TCREUR_Public/080129.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 29, 2008, Vol. 8, No. 20

                            Headlines




A U S T R I A

D.S. KONSTRUKTION: Claims Registration Period Ends Feb. 7
ELTNER MANAGEMENT: Claims Registration Period Ends February 6
FASSADEN YAVUZ: Wiener Neustadt Court Orders Business Shutdown
HEIMBUCHER TRANSPORTE: Claims Registration Ends Feb. 4
ING. BUESING: Claims Registration Period Ends Feb. 1

LIION LLC: Claims Registration Period Ends Feb. 4
M & S BAU: Claims Registration Period Ends Feb. 4
R. GRAF & CO: Graz Court Orders Business Shutdown
SIGLAM-SECUGLASS: Claims Registration Period Ends Feb. 4
SPORTBAU LLC: Steyr Court Orders Business Shutdown


B E L G I U M

ADVANCED MICRO: Fitch Further Junks Senior Unsecured Debt
CHIQUITA BRANDS: May Bid for Five Million Boxes of Bananas
MEGA BRANDS: Posts US$11 Million Net Loss in 2007 Third Quarter
POPE & TALBOT: Auction of Remaining Wood Products Business Set
POPE & TALBOT: Pulp Business Amended Bidding Procedures Approved

POPE & TALBOT: Pwc Recommends Extension of Stay Period
QUEBECOR WORLD: Bankruptcy Won't Affect Quebecor Inc. and Units
QUEBECOR WORLD: Taps Richard Kibbe as Conflicts Counsel
QUEBECOR WORLD: Wants Donlin Recano as Claims and Noticing Agent
TENNECO INC: Incurs US$72 Million Net Loss in Fourth Quarter


D E N M A R K

BLOCKBUSTER INC: Movie Gallery Acquisition Unlikely, COO Says


F R A N C E

DELPHI CORP: To Sell Steering Business to Platinum Equity
DELPHI CORP: Bankruptcy Court Confirms Amended Chapter 11 Plan
GOODYEAR TIRE: European Unit Eyes Production Cuts in France
HEXCEL CORP: Net Income Down to US$13 Million in Fourth Quarter
IMMI BAROSTAR: Besancon Court Orders Administration

PRIDE INT'L: Awards Ultra-Deepwater Drillship Deal to Samsung


G E R M A N Y

AMCO TONTRAGER: Claims Registration Ends Feb. 19
BAUCENTER ANDREAS: Claims Registration Period Ends Feb. 18
DENTAL EXCELLENCE: Claims Registration Ends Feb. 19
ELEKTRO MELZER: Claims Registration Period Ends Feb. 6
FAHRZEUG SERVICE: Claims Registration Period Ends Feb. 18

FDD FORMULAR: Claims Registration Ends Feb. 19
H+S ENTERTAINMENT: Claims Registration Period Ends Feb. 5
KARLSRUHE EINS: Claims Registration Period Ends Feb. 18
LOELL'S WURSTER: Claims Registration Period Ends Feb. 18
MERIDIAN VERWALTUNGS: Claims Registration Ends Feb. 18

MOEBEL MAIWALD: Claims Registration Period Ends Feb. 18
PIN GROUP: Private Equity Firms In Talks to Acquire Business
PIN GROUP: To Carry Out Statutory Minimum Wage This Month
SCHUSTER UMWELTDIENST: Claims Registration Period Ends Feb. 8
SDS GMBH: Claims Registration Period Ends Feb. 18

SPASS IM PARK: Claims Registration Period Ends Feb. 3
SPATH GMBH: Claims Registration Period Ends Feb. 18
TEKIN BAU: Claims Registration Period Ends Feb. 18
WEITRONIC GMBH: Claims Registration Period Ends Feb. 18
WSW BAUTAGER: Claims Registration Ends Feb. 18

ZECHEN GASTRO: Claims Registration Ends Feb. 18


H U N G A R Y

PROPEX INC: Gets Interim OK to Use BNP Paribas' Cash Collateral
PROPEX INC: Wants Until April 2 to File Schedules & Statements
SUN MICROSYSTEMS: Earns US$260 Mln in Second Qtr. Ended Dec. 30


I T A L Y

ALITALIA SPA: Political Crisis Spurs Parties to Speed Up Talks
FIAT SPA: Posts EUR58.5 Billion in Revenues for Fiscal Year 2007
TRW AUTOMOTIVE: Earns US$23 Mln in Third Quarter Ended Sept. 28
TRW AUTOMOTIVE: Moody's Affirms 'Ba2' Corporate Family Rating
XEROX CORPORATION: Earns US$1.1 Billion in 2007


K A Z A K H S T A N

AGRO SNAB: Proof of Claim Deadline Slated for Feb. 27
ALFA TRANS: Creditors Must File Claims by Feb. 27
AMANKARAGAISKAYA MTS: Claims Filing Period Ends Feb. 22
ATAKENT-NUR LLP: Creditors' Claims Due on Feb. 22
INTER COMMERCE: Claims Registration Ends Feb. 27

ENERGO-TRANSIT LLP: Claims Deadline Slated for Feb. 27
ISLAM & K: Creditors Must File Claims by Feb. 22
KAZINVEST MINERAL: Claims Filing Period Ends Feb. 27
LEX DOMINUS: Creditors' Claims Due on Feb. 27
RAITEPLOCOMMUNEENERGO LLP: Claims Registration Ends Feb. 22


K Y R G Y Z S T A N

ELECTRO STROY: Creditors Must File Claims by Feb. 15


L U X E M B O U R G

EVRAZ GROUP: Completes Acquisition of Claymont Steel
EVRAZ GROUP: Acquires 100% of ZapSibTETs After Buyout Offer
PIN GROUP: Private Equity Firms In Talks to Acquire Business
PIN GROUP: To Carry Out Statutory Minimum Wage This Month


N E T H E R L A N D S

IMPRESS HOLDINGS: S&P Affirms B+ Ratings on Delayed IPO
KHAMSIN CREDIT: Moody's Cuts Rating to B3 on Series 6 Notes
ROSNEFT OIL: To Receive US$2 Billion Loan from Vnesheconombank
X5 RETAIL: Banks Commence Syndication for US$1.1 Bln Facility


P O L A N D

OPTIMUS SA: Files Another Bankruptcy Petition


R U S S I A

EVRAZ GROUP: Completes Acquisition of Claymont Steel
EVRAZ GROUP: Acquires 100% of ZapSibTETs After Buyout Offer
X5 RETAIL: Banks Commence Syndication for US$1.1 Bln Facility


S P A I N

SANTANDER HIPOTECARIO 4: Fitch Junks EUR14.8 Mln Class F Notes


S W E D E N

AVNET INC: Earns US$142.2 Million in Second Qtr. Ended Dec. 29


S W I T Z E R L A N D

DISCO BAR: Lucerne Court Starts Bankruptcy Proceedings
GALCOMET JSC: Creditors' Liquidation Claims Due by Feb. 4
MONITOR TOOLS: Creditors' Liquidation Claims Due by Feb. 4
SAFEX JSC: Zug Court Starts Bankruptcy Proceedings
SATROP HOLDING: Creditors' Liquidation Claims Due by Feb. 4

SCHUHHAUS SCHUBIGER: Creditors Must File Claims by Feb. 4
WEP SYSTEMS: Creditors' Liquidation Claims Due by Feb. 4
WERNER ELSIG: Creditors' Liquidation Claims Due by Feb. 4


U K R A I N E

CHEMISTRY TRADE: Proofs of Claim Filing Ends Feb. 7
COMBI-SERVICE LLC: Creditors Must File Claims by Feb. 7
ENERGY LIGHT: Proofs of Claim Filing Ends Feb. 7
EUPATORIYA MEAT-PACKING: Creditors Must File Claims by Feb. 7
FOZZI-STRATE LLC: Creditors Must File Claims by Feb. 7

FRUIT AND VEGETABLES: Creditors Must File Claims by Feb. 7
GLOBUS-LTD-TRADE LLC: Proofs of Claim Filing Ends Feb. 7
JUPITER-COMPANY LLC: Proofs of Claim Filing Ends Feb. 7
RESOURCES-2001 LLC: Creditors Must File Claims by Feb. 7
TECHNO-ART LLC: Creditors Must File Claims by Feb. 7

YENAKIYEVO MOTORCAR 11469: Creditors' Claim Due Feb. 7


U N I T E D   K I N G D O M

AXIUM INTERNATIONAL: Unit to Sell All Assets to MPS Group
BARABAS CULTURAL: Brings In Liquidators from Tenon Recovery
CASTLE FINANCE: Moody's Junks Series 4 EUR20 Million Notes
CAVALIER TECHNICAL: Taps Liquidators from Vantis
CHESS III: Moody's Junks Series 2007-1 EUR100 Million Notes

CHRYSLER LLC: Invests US$27 Million in Toledo Machining Plant
DCL INTERIORS: Taps Begbies Traynor to Administer Assets
DOLCIS LTD: Appoints Joint Administrators from KPMG
GETTY IMAGES: S&P Holds BB Corp. Credit Rating with Neg. Outlook
FORD MOTOR: Auto Credit Arm Earns US$775 Million in 2007

FORD MOTOR: Posts US$2.7 Billion Net Loss in Fiscal Year 2007
HAINES WATTS: Appoints Joint Administrators from PwC
HH ON-LINE: Joint Liquidators Take Over Operations
INSIGHT MANAGEMENT: Calls In Liquidators from Moore Stephens
MAULER PLASTICS: Appoints Liquidators from Vantis

RANK GROUP: Nears GBP700 Mln Pension Scheme Deal with Goldman
REAL ESTATE: High Court Orders Winding Up Proceedings
SAM TOOLING: Brings In Administrators from PwC
SHAW GROUP: Environmental Unit Bags Deal from General Electric
TECHNICAL MOULDED: Claims Filing Period Ends March 20

TELTRONICS INC: Sells Telident 911 Assets to Amcom Software
TELTRONICS INC: Sept. 30 Balance Sheet Upside-Down by US$4.4 Mln

* Chadbourne & Parke Expands London Office for Staff Additions

* Large Companies with Insolvent Balance Sheet

                            *********

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


D.S. KONSTRUKTION: Claims Registration Period Ends Feb. 7
---------------------------------------------------------
Creditors owed money by LLC D.S. Konstruktion Bau (FN 243373)
have until Feb. 7, 2008, to file written proofs of claim to
court-appointed estate administrator Romana Weber-Wilfert at:

          Dr. Romana Weber-Wilfert
          c/o  Dr. Christof Stapf
          Esslinggasse 9
          1010 Vienna
          Austria
          Tel: 90 333
          Fax: 90333 44
          E-mail: wien@snwlaw.at

Creditors and other interested parties are encouraged to attend
the creditors' meeting at 10:30 a.m. on Feb. 21, 2008, for the
examination of claims.

The meeting of creditors will be held at:

          The Trade Court of Vienna
          Room 1703
          Vienna
          Austria

Headquartered in Vienna, Austria, the Debtor declared bankruptcy
on Dec. 13, 2007 (Bankr. Case No. 5 S 144/07x).  Christof Stapf
represents Dr. Weber-Wilfert in the bankruptcy proceedings.


ELTNER MANAGEMENT: Claims Registration Period Ends February 6
-------------------------------------------------------------
Creditors owed money by LLC Eltner Management (FN 70488i) have
until Feb. 6, 2008, to file written proofs of claim to court-
appointed estate administrator Kurt Berneggerat:

          Dr. Kurt Bernegger
          c/o  Mag. Maria Kainer
          Jaquingasse 21
          1030 Vienna
          Austria
          Tel: 01/799 15 80
          Fax: 01/796 59 14
          E-mail: kanzlei@bernegger-wt.com

Creditors and other interested parties are encouraged to attend
the creditors' meeting at 10:30 a.m. on Feb. 20, 2008, for the
examination of claims.

The meeting of creditors will be held at:

          The Trade Court of Vienna
          Room 1707
          Vienna
          Austria

Headquartered in Vienna, Austria, the Debtor declared bankruptcy
on Dec. 12, 2007(Bankr. Case No. 2 S 154/07w).  Maria Kainer
represents Dr. Bernegger in the bankruptcy proceedings.


FASSADEN YAVUZ: Wiener Neustadt Court Orders Business Shutdown
--------------------------------------------------------------
The Land Court of Wiener Neustadt entered Dec. 20, 2008, an
order shutting down the business of KEG Fassaden Yavuz (FN
250229i).

Court-appointed estate administrator Helmut Kientzl 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. Helmut Kientzl
          Rudolf Diesel-Strasse 26
          2700 Wiener Neustadt
          Austria
          Tel: 02622/23726
          Fax: 02622/83969
          E-mail: office@kientzl.at

Headquartered in Wiener Neustadt, Austria, the Debtor declared
bankruptcy on Dec. 11, 2007 (Bankr. Case No 11 S 123/07k).


HEIMBUCHER TRANSPORTE: Claims Registration Ends Feb. 4
------------------------------------------------------
Creditors owed money by LLC Heimbucher Transporte (FN 254486w)
have until Feb. 4, 2008, to file written proofs of claim to
court-appointed estate administrator Roland Heitzinger at:

          Dr. Roland Heitzinger
          Ringstrasse 4
          Plobergerstrasse 7
          4600 Wels
          Austria
          Tel: 07242/42605-0
          Fax: 07242/42605-20
          E-mail: heitzinger@ra-stossier.at

Creditors and other interested parties are encouraged to attend
the creditors' meeting at 10:40 a.m. on Feb. 14, 2008, for the
examination of claims.

The meeting of creditors will be held at:

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

Headquartered in Wels, Austria, the Debtor declared bankruptcy
on Dec. 13, 2007 (Bankr. Case No. 20 S 144/07p).


