and are looking for a buyer for the assets as a going concern,"
Mr. Burton was quoted by BBC as saying.  "We have already been
approached by a number of interested parties and will continue
operations on a limited basis while we continue discussions and
identify potential new buyers."

Headquartered in Linlithgow, Scotland, RY Henderson & Sons is
one of Scotland's largest beef and lamb processors.

In September 2006, the firm's GBP4 million plant was officially
opened by Princess Anne.


SCOPE PRECISION: Appoints Andrew T. Clay as Administrator
---------------------------------------------------------
Andrew T. Clay of Andrew Michaels & Co. Ltd. was appointed
administrator of Scope Precision Ltd. (Company Number 03238029)
on Jan. 8.

The administrator can be reached at:

         Andrew T. Clay
         Andrew Michels & Co. Ltd.
         Concept House
         Brooke Street
         Cleckheaton
         Bradford BD19 3RY
         West Yorkshire
         United Kingdom
         Tel: 0870 750 5411
         Fax: 0870 750 5412
         E-mail: info@andrew-michaels.com

Scope Precision Ltd. can be reached at:

         Unit G3
         Wyther Green
         Wyther Park Industrial Estate
         Leeds
         West Yorkshire LS5 3AR
         United Kingdom
         Tel: 0113 230 7844
         Fax: 0113 230 7855


SHAKESPEARE UNDERWRITING: Hires Liquidators from Tenon Recovery
---------------------------------------------------------------
Dilip K. Dattani and Patrick B. Ellward of Tenon Recovery were
appointed joint liquidators of Shakespeare Underwriting Ltd. on
Jan. 18 for the creditors' voluntary winding-up procedure.

Tenon Recovery -- http://www.tenongroup.com/-- provides
accounting and business advice to owner-managed and private
business.


SOLUTIA INC: Agrees to Extend Claims Amendment Deadline
-------------------------------------------------------
Monsanto Co. filed Claim No. 6350 against Solutia Inc. and its
debtor-affiliates on Nov. 29, 2005, and Claim No. 14610 on
Dec. 28, 2004.  Pharmacia Corp. filed Claim No. 11317 on
Nov. 30, 2004.

Monsanto and Pharmacia received copies of the Debtors' initial
claims register with more than 14,000 timely proofs of claim
filed against the Debtors.  Monsanto and Pharmacia are currently
in the process of reviewing the claims to determine if their
initial proofs of claim should be amended and what additional
proof of claim they believe they are entitled to file.

Accordingly, the Debtors, Monsanto and Pharmacia agree to
further extend the deadline for Monsanto and Pharmacia to amend
their initial proofs of claim or file additional claims through
and including June 1, 2007.

The Stipulation does not determine the merits of the Claims and
does not constitute an admission by the Debtors as to injury,
liability or any other aspect of the Claims.

Headquartered in St. Louis, Missouri, Solutia Inc. (OTCBB:SOLUQ)
-- http://www.solutia.com/-- and its subsidiaries, engage in
the manufacture and sale of chemical-based materials, which are
used in consumer and industrial applications worldwide.  The
company and 15 debtor-affiliates filed for chapter 11 protection
on Dec. 17, 2003 (Bankr. S.D.N.Y. Case No. 03-17949).  When the
Debtors filed for protection from their creditors, they listed
US$2,854,000,000 in assets and US$3,223,000,000 in debts.

Solutia is represented by Allen E. Grimes, III, Esq., at
Dinsmore & Shohl, LLP and Conor D. Reilly, Esq., at Gibson, Dunn
& Crutcher, LLP.  Trumbull Group LLC is the Debtor's claims and
noticing agent.  Daniel H. Golden, Esq., Ira S. Dizengoff, Esq.,
and Russel J. Reid, Esq., at Akin Gump Strauss Hauer & Feld LLP
represent the Official Committee of Unsecured Creditors, and
Derron S. Slonecker at Houlihan Lokey Howard & Zukin Capital
provides the Creditors' Committee with financial advice.

The Debtors' exclusive period to file a plan and to solicit
acceptances to that plan expires on Feb. 13, 2007, and April 16,
2007, respectively.  (Solutia Bankruptcy News, Issue No. 78;
Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000).


SPRINGFIELD SOFT: Brings In Dewey & Co as Administrator
-------------------------------------------------------
P R Dewey of Dewey & Co. was appointed administrator of
Springfield Soft Drinks Ltd. (Company Number 03533287) on
Jan. 12.

