TCREUR_Public/080115.mbx         T R O U B L E D   C O M P A N Y   R E P O R T E R

                           E U R O P E

           Tuesday, January 15, 2008, Vol. 8, No. 10

                            Headlines




A U S T R I A

BVM HANDELS: Creditors' Meeting Slated for Jan. 30
COCOON TECHNOLOGIES: Creditors' Meeting Slated for Jan. 30
DINIC KEG: Creditors' Meeting Slated for Jan. 29
EVENT SERVICE: Creditors' Meeting Slated for Jan. 30
NETWORK - TIMESYSTEMS: Creditors' Meeting Slated for Jan. 30

RIALTO LLC: Creditors' Meeting Slated for January 29
STEFCO ENGINEERING: Claims Registration Period Ends Jan. 17
WITH US: Vienna Court Orders Business Shutdown


B E L G I U M

POPE & TALBOT: Amends DIP Agreement to Agree to Court DIP Order
POPE & TALBOT: Court Approves Sale of Wood Products Business
POPE & TALBOT: To Sell 3 Pulp Mills to Sinar Mas for US$225 Mln
POPE & TALBOT: Panel Selects Fried Frank as Bankruptcy Counsel
SOLUTIA INC: Joins Panel in Showing Cross-Appeal Issues v. BNY


B U L G A R I A

FIRST INVESTMENT: Fitch Rates EUR500 Million Loan at BB-


D E N M A R K

EASTMAN KODAK: Earns US$37 Million in 2007 Third Quarter


F R A N C E

ANIXTER INTERNATIONAL: Earns US$64.8 Mln in 2007 Third Quarter


G E R M A N Y

H 4 BAUGESELLSCHAFT: Creditors' Meeting Slated for January 24
KLUTH CUSTOMER: Claims Registration Period Ends Jan. 31
MTP HOLDING: Claims Registration Period Ends Jan. 28
NEUKAUF JUNGJOHANN: Claims Registration Period Ends Jan. 25
PROSIEBENSAT.1 MEDIA: Lothar Lanz to Quit as Finance Chief

PROTEC HYDRAULIKVERTRIEB: Claims Period Ends Jan. 29
SRLS GMBH: Creditors' Meeting Slated for February 14
STERSECK GMBH: Claims Registration Ends February 14
VOICE AND MORE: Claims Registration Ends February 13
ZVES GMBH: Claims Registration Ends February 14


I R E L A N D

COMMSCOPE INC: Unit Launches Offer to Buy Back Convertible Notes


I T A L Y

ALITALIA SPA: Italy Endorses Exclusive Talks with Air France-KLM
ANDREW CORP: Commences Tender Offer for 3-1/4% Convertible Notes
TISCALI SPA: Commences EUR150 Million Capital Increase
TISCALI SPA: S&P Assigns B Long-Term Corporate Credit Rating


K A Z A K H S T A N

ASIAN LTD PLUS LLP: Proof of Claim Deadline Slated for Feb. 12
EXPRESS-AUTO LTD: Creditors Must File Claims by Feb. 12
KASPYISKO-ARALSKAYA KOMPANIYA: Claims Filing Period Ends Feb. 12
MONOLIT LLP: Creditors' Claims Due on February 12
MULTIKASSA-KAZAKHSTAN LLP: Claims Registration Ends Feb. 12

OSK-STROY LLP: Proof of Claim Deadline Slated for February 12
PISHEKOMBINAT LLP: Creditors Must File Claims by February 12
PMK-2030 LLP: Claims Filing Period Ends February 12
SPETS STROY-8: Creditors' Claims Due on February 12
UMITKER CJSC: Claims Registration Ends February 12


K Y R G Y Z S T A N

KYRGYZ CONTRACT: Creditors Must File Claims by February 7


N E T H E R L A N D S

BIOMET INC: Reports US$89-Million Net Income in Second Quarter
GLOBAL POWER: Elects David L. Willis as CFO and Sr. Vice Pres.


R U S S I A

AZOTE CJSC: Creditors Must File Claims by Feb. 22
BREAD-SERVICE CJSC: Creditors Must File Claims by Feb. 22
CHERNORECHENSKY LOGGING:Creditors Must File Claims by Feb. 22
GASAUTOREPAIR OJSC: Creditors Must File Claims by Feb. 22
MALMYZHSKY BREWERY: Creditors Must File Claims by Jan. 22

MIKHAILOVMEAT AGRICULTURAL: Claims Filing Period Ends Jan. 22
ROSNEFT OIL: Chechnya Wants to Transfer License to Unit
SOLNTSE OJSC: Creditors Must File Claims by February 22


S W E D E N

AVNET INC: Signs Definitive Pact Acquiring Azzurri Tech


U K R A I N E

CAPELLA U: Proofs of Claim Deadline Set January 16
DELA-ART LLC: Proofs of Claim Deadline Set January 16
FOODCOM-S LLC: Proofs of Claim Deadline Set January 16
INFOCON LLC: Proofs of Claim Deadline Set January 16
KIEV HIGH: Proofs of Claim Deadline Set January 16

MELANTA LLC: Proofs of Claim Deadline Set January 16
NAFTOGAZ NJSC: Fitch Upgrades Ratings to BB- on Budget Approval
RIMEKO-PLUS 2006: Proofs of Claim Deadline Set January 16
S. T. CHERKASSY-TEXTILE: Creditors Must File Claims by Jan. 16
SIRIUS-2004 LLC: Proofs of Claim Deadline Set January 16

TH FOOD: Proofs of Claim Deadline Set January 16
UKRAINIAN INDUSTRIAL-ENERGETIC: Proofs of Claim Due January 16
UKRAINIAN TECHNICAL: Proofs of Claim Deadline Set January 16


U N I T E D   K I N G D O M

ARVINMERITOR: Fitch Cuts Issuer Default Rating to B+ from BB-
BLUESTONE SECURITIES 2008-01: Fitch Rates Class D Notes at BB
CHRYSLER LLC: Confirms OEM Product Agreement with Nissan Motor
CK AQUATICS: Brings In Liquidators from Wilkins Kennedy
FLEXTRONICS INT'L: Dr. Willy Shih Joins Board of Directors

MAGNOLIA 2006-3: Fitch Withdraws Junk Rating on US$28 Mln. Notes
NORTHERN ROCK: Shareholders Ready for Today's Meeting
OBUS PLC: Taps Liquidators from Smith & Williamson

* Large Companies with Insolvent Balance Sheet




                            *********


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


BVM HANDELS: Creditors' Meeting Slated for Jan. 30
--------------------------------------------------
Creditors owed money by LLC BVM Handels- & Transport (FN
215909p) are encouraged to attend the creditors' meeting at
9:30 a.m. on Jan. 30.

The creditors' meeting will be held at:

         The Trade Court of Vienna
         Room 1707
         Vienna
         Austria

Headquartered in Vienna, Austria, the Debtor declared bankruptcy
on Nov. 28, 2007 (2 S 161/07z).

Stefan Langer serves as the court-appointed estate administrator
of the bankrupt's estate.  Annemarie Kosesnik-Wehrle represents
Dr. Langer in the bankruptcy proceedings.

The estate administrator can be reached at:

         Dr. Stefan Langer
         c/o  Dr. Annemarie Kosesnik-Wehrle
         Oelzeltgasse 4
         1030 Vienna
         Austria
         Tel: 712 63 02, 713 61 92
         E-mail: kanzlei@kosesnik-langer.at


COCOON TECHNOLOGIES: Creditors' Meeting Slated for Jan. 30
----------------------------------------------------------
Creditors owed money by JSC Cocoon Technologies (FN 214321d) are
encouraged to attend the creditors' meeting at 10:10 a.m. on
Jan. 30.

The creditors' meeting will be held at:

         The Trade Court of Vienna
         Room 1707
         Vienna
         Austria

Headquartered in Vienna, Austria, the Debtor declared bankruptcy
on Nov. 28, 2007 (2 S 163/07v).

Nikolaus Vogt serves as the court-appointed estate administrator
of the bankrupt's estate.  Eva Riess represents Mag. Vogt in the
bankruptcy proceedings.

The estate administrator can be reached at:

         Mag. Nikolaus Vogt
         c/o  Dr. Eva Riess
         Zeltgasse 3/13
         1080 Vienna
         Austria
         Tel: 402 57 01 33
         Fax: 402 57 01 57
         E-mail: nikolaus.vogt@riess.co.at


DINIC KEG: Creditors' Meeting Slated for Jan. 29
------------------------------------------------
Creditors owed money by KEG DINIC (FN 276354d) are encouraged to
attend the creditors' meeting at 9:30 a.m. on Jan. 29.

The creditors' meeting will be held at:

         The Land Court of Wiener Neustadt
         Room 15
         Wiener Neustadt
         Austria

Headquartered in Kaltenleutgeben, Austria, the Debtor declared
bankruptcy on Nov. 26, 2007 (11 S 116/07f).

Thomas Wanek serves as the court-appointed estate administrator
of the bankrupt's estate.  Valentin Piskernik represents Dr.
Wanek in the bankruptcy proceedings.

The estate administrator can be reached at:

         Dr. Thomas Wanek
         c/o Mag. Valentin Piskernik
         Hochstrasse 31
         2380 Perchtoldsdorf
         Austria
         Tel: 01/86 93 888
         Fax: 01/86916 60 33
         E-mail: anwalt@aon.at


EVENT SERVICE: Creditors' Meeting Slated for Jan. 30
----------------------------------------------------
Creditors owed money by LLC event service (FN 273014t) are
encouraged to attend the creditors' meeting at 10:30 a.m. on
Jan. 30.

The creditors' meeting will be held at:

         The Trade Court of Vienna
         Room 1707
         Vienna
         Austria

Headquartered in Vienna, Austria, the Debtor declared bankruptcy
on Nov. 28, 2007 (2 S 164/07s).

Walter Kainz serves as the court-appointed estate administrator
of the bankrupt's estate.  Katharina Twaroch-Nowak represents
Dr. Kainz in the bankruptcy proceedings.

The estate administrator can be reached at:

         Dr. Walter Kainz
         c/o  Mag. Katharina Twaroch-Nowak
         Gusshausstrasse 23
         1040 Vienna
         Austria
         Tel: 505 88 31
         Fax: 505 94 64
         E-mail: kanzlei@kainz-wexberg.at


NETWORK - TIMESYSTEMS: Creditors' Meeting Slated for Jan. 30
------------------------------------------------------------
Creditors owed money by LLC NETWORK - TIMESYSTEMS - ARTNER-RAUCH
(FN 171070z) are encouraged to attend the creditors' meeting at
9:00 a.m. on Jan. 30.

The creditors' meeting will be held at:

         The Land Court of Korneuburg
         Room 204
         Second Floor
         Korneuburg
         Austria

Headquartered in Korneuburg, Austria, the Debtor declared
bankruptcy on Nov. 29, 2007 (36 S 138/07x).

Horst Winkelmayr serves as the court-appointed estate
administrator of the bankrupt's estate.  Carl Knittl represents
Mag. Winkelmayr in the bankruptcy proceedings.

The estate administrator can be reached at:

         Mag. Horst Winkelmayr
         c/o Dr. Carl Knittl
         Hauptplatz 15
         2100 Korneuburg
         Austria
         Tel: 02262/724 35
         Fax: 02262/724 35 50
         E-mail: rae@kniwi.at


RIALTO LLC: Creditors' Meeting Slated for January 29
----------------------------------------------------
Creditors owed money by LLC RIALTO (FN 159118y) are encouraged
to attend the creditors' meeting at 9:45 a.m. on Jan. 29.

The creditors' meeting will be held at:

         The Trade Court of Vienna
         Room 1607
         Vienna
         Austria

Headquartered in Vienna, Austria, the Debtor declared bankruptcy
on Nov. 27, 2007 (28 S 143/07v).  Maximilian Schludermann serves
as the court-appointed estate administrator of the bankrupt's
estate.

The estate administrator can be reached at:

         Dr. Maximilian Schludermann
         Reisnerstrasse 32/12
         1030 Vienna
         Austria
         Tel: 715 50 45
         Fax: 715 50 474
         E-mail: office@anwalt-vienna.at


STEFCO ENGINEERING: Claims Registration Period Ends Jan. 17
-----------------------------------------------------------
Creditors owed money by LLC STEFCO Engineering-Produktions- und
Handel (FN 241854v) have until Jan. 17 to file written proofs of
claim to court-appointed estate administrator Thomas Zeitler at:

         Dr. Thomas Zeitler
         Eisenhandstrasse 15
         4020 Linz
         Austria
         Tel: 0732/775544-11
         Fax: 0732/775544-10
         E-mail: insolvenz@bzp.at

Creditors and other interested parties are encouraged to attend
the creditors' meeting at 9:30 a.m. on Jan. 21 for the
examination of claims.

The meeting of creditors will be held at:

         The Land Court of Linz
         Room 522
         Fifth Floor
         Linz
         Austria

Headquartered in Pasching, Austria, the Debtor declared
bankruptcy on Nov. 23, 2007 (Bankr. Case No. 12 S 75/07b).


WITH US: Vienna Court Orders Business Shutdown
----------------------------------------------
The Trade Court of Vienna entered Nov. 23, 2007, an order
shutting down the business of LLC With us (FN 212441p).

Court-appointed estate administrator Johannes Leon 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. Johannes Leon
         Reichsratsstrasse 5
         1010 Vienna
         Austria
         Tel: 402 15 54
         Fax: 402 15 54 54
         E-mail: offce@leonlaw.at

Headquartered in Vienna, Austria, the Debtor declared bankruptcy
on Nov. 15, 2007 (Bankr. Case No. 5 S 123/07h).


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


POPE & TALBOT: Amends DIP Agreement to Agree to Court DIP Order
---------------------------------------------------------------
R. Neil Stuart, vice president and chief financial officer of
Pope & Talbot Inc., has disclosed in a regulatory filing with
the United States Securities and Exchange Commission, that the
P&T Inc. and Pope & Talbot Ltd., entered into a first amendment
and waiver to its debtor-in-possession credit and security
agreement with Ableco Finance LLC, Wells Fargo Financial
Corporation Canada and certain other lenders effective as of
Dec. 20, 2007.

According to Mr. Stuart, the Amendment was necessary to conform
the DIP Agreement to the U.S. Bankruptcy Court for the District
of Delaware's final DIP order, dated Dec. 7, 2007.

The First Amendment modifies the DIP Agreement to provide one
business day's grace period in respect of the requirements to
deliver variance reports to lenders, Mr. Stuart said.

Under the First Amendment, Mr. Stuart clarifies, the lenders
also waive any default or event of default under the DIP
Agreement, resulting from the occurrence of a material adverse
deviation from the budget during certain prior periods with
respect to disbursements for professional fees, chemicals, and
utilities/energy set forth in the budget.

A full-text copy of the First Amendment is available for free at
the U.S. Securities and Exchange Commission:

              http://researcharchives.com/t/s?26fd

As reported in the Troubled Company Reporter on Dec. 13, 2007,
the Hon. Christopher S. Sontchi granted the Pope & Talbot Inc.
and its debtor-affiliates authority, on a final basis, to borrow
up to US$18,000,000 in term loans and up to US$71,062,301 in
revolving credit from Wells Fargo Financial Corporation, as DIP
administrative agent, and Ableco Financial LLC, as DIP
collateral agent.

                       About Pope & Talbot

Headquartered in Portland, Oregon, Pope & Talbot Inc. (Other
OTC:PTBT.PK) -- http://www.poptal.com/-- is a pulp and wood
products business.  Pope & Talbot was founded in 1849 and
produces market pulp and softwood lumber at mills in the U.S.
and Canada.  Markets for the company's products include the
U.S., Europe, Canada, South America and the Pacific Rim.

The company and its U.S. and Canadian subsidiaries applied for
protection under the Companies' Creditors Arrangement Act of
Canada on Oct. 28, 2007.  The Debtors' CCAA Stay expires
on Jan. 16, 2008.

The company and fourteen of its debtor-affiliates filed for
Chapter 11 protection on Nov. 19, 2007 (Bankr. D. Del. Lead Case
No. 07-11738).  Shearman & Sterling LLP is the Debtor's
bankruptcy counsel, while Laura Davis Jones, Esq. at Pachulski,
Stang, Ziehl & Jones L.L.P. represents the Debtors as bankruptcy
co-counsel.  When the Debtors filed for bankruptcy, they listed
total assets of US$681,960,000 and total debts of
US$601,090,000.

The Debtors' exclusive period to file a plan expires on
March 18, 2008.

Pope & Talbot Pulp Sales Europe, LLC, a subsidiary, on Nov. 21,
2007, filed an application for relief under Belgian bankruptcy
laws in the commercial court in Brussels.  If the Belgian court
grants Pope & Talbot Europe's application, it is expected it
will be liquidated through the bankruptcy proceeding.  (Pope &
Talbot Bankruptcy News, Issue No. 11; Bankruptcy Creditors'
Service Inc., http://bankrupt.com/newsstand/or 215/945-7000).