ING. BUESING: Claims Registration Period Ends Feb. 1
----------------------------------------------------
Creditors owed money by LLC Ing. Buesing (FN 189531y) have until
Feb. 1, 2008, to file written proofs of claim to court-appointed
estate administrator Stephan Riel at:

          Dr. Stephan Riel
          Landstrasser Hauptstrasse 1/2
          1030 Vienna
          Austria
          Tel: 713 44 33
          Fax: 713 10 33
          E-mail: kanzlei@jsr.at

Creditors and other interested parties are encouraged to attend
the creditors' meeting at 9:45 a.m. on Feb. 15, 2008, for the
examination of claims.

The meeting of creditors will be held at:

          The Trade Court of Vienna
          Room 1607
          Vienna
          Austria

Headquartered in Vienna, Austria, the Debtor declared bankruptcy
on Dec. 13, 2007 (Bankr. Case No. 28 S 151/07w).


LIION LLC: Claims Registration Period Ends Feb. 4
-------------------------------------------------
Creditors owed money by LLC LIION (FN 288432s) have until
Feb. 4, 2008, to file written proofs of claim to court-appointed
estate administrator Annemarie Kosesnik-Wehrle at:

          Dr. Annemarie Kosesnik-Wehrle
          c/o Dr. Stefan Langer
          Oelzeltgasse 4/6
          1030 Vienna
          Austria
          Tel: 713 61 92
          Fax: 713 61 92-22
          E-mail: kanzlei@kosesnik-langer.at

Creditors and other interested parties are encouraged to attend
the creditors' meeting at 9:45 a.m. on Feb. 18, 2008, for the
examination of claims.

The meeting of creditors will be held at:

          The Trade Court of Vienna
          Room 1705
          Vienna
          Austria

Headquartered in Vienna, Austria, the Debtor declared bankruptcy
on Dec. 20, 2007 (Bankr. Case No. 3 S 134/07m).  Stefan Langer
represents Dr. Kosesnik-Wehrle in the bankruptcy proceedings.


M & S BAU: Claims Registration Period Ends Feb. 4
-------------------------------------------------
Creditors owed money by LLC M & S Bau (FN 266840m) have until
Feb. 4, 2008, to file written proofs of claim to court-appointed
estate administrator Bernhard Eder at:

          Dr. Bernhard Eder
          c/o Dr. Herbert Hochegger
          Brucknerstrasse 4
          1040 Vienna
          Austria
          Tel: 505 78 61
          Fax: 505 78 61-9
          E-mail: eder@rechtsanwaelte.co.at

Creditors and other interested parties are encouraged to attend
the creditors' meeting at 10:00 a.m. on Feb. 18, 2008, for the
examination of claims.

The meeting of creditors will be held at:

          The Trade Court of Vienna
          Room 1705
          Vienna
          Austria

Headquartered in Vienna, Austria, the Debtor declared bankruptcy
on Dec. 20, 2007 (Bankr. Case No. 3 S 160/07k).  Herbert
Hochegger represents Dr. Eder in the bankruptcy proceedings.


R. GRAF & CO: Graz Court Orders Business Shutdown
-------------------------------------------------
The Land Court of Graz entered Dec. 13, 2007, an order shutting
down the business of LLC R. Graf & Co. KEG (FN 233793p).

Court-appointed estate administrator Heimo Hofstatter
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. Heimo Hofstatter
          c/o  Mag. Stefan Kohlfuerst
          Marburgerkai 47
          8010 Graz
          Austria
          Tel: 0316/815454
          Fax: 0316/815454-22
          E-mail: advokat@hofstaetter.co.at

Headquartered in Graz - Strassgang, Austria, the Debtor declared
bankruptcy on Dec. 12, 2007 (Bankr. Case No 26 S 114/07w).
Stefan Kohlfuerst represents Dr. Hofstatter in the bankruptcy
proceedings.


SIGLAM-SECUGLASS: Claims Registration Period Ends Feb. 4
--------------------------------------------------------
Creditors owed money by LLC Siglam-Secuglass (FN 240234k) have
until Feb. 4, 2008, to file written proofs of claim to court-
appointed estate administrator Hubert Maier at:

          Dr. Hubert Maier
          Vormarktstrasse 17
          4310 Mauthausen
          Austria
          Tel: 07238/3240
          Fax: 07238/3611
          E-mail: office@maier-rechtsanwalt.at

Creditors and other interested parties are encouraged to attend
the creditors' meeting at 10:00 a.m. on Feb. 18, 2008, 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 Ansfelden, Austria, the Debtor declared
bankruptcy on Dec. 18, 2007 (Bankr. Case No. 12 S 100/07d).


SPORTBAU LLC: Steyr Court Orders Business Shutdown
--------------------------------------------------
The Land Court of Steyr entered Dec. 18, 2007, an order shutting
down the business of LLC Sportbau (FN 233569i).

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

The estate administrator can be reached at:

          Dr. Wolfgang Strasser
          Hauptplatz 11
          4300 St. Valentin
          Austria
          Tel: 07435/52 4 37
          E-mail: st-valentin@advocat24.at

Headquartered in Enns, Austria, the Debtor declared bankruptcy
on Dec. 13, 2007 (Bankr. Case No 14 S 47/07w).


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


ADVANCED MICRO: Fitch Further Junks Senior Unsecured Debt
---------------------------------------------------------
Fitch Ratings has downgraded these ratings on Advanced Micro
Devices Inc.:

   -- Issuer Default Rating to 'B-' from 'B'; and
   -- Senior unsecured debt to 'CCC'/RR6 from 'CCC+/RR6'.

The Rating Outlook remains Negative.  Approximately US$4.1
billion of debt securities are affected by Fitch's actions.

The downgrade and Negative Outlook mainly reflect Fitch's
expectations that Advanced Micro's:

   -- operating performance, which was significantly weaker
      than expected over the last several quarters due to a
      combination of a key product delay and Intel Corp.'s
      strengthened product portfolio, will not meaningfully
      improve over the near-term.  For 2008, Fitch believes the
      company will benefit from anticipated microprocessor unit
      (MPU) growth, a refreshed product portfolio, and lower
      fixed costs after having restructured operations during
      2007.  Nonetheless, Fitch believes average selling prices
      will remain pressured, driven by Intel's low-cost
      manufacturing footprint, sales mix shift toward lower-
      priced models in emerging markets and desktops for newer
      original equipment manufacturer relationships,
      constraining potential profitability expansion.

   -- financial flexibility will continue to be limited by the
      company's modest liquidity position (consisting solely of
      US$1.9 billion of available cash, an amount that could be
      augmented by additional equipment sales during 2008),
      particularly with the company's limited intermediate-term
      profitability prospects and significant planned capital
      expenditures of US$1.1 billion in 2008.  Fitch believes
      the company will burn more than US$500 million in 2008
      (compared to US$1.9 billion usage in 2007) unless the
      company cuts capital spending, either via postponing
      discretionary investments and/or moving forward with an
       'asset light' strategy.

Fitch believes that additional negative rating actions would
likely occur if:

    * the company depletes its current cash balance at a faster
      than expected pace; or

    * profitability contracts further.

The ratings could be stabilized if over the next few quarters,
the company:

    * steadily improves profitability; and

    * bolsters financial flexibility by obtaining additional
      external funding.

Ratings concerns continue to center on:

   -- Significant product technology risk associated with the
      MPU market, resulting in cyclical operating results.
      However, given its relatively weak financial flexibility
      and limited market share, Fitch believes the company's
      ability to withstand technology roadmap missteps is
      limited.

   -- Intel's meaningful manufacturing technology advantage
      over Advanced Micro, driven by capital expenditures
      consistently in excess of US$5 billion, effectively
      requiring the company to continue investing aggressively
      to upgrade its manufacturing facilities; and

   -- expectations that the company's debt levels will remain
      high, driven by the company's investment  requirements,
      thereby constraining its financial flexibility over the
      long-term.

The ratings are supported by the company's:

   -- expectations for solid MPU unit growth over the next
      couple of years;

   -- strengthened and expanding relationships with all
      personal computer original equipment manufacturers, most
      recently including Toshiba Corporation ('BBB/F2' with a
      Stable Outlook by Fitch) and Dell Inc. ('A/F1'; Stable
      Outlook), driven in part by its enhanced ability to
      provide platform products to the marketplace following
      the acquisition of ATI Technologies in October 2006; and

   -- staggered and longer-term debt maturities, as well as its
      now proven willingness to cut capital spending in the
      face of less favorable market conditions.

At Sept. 29, 2007, total debt was US$5.3 billion and consisted
of:

   -- US$1.0 billion of secured debt related to Fab 36,
      including US$866 million of Fab 36 Secured Euro Term Loan
      due 2011;

   -- US$1.5 billion 5.75% convertible senior unsecured notes
      due 2012;

   -- US$2.2 billion 6% senior unsecured convertible notes due
      2015;

   -- US$390 million 7.75% senior unsecured notes due 2012; and

   -- other debt, including capital leases, of approximately
      US$242 million.

The Recovery Ratings reflect Fitch's belief that Advanced Micro
would be liquidated rather than reorganized in a bankruptcy
scenario, given Fitch's estimates that the company's projected
liquidation value of US$1.1 billion would exceed a
reorganization value of only US$615 million, driven by the
meaningful deterioration of the company's operating EBITDA over
the past year.  In estimating liquidation, Fitch applies advance
rates of 80%, 20%, and 10%, respectively, to its accounts
receivables, inventories, and property, plant, and equipment
balances as of the quarter ended Dec. 31, 2007.  Fitch arrives
at an adjusted reorganization value of US$1.0 billion after
subtracting administrative claims.  Based upon these
assumptions, and given that approximately US$1.0 billion of
unrated borrowings related to Fab 36 and capital leases are
essentially secured, minimal recovery (0-10%) would be available
for the approximately US$4.2 billion of senior unsecured debt,
resulting in 'RR6' ratings.

Headquartered in Sunnyvale, California, Advanced Micro Devices
Inc. (NYSE: AMD) -- http://www.amd.com/-- provides innovative
processing solutions in the computing, graphics and consumer
electronics markets.  The company has a facility in Singapore.
It has sales offices in Belgium, France, Germany, the United
Kingdom, Mexico and Brazil.


CHIQUITA BRANDS: May Bid for Five Million Boxes of Bananas
----------------------------------------------------------
Chiquita Brands International may bid for the five million boxes
of bananas that Panama will auction next month, Reuters reports.

Western Panamanian co-operative Coosemupar wants to auction some
four million, 40-pound boxes of premium quality bananas to
international buyers, and one million boxes of other qualities,
Panama's commodity exchange chief Abelardo Carles told Reuters.

Reuters relates that the auction would be on Feb. 14.  It will
mark the end of Coosemupar's long-standing distribution deal
with Chiquita Brands that gave the firm the exclusive rights to
by the crop.

Coosemupar told Reuters that it seeks to sell bananas to
European distributors.  However, Chiquita Brands is unlikely to
be excluded from bidding.

According to Reuters, the sale accounts for around a quarter of
Panama's yearly crop.  It could bring in US$35 million.

The sale is a significant quantity for large buyers although
Panamanian banana production is small compared to Costa Rica and
Colombia, Reuters states, citing Mr. Carles.

Cincinnati, Ohio-based Chiquita Brands International Inc. (NYSE:
CQB) -- http://www.chiquita.com/-- markets and distributes
fresh food products including bananas and nutritious blends of
green salads.  The company markets its products under the
Chiquita(R) and Fresh Express(R) premium brands and other
related trademarks.

Chiquita employs approximately 25,000 people operating in more
than 70 countries worldwide, including Belgium, Colombia,
Germany, Panama, Philippines, among others.

                        *     *     *

In May 2007, Moody's Investors Service Ratings affirmed these
ratings on Chiquita Brands International Inc.: (i) corporate
family rating at B3; (ii) probability of default rating at B3;
(iii) US$250 million 7.5% senior unsecured notes due 2014 at
Caa2(LGD5, 89%); and (iv)  US$225 million 8.875% senior
unsecured notes due 2015 at Caa2 (LGD5, 89%).  Moody's changed
the rating outlook for Chiquita Brands to negative from stable.

Troubled Company Reporter-Europe reported on May 8, 2007, that
Standard & Poor's Ratings Services placed its 'B' corporate
credit and other ratings on Cincinnati, Ohio-based Chiquita
Brands International Inc. on CreditWatch with negative
implications, meaning that the ratings could be lowered or
affirmed following the completion of their review.  Total debt
outstanding at the company was about US$1.3 billion as of
March 31, 2007.


MEGA BRANDS: Posts US$11 Million Net Loss in 2007 Third Quarter
---------------------------------------------------------------
Mega Brands Inc. reported a net loss of US$11 million for the
third quarter ended Sept. 30, 2007, compared with net income of
US$18.0 million in the same period in 2006.

Net sales in the third quarter of 2007 decreased 8.8% to
US$184.1 million compared to US$201.8 million in the
corresponding period last year.  The reduction in sales was
primarily due to production delays in Asia that resulted in at
least US$15.0 million of orders not shipped, as well as lower
shipments of MAGNETIX products.

For the nine-month period ended Sept. 30, 2007, net sales
increased 3.5% to US$395.7 million compared to US$382.5 million
in the same period last year.

Gross profit in the third quarter of 2007 drop to US$35.8
million compared to US$90.5 million in the third quarter of
2006.  Gross margin declined to 19.5% compared to 44.8% in the
third quarter of last year.

Excluding the impact of sales of excess inventory of US$19.0
million and the recording of a non-cash inventory revaluation
adjustment of approximately US$20.0 million, the gross margin
was 38.1% for the quarter ended Sept. 30, 2007.

For the nine-month period ended Sept. 30, 2007, gross profit was
US$92.5 million compared to US$167.0 million for the same period
in 2006.  Excluding the MAGNETIX product recall and other
charges of US$30.5 million, the sale of excess inventory and the
recording of a non-cash inventory revaluation adjustment, the
gross margin was 41.3% compared to 43.7% in the same period of
the prior year.