The administrator can be reached at:

         P R Dewey
         Dewey & Co.
         17 St Andrews Crescent
         Cardiff
         Glamorgan CF10 3DB
         United Kingdom
         Tel: 029 2022 2244
         Fax: 029 2022 2223
         E-mail: peter@dewey.demon.co.uk

Springfield Soft Drinks Ltd. can be reached at:

         Cardiff Road
         Nantgarw
         Cardiff
         South Glamorgan CF15 7SR
         United Kingdom
         Tel: 01443 843 001
         Fax: 01443 843 002


SPRINGTIME NURSERIES: Taps Administrator from Valentine & Co
------------------------------------------------------------
Mark Simon Reynolds of Valentine & Co. was appointed
administrator of Springtime Nurseries Enfield Ltd. (Company
Number 02890136) on Jan. 5.

The administrator can be reached at:

         Mark Simon Reynolds
         Valentine & Co.
         4 Dancastle Court
         14 Arcadia Avenue
         London N3 2HS
         United Kingdom
         Tel: 020 8343 3710
         Fax: 020 9343 4486
         Web site: http://www.valentine-co.com/

Springtime Nurseries Enfield Ltd. can be reached at:

         Cattlegate Road
         Enfield
         Middlesex EN2 9EE
         United Kingdom
         Tel: 020 8367 9326
         Fax: 020 8366 9466


TELECOM MAINTENANCE: Creditors' Meeting Slated for February 23
--------------------------------------------------------------
Creditors of Telecom Maintenance (Liverpool) Ltd. will meet at
1:00 p.m. on Feb. 23 at:

         Granite Buildings
         6 Stanley Street
         Liverpool L1 6AF
         England

Creditors who want to vote at the meeting have until noon on
Feb. 22 to submit their proxy forms together with particulars of
their claims or of any security at:

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

Martin Henry Linton will furnish creditors with information
concerning the company's affairs free of charge as they may
reasonably require.


TM GAS: Brings In Jeremy Nicholas Bleazard as Administrator
-----------------------------------------------------------
Jeremy Nicholas Bleazard of XL Business Solutions Ltd. was
appointed administrator of TM Gas and Heating Ltd.
(Company Number 04185272) on Jan. 25.

The administrator can be reached at:

         Jeremy Nicholas Bleazard
         XL Business Solutions Ltd.
         1st Floor
         2-4 Market Street
         Cleckheaton BD19 5AJ
         United Kingdom
         Fax: 01274 870606
         Tel: 01274 870101
         E-mail: enquiries@xlbs.co.uk
                 jbleazard@xlbs.co.uk

TM Gas and Heating Ltd. can be reached at:

         30 Almscliffe Avenue
         Dewsbury
         West Yorkshire WF12 7AR
         United Kingdom
         Tel: 01924 505 182


TRUSEAL LTD: Appoints Joint Administrators from Harrisons
---------------------------------------------------------
P R Boyle and J C Sallabank of Harrisons were appointed joint
administrators of Truseal Ltd. (Company Number 01171787) on
Jan. 19.

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

Truseal Ltd. can be reached at:

         Molly Millars Bridge
         Wokingham
         Berkshire RG41 2RQ
         United Kingdom
         Tel: 0118 977 5454
         Fax: 0118 977 1513


VELOCE MOTORCYCLES: Creditors' Meeting Slated for February 21
-------------------------------------------------------------
Creditors of Veloce Motorcycles Ltd. will meet at 11:00 a.m. on
Feb. 21 at:

         McTear Williams & Wood
         90 St. Faiths Lane
         Norwich NR1 1NE
         England

Creditors who want to vote at the meeting have until noon on
Feb. 20 to submit their proxy forms together with particulars of
their claims or of any security at the said address.

A list of names and addresses of the company's creditors will be
available for inspection free of charge between 10:00 a.m. and
4:00 p.m. on Feb. 19.


WEEKENDERS UK: Brings In Administrators from Baker Tilly
--------------------------------------------------------
Graham Paul Bushby and Guy Edward Mander of Baker Tilly were
appointed joint administrators of Weekenders U.K. Ltd. (Company
Number 02451106) on Jan. 18.

