TCREUR_Public/070430.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

            Monday, April 30, 2007, Vol. 8, No. 84

                            Headlines


A U S T R I A

BRAINSTUDIO LLC: Vienna Court Orders Business Shutdown
GYRRHY & KREN: Claims Registration Period Ends May 15
HD LLC: Claims Registration Period Ends May 12
MTH-ENGINES: Salzburg Court Orders Business Shutdown
N.O.B. LLC: Vienna Court Orders Business Shutdown

SCHILLER LLC: Court Orders Business Shutdown
V. R. VASIC: Claims Registration Period Ends May 11
VASIC KEG: Claims Registration Period Ends May 17


B E L G I U M

FERRO CORP: Hires Nicholas Katzakis as Chief Accounting Officer
MEGA BRANDS: Names Kathleen Campisano as Chief Marketing Officer


D E N M A R K

ARROW ELECTRONICS: Earns US$96.3 Million in First Quarter 2007
KNOLL INC: First Quarter 2007 Net Income Climbs to US$14.8 Mil.


F R A N C E

XEROX CORP: Declares 24 Cents per Share First Quarter Earnings


G E R M A N Y

AUTOHAUS BOESECKE: Claims Registration Period Ends May 25
BALLHAUS BETRIEBS: Creditors' Meeting Slated for June 29
BIOMEDICAL GROUP: Claims Registration Period Ends July 13
BIOTHERM-HOLZHAUS: Claims Registration Period Ends June 4
BMG REIFENSERVICE: Claims Registration Period Ends June 27

BMS BAU: Claims Registration Period Ends June 8
DAIMLERCHRYSLER AG: UAW Doesn't Favor Magna as Chrysler's Buyer
DAIMLERCHRYSLER AG: Chrysler Sale Threatens Marysville Deal
ELSNER HEIZUNG: Claims Registration Ends May 18
H.M.K. HAMBURGER: Claims Registration Ends June 6

HANS-JOACHIM: Claims Registration Ends June 4
HEINRICH SEIKEL: Claims Registration Ends June 8
M-GAS ENERGIE: Claims Registration Period Ends May 25
MS KUNSTSTOFFTECHNIK: Claims Registration Period Ends May 22
NATURSTEINE GMBH: Claims Registration Period Ends June 8

NATURSTEINE HELLFRITSCH: Claims Registration June 21
REIFENPROFI GMBH: Claims Registration Period Ends May 18
ROSIN GMBH: Claims Registration Period Ends May 29
STABILITY CMBS: Fitch Assigns BB Rating to EUR28.2 Million Notes
STATHOUSI MALEREI: Claims Registration Period Ends May 1

WEKO VERZAHNTECHNIK: Claims Registration Ends May 15
WORT & SINN: Claims Registration Ends June 19


I R E L A N D

CELESTICA INC: Posts US$34.3 Mil. Net Loss in First Quarter 2007
COMMSCOPE INC: Earns US$45.9 Million for First Quarter 2007
COMMSCOPE INC: Names Mike Kelley as Sr. VP for Global Operations
HARVEST CLO V: Fitch Assigns BB Ratings to Class E1 and E2 Notes


I T A L Y

BERRY PLASTICS: S&P Affirms B Corp. Rating on Covalence Merger
MACDERMID INC: S&P Lowers Corp. Rating to B After Merger Closure


K A Z A K H S T A N

AGR-TRADING LLP: Creditors Must File Claims by May 25
AKKU & CO: Creditors' Claims Due May 22
CLARITY LLP: Proof of Claim Deadline Slated for May 29
KULAGER LLP: Claims Registration Ends May 29
L AUDIT: Claims Filing Period Ends May 29

PILAT XXI: Creditors Must File Claims by May 25
TECHNOCOM SERVICE: Creditors' Claims Due May 29
TULKUBAS LLP: Proof of Claim Deadline Slated for May 29


K Y R G Y Z S T A N

TUP CEMENT: Creditors Must File Claims by June 11


N E T H E R L A N D S

GLOBAL POWER: Court Extends Exclusive Plan Filing Date to May 2
GLOBAL POWER: Court Approves PricewaterhouseCoopers as Auditors
GLOBAL POWER: Consulting Pacts w/ Former Execs Extended to May 2


N O R W A Y

CLEAR CHANNEL: Earns US$102.2 Million in Quarter Ended March 31


P O L A N D

MALMA PASTA: To Resume Production at Malbork and Wroclaw Plants


R U S S I A

ABRAMOVSKAYA NIVA: Must File Claims by June 7
ALFA CJSC: Creditors Must File Claims by June 7
ARKHANGELSK-PROM-TEKHNIKA: Creditors Must File Claims by June 7
DEGTYARSKIY ENGINEERING: Names A. Shabarova to Manage Assets
EVROFINANCE MOSNARBANK: Fitch Affirms B IDR with Stable Outlook

EXPORT TIMBER: Creditors Must File Claims by May 7
KAMCHAT-RYB-SPETS-STROY: Creditors Must File Claims by May 7
KIREEVSKIY BAKERY: Creditors Must File Claims by June 7
LISMA OJSC: Creditors Must File Claims by June 7
LUKOIL OAO: S&P Lifts BB+ Ratings to BBB- After Review

NORTH SHIPPING: Creditors Must File Claims by May 7
ORLOVSKIY OIL: Court Names V. Babenko as Insolvency Manager
SNEZHTOKSKAYA NIVA: Court Starts Bankruptcy Supervision Process
TOYDINSKIY OJSC: Court Names S. Kochetkov as Insolvency Manager
TULUNSKAYA BREAD: Creditors Must File Claims by June 7

VOLOGODSKIY CERAMIC: Creditors Must File Claims by May 7
VOLOKOLAMSKIY CERAMIC: Must File Claims by June 7


S P A I N

TDA IBERCAJA 5: S&P Junks EUR7 Million Class E Notes


S W I T Z E R L A N D

AROLO VERSAND: Basel Court Closes Bankruptcy Proceedings
BAU & ARCH LLC: Aargau Court Starts Bankruptcy Proceedings
CHAMERAN REAL: Creditors' Liquidation Claims Due May 14
COLLENBERG ILANZ: Graubunden Court Closes Bankruptcy Proceedings
VOGELE + VILLIGER: Aargau Court Starts Bankruptcy Proceedings


U K R A I N E

APOSTOLOVO AGRICULTURAL: Creditors Must Register Claims by May 6
BERDIANSK REGIONAL: Creditors Must Register Claims by May 6
DOBRYNIA CJSC: Creditors Must Register Claims by May 10
ENERGY FLOATS: Creditors Must Register Claims by May 10
POST-SERVICE AND K: Creditors Must Register Claims by May 6

PRACTICE LLC: Creditors Must Register Claims by May 6
PRIDNEPROVSKOE CJSC: Creditors Must Register Claims by May 6
SLAVUTICH LLC: Claims Filing Bar Date Set May 6
SOUTH ENERGY: Claims Filing Bar Date Set May 6
UKRAINE LLC: Claims Filing Bar Date Set May 6

UKRAINIAN AGRICULTURAL: Creditors Must Register Claims by May 10
VINNICA BEARING: Claims Filing Bar Date Set May 6


U N I T E D   K I N G D O M

AJAX RE: S&P Assigns BB Rating to US$100 Million Series 1 Notes
COLLINS & AIKMAN: Court Okays King's Employment Pact Amendment
COLLINS & AIKMAN: Parties Wants to Allow Claims for Voting
DELPHI CORP: Cerberus Denies Backing Out of Delphi Agreement
EAVE PROJECTS: Names Anthony David Kent Liquidator

FARRINGDON MORTGAGES: Fitch Raises GBP3.13 Mln Class B2a to BB-
FEDERAL-MOGUL: Wants to Amend US$775 Million DIP Financing
FORD MOTOR: Posts US$282 Million Net Loss in First Quarter 2007
G.P.M. ELECTRICAL: Gordon Craig Leads Liquidation Procedure
HILTON HOTELS: Sells 10 Hotels to Morgan Stanley for US$770 Mln

KRISPY KREME: Robert Strickland Retires from Board of Directors
LEAR CORPORATION: Earns US$49.9 Million in First Quarter 2007
NATIONWIDE LEGAL: High Court to Hear Wind-Up Petition on May 2
NLS SHEFFIELD: High Court to Hear Wind-Up Petition on May 2
PHELPS DODGE: Acquisition Boosts Freeport's First Qtr. Profits

SOLUTIA INC: Committee Compels Parties to File Final Claims
SOLUTIA INC: Wants Open-Ended Lease Decision Deadline
SUN MICROSYSTEMS: Earns US$67 Million in Third Quarter 2007
TONG PARK: Brings In Liquidators from KPMG
TYSON FOODS: Davenport Raises Rating on Firm's Shares to "Buy"

VDU INTERNATIONAL: Claims Filing Period Ends May 30
VONAGE HOLDINGS: Appellate Court Okays Sign-Up of New Customers
WATTSON SHOP: Calls In Liquidators from Tenon Recovery
WHITE TOWER: S&P Rates EUR15.15 Million Class E Notes at BB
YELL GROUP: Intense Competition Prompts US Profit Warning

                            *********

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


BRAINSTUDIO LLC: Vienna Court Orders Business Shutdown
------------------------------------------------------
The Trade Court of Vienna entered April 3 an order shutting down
the business of LLC Brainstudio (FN 200716x).

Court-appointed estate administrator Georg Freimueller
recommended the business shutdown after determining that the
continuing operations would reduce the value of the estate.

The estate administrator can be reached at:

         Dr. Georg Freimueller
         Alser Strasse 21
         1080 Vienna
         Austria
         Tel: 406 05 51
         Fax: 406 96 01
         E-mail: kanzlei@jus.at  

Headquartered in Vienna, Austria, the Debtor declared bankruptcy
on March 28 (Bankr. Case No 2 S 45/07s).


GYRRHY & KREN: Claims Registration Period Ends May 15
-----------------------------------------------------
Creditors owed money by LLC Gyrrhy & Kren (FN 60853s) have until
May 15 to file written proofs of claim to court-appointed estate
administrator Wolfgang Klobassa at:

         Dr. Wolfgang Klobassa  
         Conrad-von-Hoetzendorf-Strasse 15
         8570 Voitsberg
         Austria
         Tel: 03142/21850
         Fax: 03142/21850-6
         E-mail: insolvenz@ra-semlitsch-klobassa.at  

Creditors and other interested parties are encouraged to attend
the creditors' meeting at 10:20 a.m. on May 24 for the
examination of claims.

The meeting of creditors will be held at:

         The Land Court of Graz
         Room 222
         Second Floor
         Graz
         Austria

Headquartered in Rosental, Austria, the Debtor declared
bankruptcy on April 4 (Bankr. Case No. 26 S 23/07p).  


HD LLC: Claims Registration Period Ends May 12
----------------------------------------------
Creditors owed money by LLC HD (FN 275544m) have until May 12 to
file written proofs of claim to court-appointed estate
administrator Josef Wimmer at:

         Mag. Josef Wimmer  
         Bahnhofstrasse 59
         4910 Ried im Innkreis
         Austria
         Tel: 07752/26872
         Fax: 07752/26872-10
         E-mail: rechtsanwalt@wimmer.or.at  

Creditors and other interested parties are encouraged to attend
the creditors' meeting at 9:00 a.m. on May 23 for the
examination of claims.

The meeting of creditors will be held at:

         The Land Court of Ried im Innkreis
         Hall 101
         First Floor
         Ried im Innkreis
         Austria

Headquartered in Mettmach, Austria, the Debtor declared
bankruptcy on April 5 (Bankr. Case No. 17 S 10/07p).  


MTH-ENGINES: Salzburg Court Orders Business Shutdown
----------------------------------------------------
The Land Court of Salzburg entered April 2 an order shutting
down the business of LLC MTH-Engines (FN 273683a).

Court-appointed estate administrator Guenther Auer recommended
the business shutdown after determining that the continuing
operations would reduce the value of the estate.

The estate administrator can be reached at:

         Dr. Guenther Auer
         Kirchgasse 3
         5110 Oberndorf bei Salzburg
         Austria
         Tel: 06272-70870
         Fax: 06272-7088-14

Headquartered in Obertrum am See, Austria, the Debtor declared
bankruptcy on March 20 (Bankr. Case No 23 S 17/07f).


N.O.B. LLC: Vienna Court Orders Business Shutdown
-------------------------------------------------
The Trade Court of Vienna entered April 3 an order shutting down
the business of LLC N.O.B. (FN 265771s).

Court-appointed estate administrator Charlotte Boehm recommended
the business shutdown after determining that the continuing
operations would reduce the value of the estate.

The estate administrator can be reached at:

         Dr. Charlotte Boehm
         Taborstrasse 10/2
         1020 Vienna
         Austria
         Tel: 214 77 10/20
         Fax: 214 77 10/16
         E-mail: boehm@EUnet.at  

Headquartered in Vienna, Austria, the Debtor declared bankruptcy
on March 28 (Bankr. Case No 38 S 16/07s).


SCHILLER LLC: Court Orders Business Shutdown
--------------------------------------------
The Land Court of Krems an der Donau entered April 2 an order
shutting down the business of LLC Schiller (FN 34700f).

Court-appointed estate administrator Wolfgang Winiwarter
recommended the business shutdown after determining that the
continuing operations would reduce the value of the estate.

The estate administrator can be reached at:

         Dr. Wolfgang Winiwarter
         Utzstrasse 9
         3500 Krems
         Tel: 02732/83234
         Fax: 02732/74153
         E-mail: office@winiwarter.at  

Headquartered in Mautern, Austria, the Debtor declared
bankruptcy on March 27 (Bankr. Case No 9 S 15/07i).


V. R. VASIC: Claims Registration Period Ends May 11
---------------------------------------------------
Creditors owed money by LLC V. R. Vasic (FN 250988a) have until
May 11 to file written proofs of claim to court-appointed estate
administrator Andrea Eisner at:

         Mag. Andrea Eisner  
         Weyrgasse 8/7
         1030 Vienna
         Austria
         Tel: 712 04 77
         Fax: 712 04 77 12
         E-mail: office@ra-eisner.at  

Creditors and other interested parties are encouraged to attend
the creditors' meeting at 10:30 a.m. on May 25 for the
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 April 5 (Bankr. Case No. 28 S 40/07x).  


VASIC KEG: Claims Registration Period Ends May 17
-------------------------------------------------
Creditors owed money by KEG Vasic (FN 276821s) have until May 17
to file written proofs of claim to court-appointed estate
administrator Viktor Igali-Igalffy at:

         Dr. Viktor Igali-Igalffy  
         Bruehlerstr. 63
         2340 Moedling
         Austria
         Tel: 02236/45240
         Fax: 02236/45240-22
         E-mail: vii.@aon.at  

Creditors and other interested parties are encouraged to attend
the creditors' meeting at 11:30 a.m. on May 31 for the
examination of claims.

The meeting of creditors will be held at:

         The Land Court of Wiener Neustadt
         Room 15
         Wiener Neustadt
         Austria

Headquartered in Maria Enzersdorf am Gebirge, Austria, the
Debtor declared bankruptcy on April 3 (Bankr. Case No. 10 S
31/07y).


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


FERRO CORP: Hires Nicholas Katzakis as Chief Accounting Officer
---------------------------------------------------------------
Ferro Corporation has hired Nicholas Katzakis as Chief
Accounting Officer.

Mr. Katzakis was formerly Vice President, Controller and
Compliance Officer for U-Store-It Trust, a publicly traded real
estate investment trust that owns and operates self-storage
facilities throughout the United States.

Prior to his tenure at U-Store-It, Mr. Katzakis was Director of
Financial Services and Controller for A. Schulman, Inc., a
publicly owned global manufacturer of plastic resins for the
automotive and packaging industries.

Mr. Katzakis, who is a certified public accountant, served as a
senior auditor at the former Touche Ross & Co. before moving
into corporate finance roles.  He earned a master's of business
administration degree from Cleveland State University and a
bachelor's degree in business administration from Kent State
University.

In his role at Ferro, Mr. Katzakis reports to Sallie B. Bailey,
Vice President and Chief Financial Officer.

Headquartered in Cleveland, Ohio, Ferro Corporation --
http://www.ferro.com/-- is a global producer of an array of  
performance materials sold to a range of manufacturers in
approximately 30 markets throughout the world.  Ferro applies
certain core scientific expertise in organic chemistry,
inorganic chemistry, polymer science and material science to
develop coatings for ceramics and metal; materials for passive
electronic components; pigments; enamels, pastes and additives
for the glass market; glazes and decorating colors for the
dinnerware market; specialty plastic compounds and colors;
polymer additives; specialty chemicals for the pharmaceuticals
and electronics markets, and active ingredients and high-purity
carbohydrates for pharmaceutical formulations.  The company's
products are classified as performance materials, rather than
commodities, because they are formulated to perform specific and
important functions both in the manufacturing processes and in
the finished products of its customers

Ferro Corp. has global locations in Argentina, Australia,
Belgium, Brazil, China, among others.

                     *     *     *

Standard & Poor's Ratings Services affirmed its 'B+' corporate
credit rating on Ferro Corp. and raised the senior debt rating
to 'B+' from 'B'.


MEGA BRANDS: Names Kathleen Campisano as Chief Marketing Officer
----------------------------------------------------------------
MEGA Brands Inc. has appointed Kathleen Campisano as Executive
Vice-President and Chief Marketing Officer of the Corporation,
effective April 23, 2007.  

As the Corporation's senior marketing and brand executive, Ms.
Campisano will be responsible for the strategy, development and
management of marketing initiatives for all brands within
MEGA(TM) worldwide, including Mega Bloks(R), Rose Art(R),
Magnetix(R) and Board Dudes(R).  In this capacity, she will work
closely with the Corporation's global business teams on the
development and implementation of growth strategies.

"We are delighted to have Kathleen join our team.  She's a
passionate individual with extensive marketing and brand
management experience," stated Vic Bertrand, COO of MEGA Brands.  
"Kathleen is the right person to champion our relationship with
consumers and build our global fan base centered around families
who value creativity and child development."

Ms. Campisano has been building brands in executive leadership
roles for over two decades with LeapFrog Enterprises, Fisher
Price and Century Products Company.  She will be based in
Livingston, New Jersey.

Montreal, Canada-based Mega Brands Inc. fka Mega Bloks Inc.
-- http://www.megabloks.com/-- distributes a range of toys,  
puzzles, and craft-based products worldwide, including Mexico
and Belgium.  

                            *    *    *

As reported in the Troubled Company Reporter-Europe on April 25,
Standard & Poor's Ratings Services placed its 'BB-' long-term
corporate credit and bank loan ratings on MEGA Brands Inc. on
CreditWatch with negative implications.  The bank loan's '2'
recovery rating was also placed on CreditWatch.

In a TCR-Europe report on April 24, Moody's placed the Ba3
corporate family rating and other long-term ratings of MEGA
Brands, Inc. on review for possible downgrade after the company
announced weaker than expected results for the fourth quarter of
2006 and for the full year.  The speculative grade liquidity
rating was affirmed at SGL-3.

Ratings under review for possible downgrade:

  MEGA Brands Inc.

     -- Ba3 Corporate Family Rating

  MEGA Brands Inc.

     -- Ba2 rating on the 5-year revolving credit facility;
        LGD 2; 24%

  MEGA Blocks US

     -- Ba2 rating on the 5-year revolving credit facility;
        LGD 2; 24%

  MEGA Brands Inc.

     -- Ba2 rating on the US$40 million, 5-year term loan A
     facility; LGD 2; 24%

  MEGA Brands Finco

     -- Ba2 rating on the US$260 million 7-year term loan B
        facility; LGD 2; 24%

  MEGA Brands Inc.

     -- Probability of Default rating at B1


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


ARROW ELECTRONICS: Earns US$96.3 Million in First Quarter 2007
--------------------------------------------------------------
Arrow Electronics, Inc., reported first quarter 2007 net income
of US$96.3 million on sales of US$3.50 billion, compared with
net income of US$81.6 million on sales of US$3.19 billion in the
first quarter of 2006.  

Consolidated sales grew 10% over the first quarter of 2006, or
5% on a pro forma basis including the impact of acquisitions.  
The company's results for the first quarters of 2007 and 2006
include a number of items outlined below that impact their
comparability.  Excluding those items, net income for the
quarter ended March 31, 2007, would have been US$91.8 million
and net income for the quarter ended
March 31, 2006, would have been US$84.1 million.

"We once again executed well on our strategic and tactical
objectives this quarter.  We outgrew the market, posted record
first quarter sales and earnings per share, grew earnings at
twice the rate of sales organically, generated strong operating
cash flow of US$114 million and for the 13th consecutive quarter
return on invested capital was well in excess of our cost of
capital, all as we continue to invest in our business ensuring
continued value creation for our business partners and our
shareholders," said William E. Mitchell, Arrow Electronics
chairman, president and chief executive officer.  "In the first
quarter, we received favorable ratings changes from both Moody's
Investors Service and Fitch Ratings.  Our strong cash flow and
solid balance sheet have enabled us to pursue strategic
initiatives while maintaining a strong credit profile," added
Paul J. Reilly, Arrow Electronics senior vice president and
chief financial officer.

Worldwide computer products sales of US$776.0 million increased
33% over the first quarter of 2006, while sales for Arrow
Electronics' enterprise computing solutions business increased
12% on a pro forma basis including the impact of the
acquisitions of Alternative Technology, Inc. and the storage and
security distribution business of InTechnology plc.  "We
achieved our 13th consecutive quarter of year-over-year growth
driven by strong double-digit increases in industry standard
servers, storage, software and services, which significantly
outpaced market growth in these segments.  On March 31st, we
closed on our acquisition of the Agilysys KeyLink Systems Group
and successfully integrated KeyLink's people, systems and
facilities.  We continue to transform our industry leading
enterprise computing solutions business into a much stronger
organization with an expanded geographic reach, increased
exposure in faster growing product segments, and a more robust
customer and supplier base.  With increased scale and greater
levels of operating efficiency, we will further strengthen our
industry leading financial performance, while significant cross
selling opportunities will further accelerate our growth in the
global enterprise computing solutions marketplace," said Mr.
Mitchell.

Worldwide components sales of US$2.72 billion increased 4% over
the first quarter of 2006.  "We achieved exceptional results in
Europe with record sales and the highest first quarter operating
income since 2001 as we continue to drive results by investing
in our sales and marketing efforts and enhancing our existing
strong local presence with more consistent and disciplined
processes across the region.  Double-digit growth in our core
business serving small and medium sized customers around the
world was offset, in part, by the well-publicized weakness in
the large EMS segment in North America and Asia Pacific. Our
North American business posted the second highest first quarter
operating income since 2001 and in Asia Pacific operating income
advanced more than 70% year-over-year, further demonstrating our
ability to perform well regardless of market conditions," stated
Mr. Mitchell.

The company's results for the first quarter of 2007 and 2006
include the items outlined below that impact their
comparability:

   * During the first quarter of 2007, the company recorded
     a net restructuring credit of US$8.3 million (US$5.8
     million net of related taxes or US$.05 per share on both
     a basic and diluted basis), primarily related to the sale
     of the company's Harlow, England facility.

   * During the first quarter of 2007, the company recorded an
     integration charge of US$2.1 million (US$1.3 million net
     of related taxes or US$.01 per share on both a basic and
     diluted basis), primarily related to the acquisition of
     KeyLink.

   * During the first quarter of 2006, the company recorded
     a US$1.5 million (US$.9 million net of related taxes or
     US$.01 per share on both a basic and diluted basis)
     restructuring charge.

   * During the first quarter of 2006, the company redeemed
     the total amount outstanding of US$283.2 million principal
     amount (US$156.4 million accreted value) of its zero
     coupon convertible debentures due in 2021 and repurchased
     US$4.1 million principal amount of its 7% senior notes
     due in January 2007.  The related loss on the redemption
     and repurchase, including any related premium paid,
     write-off of deferred financing costs, and cost of
     terminating a portion of related interest rate swaps,
     aggregated US$2.6 million (US$1.6 million net of related
     taxes or US$.01 per share on both a basic and diluted
     basis) and is recognized as a loss on prepayment of debt.