Loss from operations amounted to US$5.1 million for the third
quarter of 2007 compared to earnings from operations of
US$26.4 million in the corresponding 2006 period.

For the nine-month period ended Sept. 30, 2007, the loss from
operations was US$31.7 million compared to an operating profit
of US$40.7 million in the corresponding period of 2006.  This
amount includes the MAGNETIX product recall and other charges
and litigation expenses of US$36.2 million, once the recovery
of US$3.6 million in product liability settlement from the
company's insurers is netted.  It also includes the inventory
related charges totaling approximately US$35.0 million.

Interest and other expenses in the third quarter of 2007 were
US$7.0 million compared to US$6.1 million in the same 2006
period.  For the nine months ended Sept. 30, 2007, interest and
other expenses amounted to US$19.8 million compared to US$16.4
million in the prior year.

Income taxes for the third quarter ended Sept. 30, 2007,
amounted to a recovery of US$1.0 million, compared to an expense
of US$2.3 million in the corresponding period of the prior year.
For the nine months ended Sept. 30, 2007, the income tax
recovery was US$20.6 million compared to an income tax expense
of US$1.7 million in the prior year.

                      Long-Term Debt

Total long-term debt at the end of September 2007 was
US$321.6 million compared to US$312.0 million at the end of
2006.  The increase in long-term debt is mainly related to
working capital requirements.

As at Sept. 30, 2007, the company's long-term debt was comprised
mainly of US$9.6 million under its Term A facility maturing in
2009, US$254.8 million under its Term B facility maturing in
2012 and US$60.6 million drawn against its US$120.0 million
revolving credit facility, offset partially by unamortized
deferred financing costs of US$3.9 million.

                       Balance Sheet

At Sept. 30, 2007, the company's consolidated balance sheet
showed US$811.9 million in total assets, US$520.5 million in
total liabilities, and US$291.4 million in total stockholders'
equity.

                    About Mega Brands Inc.

MEGA Brands Inc. (TSE: MB) -- http://www.megabrands.com/--
designs, manufactures and markets high quality toys and
stationery products.  Headquartered in Montreal, the company has
approximately 4,500 employees with offices, manufacturing
facilities or distribution centers in Belgium, United Kingdom,
Germany, France, Spain, Mexico, Australia, among others.  The
Corporation's products are sold in over 100 countries.

                        *     *     *

As reported in the Troubled Company Reporter on Jan. 28, 2008,
Standard & Poor's Ratings Services lowered its corporate credit
and bank loan ratings on Mega Brands Inc. to 'B' from 'B+'.  The
ratings remain on CreditWatch with negative implications, where
they were placed Nov. 9, 2007.  The '3' recovery rating on the
bank loan is unchanged.


POPE & TALBOT: Auction of Remaining Wood Products Business Set
--------------------------------------------------------------
Pope & Talbot Inc. asks the U.S. Bankruptcy Court for the
District of Delaware's authority to sell their remaining wood
products business to the highest and best bidder at an auction
to be held at 10:00 a.m. (Eastern time), on Feb. 5, 2008, at the
New York offices of Shearman & Sterling LLP.

Unlike the Debtors' sale of their wood products business assets
to International Forest Products Limited, and the proposed sale
of their pulp business assets to PT Pindo Deli Pulp & Paper
Mills, there is no stalking horse for their Remaining Wood
Products Business, Laura Davis Jones, Esq., at Pachulski Stang
Ziehl & Jones, LLP, in Wilmington, Delaware, informs the Hon.
Christopher S. Sontchi.  Instead, the Auction is expected to be
a fully open auction.

Pursuant to the Court-approved Remaining Wood Products Business
Bid Procedures, the Debtors served a cure cost notice on certain
non-debtor counterparties to various assigned contracts,
providing notice of (i) the Debtors' intent to assume and assign
the Assigned Contracts to the successful bidder at the Auction,
(ii) the Debtors' determination of the Cure Cost with respect to
each Assigned Contract, (iii) procedures governing the filing of
objections, if any, to the proposed Cure Costs; and (iv)
procedures governing resolution of disputes, if any, regarding
Cure Costs.

In the event more than one acceptable qualified bid is submitted
at the Auction, the Debtors will, at a sale hearing, seek the
Court's approval of the Successful Bid, and if applicable, the
back-up bid procedures.

Ms. Jones asserts that time is of the essence with respect to
the approval of the sale of the Debtors' Remaining Wood Products
Business.  The sale of the Assets will afford the Debtors
greater certainty regarding their ability to make distributions
to secured or unsecured creditors, she says.

The Debtors also seek the Court's authority to:

   (i) assume and assign to the Successful Bidder, effective on
       the closing date, certain contracts; and

  (ii) execute and deliver to the Successful Bidder, the
       documents or other instruments as may be necessary to
       cure, transfer and assign the Assigned Contracts.

The Debtors reserve the right to exclude any Assigned Contract
identified in a form asset purchase agreement, and identify the
contract as an excluded asset in a select purchase agreement.

Some of the Assigned Contracts are shared contracts, which
generally comprise two or more individual contracts, which set
forth specific terms and conditions; and a master agreement that
governs each of the individual contracts.  Ms. Jones clarifies
that the Debtors will assume and assign only those parts of the
Shared Contracts which are related to their Remaining Wood
Products Business.

If any monetary defaults exist under any Assigned Contract, the
Debtors will cure any default prior to the assumption and
assignment of the Assigned Contract, to the extent that U.S. law
and Canadian law applies to the assumption and assignment of the
contracts.

Any non-monetary default that exist under a non-residential real
property lease that is an Assigned Contract will be cured by
the Successful Bidder, by performance at the time of and after
assumption and assignment of the lease, pursuant to the terms of
the Selected APA, to the fullest extent required under
applicable law.  For avoidance of doubt, nothing in the Sale
Motion will be deemed an admission that U.S. law applies to the
assumption and assignment of any of the Assigned Contracts.

A full-text copy of the Debtors' proposed APA for their
Remaining Wood Products Business is available for free at:

               http://researcharchives.com/t/s?2768

As reported in the Troubled Company Reporter on Jan. 3, 2008,
the British Columbia Supreme Court approved the Debtors'
proposed bidding procedures for the sale of their remaining wood
products business.

The Canadian Court likewise authorized the Debtors to schedule
an auction, if necessary, to solicit bids for their Remaining
Wood Products Business.

As reported in the Troubled Company Reporter on Dec. 14, 2007,
the U.S. Court had earlier approved in all respects the Debtor's
bidding and sale procedures with respect to the sale of certain
wood products assets not contemplated to be sold to
International Forest Products and the assumption of related
liabilities, including:

   (1) the submission, consideration, qualification and
       acceptance of Qualified Overbids submitted to the
       Debtors;

   (2) the Auction; and

   (3) the identification and determination of the Successful
       Bid and the Back-Up Bid.

                      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.  The Official Committee of Unsecured Creditors
selected Fried, Frank, Harris, Shriver & Jacobson LLP as its
bankruptcy 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. 12; Bankruptcy Creditors'
Service Inc., http://bankrupt.com/newsstand/or 215/945-7000).


POPE & TALBOT: Pulp Business Amended Bidding Procedures Approved
----------------------------------------------------------------
Pope & Talbot Inc. and debtor-affiliates sought and obtained the
U.S. Bankruptcy Court for the District of Delaware's approval of
amended bidding procedures for the sale of their pulp business
assets located in Halsey, Oregon; Nanaimo, British Columbia; and
Mackenzie, British Columbia.

The Amendment included provisions for an asset purchase
agreement the Debtors entered into on Jan. 8, 2008, with PT
Pindo Deli Pulp & Paper Mills, as the stalking horse bidder,
with respect to the Pulp Business Assets.

The Court has ruled that Pindo Deli is entitled to a
US$3,800,000 Break-up Fee, which will be deemed as an allowed
administrative priority expense without the need for the filing
of any claim.  The Court notes that Pindo Deli will be paid the
Break-up Fee if, among other things:

   -- Pindo Deli is not selected as the "successful bidder" for
      the Debtors' Pulp Business;

   -- Pindo Deli is selected as the Successful Bidder, but the
      transaction approval orders have not been entered by the
      Bankruptcy Court and Canadian Court by Feb. 13, 2008;

   -- the closing of the sale will not have occurred by the sale
      termination date;

   -- the Debtors adjourn or continue the auction to a date
      after Feb. 5, 2008, without the prior consent of the
      Purchaser; or

   -- the Debtors determine to pursue one or more transactions
      other than pursuant to the Procedures Order.

The Break-up Fee is approximately 3.6% of the cash Purchase
Price, without regard to liabilities being assumed or
adjustments to the Purchase Price.

The U.S. Trustee and the Official Committee of Unsecured
Creditors tried to block the Court's approval of the Debtors'
proposed Break-up Fee.  Kelly Beaudin Stapleton, the United
States Trustee for Region 3, complained that the Break-up Fee is
"excessive."  The Creditors Committee objected to various
aspects of the Break-up Fee that are "designed to chill bidding
and impede value maximization."

On the other hand, Ableco Finance LLC, as agent for itself and
the other term lenders party to the DIP loan agreement, reserves
its rights with respect to any determination regarding whether
the Pulp Business asset should be sold, and which offer is
highest or the best.

The Debtors estimate that the exercise by Pindo Deli of an
option to purchase their limited partnership interests in Halsey
CL02 Limited Partnership will result in an adjustment to the
Purchase Price of approximately US$5,200,000.

The Debtors will conduct an auction of their right, title and
interest in the Pulp Business Assets, including certain
executory contracts and unexpired leases, at 10:00 a.m.
(prevailing Eastern time), on Feb. 5, 2008, at the New York
offices of Shearman & Sterling LLP.

No provision in the APA Approval Order will be deemed to
constitute the consent of the Debtors' secured lenders, or the
Official Committee of Unsecured Creditors, to any bid, the Hon.
Christopher S. Sontchi clarifies.

The Court likewise approved the amendments to the APA, which
reflects certain modification on the requirements for "qualified
bids".  The modifications include the Auctions Overbid
Protections, and the requirement that Qualified Bidders submit
marked versions of the Asset Purchase Agreement with their bids.

A full-text copy of Judge Sontchi's Pulp Business Amended Bid
Procedures Order is available for free at:

               http://researcharchives.com/t/s?2765

                        Monitor's Comments

PricewaterhouseCoopers Inc., as monitor of the proceedings
commenced by Pope & Talbot Ltd. and its subsidiaries under the
Companies' Creditors Arrangement Act, reports that the Canadian
Debtors are also seeking the British Columbia Supreme Court's
approval of Pindo Deli's offer as the stalking horse bid, as
well as amendments to the Pulp Business bidding procedures.

The Monitor considers the amendments to the bidding procedures
as minor administrative modifications.

The Monitor discloses that the Purchase Price for the Debtors'
Pulp Business includes US$39,000,000 for non-finished goods
inventory, subject to adjustments based on the inventory at the
date of closing.

Upon analysis, the Debtors and their financial advisor,
Rothschild Inc., estimate the net proceeds from a combination of
the transaction completion and the liquidation of the remaining
assets to total US$205,000,000.  Assumed liabilities for
US$15,000,000 and potential realizations from the sale of
certain refundable tax credits for roughly US$5,000,000, are
estimated to increase the overall transaction value to
US$225,000,000.

The Pindo Deli APA requires approvals:

   (1) from the U.S. Bankruptcy and Canadian Courts;
   (2) under the Hart-Scott-Rodino Antitrust Improvements Act of
       1976 and the Competition Act;
   (3) under the Investment Canada Act;
   (4) from federal, provincial and state governments; and
   (5) for the transfer of permits and licenses.

While the Court-approved process provides for a closing of
Feb. 15, 2008, the Debtors believe that a closing in mid March
2008 is more realistic.

The Monitor acknowledges that the Break-up Fee is higher than is
customarily provided for in stalking horse situations.  Pindo
Deli, however, has not additionally requested a reimbursement of
due diligence costs.  "The due diligence requirements for a pulp
mill can be substantial compared to other type of asset," the
Monitor relates.

         Debtors Seek Approval of Pindo Deli Transaction

In a separate request filed on Jan. 23, 2008, the Debtors
asked Judge Sontchi to approve:

   -- the sale of substantially all of their Pulp Business
      Assets to Pindo Deli for US$105,290,000, subject to
      certain adjustments; and

   -- the assumption and assignment of various executory
      contracts and unexpired leases.

Pursuant to the Pulp Procedures Order, the Debtors served a
notice on certain non-debtor counterparties of (i) their intent
to assume and assign certain contracts to Pindo Deli or the
highest and best bidder at the Auction, (ii) their of the Cure
Cost with respect to each Assigned Contract, (iii) procedures
governing the filing of objections, if any, to the proposed Cure
Costs; and (iv) procedures governing resolution of disputes, if
any, regarding Cure Costs.

The Debtors intend to cure any monetary defaults that exist
under any Assigned Contract to Pindo Deli as a condition to the
assumption and assignment of an Assigned Contract and to the
extent that U.S. law and Canadian law apply to the assumption
and assignment of the contracts.  Any non-monetary defaults that
exist under a non-residential real property lease that is an
Assigned Contract will be cured by Pindo Deli, by performance at
the time of and after assumption and assignment of the lease.

A full-text copy of the the Debtors' Pulp Business APA is
available for free at:

             http://researcharchives.com/t/s?2766

A full-text copy of the Debtors' Leases and Cure Costs to be
assigned and assumed may be accessed at no charge at:

             http://researcharchives.com/t/s?2767

Laura Davis Jones, Esq., at Pachulski Stang Ziehl & Jones, LLP,
in Wilmington, Delaware, asserts that time is of the essence
with respect to the approval of the sale of the Debtors' Pulp
Business.  She notes that under the DIP Final Order, the Debtors
are required to conduct the auction for the Pulp Business Assets
by Feb. 5, 2008; obtain an order approving the sale of the
Pulp Business Assets by February 12; and consummate no later
than February 15 one or more sales of the Pulp Business Assets.