POPE & TALBOT: Court Approves Sale of Wood Products Business
------------------------------------------------------------
The United States Bankruptcy Court for the District of Delaware
has approved the sale, pursuant to an amended purchase
agreement, of Pope & Talbot Inc. and its debtor-affiliates' wood
products business to International Forest Products Limited for
US$69,000,000.

The Hon. Christopher S. Sontchi authorized and approved in all
respects, the other terms and conditions of the Interfor APA,
including:

   -- the Debtors' assumption of, and the assignment to
      Interfor of, certain business contracts and leases;

   -- Interfor's assumption of certain assumed liabilities;

   -- performance under a transition services agreement between
      the Debtors and Interfor.

The Court held that the transfer of the Debtors' Wood Products
Business constitutes a legal, valid and effective transfer of
the Assets.  The Sale will vest Interfor with all the rights,
title and interest of the Debtors in and to the Wood Products
Business.

The liens and security interest of lenders under the DIP Loan
Agreement and the Prepetition Credit Agreement will attach to
the proceeds of the Sale with the same priority, validity, force
and effect as the interests existed immediately prior to the
closing date of the Sale.

The Court also authorized and directed Interfor to pay, by the
Closing Date, the cure costs with respect to each Business
Contract and Lessor Lease.  The Cure Cost payments will be
deducted from the Purchase Price.  Upon payment of the Cure
Costs, all defaults and other obligations of the Debtors under
the Business Contracts and Lessor Leases arising or accruing
prior to Jan. 7, 2007, the Approval Date, will be deemed cured
in all respects.

The APA may not be assigned, the Court held, by operation of law
or otherwise without the express written consent of the Debtors
and Interfor, which may be granted or withheld in the sole
discretion of the Debtors or Interfor.

Prior to closing date of the Interfor APA, Interfor may assign
its right to purchase any of the Debtors' mills to any other
person.  However, the assignment will not relieve Interfor of
any of its obligations to the Debtors, the Court clarified.
Moreover, the assignment should in no way delay the sale of the
Debtors' Wood Products Business under the Interfor APA.

In the event of any assignment, references to Interfor in the
Interfor APA, with certain exceptions, are deemed to apply
mutatis mutandis, to Interfor's assignee with respect to the
rights assigned.

The Debtors will be relieved from any liability for any breach
of the Business Contracts or Lessor Leases, upon assignment by
the Debtors to Interfor of the  Business Contracts or Lessor
Leases, Judge Sontchi ruled.

                         Other Provisions

Prior to the Court's approval of the Interfor APA, five
creditors objected to the Debtors' then proposed assumption and
assignment of certain leases to Interfor.  The Lessor Creditors
are Automotive Rentals Inc., Burlington Northern Santa Fe
Railway Co., Winthrop Resources Corporation, Caterpillar
Financial Services Corporation and Besler Inc.

The Interfor Sale Approval Order addresses the objections of
three of the Lessors.  The Sale Order provides that the
prepetition Cure Cost associated with Automotive Rental will be
US$3,479.  The Court directs the Debtors to make all
postpetition payments due and owing to Automotive Rental prior
to the Closing Date, including payments on outstanding
postpetition invoices for US$6,859.

Judge Sontchi has determined that the prepetition Cure Cost
associated with two CAT Financial Leases will be US$15,760, the
payment of which will be made by the Debtors to CAT Financial
prior to the Closing Date, in the ordinary course of business.

At Winthrop's behest, the Court prohibits the Debtors from
assigning to Interfor a Winthrop lease dated Jan. 1, 2005.  The
Debtors are also not permitted to sell or transfer certain
equipment identified in the Winthrop Lease.

The Court held that an alleged lien of Besler will attach to the
proceeds of the Sale with the same priority, validity, force and
effect, if any, it now has against the property charged with the
Besler Lien, and subject to any claims and defenses the Debtors
and any party-in-interest may possess.

                   Additional Leases & Contracts

The Court allows the Debtors to add four leases that were not
included in the original schedule of leases to be assumed and
assigned to Interfor.  The four Leases are:

   -- a sublease between Pope & Talbot Lumber Sales Inc., as
      sublessor, and Inland Empire Distribution Systems Inc., as
      sublessee, dated Sept. 13, 2005, located at 3808 N.
      Sullivan Road, in Spokane Valley, Washington 99216;

   -- a lease between Pope & Talbot Inc., as lessor, and the
      city of Spearfish, as lessee, dated March 18, 1991,
      located at College Lane, in Spearfish, South Dakota 57783;

   -- a lease agreement between P&T Inc., as lessor, and Warren
      Golliher, as lessee, dated April 1, 2007, located at West
      Oliver Street, in Spearfish, South Dakota 57783; and

   -- a lease agreement between P&T Inc., as lessor, and Roger
      Tellinghuisen, as lessee, dated March 1, 2006, located at
      West Oliver Street, in Spearfish, South Dakota 57783.

                       Shared Contracts

The Court allows the inclusion of nine shared contracts into the
Debtors' schedules, under which the Debtors reserve their right
to seek to assume and assign, under U.S. or Canadian law, only
those parts of the Shared Contracts that relate to the Wood
Products Business, and take no action to assume or reject the
remaining parts of the Shared Contracts.

A full-text copy of the Debtors' Shared Contracts is available
for free at http://researcharchives.com/t/s?26fb

A full-text copy of the Interfor APA Approval Order is available
for free at http://researcharchives.com/t/s?26fc

                  Wells Fargo Consents to Sale

Wells Fargo Financial Corporation, as administrative agent for
the revolving lenders party to the Debtors' DIP Loan Agreement,
consents to the proposed sale of the Debtors' Wood Products
Business to Interfor.

Wells Fargo, however, seeks that deductions from the purchase
price set forth in the Interfor APA, and any payments of
forestry services amounts, interim or otherwise, owed by the
Debtors, do not exceed US$21,000,000.

To the extend that the Deductions exceed the Deduction Cap,
Wells Fargo does not consent to the proposed sale.

                      Exhibits to be Sealed

As reported in the Troubled Company Reporter on Dec. 28, 2007,
the Debtors sought the Court's permission to file under seal
eight exhibits attached to the Interfor APA.

Kelly Beaudin Stapleton, United States Trustee for Region 3,
objected to the Debtors' sealing request because it was unclear
as to the U.S. Trustee why the information contained on the
Exhibits falls within the enumerated exceptions contained in
Section 107 of the Bankruptcy Code.  The U.S. Trustee also
asserted that the Debtors have to prove that the disclosure of
the information contained in the exhibits would create an
"unfair advantage" to the Debtors' competitors.  Furthermore,
the U.S. Trustee told the Court that she had not been provided
with copies of the exhibits.

Upon consideration, Judge Sontchi authorized the Debtors to file
under seal three exhibits to the Interfor APA:

   (a) Exhibit 1.01(f) -- Principles and Procedures for
                          Inventory Valuation

   (b) Exhibit 1.01(g) -- Formula for Determining Target
                          Inventory Adjustment

   (c) Exhibit 6.01    -- Salaried Employees

               Canadian Court Approves Interfor APA

Interfor obtained on Jan. 7, 2008, the British Columbia
Supreme Court's approval to purchase three sawmills from Pope &
Talbot, Allan Dowd at Reuters reports.

Interfor subsequently disclosed its plan to sell one of the
sawmills, Reuters adds.  Mr. Dowd relates that in a statement
released by Interfor, the firm revealed that it has closed a
deal to sell the Spearfish mill to Neiman Enterprises Inc., a
family owned company in Hulett, Wyoming, for US$14,000,000 plus
working capital.

According to Reuters, the mill purchase is still awaiting some
regulatory approval, but Interfor expects the transaction to
close by the end of March 2008.

                       Monitor's Comments

PricewaterhouseCoopers Inc., as monitor of the proceedings
commenced by Pope & Talbot Ltd. and its subsidiaries under the
Companies' Creditors Arrangement Act, notes that differences in
U.S. and Canadian law in relation to contracts to be assigned
suggest different treatment of them in insolvency proceedings.

Under Canadian law, the Monitor explains, a CCAA court has
greater power to compel the assignment of contracts and
subsequently enjoin any ability of a counterparty to terminate
the contracts by reason of the prior uncured defaults
compromised under the CCAA or by reason of the financial
condition of the assignee purchaser.

According to the Monitor, the ultimate effect of the Interfor
APA may see some creditors' pre-filing debt paid, by reason of
the selection by Interfor to continue their contract.

The Monitor states that the effect of the cure payments may be
inconsistent with Canadian insolvency law, and may affect the
requirement for harmonization of the joint proceedings.

As reported in the Troubled Company Reporter on Dec. 28, 2007,
Laura Davis Jones, Esq., at Pachulski Stang Ziehl & Jones LLP,
in Wilmington, Delaware, told the Court that since no other bid
was received by the Bid Deadline, "Interfor is deemed the
successful bidder pursuant to the Bidding Procedures and the
Purchase Price, as set forth in the Asset Purchase Agreement."

                      About Pope & Talbot

Headquartered in Portland, Oregon, Pope & Talbot Inc. (Other
OTC:PTBT.PK) -- http://www.poptal.com/-- is a pulp and wood
products business.  Pope & Talbot was founded in 1849 and
produces market pulp and softwood lumber at mills in the U.S.
and Canada.  Markets for the company's products include the
U.S., Europe, Canada, South America and the Pacific Rim.

The company and its U.S. and Canadian subsidiaries applied for
protection under the Companies' Creditors Arrangement Act of
Canada on Oct. 28, 2007.  The Debtors' CCAA Stay expires
on Jan. 16, 2008.

The company and fourteen of its debtor-affiliates filed for
Chapter 11 protection on Nov. 19, 2007 (Bankr. D. Del. Lead Case
No. 07-11738).  Shearman & Sterling LLP is the Debtor's
bankruptcy counsel, while Laura Davis Jones, Esq. at Pachulski,
Stang, Ziehl & Jones L.L.P. represents the Debtors as bankruptcy
co-counsel.  When the Debtors filed for bankruptcy, they listed
total assets of US$681,960,000 and total debts of
US$601,090,000.

The Debtors' exclusive period to file a plan expires on
March 18, 2008.

Pope & Talbot Pulp Sales Europe, LLC, a subsidiary, on Nov. 21,
2007, filed an application for relief under Belgian bankruptcy
laws in the commercial court in Brussels.  If the Belgian court
grants Pope & Talbot Europe's application, it is expected it
will be liquidated through the bankruptcy proceeding.  (Pope &
Talbot Bankruptcy News, Issue No. 11; Bankruptcy Creditors'
Service Inc., http://bankrupt.com/newsstand/or 215/945-7000).


POPE & TALBOT: To Sell 3 Pulp Mills to Sinar Mas for US$225 Mln
---------------------------------------------------------------
Pope & Talbot, Inc. has agreed to sell three pulp mills to one
or more affiliates within the Sinar Mas Group.  The value of the
transaction to Pope & Talbot is approximately US$225 million,
including the assumption of certain liabilities and US$100
million of working capital proceeds that is not subject to the
sale, to be realized after closing.  The three pulp mills,
located in Nanaimo, British Columbia, Mackenzie, British
Columbia and Halsey, Oregon are producers of high-quality
softwood pulp.

"We are delighted with this development, as this is an important
milestone in maximizing value for our stakeholders," Harold
Stanton, Pope & Talbot President and CEO, said.  "The past 6
months have been very trying on our folks and it is exciting
that they will have the opportunity to join a world class pulp
and paper producer like Sinar Mas Group."

A spokesperson for Sinar Mas Group stated that "Sinar Mas is
pleased to have entered into this agreement since it represents
an important step in our global strategy for pulp and paper.  We
look forward to working closely with management, labor unions
and employees to ensure that the pulp business of Pope & Talbot
is stabilized, strengthened and enhanced through the obvious
synergies and growth potential presented by our existing pulp
and paper business."

The sale is subject to approval by the U.S. Bankruptcy Court and
the Canadian Court, and will be effected under procedures that
provide for opportunity for other parties to submit competing
proposals subject to court approved bidding procedures and
protections for the purchaser(s).  The transaction is also
subject to customary regulatory approvals in Canada and the
United States, and Pope & Talbot expects to receive such
approvals and close the transaction in the first quarter of
2008.

                         About Sinar Mas

Sinar Mas Group is a global enterprise with significant
interests in pulp and paper in Indonesia, China and elsewhere.
Sinar Mas is the largest producer of pulp and paper in Asia and
is one of the top five in the world.

                        About Pope & Talbot

Headquartered in Portland, Oregon, Pope & Talbot Inc. (Other
OTC:PTBT.PK) -- http://www.poptal.com/-- is a pulp and wood
products business.  Pope & Talbot was founded in 1849 and
produces market pulp and softwood lumber at mills in the U.S.
and Canada.  Markets for the company's products include the
U.S., Europe, Canada, South America and the Pacific Rim.

The company and its U.S. and Canadian subsidiaries applied for
protection under the Companies' Creditors Arrangement Act of
Canada on Oct. 28, 2007.  The Debtors' CCAA Stay expires
on Jan. 16, 2008.

The company and fourteen of its debtor-affiliates filed for
Chapter 11 protection on Nov. 19, 2007 (Bankr. D. Del. Lead Case
No. 07-11738).  Shearman & Sterling LLP is the Debtor's
bankruptcy counsel, while Laura Davis Jones, Esq. at Pachulski,
Stang, Ziehl & Jones L.L.P. represents the Debtors as bankruptcy
co-counsel.  When the Debtors filed for bankruptcy, they listed
total assets of US$681,960,000 and total debts of
US$601,090,000.

The Debtors' exclusive period to file a plan expires on
March 18, 2008.

Pope & Talbot Pulp Sales Europe, LLC, a subsidiary, on Nov. 21,
2007, filed an application for relief under Belgian bankruptcy
laws in the commercial court in Brussels.  If the Belgian court
grants Pope & Talbot Europe's application, it is expected it
will be liquidated through the bankruptcy proceeding.  (Pope &
Talbot Bankruptcy News; Bankruptcy Creditors' Service Inc.,
http://bankrupt.com/newsstand/or 215/945-7000).


POPE & TALBOT: Panel Selects Fried Frank as Bankruptcy Counsel
--------------------------------------------------------------
The Official Committee of Unsecured Creditors in Pope & Talbot
Inc. and its debtor-affiliates' bankruptcy cases seeks the U.S.
Bankruptcy Court for the District of Delaware's authority to
retain Fried, Frank, Harris, Shriver & Jacobson LLP as its
bankruptcy counsel, nunc pro tunc to Nov. 28, 2007.

Committee Chairman Robert J. Hickey says the Committee wants to
retain Fried Frank because the firm has extensive experience and
knowledge in the field of debtors' and creditors' rights.
Moreover, he adds, Fried Frank's bankruptcy and restructuring
attorneys have developed familiarity with the Debtors' assets,
affairs and businesses through their representation in August
2007, of an ad hoc committee of the Debtors' outstanding 8 2/3
senior notes due 2013 and 8 3/8 debentures due 2013.

As the Committee's counsel, Fried Frank will:

   * provide legal advice with respect to the Creditors
     Committees' rights, powers and duties in the Debtors'
     cases;

   * assist the Creditors Committee in its analysis and
     negotiation of any plan of reorganization and related
     corporate documents;

   * review, analyze, and advise the Creditors Committee with
     respect to documents filed with the Court and respond on
     behalf of the Creditors Committee to any and all
     applications, motions, answers, orders, reports, and other
     pleadings in connection with the administration of the
     Debtors' estates in these bankruptcy cases; and

   * perform any other legal services requested by the Creditors
     Committee in connection with the Debtors' bankruptcy cases
     and the confirmation and implementation of a plan of
     reorganization in these cases.

Mr. Hickey tells the Court that Fried Frank will be paid its
customary hourly rates for services it will render to the
Creditors Committee:

        Professional            Hourly Rate
        ------------            -----------
        Partners               US$685 to US$995
        Of Counsel             US$580 to US$895
        Special Counsel        US$625 to US$745
        Associates             US$340 to US$650
        Legal Assistants       US$170 to US$250

Six Fried Frank professionals are presently expected to have
primary responsibility for providing services to the Creditors
Committee:

        Professional            Hourly Rate
        ------------            -----------
        Brad Eric Scheler          US$995
        Gary L. Kaplan             US$685
        Brian Pfeiffer             US$685
        Craig M. Price             US$565
        Peter Siroka               US$395
        Michael Bimbaum            US$195

Fried Frank also customarily charges its clients for all the
disbursements of reasonable expenses incurred.

Gary Kaplan, a partner of Fried Frank, assures the Court that
his firm is a "disinterested person" as that phrase is defined
in Section 101(14) of the Bankruptcy Code and as modified by
Section 1107(b).