"Based upon the information known to us today, we expect to see
normal seasonality in all of our businesses in the second
quarter.  In components, we expect our broad small and medium-
sized customer base to perform well, offset in part, by
continued weakness in the large EMS customers.  In computer
products, we expect to continue to post solid growth in industry
standard servers, storage, software and services.  We believe
that total second quarter sales will be between US$3.85 and
US$4.15 billion, with worldwide component sales between US$2.725
and US$2.875 billion and worldwide computer product sales
between US$1.125 and US$1.275 billion.  Earnings per share, on a
diluted basis, excluding any charges, are expected to be in the
range of US$.78 to US$.84, an increase of 1% to 9% from last
year's second quarter.  These expected results include the
impact of the KeyLink acquisition," added Mr. Reilly.

Headquartered in Melville, New York, Arrow Electronics --
http://www.arrow.com/-- provides products, services and  
solutions to industrial and commercial users of electronic
components and computer products.   Arrow serves as a supply
channel partner for nearly 600 suppliers and more than 130,000
original equipment manufacturers, contract manufacturers and
commercial customers through a global network of over 270
locations in 53 countries and territories.

The company operates in France, Spain, Portugal, Denmark,
Estonia, Finland, Ireland, Latvia, Lithuania, Norway, Sweden,
Italy, Germany, Austria, Switzerland, Belgium, the Netherlands,
United Kingdom, Argentina, Brazil, Mexico, Australia, China,
Hong Kong, Korea, Philippines and Singapore.

                          *     *     *

Arrow Electronics carries Fitch's 'BB+' issuer default rating.  
The company's senior unsecured notes and senior unsecured bank
credit facility also carry Fitch's 'BB+' rating.  The rating
outlook is positive.


KNOLL INC: First Quarter 2007 Net Income Climbs to US$14.8 Mil.
---------------------------------------------------------------
Knoll, Inc. has reported net sales of US$247.9 million for the
first quarter ended March 31, 2007, an increase of 13.7% from
first quarter 2006.  Operating income was US$30.8 million, or
12.4% of net sales, an increase of 40.6% from the first quarter
2006, net income was US$14.8 million, an increase of 45.1% over
the first quarter 2006, and earnings per share was US$0.30
compared to US$0.20 adjusted earnings per share in the prior
year.

"Knoll is firing on all cylinders," said Andrew Cogan, Chief
Executive Officer.  "Thanks to the breadth and diversity of our
growth initiatives, for the third year in a row we are growing
our sales faster than the industry.  And, importantly in 2007,
investments in our operations are resulting in significant
improvements in both our gross and industry leading operating
margins."

"We are encouraged by the ongoing activity in the business and
look forward to an exciting NeoCon trade show in June, as we
continue to make investments in strengthening and expanding our
product portfolio.  I want to congratulate and thank our
associates and dealers for their strong performance and
continued commitment to our success."

                       First Quarter Results

Net sales for the quarter were US$247.9 million, an increase of
US$29.8 million, or 13.7%, over the first quarter of 2006, with
all of our product categories continuing to experience double
digit growth.

Backlog of unfilled orders at March 31, 2007 was US$193.5
million, an increase of US$19.4 million, or 11.1% compared to
unfilled orders at March 31, 2006.

Gross profit for the first quarter of 2007 was US$84.5 million,
an increase of US$14.7 million or 21.1%, over the same period in
2006.  Gross margin increased to 34.1% from 32.0% in the same
quarter of 2006 and sequentially increased from 32.6% in the
fourth quarter of 2006.  The increase from the first quarter of
2006 largely resulted from improved price realization, increased
volume allowing for better absorption of fixed costs and lower
material costs as a result of our global sourcing initiatives.  
These positive measures were partially offset by inflationary
pressures on the company's material and labor costs.

Operating expenses for the quarter were US$53.7 million, or
21.7% of sales, compared to US$47.8 million, or 21.9% of sales,
for the first quarter of 2006.  The increase in operating
expense dollars during the first quarter of 2007 was due to
investments in growth initiatives and higher variable sales and
incentive compensation as a result of increased sales levels and
higher operating profits.  In addition, first quarter 2006
operating expenses included US$392 thousand of secondary
offering costs.

The company' operating income increased to 12.4% of sales from
10.0% of sales in the same period in the prior year.

Interest expense increased US$1.2 million due to increased
average debt for the quarter coupled with higher average
interest rates.  Other income (expense) decreased approximately
US$600 thousand due to losses from foreign currency translation.

The effective tax rate was 38.0% for the quarter, as compared to
39.1% for the same period last year.  The decrease in the
effective tax rate is largely due to the mix of pretax income in
the countries in which we operate.  Net income for the first
quarter 2007 was US$14.8 million, or US$0.30 per share, as
compared to US$10.2 million, or US$0.20 adjusted earnings per
share, for the same quarter in 2006.

Cash generated from operations during the first quarter 2007 was
US$2.0 million, compared to US$15.2 million used in operations
the year before.  Capital expenditures for the period totaled
US$3.0 million compared to US$1.2 million for 2006.  The company
repurchased approximately 0.5 million shares of its stock for
US$13.5 million during the first quarter of 2007 compared to 0.8
million shares for US$16.3 million during the first quarter of
2006.  The company also had net borrowings during the first
quarter of 2007 of US$7.0 million primarily to fund working
capital compared to net borrowings of US$16.4 million during
2006.  The company also paid a quarterly dividend of US$5.3
million in the first quarter of 2007 compared to US$5.2 million
in the first quarter of 2006.

Barry L. McCabe, Chief Financial Officer said, "We are very
pleased with both our gross and operating margin expansions and
the strength of our balance sheet.  We reduced our leverage
ratio to 2.4 to 1 and have US$106 million available to us under
our revolving credit facility."

                    Second Quarter 2007 Outlook

The company expects second quarter 2007 revenue to be in the
US$262-272 million range, an increase of 6%-10% from the second
quarter of 2006.  Earnings per share estimates are between
US$0.35 and US$0.37.

Headquartered in East Greenville, Pennsylvania, Knoll Inc.,
(NYSE:KNL) -- http://www.knoll.com/-- designs and manufactures  
branded office furniture products and textiles, serves clients
worldwide.  It distributes its products through a network of
more than 300 dealerships and 100 showrooms and regional
offices.  The company has locations in Argentina, Australia,
Bahamas, Cayman Islands, China, Colombia, Denmark, Finland,
Greece, Hong Kong, India, Indonesia, Japan, Korea, Malaysia,
Philippines, Poland, Portugal and Singapore, among others.

                            *    *    *

As reported in the Troubled Company Reporter-Latin America on
Oct. 4, 2006, in connection with Moody's Investors Service's
implementation of its new Probability-of-Default and Loss-Given-
Default rating methodology for the for the U.S. Consumer
Products, Beverage, Toy, Natural Product Processors, Packaged
Food Processors and Agricultural Cooperative sectors, the rating
agency assigned its B1 Corporate Family Rating for Knoll Inc.,
and upgraded its a3 rating on the company's US$200 million
senior secured revolver and US$250 million senior secured term
loan to Ba2.  Additionally, Moody's assigned an LGD2 rating to
both loans, suggesting noteholders will experience a 27% loss in
the event of a default.


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


XEROX CORP: Declares 24 Cents per Share First Quarter Earnings
--------------------------------------------------------------
Xerox Corporation declared first-quarter 2007 earnings per share
of 24 cents.

The company's earnings include a 2-cent charge to reflect its
share of a restructuring charge recorded by Fuji Xerox Co., Ltd.
This previously announced restructuring was initially expected
to be a 3-cent charge to Xerox's first-quarter earnings.

Total revenue of US$3.8 billion grew 4 percent in the first
quarter.  Post-sale and financing revenue -- Xerox's annuity
streams that represent more than 70 percent of total revenue --
increased 6 percent.  This growth was largely driven by a 7
percent increase in post-sale revenue from digital systems.
Both total revenue and post-sale revenue included a currency
benefit of 3 percentage points.

"Xerox's growth strategy focuses on increasing our install base
of digital technology through new products and broader
distribution, strengthening our leadership in color, and
expanding our services business.  Success in these areas builds
a healthy annuity stream that serves our company well for the
long term," said Anne M. Mulcahy, Xerox chairman and chief
executive officer.  "Our results in the first quarter show that
the strategy is working.  We delivered solid activity gains,
grew color revenue, and signed big deals for Xerox's document
management services -- all of which contribute to steady annuity
growth.

"Along with progress on the top line, excellent operational
performance and improved margins led to a 17 percent increase in
net income and earnings that exceeded our expectations," added
Ms. Mulcahy.

A fundamental measure of Xerox's business is increasing the
number of Xerox systems installed in customers' workplaces.
This install activity generates sales of supplies and services
that are expected to drive gains in post-sale revenue.  As Xerox
accelerated activity in key markets during the first quarter,
the continued impact of pricing declines put pressure on
equipment sales, which were down 2 percent including a 2-point
benefit from currency.

Since the beginning of the year, Xerox has introduced 19 new
products, half of which are color products, surpassing the 14
total product launches in 2006.  The company plans to more than
double its number of product launches this year.  More than two-
thirds of Xerox's equipment sales come from products launched in
the past two years.

Xerox is growing color revenue through the industry's broadest
portfolio of color presses, printers and multifunction devices,
and new marketing campaigns that promote the quality and
affordability of color printing as seen on www.frugalcolor.com.
Revenue from color grew 17 percent in the first quarter and now
represents 37 percent of Xerox's total revenue, up 4 points from
the first quarter of 2006.  Xerox color presses produce the
highest volume of pages in the industry and last year more than
30 billion color pages were printed on Xerox technology.  In the
first quarter, color pages contributed to a 21 percent increase
in post-sale revenue from color.

Xerox services help businesses simplify work processes, manage
office technology and in-house print shops, digitize paper
files, create digital archives and much more.  Through
multiyear, multimillion dollar contracts, the company's document
management services generated nearly US$800 million in annuity
revenue in the first quarter, a 10 percent increase in post-sale
revenue from services.

Xerox's production business provides commercial printers and
document-intensive industries with high-speed digital printing
and services that enable on-demand, personalized printing.
Total production revenue increased 5 percent in the first
quarter including a 4-point currency benefit.  Installs of
production black-and-white systems declined 7 percent with
growth in light production and continuous feed only partially
offsetting declines in higher-end production printing.
Production color installs grew 4 percent reflecting strong
activity for the Xerox iGen3(R) Digital Production Press and
continued demand for the DocuColor(R) 5000.

Xerox's office business provides document technology and
services for businesses of any size.  Total office revenue was
up 2 percent in the first quarter including a 2-point currency
benefit.  Installs of office black-and-white systems were down 5
percent due to activity declines for desktop devices, which were
only partially offset by 11 percent growth in the company's mid-
range line of multifunction devices.  Strong demand for Xerox's
color WorkCentre(R) families led to a 71 percent increase in
install activity for color multifunction systems.

In addition to new product and service offerings, Xerox is
making aggressive moves to expand its presence in the fast
growing small and mid-size business or SMB market.  Earlier this
month, Xerox agreed to acquire Global Imaging Systems for US$1.5
billion, which, upon closing, will give Xerox access to about
200,000 new customers and increase its U.S. distribution to SMB
customers by more than 50 percent.  Expected to close in mid-
May, the acquisition of Global Imaging builds on Xerox's
announcement in February to increase its investments in sales
channels by providing more offerings to value-added resellers
and independent agents.

"We're playing offense in the marketplace and we're playing to
win," said Ms. Mulcahy.

Gross margins were 40.6 percent, about a half point improvement
from first quarter of 2006.  Selling, administrative and general
expenses were 24.9 percent of revenue, a year-over-year
improvement of 1.7 points.

Xerox generated operating cash flow of US$187 million in the
first quarter and closed the quarter with US$1.3 billion in cash
and short-term investments.

Since launching its stock buyback program in October 2005, the
company to date has repurchased about 114 million shares,
totaling US$1.7 billion of its US$2.5 billion program.

Xerox expects second-quarter 2007 earnings in the range of 26-28
cents per share.

Headquartered in Stamford, Connecticut, Xerox Corp. --
http://www.xerox.com/-- develops, manufactures, markets,  
services and finances a range of document equipment, software,
solutions and services.  Xerox operates in over 160 countries
worldwide and distributes products in the Western Hemisphere
through divisions, wholly owned subsidiaries and third-party
distributors.  The company maintains operations in France,
Japan, Italy, Nicaragua, among others.

                        *     *     *

As reported in the Troubled Company Reporter-Europe on April 5,
Fitch Ratings has affirmed Xerox Corp.'s and its subsidiary's
ratings:

   Xerox Corp.

     -- Trust preferred securities at 'BB';
     -- Issuer Default Rating at 'BBB-';
     -- Unsecured credit facility at 'BBB-'; and
     -- Senior unsecured debt at 'BBB-'.

   Xerox Credit Corp.

     -- Issuer Default Rating at 'BBB-'; and
     -- Senior unsecured debt at 'BBB-'.

As reported in the Troubled Company Reporter-Latin America on
April 4, 2007, Standard & Poor's Ratings Services placed its
ratings on Xerox Corp., including the 'BB+' corporate credit
rating, on CreditWatch with positive implications.  The
CreditWatch placement reflects the company's announcement that
it has reached an agreement in principle to acquire Global
Imaging Systems Inc. for approximately US$1.5 billion in cash.


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


AUTOHAUS BOESECKE: Claims Registration Period Ends May 25
---------------------------------------------------------
Creditors of Autohaus Boesecke GmbH have until May 25 to
register their claims with court-appointed insolvency manager
Petra Hilgers.

Creditors and other interested parties are encouraged to attend
the meeting at 11:10 a.m. on June 27, 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 Potsdam
         Hall 301
         Third Floor
         Nebenstelle Lindenstrasse 6
         14467 Potsdam
         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. Petra Hilgers
         Goethestrasse 85
         10623 Berlin
         Germany

The District Court of Potsdam opened bankruptcy proceedings
against Autohaus Boesecke GmbH on April 17.  Consequently, all
pending proceedings against the company have been automatically
stayed.

The Debtor can be contacted at:

         Autohaus Boesecke GmbH
         Attn: Mario Boesecke, Manager
         Flugzeughallen 1
         14712 Rathenow
         Germany


BALLHAUS BETRIEBS: Creditors' Meeting Slated for June 29
--------------------------------------------------------
The court-appointed insolvency manager for Ballhaus Betriebs
GmbH, Dr. Wolf-R. von der Fecht, will present his first report
on the Company's insolvency proceedings at a creditors' meeting
at 9:35 a.m. on June 29.

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

         The District Court of Krefeld
         Meeting Hall H 131
         First Floor         
         Nordwall 131
         47798 Krefeld
         Germany

The Court will also verify the claims set out in the insolvency
manager's report at 10:35 a.m. on Aug. 24, at the same venue.

Creditors have until July 13 to register their claims with the
court-appointed insolvency manager.

The insolvency manager can be reached at:

         Dr. Wolf-R. von der Fecht
         Rheinort 1
         40213 Duesseldorf
         Germany
         Tel: 0211 13940
         Fax: +4902111394251

The District Court of Krefeld opened bankruptcy proceedings
against Ballhaus Betriebs GmbH on April 13.  Consequently, all
pending proceedings against the company have been automatically
stayed.

The Debtor can be reached at:

         Ballhaus Betriebs GmbH
         Attn: Richard R"hrhoff, Manager
         Ostwall 100
         47798 Krefeld
         Germany


BIOMEDICAL GROUP: Claims Registration Period Ends July 13
---------------------------------------------------------
Creditors of BioMedical Group Verwaltungs- und Beteiligungs-
GmbH have until July 13 to register their claims with court-
appointed insolvency manager Thomas Illy.

Creditors and other interested parties are encouraged to attend
the meeting at 8:55 a.m. on Aug. 7, at which time the insolvency
manager will present his first report on the insolvency
proceedings.

The meeting of creditors will be held at:

         The District Court of Frankfurt (Main)
         Hall 2
         Building F
         Klingerstrasse 20
         60313 Frankfurt (Main)
         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:

         Thomas Illy
         Taunusanlage 17
         60325 Frankfurt (Main)
         Germany
         Tel: 069/979953-0
         Fax: 069/979953-99

The District Court of Frankfurt (Main) opened bankruptcy
proceedings against BioMedical Group Verwaltungs- und
Beteiligungs- GmbH on April 16.  Consequently, all pending
proceedings against the company have been automatically stayed.

The Debtor can be contacted at:

         BioMedical Group Verwaltungs- und Beteiligungs- GmbH
         Mainzer Strasse 346
         55411 Bingen
         Germany


BIOTHERM-HOLZHAUS: Claims Registration Period Ends June 4
---------------------------------------------------------
Creditors of Biotherm-Holzhaus GmbH have until June 4 to
register their claims with court-appointed insolvency manager
Jens Lieser.

Creditors and other interested parties are encouraged to attend
the meeting at 11:00 a.m. on June 22, 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 Neuenahr-Ahrweiler
         Hall 4
         Wilhelmstrasse 55-57
         53474 Bad Neuenahr-Ahrweiler
         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:

         Jens Lieser
         Josef-G"rres-Platz 5
         56068 Koblenz
         Germany
         Tel: 0261-304790
         Fax: 0261-9114729

The District Court of Bad Neuenahr-Ahrweiler opened bankruptcy
proceedings against Biotherm-Holzhaus GmbH on April 18.  
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be contacted at:

         Biotherm-Holzhaus GmbH
         Bergstr. 11
         56745 Weibern
         Germany

         Attn: Ingo Gruebler, Manager
         Rheinaustr. 231
         53225 Bonn
         Germany


BMG REIFENSERVICE: Claims Registration Period Ends June 27
----------------------------------------------------------
Creditors of BMG Reifenservice GmbH have until June 27 to
register their claims with court-appointed insolvency manager
Gert Wasner.

Creditors and other interested parties are encouraged to attend
the meeting at 9:45 a.m. on July 18, 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 Uelzen
         Hall 2
         Main Building
         Fritz-Roever-Str 5
         29525 Uelzen
         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. Gert Wasner
         Veersser Strasse 41
         29525 Uelzen
         Germany
         Tel: 0581/16006
         Fax: 0581/17159

The District Court of Uelzen opened bankruptcy proceedings
against BMG Reifenservice GmbH on April 17.  Consequently, all
pending proceedings against the company have been automatically
stayed.

The Debtor can be contacted at:

         BMG Reifenservice GmbH
         Attn: Heiko Genthe, Manager
         Dietrichstrasse 9
         29525 Uelzen
         Germany


BMS BAU: Claims Registration Period Ends June 8
-----------------------------------------------
Creditors of BMS Bau GmbH have until June 8 to register their
claims with court-appointed insolvency manager Dr. H. Hess.

Creditors and other interested parties are encouraged to attend
the meeting at 10:00 a.m. on July 10, 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 Gera
         Hall 317
         Rudolf-Diener-Str. 1
         Gera
         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. H. Hess
         Barbarossahof 4-5
         99092 Erfurt
         Germany

The District Court of Gera opened bankruptcy proceedings against
BMS Bau GmbH on April 19.  Consequently, all pending proceedings
against the company have been automatically stayed.

The Debtor can be contacted at:

         BMS Bau GmbH
         Attn: Berthold and Marion Seidel, Managers
         Wiesenstr. 16
         07607 Eisenberg
         Germany


DAIMLERCHRYSLER AG: UAW Doesn't Favor Magna as Chrysler's Buyer
---------------------------------------------------------------
United Auto Workers President Ron Gettelfinger has denied
reports that the union endorsed Magna International Inc. as its
preferred buyer for DaimlerChrysler AG's Chrysler Group, adding
that the UAW maintains its stand against the unit's sale, John
D. Stoll writes for Dow Jones Newswires.

According to the report, Mr. Gettelfinger explained that the
Detroit News misquoted Canadian Auto Workers representative
Jerry Dias as saying the UAW was on board with such a plan.  Mr.
Gettelfinger further said the union isn't playing favorites and
hasn't expressed support for Magna or any of Chrysler's
potential buyers.  The UAW and CAW are not affiliated although
they both represent Chrysler workers in North America.

The TCR-Europe reported on April 24 that DaimlerChrysler's top
leaders, including Chief Executive Dieter Zetsche, plans to meet
with labor groups, who plan to ask about the company's strategic
review of Chrysler and the status of talks with three other
groups, WSJ reveals.  Mr. Zetsche faces pressure from
shareholders who are concerned that Chrysler, with its
US$18 billion unfunded health-care liabilities and recent
operating losses, is pulling down the company's profitable
Mercedes-Benz luxury-car business.

The UAW, however, is not taking things lying down.

"We have established what we refer to as a war room where we
have our people taking a look and monitoring every conceivable
situation at Daimler," Mr. Gettelfinger said.  "We have publicly
[and] repeatedly said that we feel like we could make the case
why DaimlerChrysler should keep the Chrysler Group."

                      About DaimlerChrysler

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

The company's worldwide operations are located in: Canada,
Mexico, United States, Argentina, Brazil, Venezuela, China,
India, Indonesia, Japan, Thailand, Vietnam, and Australia.

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

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

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


DAIMLERCHRYSLER AG: Chrysler Sale Threatens Marysville Deal
-----------------------------------------------------------
The Chrysler Group's US$700 million investment in Marysville and
the 1,000 jobs that come with it may unravel if DaimlerChrysler
AG's plan to sell the unit pushes through, Jim Bloch writes for
The Voice.

The TCR-Europe reported on April 19 that the Chrysler Group
will boost the Michigan economy with an investment of
US$1.78 billion, much of it to start a multi-product
"Powertrain Offensive."  The initiative will consist of:

   * US$730 million for a new plant in Trenton, Mich., to
     produce the "Phoenix" family of V-6 engines;

   * US$700 million in Marysville, Mich., to build a new axle
     plant;

   * US$300 million in the Sterling Heights (Mich.) Assembly
     Plant (SHAP) to expand its paint shop; and

   * US$50 million for retooling of Warren Truck Assembly Plant
     and Warren Stamping Plant for future product.

The new axle plant in Marysville will incorporate engineering
and development for the creation of a new family of axles that
provide better fuel economy.  In addition, the common axle will
allow the company to consolidate the number of axles for better
economies of scale.

The city of Marysville is planning to buy the property for US$3
million, annex it from the township, and then give the land to
Chrysler, The Voice relates.  However, the deal to build the
axle plant in Marysville could fall through in the event of
Chrysler's sale.  The agreement includes a hold-harmless clause,
under which the city would get its money back for the property
and any other ancillary expenses should something go haywire.

The Economic Development Alliance of St. Clair County, which
played a key role in putting the deal together, currently
controls the option on the farmland, The Voice states.  The city
hopes to regain its investment through Chrysler's taxes in the
next three to five years.

                      About DaimlerChrysler

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

The company's worldwide operations are located in: Canada,
Mexico, United States, Argentina, Brazil, Venezuela, China,
India, Indonesia, Japan, Thailand, Vietnam, and Australia.

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

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

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


ELSNER HEIZUNG: Claims Registration Ends May 18
-----------------------------------------------
Creditors of Elsner Heizung & Sanitar GmbH have until May 18 to
register their claims with court-appointed insolvency manager
Karina Schwarz.

Creditors and other interested parties are encouraged to attend
the meeting at 10:00 a.m. on June 14, 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 Magdeburg
         Hall D
         Insolvency Department
         Liebknechtstrasse 65-91
         39110 Magdeburg
         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:

         Karina Schwarz
         Klausenerstr. 24
         39112 Magdeburg
         Germany
         Tel: 0391/ 6286260
         Fax: 0391/ 6286266
         E-mail: magdeburg@Rechtsanwaelte-Schwarz.de

The District Court of Magdeburg opened bankruptcy proceedings
against Elsner Heizung & Sanitar GmbH on April 16.  
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be reached at:

         Elsner Heizung & Sanitar GmbH
         Schricker Weg 18
         39326 Farsleben
         Germany


H.M.K. HAMBURGER: Claims Registration Ends June 6
-------------------------------------------------
Creditors of H.M.K. Hamburger Marketing-Kommunikation GmbH have
until June 6 to register their claims with court-appointed
insolvency manager Burckhardt Reimer.