Moreover, Ms. Jones tells Judge Sontchi that the Pindo Deli APA
contains numerous schedules and exhibits, which the Debtors have
determined to be confidential in nature.  Thus, the Debtors seek
the Court's authority to file under seal certain exhibits that
relate to:

     -- Key Employees,
     -- Unqualified Retirement Benefit Liabilities,
     -- Customers and Suppliers,
     -- Labor Matters,
     -- Conduct of Business Prior to the Closing,
     -- Salaried Employees,
     -- Key Contracts, and
     -- Fiber Presentation.

In a statement released by the Debtors with respect to the sale
of their Pulp Business Assets, the Debtors discloses that Pindo
Deli is an affiliate within the Sinar Mas Group.

"We are delighted with this development, as this is an important
milestone in maximizing value for our stakeholders." said Harold
Stanton, Pope & Talbot president and chief executive officer.
"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."

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.  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."

As reported in the Troubled Company Reporter on Jan. 3, 2008,
the Canadian Court approved the Debtors' proposed bidding
procedures for their pulp business assets, and authorized the
Debtors to schedule an auction, if necessary.

As reported in the Troubled Company Reporter on Dec. 14, 2007,
Judge Sontchi had earlier approved in all respects the Debtors'
bidding and sale procedures with respect to the sale of their
pulp business assets, including:

   (1) the submission, consideration, qualification and
       acceptance of Qualified Overbids submitted to the
       Debtors;

   (2) the Auction; and

   (3) the identification and determination of the Successful
       Bid and the Back-Up Bid.

                      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.  The Official Committee of Unsecured Creditors
selected Fried, Frank, Harris, Shriver & Jacobson LLP as its
bankruptcy 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. 12; Bankruptcy Creditors'
Service Inc., http://bankrupt.com/newsstand/or 215/945-7000).


POPE & TALBOT: Pwc Recommends Extension of Stay Period
-------------------------------------------------------
PricewaterhouseCoopers Inc., the Court-appointed Monitor in Pope
& Talbot Inc. and its debtor-affiliates' CCAA proceedings,
recommends to the British Columbia Supreme Court that the
Canadian Debtors' request for an extension of the Stay Period to
Feb. 15, 2008, be granted.

On Dec. 3, 2007, the Canadian Court ruled that until and
including Jan. 16, 2008, no proceeding or enforcement process in
any court or tribunal will be commenced or continued against or
in respect of the Debtors, the Partnerships or
PricewaterhouseCoopers Inc., or affecting the Debtors' business
or property except with the written consent of the Debtors, the
Partnerships and the Monitor, or with leave of the CCAA Court.

The Monitor relates that the Debtors continue to work closely
with their DIP Lenders with respect to certain Material Adverse
Deviations, and have not exceeded their anticipated borrowing
requirements.

According to the Monitor, the DIP Loan Agreement currently
expires on Feb. 15, 2008, and the cash flows previously filed
with the Court extend to the end of February 2008.

The Debtors, however, assert that they need additional time to
proceed with the realization of assets and to negotiate an
extension of the DIP Loan Agreement.  "An extension of the Stay
Period is needed to provide the stability required during that
time," the Monitor states.

The Monitor believes that, based on the information currently
available, creditors would not be materially prejudiced by an
extension of the Stay Period to Feb. 15, 2008.

"The Applicants have acted and are acting in good faith and with
due diligence and that circumstances exist that make an
extension of the Stay Period appropriate," the Monitor
maintains.

                      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.  The Official Committee of Unsecured Creditors
selected Fried, Frank, Harris, Shriver & Jacobson LLP as its
bankruptcy 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. 12; Bankruptcy Creditors'
Service Inc., http://bankrupt.com/newsstand/or 215/945-7000).


QUEBECOR WORLD: Bankruptcy Won't Affect Quebecor Inc. and Units
---------------------------------------------------------------
Quebecor Inc., Quebecor Media Inc. and its subsidiaries are not
affected in any way by the decision of Quebecor World to seek
court protection from creditors under the Companies' Creditors
Arrangement Act.  Quebecor Inc. said that Quebecor World is an
independent company, distinct from the two other entities, and
its current situation will have no effect on the normal,
continuing operations of Quebecor Inc. and Quebecor Media Inc.

"In recent weeks, Quebecor Inc., the principal shareholder
of Quebecor World, actively tried to find a solution that would
have avoided the CCAA action.  A major partner, Brookfield, had
been identified and a serious offer was made to the bank
creditors of Quebecor World.  The banks rejected the conditions
of this offer and Quebecor Inc. decided that it would not be in
the interest of its shareholders to pursue further offers that
could have increased unreasonably the risks it might assume,"
said Pierre Karl PEladeau, President and Chief Executive Officer
of Quebecor Inc.  "Quebecor and Quebecor Media are both in
excellent financial health and the outlooks for the future of
the businesses are excellent."

Quebecor Inc. formally advised Quebecor World a week ago that it
must remove "Quebecor" from its corporate name.  This measure is
intended to eliminate any confusion in the public.

             Quebecor Inc. Severing Ties with QWorld

According to Seeking Alpha, UBS analyst Jeffrey Fan informed
clients that Quebecor World's decision to seek bankruptcy
protection in Canada and the U.S., and the recent request for
removal of "Quebecor" from Quebecor World's corporate name
reflect Quebecor Inc.'s decision to surrender control of
Quebecor World.  He added that the likelihood of Quebecor
providing further funding to Quebecor World has been
significantly reduced.

Quebecor Inc., together with Tricap Partners, previously offered
a US$400,000,000 Rescue Financing Proposal to Quebecor World on
January 11, 2008.  The proposal, however, was rejected by
Quebecor World's secured lenders.

Quebecor World and its affiliates have filed for creditor
protection before the Quebec Superior Court of Justice
(Commercial Division) and U.S. Bankruptcy Court for the Southern
District of New York.  The company has presented a proposed
US$1,000,000,000 DIP financing agreement with Credit Suisse.

                      About Quebecor Inc.

Quebecor Inc. (TSX: QBR.A, QBR.B) is a communications company
with operations in North America, Europe, Latin America and
Asia.  It has two operating subsidiaries, Quebecor World Inc.
and Quebecor Media Inc.  Quebecor World is one of the largest
commercial print media services companies in the world.

Quebecor Media owns operating companies in numerous media
related businesses: Videotron Ltd., the largest cable operator
in Quebec and a major Internet Service Provider and provider of
telephone and business telecommunications services; Sun Media
Corporation, Canada's largest national chain of tabloids and
community newspapers; TVA Group Inc., operator of the largest
French language over the air television network in Quebec, a
number of specialty channels, and the English language over the
air station Sun TV; Canoe Inc., operator of a network of English
and French language Internet properties in Canada; Nurun Inc., a
major interactive technologies and communications agency with
offices in Canada, the United States, Europe and Asia; companies
engaged in book publishing and magazine publishing; and
companies engaged in the production, distribution and retailing
of cultural products, namely Archambault Group Inc., the largest
chain of music stores in eastern Canada, TVA Films, and Le
SuperClub Videotron Ltd., a chain of video and video game rental
and retail stores.  Quebecor Inc. has operations in 18
countries.

                       About Quebecor World

Based in Montreal, Quebec, Quebecor World Inc. (TSX: IQW) (NYSE:
IQW), -- http://www.quebecorworldinc.com/-- provides market
solutions, including marketing and advertising activities, well
as print solutions to retailers, branded goods companies,
catalogers and to publishers of magazines, books and other
printed media.  It has 127 printing and related facilities
located in North America, Europe, Latin America and Asia.  In
the United States, it has 82 facilities in 30 states, and is
engaged in the printing of books, magazines, directories, retail
inserts, catalogs and direct mail.  In Canada it has 17
facilities in five provinces, through which it offers a mix of
printed products and related value-added services to the
Canadian market and internationally.

The company is an independent commercial printer in Europe with
19 facilities, operating in Austria, Belgium, Finland, France,
Spain, Sweden, Switzerland and the United Kingdom.  In March
2007, it sold its facility in Lille, France.  Quebecor World
(USA) Inc. is its wholly owned subsidiary.

Quebecor World and its debtor-affiliates filed for chapter 11
bankruptcy on Jan. 21, 2008, (Bankr. S.D.N.Y Lead Case No. 08-
10152).  Anthony D. Boccanfuso, Esq., at Arnold & Porter LLP
represents the Debtors in their restructuring efforts.  The
Debtors listed total assets of US$5,554,900,000 and total debts
of US$4,140,700,000 when they filed for bankruptcy.

As of Sept. 30, 2007, Quebecor World's unaudited consolidated
balance sheet showed total assets of US$5,554,900,000, total
liabilities of US$3,964,800,000, preferred shares of
US$175,900,000, and total shareholders' equity of
US$1,414,200,000.

(Quebecor World Bankruptcy News, Issue No. 2; Bankruptcy
Creditors' Service, Inc., http://bankrupt.com/newsstand/or
215/945-7000)


QUEBECOR WORLD: Taps Richard Kibbe as Conflicts Counsel
-------------------------------------------------------
Quebecor World Inc. and its debtor-affiliates ask the U.S.
Bankruptcy Court for the Southern District of New York for
authority to employ Richard Kibbe & Orbe LLP as their conflicts
counsel, nunc pro tunc to Jan. 21, 2008.

Jeremy Roberts, Senior Vice-President Corporate Finance and
Treasurer of Quebecor World (USA) Inc., states that aside from
hiring Arnold & Porter LLP as bankruptcy counsel, the Debtors
seek to employ Richard Kibbe & Orbe as counsel with respect to
matters which are not appropriately handled by A&P because of
potential conflicts of interest or alternatively, matters which
the Debtors believe are more efficient for RK&O to handle.

"The Debtors believe that rather than resulting in any extra
expense to the Debtors' estates, the coordination of efforts
between A&P and RK&O will greatly add to the effective
administration in these chapter 11 cases" Mr. Roberts avers.

Mr. Roberts adds that the members and associates of the firm
have considerable experience in bankruptcy cases and have acted
in a professional capacity as counsel in numerous chapter 11
cases like Mirant Corporation, Tower Automotive, Inc.,
Metalforming Technologies Inc., Intrepid U.S.A. Inc., and Galey
& Lord Inc.

In order for RK&O to act effectively in the Chapter 11 cases,
the Debtors propose that the firm be tasked to perform these
non-exhaustive functions:

   (a) take all necessary action to protect and preserve the
       estates of the Debtors, including the prosecution of
       actions on the Debtors' behalf, the defense of any
       actions commenced against the Debtors, the negotiation of
       disputes in which the Debtors are involved, and the
       preparation of objections to claims filed against the
       Debtors' estates;

   (b) prepare on behalf of the Debtors, as debtors-in-
       possession, all necessary motions, applications, answers,
       orders, reports and other papers in connection with the
       administration of the Debtors' estates;

   (c) negotiate on behalf of the Debtors with their creditors
       and other parties-in-interest; and

   (d) perform all other necessary legal services in connection
       with the prosecution and administration of the Chapter
       11 cases.

RK&O will be paid on an hourly basis at its customary hourly
rates:

      Partners                US$525 to US$775 per hour
      Associates              US$300 to US$475 per hour
      Paralegals              US$190 to US$250 per hour

RK&O will further charge the Debtors with expenses incurred in
connection to its chapter 11 cases like telephone tolls, mail
charges and court filing fees.

Mr. Joon Hong, a member RK&E, identified several current and
former clients that are parties-in-interest in the Chapter 11
cases -- Ernst & Young, Newpage Corp., Morgan Stanley, Citibank,
N.A., and Delloitte & Touche LLP.  Mr. Hong, however, assures
the Court that with respect to each connection between RK&O and
its relevant clients, RK&O will not represent any of the
relevant entities and will not hold an interest that is adverse
to the Debtors' estates.

Mr. Hong asserts that the firm does not hold any interest
adverse to the Debtors, their estates or their creditors.

                       About Quebecor World

Based in Montreal, Quebec, Quebecor World Inc. (TSX: IQW) (NYSE:
IQW), -- http://www.quebecorworldinc.com/-- provides market
solutions, including marketing and advertising activities, well
as print solutions to retailers, branded goods companies,
catalogers and to publishers of magazines, books and other
printed media.  It has 127 printing and related facilities
located in North America, Europe, Latin America and Asia.  In
the United States, it has 82 facilities in 30 states, and is
engaged in the printing of books, magazines, directories, retail
inserts, catalogs and direct mail.  In Canada it has 17
facilities in five provinces, through which it offers a mix of
printed products and related value-added services to the
Canadian market and internationally.

The company is an independent commercial printer in Europe with
19 facilities, operating in Austria, Belgium, Finland, France,
Spain, Sweden, Switzerland and the United Kingdom.  In March
2007, it sold its facility in Lille, France.  Quebecor World
(USA) Inc. is its wholly owned subsidiary.

Quebecor World and its debtor-affiliates filed for chapter 11
bankruptcy on Jan. 21, 2008, (Bankr. S.D.N.Y Lead Case No. 08-
10152).  Anthony D. Boccanfuso, Esq., at Arnold & Porter LLP
represents the Debtors in their restructuring efforts.  Donlin,
Recano & Company, Inc. serves as the Debtors claims, notice and
balloting agent.  The Debtors listed total assets of
US$5,554,900,000 and total debts of US$4,140,700,000 when they
filed for bankruptcy.

As of Sept. 30, 2007, Quebecor World's unaudited consolidated
balance sheet showed total assets of US$5,554,900,000, total
liabilities of US$3,964,800,000, preferred shares of
US$175,900,000, and total shareholders' equity of
US$1,414,200,000.