Baker Tilly -- http://www.bakertilly.co.uk/-- provides auditing
and other services for mid-cap and smaller publicly listed
companies and private companies, particularly those expanding
into new foreign markets.  Services include business and
financial planning, tax-related services, corporate finance,
litigation support, turnaround services, and technology
consulting.

Weekenders U.K. Ltd. can be reached at:

         1 Vincent Avenue
         Crownhill
         Milton Keynes
         Buckinghamshire MK8 0AB
         United Kingdom
         Tel: 01908 262 101
         Fax: 01908 262 005


WIDNEY CABS: Appoints Baker Tilly to Administer Assets
------------------------------------------------------
Alan Lovett, Michael David Rollings, and Mark Wilson of Baker
Tilly were appointed joint administrators of Widney Cabs Ltd.
(Company Number 04975359) on Jan. 22.

Baker Tilly -- http://www.bakertilly.co.uk/-- provides auditing
and other services for mid-cap and smaller publicly listed
companies and private companies, particularly those expanding
into new foreign markets.  Services include business and
financial planning, tax-related services, corporate finance,
litigation support, turnaround services, and technology
consulting.

Widney Cabs Ltd. can be reached at:

         Main Road
         Far Cotton
         Northampton
         Northamptonshire NN4 8ES
         United Kingdom
         Tel: 01604 762 261
         Fax: 01604 701 405


WILLIAM BELL: Creditors' Meeting Slated for February 20
-------------------------------------------------------
Creditors of William Bell (Plashet) Ltd. will meet at 11:30 a.m.
on Feb. 20 at the offices of:

         ThorntonRones LLP
         First Floor
         167 High Road
         Loughton
         Essex IG10 4LF
         England

Creditors who want to vote at the meeting have until noon on
Feb. 19 to submit their proxy forms together with particulars of
their claims or of any security at the said address.

Alan J. Clark of Carter Clark will furnish creditors with
information concerning the company's affairs free of charge as
they may reasonably require.

Information concerning the company's affairs will be available
for inspection free of charge from the offices of Richard Rones
at ThorntonRones LLP during the period up to the day of the
meeting.


WYMONDHAM CAR: Creditors' Meeting Slated for February 22
--------------------------------------------------------
Creditors of Wymondham Car Care Centre Ltd. will meet at 11:30
a.m. on Feb. 22 at:

         Towlers Court
         30a Elm Hill
         Norwich
         Norfolk NR3 1HG
         England

Creditors who want to vote at the meeting must submit their
proxy forms together with particulars of their claims or of any
security on Feb. 21 at the said address.

A list of names and addresses of the company's creditors will be
available for inspection free of charge on Feb. 20.


WYMONDHAM MOTOR: Creditors' Meeting Slated for February 22
----------------------------------------------------------
Creditors of Wymondham Motor Group Ltd. will meet at 11:00 a.m.
on Feb. 22 at:

         Towlers Court
         30a Elm Hill
         Norwich
         Norfolk NR3 1HG
         England

Creditors who want to vote at the meeting have until Feb. 21 to
submit their proxy forms together with particulars of their
claims or of any security at the said address.

A list of names and addresses of the company's creditors will be
available for inspection free of charge on Feb. 20.


* Financial Regulator's Chief Plans to Step Down in July
--------------------------------------------------------
John Tiner, chief executive officer of the Financial Services
Authority, intends to step down later this year.

"By the time I leave in July, I will have spent six years at the
FSA, almost four of them as chief executive," Mr. Tiner said.
"The job has been immensely enjoyable and it has been a
privilege to lead this organization and its excellent people.
But I would like to do another job in the private sector before
I think about retirement and this seems to me to be the right
time to pass on the baton, with the FSA set firmly on the road
to more principles-based regulation."

Callum McCarthy, chairman of the FSA, said, "In the UK, John has
made an enormous contribution to the health of the financial
services industry and to the well-being of those who use its
services -- both wholesale and retail.  He has been a leader in
developing international regulation through his work in Europe.
Within the FSA, he has been invaluable in developing and leading
a management structure with discipline and enthusiasm."

"The board, and I personally, are very sorry he has decided to
leave, but I entirely understand and respect that decision, as
I'm sure will all his colleagues at the FSA.  I look forward to
continuing to work closely with him until his departure in
July."