Creditors and other interested parties are encouraged to attend
the meeting at 9:00 a.m. on July 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 Hamburg
         Hall B 405
         Fourth Floor Annex
         Civil Justice Bldg.
         Sievkingplatz 1
         20355 Hamburg
         Germany

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

The insolvency manager can be reached at:

         Burckhardt Reimer
         Domstrasse 15
         20095 Hamburg
         Germany

The District Court of Hamburg opened bankruptcy proceedings
against H.M.K. Hamburger Marketing-Kommunikation GmbH on
April 18.  Consequently, all pending proceedings against the
company have been automatically stayed.

The Debtor can be reached at:

         H.M.K. Hamburger Marketing-Kommunikation GmbH
         Attn: Uwe Michael Jenkner, Manager
         Alsterchaussee 25
         20149 Hamburg
         Germany


HANS-JOACHIM: Claims Registration Ends June 4
---------------------------------------------
Creditors of Hans-Joachim Hoehne have until June 4 to register
their claims with court-appointed insolvency manager Dr. Thomas
Westphal.

Creditors and other interested parties are encouraged to attend
the meeting at 9:45 a.m. on July 3, 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 Celle
         Hall 014
         Ground Floor
         Muehlenstrasse 4
         29221 Celle
         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. Thomas Westphal
         Meteorstr. 1
         29221 Celle
         Germany
         Tel: 05141/99290-60
         Fax: 05141/7648
         E-mail: ThWestphal@t-online.de

The District Court of Celle opened bankruptcy proceedings
against Hans-Joachim Hoehne on April 17.  Consequently, all
pending proceedings against the company have been automatically
stayed.

The Debtor can be reached at:

         Hans-Joachim Hoehne
         Ernst-Pernoll-Strasse 4
         29633 Munster
         Germany   


HEINRICH SEIKEL: Claims Registration Ends June 8
------------------------------------------------
Creditors of Heinrich Seikel GmbH have until June 8 to register
their claims with court-appointed insolvency manager Petra
Fuchs.

Creditors and other interested parties are encouraged to attend
the meeting at 11:45 a.m. on June 26, 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 Hanau
         Area 111
         Branch Office
         Engelhardstrasse 21
         63450 Hanau
         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:

         Petra Fuchs
         Schafergasse 17, D
         60313 Frankfurt
         Germany
         Tel: 069/138107-0
         Fax: 069/138107-10

The District Court of Hanau opened bankruptcy proceedings
against Heinrich Seikel GmbH on April 18.  Consequently, all
pending proceedings against the company have been automatically
stayed.

The Debtor can be reached at:

         Heinrich Seikel GmbH
         Auf der Wehrweide 3
         63579 Freigericht
         Germany
         
         Attn: Heinrich Seikel, Manager
         Karlstr. 25
         63579 Freigericht
         Germany


M-GAS ENERGIE: Claims Registration Period Ends May 25
-----------------------------------------------------
Creditors of M-Gas Energie GmbH have until May 25 to register
their claims with court-appointed insolvency manager Andreas
Sontopski.

Creditors and other interested parties are encouraged to attend
the meeting at 9:10 a.m. on June 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 Muenster
         Meeting Hall 101 B
         Gerichtsstr. 2-6
         48149 Muenster
         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: 02557/9384-0
         Fax: +492557938450

The District Court of Muenster opened bankruptcy proceedings
against M-Gas Energie GmbH on April 13.  Consequently, all
pending proceedings against the company have been automatically
stayed.

The Debtor can be reached at:

         M-Gas Energie GmbH
         Deipenbrock 29
         48607 Ochtrup
         Germany

         Attn: Alfons Feldevert-Hoeveler
         Deipenbrock 31
         48607 Ochtrup
         Germany


MS KUNSTSTOFFTECHNIK: Claims Registration Period Ends May 22
------------------------------------------------------------
Creditors of MS Kunststofftechnik Mangold GmbH have until May 22
to register their claims with court-appointed insolvency manager
Thomas Kind.

Creditors and other interested parties are encouraged to attend
the meeting at 10:00 a.m. on July 3, at which time the
insolvency manager will present his first report on the
insolvency proceedings.

The meeting of creditors will be held at:

         The District Court of Karlsruhe
         Hall IV
         First Floor
         Schlossplatz 23
         76131 Karlsruhe
         Germany

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

The insolvency manager can be reached at:

         Thomas Kind
         Eisenbahnstr. 19-23
         77855 Achern
         Germany
         Tel: (07 8 41) 70 80

The District Court of Karlsruhe opened bankruptcy proceedings
against MS Kunststofftechnik Mangold GmbH on April 19.  
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be reached at:

         MS Kunststofftechnik Mangold GmbH
         Attn: Udo Mangold, Manager
         Austr. 25
         75057 Kuernbach
         Germany


NATURSTEINE GMBH: Claims Registration Period Ends June 8
--------------------------------------------------------
Creditors of Natursteine GmbH Jaks have until June 8 to register
their claims with court-appointed insolvency manager Karl
Dinkel.

Creditors and other interested parties are encouraged to attend
the meeting at 9:40 a.m. on July 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 Ingolstadt
         Meeting Hall 28
         First Floor
         Schrannenstr. 3
         85049 Ingolstadt
         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:

         Karl Dinkel
         Rosenstrasse 107
         86633 Neuburg/Donau
         Germany
         Tel: 08431/7201
         Fax: 08431/7214

The District Court of Ingolstadt opened bankruptcy proceedings
against Natursteine GmbH Jaks on April 18.  Consequently, all
pending proceedings against the company have been automatically
stayed.

The Debtor can be contacted at:

         Natursteine GmbH Jaks
         Attn: Juergen Jaks and Thomas Bauer, Managers
         Schnellerstrasse 10
         12439 Berlin
         Germany


NATURSTEINE HELLFRITSCH: Claims Registration June 21
----------------------------------------------------
Creditors of Natursteine Hellfritsch & Neuner GmbH have until
June 21 to register their claims with court-appointed insolvency
manager Gerhard Th. Walter.

Creditors and other interested parties are encouraged to attend
the meeting at 9:35 a.m. on July 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 Offenbach am Main
         Hall 166N
         First Floor
         Kaiserstrasse 16-18
         63065 Offenbach am Main
         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. Gerhard Th. Walter
         Cronstettenstrasse 30 D
         60322 Frankfurt am Main
         Germany
         Tel: 069 / 95 91 10 0
         Fax: 069 / 95 91 10 12

The District Court of Offenbach am Main opened bankruptcy
proceedings against Natursteine Hellfritsch & Neuner GmbH on
April 18.  Consequently, all pending proceedings against the
company have been automatically stayed.

The Debtor can be reached at:

         Natursteine Hellfritsch & Neuner GmbH
         Attn: Monika Anna Neuner, Manager
         Am Kreuz 19
         63322 Roedermark
         Germany


REIFENPROFI GMBH: Claims Registration Period Ends May 18
--------------------------------------------------------
Creditors of OK Reifenprofi GmbH have until May 18 to register
their claims with court-appointed insolvency manager Klaus
Albert Maier.

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

The meeting of creditors will be held at:

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

The insolvency manager can be reached at:

         Klaus Albert Maier
         Wilhelmstr. 12
         70182 Stuttgart
         Germany
         Tel: 0711/16 42 40
         Fax: 0711/16 42 424

The District Court of Stuttgart opened bankruptcy proceedings
against OK Reifenprofi GmbH on April 17.  Consequently, all
pending proceedings against the company have been automatically
stayed.

The Debtor can be reached at:

         OK Reifenprofi GmbH
         Attn: Peter Korehnke, Manager
         Mercedesstr. 45
         70372 Stuttgart
         Germany


ROSIN GMBH: Claims Registration Period Ends May 29
--------------------------------------------------
Creditors of Rosin GmbH have until May 29 to register their
claims with court-appointed insolvency manager Dr. Gerhard
Th. Walter.

Creditors and other interested parties are encouraged to attend
the meeting at 9:00 a.m. on June 25, 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 Bad Homburg v.d. Hoehe
         Room 302
         Third Floor
         Auf der Steinkaut 10-12
         61352 Bad Homburg v.d. Hoehe
         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. Gerhard Th. Walter
         Cronstettenstrasse 30
         D 60322 Frankfurt a.M.
         Germany
         Tel: 069/9591100
         Fax: 069/95911012

The District Court of Bad Homburg v.d. Hoehe opened bankruptcy
proceedings against Rosin GmbH on April 16.  Consequently, all
pending proceedings against the company have been automatically
stayed.

The Debtor can be reached at:

         Rosin GmbH
         Bahnhofstr. 26-28
         61250 Usingen
         Germany

         Attn: Meik Burkhard Rosin, Manager
         Dorfstr. 106
         25336 Klein Nordende
         Germany


STABILITY CMBS: Fitch Assigns BB Rating to EUR28.2 Million Notes
----------------------------------------------------------------
Fitch Ratings STABILITY CMBS 2007-1 GmbH's floating-rate notes
due May 2019 expected ratings:

   -- EUR726.8 million senior swap: 'AAA'
   -- EUR500,000 Class A+: 'AAA'
   -- EUR31.8 million Class A: 'AAA'
   -- EUR46.4 million Class B: 'AA'
   -- EUR30.5 million Class C: 'A'
   -- EUR30.4 million Class D: 'BBB'
   -- EUR28.2 million Class E: 'BB'
   -- EUR14.6 million Class F: not rated

This transaction is the first synthetic securitization of
commercial mortgage loans originated by IKB Deutsche
Industriebank AG.

The ratings reflect the characteristics of the reference
portfolio and the integrity of the legal and financial
structures.  The ratings also address the timely payment of
interest on the notes and the ultimate repayment of principal by
final legal maturity in May 2022.  The final ratings are
contingent on the receipt of final documents conforming to
information already received.

The reference portfolio consists of 218 EUR- and CHF-denominated
mortgage loans originated by IKB with an aggregate current
balance of EUR909.18 million. The loans are secured by first-
and/or subordinate-ranking mortgages on mainly German but also
on non-German commercial real estate.  A large proportion of the
loans are granted to non-bankruptcy remote entities, which allow
for recourse to the debtors' other assets.  By current aggregate
balance, 88.8% of the loans bear either a fixed interest rate or
interest rate hedging agreements to mitigate interest rate risk.
The majority of the loans are amortizing, with the remaining
35.9% being bullet loans.  However, the transaction contains a
replenishment feature, allowing IKB to replenish amortized and
pre-paid loan amounts up to certain limits.  That means the
portfolio composition can change subject to the replenishment
criteria.

The transaction structure is similar to the well established
residential mortgage-backed PROVIDE program of Kreditanstalt fur
Wiederaufbau.  IKB will buy credit protection on the reference
portfolio from KfW under a bank swap.  KfW will, in turn, hedge
its exposure by entering into a senior credit default swap and
by issuing certificates of indebtedness that will be purchased
by STABILITY 2007-1 at closing.  STABILITY CMBS 2007-1 GmbH
will, in turn, place its assumed risk by issuing the Class A+ to
F credit linked notes.


STATHOUSI MALEREI: Claims Registration Period Ends May 1
--------------------------------------------------------
Creditors of Stathousi Malerei GmbH have until May 1 to register
their claims with court-appointed insolvency manager Hans-Peter
Rechel.

Creditors and other interested parties are encouraged to attend
the meeting at 9:30 a.m. on July 13, at which time the
insolvency manager will present his first report on the
insolvency proceedings.

The meeting of creditors will be held at:

         The District Court of Neumuenster
         Meeting Hall B.126
         Law Courts
         Boostedter Strasse 26
         Neumuenster
         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:

         Hans-Peter Rechel
         Lehmweg 17
         20251 Hamburg
         Germany

The District Court of Neumuenster opened bankruptcy proceedings
against Stathousi Malerei GmbH on April 17.  Consequently, all
pending proceedings against the company have been automatically
stayed.

The Debtor can be reached at:

         Stathousi Malerei GmbH  
         Attn: Frau Konstantia Stathousi, Manager
         Sommerstedter Strasse 8 B
         24576 Bramstedt
         Germany


WEKO VERZAHNTECHNIK: Claims Registration Ends May 15
----------------------------------------------------
Creditors of WEKO Verzahntechnik GmbH have until May 15 to
register their claims with court-appointed insolvency manager
Holger Bluemle.

Creditors and other interested parties are encouraged to attend
the meeting at 8:30 a.m. on June 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 Karlsruhe
         Hall IV
         First Floor
         Schlossplatz 23
         76131 Karlsruhe
         Germany
         
The Court will also verify the claims set out in the insolvency
manager's report during this meeting, while creditors may
constitute a creditors' committee or opt to appoint a new
insolvency manager.

The insolvency manager can be reached at:

         Holger Bluemle
         Kriegsstr. 113
         76135 Karlsruhe
         Germany
         Tel: 0721/919570

The District Court of Karlsruhe opened bankruptcy proceedings
against WEKO Verzahntechnik GmbH on April 19.  Consequently, all
pending proceedings against the company have been automatically
stayed.

The Debtor can be reached at:

         WEKO Verzahntechnik GmbH
         Im Schlehert 18
         76187 Karlsruhe
         Germany


WORT & SINN: Claims Registration Ends June 19
---------------------------------------------
Creditors of Wort & Sinn Telefonmarketing GmbH have until
June 19 to register their claims with court-appointed insolvency
manager Georg F. Kreplin.

Creditors and other interested parties are encouraged to attend
the meeting at 9:00 a.m. on July 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 Essen
         Meeting Hall 293
         Second 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 reached at:

         Georg F. Kreplin
         Limbecker Platz 1
         45127 Essen
         Germany

The District Court of Essen opened bankruptcy proceedings
against Wort & Sinn Telefonmarketing GmbH on April 19.  
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be reached at:

         Wort & Sinn Telefonmarketing GmbH
         Uferstr. 10
         45881 Gelsenkirchen
         Germany


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


CELESTICA INC: Posts US$34.3 Mil. Net Loss in First Quarter 2007
----------------------------------------------------------------
Celestica Inc. disclosed its financial results for the first
quarter ended March 31, 2007.

Revenue was US$1,842 million, down 5% from US$1,934 million in
the first quarter of 2006.  Net loss on a GAAP basis for the
first quarter was (US$34.3) million compared to GAAP net loss of
(US$17.4) million for the same period last year.  Included in
GAAP net loss for the quarter is US$8 million for restructuring
charges.  For the same period in 2006, restructuring charges of
US$17 million were incurred.  As previously disclosed, the
company expects to incur restructuring charges in the range of
US$20 to US$40 million in 2007.

Adjusted net earnings for the quarter was a loss of
(US$9.1) million or a loss compared to adjusted net earnings of
US$17.4 million for the same period last year.  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 guidance for the first quarter, announced on
Jan. 30, of revenue in the range of US$1.7 billion to
US$1.9 billion and adjusted net loss per share in the range of
(US$0.15) to (US$0.04).

"I am encouraged that our aggressive game plan for 2007 is
having a positive impact on our business performance.  We are
committed to building on the momentum of our first quarter
results and driving further improvements." said Craig
Muhlhauser, President and Chief Executive Officer, Celestica.  
Over the past two quarters our customer satisfaction rating has
improved significantly -- a strong indicator that our customers
are regaining confidence in our ability to deliver informed,
flexible solutions to enable their success."

                    Credit Facility Update

In April 2007, the company renegotiated the terms of our credit
facility and reduced its size from US$600 million to US$300
million.  The term has been extended to April 2009.  Under the
new terms, Celestica presently has access to the full borrowing
capacity available under the facility.

                           Outlook

The company continues to see demand softness in certain end
markets going forward.  For the second quarter ending
June 30, 2007, the company expects revenue will be in the range
of US$1.85 billion to US$2.05 billion, and adjusted net
earnings(loss) per share to range from US$(0.03) to US$0.05.

Headquartered in Toronto, Ontario, Celestica, Inc. (NYSE: CLS,
TSX: CLS/SV) -- http://www.celestica.com/-- is a world leader  
in the delivery of innovative electronics manufacturing
services.  Celestica operates a highly sophisticated global
manufacturing network with operations in Brazil, China, Ireland,
Italy, Japan, Malaysia, Philippines, Puerto Rico, and the United
Kingdom, among others, providing a broad range of integrated
services and solutions to original equipment manufacturers.  
Celestica's expertise in quality, technology and supply chain
management, enables the company to provide competitive advantage
to its customers by improving time-to-market, scalability and
manufacturing efficiency.

                         *     *     *

Moody's has 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.


COMMSCOPE INC: Earns US$45.9 Million for First Quarter 2007
-----------------------------------------------------------
CommScope Inc. posted US$45.86 million in net profit on
US$435.45 million in net revenues for the first quarter ended
March 31, 2007, compared with US$12.72 million in net profit on
US$352.25 million in net revenues for the first quarter ended
March 31, 2006.

"We are excited to start 2007 with record first quarter results
that exceeded expectations," said Frank M. Drendel, CommScope
Chairman and Chief Executive Officer.  "We delivered solid top-
line growth in every business segment while improving operating
performance.  The global manufacturing initiatives, which were
implemented throughout 2006, made a significant contribution to
our bottom line.  These major restructurings at key facilities
around the globe, higher sales volume and lower than expected
commodity costs drove our record first quarter performance.  We
have also raised calendar year 2007 financial guidance to
reflect our positive outlook.

"Leading global companies are placing great demands on their
communications networks.  We strive to provide our customers
with solutions that are part of the essential fabric for higher-
bandwidth networks of the future," stated Drendel.  "We believe
that our momentum remains strong as we execute this strategy and
build upon CommScope's unique position in the 'last mile' of
telecommunications."

                             Outlook

CommScope provided guidance for the second quarter and calendar
year 2007:

Second Quarter 2007

   -- for the second quarter of 2007, revenue is expected to be
      US$490 million to US$510 million and operating margin is
      expected to be 14.5% - 15.5%, excluding special items;

   -- the effective tax rate is expected to be 30% - 34%.

Calendar Year 2007

   -- for calendar year 2007, the company has increased its
      revenue and operating margin guidance.  CommScope now
      expects revenue in the range of US$1.84 billion to
      US$1.89 billion and operating margin of 13.5% - 14.5%,        
      excluding special items; and

   -- the effective tax rate is expected to be 30% - 34%.

"We are pleased with the strong start in our 2007 financial
performance and our improved calendar year outlook," said
Jearld L. Leonhardt, Executive Vice President and Chief
Financial Officer.  "We expect operating margin in the second
half of 2007 to be lower than the first half of the year
primarily due to increasing raw material costs and a cautious
view of the historically volatile Carrier segment."

                        About CommScope

Headquartered in Hickory, North Carolina, CommScope Inc.
-- http://www.commscope.com/-- designs and manufactures "last  
mile" cable and connectivity solutions for communication
networks.  CommScope operates in Brazil, Australia, China and
Ireland.

                          *     *     *

CommScope Inc. carries a 'BB' corporate credit rating from
Standard & Poor's.  Outlook is stable.


COMMSCOPE INC: Names Mike Kelley as Sr. VP for Global Operations
----------------------------------------------------------------
CommScope Inc. has appointed Mike Kelley senior vice president
for Global Enterprise Operations.

Mr. Kelley will be responsible for building upon and integrating
CommScope's global Enterprise manufacturing operations,
including facilities based in North America, Europe and
Australia.  Mr. Kelley has been a CommScope leader for eight
years as plant manager and vice president of operations at the
Claremont, North Carolina, manufacturing facility.

"With more than 20 years of broad operations experience and his
key leadership role in our recent, successful manufacturing
initiatives, Mike is the right person to guide our global
Enterprise operations," said Randy Crenshaw, executive vice
president and general manager, enterprise.  "In the past few
years, Mike has shown that he is a capable, focused leader who
can meet the challenges of a dynamic operations environment."

Prior to joining CommScope in 1999, Mr. Kelley was plant manager
for General Cable Corporation in Plano, Texas.  Before that, Mr.
Kelley held various manufacturing and operations positions at
Belden CDT Inc., including plant manager at its Tompkinsville,
Kentucky facility and director of operations at its Venlo,
Netherlands facility.

Mr. Kelley received his Masters of Business Administration from
the University of Tennessee at Chattanooga in 1984 and his
Bachelors degree in 1983.  He and his wife, Patti, have two
children and live in Conover, North Carolina.

                        About CommScope

Headquartered in Hickory, North Carolina, CommScope Inc.
-- http://www.commscope.com/-- designs and manufactures "last  
mile" cable and connectivity solutions for communication
networks.  CommScope operates in Brazil, Australia, China and
Ireland.

                          *     *     *

CommScope Inc. carries a 'BB' corporate credit rating from
Standard & Poor's.  Outlook is stable.


HARVEST CLO V: Fitch Assigns BB Ratings to Class E1 and E2 Notes
----------------------------------------------------------------
Fitch assigned Harvest CLO V P.L.C.'s issue of EUR650 million
fixed- and floating-rate notes due 2024 final ratings.  The
transaction is a securitization of leverage loans including
primarily senior secured loans, senior unsecured loans,
mezzanine obligations and high-yield bonds.  These notes are:

   -- EUR250.5 million Class A-D floating-rate notes: 'AAA'

   -- EUR162.5 million Class A-R floating-rate notes: 'AAA'

   -- EUR32.5 million Class A2 floating-rate notes: 'AAA'

   -- EUR42.5 million Class B deferrable floating-rate notes:
      'AA'

   -- EUR30 million Class C1 deferrable floating-rate notes: 'A'

   -- EUR10 million Class C2 deferrable fixed-rate notes: 'A'

   -- EUR26 million Class D deferrable floating-rate notes:
      'BBB'

   -- EUR26 million Class E1 deferrable floating-rate notes:
      'BB'

   -- EUR5 million Class E2 deferrable fixed-rate notes: 'BB'

   -- EUR10m Class Q combination notes: 'A-'

The final ratings of the Class A-D, A-R, A2 and B notes address
the ultimate repayment of principal at maturity and the timely
payment of interest when due, according to the terms of the
notes.  For the Class C1, C2, D, E1 and E2 notes, which can
defer interest, the final ratings address the ultimate payment
of principal and interest, including deferred interest, at
maturity.  The ratings on the Class Q combination notes address
the ultimate receipt of the rated balance from funds received on
their components by the legal final maturity date, according to
the conditions of the notes.

The ratings are based on the information and documents provided
to Fitch by the issuer and third parties and on the quality and
diversity of the portfolio of assets, which are selected by the
collateral manager, Mizuho Investment Management (UK) Ltd.,
subject to the guidelines outlined in the collateral management
agreement.  The guidelines limit the collateral manager's
portfolio allocations with respect to obligor, industry and
asset type.  MIMUK will actively manage the collateral over the
seven-year reinvestment period.

The ratings are also based on the credit enhancement provided to
the various Classes of notes in the form of subordination,
structural protection and excess spread.  Credit enhancement, in
the form of subordination, for the A-D and A-R totals 34.65%, of
which 5.14% is provided by the A2 notes, 6.72% by the B notes,
6.33% by the C notes, 4.11% by the D notes, 4.91% by the E notes
and 7.44% by the EUR65 million unrated subordinated notes.

Harvest CLO V P.L.C. is a limited liability company incorporated
under the laws of Ireland.  On the closing date, the issuer had
purchased at least 60% of the target portfolio, with a further
365 days period available for the manager to fully invest the
portfolio.


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


BERRY PLASTICS: S&P Affirms B Corp. Rating on Covalence Merger
--------------------------------------------------------------
Standard & Poor's Ratings Services took these rating actions on
the merger of Berry Plastics Group Inc. and Covalence Specialty
Materials Holding Corp:

   -- affirmed the 'B' corporate credit rating on Berry Plastics
      Holding Corp., a wholly owned subsidiary of Berry Plastics
      Group, which is now the obligor of substantially all the
      company's debt.