(Quebecor World Bankruptcy News, Issue No. 2; Bankruptcy
Creditors' Service, Inc., http://bankrupt.com/newsstand/or
215/945-7000)


QUEBECOR WORLD: Wants Donlin Recano as Claims and Noticing Agent
----------------------------------------------------------------
Quebecor World Inc. and its debtor-affiliates ask the U.S.
Bankruptcy Court for the Southern District of New York for
authority to employ Donlin, Recano & Company, Inc. as their
claims, notice and balloting agent.

Jeremy Roberts, Senior Vice-President Corporate Finance and
Treasurer of Quebecor World (USA) Inc., states that Bankruptcy
Clerk is not equipped to distribute notices, process all of the
proofs of claim filed, and assist in the balloting process in
the Debtors' Chapter 11 cases.  Thus, an independent third party
is needed to act on these related administrative tasks, he says.

Louis Recano, a principal of Donlin, Recano & Company, Inc.,
relates that the company has served more than 200 clients for
Chapter 11 cases globally and their services include noticing
solutions, claims administration, solicitation planning and
balloting, and plan distribution and tracking.

The Debtors wish to engage with Donlin Recano under terms and
conditions provided in a Standard Claims Administration and
Noticing Agreement.  As set forth in the Agreement, Donlin
Recano will:

   (a) notify all potential creditors of the filing of the
       Debtors' bankruptcy petitions and of the setting of the
       first meeting of creditors;

   (b) maintain an official copy of the Debtors' schedules of
       assets and liabilities and statement of financial
       affairs;

   (c) notify all potential creditors of the existence and
       amount of their respective claims;

   (d) furnish a notice of the last day for the filing of proofs
       of claim and a form for the filing of a proof of claim;

   (e) file with the Clerk an affidavit or certificate of
       service which includes a copy of the notice, a list of
       persons to whom it was mailed, and the date the notice
       was mailed;

   (f) docket all claims received, maintain the official claims
       registers for each of the Debtors on behalf of the
       Clerk, and provide the Clerk with certified duplicate
       unofficial Claims Registers on a monthly basis, unless
       otherwise directed;

   (g) specify, in the applicable Claims Register, the following
       information for each claim docketed: (i) the claim number
       assigned, (ii) the date received, (iii) the name and
       address of the claimant and agent, if applicable, who
       filed the claim, (iv) the filed amount of the claim, if
       liquidated, and (v) the classification(s) of the claim;

   (h) relocate, by messenger, all of the actual proofs of claim
       filed to Donlin, Recano, not less than weekly;

   (i) record all transfers of claims and provide any notices of
       the transfers;

   (j) make changes in the Claims Register;

   (k) upon completion of the docketing process for all claims
       received to date by the Clerk's office, turn over to the
       Clerk copies of the Claims Registers for the Clerk's
       review;

   (1) maintain the Claims Register for public examination
       without charge during regular business hours;

   (m) maintain the official mailing list for each Debtor of all
       entities that have filed a proof of claim;

   (n) assist with, among other things, solicitation,
       calculation, and tabulation of votes and distribution, as
       required in furtherance of confirmation of the Plan;

   (0) provide and maintain a Web site where parties can view
       claims filed, the status of claims, and pleadings or
       other documents filed with the Court by the Debtors;

   (p) 30 days prior to the close of the cases, an order
       dismissing Donlin Recano would be submitted terminating
       its services upon completion of its duties and
       responsibilities; and

   (q) at the close of the case, box and transport all original
       documents in proper format, as provided by the Clerk's
       office, to the Federal Records Center.

The Debtors may further utilize other services offered by Donlin
Recano, including assisting the Debtors in preparing the master
creditor lists, gathering data related to the Debtors' schedules
and maintenance of a post office box for receiving claims.

The Debtors have paid Donlin Recano a retainer of US$50,000.

The firm will charge the Debtors at these rates:

    Senior Bankruptcy Consultant           US$205-250 per hour
    Case Manager                           US$180-200 per hour
    Technology/Programming Consultant      US$115-195 per hour
    Senior Analyst                         US$115-175 per hour
    Jr. Analyst                             US$70-110 per hour
    Clerical                                 US$40-65 per hour

The firm will also charge the Debtors for other services at
their regular rates, including laser printing at US$0.12 per
page, Web hosting at US$250 per month, among other things.

Mr. Recano asserts that the firm is a "disinterested person"
within the meaning of Section 101(14) of the Bankruptcy Code and
holds no interest adverse to the Debtors or their estates for
the matters for which the firm is to be employed.

The firm can be reached at:

             Donlin Recano & Company, Inc.
             419 Park Avenue South
             New York, NY 10016
             Tel: (212) 481-1411
             Fax: (212) 481-1416
             http://www.donlinrecano.com/

Based in Montreal, Quebec, Quebecor World Inc. (TSX: IQW) (NYSE:
IQW), -- http://www.quebecorworldinc.com/-- provides market
solutions, including marketing and advertising activities, well
as print solutions to retailers, branded goods companies,
catalogers and to publishers of magazines, books and other
printed media.  It has 127 printing and related facilities
located in North America, Europe, Latin America and Asia.  In
the United States, it has 82 facilities in 30 states, and is
engaged in the printing of books, magazines, directories, retail
inserts, catalogs and direct mail.  In Canada it has 17
facilities in five provinces, through which it offers a mix of
printed products and related value-added services to the
Canadian market and internationally.

The company is an independent commercial printer in Europe with
19 facilities, operating in Austria, Belgium, Finland, France,
Spain, Sweden, Switzerland and the United Kingdom.  In March
2007, it sold its facility in Lille, France.  Quebecor World
(USA) Inc. is its wholly owned subsidiary.

Quebecor World and its debtor-affiliates filed for chapter 11
bankruptcy on Jan. 21, 2008, (Bankr. S.D.N.Y Lead Case No. 08-
10152).  Anthony D. Boccanfuso, Esq., at Arnold & Porter LLP
represents the Debtors in their restructuring efforts.  The
Debtors listed total assets of US$5,554,900,000 and total debts
of US$4,140,700,000 when they filed for bankruptcy.

As of Sept. 30, 2007, Quebecor World's unaudited consolidated
balance sheet showed total assets of US$5,554,900,000, total
liabilities of US$3,964,800,000, preferred shares of
US$175,900,000, and total shareholders' equity of
US$1,414,200,000.

(Quebecor World Bankruptcy News, Issue No. 2; Bankruptcy
Creditors' Service, Inc., http://bankrupt.com/newsstand/or
215/945-7000)


TENNECO INC: Incurs US$72 Million Net Loss in Fourth Quarter
------------------------------------------------------------
Tenneco has reported a fourth quarter net loss of US$72 million,
or US$1.57 per diluted share, versus net income of US$15
million, or 31-cents per diluted share in fourth quarter 2006.

The loss was due to previously announced charges taken in the
fourth quarter for actions that advance the company's financial
strategy.  These include costs for refinancing a portion of the
company's debt, which will reduce interest expense, and non-cash
tax charges for realigning the European ownership structure,
which more effectively aligns the company's American and
European assets and revenues with liabilities and expenses.
This action will reduce cash taxes and accelerates the use of
United States net operating losses.

Based in Lake Forest, Illinois, Tenneco Inc., (NYSE: TEN) --
http://www.tenneco.com/-- manufactures automotive ride and
emissions control products and systems for both the original
equipment market and aftermarket.  Brands include Monroe(R),
Rancho(R), and Fric Rot ride control products and Walker(R) and
Gillet emission control products.  The company has operations in
Argentina, Japan, and Germany, with its European operations
headquartered in Brussels, Belgium.  The company has
approximately 19,000 employees worldwide.

                        *     *     *

As reported in the Troubled Company Reporter-Europe on
Nov. 6, 2007, Fitch Ratings assigned a rating of 'BB-' to
Tenneco Inc.'s new senior unsecured notes due 2015.  The new
notes replace a portion of the company's existing US$475 million
in 10.25% senior secured second-lien notes for which the company
is tendering.  Fitch said the rating outlook is positive.


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


BLOCKBUSTER INC: Movie Gallery Acquisition Unlikely, COO Says
-------------------------------------------------------------
Acquiring Movie Gallery, Inc., is not part of Blockbuster,
Inc.'s "reshaping" plans for 2008, according to Blockbuster
chairman and chief operating officer James Keyes, reports The
Wall Street Journal.

Mr. Keyes said he wants to stay away from the financially
troubled Movie Gallery and focus more on building Blockbuster's
business.

"We are actually hoping for the ultimate resolution of Movie
Gallery's fate, that they will somehow find a way to survive,
because, frankly, good competition is healthy for an industry,"
Mr. Keyes said in an interview, reports WSJ.

"Blockbuster's challenge is to fix its core business before
considering any sort of aggressive asset or acquisition," Mr.
Keyes said.

                       About Movie Gallery

Based in Dothan, Alabama, Movie Gallery Inc.
-- http://www.moviegallery.com/-- is a home entertainment
specialty retailer.  The company owns and operates 4,600 retail
stores that rent and sell DVDs, videocassettes and video games.

The company and its debtor-affiliates filed for Chapter 11
protection on Oct. 16, 2007 (Bankr. E.D. Va. Case Nos. 07-33849
to 07-33853.  Anup Sathy, Esq., Marc J. Carmel, Esq., and
Richard M. Cieri, Esq., at Kirkland & Ellis LLP, represent the
Debtors. Michael A. Condyles, Esq., and Peter J. Barrett, Esq.,
at Kutak Rock LLP, is the Debtors' local counsel.  The Debtors'
claims & balloting agent is Kutzman Carson Consultants LLC.
When the Debtors' filed for protection from their creditors,
they listed total assets of US$891,993,000 and total liabilities
of US$1,419,215,000.

The Official Committee of Unsecured Creditors has selected
Robert J. Feinstein, Esq., James I. Stang, Esq., Robert B.
Orgel, Esq., and Brad Godshall, Esq., at Pachulski Stang Ziehl &
Jones LLP, as its lead counsel, and Brian F. Kenney, Esq., at
Miles & Stockbridge PC, as its local counsel.

The Debtors' spokeswoman Meaghan Repko said that the company
does not expect to exit bankruptcy protection before the second
quarter of 2008.  The Debtors have asked the Court to extend
their plan-filing exclusive periods to June 13, 2008.

                      About Blockbuster Inc.

Based in Dallas, Texas, Blockbuster Inc. (NYSE: BBI,
BBI.B) -- http://www.blockbuster.com/-- is a leading global
provider of in-home movie and game entertainment, with over
7,800 stores throughout the Americas, Europe, Asia and
Australia.  The company maintains operations in Brazil, Mexico,
Denmark, Italy, Taiwan, Thailand, Australia, among others.
(Movie Gallery Bankruptcy News Issue No. 15; Bankruptcy
Creditors' Service Inc.; http://bankrupt.com/newsstand/or
215/945-7000)

                          *     *     *

As reported in the Troubled Company Reporter-Europe on Dec. 28,
2007, Fitch Ratings affirmed Blockbuster Inc.'s long-term Issuer
Default Rating at 'CCC' and the senior subordinated notes at
'CC/RR6'.  The rating outlook is stable.  The company had
approximately US$991 million of debt outstanding as of
Sept. 30, 2007.


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


DELPHI CORP: To Sell Steering Business to Platinum Equity
---------------------------------------------------------
Delphi Corporation said it will seek approval from the U.S.
Bankruptcy Court for the Southern of New York to sell its
steering and halfshaft businesses to an affiliate of Platinum
Equity at a sale hearing on Feb. 21, 2008.

Delphi said, in a news release, plans to conclude the sale as
soon as all regulatory approvals have been received.

Divestiture solutions firm Platinum Equity, LLC --
http://www.platinumequity.com/-- through affiliate Steering
Solutions Corp., has offered to purchase Delphi's global
steering and halfshaft businesses for US$447,000,000.  Delphi
previously disclosed in January 2007 that it was working on
finalizing a sale and purchase  agreement with Platinum Equity
regarding the sale of the businesses.

Pursuant to a Master Sale And Purchase Agreement dated December
10, 2007, have agreed to sell the global steering and halfshaft
businesses to Platinum Equity, but subject to competitive
bidding at an auction scheduled for January 28, 2008.  Delphi
said that Platinum Equity was the sole bidder for the subject
assets.

Steering Holding, LLC, previously opposed to Platinum Equity's
designation as stalking horse bidder on grounds that (i) the
proposed break up fee and expense reimbursements, which could
reach up to US$8,000,000, is not justified; and (ii) it could
provide a better offer for Delphi's steering and halfshaft
businesses.  The Court, however, denied Steering Holding's
objection, but the party was entitled to submit a competing bid
by January 18, 2008, under the Court-approved protocol.

Under its steering and halfshaft businesses, Delphi designs and
manufactures steering and driveline systems and components for
automotive vehicle manufacturers and adjacent markets.  The
businesses operate 22 manufacturing plants in 15 locations
worldwide, five regional systems engineering centers, and 11
local customer support enters.  In addition, the businesses
employ approximately 9,700 individuals globally, about 5,625 of
whom work in the U.S.  The businesses' customer base includes
major domestic, transnational, and international original
equipment manufacturers, including General Motors Corp., Fiat,
Ford, DaimlerChrysler, and Chevy.  In 2006, the businesses
generated US$2,530,000,000 in revenues.

                       About Delphi Corp.

Headquartered in Troy, Michigan, Delphi Corporation (PINKSHEETS:
DPHIQ) -- http://www.delphi.com/-- is the single supplier of
vehicle electronics, transportation components, integrated
systems and modules, and other electronic technology.  The
company's technology and products are present in more than 75
million vehicles on the road worldwide.  Delphi has regional
headquarters in Japan, Brazil and France.