Mr. Tiner, 49, joined the FSA in April 2001 as managing director
of the consumer, investment and insurance directorate.  He was
appointed chief executive in 2003.  Previously, he had spent 25
years at Arthur Andersen, where he was head of the global
financial services practice.

He will continue as CEO and a member of the FSA board until July
2007.

              About Financial Services Authority

The Financial Services Authority -- http://www.fsa.gov.uk/-- is
an independent non-governmental body, given statutory powers by
the Financial Services and Markets Act 2000.  It's a company
limited by guarantee and financed by the financial services
industry.


* Morgan Cole Appoints Paul Caldicott as Insolvency Lawyer
----------------------------------------------------------
Morgan Cole has recruited one of the West of England's leading
corporate and personal insolvency lawyers to head its Cardiff-
based specialist service.

Paul Caldicott joined Morgan Cole from Ashfords where he has
been practicing for the last seven years.  Since 2003 he had
been a partner based at its Exeter head office.

Mr. Caldicott is a specialist in undertaking all forms of
corporate and personal insolvency work and turnaround,
predominantly acting for insolvency practitioners as
administrator, liquidator and trustee in bankruptcy.

"Legal issues surrounding corporate and personal insolvency
situations are becoming increasingly complex and indeed we see
from the headlines that the volume of these insolvencies
continues to increase substantially," Robin Havard, chairman of
Morgan Cole, said.  "After identifying a requirement for a high-
calibre lawyer to lead our team, we are extremely pleased to
have secured Paul Caldicott who has a track record of completing
many high-profile and challenging cases."

Mr. Caldicott added, "I am delighted to be joining Morgan Cole,
which enjoys a first-class reputation in corporate and
commercial work.  Sound, no-nonsense and proactive legal advice
is the watch-word of any turnaround or insolvency assignment.  I
intend to continue the great work already undertaken by Morgan
Cole, whilst forging closer links with the business community
and insolvency practitioners, to build up this practice within
Morgan Cole in the years ahead.

                       About Morgan Cole

Cardiff-based Morgan Cole -- http://www.morgan-cole.com/-- is a
U.K. law firm with offices in London, the Thames Valley, and
South Wales.  The firm's practice areas include employment,
energy, health, insurance, and technology.  Morgan Cole serves
commercial, individual, and governmental clients.  Customers
include QXL ricardo, European Venture Partners, Johnson Water
Group, BP, and the National Assembly for Wales.  The firm has
seen its share of partner departures, particularly from its
London office, though Morgan Cole continues to grow its energy
and commercial business in areas outside of London.


* Large Companies with Insolvent Balance Sheets
-----------------------------------------------

                                Shareholders   Total    Working
                                   Equity      Assets   Capital
                          Ticker    (US$MM)    (US$MM)   (US$MM)
                          ------ -----------  -------   --------

AUSTRIA
-------
Libro AG                            (111)         174     (182)
Rhi AG                              (214)       1,756      293


BELGIUM
-------
City Hotels               CITY.BR     (7)         210      (15)
Sabena S.A.                          (86)       2,215     (297)


CZECH REPUBLIC
--------------
Ceskomoravska Kolben &
   Danek Praha Holding               (89)         192   (2,186)


DENMARK
-------
Elite Shipping                       (28)         101       19


FRANCE
------
Acces Industrie                       (8)         106      (35)
Arbel                     PA.ARB     (98)         222      (72)
Banque Nationale
   de Paris Guyane        BNPG       (41)         352      N.A.
BSN Glasspack                       (101)       1,151      179
Charbo De France                  (3,872)       4,738   (2,868)
Compagnie Francaise de
   l'Afrique Occidentale             (65)         256       21
Dollfus Mieg & Cie S.A.   DS         (16)         143      (45)
Euro Computer System                (110)         682      377
Genesys S.A.              GNS.PA     (10)         120       (5)
Grande Paroisse S.A.                (927)         629      330
Immob Hoteliere                      (68)         233       29
Labo Dolisos              DOLI.PA    (28)         110      (33)
Matussiere et Forest S.A. MTF        (78)         294      (28)
Oeneo S.A.                SABT.PA    (12)         292       38
Pneumatiques Kleber S.A.             (34)         480      139
Rhodia S.A.               RHA       (788)       6,681      171
SDR Centrest                        (132)         252      N.A.
SDR Picardie                        (135)         413      N.A.
Selcodis S.A.             SPVX       (18)         128       22
Soderag                               (3)         404      N.A.
Sofal S.A.                          (305)       6,619      N.A.
Spie-Batignolles                     (16)       5,281       75
St Fiacre (FIN)                       (1)         111      (33)
Teamlog                   TLO        (19)         109       (3)
Trouvay Cauvin                        (0)         134       10
Usines Chausson                      (23)         249       35