                      About Pope & Talbot

Headquartered in Portland, Oregon, Pope & Talbot Inc. (Other
OTC:PTBT.PK) -- http://www.poptal.com/-- is a pulp and wood
products business.  Pope & Talbot was founded in 1849 and
produces market pulp and softwood lumber at mills in the U.S.
and Canada.  Markets for the company's products include the
U.S., Europe, Canada, South America and the Pacific Rim.

The company and its U.S. and Canadian subsidiaries applied for
protection under the Companies' Creditors Arrangement Act of
Canada on Oct. 28, 2007.  The Debtors' CCAA Stay expires
on Jan. 16, 2008.

The company and fourteen of its debtor-affiliates filed for
Chapter 11 protection on Nov. 19, 2007 (Bankr. D. Del. Lead Case
No. 07-11738).  Shearman & Sterling LLP is the Debtor's
bankruptcy counsel, while Laura Davis Jones, Esq. at Pachulski,
Stang, Ziehl & Jones L.L.P. represents the Debtors as bankruptcy
co-counsel.  When the Debtors filed for bankruptcy, they listed
total assets of US$681,960,000 and total debts of
US$601,090,000.

The Debtors' exclusive period to file a plan expires on
March 18, 2008.

Pope & Talbot Pulp Sales Europe, LLC, a subsidiary, on Nov. 21,
2007, filed an application for relief under Belgian bankruptcy
laws in the commercial court in Brussels.  If the Belgian court
grants Pope & Talbot Europe's application, it is expected it
will be liquidated through the bankruptcy proceeding.  (Pope &
Talbot Bankruptcy News, Issue No. 11; Bankruptcy Creditors'
Service Inc., http://bankrupt.com/newsstand/or 215/945-7000).


SOLUTIA INC: Joins Panel in Showing Cross-Appeal Issues v. BNY
--------------------------------------------------------------
(Belgium)
Solutia Inc. and certain of its subsidiaries and affiliates and
the Official Committee of Unsecured Creditors present issues in
their cross-appeal from the U.S. Bankruptcy Court for the
Southern District of New York's final order granting partial
summary judgment in favor of the Debtors and the Committee.  The
judgment is related to the Debtors' objection to the Bank of New
York's Claim No. 6210.  The Bank of New York is the indenture
trustee for the holders of the 11.25% senior secured notes due
2009.

The cross-appeal encompasses all other orders rendered
appealable, including the memorandum decision on joint motion
for partial summary judgment with respect to Claim No. 6210, as
modified by the errata order entered on Nov. 21, 2007.

The Committee has filed before the Court a motion for the
application of certain postpetition payments made to Bank of New
York on behalf of the 2009 Noteholders in reduction of the
principal amount of the 2009 Noteholders' Claim.  The
Postpetition Interest Motion sought a determination by the Court
as to whether the 2009 Noteholders are receiving and will
continue to receive more than the amount of postpetition cash
interest payments than the 2009 Noteholders are entitled under
Section 506(b) of the Bankruptcy Code.

At a Dec. 10, 2007 hearing on the Postpetition Interest Motion,
the Court opined that the parties had stipulated on the record
to the amount of postpetition cash interest payments due to the
2009 Noteholders, and that the stipulation was reflected in the
Court's Order and Memorandum Decision.

The Court denied, without prejudice, the Committee's request for
application of around US$12,100,000 in postpetition payments
made to Bank of New York, as indenture trustee for the 11.25%
senior secured notes due 2009 issued by Solutia, or its
predecessor, in reduction of the principal amount of the 2009
Noteholders' Claim No. 6210.

The Debtors and the Committee do not agree that the parties made
that stipulation or that the Order or Memorandum Decision
reflect the stipulation or address the issue of postpetition
cash interest.

The Cross-Appellants filed their protective cross-appeal to
resolve these issues:

   (a) Whether the Court, in the Memorandum Decision or Order,
       determined the proper amount of postpetition cash
       interest payments to which the 2009 Noteholders are
       entitled under Section 506(b), as the Court indicated
       on the record at the Dec. 10, 2007, hearing on Cross-
       Appellants' Motion; and

   (b) If so, whether the Court erred in finding that the 2009
       Noteholders are entitled to receive an amount of
       postpetition interest that exceeds the amount due under
       Section 506(b).

As reported in the Troubled Company Reporter on Dec. 5, 2007,
The Bank of New York, as Indenture Trustee for the 2009 Notes,
issued by Solutia and its predecessor, takes an appeal to the
Court under 28 U.S.C. Section 158(a) from each and every part
of:

   (a) the order of the Court denying BNY's request for relief
       from the automatic stay, entered Nov. 26, 2007;

   (b) the Court's November 9 memorandum decision on joint
       motion partial summary judgment with respect to Claim No.
       6210, and the November 26 final order granting partial
       summary judgment in favor of the Debtors and the Official
       Committee of Unsecured Creditors regarding the Debtors'
       objection to BNY's Claim No. 6210; and

   (c) the Court's ruling on BNY's emergency motion for
       reconsideration of the Memorandum Decision on Joint
       Motion for Partial Summary Judgment, issued on
       November 26.

                        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.  Solutia
has operations in Malaysia, China, Singapore, Belgium, and
Colombia.  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 Richard M. Cieri, Esq., Jonathan S.
Henes, Esq., and Michael A. Cohen, Esq., at Kirkland & Ellis
LLP, in New York, as lead bankruptcy counsel, and David A.
Warfield, Esq., and Laura Toledo, Esq., at Blackwell Sanders
LLP, in St. Louis Missouri, as special counsel.  Trumbull Group
LLC is the Debtor's claims and noticing agent.  Daniel H.
Golden, Esq., Ira S. Dizengoff, Esq., and Russel J. Reid, Esq.,
at Akin Gump Strauss Hauer & Feld LLP represent the Official
Committee of Unsecured Creditors, and Derron S. Slonecker at
Houlihan Lokey Howard & Zukin Capital provides the Creditors'
Committee with financial advice. The Official Committee of
Retirees of Solutia, Inc., et al., is represented by Daniel D.
Doyle, Esq., Nicholas A. Franke, Esq., and David M. Brown, Esq.,
at Spencer Fane Britt & Browne, LLP, in St. Louis, Missouri, and
Frank M. Young, Esq., Thomas E. Reynolds, Esq., R. Scott
Williams, Esq., at Haskell Slaughter Young & Rediker, LLC, in
Birmingham, Alabama.

On Feb. 14, 2006, the Debtors filed their Reorganization Plan &
Disclosure Statement.  On May 15, 2007, they filed an Amended
Reorganization Plan and on July 9, 2007, filed a 2nd Amended
Reorganization Plan.  The Bankruptcy Court approved the Debtors'
amended Disclosure Statement on Oct. 19, 2007.  On
Oct. 22, 2007, the Debtor re-filed a Consensual Plan &
Disclosure Statement and on November 29, the Court confirmed the
Debtors' Consensual Plan.

                         *     *     *

As reported in the Troubled Company Reporter on Dec. 10, 2007,
Standard & Poor's Ratings Services assigned its 'B+' loan rating
to Solutia Inc.'s (D/--/--) proposed US$1.2 billion senior
secured term loan and a '3' recovery rating, indicating the
likelihood of a meaningful (50%-70%) recovery of principal in
the event of a payment default.  The ratings are based on
preliminary terms and conditions.

S&P also assigned its 'B-' rating to the company's proposed
US$400 million unsecured notes.


===============
B U L G A R I A
===============


FIRST INVESTMENT: Fitch Rates EUR500 Million Loan at BB-
--------------------------------------------------------
Fitch Ratings has assigned Bulgaria-based First Investment
Bank's EUR500 million medium-term note program Long-term ratings
of 'BB-' for senior unsecured notes, 'B+' for dated subordinated
notes, and 'B' for undated subordinated notes.

The notes will be issued by FIB's subsidiary, First Investment
Finance BV, a private company with limited liability based in
The Netherlands, and backed by the unconditional and irrevocable
guarantee of FIB.  FIB is rated Long-term Issuer Default 'BB-'
with Positive Outlook, Short-term IDR 'B', Individual 'D' and
Support '5'.  FIB's Support Rating Floor is 'No Floor'.

Fitch emphasises that the above ratings are for the general
program; it cannot be assumed that each individual issue under
the program carries the applicable program rating.

For example, in the case of indexed notes, it is possible that
the rating might deviate from the program rating.  The rating
for the senior notes is on a par with FIB's Long-term IDR, and
the ratings for the subordinated notes follow Fitch's notching
policy for subordinated issues. Should the rating of the bank
change, then those ratings assigned to the securities will also
be liable to change.

Founded in 1993, FIB is currently the fifth-largest bank in
Bulgaria by assets.  At end of firs half of 2007, FIB had market
shares of 8% in terms of both loans and deposits.  The bank
remains orientated to corporate clients but continues to
actively expand retail lending.  The bank operated through a
network of 123 branches and 548 ATMs and had 2,002 employees as
at end-September 2007.  Ultimate control of the bank lies in the
hands of two individuals, its founding shareholders, who have
significant interests in the tourism and real estate sectors.
FIB was listed on the Sofia Stock Exchange in May 2007.  It
recently set up a subsidiary bank in Albania.


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


EASTMAN KODAK: Earns US$37 Million in 2007 Third Quarter
--------------------------------------------------------
Eastman Kodak Company reported net income of US$37.0 million for
the third quarter ended Sept. 30, 2007, compared with a net loss
of US$37.0 million in the same period last year.

Sales totaled US$2.58 billion, a decrease of 1% from
US$2.60 billion in the third quarter of 2006.

Digital revenue totaled US$1.59 billion, a 12% increase from
US$1.42 billion.  Traditional revenue totaled US$986.0 million,
a 16% decline from US$1.17 billion in the year-ago quarter.

The company reported third-quarter earnings from continuing
operations of US$29.0 million pre-tax, US$34.0 million after
tax, compared with a loss of US$53.0 million pre-tax,
US$83.0 million after tax in the year-ago period.  This
represents an improvement of US$82.0 million pre-tax and
US$117.0 million after-tax.

Items of net expense impacting comparability in the third
quarter of 2007 totaled US$94.0 million after tax.  The most
significant item was restructuring costs of US$127.0 million
before tax and US$96.0 million after tax.  In the third quarter
of 2006, items of net expense impacting comparability totaled
US$137.0 million after tax, primarily reflecting restructuring
costs.

"I am very pleased with our third-quarter performance, which
represents a milestone in the emergence of the new Kodak," said
Antonio M. Perez, chairman and chief executive officer, Eastman
Kodak Company.  "We delivered solid, value-creating digital
growth, powered by a 12% increase in digital revenue, as well as
expanded gross margins and positive net earnings.  This
increases my confidence in achieving our full-year goals and
positions us well as we enter 2008."

The company's third-quarter earnings from continuing operations,
before interest, other income, net, and income taxes were
US$20.0 million, compared with a loss of US$11.0 million in the
year-ago quarter.

Gross Profit margin was 26.4% for the quarter, up from 25.1%
in the prior year, primarily attributable to lower costs from
manufacturing footprint reductions, offset by adverse silver
and aluminum costs.

Net Cash Generation for the third quarter represented a use of
US$95.0 million, compared with positive cash flow of
US$151.0 million in the year-ago quarter.  This corresponds to
net cash provided by operating activities from continuing
operations of US$1.0 million for the third quarter, compared
with US$237.0 million in the year-ago quarter.

The company's debt level stood at US$1.63 billion as of
Sept. 30, 2007.  This is a US$1.15 billion reduction from the
2006 year-end debt level of US$2.78 billion.

Kodak held US$1.85 billion in cash and cash equivalents as of
Sept. 30, 2007, an increase of US$745.0 million from the  year-
ago period.  This was primarily the result of proceeds from the
company's sale of its Health Group, which was completed in the
second quarter of 2007.

                         Balance Sheet

At Sept. 30, 2007, the company's consolidated balance sheet
showed US$12.93 billion in total assets, US$10.27 billion in
total liabilities and US$2.66 billion in total shareholders'
equity.

Full-text copies of the company's consolidated financial
statements for the quarter ended Sept. 30, 2007, are available
for free at http://researcharchives.com/t/s?26f7

                      About Eastman Kodak

Headquartered in Rochester, New York, Eastman Kodak Co. (NYSE:
EK)-- http://www.kodak.com/-- develops, manufactures, and
markets digital and traditional imaging products, services, and
solutions to consumers, businesses, the graphic communications
market, the entertainment industry, professionals, healthcare
providers, and other customers.

The company has operations in Argentina, Chile, Denmark, Greece,
Jordan, Yemen, Australia, China among others.

                          *     *     *

As reported in the Troubled Company Reporter on Sept. 14, 2007,
Standard & Poor's Ratings Services affirmed its 'B+' corporate
credit rating on Eastman Kodak Co. and removed the ratings from
CreditWatch, where they had been placed with negative
implications on Aug. 2, 2006.  The outlook is negative.


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


ANIXTER INTERNATIONAL: Earns US$64.8 Mln in 2007 Third Quarter
--------------------------------------------------------------
Anixter International Inc. reported net income of US$64.8
million for the third quarter ended Sept. 28, 2007, compared to
net income of US$76.2 million for the same period ended Sept.
29, 2006.  In last year's third quarter the company reported a
gain of US$22.8 million arising primarily from a settlement with
the Internal Revenue Service.  Excluding the settlement from the
prior year third quarter, net income increased 21%.

For the three-month period ended Sept. 28, 2007, sales were
US$1.52 billion, compared to sales of US$1.33 billion in the
same period last year.  Sales in the current quarter included
US$31.7 million from a series of acquisitions completed in the
past year.

Operating income in the third quarter increased 23% to
US$118.2 million as compared to US$96.1 million in the year ago
quarter.  For the latest quarter, operating margins were 7.8%
compared to 7.2% in the third quarter of 2006.

Robert Grubbs, president and chief executive officer, stated,
"The 14% sales growth generated in the current quarter was
particularly encouraging in light of the significant economic
uncertainty that existed during the quarter, especially relating
to the difficult credit environment in the U.S., our largest
market.  Our growth reflects the fact that we continued to see
strong growth in most major geographies and end markets that we
serve on a global basis. Based on our results through the first
nine months we are in a good position to have another record
setting year of sales and earnings."

                    First Nine Month Results

For the nine-month period ended Sept. 28, 2007, sales of
US$4.36 billion produced net income of US$183.0 million.
Included in the 2007 nine-month results were sales of
US$105.0 million from a series of acquisitions completed in the
past year.  Net income in the first nine months of 2007 also
includes a US$2.1 million gain primarily from the settlement of
certain income tax audits occurring during the first six months
of this year.  In the prior year period, sales of US$3.64
billion produced net income of US$156.9 million.  These results
are inclusive of the third quarter 2006 income tax settlement
that added US$22.8 million to the year ago results.

Operating income in the first nine months of fiscal 2007
increased by 32% to US$324.7 million as compared to
US$246.7 million in the year ago period.  Operating margins in
the first nine months of 2007 were 7.4% as compared to 6.8% in
the prior year period.

Cash flow generated from operations was US$10.0 million as
compared to US$17.4 million used in operations in the year ago
quarter.

"Increased working capital requirements associated with our
year-on-year sales growth, combined with two acquisitions
completed in the first nine months for total consideration of
US$41.7 million and the repurchase of US$162.7 million of our
outstanding shares during the first quarter of 2007, have
increased our debt-to-total capital ratio," said said Dennis
Letham, executive vice president-finance.

"At the end of the third quarter that ratio was 49.6% as
compared to 45.7%.  For the third quarter our weighted-average
cost of borrowed capital was 4.3% as compared to 5.5% in the
year ago quarter.  At the end of the third quarter,
approximately 78% percent of our total borrowings of US$1.03
billion had fixed interest rates, either by the terms of the
borrowing agreements or through hedging contracts.  We also had
US$246.9 million of available, unused credit facilities at Sept.
28, 2007, which provide us with the resources to support
continued strong organic growth and to pursue other strategic
alternatives, such as acquisitions, in the coming quarters."

                          Balance Sheet

At Sept. 28, 2007, the company's consolidated balance sheet
showed US$3.03 billion in total assets, US$1.99 billion in total
liabilities, and US$1.04 billion in total stockholders' equity.

Full-text copies of the company's consolidated financial
statements for the quarter ended Sept. 28, 2007, are available
for free at http://researcharchives.com/t/s?26f4

                          About Anixter

Headquartered in Glenview, Illinois, Anixter International Inc.
(NYSE: AXE) -- http://www.anixter.com/-- is a distributor of
communication products, electrical and electronic wire & cable
and a distributor of fasteners and other small parts to Original
Equipment Manufacturers.