   -- affirmed the 'B+' senior secured debt rating and '1'
      recovery rating on Berry Plastics Holding's US$1.2 billion
      term loan C due 2015.  The working name of the borrower
      had been New Berry Holding at the time the ratings were
      assigned.

   -- affirmed the 'CCC+' subordinated debt rating on Berry
      Plastics Holding's US$265 million 10.25% senior
      subordinated notes due 2016.  These notes were formerly
      obligations of Covalence Specialty Materials Corp.

   -- raised the rating on Berry Plastic Holding's US$750
      million second-priority senior secured notes due 2014
      to 'B-' from 'CCC+' and removed the rating from
      CreditWatch where it had been placed with positive
      implications when the transaction was announced.  The
      recovery rating on these notes has been revised to '3'
      from '4'.

   -- withdrew Covalence's corporate credit rating as well as
      the ratings on Berry Plastics Group's and Covalence's
      former credit facilities, which were refinanced.
     
The outlook is stable.  At the time of the merger, total debt
(adjusted to include capitalized operating leases and unfunded
postretirement liabilities) was about US$2.7 billion.
      
"The ratings reflect the strength of the merged business and the
potential that the company will improve its highly aggressive
financial profile to acceptable levels within the next couple of
years," said Standard & Poor's credit analyst Liley Mehta.
     
With more than US$3.2 billion in annual sales pro forma for the
merger, Berry Plastics Group ranks among the largest packaging
companies in North America, with leading positions in both the
rigid and flexible plastic packaging segments.  While primarily
domestic in terms of geographic coverage, the company boasts an
impressive operating footprint with approximately 65
manufacturing facilities throughout the U.S., serving an array
of end markets and customers.  The concentration of customers
has declined somewhat through the merger, and the combined
administrative and manufacturing operations will likely present
opportunities to realize synergies.  However, the large scale of
the businesses to be integrated presents meaningful execution
risk and operating uncertainty until tangible progress is
achieved.

Based in Evansville, Indiana, Berry Plastics Corporation --
http://www.berryplastics.com/-- manufactures and markets rigid   
plastic packaging products.  Berry Plastics provides a wide
range of rigid open top and rigid closed top packaging as well
as comprehensive packaging solutions to over 12,000 customers,
ranging from large multinational corporations to small local
businesses.  The company has 25 manufacturing facilities
worldwide, including in Italy, England, and Hong Kong and it has
more than 6,800 employees.  Net sales for the twelve months
ended Dec. 30, 2006 amounted to approximately US$1.4 billion.  


MACDERMID INC: S&P Lowers Corp. Rating to B After Merger Closure
----------------------------------------------------------------
Standard & Poor's Ratings Services lowered its corporate credit
rating on MacDermid Inc. to 'B' from 'BB+' and removed the
rating from CreditWatch where it had been placed with negative
implications on Sept. 6, 2006.
      
"The resolution of the CreditWatch follows the closing of the
merger involving an acquisition vehicle formed by Daniel H.
Leever, MacDermid's chairman and chief executive officer, Court
Square Capital Partners II, and Weston Presidio V.," said
Standard & Poor's credit analyst David Bird.  The downgrade
reflects the highly leveraged transaction.
     
At the same time, Standard & Poor's affirmed its senior secured
and subordinated debt ratings previously assigned in connection
with the financing of the transaction.  The outlook is stable.
     
The ratings on MacDermid reflect its satisfactory business
position, offset by a highly leveraged financial profile.  
MacDermid manufactures and markets specialty chemicals to a
variety of industries, including graphic arts, electronic
materials (primarily printed circuit boards), and metal
finishing.  Graphic arts include liquid and solid-sheet
photopolymer plates for flexographic printing, and offset
blankets for the offset printing segment.  In electronic
materials, the company focuses on chemicals used in the
fabrication of printed circuit boards.  Metal finishing products
include decorative and functional metal and plastic plating, and
surface treatment chemicals used in a variety of end-markets,
including automotive, electronic equipment, and appliances.

MacDermid, with more than US$800 million in annual sales,
benefits from solid business positions, with leading market
shares in products that make up a majority of sales.  The
company's diverse product line and end markets lend relative
stability to earnings and cash flow generation.  Still, some of
the company's products are used in electronic, automotive,
oilfield and other industrial applications, which could result
in the modest deterioration of margins or volume shortfalls
during periods of key end market contraction.

MacDermid Inc. (NYSE:MRD)-- http://www.macdermid.com/-- is
manufacturer of a broad line of chemicals and related equipment
for a range of applications, including metal and plastic
finishing, electronics, graphic arts and printing, and offshore
drilling.  The company maintains its headquarters in Denver,
Colorado, but operates facilities worldwide, including Brazil,
China, Germany, Italy, and Japan.  Revenues for the twelve
months ended June 30, 2006, were US$797 million.


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


AGR-TRADING LLP: Creditors Must File Claims by May 25
-----------------------------------------------------
The Specialized Inter-Regional Economic Court of Karaganda has
declared LLP Agr-Trading insolvent.

Creditors have until May 25 to submit written proofs of claim
to:

         The Specialized Inter-Regional
         Economic Court of Karaganda
         Jambyl Str. 9
         Karaganda
         Kazakhstan


AKKU & CO: Creditors' Claims Due May 22
---------------------------------------
The Specialized Inter-Regional Economic Court of South
Kazakhstan Region has declared LLP Akku & Co insolvent.

Creditors have until May 22 to submit written proofs of claim
to:

         The Specialized Inter-Regional
         Economic Court of South Kazakhstan Region
         Ilyaev Str. 24
         Shymkent
         South Kazakhstan
         Kazakhstan


CLARITY LLP: Proof of Claim Deadline Slated for May 29
------------------------------------------------------
The Specialized Inter-Regional Economic Court of Almaty has
declared LLP Clarity insolvent.

Creditors have until May 29 to submit written proofs of claim
to:


         The Specialized Inter-Regional
         Economic Court of Almaty
         4-24 Micro District Mamyr-2
         Almaty
         Kazakhstan
         Tel: 8 (3272) 34-39-77
              8 701 772 00-03


KULAGER LLP: Claims Registration Ends May 29
--------------------------------------------
The Specialized Inter-Regional Economic Court of Almaty has
declared LLP Kulager insolvent.

Creditors have until May 29 to submit written proofs of claim
to:

         The Specialized Inter-Regional
         Economic Court of Almaty
         Third Floor
         Makataev Str. 117
         Almaty
         Kazakshtan
         Tel: 8 (3272) 34-39-77
              8 701 111 77-02


L AUDIT: Claims Filing Period Ends May 29
-----------------------------------------
The Specialized Inter-Regional Economic Court of Almaty has
declared LLP L Audit insolvent.

Creditors have until May 29 to submit written proofs of claim
to:

         The Specialized Inter-Regional
         Economic Court of Almaty
         Dostyk Ave. 44-99
         Almaty
         Kazakshtan
         Tel: 8 (3272) 91-43-47
              8 701 205 30-32


PILAT XXI: Creditors Must File Claims by May 25
-----------------------------------------------
The Specialized Inter-Regional Economic Court of Karaganda has
declared LLP Company Pilat Xxi Karaganda insolvent.

Creditors have until May 25 to submit written proofs of claim
to:

         The Specialized Inter-Regional
         Economic Court of Karaganda
         Jambyl Str. 9
         Karaganda
         Kazakhstan


TECHNOCOM SERVICE: Creditors' Claims Due May 29
-----------------------------------------------
The Specialized Inter-Regional Economic Court of Almaty has
declared LLP Technocom Service insolvent.

Creditors have until May 29 to submit written proofs of claim
to:

         The Specialized Inter-Regional
         Economic Court of Almaty
         Third Floor
         Makataev Str. 117
         Almaty
         Kazakshtan
         Tel: 8 (3272) 34-39-77
              8 701 111 77-02


TULKUBAS LLP: Proof of Claim Deadline Slated for May 29
-------------------------------------------------------
The Specialized Inter-Regional Economic Court of South
Kazakhstan Region has declared LLP Tulkubas Trade Service
insolvent.

Creditors have until May 29 to submit written proofs of claim
to:

         The Specialized Inter-Regional
         Economic Court of South Kazakhstan Region
         Ilyaev Str. 24
         Shymkent
         South Kazakhstan
         Kazakhstan


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


TUP CEMENT: Creditors Must File Claims by June 11
-------------------------------------------------
LLC Tup Cement has declared about insolvency.  Creditors have
until June 11 to submit written proofs of claim to:

         LLC Tup Cement
         Toktogul Str. 179-6
         Bishkek
         Kyrgyzstan


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


GLOBAL POWER: Court Extends Exclusive Plan Filing Date to May 2
---------------------------------------------------------------
The U.S. Bankruptcy Court for the District of Delaware entered a
bridge order extending Global Power Equipment Group Inc. and its
debtor-affiliates' exclusive period to file a plan until a
hearing scheduled for May 2.

The Court also gave the Debtors until July 2 to solicit
acceptances of that plan.

In their motion, the Debtors requested an August 24 extension of
their exclusive period to file a plan.

The Debtors told the Court that they have continued to make
substantial progress in addressing major issues facing their
estates, including:

   a) stabilizing each of the Debtors' major business segments
      and developing new business opportunities;

   b) addressing issues regarding the wind down of Deltak LLC
      and Deltak Construction Services Inc.'s heat recovery
      steam generation business segment;

   c) reaching additional accommodation agreements with key
      customers; and

   d) developing a five-year business plan, which was recently
      presented to the Debtors' Official Committee of Unsecured
      Creditors.

Notwithstanding the substantial progress to date, the Debtors
explained that a significant amount of work remains to be done
before they will be able to propose a plan consistent with their
fiduciary duties to maximize value, including, inter alia, the
refinement and testing of their business plan, evaluation and
reconciliation of claims filed against them, and an analysis of
their intercompany assets and liabilities.

Moreover, the Debtors said they continue to meet with the
Committee on a regular basis, and in anticipation of preparing a
chapter 11 plan of reorganization, are now preparing a plan term
sheet, which they intend to share with the Committee in the near
future.

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

The company and 10 of its affiliates filed for chapter 11
protection on Sept. 28, 2006 (Bankr. D. Del. Case No 06-11045).
Attorneys at White & Case LLP and The Bayard Firm, P.A.,
represent the Debtors.  Adam G. Landis, Esq., and Kerri K.
Mumford, Esq., at Landis Rath & Cobb LLP represents the Official
Committee of Unsecured Creditors.  As of Sept. 30, 2005, the
Debtors reported total assets of US$381,131,000 and total debts
of US$123,221,000.


GLOBAL POWER: Court Approves PricewaterhouseCoopers as Auditors
---------------------------------------------------------------
The U.S. Bankruptcy Court for the District of Delaware gave
Global Power Equipment Group and its debtor-affiliates
permission to employ PricewaterhouseCoopers LLP as its tax
advisors and auditors.

As reported in the Troubled Company Reporter on Feb. 14,
PricewaterhouseCoopers is expected to:

   a) prepare and sign the Debtors' federal tax returns for the
      tax years starting Jan. 1, 2005 through Dec. 31, 2006;

   b) prepare and sign federal tax returns for a number of the
      Debtors' foreign subsidiaries for the tax years starting
      Jan. 1, 2005 through Dec. 31, 2006, and assist in the
      preparation of forms and related computations for the
      foreign tax credit;

   c) prepare and sign the Debtors' state corporate income tax
      returns, for the tax years starting Jan. 1, 2005 through
      Dec. 31, 2006;

   d) serve as the Electronic Return Originator with respect to
      the tax returns that must be filed electronically; and

   e) provide the Debtors with additional tax services as
      requested, including, but not limited to, providing
      recurring tax consulting services, assisting with matters
      involving tax authorities, and preparing additional tax
      forms.

Among other things, PricewaterhouseCoopers is also expected to:

   a) perform consolidated audits of the Debtors' financial
      statements related to the years ended Dec. 31, 2005, and,
      if expressly requested by the Debtors, Dec. 31, 2006;

   b) audit management's assessment of the effectiveness of the
      Debtors' internal control over financial reporting and the
      effectiveness of management's internal control over
      financial reporting for the period under audit; and

   c) report to the Debtors any matter discovered that may
      require material modifications to the quarterly financial
      information so that it conforms to generally accepted
      accounting principles.

The firm's professionals bill:

          Designation                    Hourly Rate
          -----------                    -----------
          Partners                       US$585 - US$802
          Managers/Senior Managers       US$342 - US$446
          Associate/Senior Associates    US$118 - US$225
          Administration                 US$77  - US$105

David S. Colwell, a PricewaterhouseCoopers member, assured the
Court that his firm does not hold any interest adverse to the
Debtors' estates and is a "disinterested person" as that term is
defined in Section 101(14) of the Bankruptcy Code.

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

The company and 10 of its affiliates filed for chapter 11
protection on Sept. 28, 2006 (Bankr. D. Del. Case No 06-11045).
Attorneys at White & Case LLP and The Bayard Firm, P.A.,
represent the Debtors.  Adam G. Landis, Esq., and Kerri K.
Mumford, Esq., at Landis Rath & Cobb LLP represents the Official
Committee of Unsecured Creditors.  As of Sept. 30, 2005, the
Debtors reported total assets of US$381,131,000 and total debts
of US$123,221,000.


GLOBAL POWER: Consulting Pacts w/ Former Execs Extended to May 2
----------------------------------------------------------------
The U.S. Bankruptcy Court for the District of Delaware permitted
Global Power Equipment Group Inc. and its debtor-affiliates
to extend their consulting agreements, as modified, with former
executives Larry Edwards and James P. Wilson until May 2.

The Order is without prejudice to the Debtor's right to request
for further extension of the agreements.

The Official Committee of Unsecured Creditors consented to the
extension.

The Debtors tell the Court that they need Messrs. Edward's and
Wilson's services particularly in relation to the continuing
transition in senior management of the Debtors.

Although their full-time services are no longer required, the
Debtors explain that the consulting agreements provide the
Debtors with the flexibility to continue to take advantage of
Messrs. Edward's and Wilson's significant experience and
expertise in a manner that will provide significant benefits to
the Debtors' estates while minimizing costs.

Effective Nov. 21, 2006, Mr. Edwards resigned from his officer
position as president and chief executive officer of the
Debtors.  He continues to serve as a non-executive member of
Global Power's Board of Directors.  

Also effective Nov. 21, 2006, Mr. Wilson resigned from his
officer position as vice president of finance and chief
financial officer of Global Power.  Mr. Wilson joined the
company in 1986.

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

The company and 10 of its affiliates filed for chapter 11
protection on Sept. 28, 2006 (Bankr. D. Del. Case No 06-11045).
Attorneys at White & Case LLP and The Bayard Firm, P.A.,
represent the Debtors.  Adam G. Landis, Esq., and Kerri K.
Mumford, Esq., at Landis Rath & Cobb LLP represents the Official
Committee of Unsecured Creditors.  As of Sept. 30, 2005, the
Debtors reported total assets of US$381,131,000 and total debts
of US$123,221,000.


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


CLEAR CHANNEL: Earns US$102.2 Million in Quarter Ended March 31
---------------------------------------------------------------
Clear Channel Communications Inc. reported net income of
US$102.2 million for the first quarter of 2007, compared with
net income of US$96.8 million for the first quarter of 2006.  
The company's first quarter 2006 net income included
approximately US$39.6 million of pre-tax gains, primarily on the
divestiture of radio assets and the swap of certain outdoor
assets.  

The company reported revenues of US$1.6 billion in the first
quarter of 2007, an increase of 8% from the US$1.5 billion
reported for the first quarter of 2006.  Included in the
company's revenue is a US$31.2 million increase due to movements
in foreign exchange; excluding the effects of these movements in
foreign exchange, revenue growth would have been 6%.

Clear Channel's income before discontinued operations increased
2% to US$99.2 million, as compared to US$97.1 million for the
same period in 2006.  

Clear Channel's expenses increased 5% to US$1.1 billion during
the first quarter of 2007 compared to 2006.  Included in the
company's 2007 expenses is a US$28.9 million increase due to
movements in foreign exchange; excluding the effects of these
movements in foreign exchange, growth in expenses would have
been 3%.

The company's operating income before depreciation &
amortization, non-cash compensation expense and gain on
disposition of assets - net) was US$435.7 million in the first
quarter of 2007, a 12% increase from 2006.

Mark P. Mays, chief executive officer of Clear Channel
Communications, commented, "The company delivered solid first
quarter results and we are very pleased with our overall
performance.  We want to thank and congratulate all of our
employees, who work extremely hard every day to help Clear
Channel achieve its goals and objectives."

                   Proposed Merger Transaction

On April 18, 2007, the company amended its agreement to be
acquired by a group of private equity funds led by Bain Capital
Partners LLC and Thomas H. Lee Partners L.P. to provide for an
increase to US$39.00 per share in the price shareholders will
receive in cash for each share of common stock they hold.  The
transaction is subject to shareholder approval, antitrust
clearances, FCC approval and other customary closing conditions.
The company filed its supplement to the definitive proxy
statement with the Securities and Exchange Commission on
April 25, 2007, and the shareholder meeting will be held on
May 8, 2007.

                Radio and Television Divestitures

On April 20, 2007, the company entered into a definitive
agreement to sell its Television Group for approximately US$1.2
billion.  The sale includes 56 television stations (including 18
digital multicast stations) located in 24 markets across the
United States.  Also included in the sale are the stations'
associated Web sites, the Television Operations Center, and
Inergize Digital Media, which manages the Television Group's
online and wireless initiatives.  The transaction is expected to
close in the fourth quarter of 2007, subject to regulatory
approvals and other customary closing conditions.

Clear Channel estimates net proceeds after taxes and customary
transaction costs will be approximately US$1.1 billion for the
Television Group.  

To date the company has entered definitive agreements to sell
161 radio stations in 34 markets for a total consideration of
approximately US$331 million.  The company expects these
transactions to close during the second half of 2007.  The
company estimates net proceeds after taxes and customary
transaction costs for these 161 stations will be approximately
US$300 million.

                     Liquidity and Total Debt

For the quarter ended March 31, 2007, cash flow from operating
activities was US$337.9 million, cash flow used by investing
activities was US$75.7 million, cash flow used by financing
activities was US$283.2 million, and net cash provided by
discontinued operations was US$14.6 million for a net decrease
in cash of US$6.4 million.

At March 31, 2007, Clear Channel had total debt of US$7.4
billion.

                       About Clear Channel

Based in San Antonio, Texas, Clear Channel Communications Inc.
(NYSE:CCU) -- http://www.clearchannel.com/-- is a global media    
and entertainment company specializing in "gone from home"
entertainment and information services for local communities and
premiere opportunities for advertisers.  The company's
businesses include radio, television and outdoor displays.  
Outside U.S., the company operates in 11 countries -- Norway,
Denmark, the United Kingdom, Singapore, China, the Czech
Republic, Switzerland, the Netherlands, Australia, Mexico and
New Zealand.

                          *     *     *

As reported in the Troubled Company Reporter on April 23, 2007,
Standard & Poor's Ratings Services lowered its corporate credit
and senior unsecured debt ratings on Clear Channel
Communications Inc. to 'B+' from 'BB+'.  The ratings remain on
CreditWatch with negative implications, where they were placed
on Oct. 26, 2006, following the company's announcement that it
was exploring strategic alternatives to enhance shareholder
value.


===========
P O L A N D
===========


MALMA PASTA: To Resume Production at Malbork and Wroclaw Plants
---------------------------------------------------------------
Malma Pasta expects to resume production at its Malbork and
Wroclaw plants after receiving aid from an unidentified American
investor, The Financial Times reports citing Polish News
Bulletin as its source.

Mieczyslaw Stelmach, CEO of Malma, revealed that the company
intends to expand its range.

In 2006, Malma was forced to suspend production due to financial
difficulties, FT relates.

As previously reported in the TCR-Europe, North Coast S.A. and
Colussi sought to acquire debt-ridden Malma and resume
production at the company's plants.

According to the report, Alpina Savoie still plans to acquire
Malma, despite the rejection of its three takeover bids.  Alpina
had requested a Gdan'sk district court to declare Malma
bankrupt.

The company, burdened by a debt of more than PLN150 million
(EUR38.9 million), is the subject of three bankruptcy petitions.  
North Coast has promised the court that it will file a
bankruptcy suit against Malma before May 14, hoping that the
company's bankruptcy would result in a settlement with its
creditors, Puls Biznesu states.

Giorgio Pezzolato, president of North Coast, told Polish Market
that the knowledge and capital of North Coast and Colussi would
help Malma to relaunch production and to reemerge as the leading
Polish premium pasta manufacturer.

                          About Malma

Headquartered in Malbork, Poland, Malma -- http://www.malma.com/    
-- produces pasta, stuffed dumplings, potato gnocchi and pizza
with its Malma brand appearing on the market in 1991.  The
company sells its products in Italy, France and Poland, among
others.  


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


ABRAMOVSKAYA NIVA: Must File Claims by June 7
---------------------------------------------
Creditors of OJSC Abramovskaya Niva (TIN 3629005418) have until
June 7 to submit proofs of claim to:

         D. Tsygankov
         Insolvency Manager
         Apartment 185
         Politekhnicheskiy Per. 3
         394049 Voronezh
         Russia

The Arbitration Court of Voronezh commenced bankruptcy
proceedings against the company after finding it insolvent.  The
case is docketed under Case No. A14-16321/2006 238/16b.

The Court is located at:

         The Arbitration Court of Voronezh
         Room 606
         Srednemoskovskaya Str. 77
         Voronezh  
         Russia

The Debtor can be reached at:

         OJSC Abramovskaya Niva
         Zheleznodorozhnaya Str. 1
         Abramovka
         Talovskiy
         397490 Voronezh
         Russia


ALFA CJSC: Creditors Must File Claims by June 7
-----------------------------------------------
Creditors of CJSC Research-And-Production Commercial Company
Alfa have until June 7 to submit proofs of claim to:

         Mr. Shitoev
         Insolvency Manager
         Post User Box 31
         630035 Novosibirsk
         Russia

The Arbitration Court of Novosibirsk commenced bankruptcy
proceedings against the company after finding it insolvent.  The
case is docketed under Case No. A45-11428/06-48/222.

The Court is located at:

         The Arbitration Court of Novosibirsk
         Kirova Str. 3
         630007 Novosibirsk  
         Russia

The Debtor can be reached at:

         CJSC Research-And-Production Commercial Company Alfa
         Uritskogo Str. 34
         Novosibirsk
         Russia


ARKHANGELSK-PROM-TEKHNIKA: Creditors Must File Claims by June 7
---------------------------------------------------------------
Creditors of OJSC Arkhangelsk-Prom-Tekhnika have until June 7 to
submit proofs of claim to:

         S. Kochetkov
         Insolvency Manager
         Post Use Box 59
         394030 Voronezh-30
         Russia

The Arbitration Court of Voronezh commenced bankruptcy
proceedings against the company after finding it insolvent.  The
case is docketed under Case No. A14-4326 131/16b.

The Court is located at:

         The Arbitration Court of Voronezh
         Room 606
         Srednemoskovskaya Str. 77
         Voronezh  
         Russia

The Debtor can be reached at:

         OJSC Arkhangelsk-Prom-Tekhnika
         Usadba SKhT
         Arkhangelskoye
         Anninskiy
         Voronezh
         Russia


DEGTYARSKIY ENGINEERING: Names A. Shabarova to Manage Assets
------------------------------------------------------------
The Arbitration Court of Sverdlovsk appointed A. Shabarova as
Insolvency Manager for CJSC Degtyarskiy Engineering Company.  He
can be reached at:

         A. Shabarova
         Post User Box 206
         620027 Ekaterinburg
         Russia

The Court commenced bankruptcy proceedings against the company
after finding it insolvent.  The case is docketed under Case No.
A60-18466/06-S11.