The company filed for chapter 11 protection on Oct. 8, 2005
(Bankr. S.D.N.Y. Lead Case No. 05-44481).  John Wm. Butler Jr.,
Esq., John K. Lyons, Esq., and Ron E. Meisler, Esq., at Skadden,
Arps, Slate, Meagher & Flom LLP, represent the Debtors in their
restructuring efforts.  Robert J. Rosenberg, Esq., Mitchell A.
Seider, Esq., and Mark A. Broude, Esq., at Latham & Watkins LLP,
represents the Official Committee of Unsecured Creditors.  As of
March 31, 2007, the Debtors' balance sheet showed
US$11,446,000,000 in total assets and US$23,851,000,000 in total
debts.

The Court approved Delphi's First Amended Joint Disclosure
Statement and related solicitation procedures for the
solicitation of votes on the First Amended Plan on Dec. 20,
2007.  The Court convened hearings to consider confirmation of
the Plan beginning Jan. 17, 2008.  The Court entered an order
confirming the Plan on January 25, 2008.

(Delphi Bankruptcy News, Issue No. 109; Bankruptcy Creditors'
Service Inc., http://bankrupt.com/newsstand/or 215/945-7000).


DELPHI CORP: Bankruptcy Court Confirms Amended Chapter 11 Plan
--------------------------------------------------------------
The Honorable Robert D. Drain of the U.S. Bankruptcy Court for
the Southern District of New York entered an order on Jan. 25,
2008, confirming the First Amended Joint Plan of Reorganization,
as modified, of Delphi Corporation and certain of its
affiliates.  The Court ruled that Delphi had met all of the
statutory requirements to confirm its Plan.

"Today's confirmation represents one of the most significant
events of a very complex business reorganization to be completed
during a challenging time in the automotive industry," said
Robert S. "Steve" Miller, Delphi's executive chairman.  "The
industry-changing accomplishments contemplated by this Plan
could not have been achieved without the hard work and continued
focus of our employees, the support of our customers, suppliers
and other stakeholders, and the dedication of our
professionals."

Delphi plans to emerge during the current calendar quarter
following the syndication and closing of approximately
US$6.1 billon of exit financing facilities and satisfaction of
other conditions to the Effective Date of the Plan including
completing the rights offerings provided for under the Plan,
closing of the Investment Agreement with the Plan Investors and
consummation of the Global Settlement Agreement with General
Motors Corp.

"Delphi has substantially achieved all of the objectives that we
identified in our 2006 transformation plan," said Rodney O'Neal,
Delphi's CEO and President.  "Since the chapter 11 cases were
filed in late 2005, we have negotiated amended collective
bargaining agreements with our U.S. unions resulting in more
competitive U.S. operations; entered into comprehensive
settlement and restructuring agreements with General Motors;
made substantial progress in divesting or winding down
facilities and business lines that are not core to Delphi's
future plans; implemented initiatives in our organizational cost
structure to achieve important cost savings and rationalize our
salaried workforce to competitive levels; and obtained pension
funding waivers from the Internal Revenue Service which will
permit Delphi to fund its defined benefit pension plans
following emergence from chapter 11."

Delphi earlier announced broad-based stakeholder support for the
Plan.  Eighty-one% of all voting creditors aggregated across
classes voted to accept the Plan.  Of the total amount voted by
all general unsecured creditor classes, 78% voted to accept the
Plan. More than 70% of the ballots cast and 70% of the total
dollar amount voted by Delphi's senior note claims, TOPrS
claims, and all other claims (including trade claims) segments
each voted separately to accept the Plan.  One hundred% of the
ballots cast in the GM and MDL classes voted to accept the Plan.
Of the approximately 217,000,000 shares voted by shareholders,
78% voted to accept the Plan.  While one class each in two lower
tier Delphi subsidiaries did not accept the Plan, the Bankruptcy
Court confirmed the Plan over the vote of the two subsidiary
dissenting classes holding that Delphi was entitled to confirm
and implement the Plan for several reasons including based on
"new value" contributed by Delphi to the subsidiaries.

Details of the Plan can be found by accessing the Delphi Legal
Information Web site at http://www.delphidocket.com/

                        About Delphi Corp.

Headquartered in Troy, Michigan, Delphi Corporation (PINKSHEETS:
DPHIQ) -- http://www.delphi.com/-- is the single supplier of
vehicle electronics, transportation components, integrated
systems and modules, and other electronic technology.  The
company's technology and products are present in more than
75 million vehicles on the road worldwide.  Delphi has regional
headquarters in Japan, Brazil and France.

The company filed for chapter 11 protection on Oct. 8, 2005
(Bankr. S.D.N.Y. Lead Case No. 05-44481).  John Wm. Butler Jr.,
Esq., John K. Lyons, Esq., and Ron E. Meisler, Esq., at Skadden,
Arps, Slate, Meagher & Flom LLP, represent the Debtors in their
restructuring efforts.  Robert J. Rosenberg, Esq., Mitchell A.
Seider, Esq., and Mark A. Broude, Esq., at Latham & Watkins LLP,
represents the Official Committee of Unsecured Creditors.  As of
March 31, 2007, the Debtors' balance sheet showed
US$11,446,000,000 in total assets and US$23,851,000,000 in total
debts.

The Court approved Delphi's First Amended Joint Disclosure
Statement and related solicitation procedures for the
solicitation of votes on the First Amended Plan on Dec. 20,
2007.  The Court convened hearings to consider confirmation of
the Plan beginning Jan. 17, 2008.

(Delphi Bankruptcy News, Issue No. 109; Bankruptcy Creditors'
Service Inc., http://bankrupt.com/newsstand/or 215/945-7000)


GOODYEAR TIRE: European Unit Eyes Production Cuts in France
-----------------------------------------------------------
The Goodyear Tire & Rubber Company disclosed that its European
Union business unit is planning to reduce tire production at its
two factories in Amiens, France, because their costs are not
competitive.

The action will result in a reduction of up to 500 employees at
the plants and follows a rejection in October 2007 by employees
of company plans to modernize and renovate the plants.

"We have communicated extensively with the trade unions,
explaining the need for major changes," Serge Lussier,
Goodyear's Europe, Middle East and Africa vice president of
manufacturing, said.  "These changes would increase our
competitiveness.  Unfortunately, they have rejected the plan to
improve competitiveness.  Therefore, we have no choice but to
reduce our costs as the plants are currently uncompetitive."

Goodyear said production of some tires impacted by the move
would be transferred to other, lower-cost factories in Europe
and elsewhere.  Some products will be eliminated.

Mr. Lussier said the plan presented in October 2007, requiring
an investment of approximately US$75 million in the two plants,
would allow them to become more competitive, particularly
through the supply of high performance tires.  This would
require a new work pattern, involving four rotating crews
working eight-hour shifts, including weekends.  The plants would
run for 350 days a year, maximizing their usage.

Goodyear employs about 3,800 people in France, of which 2,700
are in the Amiens plants.

                       About Goodyear Tire

Headquartered in Akron, Ohio, The Goodyear Tire & Rubber Company
(NYSE: GT) -- http://www.goodyear.com/-- is the world's largest
tire company.  The company manufactures tires, engineered rubber
products and chemicals in more than 90 facilities in 28
countries.  Goodyear's operations are located in Argentina,
Austria, Chile, Colombia, France, Italy, Guatemala, Jamaica,
Peru, Russia, among others.  Goodyear employs more than 80,000
people worldwide.

                          *     *     *

In June 2007, Standard & Poor's Ratings Services raised its
ratings on Goodyear Tire & Rubber Co., including its corporate
credit rating to 'BB-' from 'B+'.  The ratings still apply to
date.


HEXCEL CORP: Net Income Down to US$13 Million in Fourth Quarter
---------------------------------------------------------------
Hexcel Corporation reported results for the fourth quarter and
full year of 2007.  Net sales from continuing operations during
the quarter were US$317.6 million, 20.8% higher than the
US$262.9 million reported for the fourth quarter of 2006.
Related operating income for the fourth quarter was US$20.8
million, compared to US$17.5 million for the same quarter last
year.

Included within the 2007 operating income figure is US$9.4
million of pension settlement expense associated with the
termination of Hexcel's U.S. defined benefit pension plan and
US$3.2 million of impairment costs on certain purchased
technology and fixed assets, incurred as part of its portfolio
realignment.  Net income from continuing operations for the
fourth quarter of 2007 was US$13.0 million compared to US$17.7
million in 2006.  Net income from continuing operations for the
fourth quarter of 2007 was US$0.20 per share excluding one-time
items of the termination of Hexcel's U.S. defined pension plan,
the impairment costs and favorable tax adjustments.  Net income
for the fourth quarter of 2006 included the benefit from an
after-tax gain of US$9.6 million on the sale of a joint venture
interest.  Adjusted net income in the fourth quarter of 2006 was
US$6.9 million.

Chief Executive Officer David E. Berges commented, "This was a
very good closing quarter to a successful year of significant
transition for Hexcel.  Fourth quarter sales were at record
levels, led by the extremely strong growth in revenues from
aerospace (both commercial and defense) and assisted by strong
sales in the wind energy markets.  Our diluted earnings per
share for the quarter were a solid US$0.20 excluding the one-
time items, as compared to US$0.08 last year."

"For the year, we not only met all of our financial targets, we
accomplished or made great progress on all of our strategic
goals.  Our portfolio realignment is now complete and has
resulted in a more focused Company with better long-term growth
prospects.  Over 80% of our markets and submarkets delivered
double digit growth this year and have the potential to continue
doing so for years to come.  Our restructuring programs have
resulted in a single, lean entity, down from three business
units in 2005.  Our capacity expansion programs are all on
track, new product introductions are being embraced and we are
well positioned for the A350XWB."

"Despite the distractions presented by the restructuring and
business sale transactions, we are pleased with our financial
progress, particularly in the second half.  Adjusted operating
income margin was up for the fourth year in a row, at 11.5% of
sales, 40 basis points better than 2006, despite 30 basis points
of compression from exchange rates.  We have also achieved our
longstanding goal of reducing our net debt to EBITDA leverage
ratio below two times."

"As described in our 2008 Outlook, published in December 2007,
we expect the good growth trends to continue through at least
the next three years, thanks to sustained increases in wind
energy markets and in aircraft production, plus incremental new
programs from customers such as at Airbus, Boeing and USEC.  We
expect continued improvement of our financial performance.
While the impact of the recently announced delays of the 787
have not yet been determined, we are targeting to offset any
negative effects and do not expect it to cause a change in our
2008 earnings outlook of US$0.90 to US$0.95 per diluted share."

                     About Hexcel Corp.

Headquartered in Stamford, Connecticut, Hexcel Corporation
(NYSE: HXL) -- http://www.hexcel.com/-- is an advanced
structural materials company.  It develops, manufactures and
markets lightweight, high-performance structural materials,
including carbon fibers, reinforcements, prepregs, honeycomb,
matrix systems, adhesives and composite structures, used in
commercial aerospace, space and defense and industrial
applications.

The company has operations in Australia, Brazil, China, France
and Japan, among others.

                        *     *     *

In April 2007, Moody's Investors Service has raised the ratings
of Hexcel Corporation, Corporate Family Rating to Ba3 from B1.
The ratings on Hexcel's senior secured credit facility have been
upgraded to Ba1 from Ba2, while the subordinated notes ratings
were upgraded to B1 from B3.  Moody's said the ratings outlook
is stable.


IMMI BAROSTAR: Besancon Court Orders Administration
---------------------------------------------------
The Commercial Court of Besancon decided to place IMMI Barostar
SAS under administration, the Financial Times Ltd. reports
citing Les Echos.

According to the report, the court gave the company six months
to work on a rescue plan.

IMMI blamed slow market performance and a weak dollar for its
financial woes.  FT said that Altitude, Barostar, and Schatz,
IMMI's subsidiaries were financially sound.

Headquartered in Morteau, France, IMMI Barostar SAS manufactures
barometer.  It has 40 workers.


PRIDE INT'L: Awards Ultra-Deepwater Drillship Deal to Samsung
-------------------------------------------------------------
Pride International said in a statement that it has awarded
Samsung Heavy Industries a contract to construct an ultra-
deepwater drillship for Brazilian state-run oil firm Petroleo
Brasileiro SA.

Business News Americas relates that the vessel would be
delivered from the shipyard in the first quarter 2011, after
construction, commissioning and system integrated testing.

According to BNamericas that Petroleo Brasileiro will use the
unit.  The firm has the option to sign a firm contract for up to
seven years.

Pride International told BNamericas that it will get a fixed
daily rate and performance bonus of up to 17% of the daily rate
from Petroleo Brasiliero.  Contract revenues could range from
US$916 million to US$1.24 billion.

The rig will initially be equipped for drilling in water depths
of up to 10,000 feet.  The estimated construction cost of the
rig, which includes commissioning and system integrated testing
but excludes capitalized interest, is US$720 million, BNamericas
states, citing Pride International.

                 About Samsung Heavy Industries

Headquartered in South Korea, Samsung Heavy Industries Company
Limited's principal activity is the manufacturing of ships,
conveyance machines, chemical equipment and construction
equipment.

                    About Petroleo Brasileiro

Headquartered in Rio de Janeiro, Brazil, Petroleo Brasileiro SA
aka Petrobras -- http://www2.petrobras.com.br/ingles/index.asp
-- was founded in 1953.  The company explores, produces,
refines, transports, markets, and distributes oil and natural
gas and power to various wholesale customers and retail
distributors in Brazil.  Petrobras has operations in China,
India, Japan, and Singapore.

                  About Pride International

Headquartered in Houston, Texas, Pride International Inc.
(NYSE: PDE) -- http://www.prideinternational.com/-- provides
onshore and offshore contract drilling and related services in
more than 25 countries, operating a diverse fleet of 277 rigs,
including two ultra-deepwater drillships, 12 semisubmersible
rigs, 28 jackups, 16 tender-assisted, barge and platform rigs,
and 214 land rigs.  The company maintains worldwide operations
in France, Mexico, Kazakhstan, India, and Brazil, among others.