The company has nearly US$725 million in inventory of more than
325,000 products, logistics network of 197 warehouses with more
than 5.0 million square feet of space, and has presence in 220
cities in 45 countries, including Indonesia, Australia, China,
France, Hong Kong, India, Malaysia, New Zealand, the
Philippines, Singapore, Spain, Taiwan, Thailand, and the United
Kingdom.

                          *     *     *

To date, Anixter International Inc. carries Fitch Ratings' BB+
Issuer Default Rating and BB- Senior Unsecured Debt Rating.


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


H 4 BAUGESELLSCHAFT: Creditors' Meeting Slated for January 24
-------------------------------------------------------------
The court-appointed insolvency manager for H 4 Baugesellschaft
mbH, Hans-A. Brauer will present his first report on the
Company's insolvency proceedings at a creditors' meeting at
10:55 a.m. on Jan. 24.

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

         The District Court of Cochem
         Hall 100
         First Floor
         Ravenestrasse 39
         56812 Cochem
         Germany

The Court will also verify the claims set out in the insolvency
manager's report at 9:20 a.m. on March 13 at the same venue.

Creditors have until Feb. 15 to register their claims with the
court-appointed insolvency manager.

The insolvency manager can be reached at:

         Hans-A. Brauer
         Jahnstrasse 1
         54550 Daun
         Germany
         Tel: 06592-7061
         Fax: 06592-7344

The District Court of Cochem opened bankruptcy proceedings
against H 4 Baugesellschaft mbH on Dec. 28.  Consequently, all
pending proceedings against the company have been automatically
stayed.

The Debtor can be reached at:

         H 4 Baugesellschaft mbH
         TALO-Haus
         56865 Panzweiler
         Germany

         Attn: Hans Joachim Hein, Manager
         Oberstr. 4
         56865 Moritzheim
         Germany


KLUTH CUSTOMER: Claims Registration Period Ends Jan. 31
-------------------------------------------------------
Creditors of Kluth Customer Care GmbH have until Jan. 31 to
register their claims with court-appointed insolvency manager
Dr. Joerg Nerlich.

Creditors and other interested parties are encouraged to attend
the meeting at 10:05 a.m. on Feb. 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 of Duesseldorf
         Meeting Hall A 341
         Fourth Floor
         Muehlenstrasse 34
         40213 Duesseldorf
         Germany

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

The insolvency manager can be reached at:

         Dr. Joerg Nerlich
         Louise-Dumont-Str. 25
         40211 Duesseldorf
         Germany

The District Court of Duesseldorf opened bankruptcy proceedings
against Kluth Customer Care GmbH on Jan. 1.  Consequently, all
pending proceedings against the company have been automatically
stayed.

The Debtor can be reached at:

         Kluth Customer Care GmbH
         Rigaer Strasse 9
         17493 Greifswald
         Germany

         Attn: Herwig Kluth, Manager
         Kittelbachstr. 52
         40489 Dsseldorf
         Germany


MTP HOLDING: Claims Registration Period Ends Jan. 28
----------------------------------------------------
Creditors of MTP Holding GmbH have until Jan. 28 to register
their claims with court-appointed insolvency manager Martin
Manstein.

Creditors and other interested parties are encouraged to attend
the meeting at 9:45 a.m. on Feb. 27, at which time the
insolvency manager will present his first report on the
insolvency proceedings.

The meeting of creditors will be held at:

         The District Court of Weilheim i.OB
         Meeting Hall E 007
         Waisenhausstr. 5
         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:

         Martin Manstein
         Prannerstr. 11
         80333 Muenchen
         Germany
         Tel: 089/21111500
         Fax: 089/21111555

The District Court of Weilheim i.OB opened bankruptcy
proceedings against MTP Holding GmbH on Jan. 2.  Consequently,
all pending proceedings against the company have been
automatically stayed.

The Debtor can be reached at:

         MTP Holding GmbH
         Hochreuther Str. 4
         82380 Peissenberg
         Germany


NEUKAUF JUNGJOHANN: Claims Registration Period Ends Jan. 25
-----------------------------------------------------------
Creditors of Neukauf Jungjohann Eckernfoerde GmbH have until
Jan. 25 to register their claims with court-appointed insolvency
manager Wolfgang Folger.

Creditors and other interested parties are encouraged to attend
the meeting at 10:08 a.m. on Feb. 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 Flensburg
         Hall A 220
         Flensburg
         Germany

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

The insolvency manager can be reached at:

         Wolfgang Folger
         C/o Ehler, Ermer und Partner
         Wrangelstrasse 17-19
         24937 Flensburg
         Germany

The District Court of Flensburg opened bankruptcy proceedings
against Neukauf Jungjohann Eckernfoerde GmbH on Jan. 1.
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be reached at:

         Neukauf Jungjohann Eckernfoerde GmbH
         Attn: Dieter Jungjohann, Manager
         Norderholm 2
         24395 Gelting
         Germany


PROSIEBENSAT.1 MEDIA: Lothar Lanz to Quit as Finance Chief
----------------------------------------------------------
Lothar Lanz, 59, the Executive Board member of ProSiebenSat.1
Media AG for Finance, Legal Affairs & Human Resources, will be
leaving the company soon.

This was agreed upon in mutual consent by the competent
committee of the Supervisory Board and the CFO.  Lothar Lanz has
been a highly successful CFO and valued member of the leadership
team at ProSiebenSat.1 for more than 11 years.  His contract
ends in June 2009 at a time when he will already have turned 60.
The search for his successor has commenced and Lothar Lanz will
remain with the company until his successor has been appointed,
presumably in summer.

"For more than a decade Lothar Lanz has left his marks during
one of the most dynamic periods of Germany's television
history," Goetz Mauser, Chairman of the Supervisory Board of
ProSiebenSat.1 Media AG and a Partner at Permira, said.  "Being
a reliable partner to the financial community, he managed both
an IPO and two of the biggest mergers within the German media
sector.  In his own calm way, Lanz thereby greatly contributed
to the integration and development of ProSiebenSat.1 Media AG
over the years."

"Lothar Lanz has been an outstanding CFO, a great colleague and
has played a key role in the creation of ProSiebenSat.1 as a
leading integrated broadcaster in Europe," Clive Hollick, Vice-
Chairman of the Supervisory Board of ProSiebenSat.1 Media AG,
and a Partner at Kohlberg Kravis Roberts & Co., said.

Lothar Lanz was a member of the managing board at HSB HYPO
Service-Bank AG in Munich and at Nassauische Sparkasse in
Wiesbaden before joining ProSieben in 1996 as CFO.  He
shepherded ProSieben Media AG through its IPO in 1997 -- the
first IPO of a TV corporation in Germany.  Further highlights of
his career were the merger of ProSieben Media AG with Sat.1 in
2000 and the takeover of SBS Broadcasting Group by
ProSiebenSat.1 in mid-2007."

                      About ProsiebenSat.1

Headquartered in Munich, Germany, ProsiebenSat.1 Media AG --
http://en.prosiebensat1.com/-- broadcasts and produces
TV programs through 24 commercial TV stations, 24 premium Pay TV
channels and 22 radio network.  In June 2007, the ProSiebenSat.1
Group acquired SBS Broadcasting Group.  The company employs
around 6,000 Europe-wide.

                          *     *     *

As of Dec. 4, 2007, ProsiebenSat.1 Media AG carries Moody's
Investors Service Ba1 senior unsecured and corporate family
ratings.


PROTEC HYDRAULIKVERTRIEB: Claims Period Ends Jan. 29
----------------------------------------------------
Creditors of PROTEC Hydraulikvertrieb C. Adam GmbH have until
Jan. 29 to register their claims with court-appointed insolvency
manager Dr. Stephan Schlegel.

Creditors and other interested parties are encouraged to attend
the meeting at 9:30 a.m. on March 11, at which time the
insolvency manager will present his first report on the
insolvency proceedings.

The meeting of creditors will be held at:

         The District Court of Darmstadt
         Hall 14
         Building D
         Mathildenplatz 15
         64283 Darmstadt
         Germany

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

The insolvency manager can be reached at:

         Dr. Stephan Schlegel
         Hauptstrasse 336
         65760 Eschborn
         Germany
         Tel: 06173/9394-0
         Fax: 06173/9394-20.

The District Court of Darmstadt opened bankruptcy proceedings
against PROTEC Hydraulikvertrieb C. Adam GmbH on Jan. 1.
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be reached at:

         PROTEC Hydraulikvertrieb C. Adam GmbH
         Attn: Carsten Adam, Manager
         Auf dem Ruppels 11
         64859 Eppertshausen
         Germany


SRLS GMBH: Creditors' Meeting Slated for February 14
----------------------------------------------------
The court-appointed insolvency manager for SRLS GmbH & Co. KG,
Udo Groener will present his first report on the Company's
insolvency proceedings at a creditors' meeting at 9:00 a.m. on
Feb. 14.

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

         The District Court of Saarbruecken
         Meeting Hall 24
         Second Floor
         Vopeliusstrasse 2
         66280 Sulzbach
         Germany

The Court will also verify the claims set out in the insolvency
manager's report at 9:30 a.m. on March 13 at the same venue.

Creditors have until Feb. 14 to register their claims with the
court-appointed insolvency manager.

The insolvency manager can be reached at:

         Udo Groener
         Faktoreistrasse 4
         66111 Saarbruecken
         Tel: 0681/41010
         Fax: 0681/4101 276

The District Court of Saarbruecken opened bankruptcy proceedings
against SRLS GmbH & Co. KG on Dec. 27, 2007.  Consequently, all
pending proceedings against the company have been automatically
stayed.

The Debtor can be reached at:

         SRLS GmbH & Co. KG
         Attn: Udo Prinz and Leander Schoen, Managers
         Lise-Meitner-Weg 1
         66271 Rilchingen-Hanweiler
         Germany


STERSECK GMBH: Claims Registration Ends February 14
---------------------------------------------------
Creditors of Sterseck GmbH & Co. KG have until Feb. 14 to
register their claims with court-appointed insolvency manager
Ingmar Jarchow.

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

The meeting of creditors will be held at:

         The District Court of Hamburg
         Meeting Hall B405
         Fourth Floor
         Sievkingplatz 1
         20355 Hamburg
         Germany

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

The insolvency manager can be reached at:

         Ingmar Jarchow
         Heuberg 1
         20354 Hamburg
         Germany

The District Court of Hamburg opened bankruptcy proceedings
against Sterseck GmbH & Co. KG on Dec. 21, 2007.  Consequently,
all pending proceedings against the company have been
automatically stayed.

The Debtor can be reached at:

         Sterseck GmbH & Co. KG
         Attn: Martin Felix Sterseck, Manager
         Hallerstrasse 75
         20146 Hamburg
         Germany


VOICE AND MORE: Claims Registration Ends February 13
----------------------------------------------------
Creditors of voice and more GmbH have until Feb. 13 to register
their claims with court-appointed insolvency manager Peter
Steuerwald.

Creditors and other interested parties are encouraged to attend
the meeting at 1:00 p.m. on March 12, at which time the
insolvency manager will present his first report on the
insolvency proceedings.

The meeting of creditors will be held at:

         The District Court of Braunschweig
         Hall E 01
         Martinikirche 8
         38100 Braunschweig
         Germany

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

The insolvency manager can be reached at:

         Peter Steuerwald
         Bruchtorwall 6, D
         38100 Braunschweig
         Germany
         Tel: (05 31) 2 44 80 30
         Fax: (05 31) 2 44 80 80
         E-mail: psteuerwald@hausherr-steuerwald.de

The District Court of Braunschweig opened bankruptcy proceedings
against voice and more GmbH on Dec. 27, 2007.  Consequently, all
pending proceedings against the company have been automatically
stayed.

The Debtor can be reached at:

         voice and more GmbH
         Attn: Gerlinde Putze, Manager
         Spechtweg 1
         38108 Braunschweig
         Germany


ZVES GMBH: Claims Registration Ends February 14
-----------------------------------------------
Creditors of ZVES GmbH have until Feb. 14 to register their
claims with court-appointed insolvency manager Dirk Hammes.

Creditors and other interested parties are encouraged to attend
the meeting at 9:00 a.m. on March 6, at which time the
insolvency manager will present his first report on the
insolvency proceedings.

The meeting of creditors will be held at:

         The District Court of Duisburg
         Meeting Hall C315
         Third Floor
         Kardinal-Galen-Strasse 124-132
         47058 Duisburg
         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:

         Dirk Hammes
         Wilhelmshofallee 75
         47800 Krefeld
         Germany

The District Court of Duisburg opened bankruptcy proceedings
against ZVES GmbH on Dec. 13, 2007.  Consequently, all pending
proceedings against the company have been automatically stayed.

The Debtor can be reached at:

         ZVES GmbH
         Attn: Joerg Franz Riebe, Manager
         Konrad-Adenauer-Ring 9-13
         47167 Duisburg
         Germany


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


COMMSCOPE INC: Unit Launches Offer to Buy Back Convertible Notes
----------------------------------------------------------------
CommScope Inc.'s indirect subsidiary, Andrew Corporation, has
commenced an offer to repurchase any and all of Andrew's
3-1/4% Convertible Subordinated Notes due 2013.

The indenture governing the Notes requires Andrew to make the
offer as a result of CommScope's acquisition of Andrew, by way
of merger, effective Dec. 27, 2007.

Andrew is offering to purchase the Notes for cash at a purchase
price of 100% of their principal amount.  If all of the
outstanding Notes are tendered in the tender offer, the
aggregate purchase price required to purchase the tendered
Notes, and pay accrued interest, is estimated to be
approximately US$167 million.

The tender offer for the Notes will expire at 5:00 p.m., New
York City time, on Feb. 15, 2008, unless extended or earlier
terminated.  Holders may withdraw their tendered Notes at any
time prior to the expiration time.  On Feb. 15, 2008, Andrew
will make a semi-annual interest payment on the Notes to holders
of record on Feb. 1, 2008.

Andrew expects to fund the tender offer from cash advanced by
CommScope, which will utilize its available cash on hand, and
through borrowings under CommScope's existing credit agreement.

As a result of the merger, each US$1,000 principal amount of the
Notes is now convertible at the option of the holder, on the
terms and subject to the conditions of the indenture governing
the Notes, into US$986.15 in cash and 2.304159 shares of
CommScope common stock, subject to adjustment from time to time
and payments for fractional shares, as provided in the
indenture; this represents a conversion price equal to the
consideration payable to Andrew stockholders in the merger of:

    (i) US$13.50 in cash per share of Andrew common stock,
        multiplied by 73.0482; and

   (ii) 0.031543 shares of CommScope common stock, multiplied
        by 73.0482.

On Jan. 9, 2008, the closing price of CommScope common stock on
the New York Stock Exchange was US$42.37 per share.

Holders of Notes may obtain the Notice of Designated Event and
Offer to Purchase from the Information Agent for the offer:

     Georgeson
     26th Floor, 199 Water Street
     New York, NY 10038-3560
     Tel (212) 440-9800 (Banks and brokers)
         (877) 386-8141 (toll free)

                    About Andrew Corporation

Headquartered in Westchester, Illinois, Andrew Corporation
(NASDAQ:ANDW) -- http://www.andrew.com/-- designs, manufactures
and delivers innovative and essential equipment and solutions
for the communications infrastructure market.  Founded in 1937,
the company serves operators and original equipment
manufacturers from facilities in 35 countries.

                       About CommScope Inc.

Based in Hickory, North Carolina, CommScope Inc. (NYSE:CTV) --
http://www.commscope.com/-- is into infrastructure solutions
for communication networks.  CommScope's structured cabling
systems for business enterprise applications includes
SYSTIMAX(R) Solutions(TM) and Uniprise(R) Solutions brands.
It is also the manufacturer of coaxial cable for hybrid fiber
coaxial applications.  CommScope has facilities in Brazil,
Australia, China and Ireland.

                          *     *     *

As reported in the Troubled Company Reporter on Oct. 19, 2007,
Standard & Poor's Ratings Services affirmed its ratings on
CommScope Inc. and Andrew Corp. and removed them from
CreditWatch, where they were placed on June 27, 2007, with
negative implications.  S&P also affirmed the 'BB-' corporate
credit and 'B' subordinated debt ratings for both companies.
The outlook is stable.


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


ALITALIA SPA: Italy Endorses Exclusive Talks with Air France-KLM
----------------------------------------------------------------
Tommaso Padoa Schioppa, Italy's finance minister, has delivered
a letter to Alitalia S.p.A. approving the commencement exclusive
talks with Air France-KLM S.A. over the sale of the government's
49.9% stake in the national carrier, Agenzia Giornalistica
Italia reports.

As reported in the TCR-Europe on Jan. 14, 2008, Air France CEO
Jean-Cyril Spinetta has held preliminary meetings with Alitalia
executives, government officials and trade unions over its
planned acquisition.