The Court is located at:

         The Arbitration Court of Sverdlovsk
         Lenina Pr. 34
         620151 Ekaterinburg  
         Russia  

The Debtor can be reached at:

         CJSC Degtyarskiy Engineering Company
         Ozernaya Str. 27
         Degtyarsk
         Sverdlovsk
         Russia


EVROFINANCE MOSNARBANK: Fitch Affirms B IDR with Stable Outlook
---------------------------------------------------------------
Fitch Ratings affirmed Russia-based Evrofinance Mosnarbank's
ratings at Issuer Default 'B', National Long-term 'BBB', Short-
term 'B', Individual 'D' and Support '5'.  The Outlooks on the
Issuer Default and National ratings remain Stable.

EVMB's ratings reflect its limited franchise, concentration of
both its loan book and client funding, and exposure to market
risks.  However, the ratings also factor in the bank's well-
developed risk management systems, continued track record of
sustainable asset quality, sound capitalization levels and
acceptable liquidity.

Lending is expanding gradually with the diversification into new
and fast growing economic sectors such as residential and
industrial construction, consumer products, hotel business and
leasing.  Nevertheless, lending continues to focus on oil and
gas, energy, aircraft, space and military industries and
borrower concentration remains high, albeit on a downward trend.
This is also reflective of the bank's corporate franchise being
reliant on a selected group of clients although many of these
clients are amongst the better credits in Russia.  The bank
pursues a moderate, organic-growth strategy with an emphasis on
client base diversification; however, the effects of this
development still need to be seen.  Lending to individuals will
grow in importance but is not expected to exceed 10% of total
assets in the next 18 months.

Upside potential for EVMB's Issuer Default and Individual
ratings is currently limited but could result from the
successful diversification of the bank's franchise.  Downward
pressure on the ratings could result from a decline in asset
quality, particularly involving one of the more concentrated
exposures, or a weakening of the relationship with key funding
clients.

EVMB was formed in 2003 following the acquisition of Mosnarbank
by Evrofinance, which was founded in 1993.  The bank ranked 34th
in Russia by total assets at end-2006 and had a small network of
10 offices, which is planned to grow gradually until 2009.
EVMB's shareholding structure is fragmented while the state
indirectly owns nearly 42% of shares. State-controlled
Vneshtorgbank is currently the largest shareholder; however, it
plans to sell its 36% stake in EVMB once a strategic investor is
found.


EXPORT TIMBER: Creditors Must File Claims by May 7
--------------------------------------------------
Creditors of LLC Export Timber Industry Company have until May 7
to submit proofs of claim to:

         R. Idrisov
         Insolvency Manager
         Post User Box 9
         Anapa-14
         353454 Krasnodar
         Russia

The Arbitration Court of Krasnodar will convene at 10:00 a.m. on
May 28 to hear the company's bankruptcy supervision procedure.  
The case is docketed under Case No. A-32-22769/2006-37/1956-B.

The Court is located at:

         The Arbitration Court of Krasnodar  
         Staroderevenkovskaya St.
         Krasnodar  
         Russia

The Debtor can be reached at:

         LLC Export Timber Industry Company
         Maykopskoye Shosse, 1.
         Belorechensk
         352630 Krasnodar
         Russia


KAMCHAT-RYB-SPETS-STROY: Creditors Must File Claims by May 7
------------------------------------------------------------
Creditors of OJSC Kamchat-Ryb-Spets-Stroy (TIN 4101024710) have
until May 7 to submit proofs of claim to:

         A. Toboev
         Temporary Insolvency Manager
         Office 412
         Leningradskaya Str. 35
         683003 Petropavlovsk-Kamchatskij
         Russia


The Arbitration Court of Kamchatka will convene on Aug. 17 to
hear the company's bankruptcy supervision procedure.  The case
is docketed under Case No. A24-6640/06-16.

The Debtor can be reached at:

         OJSC Kamchat-Ryb-Spets-Story
         Office 412
         Leningradskaya Str., 35
         Petropavlovsk-Kamchatskiy
         683003 Kamchatka
         Russia


KIREEVSKIY BAKERY: Creditors Must File Claims by June 7
-------------------------------------------------------
Creditors of OJSC Kireevskiy Bakery have until June 7 to submit
proofs of claim to:

         E. Zueva
         Insolvency Manager
         Office 406
         Mendeleevskaya Str. 1
         300024 Tula
         Russia

The Arbitration Court of Tula commenced bankruptcy proceedings
against the company after finding it insolvent.  The case is
docketed under Case No. A68-458B-06.

The Court is located at:

         The Arbitration Court of Tula  
         Hall 35
         Sovetskaya Str. 112
         Tula  
         Russia

The Debtor can be reached at:

         OJSC Kireevskiy Bakery
         Geologov Str. 17
         Tula
         Russia


LISMA OJSC: Creditors Must File Claims by June 7
------------------------------------------------
Creditors of LLC West-Ural Crane Factory have until June 7 to
submit proofs of claim to:

         V. Bulgakov
         Temporary Insolvency Manager
         Sovetskaya Str. 47-2
         Saransk
         430000 Mordoviya
         Russia

The Arbitration Court of Mordoviya will convene on June 28 to
hear the company's bankruptcy supervision procedure.  The case
is docketed under Case No. A39-939/07-24/12.

The Court is located at:

         The Arbitration Court of Mordoviya
         Kommunisticheskaya Str. 33
         Saransk
         430000 Mordoviya
         Russia

The Debtor can be reached at:

         OJSC Lisma
         Svetotekhnikov Shosse, 5
         Saransk
         430000 Mordoviya
         Russia


LUKOIL OAO: S&P Lifts BB+ Ratings to BBB- After Review
------------------------------------------------------
Standard & Poor's Ratings Services raised its long-term
corporate credit rating and all debt ratings on LUKoil OAO to
'BBB-' from 'BB+' following review of the company's 2006
results, financial policies, and strategic plan. The outlook is
stable.

"The upgrade reflects LUKoil's continued strong 2006 operating
and financial performance, together with additional comfort
gained from its financial policies and clarification of its
ambitious 2007-2016 strategic plan.  The latter implies
projected investments of US$78 billion over the period,
potentially rising to US$112 billion when including the
US$34 billion acquisition budget," said Standard & Poor's credit
analyst Karl Nietvelt.  "Management's recent statements that the
company will not acquire refining assets in the near term--due
to current expensive valuations--for instance, further reassures
us that the group intends to focus on profitable growth."

In addition, management has clarified that the group's debt
leverage limit of 30% debt to capital represents debt to equity
rather than debt to debt plus equity.  The investment-grade
rating also factors in our sufficient comfort level with
LUKoil's ability to cope with the considerable country risks,
given its long-established track record, largely Russian
ownership, perceived satisfactory relationships with authorities
and state-owned players, and asset diversity.

"The stable outlook reflects our expectation that LUKoil's
operating performance will remain strong, together with current
financial flexibility, with net debt to equity of 17% at year-
end 2006," said Mr. Nietvelt.  "Likely further midsized
acquisitions can thus be accommodated, but we would expect
management to maintain some headroom under the 30% net debt-to-
equity policy limit."

At the rating level, we would expect the ratio of FFO to debt to
stay at above 50% under normalized pricing assumptions. Expected
strong production growth should strengthen FFO and limit
negative free cash flow should prices fall sharply to below
US$40 per barrel.

LUKoil's massive asset base, and operating and financial
strengths could justify further upgrades in future years; this
is likely to depend, however, on developments of the Russian
operating and political environment.  A longer-term debt
maturity profile, a higher share of ruble debt, and stronger
free cash flow generation would also be seen as positive
features.   A downgrade could occur in the event of unexpected
selective company or regulatory pressures or in the case of a
large debt-financed acquisition.


NORTH SHIPPING: Creditors Must File Claims by May 7
---------------------------------------------------
Creditors of LLC North Shipping Company have until May 7 to
submit proofs of claim to:

         A. Elgaev
         Temporary Insolvency Manager
         Office 5
         Prokatova Str. 8
         160029 Vologda
         Russia

The Arbitration Court of Vologda will convene at 3:00 p.m. on
July 10 to hear the company's bankruptcy supervision procedure.  
The case is docketed under Case No. A13-11342/2006-22.


The Court is located at:

         The Arbitration Court of Vologda  
         Hall 4
         Gertsena Str. 1a
         Vologda  
         Russia

The Debtor can be reached at:

         LLC North Shipping Company
         Mashinostroitelnaja Str. 26
         160029 Vologda
         Russia


ORLOVSKIY OIL: Court Names V. Babenko as Insolvency Manager
-----------------------------------------------------------
The Arbitration Court of Tomsk appointed V. Babenko as
Insolvency Manager for CJSC Orlovskiy Oil Processing Factory.  
He can be reached at:

         V. Babenko
         Office 207
         Nakhimova Str. 13/1
         634059 Tomsk
         Russia

The Court commenced bankruptcy proceedings against the company
after finding it insolvent.  The case is docketed under Case No.
A67-8674/06.

The Court is located at:

         The Arbitration Court of Tomsk
         Kirova Pr. 10
         634050 Tomsk Region
         Russia

The Debtor can be reached at:

         V. Babenko
         Office 207
         Nakhimova Str. 13/1
         634059 Tomsk
         Russia


SNEZHTOKSKAYA NIVA: Court Starts Bankruptcy Supervision Process
---------------------------------------------------------------
The Arbitration Court of Tambov commenced bankruptcy supervision
procedure on OJSC Snezhtokskaya Niva (TIN 6812004634).  The case
is docketed under Case No. A64-951/07-18.

The Temporary Insolvency Manager is:

         V. Sutormin
         Sovetskaya Str. 71
         Krasivoye
         Michurinskiy
         393760 Tambov
         Russia

The Debtor can be reached at:

         OJSC Snezhtokskaya Niva
         Malyj Snetozhok
         Pervomayskiy
         Tambov
         Russia


TOYDINSKIY OJSC: Court Names S. Kochetkov as Insolvency Manager
---------------------------------------------------------------
The Arbitration Court of Voronezh appointed S. Kochetkov as
Insolvency Manager for OJSC Cheese-Making Plant Toydinskiy.  He
can be reached at:

         S. Kochetkov
         Post User Box 59
         394030 Voronezh-30
         Russia

The Court commenced bankruptcy proceedings against the company
after finding it insolvent.  The case is docketed under Case No.
A14-8232-2005-83/20b.

The Court is located at:

         The Arbitration Court of Voronezh
         Room 606
         Srednemoskovskaya Str. 77
         Voronezh  
         Russia

The Debtor can be reached at:

         OJSC Cheese-Making Plant Toydinskiy
         Toyda
         Paninskiy
         Voronezh
         Russia


TULUNSKAYA BREAD: Creditors Must File Claims by June 7
------------------------------------------------------
Creditors of CJSC Tulunskaya Bread Company (TIN 3816005746) have
until June 7 to submit proofs of claim to:

         V. Turushev
         Insolvency Manager
         Office 4
         Kustarnyj Per. 4
         680000 Khabarovsk
         Russia

The Arbitration Court of Irkutsk commenced bankruptcy
proceedings against the company after finding it insolvent.  The
case is docketed under Case No. A19-16090/06-49-60.

The Court is located at:  

         The Arbitration Court of Irkutsk
         Room 303
         Gagarina Avenue 70
         664025 Irkutsk  
         Russia

The Debtor can be reached at:

         CJSC Tulunskaya Bread Company
         Evdokimovo
         Tulunskiy
         Irkutsk
         Russia   


VOLOGODSKIY CERAMIC: Creditors Must File Claims by May 7
--------------------------------------------------------
Creditors of LLC Vologodskiy Ceramic Factory (TIN 3525138290)
have until May 7 to submit proofs of claim to:

         G. Pogosyan
         Insolvency Manager
         Post User Box 152
         160000 Vologda
         Russia

The Arbitration Court of Vologda commenced bankruptcy
proceedings against the company after finding it insolvent.  The
case is docketed under Case No. A13-499/2007.

The Court is located at:

         The Arbitration Court of Vologda  
         Hall 4
         Gertsena Str. 1a
         Vologda  
         Russia

The Debtor can be reached at:

         LLC Vologodskiy Ceramic Factory
         Office 68
         Pobedy Pr. 33
         Vologda
         Russia


VOLOKOLAMSKIY CERAMIC: Must File Claims by June 7
-------------------------------------------------
Creditors of LLC Volokolamskiy Ceramic Factory have until June 7
to submit proofs of claim to:

         E. Semchenko
         Insolvency Manager
         Volgogradskiy Pr. 28B
         109316 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-K2-20820/06.

The Court is located at:

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

The Debtor can be reached at:

         LLC Volokolamskiy Ceramic Factory
         Entuziastov Str. 1
         Volokolamsk
         143600 Moscow
         Russia


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


TDA IBERCAJA 5: S&P Junks EUR7 Million Class E Notes
----------------------------------------------------
Standard & Poor's Ratings Services assigned its preliminary
credit ratings to the floating-rate notes to be issued by TDA
Ibercaja 5, Fondo de Titulizacion de Activos, a special purpose
entity.
  
The collateral comprises a pool of first-lien residential
mortgage loans.  The seller, servicer, and originator is Caja de
Ahorros y Monte de Piedad de Zaragoza, Aragon y Rioja.
  
This is the seventh securitization of IBERCAJA's residential
mortgage loans, and the fourth where the reserve fund will be
funded by issuing a class of notes.  Although this transaction
structure is similar to the previous transactions from IBERCAJA,
it presents a new feature, an interest rate cap to mitigate
interest rate risk.
  
The pool's credit quality is strong; however, this pool presents
a similar risk profile to TDA Ibercaja 4 FTA, with a high
proportion of loans with LTV ratio values above 90%.
    
                          Ratings List
  
TDA Ibercaja 5, Fondo de Titulizacion de Activos
   EUR1.2 Billion Floating-Rate Notes
  
                          Prelim.        Prelim. Amount
           Class          Rating           (Mln. EUR)
           -----          ------            --------
           A1             AAA                  150.0
           A2             AAA                1,002.0
           B              A                     32.4
           C              BBB-                  10.8
           D              BB                     4.8
           E(1)           CCC-                   7.0
  
       (1) The class E notes will fund the reserve fund.


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


AROLO VERSAND: Basel Court Closes Bankruptcy Proceedings
--------------------------------------------------------
The Bankruptcy Service of Sissach in Basel entered April 4 an
order closing the bankruptcy proceedings of JSC Arolo Versand.

The Bankruptcy Service of Sissach can be reached at:

         Bankruptcy Service of Sissach
         4450 Sissach BL
         Switzerland

The Debtor can be reached at:

         JSC Arolo Versand
         Kollmattweg 7
         4450 Sissach BL
         Switzerland


BAU & ARCH LLC: Aargau Court Starts Bankruptcy Proceedings
----------------------------------------------------------
The Bankruptcy Court of Aargau commenced bankruptcy proceedings
against LLC Bau & Arch on March 26.

The Bankruptcy Service of Aargau can be reached at:

         Bankruptcy Service of Aargau
         Office Oberentfelden
         5036 Oberentfelden
         Aarau AG
         Switzerland

The Debtor can be reached at:

         LLC Bau & Arch
         Wiesenweg 9
         5034 Suhr
         Aarau AG
         Switzerland


CHAMERAN REAL: Creditors' Liquidation Claims Due May 14
-------------------------------------------------------
Creditors of JSC Chameran Real Estate have until May 14 to
submit their claims to:

         Rene Bagnoud
         Liquidator
         Weidstrasse 10 B
         6331 Huenenberg
         Switzerland

The Debtor can be reached at:

         JSC Chameran Real Estate
         Wollerau
         Hofe SZ
         Switzerland


COLLENBERG ILANZ: Graubunden Court Closes Bankruptcy Proceedings
----------------------------------------------------------------
The Bankruptcy Service of Surselva in Graubunden entered April 2
an order closing the bankruptcy proceedings of JSC Collenberg
Ilanz.

The Bankruptcy Service of Surselva can be reached at:

         Bankruptcy Service of Surselva
         7130 Ilanz
         Surselva GR
         Switzerland

The Debtor can be reached at:

         JSC Collenberg Ilanz
         Via S. Clau Sura 20
         7130 Ilanz
         Surselva GR
         Switzerland


VOGELE + VILLIGER: Aargau Court Starts Bankruptcy Proceedings
-------------------------------------------------------------
The Bankruptcy Court of Aargau commenced bankruptcy proceedings
against JSC Vogele + Villiger on April 5.

The Bankruptcy Service of Aargau can be reached at:

         Bankruptcy Service of Aargau
         Office Brugg
         5021 Brugg AG
         Switzerland

The Debtor can be reached at:

         JSC Vogele + Villiger
         Hauptstrasse 26
         5314 Kleindottingen
         Switzerland


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


APOSTOLOVO AGRICULTURAL: Creditors Must Register Claims by May 6
----------------------------------------------------------------
Creditors of LLC Apostolovo Agricultural Machine Plus (code
EDRPOU 33109672) have until May 6 to submit written proofs of
claim to:

         Alexander Vozdvizhensky
         Liquidator
         a/b 1799
         49027 Dnipropetrovsk
         Ukraine

The Economic Court of Dnipropetrovsk commenced bankruptcy
proceedings against the company after finding it insolvent.  The
case is docketed under Case No. B 15/11-07.

The Court is located at:

         The Economic Court of Dnipropetrovsk
         Kujbishev Str. 1a
         49600 Dnipropetrovsk
         Ukraine

The Debtor can be reached at:

         LLC Apostolovo Agricultural Machine Plus
         Gagarin Str. 30
         Apostolovo
         53801 Dnipropetrovsk
         Ukraine


BERDIANSK REGIONAL: Creditors Must Register Claims by May 6
-----------------------------------------------------------
Creditors of OJSC Berdiansk Regional Milk Plant (code EDRPOU
00445541) have until May 6 to submit written proofs of claim to:

         Vladimir Zhytnik
         Liquidator
         Gvardeysky Boulevard 30/85
         69001 Zaporozhje
         Ukraine

The Economic Court of Zaporozhje commenced bankruptcy
proceedings against the company after finding it insolvent.  The
case is docketed under Case No. 19/75/07.

The Court is located at:

         The Economic Court of Zaporozhje
         Shaumiana Str. 4
         69001 Zaporozhje
         Ukraine

The Debtor can be reached at:

         OJSC Berdiansk Regional Milk Plant
         Proletarian Lane 108
         Berdiansk
         71108 Zaporozhje
         Ukraine


DOBRYNIA CJSC: Creditors Must Register Claims by May 10
-------------------------------------------------------
Creditors of CJSC Insurance Company Dobrynia (code EDRPOU
19028946) have until May 10 to submit written proofs of claim
to:

         D. Maltsev
         Liquidator
         Mikilsko-Slobodskaya Str. 6-a
         Kiev
         Ukraine

The Economic Court of Kiev commenced bankruptcy proceedings
against the company after finding it insolvent.  The case is
docketed under Case No. 43/134.

The Court is located at:

         The Economic Court of Kiev
         B. Hmelnitskij Boulevard 44-B
         01030 Kiev
         Ukraine

The Debtor can be reached at:

         CJSC Insurance Company Dobrynia
         Moscow Str. 7
         01010 Kiev
         Ukraine


ENERGY FLOATS: Creditors Must Register Claims by May 10
-------------------------------------------------------
The Economic Court of Rivne commenced bankruptcy proceedings
against the company after finding it insolvent.  The case is
docketed under Case No. 8/57.

Creditors of LLC Energy Floats (code EDRPOU 21097334) have until
May 10 to submit written proofs of claim to:

         Irene Dragun
         Liquidator
         Sobornaya Str. 34/14
         33028 Rivne
         Ukraine

The Court is located at:

         The Economic Court of Rivne
         Yavornitski Str. 59
         33001 Rivne
         Ukraine

The Debtor can be reached at:

         LLC Energy Floats
         Petr Mogila Str. 25
         33001 Rivne
         Ukraine


POST-SERVICE AND K: Creditors Must Register Claims by May 6
-----------------------------------------------------------
The Economic Court of Dnipropetrovsk commenced bankruptcy
proceedings against the company after finding it insolvent.  The
case is docketed under Case No. B 26/90-07.

Creditors of LLC Post-Service and K (code EDRPOU 23370509) have
until May 6 to submit written proofs of claim to:

         Maxim Vdovin
         Liquidator
         Karl Marx Avenue 83/61
         49070 Dnipropetrovsk
         Ukraine

The Court is located at:

         The Economic Court of Dnipropetrovsk
         Kujbishev Str. 1a
         49600 Dnipropetrovsk
         Ukraine

The Debtor can be reached at:

         LLC Post-Service and K
         Quay of Victory Str. 13
         49000 Dnipropetrovsk
         Ukraine


PRACTICE LLC: Creditors Must Register Claims by May 6
-----------------------------------------------------
Creditors of LLC Practice (code EDRPOU 32198850) have until
May 6 to submit written proofs of claim to:

         Dmitry Yurchenko
         Liquidator
         Nauchnaya Str. 8
         Agrarnoe
         Simferopol
         AR Krym
         Ukraine

The Economic Court of AR Krym commenced bankruptcy proceedings
against the company after finding it insolvent.  The case is
docketed under Case No. 2-6/17284-2006.

The Court is located at:

         The Economic Court of AR Krym
         Karl Marks Str. 18
         Simferopol
         95000 AR Krym
         Ukraine

The Debtor can be reached at:

         LLC Practice
         Krasnoarmeyskaya Str. 48, ap. 22
         Yalta
         98600 AR Krym
         Ukraine


PRIDNEPROVSKOE CJSC: Creditors Must Register Claims by May 6
------------------------------------------------------------
Creditors of CJSC Pridneprovskoe (code EDRPOU 31214609) have
until May 6 to submit written proofs of claim to:

         Sergey Zozulia
         Liquidator
         Shevchenko Boulevard 250
         Cherkassy Ukraine

The Economic Court of Cherkassy commenced bankruptcy proceedings
against the company after finding it insolvent.  The case is
docketed under Case No. 10/1430.

The Court is located at:

         The Economic Court of Cherkassy
         Shevchenko Avenue 307
         18005 Cherkassy
         Ukraine

The Debtor can be reached at:

         CJSC Pridneprovskoe
         Domantovo
         Zolotonosha District
         Cherkassy
         Ukraine


SLAVUTICH LLC: Claims Filing Bar Date Set May 6
-----------------------------------------------
The Economic Court of Sumy commenced bankruptcy supervision
procedure on the company.  The case is docketed under Case No.
6/27-07.

Creditors of LLC Slavutich (code EDRPOU 30915473) have until
May 6 to submit written proofs of claim to:

         Dmitry Kozin
         Temporary Insolvency Manager
         Internationalists Str. 5
         40035 Sumy
         Ukraine

The Court is located at:

         The Economic Court of Sumy
         Shevchenko Avenue 18/1
         40030 Sumy
         Ukraine

The Debtor can be reached at:

         LLC Slavutich
         Urozhaynaya Str. 23
         Tovsta
         Bielopolye District
         41800 Sumy
         Ukraine


SOUTH ENERGY: Claims Filing Bar Date Set May 6
----------------------------------------------
The Economic Court of Nikolaev commenced bankruptcy supervision
procedure on the company.  The case is docketed under Case No.
10/80/07.

Creditors of OJSC South Energy Protection (code EDRPOU 25381374)
have until May 6 to submit written proofs of claim to:

         Nikolay Derebchinsky
         Temporary Insolvency Manager
         Komsomolskaya Str. 3
         Yuzhnoukrainsk
         55001 Nikolaev
         Ukraine

The Court is located at:

         The Economic Court of Nikolaev
         Admiralskaya Str. 22
         54009 Nikolaev
         Ukraine

The Debtor can be reached at:

         OJSC South Energy Protection
         P.O. Box 108
         Yuzhnoukrainsk
         55000 Nikolaev
         Ukraine


UKRAINE LLC: Claims Filing Bar Date Set May 6
---------------------------------------------
Creditors of LLC Ukraine (code EDRPOU 30812418) have until May 6
to submit written proofs of claim to:

         Sergey Kosenko
         Temporary Insolvency Manager
         Voenny Lane 6
         73000 Herson
         Ukraine

The Economic Court of Herson commenced bankruptcy supervision
procedure on the company.  The case is docketed under Case No.
12/72-B-07.