                        *     *     *

As of Nov. 22, 2007, Pride International Inc. carries BB+
corporate credit and unsecured debt ratings to from Standard &
Poor's Ratings Service.  S&P said the outlook is stable.


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


AMCO TONTRAGER: Claims Registration Ends Feb. 19
------------------------------------------------
Creditors of AmCo Tontrager Vertriebs-GmbH & Co. KG have until
Feb. 19, 2008, to register their claims with court-appointed
insolvency manager Michael Bremen.

Creditors and other interested parties are encouraged to attend
the meeting at 9:30 a.m. on March 11, 2008, 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
         Third Floor
         Muehlenstrasse 34
         40213 Duesseldorf
         Germany

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

The insolvency manager can be reached at:

         Michael Bremen
         Sternstr. 58
         40479 Duesseldorf
         Germany

The District Court of Duesseldorf opened bankruptcy proceedings
against AmCo Tontrager Vertriebs-GmbH & Co. KG on Jan. 1, 2008.
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be reached at:

         AmCo Tontrager Vertriebs-GmbH & Co. KG
         Loh 38
         40668 Meerbusch
         Germany

         Attn: Marcel Neidl, Manager
         Oberkasseler Strasse 36 g
         40545 Duesseldorf
         Germany


BAUCENTER ANDREAS: Claims Registration Period Ends Feb. 18
----------------------------------------------------------
Creditors of baucenter Andreas GmbH & Co. KG have until
Feb. 18, 2008, to register their claims with court-appointed
insolvency manager Bruno M. Kuebler.

Creditors and other interested parties are encouraged to attend
the meeting at 2:00 p.m. on March 12, 2008, 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 Moenchengladbach
         Meeting Hall A 14
         Ground Floor
         Hohenzollernstr. 157
         41061 Moenchengladbach
         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. Bruno M. Kuebler
          Berger Dorfstrasse 35
          41189 Moenchengladbach
          Germany
          Tel: 02166/989020
          Fax: 02166/9890229

The District Court of Moenchengladbach opened bankruptcy
proceedings against baucenter Andreas GmbH & Co. KG on
Jan. 1, 2008.  Consequently, all pending proceedings against the
company have been automatically stayed.

The Debtor can be reached at:

          baucenter Andreas GmbH & Co. KG
          Odenkirchener Strasse 249
          41236 Moenchengladbach
          Germany


DENTAL EXCELLENCE: Claims Registration Ends Feb. 19
---------------------------------------------------
Creditors of Dental Excellence GmbH have until Feb. 19, 2008, to
register their claims with court-appointed insolvency manager
Markus Froehlich.

Creditors and other interested parties are encouraged to attend
the meeting at 9:40 a.m. on March 11, 2008, 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 Kempten
         Hall 144/I.
         Residenzplatz 4-6
         87435 Kempten
         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:

         Markus Froehlich
         Ehlersstr. 11
         88046 Friedrichshafen
         Germany
         Tel: (07541) 7008-70
         Fax: (07541) 7008-78

The District Court of Kempten opened bankruptcy proceedings
against Dental Excellence GmbH on Jan. 2, 2008.  Consequently,
all pending proceedings against the company have been
automatically stayed.

The Debtor can be reached at:

         Dental Excellence GmbH
         Europaplatz 1
         88131 Lindau
         Germany


ELEKTRO MELZER: Claims Registration Period Ends Feb. 6
------------------------------------------------------
Creditors of Elektro Melzer GmbH have until Feb. 6, 2008, to
register their claims with court-appointed insolvency manager
Sandra Schiffmann.

Creditors and other interested parties are encouraged to attend
the meeting at 10:45 a.m. on March 5, at which time the
insolvency manager will present her first report on the
insolvency proceedings.

The meeting of creditors will be held at:

         The District Court of Magdeburg
         Hall 13
         Breiter Weg 203 - 206
         39104 Magdeburg
         Germany

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

The insolvency manager can be reached at:

         Sandra Schiffmann
         Hegelstr. 39
         39104 Magdeburg
         Germany
         Tel: 0391/5982244
         Fax: 0391/5982158
         E-mail: magdeburg@waltervonstein.de

The District Court of Magdeburg opened bankruptcy proceedings
against Elektro Melzer GmbH on Jan. 17, 2008.  Consequently, all
pending proceedings against the company have been automatically
stayed.

The Debtor can be reached at:

         Elektro Melzer GmbH
         Attn: Dirk Melzer, Manager
         Siedlerweg 3 a
         39124 Magdeburg
         Germany


FAHRZEUG SERVICE: Claims Registration Period Ends Feb. 18
---------------------------------------------------------
Creditors of Fahrzeug Service GmbH have until Feb. 18, 2008, to
register their claims with court-appointed insolvency manager
Rainer M. Bahr.

Creditors and other interested parties are encouraged to attend
the meeting at 10:00 a.m. on March 31, 2008, 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 Dresden
         Hall D132
         Olbrichtplatz 1
         01099 Dresden
         Germany

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

The insolvency manager can be reached at:

         Rainer M. Bahr
         Obergraben 10
         01097 Dresden
         Germany
         Web site: http://www.hermann-law.de/

The District Court of Dresden opened bankruptcy proceedings
against Fahrzeug Service GmbH on Jan. 17, 2008.  Consequently,
all pending proceedings against the company have been
automatically stayed.

The Debtor can be reached at:

         Fahrzeug Service GmbH
         Scharfenberger Strasse 61
         01139 Dresden
         Germany

         Attn: Steffen Feige, Manager
         Weissenberger Straáe 47
         02708 Loebau
         Germany


FDD FORMULAR: Claims Registration Ends Feb. 19
----------------------------------------------
Creditors of FDD Formular Druck Dresden GmbH have until Feb. 19,
2008, to register their claims with court-appointed insolvency
manager Dr. Christoph Junker.

Creditors and other interested parties are encouraged to attend
the meeting at 10:00 a.m. on March 11, 2008, 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 Dresden
         Hall D131
         Olbrichtplatz 1
         01099 Dresden
         Germany

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

The insolvency manager can be reached at:

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

The District Court of Dresden opened bankruptcy proceedings
against FDD Formular Druck Dresden GmbH on Jan. 1, 2008.
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be reached at:

         FDD Formular Druck Dresden GmbH
         Attn:  Hans-Juergen Klemm, Karsten Weinberg and
         Joerg Pribil, Managers
         Breitscheidstr. 45
         01156 Dresden
         Germany


H+S ENTERTAINMENT: Claims Registration Period Ends Feb. 5
---------------------------------------------------------
Creditors of H+S Entertainment Verwaltungs GmbH have until
Feb. 5, 2008, to register their claims with court-appointed
insolvency manager Frank Bassermann.

Creditors and other interested parties are encouraged to attend
the meeting at 9:30 a.m. on March 18, 2008, at which time the
insolvency manager will present his first report on the
insolvency proceedings.

The meeting of creditors will be held at:

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

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

The insolvency manager can be reached at:

         Frank Bassermann
         Lorenzstr. 29
         76135 Karlsruhe
         Germany

The District Court of Karlsruhe opened bankruptcy proceedings
against H+S Entertainment Verwaltungs GmbH on Jan. 16, 2008.
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be reached at:

         H+S Entertainment Verwaltungs GmbH
         Attn: Juergen Soinegg, Manager
         Amalienstr. 47
         76133 Karlsruhe
         Germany


KARLSRUHE EINS: Claims Registration Period Ends Feb. 18
-------------------------------------------------------
Creditors of Karlsruhe Eins Verwaltungsgesellschaft Leipzig West
mbH have until Feb. 18, 2008, to register their claims with
court-appointed insolvency manager Lucas F. Floether.

Creditors and other interested parties are encouraged to attend
the meeting at 10:30 a.m. on March 18, 2008, at which time the
insolvency manager will present his first report on the
insolvency proceedings.

The meeting of creditors will be held at:

         The District Court of Leipzig
         Hall 056
         Ground Floor
         Enforcement Court
         Bernhard Goering Strasse 64
         04275 Leipzig
         Germany

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

The insolvency manager can be reached at:

          Dr. Lucas F. Floether
          Specks Hof Eingang C
          Nikolaistrasse 3-5
          04109 Leipzig
          Germany
          Tel: 0341/652200
          Fax: 0341/65220111

The District Court of Leipzig opened bankruptcy proceedings
against Karlsruhe Eins Verwaltungsgesellschaft Leipzig West mbH
on Jan. 2, 2008.  Consequently, all pending proceedings against
the company have been automatically stayed.

The Debtor can be reached at:

          Karlsruhe Eins Verwaltungsgesellschaft
          Leipzig West mbH
          Attn: Ludger Zdarta, Manager
          Antonienstrasse 20
          04229 Leipzig
          Germany


LOELL'S WURSTER: Claims Registration Period Ends Feb. 18
--------------------------------------------------------
Creditors of Loell's Wurster Backhus GmbH have until
Feb. 18, 2008, to register their claims with court-appointed
insolvency manager Christian Strauss.

Creditors and other interested parties are encouraged to attend
the meeting at 10:00 a.m. on March 17, 2008, 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 Cuxhaven
         Hall 112
         Old Building
         Deichstr. 12 A
         27472 Cuxhaven
         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. Christian Strauss
          Friedrich-Missler-Str. 42
          28211 Bremen
          Germany
          Tel: 0421 79262-60
          Fax: 0421 79262-85

The District Court of Cuxhaven opened bankruptcy proceedings
against Loell's Wurster Backhus GmbH on Jan. 11, 2008.
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be reached at:

          Loell's Wurster Backhus GmbH
          Attn: Wolfgang Schulmann, Manager
          Speckenstr. 4
          27632 Dorum
          Germany


MERIDIAN VERWALTUNGS: Claims Registration Ends Feb. 18
------------------------------------------------------
Creditors of Meridian Verwaltungsgesellschaft mbH have until
Feb. 18, 2008, to register their claims with court-appointed
insolvency manager Georg F. Kreplin.

Creditors and other interested parties are encouraged to attend
the meeting at 1:00 p.m. on March 6, 2008, at which time the
insolvency manager will present his first report on the
insolvency proceedings.

The meeting of creditors will be held at:

         The District Court of Essen
         Meeting Hall 293
         Second Floor
         Zweigertstr. 52
         45130 Essen
         Germany

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

The insolvency manager can be reached at:

          Georg F. Kreplin
          Limbecker Platz 1
          45127 Essen
          Germany

The District Court of Essen opened bankruptcy proceedings
against Meridian Verwaltungsgesellschaft mbH on Jan. 4, 2008.
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be reached at:

          Meridian Verwaltungsgesellschaft mbH
          Attn: Martin Steiner, Manager
          Rellinghauser Str. 334 H
          45136 Essen
          Germany


MOEBEL MAIWALD: Claims Registration Period Ends Feb. 18
-------------------------------------------------------
Creditors of Moebel Maiwald GmbH have until Feb. 18, 2008, to
register their claims with court-appointed insolvency manager
Dirk Herzig.

Creditors and other interested parties are encouraged to attend
the meeting at 9:30 a.m. on March 31, 2008, 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 Dresden
         Hall D131
         Olbrichtplatz 1
         01099 Dresden
         Germany

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

The insolvency manager can be reached at:

          Dr. Dirk Herzig
          Boltenhagener Platz 9
          01109 Dresden
          Germany
          Web site: http://www.schubra.de/

The District Court of Dresden opened bankruptcy proceedings
against Moebel Maiwald GmbH on Jan. 9, 2008.  Consequently, all
pending proceedings against the company have been automatically
stayed.

The Debtor can be reached at:

          Moebel Maiwald GmbH
          Alte Bahnhofstr. 4
          02999 Lohsa
          Germany


PIN GROUP: Private Equity Firms In Talks to Acquire Business
------------------------------------------------------------
The Blackstone Group, Kohlberg Kravis Roberts & Co., Advent
International Corp. have expressed interest in acquiring PIN
Group AG, which is expected to go bust at the end of February,
Bloomberg News reports, citing Focus.

According to Bloomberg, the private equity firms have held
preliminary talks with Horst Piepenburg, head of the management
board at PIN.

Thomas Schulz, a spokesman for PIN, confirmed that negotiations
over the sale of the company started two weeks ago, although he
refused to reveal the identity of the potential buyers,
Bloomberg relates.

Meanwhile, 19 of PIN's 91 subsidiaries are set to file for
insolvency this week, the FT relates.   The company's
insolvencies has now totaled to 37.

The insolvencies came after publishing group Axel Springer AG,
which owns a 63.7% stake in PIN, resolved to stop funding the
company following the German government's decision to introduce
minimum wages of EUR8- EUR9.80 for the postal industry.

A TCR-Europe report on Jan. 18, 2008, disclosed that Mr.
Piepenburg is looking to sell the company as a whole as he tries
to avert further insolvencies.

However, the Financial Times says, citing Handelsblatt, Mr.
Piepenburg also admitted a possible division of PIN and the
disposal of individual regional subsidiaries if he fails to sell
the company in its entirety.

                        About PIN Group AG

Headquartered in Luxembourg, PIN Group AG -- http://www.pin-
group.net/ -- provides postal services across Germany.  The
group has more than 60 regional subsidiaries, and in 2006 became
a national integrated provider by setting up an efficient
nationwide distribution network.


PIN GROUP: To Carry Out Statutory Minimum Wage This Month
---------------------------------------------------------
PIN Group AG, which currently pays its employees an average of
EUR7.50 per hour, is to implement the statutory postal minimum
wage of between EUR8-EUR9.80 per hour this month, Thomson
Financial reports, citing Focus Online.

PIN's move, The Financial Times says, citing Handelsblatt, is
aimed at retaining public customers, including municipal
authorities and ministries.

A TCR-Europe report on Jan. 18, 2008, disclosed that the minimum
wage would cost PIN, which has 9,000 employees, up to EUR45
million, although "most of the costs are expected to be covered
by a form of state reimbursement."