During the meetings, Mr. Spinetta confirmed plans to:

   -- acquire 100% of the shares of Alitalia through an
      exchange offer;

   -- acquire 100% of Alitalia convertible bonds; and

   -- immediately inject at least EUR750 million into
      Alitalia through a capital increase, that will be open to
      all shareholders and be fully underwritten by Air France.

Mr. Spinetta also confirmed plans to cut 1,700 jobs, Reuters
relates.  He, however, defended plans to downsize
Alitalia's operations in Milan's Malpensa airport, and assured
that the national carrier will not abandon its slots in the
northern hub.

Mr. Spinetta also revealed that should the French carrier
acquire 100% of Alitalia shares, Air France would list itself in
the Milan bourse.

Mr. Schioppa will represent the Italian government during sale
talks and will evaluate whether to sell to the state's majority
stake in Alitalia, Agenzia Giornalistica Italia says.

                          About Alitalia

Headquartered in Rome, Italy, Alitalia S.p.A. --
http://www.alitalia.it/-- provides air travel services for
passengers and air transport of cargo on national, international
and inter-continental routes.  The Italian government owns 49.9%
of Alitalia.  The company has operations in Argentina.

Despite a EUR1.4 billion state-backed restructuring in 1997,
Alitalia posted net losses of EUR256 million and EUR907 million
in 2000 and 2001 respectively.  Alitalia posted EUR93 million in
net profits in 2002 after a EUR1.4 billion capital injection.
The carrier booked annual net losses of EUR520 million in 2003,
EUR813 million in 2004, EUR168 million in 2005, and
EUR625.6 million in 2006.

Italian Transport Minister Alessandro Bianchi has warned that
Alitalia may file for bankruptcy if the current attempt to sell
the government's 49.9% stake fails.


ANDREW CORP: Commences Tender Offer for 3-1/4% Convertible Notes
----------------------------------------------------------------
Andrew Corporation, CommScope, Inc.'s indirect wholly owned
subsidiary, has commenced an offer to repurchase any and all of
its 3-1/4% Convertible Subordinated Notes due 2013.  The
indenture governing the Notes requires Andrew to make the offer
as a result of CommScope's acquisition of Andrew Corp., by way
of merger, effective Dec. 27, 2007.

Andrew Corp. is offering to purchase the Notes for cash at a
purchase price of 100% of their principal amount. If all of the
outstanding Notes are tendered in the tender offer, the
aggregate purchase price required to purchase the tendered Notes
is estimated to be approximately US$167 million.  The tender
offer for the Notes will expire at 5:00 p.m., New York City
time, on Feb. 15, 2008, unless extended or earlier terminated.
Holders may withdraw their tendered Notes at any time prior to
the expiration time.  On Feb. 15, 2008, Andrew will make a semi-
annual interest payment on the Notes to holders of record on
Feb. 1, 2008.  Andrew expects to fund the tender offer from cash
advanced by CommScope, which will utilize its available cash on
hand, and through borrowings under CommScope's existing credit
agreement.

As a result of the merger, each US$1,000 principal amount of the
Notes is now convertible at the option of the holder, on the
terms and subject to the conditions of the indenture governing
the Notes, into US$986.15 in cash and 2.304159 shares of
CommScope common stock, subject to adjustment from time to time
and payments for fractional shares, as provided in the
indenture; this represents a conversion price equal to the
consideration payable to Andrew stockholders in the merger of
(i) US$13.50 in cash per share of Andrew common stock,
multiplied by 73.0482, and (ii) 0.031543 shares of CommScope
common stock, multiplied by 73.0482.  On Jan. 9, 2008, the
closing price of CommScope common stock on the New York Stock
Exchange was US$42.37 per share.

Neither CommScope nor Andrew Corp.'s Board of Directors, nor any
other person makes any recommendation as to whether holders of
Notes should choose to tender their Notes in the offer, and no
one has been authorized to make such a recommendation.

                       About CommScope

Based in Hickory, North Carolina, CommScope Inc. (NYSE: CTV) --
http://www.commscope.com/-- is a world leader in infrastructure
solutions for communication networks.  Through its SYSTIMAX(R)
Solutions(TM) and Uniprise(R) Solutions brands, CommScope is the
global leader in structured cabling systems for business
enterprise applications.  It is also the world's largest
manufacturer of coaxial cable for Hybrid Fiber Coaxial
applications.  CommScope has facilities in Brazil, Australia,
China and Ireland.

                      About Andrew Corp.

Headquartered in Westchester, Illinois, Andrew Corporation
(NASDAQ: ANDW) -- http://www.andrew.com/-- designs,
manufactures and delivers and essential equipment and solutions
for the global communications infrastructure market.  The
company serves operators and original equipment manufacturers
from facilities in 35 countries including China, India, Italy,
Czech Republic, Argentina, Bahamas, Belize, Barbados, Bermuda
and Brazil.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America Oct.
23, 2007, Standard & Poor's Ratings Services affirmed its
ratings on Andrew Corp. and removed them from CreditWatch, where
they were placed on June 27, 2007, with negative implications.
S&P also affirmed the 'BB-' corporate credit and 'B'
subordinated debt ratings for the company.


TISCALI SPA: Commences EUR150 Million Capital Increase
------------------------------------------------------
The Board of Directors of Tiscali S.p.A. has set the final
conditions of the share capital increase with pre-emption rights
for existing shareholders.

The rights issue, approved by the Board of Directors pursuant to
the delegation by the shareholders' meeting of Aug. 31, 2007,
pursuant to Article 2443 of the Italian Civil Code will
involve the issuance of 149,792,880 ordinary shares nominal
value of EUR0.50, to be offered by way of pre-emption rights to
existing shareholders at the price of EUR1.00 per share and with
a ratio of six new shares each 17 existing shares for a total
issue value of EUR149,792,880.

The pre-emption rights are required to be exercised between
Jan. 14, 2008, and Feb. 1, 2008, and rights will trade on market
between Jan. 14, 2008, and Jan. 25, 2008.

By the end of the month following the pre-emption period,
Tiscali will offer on the stock exchange the unsubscribed
rights, if any pursuant to Article 2441 of the Italian Civil
Code.

Banca IMI S.p.A. and J.P. Morgan Securities Ltd have today
signed an agreement pursuant to which they have underwritten the
rights issue, save for the portion which Renato Soru has
committed to underwrite pro rata to his stake in Tiscali,
corresponding to around 25% of Tiscali's current share capital.

The Italian prospectus, which has been approved by Consob on
Jan. 9, 2008, was published on Jan. 11, 2008, and it will be
made available in Tiscali's headquarters in Cagliari and at the
Italian Stock Exchange's premises in Milan.

"The rights issue approved is another step in the implementation
of our strategic plan's objectives," Tommaso Pompei, CEO of
Tiscali, said.  "Furthermore, the first corporate rating of
Tiscali, issued by S&P, is evidence Tiscali's attention to
reliability and transparency standards towards the market."

                         About Tiscali

Headquartered in Cagliari, Italy, Tiscali S.p.A. --
http://www.tiscali.com/-- offers Internet access in the
country.  The group also operates in other European countries,
serving more than seven million subscribers, of which over 1.5
million are broadband users.

Tiscali posted consecutive net losses for the past years: EUR5.5
million in 1999, EUR101 million in 2000, EUR1.66 billion in
2001, EUR593.1 million in 2002, EUR242.4 million in 2003,
EUR131.8 million in 2004, EUR12.9 million in 2005, and EUR103.6
million in 2006.  It posted EUR3.88 million in net losses on
EUR614.33 million in net revenues for the nine months ended
Sept. 30, 2007.


TISCALI SPA: S&P Assigns B Long-Term Corporate Credit Rating
------------------------------------------------------------
Standard & Poor's Ratings Services assigned its 'B' long-term
corporate credit rating to Tiscali S.p.A., an alternative
provider of Internet, telephony, and TV services in Italy and
the U.K.

At the same time, S&P assigned 'B' long-term debt rating--the
same as Tiscali's corporate credit rating--and '3' recovery
rating to the EUR50 million senior secured term loan taken on by
financing vehicle Tiscali U.K. Holdings Ltd., indicating the
expectation of meaningful (50%-70%) recovery for lenders in the
event of a payment default.

S&P also assigned our 'B+' long-term debt rating (one notch
above the corporate credit rating, reflecting the loan's
superpriority status on the distribution of proceeds) and '2'
recovery rating to Tiscali U.K. Holdings Ltd.'s EUR50 million
senior secured revolving credit facility, indicating the
expectation of substantial (70%-90%) recovery for lenders in the
event of a payment default.  The recovery ratings are
meaningfully influenced by the Italian insolvency regime's
impact on lenders' recovery prospects.  Both loans are
guaranteed by Tiscali S.p.A.

The corporate credit rating was placed on CreditWatch with
positive implications, reflecting the fact that Standard &
Poor's expects to raise it to 'B+' upon satisfactory completion
of Tiscali's announced EUR150 million rights issue in February
2008.  The one-notch upgrade would equally apply to Tiscali's
debt ratings, which were also placed on CreditWatch.

"The ratings are constrained by the group's negative free cash
flow generation--EUR126 million in the first nine months of 2007
-- and high financial leverage primarily from the acquisition in
September 2007 of U.K.-based Internet service provider Pipex
Communications PLC for GBP210 million (EUR273 million)," said
Standard & Poor's credit analyst Leandro de Torres Zabala.
"The ratings are also limited by Tiscali's fairly modest
business scale and its continuing investment phase in its two
markets, which is weighing on operating margins and cash flow
generation."

In the U.K., Tiscali must manage fierce competition in the
broadband market from different players and technology platforms
while successfully integrating Pipex and extracting the planned
synergies.  The Italian business is constrained by its still
small business scale and market share and high capital-
expenditure plans.

The ratings are supported by the group's favorable strategic
positioning in the high-growth broadband markets of the U.K.
(where Tiscali is the fourth-largest broadband provider, with
15% market share) and Italy (fifth-largest broadband provider;
6% market share).  Tiscali offers an attractive triple-play
product (telephony, Internet, and--recently--TV services) in
these markets, which it delivers through its own Internet
protocol-ready core network infrastructure.  The ratings also
acknowledge our expectation of continuous organic earnings
growth, based on Tiscali's strategy of developing its direct
customer base through the deployment of full local loop
unbundling, despite material price pressure.


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


ASIAN LTD PLUS LLP: Proof of Claim Deadline Slated for Feb. 12
--------------------------------------------------------------
LLP Asian Ltd Plus has declared insolvency.  Creditors have
until Feb. 12 to submit written proofs of claims to:

         LLP Asian Ltd Plus
         Office 18-111
         Micro District Samal 12
         Almaty
         Kazakhstan


EXPRESS-AUTO LTD: Creditors Must File Claims by Feb. 12
-------------------------------------------------------
LLP Express-Auto Ltd has declared insolvency.  Creditors have
until Feb. 12 to submit written proofs of claims to:

         LLP Express-Auto Ltd
         Room 203
         Auezov Str. 84
         Almaty
         Kazakhstan


KASPYISKO-ARALSKAYA KOMPANIYA: Claims Filing Period Ends Feb. 12
----------------------------------------------------------------
LLP Kaspyisko-Aralskaya Kompaniya has declared insolvency.
Creditors have until Feb. 12 to submit written proofs of claims
to:

         LLP Kaspyisko-Aralskaya Kompaniya
         Beishishek Str. 39
         Almaty
         Kazakhstan


MONOLIT LLP: Creditors' Claims Due on February 12
-------------------------------------------------
The Specialized Inter-Regional Economic Court of Karaganda has
declared LLP Firm Monolit insolvent.

Creditors have until Feb. 12 to submit written proofs of claims
to:

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


MULTIKASSA-KAZAKHSTAN LLP: Claims Registration Ends Feb. 12
-----------------------------------------------------------
LLP Multikassa-Kazakhstan has declared insolvency.  Creditors
have until Feb. 12 to submit written proofs of claims to:

         LLP Multikassa-Kazakhstan
         Mir Str. 50
         Pavlodar
         140000 Pavlodar
         Kazakhstan


OSK-STROY LLP: Proof of Claim Deadline Slated for February 12
-------------------------------------------------------------
LLP OSK-Stroy has declared insolvency.  Creditors have until
Feb. 12 to submit written proofs of claims to:

         LLP OSK-Stroy
         Office 18-111
         Micro District Samal 12
         Almaty
         Kazakhstan


PISHEKOMBINAT LLP: Creditors Must File Claims by February 12
------------------------------------------------------------
The Specialized Inter-Regional Economic Court of Akmola has
declared LLP Pishekombinat insolvent.

Creditors have until Feb. 12 to submit written proofs of claims
to:

         The Specialized Inter-Regional
         Economic Court of Akmola
         Lesnaya Str. 13
         Micro District Koktal
         Astana
         Kazakhstan
         Tel: 8 (7172) 30-00-15


PMK-2030 LLP: Claims Filing Period Ends February 12
---------------------------------------------------
The Specialized Inter-Regional Economic Court of Karaganda has
declared LLP PMK-2030 insolvent.

Creditors have until Feb. 12 to submit written proofs of claims
to:

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


SPETS STROY-8: Creditors' Claims Due on February 12
---------------------------------------------------
The Specialized Inter-Regional Economic Court of Kostanai has
declared LLP Munai Gas Spets Stroy-8 insolvent.

Creditors have until Feb. 8 to submit written proofs of claims
to:

         The Specialized Inter-Regional
         Economic Court of Kostanai
         Gogol Str. 177a
         Kostanai
         Kazakhstan


UMITKER CJSC: Claims Registration Ends February 12
--------------------------------------------------
The Specialized Inter-Regional Economic Court of Kyzylorda has
declared CJSC Umitker insolvent.

Creditors have until Feb. 12 to submit written proofs of claims
to:

         The Specialized Inter-Regional
         Economic Court of Kyzylorda
         Kyzylorda, Abai ave. 48
         Kyzylorda
         Kazakhstan
         Tel: 8 (32422) 23-56-11


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


KYRGYZ CONTRACT: Creditors Must File Claims by February 7
---------------------------------------------------------
LLC Kyrgyz Contract has declared insolvency.  Creditors have
until Feb. 7 to submit written proofs of claim.

Inquiries can be addressed to (0-555) 36-14-14.


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


BIOMET INC: Reports US$89-Million Net Income in Second Quarter
--------------------------------------------------------------
Biomet Inc. reported financial results for its second fiscal
quarter ended Nov. 30, 2007.

The company earned US$89 million for the three months ended
Nov. 30, 2007, compared to net income of US$104.8 million for
the same period in 2006.

During the second quarter of fiscal year 2008, net sales
increased 11% to US$578.1 million.  Excluding the impact of
foreign currency, net sales increased 8% worldwide.  Excluding
both the impact of foreign currency and instruments, which the
Company discontinued selling to distributors in the United
States in the third quarter of fiscal 2007, worldwide sales
increased 9% during the quarter.

As previously announced, on Sept. 25, 2007, Biomet Inc. merged
with LVB Acquisition Merger Sub, Inc., a wholly owned subsidiary
of LVB Acquisition, Inc.  LVB Acquisition, Inc. is indirectly
owned by investment partnerships directly or indirectly advised
or managed by The Blackstone Group L.P., Goldman Sachs & Co.,
Kohlberg Kravis Roberts & Co. L.P. and TPG Capital.

These financial results have been prepared in a manner that
complies, in all material respects, with generally accepted
accounting principles in the U.S. with the exception of certain
purchase accounting adjustments related to the Merger, including
the effects of the merger-related debt and associated interest
expense.  The company will reflect the purchase accounting
adjustments related to the Merger by the end of fiscal year
2008.

During the second quarter of fiscal year 2008, the company
incurred special charges (pre-tax) of 16.6 million,
approximately half of which related to the previously announced
operational improvement program.

Reported operating income for the second quarter of fiscal year
2008 was US$145.7 million compared to operating income of
US$155.1 million for the second quarter of fiscal year 2007.
Adjusted operating income was US$162.3 million for the second
quarter of fiscal year 2008 compared to US$159.1 million for the
second quarter of fiscal year 2007.  Adjusted net income for the
second quarter of fiscal year 2008 was US$99.1 million compared
to adjusted net income for the second quarter of fiscal year
2007 of US$107.5 million.  Adjusted earnings before interest,
taxes, depreciation and amortization (EBITDA) for the second
quarter of fiscal year 2008 was US$194.4 million as compared to
US$182.5 million in the second quarter of fiscal year 2007.

Biomet's President and Chief Executive Officer Jeffrey R. Binder
stated, "The Company's reconstructive sales category performed
very well again this quarter with accelerated growth continuing
across various product groups within this category, particularly
for knees.  In addition, sales of craniomaxillofacial fixation
and arthroscopy products were also strong during the second
quarter."

Mr. Binder added, "We continue to work to strengthen our trauma
and spine business.  We've built a strong foundation for change
and continue to believe we can reach our goal of producing
positive revenue growth within the Biomet Trauma and Biomet
Spine business during the first half of fiscal year 2009."