GERMANY
-------
Cognis Deutschland
   GmbH & Co. KG                    (174)       3,003      606
Dortmunder
   Actien-Brauerei        DABG       (13)         118      (29)
EM.TV AG                  EV4G.BE    (22)         849       15
F.A. Guenther & Son AG    GUSG        (8)         111      N.A.
Kaufring AG               KAUG       (19)         151      (51)
Maternus Kliniken AG      MAK.F       (3)         207      (30)
Nordsee AG                            (8)         195      (31)
Plambeck Neue
   Energien AG            PNE3        (4)         141       19
Primacom AG               PRIG      (268)       1,257   (1,048)
Rinol AG                  RLIG       (64)         104      (15)
Schaltbau Hold            SLTG       (23)         144       (7)
SinnLeffers AG            WHGG        (4)         454     (145)
Spar Handels- AG          SPAG      (442)       1,433     (234)
Vivanco Gruppe                       (55)         131      (31)


GREECE
------
Empedos S.A.              EMPED      (34)         175      (48)
Pouliadis Associates
   Corporation            POUL       (28)         124      (31)
Radio A.Korassidis        KORA      (101)         181     (139)
   Commercial

HUNGARY
-------
Exbus Asset Management
   Nyrt.                  EXBUS      (30)         118   (5,162)


ICELAND
-------
Decode Genetics Inc.      DCGN        (9)         229      141

ITALY
-----
Binda S.p.A.              BND        (11)         129      (20)
Cirio Finanziaria S.p.A.            (422)       1,583     (396)
Credito Fondiario
   e Industriale S.p.A.             (200)       4,218      N.A.
Finpart S.p.A.                      (152)         732     (322)
Gruppo Coin S.p.A.        GC        (150)       4,218      N.A.
I Viaggi del
   Ventaglio S.p.A.       VVE.MI     (61)         487      (58)
Olcese S.p.A.             OLCI.MI    (13)         180      (64)
Parmalat Finanziaria
   S.p.A.                        (18,419)       4,121  (12,481)
Technodiffusione
   Italia S.p.A.          TDIFF.PK   (90)         152      (24)
Wind Telecomunicazioni
   S.p.A.                            (10)      12,698     (815)

NETHERLANDS
-----------
Baan Company N.V.         BAAN        (8)         610       46
United Pan-Euro Air       UPC     (5,266)       5,180   (8,730)


NORWAY
------
Petroleum-Geo Services    PGO        (32)       2,963   (5,250)


POLAND
------
Mostostal Zabrze          MECOF.PK    (6)         227     (366)
Vista Alegre Atlantis
   SGPS S.A.              VAAAE      (18)         193      (83)

ROMANIA
-------
Oltchim RM Valce          OLT        (45)         232     (321)


RUSSIA
------
OAO Samaraneftegas                  (332)         892  (16,942)
Zil Auto                            (185)         378  (11,107)


SPAIN
-----
Altos Hornos de
   Vizcaya S.A.                     (116)       1,283     (278)
Santana Motor S.A.                   (46)         223       41
Sniace S.A.                          (10)         134      (37)


SWITZERLAND
-----------
Wedins Skor
    Accessoarer AB                   (10)         139     (129)


TURKEY
------
Nergis Holding                       (24)         125       26
Yasarbank                           (948)         623      N.A.


UKRAINE
-------
Dnepropetrovsk Metallurgical
   Plant Imeni Petrovsko              (2)         278     (509)
Dniprooblenergo                      (38)         478     (797)
Donetskoblenergo                    (166)         706   (1,320)