The Court is located at:

         The Economic Court of Herson
         Gorkiy Str. 18
         73000 Herson
         Ukraine

The Debtor can be reached at:

         LLC Ukraine
         Shabovta Str. 4
         Schorsovka
         Genichesk District
         Herson
         Ukraine


UKRAINIAN AGRICULTURAL: Creditors Must Register Claims by May 10
----------------------------------------------------------------
Creditors of CJSC Ukrainian Agricultural Business (code EDRPOU
14276467) have until May 10 to submit written proofs of claim
to:

         Oleg Agafonov
         Liquidator
         P.O. Box 88
         01024 Kiev-24
         Ukraine

The Economic Court of Kiev commenced bankruptcy proceedings
against the company after finding it insolvent.  The case is
docketed under Case No. 23/124-b.

The Court is located at:

         The Economic Court of Kiev
         B. Hmelnitskij Boulevard 44-B
         01030 Kiev
         Ukraine

The Debtor can be reached at:

         CJSC Ukrainian Agricultural Business
         Tbilisi Lane 4/10
         01135 Kiev
         Ukraine


VINNICA BEARING: Claims Filing Bar Date Set May 6
-------------------------------------------------
Creditors of State Enterprise Vinnica Bearing Plant (code EDRPOU
32538207) have until May 6 to submit written proofs of claim to:

         Lina Demets
         Temporary Insolvency Manager
         40 Years of Victory Str. 27-A/57
         Vinnica
         Ukraine

The Economic Court of Vinnica commenced bankruptcy supervision
procedure on the company on Jan. 30.  The case is docketed under
Case No. 10/23-07.

The Court is located at:

         The Economic Court of Vinnica
         Hmelnickiy Str. 7
         21036 Vinnica
         Ukraine

The Debtor can be reached at:

         State Enterprise Vinnica Bearing Plant
         Tarnogrodsky Str. 46
         Vinnica
         Ukraine


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


AJAX RE: S&P Assigns BB Rating to US$100 Million Series 1 Notes
---------------------------------------------------------------
Standard & Poor's Ratings Services assigned its senior secured
debt rating of 'BB' to the US$100 million Series 1 Class A
principal at-risk variable rate notes issued under the newly
established shelf program, Ajax Re Ltd., by Aspen Insurance Ltd.
and Aspen Insurance U.K. Ltd.  This is the first series of notes
issued under this program.
  
The program closed and the notes were issued.  Through this
transaction, Aspen has purchased fully collateralized protection
against high-severity losses incurred after the occurrence of
one or more California earthquakes.
  
The issuer is a special-purpose Cayman Islands exempted company,
licensed as a restricted Class B insurer whose ordinary shares
are held in a charitable trust.  The program can issue up to
US$1 billion in notional amount of notes to cover various
subsidiaries of Aspen Insurance Holdings Ltd. and allows Aspen
to purchase catastrophe protection in reinsurance or derivative
form against any insurance exposure.
  
Notes of the same class between any series may not necessarily
be exposed to the same peril and are not required to have the
same loss probabilities.  The term of the risk period may vary
between series.  The series 1 class A notes are due on May 8,
2009.
  
Standard & Poor's has not assigned ratings to the shelf program
and will not necessarily assign ratings to any further issuance
of notes through the program.
  
                       Issuance Structure
  
Ajax Re invested the US$100 million issuance proceeds in high-
quality assets, which were placed in a collateral account.  Ajax
Re swapped the total return of the assets with Lehman Brothers
Special Financing Inc. in exchange for quarterly LIBOR-based
payments.  At the same time as it issued the notes, Ajax
Re entered into a catastrophe excess of loss reinsurance
agreement with Aspen.  This agreement provides Aspen with fully
collateralized protection against high-severity, per-occurrence
losses from California earthquakes from Aug. 18 to May 1, 2009
and complements its existing reinsurance program.
  
The premium payments received from Aspen under the reinsurance
agreement and the proceeds from the total return swap with
Lehman Brothers Special Financing are used to make the scheduled
interest payments to the holders of the series 1 class A notes.
The series 1 class A notes pay an annual coupon of LIBOR plus
6.25% quarterly in arrears.  Aspen also pays the issuer's up-
front and ongoing expenses in connection with the security
issuance.
  
                         Loss Definition
  
The repayment of principal under the notes is tied to insured
industry losses in California caused by one or more earthquakes.
After an earthquake occurs, EQECAT Inc., in its role as
calculation agent, uses the insured industry losses reported by
Property Claim Services to calculate a loss index.  The index is
used to determine whether or not a principal loss to the
noteholders has occurred, and the amount of the loss.
  
If a loss occurs, assets in the collateral account are sold to
fund the loss payment to Aspen, and the principal amount of the
notes is reduced. Series 1 class A noteholders suffer a scaled
loss of investment if the index value exceeds a preagreed
attachment point, until a preagreed exhaustion point is reached.
However, any loss payment to Aspen will be based on the ultimate
net losses incurred by Aspen.  Any excess between the reduction
in principal based on the loss index and the ultimate net loss
amount reported by Aspen will be placed into an excess account.
Ajax Re will own any money in the excess account.  It will be
donated to charity when Ajax Re is wound-up.
  
A significant part of the rating analysis took account of an
assessment of the occurrence probabilities of the California
earthquakes as modeled by EQECAT.  Further, the ratings on the
notes are based upon the creditworthiness of Aspen Insurance
Ltd. and Aspen Insurance U.K. Ltd. as guarantor of Lehman
Brothers Special Financing Inc., the total return swap
counterparty.
  
EQECAT's proprietary model was used to determine the probability
of a first-dollar loss for the series 1 class A notes. The
estimated first-year attachment probability for the series 1
class A notes is 2.20% and the cumulative attachment probability
over the term of the transaction is 3.74%.
  
The attachment and exhaustion points for the series 1 class A
notes can be reset on the first payment date after April 15,
2008, using EQECAT's updated industry exposure database so that
the probability of attachment and the expected loss are equal to
their respective values at the date of issuance.
  
                        Extension Events
  
Aspen can choose to extend the maturity of each class of notes
by three months, known in the transaction documents as
"Extension Event I." The spread above LIBOR during Extension
Event I will be 2.5%.
  
In addition, if there has been an earthquake, Aspen can extend
the maturity of the series 1 class A notes by up to 24 months if
loss estimates published by PCS exceed certain increasing
hurdles.  The spread above LIBOR for the series 1 class A notes
under Extension Event II is 0.3%.
  
If a loss payment has been made by Ajax Re to Aspen within 24
months of the scheduled redemption date, Aspen must extend the
maturity of the notes until either PCS releases its final
estimates or 24 months has passed since the earthquake occurred,
to allow for insured industry losses to develop.  The spread
above LIBOR for the affected notes is 0.1% under Extension Event
III.
  
Lehman Brothers is the sole initial purchaser and sole
bookrunner on this transaction, with Willis Capital Markets
being the co-lead manager.


COLLINS & AIKMAN: Court Okays King's Employment Pact Amendment
--------------------------------------------------------------
The U.S. Bankruptcy Court for the Eastern District of Michigan
has approved the first amendment to the employment agreement
between Collins & Aikman Corp. and Millard King, dated March 31,
providing for the continued employment of Mr. King as president
of the Debtors' Global Soft Trim segment.

Collins & Aikman Corp. and its debtor-affiliates hired Mr. King
as president pursuant to an employment agreement dated Sept. 12,
2005, which provides that the employment would terminate on
March 31.  The Debtors relate that Mr. King began his career
with Collins in 1971 and has served in numerous senior planning,
manufacturing and operational leadership roles throughout his 36
years with the company.

Mr. King's experience extends to all aspects of the soft trim
industry and, with his leadership, the Debtors' Soft Trim
segment achieved the top market share position in the industry,
Ray C. Schrock, Esq., at Kirkland & Ellis LLP, in New York,
says.

Mr. Schrock tells the Court that as a going concern, the Soft
Trim segment represents the most significant asset in the
Debtors' estates.  As the Debtors continue the marketing and
sale of the Soft Trim segment, the continued employment of
Mr. King is necessary to ensure that the value of the segment is
maintained and a sale can be consummated, he adds.

The principal terms of the amendment are:

     * Mr. King's term of employment is extended to March 31,
       2008;

     * Mr. King will continue to receive a quarterly guaranteed
       bonus of 50% of his base salary for each quarter
       beginning April 1 and ending March 31, 2008;

     * Collins will reimburse Mr. King for reasonable attorney's
       fees up to US$5,000 for services rendered in the
       negotiation of the amendment;

     * Mr. King waives any constructive termination or similar
       state law claim against Collins so long as no sale of a
       substantial portion of the Soft Trim segment has
       occurred; and

     * if a sale of all or a substantial portion of the Soft
       Trim segment occurs and the buyer does not assume the
       King Employment Agreement in connection with the sale,
       Mr. King will be entitled to a severance compensation,
       provided that Mr. King will not be entitled to any
       severance compensation if he accepts employment with the
       buyer.

Mr. Schrock asserts that although the amendment increases the
severance amount to 12-months base pay, if Mr. King's employment
terminates on March 31, 2008, the amendment relieves the Debtors
of the cash severance payment that would otherwise be due in a
lump sum on or before April 14 and the increase to 12
months, from six if employment terminates on March 31 is
reasonable given the uncertainty that Mr. King faces going
forward.


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.  The Debtors' disclosure statement explaining their First
Amended Joint Chapter 11 Plan was approved on Jan. 25, 2007.  
The hearing to consider confirmation of the Debtors' Amended
Joint Plan is set for April 19, 2007.  (Collins & Aikman
Bankruptcy News, Issue No. 59; Bankruptcy Creditors' Service,
Inc., http://bankrupt.com/newsstand/or 215/945-7000)


COLLINS & AIKMAN: Parties Wants to Allow Claims for Voting
----------------------------------------------------------
Fireman' Fund Insurance Company, National Surety Company and
possibly other related insurance companies ask the U.S.
Bankruptcy Court for the Eastern District of Michigan
pursuant to Rule 3018(a) of the Federal Rules of Bankruptcy
Procedure to temporarily allow their claims for the limited
purpose of voting on the First Amended Joint Plan of Collins &
Aikman Corp. and its debtors-subsidiaries.

Before the Petition Date, FFIC issued certain insurance policies
for various policy periods that may provide certain insurance
coverage for Debtors.  FFIC may also be a party to certain other
agreements relating to the Policies.

On Jan. 9, 2006, FFIC timely filed a proof of claim in each of
the Debtors' cases.  The claims asserted contingent and
unliquidated claims which are subject to further and future
adjustment and include, without limitation, claims for
additional premium payments, deductibles, self-insured
retentions and other expenses that may become due under the FFIC
Agreements.  FFIC may also hold contingent and unliquidated
claims for any and all rights to payments, rights to receive
performance, actions, defenses, indemnification, contribution,
subrogation, set-offs or recoupments arising from, related to,
or in connection with any and all of Debtors' duties and
obligations under the terms of the FFIC Agreements.

Kelly A. Myers, Esq., at Myers & Allmand, PLLC, in Brighton,
Michigan, notes that the Claims will likely remain contingent
and unliquidated as of the May 7 deadline for voting on the
Plan.  In addition, because the Claims allow for the possibility
that they may ultimately be treated as unsecured claims, they
will be impaired under the Plan.  

Despite FFIC's attempt to negotiate an informal resolution of
this matter, Debtors did not respond to FFIC's requests.

FFIC requests that it be permitted to vote the Claims, and be
deemed to have allowed Class 5 general unsecured claims for
voting purposes in the amount of US$1.00.  The liquidation of
the Claims should be made for the limited purpose of allowing
FFIC to vote on the Plan, and will not constitute or be
construed as an admission by FFIC of any limitation on the
ultimate allowed amount of the Claims or the classification of
the Claims.

FFIC does not waive, and expressly reserves, all rights and
defenses, including, without limitation, the right to contest in
any court of competent jurisdiction any objection to the basis
or validity of the ultimate amounts of the Claims.

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.  The Debtors' disclosure statement explaining their First
Amended Joint Chapter 11 Plan was approved on Jan. 25, 2007.  
The hearing to consider confirmation of the Debtors' Amended
Joint Plan is set for April 19, 2007.  (Collins & Aikman
Bankruptcy News, Issue No. 59; Bankruptcy Creditors' Service,
Inc., http://bankrupt.com/newsstand/or 215/945-7000)


DELPHI CORP: Cerberus Denies Backing Out of Delphi Agreement
------------------------------------------------------------
Cerberus Capital Management, L.P., dismissed a statement from
Delphi Corporation that it withdrawing from a consortium of
investors who would infuse up to US$3.4 billion into Delphi, The
Associated Press reports.

Delphi has said that Cerberus would leave the consortium
consisting of affiliates of Appaloosa Management L.P., Harbinger
Capital Partners Master Fund I, Ltd., as well as Merrill Lynch &
Co. and UBS Securities LLC.

Cerberus doubts if Delphi will be profitable enough to make the
investment worth its while after it reviewed Delphi's financial
records and performance for the past four months, Bloomberg News
said last week.

Under the Delphi agreement, Cerberus, together with Appaloosa,
et al., will fund a plan of reorganization for Delphi in
exchange for shares of common stock and preferred shares in
Reorganized Delphi.  They will also purchase any unsubscribed
shares of Delphi common stock in connection with a rights
offering to existing Delphi shareholders.

"There has not been any decision made," Cerberus spokeswoman
J.J. Rissi told AP.  Asked if it was possible that Cerberus
would remain part of the Delphi deal, Ms. Rissi replied, "It's
not impossible," declining further comment.

According to AP, Delphi had planned to emerge from Chapter 11 by
the end of June, but Delphi said that would be delayed until the
second half of 2007 even without the Cerberus withdrawal.  
Delphi spokesman Lindsey Williams told AP that none of the
equity investors, including Cerberus, has given notice that it
will exit from the deal, and Delphi and Cerberus are still
talking.

Troy, Mich.-based Delphi Corporation (OTC: DPHIQ) --
http://www.delphi.com/-- is the single largest global supplier  
of vehicle electronics, transportation components, integrated
systems and modules, and other electronic technology.  The
Company's technology and products are present in more than 75
million vehicles on the road worldwide.  

The Company filed for chapter 11 protection on Oct. 8, 2005
(Bankr. S.D.N.Y. Lead Case No. 05-44481).  John Wm. Butler Jr.,
Esq., John K. Lyons, Esq., and Ron E. Meisler, Esq., at Skadden,
Arps, Slate, Meagher & Flom LLP, represent the Debtors in their
restructuring efforts.  Robert J. Rosenberg, Esq., Mitchell A.
Seider, Esq., and Mark A. Broude, Esq., at Latham & Watkins LLP,
represents the Official Committee of Unsecured Creditors.  As of
Aug. 31, 2005, the Debtors' balance sheet showed
US$17,098,734,530 in total assets and US$22,166,280,476 in total
debts.  The Debtors' exclusive plan-filing period expires on
July 31, 2007.


EAVE PROJECTS: Names Anthony David Kent Liquidator
--------------------------------------------------
Anthony David Kent of Maidment Judd was appointed liquidator of
Eave Projects Ltd. on April 12 for the creditors' voluntary
winding-up proceeding.

The company can be reached at:

         Eave Projects Ltd.
         Business and Technology Center
         Bessemer Drive
         Stevenage
         SG1 2DX
         England
         Tel: 01438 360 979
         Fax: 01438 740 729


FARRINGDON MORTGAGES: Fitch Raises GBP3.13 Mln Class B2a to BB-
---------------------------------------------------------------
Fitch Ratings upgraded three tranches of Farringdon Mortgages
No. 1 Plc and affirmed the remaining tranches.   

At the same time, the agency has removed the Rating Watch
Negative from the junior tranche of Farringdon Mortgages No. 2
Plc and affirmed all outstanding tranches.  

Both transactions are originated by Rooftop Mortgages Limited, a
subsidiary of Bear Stearns Companies Inc., and have been the
subject of a full loan-by-loan and cash flow analysis.  These
are the rating actions:

Farringdon Mortgages No. 1 Plc:

   -- GBP42.48 million Class A2a and A2a detachable coupons
      affirmed at 'AAA'

   -- GBP17.5 million Class M2a upgraded to 'A' from 'A-'

   -- GBP4.38 million Class B1a upgraded to 'BBB' from 'BBB-'

   -- GBP3.13 million Class B2a upgraded to 'BB-'from 'B'

   -- MERCS affirmed at 'AAA'

   -- Class A1a and A1a DAC paid in full in January

Farringdon Mortgages No. 2 Plc:

   -- GBP22.76 million Class A1a and A1a DAC affirmed at 'AAA'

   -- GBP84 million Class A2a and A2a DAC affirmed at 'AAA'

   -- GBP23.5 million Class M2a affirmed at 'A'

   -- GBP7.4 million Class B1a affirmed at 'BBB'

   -- GBP5.1 million Class B2a affirmed at 'BB'; off RWN

   -- MERCS affirmed at 'AAA'

In the case of FM1, following overall stable performance,
Fitch's remodeling exercise shows that credit enhancement is
sufficient to support the ratings of the mezzanine and junior
tranches at a higher rating level.  For FM2, the removal of the
RWN comes after a replenishment of the reserve fund.  This is
the first replenishment since the July 2006 interest payment
date.  Although the RWN has been removed, Fitch notes there may
be the potential for future draws if the underlying collateral
performance weakens.  Nevertheless, the current levels of credit
enhancement are deemed sufficient to cover noteholders from
losses.

The reserve funds in both deals are not at the target level and
are still some way off reaching this level.  However, the pick-
up in prepayment speed is benefiting the deals.  The effect of
prepayments is particularly significant in FM1.  Since Fitch's
downgrade on 18 May 2006, prepayments have had a positive impact
on deleveraging the deal and building levels of credit
enhancement, such that there is sufficient credit cover to the
noteholders of these notes.  Additionally, now that the A1a DAC
has matured, along with the Class A1 notes, more excess spread
should be available in the coming quarters.

In FM1, although current properties in possession have picked up
in this quarter to 18 by number, compared to 11 the quarter
before, Fitch has made the assumption that all of these will
proceed to sale, with a loss.  With this conservative
assumption, the junior noteholders still have sufficient credit
cover at the 'BB-' level.

The upgrades to FM1 come after stable performance over a number
of consecutive quarters.  Since October 2006, loans in arrears
by more than three months have stabilized, while weighted
average loss severities have remained at around 10%.  Sold
repossessions and cumulative loss are increasing at a slower
pace than previously.

In FM2, the number of current properties in possession has been
increasing each quarter, which remains a concern.  There are
currently 28 properties in possession awaiting progression to
sale.  These have a WA LTV of 83.87%.  However, the high,
annualized principal payment rate in the last quarter of 32.05%
has had a positive impact on the available excess spread to all
Classes.  Although PPR decreased this quarter to 27.79% from
32.05%, the sequential paydown of the notes means that credit
enhancement levels are building for all Classes.  Additionally,
the WALS has decreased this quarter to 16.08% from 19.29%.


FEDERAL-MOGUL: Wants to Amend US$775 Million DIP Financing
----------------------------------------------------------
Federal-Mogul Corporation and its debtor-affiliates ask the U.S.
Bankruptcy Court for the District of Delaware for permission to
enter into an amended DIP financing commitment letter and fee
letter with Citicorp USA, Inc., and JPMorgan Chase Bank, N.A.

As previously reported, the Debtors sought the Court's authority
to enter into a separate commitment letter under which,
Citigroup, JPMorgan, and a syndicate of lenders will provide the
Debtors with necessary financing upon the consummation of the
Debtors' Chapter 11 plan.

Under the proposed Exit Financing Commitment Letter, the
Proposed Exit Lenders committed to provide the Debtors with an
amended DIP financing facility if the Debtors' exit financing
does not close by July 1, 2007, the maturity date of the
Debtors' Existing Credit and Guaranty Agreement with JPMorgan,
as administrative agent, and a group of lenders.

In light of the impending maturity of the Existing DIP
Agreement, the Debtors' need for postpetition financing to fund
their ongoing business operations, and in connection with their
Exit Commitment, the Debtors, Citigroup and JPMorgan engaged in
discussions regarding the extension of the Debtors' current
postpetition financing arrangements.

After extensive negotiations, the Debtors, Citigroup and
JPMorgan entered into a Commitment Letter for an amended DIP
Agreement, James E. O'Neill, Esq., at Pachulski Stang Ziehl
Young Jones & Weintraub LLP, in Wilmington, Delaware, informs
the Court.

The Amended DIP Agreement extends the term of the Existing DIP
Agreement through the earlier of:

   (a) December 31, 2007; or

   (b) the date of substantial consummation of a Court-approved
       plan of reorganization.

In addition, the Amended DIP Agreement refinances approximately
US$330,000,000 in loans and deems the re-issuance of
approximately US$10,400,000 in letters of credit at more
favorable rates of interest than the current interest rates.

In particular, Citigroup and JPMorgan will provide the Debtors
with a:

   (a) US$500,000,000 committed superpriority senior secured
       revolving credit facility, with a letter of credit
       sublimit in at least the U.S. dollar equivalent of
       US$110,000,000; and

   (b) US$275,000,000 committed, plus up to US$330,000,000
       incremental, superpriority senior secured term loan
       facility.

The Amended DIP Agreement also grants the Proposed DIP Lenders
pari passu liens and superpriority claims in respect of the
Debtors' obligations under postpetition ordinary course hedging
transactions in an aggregate notional amount of up to
US$150,000,000.  Moreover, the Agreement will fund additional
liens of up to US$35,000,000 for certain contemplated hedging
transactions.

According to Mr. O'Neill, the Amended DIP Agreement may also
contain other discrete modifications to the Existing DIP
Agreement that will enable the Debtors to use their financing
more effectively and in a manner that more accurately tracks the
Debtors' present strategic business plan.  Substantially all of
the material terms of the Debtors' postpetition financing,
however, will remain unchanged, Mr. O'Neill says.

A full-text copy of the Amended DIP Facility Commitment Letter
is available for free at http://ResearchArchives.com/t/s?1dff  

The Amended DIP Agreement has not been finalized, Mr. O'Neill
relates.  The Debtors will furnish the Court a copy of the
Amended DIP Agreement before the Court hears their request.

An extension of the Maturity Date of the Existing DIP Agreement
will afford the Debtors sufficient time to secure confirmation
of their Fourth Amended Joint Plan of Reorganization and will
permit them to emerge from bankruptcy without requiring another
extension of their DIP financing, Mr. O'Neill notes.

                            Fee Letter

In return for Citigroup's and JPMorgan's DIP financing
commitments, the Debtors have agreed to pay certain arrangement
and other fees set forth in a fee letter dated April 16, 2007.

The Debtors believe that the fees provided for in the Fee Letter
are at normal and customary levels for comparable postpetition
financing facilities, and that the payment of those fees is
reasonable and appropriate.

Mr. O'Neill asserts that the Fee Letter contains sensitive
information that is highly confidential to the Debtors' business
and proprietary to Citigroup and JPMorgan.

Thus, the Debtors further ask the Court to authorize them to
file the Fee Letter under seal.

The Debtors propose to serve unredacted copies of the Fee Letter
to the Court, the office of the U.S. Trustee, and the counsel
for the five co-Plan Proponents:

      * The Official Committee of Unsecured Creditors,
      * The Official Committee of Asbestos Claimants,
      * The Legal Representative for Future Claimants,
      * JPMorgan Chase Bank, N.A., and
      * The Official Committee of Equity Security Holders.

In addition to the amounts set forth in the Fee Letter, the
Commitment Letter requires the Debtors to pay various expenses
incurred by Citigroup and JPMorgan in connection with the
negotiation, documentation, approval and closing of the
transactions contemplated by the Commitment Letter, Mr. O'Neill
notes.

The Debtors also seek the Court's permission to enter into any
ancillary documents that may be necessary to effect the terms of
the Amended DIP Agreement, including, but not limited to, an
amended security and pledge agreement, if necessary, with
respect to the collateral to secure the obligations under the
Amended DIP Agreement.