                        About Biomet

Based in Warsaw, Indiana, Biomet Inc. (NASDAQ: BMET) and its
subsidiaries design, manufacture, and market products used
primarily by musculoskeletal medical specialists in both
surgical and non-surgical therapy.  Biomet and its subsidiaries
currently distribute products in more than 100 countries,
including the Netherlands, Argentina and Korea.

Biomet Inc. and its subsidiaries design, manufacture, and market
products used primarily by musculoskeletal medical specialists
in both surgical and non-surgical therapy.  Biomet's product
portfolio encompasses reconstructive products, fixation
products, spinal products, and other products.

                        *     *     *

As reported in the Troubled Company Reporter-Latin America on
Sept. 27, 2007, Moody's Investors Service has assigned final
debt ratings to Biomet, Inc. (B2 Corporate Family Rating) in
conjunction with the close of the leveraged buy-out transaction
by a consortium of equity sponsors.  Moody's said the rating
outlook is negative.


GLOBAL POWER: Elects David L. Willis as CFO and Sr. Vice Pres.
--------------------------------------------------------------
Global Power Equipment Group Inc. appointed David L. Willis to
the position of senior vice president and chief financial
officer, effective Jan. 28, 2008.

Mr. Willis will take the place of Mike Hanson who will be
leaving the company to pursue other opportunities.  Mr. Hanson
will remain with the company until the end of February 2008,
allowing for an orderly transition of responsibilities.

"With David's wealth of financial and operations experience, he
is an exceptional addition to our senior management team," said
John Matheson, president and chief executive officer of Global
Power.  "With our executive group now complete, we look forward
to achieving our goals coming out of our successful
reorganization while continuing our focus on running the
business and servicing our customers.  We also thank Mike for
all of his contributions to the company and wish him well with
his future plans."

Mr. Willis has a broad range of leadership experience including
restructuring advisory services, telecommunications and energy
companies and public accounting. Most recently he was with the
restructuring practice of Alvarez and Marsal, a global
professional services firm, where he served clients in advisory
and interim management capacities overseeing the development and
implementation of initiatives to improve operational and
financial performance.

Prior to his restructuring practice, Mr. Willis held positions
with The Williams Companies, an energy and telecommunications
company, and with Ernst & Young.  Mr. Willis received his
Bachelor of Business Administration degree from the Price
College of Business at the University of Oklahoma and
holds a Master of Business Administration from the University of
Tulsa.  He is a Certified Public Accountant and a Certified
Insolvency Restructuring Advisor.

               About Global Power Equipment Group

Based in Oklahoma, Global Power Equipment Group Inc. (Pink
Sheets: GEGQQ) -- http://www.globalpower.com/-- is a design,
engineering and manufacturing firm providing an array of
equipment and services to the energy, power infrastructure and
process industries.  The company designs, engineers and
manufactures a comprehensive portfolio of equipment for gas
turbine power plants and power-related equipment for industrial
operations, and has over 40 years of power generation industry
experience.  The company's equipment is installed in power
plants and in industrial operations in more than 40 countries on
six continents.  In addition, the company provides routine and
specialty maintenance services to nuclear, coal-fired, fossil,
and hydroelectric power plants and other industrial operations.

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 filed for chapter 11 protection on Sept. 28, 2006
(Bankr. D. Del. Case No. 06-11045).  Thomas E. Lauria, Esq.,
Matthew C. Brown, Esq., Gerard Uzzi, Esq., John Cunningham,
Esq., and Frank Eaton, Esq., at White & Case LLP; and Jeffrey M.
Schlerf, Esq., Eric M. Sutty, Esq., and Mary E. Augustine, Esq.,
at The Bayard Firm, represent the Debtors.  Kurtzman Carson
Consultants LLC acts as the Debtors' noticing and claims agent.
At Oct. 31, 2006, Global Power's balance sheet showed total
assetsof US$177,758,000 and total debts of US$99,017,000

Jeffrey S. Sabin, Esq., and David M. Hillman, Esq., at Schulte
Roth & Zabel LLP; and Adam G. Landis, Esq., and Kerri K.
Mumford, Esq., at Landis Rath & Cobb LLP, represent the Official
Committee of Unsecured Creditors.  The Official Committee of
Equity Security Holders is represented by Howard L. Siegel,
Esq., and Steven D. Pohl, Esq., at Brown Rudnick Berlack Israels
LLP.


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


AZOTE CJSC: Creditors Must File Claims by Feb. 22
-------------------------------------------------
Creditors of CJSC Agricultural Chemical Corporation Azote have
until Feb. 22 to submit proofs of claim to:

         V. A. Maksimov
         Competitive Proceedings Manager
         Office 16
         Business Center Olympic
         Olympijsky Pr. 16
         129090 Moscow
         Russia

The Arbitration Court of Moscow commenced competitive
proceedings against the company after finding it insolvent on
Dec. 12, 2007.  The case is docketed under Case No. A41-K2-
10772/07.

The Court is located at:

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

The Debtor can be reached at:

         CJSC Agricultural Chemical Corporation Azote
         Gasprovod Settlement
         Leninsky Raion
         142770 Moscow
         Russia


BREAD-SERVICE CJSC: Creditors Must File Claims by Feb. 22
---------------------------------------------------------
Creditors of CJSC Bread-Service have until Feb. 22 to submit
proofs of claim to:

         A. A. Bondarev
         Competitive Proceedings Manager
         Apartment 35
         Kosmonavtov Pr. 29/12
         Korolev
         141080 Moscow
         Russia

The Arbitration Court of Moscow commenced competitive
proceedings against the company after finding it insolvent on
Dec. 6, 2007.  The case is docketed under Case No. A41-K2-9696/
07.

The Court is located at:

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

The Debtor can be reached at:

         CJSC Bread-Service
         Chaikovskogo Str. 8
         Pushkino
         141200 Moscow
         Russia


CHERNORECHENSKY LOGGING:Creditors Must File Claims by Feb. 22
-------------------------------------------------------------
Creditors of Chernorechensky Logging Plant LLC have until
Feb. 22 to submit proofs of claim to:

         V. G. Staritsyna
         Competitive Proceedings Manager
         P.O. Box 8
         Petrozavodsk
         185030 Karelia
         Russia

The Arbitration Court of Karelia commenced competitive
proceedings against the company after finding it insolvent on
Nov. 29, 2007.  The case is docketed under Case No. A26-3025/
2007.

The Debtor can be reached at:

         Chernorechensky Logging Plant LLC
         Lenina Str. 70
         Pudozh
         186150 Karelia
         Russia


GASAUTOREPAIR OJSC: Creditors Must File Claims by Feb. 22
---------------------------------------------------------
Creditors of OJSC Gasautorepair have until Feb. 22 to submit
proofs of claim to:

         D. S. Pakhtusov
         Competitive Proceedings Manager
         Seregina Str. 20
         305018 Kursk
         Russia

The Arbitration Court of Kursk commenced one-year competitive
proceedings against the company after finding it insolvent on
Oct. 31, 2007.  The case is docketed under Case No. A35-2270/
07g.

The Court is located at:

         The Arbitration Court of Kursk
         K. Marksa Str. 25
         305004 Kursk
         Russia

The Debtor can be reached at:

         OJSC Gasautorepair
         Lenina Str. 104
         Oboyan
         Oboyanskij raion
         306230 Kursk
         Russia


MALMYZHSKY BREWERY: Creditors Must File Claims by Jan. 22
---------------------------------------------------------
Creditors of OJSC Malmyzhsky Brewery have until Jan. 22 to
submit proofs of claim to:

         N. D. Ivshina
         Interim Manager
         P.O. Box 32
         Slobodskoy
         613150 Kirov
         Russia

The Arbitration Court of Kirov will convene at 10:00 a.m. on
May 5 to hear the company's bankruptcy supervision procedure
after finding it insolvent on Dec. 7, 2007.  The case is
docketed under Case No. A28-365/07-234/24.


The Court is located at:

         The Arbitration Court of Kirov
         Room N 209
         K-Libknekhta Str. 102
         610017 Kirov
         Russia

The Debtor can be reached at:

         OJSC Malmyzhsky Brewery
         Krasnaya Str. 3
         Malmyzh
         612920 Kirov
         Russia


MIKHAILOVMEAT AGRICULTURAL: Claims Filing Period Ends Jan. 22
-------------------------------------------------------------
Creditors of Agrifirm Mikhailovmeat Agricultural Production
Cooperative have until Jan. 22 to submit proofs of claim to:

         A. V. Vorobyov
         Competitive Proceedings Manager
         P.O. Box 919
         300025 Tula
         Russia

The Arbitration Court of Ryazan' commenced competitive
proceedings against the company after finding it insolvent on
Nov. 29, 2007.  The case is docketed under Case No. A54-4371/
2007-C19.

The Court is located at:

         The Arbitration Court of Ryazan
         Pochtovaya Str. 43/44
         Ryazan
         Russia

The Debtor can be reached at:

         Agrifirm Mikhailovmeat Agricultural Production
         Cooperative
         Polevaya Str. 1
         Mikhailov
         391710 Ryazan'
         Russia


ROSNEFT OIL: Chechnya Wants to Transfer License to Unit
-------------------------------------------------------
Russia's Chechen Republic wants to transfer the operating
license OAO Rosneft Oil Co. to its OJSC Grozneftegaz unit,
Financial Information Service reports.

The transfer will allow the republican government to direct the
profits from oil sales to the republican budget, FIS relates.
Under the current set up, profits from oil sales go to Rosneft.

FIS cites local reports that Rosneft has no long-term plans to
stay in Chechen and is currently working with violations of
environment conservation and technical safety rules.

                         About Rosneft

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

                         *     *     *

OAO Rosneft Oil Co. carries a BB+ long-term corporate credit
rating from Standard & Poor's Ratings Services.  S&P said the
outlook is positive.


SOLNTSE OJSC: Creditors Must File Claims by February 22
-------------------------------------------------------
Creditors of OJSC Solntse have until Feb. 22 to submit proofs of
claim to:

         V. B. Gulyaev
         Competitive Proceedings Manager
         P.O. Box 208
         173025 Novgorod the Great
         Russia

The Arbitration Court of Novgorod commenced competitive
proceedings against the company after finding it insolvent on
Dec. 6, 2007.  The case is docketed under Case No. A44-
1600/2007.

The Debtor can be reached at:

         OJSC Solntse
         Molodogvardeyskaya Str. 3
         Chudovo
         174210 Novgorod
         Russia


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


AVNET INC: Signs Definitive Pact Acquiring Azzurri Tech
-------------------------------------------------------
Avnet Inc. has entered into a definitive agreement to acquire
the U.K.-based distributor Azzurri Technology Ltd.  Azzurri is
one of Europe's leading design distributors of high technology
semiconductors and embedded systems products.  The closing of
the transaction is subject to customary regulatory approval and
other closing conditions. Upon closing, Azzurri will be
integrated into Avnet Electronics Marketing EMEA primarily
within the Avnet Memec specialist division.

Azzurri has been in business for more than ten years and has
operations in the UK, Germany, France and Italy.  Its annual
revenue is approximately US$100 million and it employs about 80
people.  Azzurri has established a first class reputation for
introducing leading technology products into the European
electronics market.  Azzurri is focused on a small number of
franchised suppliers with the prime objective of assisting
customers with the design-in of complex semiconductors and sub-
system level solutions.

Harley Feldberg, president of Avnet Electronics Marketing,
commented, "Adding Azzurri's design and engineering expertise to
our European team will enhance Avnet Memec's position as the
leading pan-European specialist distributor and will benefit
both customers and suppliers alike.  The acquisition will add
new semiconductor suppliers to Avnet Memec's breadth of product
offerings in microprocessors, microcontrollers and analog
components and expands our presence in Europe's largest
markets."

"Design-in distribution with exceptional service to our
customers and suppliers is the foundation of our company," said
Mike Carlucci, Azzurri's president and CEO.  "Avnet Memec has a
similar approach to the marketplace and that is why the
strategic fit is so strong.  Both companies have much to
gain from working together and merging them will bring many
benefits to employees, suppliers and customers," added Mr.
Carlucci.

With the addition of Mr. Azzurri, Avnet Memec will add talented
employees in several important markets and increase its revenue
base over 40%.  The combined organization's strength in
engineering will be complemented by Avnet's world-class supply
chain management and logistics capabilities.  The transaction is
expected to be immediately accretive to earnings, excluding
minimal integration charges, and supports Avnet's long-term
return on capital goals.

The two organizations share the same market approach, have
complementary line cards and put design and engineering
expertise at the core of their value proposition for customers
and suppliers.  Steve Haynes, president of Avnet Memec EMEA
stated, "I am enthusiastic about this acquisition, not just
because it creates an opportunity to broaden our presence within
our customer base, but also because Azzurri is the ideal match
to Avnet Memec."

                     About Avnet Inc.

Headquartered in Phoenix, Arizona, Avnet, Inc. --
http://www.avnet.com/-- distributes electronic components and
computer products, primarily for industrial customers.  It has
operations in the following countries: Australia, Belgium,
China, Germany, Hong Kong, India, Indonesia, Italy, Japan,
Malaysia, New Zealand, Philippines, Singapore, and Sweden,
Brazil, Mexico and Puerto Rico.

                       *     *     *

Moody's Investors Service affirmed Avnet's Ba1 corporate family
long-term debt ratings in March 2007.  Moody's said the outlook
is positive.


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


CAPELLA U: Proofs of Claim Deadline Set January 16
--------------------------------------------------
Creditors of LLC Capella U (code EDRPOU 34527532) have until
Jan. 16 to submit written proofs of claim to:

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

The Economic Court of Kiev commenced bankruptcy proceedings
against the company after finding it insolvent.  The case is
docketed under Case No. 23/486-b.

The Debtor can be reached at:

         LLC Capella U
         Panas Mirny Str. 16/13A
         01011 Kiev
         Ukraine


DELA-ART LLC: Proofs of Claim Deadline Set January 16
-----------------------------------------------------
Creditors of LLC Gallery of Electronics Dela-Art (code EDRPOU
34834173) have until Jan. 16 to submit written proofs of claim
to:

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

The Debtor can be reached at:

The Economic Court of Kiev commenced bankruptcy proceedings
against the company after finding it insolvent.  The case is
docketed under Case No. 23/553-b.

         LLC Gallery of Electronics Dela-Art
         136 Apartment 34
         Pobeda Avenue
         03115 Kiev
         Ukraine


FOODCOM-S LLC: Proofs of Claim Deadline Set January 16
------------------------------------------------------
Creditors of LLC Company Foodcom-S (code EDRPOU 33448015) have
until Jan. 16 to submit written proofs of claim to:

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

The Economic Court of Kiev commenced bankruptcy proceedings
against the company after finding it insolvent.  The case is
docketed under Case No. 23/479-b.

The Debtor can be reached at:

         LLC Company Foodcom-S
         Artem Str. 37-41
         04053 Kiev
         Ukraine


INFOCON LLC: Proofs of Claim Deadline Set January 16
----------------------------------------------------
Creditors of LLC Infocon (code EDRPOU 31535294) have until
Jan. 16 to submit written proofs of claim to:

         The Economic Court of Donetsk
         Artema Str. 157
         83048 Donetsk
         Ukraine

The Economic Court of Donetsk commenced bankruptcy proceedings
against the company after finding it insolvent.  The case is
docketed under Case No. 45/220b.

The Debtor can be reached at:

         LLC Infocon
         Heroes Panfilovtsev Str. 11
         83005 Donetsk
         Ukraine


KIEV HIGH: Proofs of Claim Deadline Set January 16
--------------------------------------------------
Creditors of LLC Kiev High Building (code EDRPOU 32305010) have
until Jan. 16 to submit written proofs of claim to:

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

The Economic Court of Kiev commenced bankruptcy proceedings
against the company after finding it insolvent.  The case is
docketed under Case No. B 14/439-07.

The Debtor can be reached at:

         Kiev High Building
         Gagarin Str. 14-a
         Malaya Alexandrovka
         Kiev
         Ukraine


MELANTA LLC: Proofs of Claim Deadline Set January 16
----------------------------------------------------
Creditors of LLC Melanta (code EDRPOU 32067820) have until
Jan. 16 to submit written proofs of claim to:

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

The Economic Court of Kiev commenced bankruptcy proceedings
against the company after finding it insolvent.  The case is
docketed under Case No. B 11/368-07.

The Debtor can be reached at:

         LLC Melanta
         Lomonosov Str. 42
         Vishnevoye
         08132 Kiev
         Ukraine


NAFTOGAZ NJSC: Fitch Upgrades Ratings to BB- on Budget Approval
---------------------------------------------------------------
Fitch Ratings has upgraded NJSC Naftogaz of Ukraine's senior
unsecured rating to 'BB-' from 'B+' and removed it from Rating
Watch Negative.  Fitch has affirmed its Recovery Rating at
'RR4'. Naftogaz's Long-term foreign and local currency Issuer
Default Ratings of 'B+' remain on RWN.