UNITED KINGDOM
--------------
Abbott Mead Vickers                   (2)         168      (16)
AEA Technology Plc        AAT.L      (24)         340      (50)
Alldays Plc                         (120)         252     (202)
Amey Plc                             (49)         932      (47)
Anker Plc                 ANK.L      (22)         115       13
Atkins (WS) Plc           ATK        (63)       1,279       70
Bonded Coach
   Holiday Group Plc                  (6)         188      (44)
Blenheim Group                      (153)         198      (34)
Booker Plc                BKRUY      (60)       1,298       (8)
Bradstock Group           BDK         (2)         269        5
Brent Walker Group        BWL     (1,774)         867   (1,157)
British Energy Plc        BGY     (5,823)       4,921      434
British Nuclear
   Fuels Plc                      (4,248)      40,326      977
Compass Group             CPG       (668)       2,972     (298)
Costain Group             COST       (39)         567       (5)
Danka Bus System          DNK.L     (108)         540       34
Dawson Holdings           DWN.L      (12)         158      (19)
Easynet Group             ESY.L      (45)         323       38
Electrical and Music
   Industries Group       EMI     (1,264)       2,818     (253)
Euromoney Institutional
   Investor Plc           ERM.L      (88)         297      (56)
European Home Retail Plc  EHRL       (14)         111      (37)
Gartland Whalley                     (11)         145       (8)
Global Green Tech Group             (156)         408      (18)
Gondola Holdings Plc      GND.L     (239)         987     (396)
Heath Lambert
   Fenchurch Group Plc               (10)       4,109      (10)
HMV Group Plc             HMV         (4)         948     (175)
Homestyle Group Plc       HME        (29)         409     (124)
Imperial Chemical
   Industries Plc         ICI       (835)       8,881      (49)
Invensys PLC                      (1,031)       3,875      494
IPC Media Ltd.                      (685)         254       16
Jarvis Plc                JRVS.L    (683)         492     (371)
Lambert Fenchurch Group               (1)       1,827        3

Lattice Group                     (1,290)      12,410   (1,228)
Leeds United              LDSUF.PK   (73)         144      (29)
M 2003 Plc                        (2,204)       7,205     (756)
Manchester City                      (17)         154      (21)
Micro Focus
   International Plc      MCRO.L     (14)         115      (11)
Mytravel Group            MT.L      (283)       1,159     (410)
Orange Plc                ORNGF     (594)       2,902        7
Park Group Plc            PKG.L       (5)         111      (13)
Partygaming Plc           PRTY       (46)         398     (110)
Premier Farner Plc        PFL        (33)         964      127
Premier Foods Plc         PFD.L      (31)       1,475       16
Probus Estates Plc        PBE.L      (28)         113      (49)
Regus Plc                 RGU.L      (46)         367      (60)
Rentokil Initial Plc      RTO     (1,134)       2,678      (45)
RHM Plc                   RHM       (586)       2,411       59
Saatchi & Saatchi         SSI       (119)         705      (41)
Seton Healthcare                     (11)         157        0
SFI Group                           (108)         178     (162)
Telewest
   Communications Plc     TLWT    (3,702)       7,581   (5,361)
UK Coal Plc               UKC        (25)         865      (62)
Virgin Mobile
   Holdings Plc           VMOB.L    (490)         155      (80)
Wincanton Plc             WIN        (66)       1,236      (71)


                           *********

Each Tuesday edition of the TCR contains a list of companies
with insolvent balance sheets whose shares trade higher than
US$3 per share in public markets.  At first glance, this list
may look like the definitive compilation of stocks that are
ideal to sell short.  Don't be fooled.  Assets, for example,
reported at historical cost net of depreciation may understate
the true value of a firm's assets.  A company may establish
reserves on its balance sheet for liabilities that may never
materialize.  The prices at which equity securities trade in
public market are determined by more than a balance sheet
solvency test.

A list of Meetings, Conferences and Seminars appears in each
Thursday's edition of the TCR. Submissions about insolvency-
related conferences are encouraged.  Send announcements to
conferences@bankrupt.com/

Each Friday's edition of the TCR includes a review about a book
of interest to troubled company professionals.  All titles are
available at your local bookstore or through Amazon.com.  Go to
http://www.bankrupt.com/books/to order any title today.

                           *********


S U B S C R I P T I O N   I N F O R M A T I O N

Troubled Company Reporter -- Europe is a daily newsletter co-
published by Bankruptcy Creditors' Service, Inc., Fairless
Hills, Pennsylvania, USA, and Beard Group, Inc., Frederick,
Maryland USA.  Jazel P. Laureno, Julybien Atadero, Carmel Zamesa
Paderog, Joy Agravante, Zora Jayda Zerrudo Sala, 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 * * *