The Amended DIP Agreement will offer the Debtors an interest
rate on the refinanced Tranche C Loans that may be approximately
1.75% better than the interest rate the Debtors currently pay
with respect to the Tranche C Loans, Mr. O'Neill states.  "This
would result in a savings to the Debtors' estates of hundreds of
thousands of dollars per month," Mr. O'Neill points out.

Furthermore, since the Tranche C Loans previously enjoyed
postpetition claim status and were junior in lien and claim
priority only to the obligations under the Existing DIP
Facility, Mr. O'Neill assures the Court that repaying the Loans
with the DIP proceeds will not harm creditors.

"It is both more efficient and cost-effective for the Debtors to
enter into the Amended DIP Agreement rather than negotiating and
entering into a new financing facility from scratch with a new
agent and group of lenders," Mr. O'Neill avers.

                       About Federal-Mogul

Headquartered in Southfield, Michigan, Federal-Mogul Corporation
-- http://www.federal-mogul.com/-- is an automotive parts  
company with worldwide revenue of some $6 billion.  The Company
filed for chapter 11 protection on Oct. 1, 2001 (Bankr. Del.
Case No. 01-10582).  Lawrence J. Nyhan Esq., James F. Conlan
Esq., and Kevin T. Lantry Esq., at Sidley Austin Brown & Wood,
and Laura Davis Jones Esq., at Pachulski, Stang, Ziehl, Young,
Jones & Weintraub, P.C., represent the Debtors in their
restructuring efforts.  When the Debtors filed for protection
from their creditors, they listed $10.15 billion in assets and
US$8.86 billion in liabilities.  Federal-Mogul Corp.'s U.K.
affiliate, Turner & Newall, is based at Dudley Hill, Bradford.
Peter D. Wolfson, Esq., at Sonnenschein Nath & Rosenthal; and
Charlene D. Davis, Esq., Ashley B. Stitzer, Esq., and Eric M.
Sutty, Esq., at The Bayard Firm represent the Official Committee
of Unsecured Creditors.

On March 7, 2003, the Debtors filed their Joint Chapter 11 Plan.
They submitted a Disclosure Statement explaining that plan on
April 21, 2003.  They submitted several amendments and on
June 6, 2004, the Bankruptcy Court approved the Third Amended
Disclosure Statement for their Third Amended Plan.  On
July 28, 2004, the District Court approved the Disclosure
Statement.  The estimation hearing began on June 14, 2005.  They
then submitted a Fourth Amended Plan and Disclosure Statement on
Nov. 21, 2006, and the Bankruptcy Court approved that Disclosure
Statement on Feb. 6, 2007.  The confirmation hearing is set for
June 8, 2007. (Federal-Mogul Bankruptcy News, Issue No. 134;
Bankruptcy Creditors' Service Inc.,  
http://bankrupt.com/newsstand/or 215/945-7000).


FORD MOTOR: Posts US$282 Million Net Loss in First Quarter 2007
---------------------------------------------------------------
Ford Motor Company reported a net loss of US$282 million, for
the first quarter of 2007.  This compares with a net loss of
US$1.4 billion, in the first quarter of 2006.

Ford's first-quarter loss from continuing operations, excluding
special items, was US$171 million, compared with a profit of
US$223 million, in the same period a year ago.

Special items, which primarily reflected the impact of
restructuring efforts, reduced pre-tax results by US$113 million
in the first quarter.

Ford's first-quarter revenue was US$43 billion, up from
US$40.8 billion a year ago.  The increase primarily reflected
mix improvement and favorable currency exchange, partially
offset by lower volume.

"We are making progress on executing the four priorities of our
plan - restructuring the company, accelerating product
development, funding our plan and working effectively as one
team," said president and chief executive officer Alan Mulally.  
"I am pleased that the basics of our business are improving, but
we still have a lot of work to do.

"Our first quarter results came in somewhat stronger than
expected, but there are many uncertainties going forward.  We
remain focused on improving our quality, productivity and
business performance," Mulally added.

                        Automotive Sector

On a pre-tax basis, worldwide Automotive sector losses in the
first quarter were US$225 million.  This compares with a pre-tax
loss of US$203 million during the same period a year ago.  The
2007 losses were more than explained by net interest expense,
partially offset by automotive operating profits of US$116
million during the quarter.

Worldwide Automotive revenue for the first quarter was
US$38.6 billion, up from US$37 billion in the same period last
year.  The increase primarily reflected mix improvement and
favorable currency exchange, partially offset by lower volume.  
Vehicle wholesales in the first quarter were 1,650,000, down
from 1,756,000 a year ago.

Automotive gross cash, which includes cash and cash equivalents,
net marketable securities, loaned securities and short-term VEBA
assets, was US$35.2 billion at March 31, 2007, up from US$33.9
billion at the end of the fourth quarter.

Ford North America:  In the first quarter, Ford's North America
Automotive operations reported a pre-tax loss of US$614 million,
compared with a pre-tax loss of US$442 million a year ago.  The
increase in losses primarily reflected unfavorable volume and
mix, partially offset by cost reductions.  Revenue was US$18.2
billion, down from US$19.8 billion for the same period a year
ago.

Ford South America:  Ford's South America Automotive operations
reported a first-quarter pre-tax profit of US$113 million,
compared with a pre-tax profit of US$137 million a year ago.  
The decline primarily reflected the non-recurrence of hedging
gains.  First quarter revenue improved to US$1.3 billion from
US$1.2 billion in 2006.

Ford Europe:  Ford Europe's first-quarter pre-tax profit was
US$219 million compared with a pre-tax profit of US$65 million
during the same period in 2006.  The improvement was more than
explained by favorable volume and mix, partially offset by
higher incentive spending.  During the first quarter of 2007,
Ford Europe's revenue was US$8.6 billion, compared with US$6.8
billion during the first quarter of 2006.

Premier Automotive Group (PAG):  PAG reported a record pre-tax
profit of US$402 million for the first quarter, compared with a
pre-tax profit of US$152 million for the same period in 2006.  
The improvement is more than explained by favorable volume and
mix, favorable net pricing and lower costs, partially offset by
adverse currency exchange.  First-quarter 2007 revenue was
US$8.4 billion, compared with US$7.1 billion a year ago.

Ford Asia Pacific and Africa:  For the first quarter, Ford Asia
Pacific and Africa reported a pre-tax loss of US$26 million,
compared with a pre-tax profit of US$2 million a year ago.  
Adverse currency exchange and unfavorable volume and mix were
partially offset by favorable cost performance.  Revenue was
US$1.8 billion for the first quarter of 2007, compared with
US$1.7 billion in 2006.

Mazda: For the first quarter, Ford earned US$22 million from its
investment in Mazda and associated operations, compared with
US$45 million during the same period a year ago.  The decline is
largely explained by the non-recurrence of gains on an
investment in Mazda convertible bonds.

Other Automotive: First-quarter results included a pre-tax loss
of US$341 million, compared with a loss of US$162 million a year
ago.  The year-over-year decline is largely explained by higher
interest expense and related costs associated with the debt
increase in the fourth quarter of 2006.  This was partially
offset by increased interest income on a larger cash portfolio.

                    Financial Services Sector

For the first quarter, Financial Services sector earned a pre-
tax profit of US$294 million, compared with a pre-tax profit of
US$375 million a year ago.

Ford Motor Credit Company:  Ford Motor Credit reported net
income of US$193 million in the first quarter of 2007, down
US$55 million from earnings of US$248 million a year earlier.  
On a pre-tax basis from continuing operations, Ford Motor Credit
earned US$294 million in the first quarter, compared with US$382
million in the previous year.  The decrease in earnings was more
than explained by higher borrowing costs and higher depreciation
expense for leased vehicles.  The non-recurrence of losses
related to market valuation adjustments from non-designated
derivatives was a partial offset.

                       About Ford Motor Co.

Headquartered in Dearborn, Michigan, Ford Motor Co. (NYSE: F) --
http://www.ford.com/-- manufactures or distributes automobiles  
in 200 markets across six continents.  With about 260,000
employees and about 100 plants worldwide, the company's core
and affiliated automotive brands include Ford, Jaguar, Land
Rover, Lincoln, Mercury, Volvo, Aston Martin, and Mazda.  The
company provides financial services through Ford Motor Credit
Company.

                          *     *     *

As reported in the Troubled Company Reporter on Dec. 12, 2006,
Standard & Poor's Ratings Services affirmed its 'B' bank loan
and '2' recovery ratings on Ford Motor Co.

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'.

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 USUS$3-billion of senior convertible notes
due 2036.


G.P.M. ELECTRICAL: Gordon Craig Leads Liquidation Procedure
-----------------------------------------------------------
Gordon Craig of Cresswall Associates Ltd. was appointed
liquidator of G.P.M. Electrical And Audio Services Ltd. on
April 5 for the creditors' voluntary winding-up procedure.

The company can be reached at:

         G.P.M Electrical & Audio Services Ltd.
         11 Orchard End
         Cleobury Mortimer
         Kidderminster
         DY14 8BA
         England
         Tel: 01299 271 184


HILTON HOTELS: Sells 10 Hotels to Morgan Stanley for US$770 Mln
---------------------------------------------------------------
Hilton Hotels Corporation has agreed to sell up to 10 hotels to
a fund managed by Morgan Stanley Real Estate for approximately
US$770 million.  

Assuming completion of the sale of all 10 hotels, net proceeds
after property level debt repayment, taxes and transaction costs
are expected to be approximately EUR450 million.  Proceeds from
the sale will be used to pay down debt.

Based on trailing 12-month earnings from the 10 hotels before
interest, taxes, depreciation and amortization, the sale price
represents an EBITDA multiple of approximately 15.2x.

Hilton and Morgan Stanley Real Estate have agreed to long-term
management contracts on five of the 10 hotels, including the
Hiltons in Dusseldorf, Dresden, Paris Charles de Gaulle,
Strasbourg and Zurich.  Morgan Stanley Real Estate has agreed to
make an extensive and immediate investment of approximately
EUR18 million in these five hotels.  Of the remaining hotels,
long-term management agreements are expected to be established
on the Hilton hotels in Brussels, Barcelona and Luxembourg
subject to Hilton and Morgan Stanley Real Estate agreeing to
capital plans.  For the remaining two hotels, the Los Zocos Club
Resort is being sold without an ongoing contract, and Morgan
Stanley Real Estate and Hilton will evaluate the future intent
for the Hilton Weimar in Germany where Hilton branding will
remain in place for a short-term period pending such evaluation.

The sale of seven of the hotels is subject to a number of
conditions including clearance from the European Union
regulators, but is expected to be completed by the end of
June 2007.  The sales of the remaining three hotels are also
subject to certain conditions and require further legal and
statutory discussions and approvals.  Sale of these three hotels
is anticipated to be taking place in the third quarter, 2007.

On completion of these transactions, Hilton will have sold over
US$3 billion of assets that it obtained in the acquisition of
Hilton International in late February 2006, and over US$4.5
billion of assets will have been sold since the company began
its disposition program in 2005.

Robert M. La Forgia, Executive Vice President and Chief
Financial Officer of Hilton Hotels Corporation, commented on the
proposed sale: "This transaction is a significant step for
Hilton as we continue to focus on our strategy of growing our
managed and franchise business, while reducing asset ownership
and strengthening our balance sheet.

"Morgan Stanley Real Estate is a highly respected real estate
investor and an important business partner and currently owns or
has an interest in 13 Hilton family hotels.  This transaction
builds significantly on this relationship and provides a
platform for continued growth of our brands as we look expand
our reach globally."

Hilton was advised by Banc of America Securities Limited.  
Morgan Stanley Real Estate was advised by Morgan Stanley.

                       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,
including Australia, Austria, Barbados, Finland, India,
Indonesia, Trinidad and Tobago, Philippines and Vietnam.

                        *     *     *

As reported in the Troubled Company Reporter-Europe on March 7,
Standard & Poor's Ratings Services raised its corporate credit
and senior unsecured ratings on Hilton Hotels Corp. to 'BB+'
from 'BB' and removed the ratings from CreditWatch where they
were placed with positive implications on Jan. 31.  S&P said the
outlook is stable.

In a TCR-Europe report on Feb. 28, Moody's Investors Service
upgraded Hilton Hotels Corporation's corporate family rating to
Ba1 from Ba2 reflecting a reduction in leverage from a faster
than expected pace of asset sales and strong earnings during
2006.  Adjusted debt to EBITDAR has improved to around 5.0x from
6.0x in January 2006.


KRISPY KREME: Robert Strickland Retires from Board of Directors
---------------------------------------------------------------
Krispy Kreme Doughnuts, Inc. reported changes in its Board of
Directors and transitions in the Chief Financial Officer and
General Counsel positions.
    
Robert L. (Bob) Strickland has retired from the Krispy Kreme
Board of Directors effective immediately preceding the Annual
Meeting of Shareholders on June 4, 2007.  Mr. Strickland has
served on Krispy Kreme's Board of Directors for more than eight
years and was elected Vice Chairman in 2005.
    
The company also announced that its Board of Directors nominated
two industry veterans, Lynn Crump-Caine and C. Stephen Lynn, to
the Krispy Kreme Board of Directors for election at the June 4
Annual Meeting of Shareholders.
    
Ms. Crump-Caine is currently the Chief Executive Officer of
OutsideIn Consulting, an organizational performance and strategy
development consulting firm she founded in 2004.  Previously,
she worked for McDonald's Corporation for over thirty years, and
held several executive positions within McDonald's, including
Executive Vice President of U.S. Restaurant Systems and
Executive Vice President of Worldwide Systems.
    
Mr. Lynn currently serves as Chairman of Cummings Inc., a fully
integrated provider of branding services to national and
regional clients.  Previously, he served as Chairman and Chief
Executive Officer of Shoney's Inc., and Chairman and Chief
Executive Officer of Sonic Corporation.
    
"We cannot adequately thank Bob Strickland for his many years of
dedicated service to Krispy Kreme," said Daryl Brewster,
President and Chief Executive Officer of Krispy Kreme.  "His
commitment to this company has been outstanding, and we
appreciate his leadership as a Director."
    
"As we go forward, having restaurant industry veterans with
decades of experience like Lynn and Steve join our Board of
Directors will add a wealth of expertise to an already strong
group of corporate leaders," Mr. Brewster added.
    
The company also reported that Michael C. Phalen, Chief
Financial Officer, has decided to leave the company and return
to investment banking in Baltimore where, prior to joining the
Company, he spent approximately eight years of his career.  Mr.
Phalen has led financial operations at the Company since January
2004.  His resignation will be effective June 5, 2007.  Douglas
R. Muir, Chief Accounting Officer, has been named as his
successor.  Mr. Muir joined the company in December 2004 and was
instrumental in the organization becoming current with its
Securities and Exchange Commission filings.
    
"Krispy Kreme has made significant progress under Mike Phalen's
leadership as Chief Financial Officer," Mr. Brewster said.  
"Mike has helped lead the company through some difficult times,
and we appreciate his hard work and dedication.  We wish him
continued success."
    
"Mike will hand over the Chief Financial Officer
responsibilities to a very capable successor, Doug Muir, who has
been with Krispy Kreme for the past three years.  Doug has held
many senior financial management positions during his 30 year
career, including having served as Chief Financial Officer for a
public company," Mr. Brewster added.
    
The company has also appointed Sandra K. (Sandy) Michel as its
new Executive Vice President and General Counsel.  Ms. Michel
replaces Charles A. (Chuck) Blixt who has served in the position
on an interim basis since September 2006.  Mr. Blixt will remain
a member of the company's Board of Directors and is being
nominated for reelection at the Annual Meeting.  With more than
25 years of legal experience, Ms. Michel has served as General
Counsel for two public companies both listed on the New York
Stock Exchange.  Most recently, she served as Senior Vice
President, General Counsel and Secretary for La Quinta
Corporation, where she managed the legal department, directed
franchise compliance operations, negotiated strategic
acquisitions, and handled complex litigation matters.
    
"The addition of Sandy Michel to the Krispy Kreme legal team as
General Counsel is an important step as we continue to prepare
for sustained growth," Mr. Brewster said.  "Additionally, we
appreciate the commitment and significant contribution Chuck
Blixt has made.  We are pleased to have Chuck remain on the
Board."
    
Mr. Brewster went on to comment, "It is encouraging that we are
transitioning two very important executive positions and
attracting industry veterans to our Board of Directors as we
continue the Krispy Kreme turn around."

Founded in 1937 in Winston-Salem, North Carolina, Krispy Kreme
(NYSE: KKD) -- http://www.krispykreme.com/-- is a branded   
specialty retailer of premium quality doughnuts, including the
company's signature Hot Original Glazed.  There are currently
approximately 323 Krispy Kreme stores and 79 satellites
operating systemwide in 43 U.S. states, Australia, Canada,
Mexico, the Republic of South Korea and the United Kingdom.

The company generates revenues from three distinct sources:
company-owned stores, franchise fees and royalties from
franchise stores, and a vertically integrated supply chain.

Freedom Rings, LLC, company's franchisee in Eastern
Pennsylvania, Delaware and Southern New Jersey, filed on Oct.
16, 2005 for Chapter 11 protection with the Delaware Bankruptcy
Court (Bankr. D. Del. Case No. 05-14268).  Following closure of
its four remaining stores, the Bankruptcy Court confirmed
Freedom Rings' plan of liquidation on April 20, 2006 and its
operations have been substantially wound up.

KremeKo, Inc., Krispy Kreme's Canadian franchisee, filed for
restructuring on April 15, 2005, pursuant to the Companies'
Creditors Arrangement Act with the Ontario Superior Court of
Justice.  Krispy Kreme Doughnut Corp. agreed to pay
approximately US$9.3 million to two secured creditors to settle
its obligations with respect to its guarantees pertaining to
certain indebteness and related equipment agreements.  In
exchange, a newly formed subsidiary of Krispy Kreme Doughnut
Corp. acquired substantially all of the operating assets of
KremeKo, as authorized by the Ontario Court.

Glazed Investments, LLC, company's franchisee in Colorado,
Minnesota and Wisconsin, filed for Chapter 11 protection on Feb.
3, 2006 (Bankr. N.D. Ill. Case No. 06-00932).  Subsequent to
this filing, Glazed Investments sold its remaining 12 Krispy
Kreme stores to Western Dough, Krispy Kreme's area developer for
Nevada, Utah, Idaho, Wyoming and Montana, for appoximately US$10
million.  This sale was facilitated by the Chapter 11 filing, by
permitting the assets to be sold free and clear of all liens,
claims and encumbrances.  

Under the plan of liquidation filed by Glazed Investments, it
will be dissolved after distribution of the sale proceeds to
creditors, and Krispy Kreme will not receive any payment on
account of its ownership in Glazed Investments.  While a
substantial portion of Glazed Investments' debts were retired
from the sale proceeds and liquidation of other assets, Krispy
Kreme paid approximately US$1 million of its franchisee's debt
which was guaranteed by it.


LEAR CORPORATION: Earns US$49.9 Million in First Quarter 2007
-------------------------------------------------------------
Lear Corporation reported financial results for the first
quarter with a net income of US$49.9 million including
restructuring costs and other special items, for the first
quarter of 2007. This compares with net income of US$17.9
million including restructuring costs and other special items,
for the first quarter of 2006.  It also updated its 2007
financial outlook.

For the first quarter of 2007, the company reported net sales of
US$4.4 billion and pretax income of US$82.3 million, including
restructuring costs of US$15.8 million and other special items
totaling US$10.7 million.  For the first quarter of 2006, Lear
reported net sales of US$4.7 billion and pretax income of
US$14.8 million.  Excluding restructuring costs and other
special items, Lear would have had pretax income of US$108.8
million in the first quarter of 2007.  This compares with pretax
income before restructuring costs and other special items of
US$15.5 million in the same period a year earlier.  A
reconciliation of pretax income before restructuring costs and
other special items to pretax income as determined by generally
accepted accounting principles is provided in the supplemental
data pages.

Bob Rossiter, Lear chairman and chief executive officer, said,
"Now that we have completed the divestiture of the Interior
business, our full attention is on strengthening our core
seating, electronics and electrical distribution businesses."

The decline in net sales for the quarter reflects primarily
lower production in North America and the divestiture of Lear's
European Interior business, offset in part by new business
mainly outside of North America and favorable foreign exchange.  
Operating improvement reflects favorable cost performance and
the benefit of new business, offset in part by lower production
in North America.

First-quarter free cash flow was negative US$32.1 million, as
compared with negative US$91.3 million in the first quarter of
2006.  The improvement primarily reflects lower capital spending
and the increase in earnings.

As of March 31, the company listed total assets of
US$7.6 billion and total liabilities of US$6.9 billion,
resulting in a US$692.5 million in total stockholders' equity.  

                        Key Events in 2006

During the quarter, the company made important progress on
strategic priorities by completing the North American Interior
business joint venture.

In addition, Lear maintained its quality and customer service
momentum and was the recipient of several customer awards and
recognition, including GM Supplier of the Year, three World
Excellence awards from Ford and Superior Supplier Diversity and
Excellence in Quality from Toyota, as well as other performance
awards from Porsche, Fiat-Brazil, Mazda and Shanghai GM.

The company also continued to implement its global restructuring
plan, expand its infrastructure in Asia and grow its global
sales with Asian manufacturers.

                      Full-Year 2007 Outlook

The outlook excludes results for Lear's Interior business for
the full year.  On this basis, Lear expects 2007 net sales of
about US$14.8 billion.

Lear anticipates 2007 income before interest, other expense,
income taxes, restructuring costs and other special items to be
in the range of US$580 to US$620 million, an improvement of
US$20 million from our prior forecast.  The revised full-year
outlook reflects more favorable production volumes and improved
cost performance in international operations.

Restructuring costs in 2007 are estimated to be approximately
US$100 million.  Interest expense is estimated to be in the
range of US$210 million to US$220 million.  Pretax income before
restructuring costs and other special items is estimated to be
in the range of US$290 to US$330 million.  Tax expense is
expected to be between US$100 million and US$120 million,
depending on the mix of earnings by country.  Capital spending
in 2007 is estimated at about US$250 million. Depreciation and
amortization expense is estimated to be about US$310 million.  
Free cash flow is expected to be positive at about US$240
million for the year.

Key assumptions underlying Lear's financial outlook include
expectations for industry vehicle production of about 15.2
million units in North America and 19.3 million units in Europe.  
Lear continues to see production for the Big Three in North
America being down slightly, as compared with 2006.  In
addition, the company is assuming an exchange rate of
US$1.32/Euro.

                      About Lear Corporation

Headquartered in Southfield, Michigan, Lear Corporation (NYSE:
LEA) -- http://www.lear.com/-- supplies automotive interior  
systems and components.  Lear provides complete seat systems,
electronic products, electrical distribution systems, and other
interior products.  The company has 104,000 employees at 275
locations in 33 countries.

Lear also operates in Argentina, Austria, Belgium, Brazil,
Canada, China, Czech Republic, United Kingdom, France, Germany,
Honduras, Hungary, India, Italy, Japan, Mexico, Morocco,
Netherlands, Philippines, Poland, Portugal, Romania, Russia,
Singapore, Slovakia, South Africa, South Korea, Spain, Sweden,
Thailand, Tunisia, Turkey, and Venezuela.

                          *     *     *

Lear Corporation carries Moody's Investors Service's B2
corporate family rating and speculative grade liquidity rating
of SGL-2.


NATIONWIDE LEGAL: High Court to Hear Wind-Up Petition on May 2
--------------------------------------------------------------
The Secretary of State for Trade and Industry has presented
petitions in the High Court to wind up Nationwide Legal Services
Ltd. and NLS Sheffield Ltd. in the public interest.

The companies were engaged in the provision of legal documents,
such as wills, to members of the public.  Nationwide Legal
Services Ltd. recruited agents who paid a license fee to run
their own businesses, taking instructions from members of the
public for the drawing up of legal documents.  The legal
documents were drawn up by NLS Sheffield Ltd.

The petitions to wind up the companies 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 as provisional
liquidator of both companies on April 20.