This upgrade was precipitated by a state budget provision to
guarantee Naftogaz's existing debt held by non-residents.
Naftogaz's IDRs remain on RWN due to continued uncertainty
surrounding the current and future financial position of the
company.  In February 2008 Naftogaz will undergo a regulatory
price review.  Also, by this time the company's fiscal year 2006
IFRS statement should have been released, and Naftogaz's ratings
will then be reviewed.

On Dec. 30, 2007, the Ukrainian President approved the state
budget for 2008.  The budget contains a provision for guarantee,
by the State, of Naftogaz debt held by non-residents of Ukraine,
for up to a maximum of UAH12 billion.  This provision covers the
company's US$500 million Eurobond maturing in 2009, for which
the senior unsecured rating has been upgraded to 'BB-'.

A resolution of Naftogaz's bondholders on Oct. 25, 2007,
temporarily waived an earlier technical default by the company
after it failed to publish its fiscal yea 2006 IFRS statement by
Aug. 31, 2007.  Naftogaz, however, also failed to publish its
fiscal year 2006 IFRS financial statements by the new deadline
Dec. 31, 2007; this means that until a further waiver is
obtained the company is in technical breach of its 2009 Eurobond
issue documentation (loan participation notes through Standard
Bank London Holding PLC).

Given the budget provision for state guarantee of Naftogaz's
existing debt, Fitch considers that bond investors will likely
agree to a further waiver of the technical default and has
therefore removed Naftogaz's senior unsecured rating from RWN.
Furthermore, given the explicit nature of the guarantee, Fitch
has upgraded the senior unsecured rating to reflect the budget
provision.  There remains a risk related to the administrative
execution of the guarantee, which involves a series of approvals
from relevant ministries should the guarantee be called.  As
such, Fitch views this as sovereign risk relating to the
execution of approved budgets; this risk is reflected in
Naftogaz's senior unsecured rating of 'BB-' (at the same level
as Ukraine's LT IDRs).


RIMEKO-PLUS 2006: Proofs of Claim Deadline Set January 16
---------------------------------------------------------
Creditors of LLC Rimeko-Plus 2006 (code EDRPOU 34003402) have
until Jan. 16 to submit written proofs of claim to:

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

The Economic Court of Kiev commenced bankruptcy proceedings
against the company after finding it insolvent.  The case is
docketed under Case No. 28/473-b.

The Debtor can be reached at:

         LLC Rimeko-Plus 2006
         Apartment 32
         Bielorusskaya Str. 15
         04119 Kiev
         Ukraine


S. T. CHERKASSY-TEXTILE: Creditors Must File Claims by Jan. 16
--------------------------------------------------------------
Creditors of S. T. Cherkassy-Textile (code EDRPOU 32268201) have
until Jan. 16 to submit written proofs of claim to:

         The Economic Court of Cherkassy
         Shevchenko Avenue 307
         18005 Cherkassy
         Ukraine

The Economic Court of Cherkassy commenced bankruptcy supervision
procedure on the company.  The case is docketed under Case No.
01/4663.

The Debtor can be reached at:

         LLC S. T. Cherkassy-Textile
         Chekhov Str. 72
         18000 Cherkassy
         Ukraine


SIRIUS-2004 LLC: Proofs of Claim Deadline Set January 16
--------------------------------------------------------
Creditors of LLC Sirius-2004 (code EDRPOU 33150144) have until
Jan. 16 to submit written proofs of claim to:

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

The Economic Court of Kiev commenced bankruptcy proceedings
against the company after finding it insolvent.  The case is
docketed under Case No. 23/478-b.

The Debtor can be reached at:

         LLC Sirius-2004
         Sokalsky Str. 4
         04074 Kiev
         Ukraine


TH FOOD: Proofs of Claim Deadline Set January 16
------------------------------------------------
Creditors of LLC TH Food Machinery (code EDRPOU 24461042) have
until Jan. 16 to submit written proofs of claim to:

         The Economic Court of Donetsk
         Artema Str. 157
         83048 Donetsk
         Ukraine

The Economic Court of Donetsk commenced bankruptcy proceedings
against the company after finding it insolvent.  The case is
docketed under Case No. 45/219b.

The Debtor can be reached at:

         LLC TH Food Machinery
         Electrovoznaya Str. 25
         83038 Donetsk
         Ukraine


UKRAINIAN INDUSTRIAL-ENERGETIC: Proofs of Claim Due January 16
--------------------------------------------------------------
Creditors of LLC Ukrainian Industrial-Energetic Company (code
EDRPOU 24604932) have until Jan. 16 to submit written proofs of
claim to:

         The Economic Court of Dnipropetrovsk
         Kujbishev Str. 1a
         49600 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 26/390-07.

The Debtor can be reached at:

         LLC Ukrainian Industrial-Energetic Company
         Apartment 10
         Trubnikov Avenue 42
         Nikopol
         53200 Dnipropetrovsk
         Ukraine


UKRAINIAN TECHNICAL: Proofs of Claim Deadline Set January 16
------------------------------------------------------------
Creditors of LLC Ukrainian Technical Industry (code EDRPOU
32876541) have until Jan. 16 to submit written proofs of claim
to:

         The Economic Court of Donetsk
         Artema Str. 157
         83048 Donetsk
         Ukraine

The Economic Court of Donetsk commenced bankruptcy proceedings
against the company after finding it insolvent.  The case is
docketed under Case No. 45/233b.

The Debtor can be reached at:

         LLC Ukrainian Technical Industry
         Letniaya Str. 19/42
         83010 Donetsk
         Ukraine


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


ARVINMERITOR: Fitch Cuts Issuer Default Rating to B+ from BB-
-------------------------------------------------------------
Fitch Ratings has taken these rating actions on ArvinMeritor:

  -- Issuer Default Rating downgraded to 'B+' from 'BB-';

  -- Senior secured revolver affirmed at 'BB' and assigned
     'RR1';

  -- Senior unsecured notes affirmed at 'B+' and assigned
     'RR4'.

The Rating Outlook is Negative.  The ratings affect around
US$1.1 billion of outstanding debt.

The downgrade of the IDR reflects Fitch's expectation for
negative free cash flow in fiscal 2008 and deterioration in
ARM's key credit metrics.  Rating concerns include low margins
in ARM's light vehicle operations, the effects of increased
cyclicality in light vehicle volume (resulting in lower 2008 OEM
production volumes), and expectations of a muted rebound in the
company's heavy vehicle operations.  Partially offsetting
Fitch's concerns, ArvinMeritor has a diversified customer base,
limited exposure to the Detroit Three (revenue from domestic
light vehicle customers represents 9% of total revenue), a
global manufacturing footprint, and strong market positions in
key products.  The company has also made progress in its
restructuring program.

The Recovery Ratings and the notching in the debt structure
reflect Fitch's recovery expectations in a scenario in which
distressed enterprise value is allocated to the various debt
classes, and the RR are explicitly assigned when IDRs are 'B+'
or lower.  The assignment of the 'RR1' recovery rating to the
senior secured revolving credit facility incorporates a
US$200 million reduction in the revolver and an expectation of
full recovery.  The secured facility benefits from first lien
status on certain U.S. assets and a 15% carve-out of
consolidated net tangible assets.  The affirmation of the senior
unsecured 'B+' rating and the assignment of the 'RR4' recovery
rating reflect Fitch's view that unsecured debtholders would
receive, after administrative, priority, trade creditor and
secured claims, 31% to 50% of their investment, which is about
average recovery in a distressed scenario.

The Negative Rating Outlook takes into consideration the
uncertain macro-economic environment which increases the
potential for lower than anticipated light and heavy vehicle
production volumes, higher than expected capital expenditures
and greater restructuring cash requirements.

Fitch believes a return to positive free cash flow in fiscal
2008 is unlikely for ARM due to low margin LVS operations, the
cash needed for capital investment to improve CVS Europe's
efficiency and potential customer volume declines due to a
weakened economy.  Also, Fitch believes LVS' capital
expenditures may need to increase as ARM's annual spending level
as a percent of revenue lags its peers, as LVS moves operations
into low cost countries as well as growth regions where its
customers have migrated and due to shortening light vehicle
makers' product cycles.  While Fitch believes ARM will continue
to experience negative free cash flow in fiscal 2008, free cash
flow is unlikely to deteriorate from 2007 levels, and could be
higher than 2007 levels, for several reasons.  Going forward,
Fitch expects ARM to benefit from already completed LVS
restructuring activity including the divestiture of the
emissions business late in fiscal 2007, investment in Europe CVS
to improve those operations' efficiency beginning in the second
calendar quarter and an increase in second half North American
heavy truck production after a substantial decline in demand in
2007.

The cyclical heavy truck industry continues to affect ARM's
financial performance.  After the divestiture of LVS
discontinued operations, ARM's revenue is roughly 65% generated
from CVS.  The heavy truck industry is coming out of a
legislation-induced cycle-trough year due to emissions
regulations implemented in 2007. U.S. Class 8 unit sales for
calendar 2007 are likely to be in the 148,000 range, dropping
precipitously by 47% from 284,008 units in calendar 2006,
slightly more than Fitch's original expectations of a 35% to 45%
decline.

For 2008, Fitch had been expecting healthy heavy truck demand on
the assumption that sales volume would be more normalized after
the 2006 pull-ahead of 2007 demand.  However, the potential for
an economic slow down in 2008 will likely cause tractor sales
volumes to increase only modestly from 2007 levels as fleet
operators take a cautious wait-and-see approach to investing in
new capacity to better gauge freight demand.  Mitigating the
potential economic impact to Class 8 volume, aging tractors may
become an issue for fleet operators and will eventually need to
be replaced.  As a result, Fitch believes that calendar 2008
U.S. Class 8 unit sales will probably be in the 160,000 to
170,000 unit range, with demand being more heavily weighted
towards the second half of the year.  Since ArvinMeritor's
fiscal year ends Sept. 30, the company should experience a
modest volume benefit in the fourth quarter of fiscal 2008.

ARM's fiscal 2009 free cash flow should benefit from increased
U.S. Class 8 sales volumes due to the implementation of stricter
diesel emissions standards beginning in 2010.  However, a
legislation-induced demand pull-ahead may be muted due to the
early introduction of 2010 compliant engine technology and that
the new engines and exhaust treatments are not expected to be as
costly as the 2007 technology.  LVS revenue generation and cost
reduction efforts should enable even more improvement in margins
for fiscal 2009, supporting the potential for positive free cash
flow.

CVS Europe operations have experienced higher than expected
demand but due to a lack of investment in more flexible
operations, ARM did not capitalize on the higher volume.  The
inefficient European operations contributed to the decline in
consolidated EBITDA for fiscal 2007.  Fitch expects
inefficiencies to continue into at least the first half of
fiscal 2008.  ARM will also increase capital investment in CVS
Europe in the first half of fiscal 2008 to increase operational
flexibility.

ARM's LVS operations may be impacted by domestic volume
declines, although Detroit Three light vehicle sales only
account for 9% of total consolidated revenue.  Through the past
two cycle troughs, domestic manufacturers have reduced
inventories by spurring demand with heavy incentives.  Unlike
the past two cycle downturns, Fitch expects the domestics to be
much more aggressive in cutting production in order to better
manage inventory levels, in part due to greater flexibility
gained in the recent UAW contract

Despite operational difficulties and due in large part to
proceeds from the sale of discontinued operations, ArvinMeritor
maintains good liquidity, including US$409 million in cash and
cash equivalents as of Sept. 30, 2007.  With the exception of
the undrawn US$700 million revolver which expires in 2011, ARM
has no substantial maturities in the next 5 years.  Total debt,
including outstanding securitizations and factoring but
excluding operating leases, declined slightly in fiscal 2007 to
US$1,463 million from US$1,500 million despite negative free
cash flow during the year of US$252 million (negative US$108
million excluding discontinued operations).  ARM was able offset
negative free cash flow with US$310 million in gross proceeds
from the sale of discontinued operations.  The company
substantially increased its utilization of European
securitizations and factoring during fiscal 2007, after paying
off a US$170 million secured term loan and a
US$40 million balance under its U.S. securitization program.

Headquartered in Troy, Michigan, ArvinMeritor Inc. (NYSE: ARM)
-- http://www.arvinmeritor.com/-- supplies integrated systems,
modules and components to the motor vehicle industry.  The
company serves commercial truck, trailer and specialty original
equipment manufacturers and certain aftermarkets, and light
vehicle manufacturers.   ArvinMeritor employs about 29,000
people at more than 120 manufacturing facilities in 25
countries.  These countries are: China, India, Japan, Singapore,
Thailand, Australia, Venezuela, Brazil, Argentina, Belgium,
Czech Republic, France, Germany, Hungary, Italy, Netherlands,
Spain, Sweden, Switzerland, United Kingdom, among others.


BLUESTONE SECURITIES 2008-01: Fitch Rates Class D Notes at BB
--------------------------------------------------------------
Fitch Ratings has assigned final ratings to Bluestone Securities
Series 2008-01's GBP495 million mortgage-backed floating-rate
notes due in December 2044:

   -- Class A1 EUR242.2 million: 'AAA'
   -- Class A2 EUR319 million: 'AAA'
   -- Class Az GBP35.64 million: 'AAA'
   -- Class B GBP39.35 million: 'A'
   -- Class C GBP11.39 million: 'BBB'
   -- Class D GBP7.92 million: 'BB'

Each rated Class in this transaction has a Stable Outlook.

This is Bluestone's fifth issuance from the shelf that it
established in December 2004 for the purpose of securitizing
non-conforming residential mortgage loan portfolios purchased by
Redstone Mortgages plc from third-party originators in the UK.
The underlying collateral is originated by Beacon Homeloans (a
wholly owned subsidiary of Beacon Capital Holdings Limited).

The final ratings for this series are based on the quality of
the collateral, the available credit enhancement, the
underwriting and origination processes of Beacon Homeloans and
the servicing capabilities of Homeloan Management Ltd as primary
servicer and the sound legal structure of the transaction.

The 20% credit enhancement for the Class A1 and A2 notes is
provided by the subordination of the Class Az (7.2%), Class B
(7.95%), Class C (2.3%) and Class D notes (1.6%), and an initial
and target reserve fund of 0.95% of the initial note balance.

To determine appropriate credit enhancement levels, Fitch
analyzed the collateral using its U.K. Residential Mortgage
Default Model, dated 5 February 2007.  The agency also modeled
cash-flows using the results of the default model, with
structural stresses including various prepayment and interest
rate scenarios.  The cash-flow tests showed that each Class of
notes could withstand loan losses at a level corresponding to
the related stress scenario without incurring any principal loss
or interest shortfall and can retire principal by legal final
maturity.


CHRYSLER LLC: Confirms OEM Product Agreement with Nissan Motor
--------------------------------------------------------------
Chrysler LLC and Nissan Motor Co., Ltd., disclosed an agreement
for Nissan to supply Chrysler with a new car for limited
distribution in South America. Based on the Nissan Versa sedan,
the new car will be supplied to Chrysler on an Original
Equipment Manufacture basis in 2009.

The OEM supply agreement is the second product exchange between
the two corporations, with Nissan affiliate JATCO already
supplying Chrysler with transmissions since 2004.

"This kind of tactical partnership allows us to maximize product
offerings yet minimize costly investments, such as new plant
infrastructure, tooling and R&D," Chrysler LLC President and
Vice Chairman Tom LaSorda said.  "This partnership will give
Chrysler nearly immediate access to vehicle segments in which we
do not currently compete."

"Nissan has a successful track-record of win-win product
exchanges and we are pleased to be entering into this second
agreement with Chrysler," Carlos Tavares, Executive Vice
President, Nissan Motor Company, said.

The two companies have also agreed to maintain an open dialogue
to explore further product-sharing opportunities.

                       About Nissan Motor

Headquartered in Tokyo, Japan, Nissan Motor Co., Ltd. --
http://www.nissan-global.com/-- provides automotive products
and services that deliver superior measurable values to all
stakeholders in alliance with Renault.

                       About Chrysler LLC

Headquartered in Auburn Hills, Michigan, Chrysler LLC --
http://www.chrysler.com/-- a unit of Cerberus Capital
Management LP, produces Chrysler, Jeep(R), Dodge and Mopar(R)
brand vehicles and products.  The company has dealers worldwide,
including Canada, Mexico, U.S., Germany, France, U.K.,
Argentina, Brazil, Venezuela, China, Japan and Australia.

                          *     *     *

As reported in the Troubled Company Reporter on Nov. 12, 2007,
Standard & Poor's Ratings Services affirmed its 'B' corporate
credit rating on Chrysler LLC and DaimlerChrysler Financial
Services Americas LLC and removed it from CreditWatch with
positive implications, where it was placed Sept. 26, 2007.  S&P
said the outlook is negative.


CK AQUATICS: Brings In Liquidators from Wilkins Kennedy
-------------------------------------------------------
John Arthur Kirkpatrick and Keith Aleric Stevens of Wilkins
Kennedy were appointed joint liquidators of CK Aquatics Ltd. on
Jan. 2 for the creditors' voluntary winding-up proceeding.

The joint liquidators can be reached at:

         Wilkins Kennedy
         6c Church Street
         Reading
         Berkshire
         RG1 2SB
         England


FLEXTRONICS INT'L: Dr. Willy Shih Joins Board of Directors
----------------------------------------------------------
Flextronics International has announced that Willy Shih, Ph.D.,
Harvard Business School senior lecturer, has been appointed to
the company's Board of Directors effective immediately.

Dr. Shih is currently a senior lecturer for the Harvard Business
School, a role he has held since January 2007.  Dr. Shih's broad
industry career experience includes significant accomplishments
for globally recognized organizations such as Kodak, IBM,
Silicon Graphics and Thomson.  While at Kodak, Dr. Shih led the
organization to leadership market positions in the United States
in consumer digital cameras, photo printing consumables and
online photofinishing services.  He also managed key
intellectual property projects at Thomson and at Kodak. Dr. Shih
holds a Ph.D. in Chemistry from the University of California,
Berkeley and S.B. degrees in Chemistry and Life Sciences from
the Massachusetts Institute of Technology.

"Willy is a strong leader who brings complementary and well-
rounded experience to the Flextronics Board along with a shared,
practical approach to the leadership of complex global
organizations. We feel we have added significant strength to our
organization," said Flextronics chief executive officer, Mike
McNamara. "I would like to welcome Willy as the newest member of
the Flextronics Board."

As previously announced and in connection with the appointment
of the new director, Michael Marks has simultaneously retired as
a director of Flextronics International.  Ray Bingham has
assumed the role of Flextronics' Chairperson of the Board.  Mr.
Bingham has served as a member of Flextronics Board since
October 2005.  He has also served in a number of capacities with
Cadence Design Systems, Inc., a supplier of electronic design
automation software and services.  Mr. Bingham served Cadence as
its Executive Chairperson from May 2004 to July 2005, Director
from November 1997 to April 2004, President and Chief Executive
Officer from April 1999 to May 2004, and Executive Vice
President and Chief Financial Officer from April 1993 to April
1999.

Mr. McNamara continued, "On behalf of the Board, I would like to
thank Michael for his many contributions to Flextronics over the
years.  His guidance and leadership have been significant to our
organization and we wish Michael all the best in his future
endeavors."

                       About Flextronics

Headquartered in Singapore, Flextronics International Ltd.
(NasdaqGS: FLEX) -- http://www.flextronics.com/-- is an
Electronics Manufacturing Services provider focused on
delivering design, engineering and manufacturing services to
automotive, computing, consumer digital, industrial,
infrastructure, medical and mobile OEMs.  Flextronics helps
customers design, build, ship, and service electronics products
through a network of facilities in over 30 countries on four
continents including Brazil, Mexico, Hungary, Sweden, United
Kingdom, among others.

                         *     *     *

As reported in the Troubled Company Reporter-Latin America on
Oct. 4, 2007, Fitch Ratings has completed its review of
Flextronics International Ltd. following the company's
acquisition of Solectron Corp. and resolved Flextronics' Rating
Watch Negative status by affirming these ratings: Issuer Default
Rating at 'BB+'; and Senior unsecured credit facility at 'BB+'.

Fitch also rated Flextronics' new senior unsecured Term B loan
at 'BB+'.  Additionally, Fitch has downgraded the rating on
Flextronics' senior subordinated notes from 'BB' to 'BB-'.
Fitch said the rating outlook is negative.

At the same time, Moody's Investors Service confirmed the
ratings of Flextronics International Ltd. with a negative
outlook and assigned a Ba1 rating to the company's new US$1.75
billion delayed draw unsecured term loan in response to the
closing of the Solectron acquisition.  The initial draw on the
term loan (US$1.1 billion) will finance the cash portion of the
merger consideration.


MAGNOLIA 2006-3: Fitch Withdraws Junk Rating on US$28 Mln. Notes
----------------------------------------------------------------
Fitch Ratings has withdrawn the 'C' rating on Magnolia Finance
US$28 million Series 2006-3 leveraged super senior credit-linked
notes due 2045.

Following a trigger event on Nov. 22, 2007, the transaction was
redeemed on Jan. 10, 2008.  As a result, investors have incurred
a mark-to market loss.

At closing, Magnolia Finance V Plc, a special purpose vehicle
incorporated under the laws of Ireland, entered into a leveraged
super senior transaction with Credit Suisse International and
invested the note issuance proceeds in highly rated securities.
Should the weighted average credit rating of the reference
obligations breach pre-specified trigger levels within a
specified period, investors had the option to unwind the trade
or de-leverage their position by posting further note principal.

The ratings at issuance addressed the payment of interest and
principal according to the documentation terms, by the scheduled
maturity date, including the risk of mark-to-market losses due
to an early termination following an unwind trigger event.


NORTHERN ROCK: Shareholders Ready for Today's Meeting
-----------------------------------------------------
Northern Rock Plc's board of directors is set to meet with
shareholders at 10 a.m. today, Jan. 15, to decide on the
stricken bank's future, published reports say.

Rab Capital and fellow hedge fund SRM Global, Northern Rock's
largest shareholders, have forced the extraordinary general
meeting as it tabled resolutions, which if passed, would give
shareholders the right to block attempts to:

   -- sell more than 5 percent of the bank's assets;
   -- issue 5 percent of new shares; or
   -- buy any assets.

RAB increased its stake in Northern Bank to 7.59%, while SRM
hiked its stake in the troubled mortgage lender to 10 percent in
December 2007.

The shareholders fear the board will be tempted to sell the
lender and its GBP110 billion of mortgages "on the cheap" to a
consortium led by Sir Richard Branson's Virgin Group, The
Guardian related.

Sean Farrell of The Independent says the bank and its advisers
are waiting on what suggestions Goldman Sachs Group Inc. will
propose for the British government.

As previously reported in the TCR-Europe last month, Alistair
Darling, Britain's Chancellor of the Exchequer, has appointed
Goldman Sachs to help assess financing packages being put
together by the bank's potential buyers.

Today's meeting is the first time the bank's board has faced
investors since the Bank of England rescued the mortgage lender
in mid-September 2007, The Independent relates.

                          Private Sale

Northern Rock is considering two proposals from a consortium of
interested bidders.

Olivant Advisers Ltd., the boutique private equity firm led by
former Abbey National Plc CEO Luqman Arnold, plans to inject up
to GBP900 million of fresh capital into the bank.  The firm's
proposal also includes its own management team to rescue the
bank.

Meanwhile, a consortium composed of Virgin Group Ltd., WL Ross &
Co, Toscafund Asset Management LLP and First Eastern Investment
Group has proposed a full takeover.

Both proposals promise the immediate repayment of about GBP10
billion to the Bank of England.

The British Treasury has instructed parliamentary draftsmen last
month to write a nationalization bill as a fallback option
should attempts to sell Northern Rock fail, the TCR-Europe
reports citing the Telegraph as its source.

Northern Rock became Britain's most public casualty of the
global credit crisis when it was forced to seek emergency
funding from the Bank of England in September 2007 after other
banks in the wholesale markets refused to extend borrowings,
Miles Costello writes for Times Online.  Estimated borrowings by
the bank to date totals not less than GBP26 billion, the paper
adds.

                     About Northern Rock plc

Headquartered in Newcastle upon Tyne, England, Northern Rock plc
-- http://www.northernrock.co.uk/mortgages/-- deals with
mortgages, savings accounts, loans and insurance.  The company
also promotes secured loans to its existing mortgage
customers.  The company had more than US$200 billion in assets
at the end of June 2007.

                          *     *     *

As reported in the TCR-Europe on Dec. 20, 2007, Moody's
Investors Service downgraded to E+ from D+ Northern Rock's Bank
Financial Strength Rating.  The E+ maps into a Baseline Credit
Assessment of B1.

The bank's dated subordinated debt was downgraded to B1 from
Baa1 and the undated subordinated debt and Tier-1 securities
were downgraded to B3 from Baa1 and Baa3 respectively.  All of
these ratings have negative outlooks.  Northern Rock's short-
term rating was affirmed at Prime-1.

As reported in the TCR-Europe on Sept. 28, 2007, Standard &
Poor's Ratings Services placed its 'A-/A-1'
counterparty credit ratings on U.K. bank Northern Rock PLC on
CreditWatch with developing implications.  At the same time, the
'BBB' subordinated, 'BB' junior subordinated, and 'A-' senior
unsecured debt ratings were placed on CreditWatch with
developing implications.


OBUS PLC: Taps Liquidators from Smith & Williamson
--------------------------------------------------
Anthony Murphy and Robert Horton and Roger Tulloch of Smith &
Williamson Ltd. were appointed joint liquidators of Obus plc on
Dec. 21, 2007, for the creditors' voluntary winding-up
proceeding.

The joint liquidators can be reached at:

         Smith & Williamson Ltd.
         No. 1 Bishops Wharf
         Walnut Tree Close
         Guildford
         Surrey
         GU1 4RA
         England


* Large Companies with Insolvent Balance Sheet
----------------------------------------------
                                Shareholders    Total   Working
                                    Equity      Assets   Capital
                          Ticker    (US$MM)    (US$MM)   (US$MM)
                          ------ -----------  -------   --------

AUSTRIA
-------
Libro AG                            (111)         174     (182)
Rhi AG                               (85)       1,573      210


BELGIUM
-------
City Hotels               CITY.BR     (7)         210      (15)
Sabena S.A.                          (86)       2,215     (297)


CZECH REPUBLIC
--------------
Ceskomoravska Kolben &
   Danek Praha Holding               (89)         192   (2,186)


DENMARK
-------
Elite Shipping                       (28)         101       19

FRANCE
------
Arbel                     PA.ARB    (116)         194      (94)
Banque Nationale
   de Paris Guyane        BNPG       (41)         352      N.A.
BSN Glasspack                       (101)       1,151      179
Charbo De France                  (3,872)       4,738   (2,868)
Euro Computer System                (110)         682      377
Grande Paroisse S.A.                (927)         629      330
Immob Hoteliere                      (65)         259       10
Matussiere et Forest S.A. MTF        (78)         294      (28)
Outremer Telecom          OMT        (33)         229      (88)
Pagesjaunes GRP           PAJ     (2,718)       1,121     (291)
Pneumatiques Kleber S.A.             (34)         480      139
Rhodia S.A.               RHA       (828)       6,796      531
SDR Centrest                        (132)         252      N.A.
SDR Picardie                        (135)         413      N.A.
Soderag                               (3)         404      N.A.
Sofal S.A.                          (305)       6,619      N.A.
Spie-Batignolles                     (16)       5,281       75
Selcodis S.A.             SPVX       (18)         128      (22)
Trouvay Cauvin                        (0)         134       10
Usines Chausson                      (23)         249       35


GERMANY
-------
CBB Holding AG            COB        (43)         905      N.A.
Cinemaxx AG               MXC        (27)         177      (30)
Cognis Deutschland
   GmbH & Co. KG                    (174)       3,003      606
Dortmunder
   Actien-Brauerei        DABG       (13)         118      (29)
EM.TV AG                  EV4G.BE    (22)         849       15
F.A. Guenther & Son AG    GUSG       (10)         111      N.A.
Kabel Deutschland                 (1,199)        2280     (306)
Kaufring AG               KAUG       (19)         151      (51)
Maternus Kliniken AG      MAK.F       (4)         201      (20)
Nordsee AG                            (8)         195      (31)
Schaltbau Hold            SLTG       (13)         185        3
SinnLeffers AG            WHGG        (4)         454     (145)
Spar Handels- AG          SPAG      (442)       1,433     (234)

GREECE
------
Empedos S.A.              EMPED      (34)         175      (48)
Radio A.Korassidis        KORA      (101)         181     (139)
   Commercial

ICELAND
-------
Decode Genetics Inc.      DCGN       (55)         216      146

IRELAND
-------
Waterford Wed Ut          WTFU     (145)         897       208


ITALY
-----
Binda S.p.A.              BND        (11)         129      (20)
Cirio Finanziaria S.p.A.            (422)       1,583     (396)
Gruppo Coin S.p.A.        GC        (154)         801      (50)
Compagnia Italia          ICT       (138)         527     (235)
Credito Fondiario
   e Industriale S.p.A.             (200)       4,218      N.A.
Finpart S.p.A.                      (152)         732     (322)
I Viaggi del
   Ventaglio S.p.A.       VVE.MI    (116)         469     (143)
Olcese S.p.A.             OLCI.MI    (13)         180      (64)
Parmalat Finanziaria
   S.p.A.                        (18,419)       4,121  (12,481)
Snia S.p.A.               SN         (39)         275       36
Technodiffusione
   Italia S.p.A.          TDIFF.PK   (90)         152      (24)


NETHERLANDS
-----------
Baan Company N.V.         BAAN        (8)         610       46
United Pan-Euro Air       UPC     (5,266)       5,180   (8,730)


NORWAY
------
Petroleum-Geo Services    PGO        (32)        2963   (5,250)


ROMANIA
-------
Rafo Onesti               RAF       (354)         475   (1,421)


RUSSIA
------
East Siberia Brd          VSNK       (79)         107     (278)
Omskij Kauchu             OMKA        (4)         125   (1,794)
OAO Samaraneftegas                  (332)         892  (16,942)
Vimpel Ship               SOVP       (93)         281     (420)
Zil Auto                  ZILLP     (178)         425  (10,597)


SPAIN
-----
Altos Hornos de
   Vizcaya S.A.                     (116)       1,283     (278)
Santana Motor S.A.                   (46)         223       41


TURKEY
------
Nergis Holding                       (24)         125       26
Turk Tuborg              TBORG        (1)         153     (109)
Yasarbank                           (948)         623      N.A.


UKRAINE
-------
Dniprooblenergo           DNON       (40)         477     (807)
Donetskoblenergo          DOON      (286)         597   (1,991)


UNITED KINGDOM
--------------
Abbott Mead Vickers                   (2)         168      (16)
Alldays Plc                         (120)         252     (202)
Amey Plc                  AMY        (49)         932      (47)
Atkins (WS) Plc           ATK       (150)       1,390       62
BCH Group Plc             BCH         (6)         188      (44)
Blenheim Group            BEH       (153)         198      (34)
Booker Plc                BKRUY      (60)       1,298       (8)
Bradstock Group           BDK         (2)         269        5
Brent Walker Group        BWL     (1,774)         867   (1,157)
British Energy Ltd                (5,823)       4,921      290
British Energy Plc        BGY     (5,823)       4,921      434
British Nuclear
   Fuels Plc                      (4,248)      40,326      977
Carlisle Group                       (12)         204       15
Compass Group             CPG       (668)       2,972     (298)
Costain Group             COST      (108)         595      (61)
Danka Bus System          DNK.L     (108)         540       34
Dignity Plc               DTY        (55)         552       36
Easynet Group             ESY.L      (45)         323       38
Electrical and Music
   Industries Group       EMI     (2,266)       2,950     (296)
Galiform Plc              GFRM      (152)         889       35
Global Green Tech Group             (156)         408      (18)
Heath Lambert
   Fenchurch Group Plc               (10)       4,109      (10)
HMV Group Plc             HMV        (26)       1,273     (277)
Imperial Chemical
   Industries Plc         ICI       (370)       8,393        2
Invensys PLC                        (276)       3,914      357
Jarvis Plc                JRVS.L     (28)         370      (22)
Ladbrokes Plc             LAD     (1,227)       1,669     (267)
Lambert Fenchurch Group               (1)       1,827        3
London Stock Exchange     LSE       (689)         526     (195)
M 2003 Plc                        (2,204)       7,205     (756)
Misys Plc                 MSY         (7)       1,123     (131)
Mytravel Group            MT.L      (380)       1,818     (488)
Orange Plc                ORNGF     (594)       2,902        7
Regus Plc                 RGU.L      (46)         367      (60)
Rentokil Initial Plc      RTO     (1,044)       3,507     (457)
Saatchi & Saatchi         SSI       (119)         705      (41)
SFI Group                 SUF       (108)         178     (162)
Skyepharma PLC            SKP        (95)         211        2
Telewest
   Communications Plc     TLWT    (3,702)       7,581   (5,631)
Trio Finance              TRIO       (14)         592       15
Vauxhall Motors                     (699)       2,584     (463)
Wincanton Plc             WIN        (27)       1,451      (78)


                            *********

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/booksto 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, Pius Xerxes
Tovilla, Patrick Abing, Marites Claro and Kristina Godinez,
Editors.

Copyright 2008.  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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