The case is now subject to High Court action and no further
information will be available until the petitions are heard on
May 2.


NLS SHEFFIELD: High Court to Hear Wind-Up Petition on May 2
-----------------------------------------------------------
The Secretary of State for Trade and Industry has presented
petitions in the High Court to wind up Nationwide Legal Services
Ltd. and NLS Sheffield Ltd. in the public interest.

The companies were engaged in the provision of legal documents,
such as wills, to members of the public.  Nationwide Legal
Services Ltd. recruited agents who paid a license fee to run
their own businesses, taking instructions from members of the
public for the drawing up of legal documents.  The legal
documents were drawn up by NLS Sheffield Ltd.

The petitions to wind up the companies 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 as provisional
liquidator of both companies on April 20.

The case is now subject to High Court action and no further
information will be available until the petitions are heard on
May 2.


PHELPS DODGE: Acquisition Boosts Freeport's First Qtr. Profits
--------------------------------------------------------------
Business News Americas reports that that Freeport McMoRan Copper
& Gold's profits increased to US$476 million in the first
quarter 2007, compared to US$251 million year-on-year, due to
its US$26-billion takeover of copper miner Phelps Dodge.

Freeport McMoRan Chief Executive Officer Richard Adkerson said
in a conference call on April 24, "This was an unusual quarter
because we only picked up 12 days of the Phelps Dodge
operations."

According to BNamericas, Freeport McMoRan said I n its financial
report that its revenues in the quarter increased to US$2.3
billion, from US$1.09 billion year-on-year, including Phelps
Dodge's March 20-31 consolidated revenues of US$515 million.

BNamericas relates that Freeport McMoRan's pro forma
consolidated sales, accounting for Phelps Dodge's production,
totaled 1.03 billion pounds of copper, 978,100 ounces of gold
and 18.6 million pounds of molybdenum.

Freeport McMoRan said that its pro forma copper production from
South America in the first quarter -- 100% derived from former
Phelps assets -- totaled 307 million pounds, BNamericas notes.  
Freeport McMoRan's 80% stake in the Candelaria mine in Chile was
101 million pounds in the first quarter 2007, compared to 118
million pounds in the first quarter 2006.  The firm's 53.6%
interest in the Cerro Verde mine in Peru came to 112 million
pounds in the first quarter 2007, versus 50.1 million pounds
year-on-year.  Its 51% stake in El Abra in Chile declined to
94.5 million pounds from 121 million pounds.

Freeport McMoRan sees sales of 3.9 billion pounds of copper, 1.9
million ounces of gold and 70 million pounds of molybdenum in
2007, BNamericas states.

           About Freeport-McMoran Copper & Gold Inc.

Freeport-McMoRan Copper & Gold Inc. is a Louisiana based
producer of copper and gold through its Grasberg mine in
Indonesia.  Freeport's revenue in 2006 was US$5.8 billion.

                   About Phelps Dodge Corp.

Phelps Dodge -- http://www.phelpsdodge.com/-- is among the  
world's largest producers of molybdenum, molybdenum-based
chemicals, and manufacturer of wire and cable products.

Phelps Dodge has operations in Venezuela, Thailand, China, the
Philippines, United Kingdom, among others.

                        *    *    *

On June 26, 2006, Moody's Investors Services has placed Phelps
Dodge's Ba1 junior preferred shelf rating in CreditWatch for a
possible downgrade.


SOLUTIA INC: Committee Compels Parties to File Final Claims
-----------------------------------------------------------
The Official Committee of Equity Security Holders asks the U.S.
Bankruptcy Court for the Southern District of New York to compel
Monsanto Company and Pharmacia Corp. to file final amended
proofs of claim and file in final form any additional proofs of
claim no later than 21 days after entry of an order directing
them to do so, to provide certainty regarding the alleged amount
of their claims.

Karen B. Dine, Esq., at Pillsbury Winthrop Shaw Pitman LLP, in
New York, relates that the claims will be amongst the largest
and most significant claims asserted in the Collins & Aikman
Corp. and its debtor-affiliates' Chapter 11 cases.  She asserts
that an opportunity to evaluate the claims as fully asserted is
critical for parties:

    -- attempting to develop a plan of reorganization; and
    -- evaluating any and all plans that may be proposed.

Ms. Dine points out that although the alleged resolution of
Monsanto's and Pharmacia's claims has been the major focus of
the Debtors' reorganization strategy, the Debtors have not even
required Monsanto and Pharmacia to file final proofs of claim so
as to enable other parties-in-interest to fairly assess and
evaluate both claims, and in turn, the viability of the Debtors'
strategy.

According to the numerous stipulations between Monsanto,
Pharmacia and the Debtors extending the deadline for Monsanto
and Pharmacia to submit final amended and any additional proofs
of claim in final form, the reason for the extension is because
"Monsanto and Pharmacia are currently in the process of
reviewing these proofs of claim to determine if their Initial
Proofs of Claim should be amended and what additional proofs of
claim they believe they are entitled to file."

With more than two years having passed from the bar date for the
filing of the claims, Monsanto and Pharmacia have had more than
enough time to review the filed claims and will not be
prejudiced or overly burdened by having to file their final
proofs of claim within 21 days of an order, Ms. Dine argues.

On June 7, 2005, the Debtors and Monsanto each publicly
announced that the Debtors, Official Committee of Unsecured
Creditors and Monsanto have reached an agreement on the
principal terms of a plan of reorganization that was
memorialized in a proposed term sheet.  It provided that
Monsanto would:

    -- assume all legacy tort liabilities;

    -- assume some environmental liabilities for specific sites
       that were never owned or operated by Solutia after the
       spin-off from Monsanto;

    -- provide a backstop for a US$250,00,000 rights offering
       that would fund almost all of its retiree medical
       liability for pre-spin retirees and a part of
       environmental liabilities at two of Solutia's sites; and

    -- share responsibility for environmental remediation at
       Solutia's Anniston and Sauget sites.

The Debtors filed their Joint Plan of Reorganization and related
disclosure statement on Feb. 14, 2006.  Although the Plan
currently is likely no longer viable because of, among other
reasons, a material change in the enterprise value of the
Debtors, the Debtors desire to preserve the essential terms of
the global settlement as a basis for any new or amended plan of
reorganization, Ms. Dine says.

However, a fundamental problem with the disclosure statement was
that it completely failed to quantify Monsanto's claims, making
it impossible for the Equity Committee, or any other party, to
evaluate the impact and effect of the proposed global
settlement, Ms. Dine tells the Court.

Ms. Dine asserts that any additional delay would be
significantly prejudicial to the Equity Committee because its
ability to formulate and propose a meaningful plan, and to
evaluate other plan proposals, will largely depend upon having
accurate claim information.

                        About Solutia Inc.

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.  
(Solutia Bankruptcy News, Issue No. 84; Bankruptcy Creditors'
Service, Inc., http://bankrupt.com/newsstand/or 215/945-7000).

In February 2007, Judge Beatty entered a bridge order extending
the Debtors' exclusive period to file a plan until April 30,
2007.


SOLUTIA INC: Wants Open-Ended Lease Decision Deadline
-----------------------------------------------------
Solutia Inc. and its debtor-affiliates ask the U.S. Bankruptcy
Court for the Southern District of New York to extend the time
within which they may assume or reject the Unexpired Leases to
and including 10 days before the Confirmation Hearing of the
modified Plan.

As of April 18, the Debtors are parties to approximately 30
unexpired non-residential real property leases.  Jonathan S.
Henes, Esq., at Kirkland & Ellis LLP, in New York, relates that
the Debtors use the Unexpired Leases in connection with their
operations throughout the world.

Many of the Debtors' offices, from which they conduct key
aspects of their operations, are located on premises subject to
certain of the Unexpired Leases.  The Unexpired Leases are
integral to the continued operation of the Debtors' businesses
and constitute valuable assets of the estates, Mr. Henes tells
Judge Beatty.

The Debtors are currently actively working with their
stakeholders towards finalizing a modified Plan of
Reorganization, which they believe will contemplate the same
assumption and rejection procedures outlined in the Plan for the
Unexpired Leases.  Until the modified Plan is finalized, the
Debtors will not be in a position to make a final determination
to assume or reject the Unexpired Leases, Mr. Henes says.

Mr. Henes assures the Court that the Debtors are current under
the Unexpired Leases and have the financial wherewithal to
continue to make all payments under the Unexpired Leases.

Pursuant to their Plan, the Debtors will inform the
counterparties to the leases at least 10 days prior to the
confirmation hearing of the Debtors' intent to assume any of the
leases.  To the extent an unexpired lease is not assumed under
the Plan, that lease will be rejected.

                        About Solutia Inc.

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.  
(Solutia Bankruptcy News, Issue No. 84; Bankruptcy Creditors'
Service, Inc., http://bankrupt.com/newsstand/or 215/945-7000).

In February 2007, Judge Beatty entered a bridge order extending
the Debtors' exclusive period to file a plan until April 30,
2007.


SUN MICROSYSTEMS: Earns US$67 Million in Third Quarter 2007
-----------------------------------------------------------
Sun Microsystems Inc. reported financial results for its fiscal
third quarter ended April 1, 2007.

Revenues for the third quarter of fiscal 2007 were US$3.3
billion, an increase of 3.3 percent as compared with US$3.2
billion for the third quarter of fiscal 2006.  Total gross
margin as a percent of revenues was 44.5 percent, an increase of
1.5 percentage points, as compared with the third quarter of
fiscal 2006.

Net income for the third quarter of fiscal 2007 on a GAAP basis
was US$67 million, or US$0.02 per share on a diluted basis, as
compared with a net loss of US$217 million, or (US$0.06) per
share, for the third quarter of fiscal 2006.

GAAP net income for the third quarter of fiscal 2007 included:
US$50 million of stock-based compensation charges, US$35 million
of restructuring and related impairment of assets charges,
US$75 million of purchase price accounting adjustments and
intangible asset amortization charges related to acquisitions in
fiscal 2006, benefits for US$5 million of gain on equity
investments, US$54 million of settlement income and US$8 million
of related tax effects.  The net impact of these six items
reduced earnings per share on a diluted basis by approximately
US$0.02.

Cash generated from operations for the third quarter of fiscal
2007 was US$175 million, and cash and marketable debt securities
balance at the end of the quarter was US$5.5 billion.

"With another quarter of profitability, we're seeing continued
progress operationally, strategically and financially, and we
remain committed to our fourth quarter goal of at least 4%
operating profit," Jonathan Schwartz, president and CEO of Sun
Microsystems, said.  "The performance in our Software and
Services businesses confirms the broad appeal of our software
offerings in the quarter, and we look forward to further
extending the reach of the Solaris 10 Operating System and
leveraging strong partnerships with AMD, Fujitsu and Intel.
Along with disciplined financial execution, we're focused on
growth and look forward to increased momentum in the fourth
quarter, fueled by the continued rise of Java, increased
adoption of Solaris and the competitiveness of our core systems
and storage innovations."

Headquartered in Santa Clara, California, Sun Microsystems Inc.
(NASDAQ: SUNW) -- http://www.sun.com/-- provides network  
computing infrastructure solutions that include computer
systems, data management, support services and client solutions
and educational services.  It sells networking solutions,
including products and services, in most major markets worldwide
through a combination of direct and indirect channels.  In
Europe, the company maintains operations facilities and/or sales
offices in the United Kingdom, Hungary, Iceland, Sweden, Turkey,
Ukraine, Croatia, Czech Republic, Denmark, Slovakia, Slovenia,
Switzerland, and The Netherlands.


TONG PARK: Brings In Liquidators from KPMG
------------------------------------------
Howard Smith and Richard Dixon Fleming of KPMG were appointed
joint liquidators of Tong Park Investments Ltd. on April 18 for
the creditors' voluntary winding-up procedure.

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.  


TYSON FOODS: Davenport Raises Rating on Firm's Shares to "Buy"
--------------------------------------------------------------
Davenport & Company analyst Ann H. Gurkin has raised the rating
on Tyson Foods Inc. shares to "buy," from "neutral,"
Newratings.com reports.

The 12-month target price for Tyson Foods shares is set at
US$28.

Ms. Gurkin said in a research note published on April 23 that
Tyson Foods is expected to swing to profits in 2007 considering
the increase in chicken prices and the estimated US$200 million
in cost savings.  According to Ms. Gurkin, Tyson Foods is
expected to report its second quarter earnings per share at
US$0.12, as compared to the earlier estimate of US$0.01 on
account of improved results from the chicken, beef and prepared
foods operations.  

The earnings per share estimate for Tyson Foods in the fiscal
year 2007 was raised to US$0.75 from US$0.50, Newratings.com
states.

Based in Springdale, Arkansas, Tyson Foods, Inc. (NYSE:TSN) --
http://www.tysonfoods.com/-- is a processor and marketer of  
chicken, beef, and pork.  The company produces a wide variety of
protein-based and prepared food products, which are marketed
under the "Powered by Tyson(TM)" strategy.  The company has
operations in China, Japan, Singapore, South Korea, Taiwan, and
the United Kingdom.

                        *     *     *

On Sept. 25, 2006, Moody's Investors Service took a number of
rating actions in relation to Tyson, including the assignment of
a Ba1 rating to the company's:

   -- US$1 billion senior unsecured bank credit facility; and

   -- US$345 million senior unsecured bank term loan for its
      Lakeside Farms Industries Ltd. subsidiary, under a full
      Tyson Foods, Inc. guarantee.


VDU INTERNATIONAL: Claims Filing Period Ends May 30
---------------------------------------------------
Creditors of VDU International Ltd. have until May 30 to send in
their full names, their addresses and descriptions, full
particulars of their debts or claims, and the names and
addresses of their solicitors (if any) to:

         Matthew John Waghorn
         Liquidator
         Oury Clark
         Herschel House
         58 Herschel Street
         Slough
         Berkshire  
         SL1 1PG
         England

Matthew John Waghorn of Oury Clark was appointed liquidator of
the company on April 18.


VONAGE HOLDINGS: Appellate Court Okays Sign-Up of New Customers
---------------------------------------------------------------
The U.S. Court of Appeals for the Federal Circuit has allowed
Vonage Holdings Corp. to continue to sign up new customers while
Vonage appeals a previous court decision that it violated
patents held by Verizon Communications Inc., Jessica E.
Vascellaro of The Wall Street Journal reports.

According to WSJ, the Federal Circuit Court issued Vonage a stay
of the previous court's injunction that would have barred it
from signing up new customers throughout its appeal.

Oral arguments on the matter are set to begin June 25, WSJ says.

                        Verizon Litigation

The Federal Circuit Court's ruling dates back to June 12, 2006,
when Verizon Services Corp., Verizon Laboratories Inc., and
Verizon Communications Inc. filed a suit against Vonage and its
subsidiary Vonage America Inc., with the U.S. District Court
for the Eastern District of Virginia.  

Verizon alleged that the company infringed seven patents in
connection with providing VoIP services and sought injunctive
relief, compensatory and treble damages and attorneys' fees.  
Verizon dismissed its claims with respect to two of its patents
prior to trial, which commenced on Feb. 21.

After trial on the merits, a jury returned a verdict finding
that the company infringed three of the patents-in-suit.  The
jury rejected Verizon's claim for willful infringement, treble
damages, and attorneys' fees, and awarded compensatory damages
in the amount of US$58 million.  The trial court subsequently
indicated that it would award Verizon US$1.6 million in
prejudgment interest on the US$58 million jury award.  The trial
court issued a permanent injunction with respect to the three
patents the jury found to be infringed effective April 12.

According to Vonage, the trial court has permitted the company
to continue to service existing customers pending appeal,
subject to deposit into escrow of a 5.5% royalty on a quarterly
basis.  The trial court also ordered that the company may not
use its technology that was found to be infringing to provide
services to new customers.

In addition, Vonage posted a $66 million bond to stay execution
of the monetary judgment pending appeal.

On April 6, the company filed an appeal with the Federal Circuit
Court regarding the trial court's ruling.

                  Likely Effects of Litigation

The company said in its Form 10-K filing for the year ended
Dec. 31, 2006, with the Securities and Exchange Commission that
that its ongoing patent litigation with Verizon, if determined
against the company, could:

    * result in the loss of a substantial number of existing
      customers or prohibit the acquisition of new customers;

    * lead to an event of default under the terms of the
      company's convertible notes, which could accelerate the
      payment of approximately US$253.6 million of principal and
      interest under the notes;

    * cause the company to accelerate expenditures to preserve
      existing revenues;

    * cause existing or new vendors to require prepayments or
      letters of credit;

    * cause the company to lose access to key distribution
      channels;

    * result in substantial employee layoffs or risk the
      permanent loss of highly-valued employees;

    * materially and adversely affect the company's brand in the
      market place and cause a substantial loss of goodwill;

    * cause the company's stock price to decline significantly
      or otherwise cause the company to fail to meet the
      continued listing requirements of the New York Stock
      Exchange, which could result in the delisting of its
      common stock from the Exchange;

    * materially and adversely affect the company's liquidity,
      including its ability to pay debts and other obligations
      as they become due; and

    * lead to the bankruptcy or liquidation of the company.

                       Reduction-in-Force

On April 11, the company reduced its total workforce by
approximately 10% to reduce costs and improve efficiency.  The
company anticipates incurring a charge of approximately US$5
million, all of which would be for one-time employee
termination benefits.

              Resignation of Chief Executive Officer

On April 12, Michael Snyder stepped down from his position
as Chief Executive Officer and resigned from the company's Board
of Directors, effective April 11.  Jeffrey A. Citron, Chairman
and Chief Strategist was appointed, effective April 11, as the
company's interim Chief Executive Officer and is expected to
serve on a short-term basis.

                      Full Year 2006 Results

For the year ended Dec. 31, 2006, Vonage incurred significant
operating losses since inception and as a result, generated
negative cash flows from operations, and has an accumulated
deficit of US$720.9 million at Dec. 31, 2006.

The company's primary sources of funds has been proceeds from:

    * private placements of its preferred stock,

    * private placement of its convertible notes,

    * an initial public offering of its common stock,

    * operating revenues and borrowings under notes payable from
      its principal stockholder and Chairman, which were
      subsequently converted into shares of the company's
      preferred stock.

In 2005, the company raised proceeds, net of expenses, of:

    * US$195.7 million from the issuance of preferred stock and

    * US$240 million in December 2005 and January 2006 in a
      private placement of convertible notes.

In 2006, the company raised US$491.1 million in net proceeds
from an initial public offering, or IPO, of common stock, which
includes costs of US$1.9 million incurred in 2005.

The company relates that it has used the proceeds from the
convertible note offering and intends to use the proceeds from
the IPO for working capital and other general corporate
purposes, including funding operating losses.

For the year ended Dec. 31, 2006, the company reported a net
loss of US$338,573,000 on revenues of US$607,397,000 compared to
a net loss of US$261,334,000 on revenues of US$269,196,000 for
the year ended Dec. 31, 2005.

At Dec. 31, 2006, the company's balance showed total assets of
US$757,524 and total liabilities of US$574,323.

                           About Vonage

Vonage Holdings Corp. (NYSE:VG) -- http://www.vonage.com/-- is  
a provider of broadband telephone services with over 1.4 million
subscriber lines as of February 8, 2006.  Utilizing its voice
over Internet protocol technology platform, the company offers
feature-rich, low-cost communications services with a call
quality comparable to traditional telephone services.  While
customers in the United States represent over 95% of its
subscriber lines, Vonage continues to expand internationally,
having launched its service in Canada in November 2004, and in
the United Kingdom in May 2005.


WATTSON SHOP: Calls In Liquidators from Tenon Recovery
------------------------------------------------------
Nigel Ian Fox and Carl Stuart Jackson of Tenon Recovery were
appointed joint liquidators of Wattson (Shop Fitters) Ltd. on
March 28 for the creditors' voluntary winding-up procedure.

Tenon Recovery -- http://www.tenongroup.com/-- provides  
accounting and business advice to owner-managed and private
business.

The company can be reached at:

         Wattson (Shop Fitters) Ltd.
         4-6 Countess Wear Road
         Exeter
         EX2 6LG
         England
         Tel: 01392 258 781
         Fax: 01392 420 866


WHITE TOWER: S&P Rates EUR15.15 Million Class E Notes at BB
-----------------------------------------------------------
Standard & Poor's Ratings Services assigned its preliminary
credit ratings to the commercial mortgage-backed variable- and
floating-rate notes to be issued by White Tower Europe 2007-1
PLC, a special purpose entity.
  
There are six loans in this transaction: two in Germany, three
in France, and one in Spain.  The originator of all six loans is
Societe Generale.
  
There is good diversity of rental income from approximately 258
tenancies across the 15 properties that comprise the six loans.
  
                           Ratings List
  
White Tower Europe 2007-1 PLC
   EUR349.55 Million Commercial Mortgage-Backed Variable- And
   Floating-Rate Notes
  
                          Prelim.        Prelim. Amount
           Class          Rating           (Mln. EUR)
           -----          ------            --------
           A              AAA               258.7500
           X              AAA                 0.0003
           B              AA                 25.4500
           C              A                  25.2000
           D              BBB                25.0000
           E              BB                 15.1500


YELL GROUP: Intense Competition Prompts US Profit Warning
---------------------------------------------------------
Yell Group Plc issued a trading update in advance of the May 22
publication of its preliminary financial results for the year
ended March 31, 2007.

In the U.S., the competition environment has intensified
further.  This leads Yell now to believe that U.S. organic
revenue growth for the current financial year is likely to be
just around 3%.  The profit expectation is a dramatic decline
from the 10% growth expected in 2007, Richard Wray writes for
The Guardian.

Yell reiterated its confidence in meeting market expectations
for the financial year to March 31, 2007, considering the rapid
growth of its internet revenues and strong operating cash flow.

Expectations for the U.K. and Spanish businesses are maintained.
The U.K. business continues actively to plan the development of
its marketing and service offer, looking ahead to the favorable
change in printed directory regulation in April next year.  In
Spain, the impact of Yell's actions on revenues and costs is
expected progressively to start to have effect during the year.

"While the underlying share shift towards independent
directories continues in the U.S., the pace of competition has
increased as incumbents seek to protect their share and new
books are published by both independent and incumbents.  In the
longer term, we believe this will lead to a shake-out in the
market.  In the near term, though, it will impact the rate of
our U.S. organic revenue growth," John Condron, Yell Group CEO
disclosed.

As of April 27, Yell shares are trading at 480 pence a share.  

On April 24, shares of the company began to drop after the
company statement.  It dived as much as 17% or 107 pence to
505.5 pence and traded at 509 pence from 613 pence on April 23.  
It cut about GBP800 million from the company's market value.

"The big concerns are going to be with the U.S. market," Charles
Peacock, an analyst at Seymour Pierce in London was quoted by
Bloomberg News as saying.  "Investors will want to know how
intensive the competition will be, how long it will last and how
is this going to impact on earnings," Mr. Peacock added.

Headquartered in Reading, England, Yell Group plc --
http://www.yellgroup.com/-- is an international directories  
business operating in the classified advertising market through
printed, online, and phone media in the U.K. and the US.

                        *     *     *

As reported in the TCR-Europe on April 20, Moody's confirmed its
Ba3 corporate family rating for Yell Group plc. It also assigned
a B1 Probability-of-Default rating to the company.

Standard & Poor's rates Yell's long-term foreign issuer credit
and long-term local issuer credit at BB- with a stable outlook.

                           *********

Monday's edition of the TCR delivers a list of indicative prices
for bond issues that reportedly trade well below par.  Prices
are obtained by TCR editors from a variety of outside sources
during the prior week we think are reliable.  Those sources may
not, however, be complete or accurate.  The Monday Bond Pricing
table is compiled on the Friday prior to publication.  Prices
reported are not intended to reflect actual trades.  Prices for
actual trades are probably different.  Our objective is to share
information, not make markets in publicly traded securities.
Nothing in the TCR constitutes an offer or solicitation to buy
or sell any security of any kind.  It is likely that some entity
affiliated with a TCR editor holds some position in the issuers'
public debt and equity securities about which we report.

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.


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