Meanwhile, 19 of PIN's 91 subsidiaries are set to file for
insolvency this week, the FT relates.   The company's
insolvencies has now totaled to 37.

As previously stated in a TCR-Europe report, the insolvencies
came after publishing group Axel Springer AG, which owns a 63.7%
stake in PIN, resolved to stop funding the company following the
German government's decision to introduce minimum wages of EUR8-
EUR9.80 for the postal industry.

                        About PIN Group AG

Headquartered in Luxembourg, PIN Group AG -- http://www.pin-
group.net/ -- provides postal services across Germany.  The
group has more than 60 regional subsidiaries, and in 2006 became
a national integrated provider by setting up an efficient
nationwide distribution network.


SCHUSTER UMWELTDIENST: Claims Registration Period Ends Feb. 8
-------------------------------------------------------------
Creditors of Schuster Umweltdienst GmbH & Co. KG have until
Feb. 8, 2008, to register their claims with court-appointed
insolvency manager Dr. Ruediger Werres.

Creditors and other interested parties are encouraged to attend
the meeting at 10:40 a.m. on March 20, 2008, at which time the
insolvency manager will present his first report on the
insolvency proceedings.

The meeting of creditors will be held at:

         The District Court of Cologne
         Meeting Hall 142
         First Floor
         Luxemburger Strasse 101
         50939 Cologne
         Germany

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

The insolvency manager can be reached at:

          Dr. Ruediger Werres
          Friesenplatz 17a
          50672 Cologne
          Germany
          Tel: 0221/9514 46-20
          Fax: +4922195144690

The District Court of Cologne opened bankruptcy proceedings
against Schuster Umweltdienst GmbH & Co. KG on Jan. 1, 2008.
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be reached at:

          Schuster Umweltdienst GmbH & Co. KG
          Betriebsweg 2
          51645 Gummersbach
          Germany


SDS GMBH: Claims Registration Period Ends Feb. 18
-------------------------------------------------
Creditors of SDS GmbH have until Feb. 18, 2008, to register
their claims with court-appointed insolvency manager Ruediger
Werres.

Creditors and other interested parties are encouraged to attend
the meeting at 10:20 a.m. on March 20, 2008, at which time the
insolvency manager will present his first report on the
insolvency proceedings.

The meeting of creditors will be held at:

         The District Court of Cologne
         Meeting Hall 142
         First Floor
         Luxemburger Strasse 101
         50939 Cologne
         Germany

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

The insolvency manager can be reached at:

         Dr. Ruediger Werres
         Friesenplatz 17a
         50672 Cologne
         Germany
         Tel: 0221/9514 46-20
         Fax: +4922195144690

The District Court of Cologne opened bankruptcy proceedings
against SDS GmbH on Jan. 1, 2008.  Consequently, all pending
proceedings against the company have been automatically stayed.

The Debtor can be reached at:

          SDS GmbH
          Betriebsweg 2
          51645 Gummersbach
          Germany


SPASS IM PARK: Claims Registration Period Ends Feb. 3
-----------------------------------------------------
Creditors of SPASS IM PARK GmbH have until Feb. 3, 2008, to
register their claims with court-appointed insolvency manager
Dr. Ralf Sinz.

Creditors and other interested parties are encouraged to attend
the meeting at 9:10 a.m. on March 3, 2008, at which time the
insolvency manager will present his first report on the
insolvency proceedings.

The meeting of creditors will be held at:

         The District Court of Cologne
         Meeting Hall 1240
         Luxemburger Strasse 101
         50939 Cologne
         Germany

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

The insolvency manager can be reached at:

         Dr. Ralf Sinz
         Zeughausstrasse 28-38
         50667 Koeln
         Germany
         Tel: 9 21 22 23
         Fax: +492219212221.

The District Court of Cologne opened bankruptcy proceedings
against SPASS IM PARK GmbH on Nov. 30, 2007.  Consequently, all
pending proceedings against the company have been automatically
stayed.

The Debtor can be reached at:

         SPASS IM PARK GmbH
         Im Mediapark 4 a
         50670 Koeln
         Germany

         Attn: Wladislaw Kupermann, Manager
         Mauritussteinweg 9
         50676 Koeln
         Germany


SPATH GMBH: Claims Registration Period Ends Feb. 18
---------------------------------------------------
Creditors of Spath GmbH & Co. KG have until Feb. 18, 2008, to
register their claims with court-appointed insolvency manager
Dr. Wolfgang Bilgery.

Creditors and other interested parties are encouraged to attend
the meeting at 9:00 a.m. on March 12, 2008, at which time the
insolvency manager will present his first report on the
insolvency proceedings.

The meeting of creditors will be held at:

         The District Court of Stuttgart
         Hall 13
         Ground Floor
         Hauffstr. 5 (Am Neckartor)
         70190 Stuttgart
         Germany

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

The insolvency manager can be reached at:

          Dr. Wolfgang Bilgery
          Humboldtstr. 16
          70178 Stuttgart
          Germany
          Tel: 0711/96 6890
          Fax: 0711/96 68919

The District Court of Stuttgart opened bankruptcy proceedings
against Spath GmbH & Co. KG on Dec. 31, 2008.  Consequently, all
pending proceedings against the company have been automatically
stayed.

The Debtor can be reached at:

          Spath GmbH & Co. KG
          Wilhelm-Stahle-Str. 5
          70736 Fellbach
          Germany


TEKIN BAU: Claims Registration Period Ends Feb. 18
--------------------------------------------------
Creditors of TEKIN Bau GmbH have until Feb. 18, 2008, to
register their claims with court-appointed insolvency manager
Dr. Andreas Roepke.

Creditors and other interested parties are encouraged to attend
the meeting at 10:00 a.m. on March 4, 2008, 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
         Hall C205
         Second 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:

          Dr. Andreas Roepke
          Muelheimer Strasse 100
          47057 Duisburg
          Germany

The District Court of Duisburg opened bankruptcy proceedings
against TEKIN Bau GmbH on Jan. 9, 2008.  Consequently, all
pending proceedings against the company have been automatically
stayed.

The Debtor can be reached at:

          TEKIN Bau GmbH
          Paul-Esch-Str. 54
          47053 Duisburg
          Germany


WEITRONIC GMBH: Claims Registration Period Ends Feb. 18
-------------------------------------------------------
Creditors of Weitronic GmbH have until Feb. 18, 2008, to
register their claims with court-appointed insolvency manager
Bettina Kriegel.

Creditors and other interested parties are encouraged to attend
the meeting at 10:00 a.m. on March 31, 2008, 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 Offenburg
         Hall 0.005
         Hindenburgstr. 5
         77654 Offenburg
         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:

         Bettina Kriegel
         Zeller Str. 101/107
         77654 Offenburg
         Germany

The District Court of Offenburg opened bankruptcy proceedings
against Weitronic GmbH on Jan. 1, 2008.  Consequently, all
pending proceedings against the company have been automatically
stayed.

The Debtor can be reached at:

          Weitronic GmbH
          Friedrichstr. 71
          77654 Offenburg
          Germany


WSW BAUTAGER: Claims Registration Ends Feb. 18
----------------------------------------------
Creditors of WSW Bautager u. Immobilien GmbH & Co. KG have until
Feb. 18, 2008, to register their claims with court-appointed
insolvency manager Rainer U. Mueller.

Creditors and other interested parties are encouraged to attend
the meeting at 10:00 a.m. on March 17, 2008, 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 Augsburg
         Meeting Hall 162
         Alten Einlass 1
         86150 Augsburg
         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:

         Rainer U. Mueller
         Schiessstattenstr. 15
         86159 Augsburg
         Germany

The District Court of Augsburg opened bankruptcy proceedings
against WSW Bautager u. Immobilien GmbH & Co. KG on Dec. 20,
2007.  Consequently, all pending proceedings against the company
have been automatically stayed.

The Debtor can be reached at:

         WSW Bautager u. Immobilien GmbH & Co. KG
         Attn: Sabine Willert, Manager
         Oberlanderstr. 7
         86438 Kissing
         Germany


ZECHEN GASTRO: Claims Registration Ends Feb. 18
-----------------------------------------------
Creditors of Zechen Gastro GmbH have until Feb. 18, 2008, to
register their claims with court-appointed insolvency manager
Harald Heinze.

Creditors and other interested parties are encouraged to attend
the meeting at 10:30 a.m. on Feb. 19, 2008, at which time the
insolvency manager will present his first report on the
insolvency proceedings.

The meeting of creditors will be held at:

         The District Court of Leipzig
         Hall 145
         Ground Floor
         Enforcement Court
         Bernhard Goering Strasse 64
         04275 Leipzig
         Germany

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

The insolvency manager can be reached at:

         Harald Heinze
         Getzelauer Strasse 2
         04279 Leipzig
         Germany
         Tel: 0341/3360941
         Fax: 0341/3360934
         E-mail: heinze@paul-inso.de

The District Court of Leipzig opened bankruptcy proceedings
against "Zechen" Gastro GmbH on Jan. 3, 2008.  Consequently, all
pending proceedings against the company have been automatically
stayed.

The Debtor can be reached at:

         "Zechen" Gastro GmbH
         Attn: Maik Koehler, Manager
         Alte Brikettfabrik 2
         04552 Borna
         Germany


=============
H U N G A R Y
=============


PROPEX INC: Gets Interim OK to Use BNP Paribas' Cash Collateral
---------------------------------------------------------------
The Hon. John C. Cook of the U.S. Bankruptcy Court for the
Eastern District of Tennessee authorizes Propex Inc. and its
debtor-affiliates, on an interim basis, to use BNP Paribas
Securities Corp.'s cash collateral, pursuant to and limited by
the provisions of a DIP budget.  A copy of the budget has not
been filed with the Court.

The Court grants BNP Paribas a valid perfected replacement lien
on all of the Collateral subordinate only to:

    (i) the Permitted Prepetition Liens;
   (ii) the DIP Lenders' security interests and liens; and
  (iii) the Carve-Out.

As reported in the Troubled Company Reporter on Jan. 23, 2008,
Henry J. Kaim, Esq., at King & Spalding, LLP, in Houston, Texas,
proposed lead counsel of the Debtors, relates that the Debtors
require the immediate use of the Cash Collateral and financing
for, among other things, the purchase of their inventory,
maintenance of their facilities, and other working capital
needs.

Prior to Jan. 18, 2008, the working capital needs of the Debtors
were met primarily by a US$360 million senior credit facility.
Pursuant to the terms and conditions of a prepetition credit
agreement and related documents, a syndicate of financial
institutions arranged by BNP Paribas Securities Corp., which
serves as administrative agent for the lender, agreed to provide
the senior credit facility, comprised of a US$260 million term
loan, a US$50 million revolving facility and a US$50 million
bridge loan facility.  The Prepetition Credit Facility was
secured by perfected, valid, binding and non-avoidable first
priority security interests and liens upon substantially all of
the assets of the Debtors.

The Debtors' right to use Cash Collateral will automatically
terminate on the date that is the earlier of 10 days after an
Event of Default under the DIP Facility or the maturity date of
the DIP Facility, the Court clarifies.

                          About Propex

Headquartered in Chattanooga, Tennessee, Propex Inc. --
http://www.propexinc.com/-- produces geosynthetic, concrete,
furnishing, and industrial fabrics and fiber.  It is produces
primary and secondary carpet backing.  Propex operates in
Brazil, Mexico, Germany, Hungary, and the United Kingdom.

The company and its debtor-affiliates filed for Chapter 11
protection on Jan. 18, 2008, (Bankr. E.D. Tenn. Case No. 08-
10249).  The debtors' has selected Edward L. Ripley, Esq., Henry
J. Kaim, Esq., and Mark W. Wege, Esq. at King & Spalding, in
Houston, Texas, to represent them.  As of Sept. 30, 2007, the
debtors' balance sheet showed total assets of US$585,700,000 and
total debts of US$527,400,000.  (Propex Bankruptcy News, Issue
No. 3; Bankruptcy Creditors' Service Inc.,
http://bankrupt.com/newsstand/or 215/945-7000)


PROPEX INC: Wants Until April 2 to File Schedules & Statements
--------------------------------------------------------------
Propex Inc. and its debtor-affiliates ask permission from the
U.S. Bankruptcy Court for the Eastern District of Tennessee to
extend time for them to file their Schedules and Statements
through and including April 2, 2008.

The Debtors are required under Rule 1007(c) of the Federal Rules
of Bankruptcy Procedure to file their Schedules of Assets and
Liabilities and Statements of Financial Affairs within 15 days
after the Petition Date.

The Debtors' proposed bankruptcy counsel, Henry J. Kaim, Esq.,
at King & Spalding, LLP, in Houston, Texas, explains, however,
that the size of the Debtors' business operations, which spans
North America, Europe, and Brazil, makes it difficult for them
to compile all of the necessary business records required to
file an accurate financial information with the Court within the
time alloted under the Bankruptcy Code.

Consequently, the Debtors will not be able to satisfactorily
prepare the Schedules and Statements within 15 days as outlined
in Bankruptcy Rule 1007(c), Mr. Kaim notes.  The Debtors
anticipate that they will need a minimum of 75 days within which
to prepare and file the Schedules and Statements in the
appropriate format.

Mr. Kaim contends that the Debtors' request will not prejudice
any party-in-interest.  The Debtors have filed a list setting
forth the names and addresses of all their creditors and a list
setting forth the names, addresses and claim amounts of
creditors holding the 30 largest unsecured claims.  Thus, he
notes, the Office of the U.S. Trustee has the information
necessary for the formation of an unsecured creditors committee.

                        About Propex

Headquartered in Chattanooga, Tennessee, Propex Inc. --
http://www.propexinc.com/-- produces geosynthetic, concrete,
furnishing, and industrial fabrics and fiber.  It is produces
primary and secondary carpet backing.  Propex operates in
Brazil, Mexico, Germany, Hungary, and the United Kingdom.

The company and its debtor-affiliates filed for Chapter 11
protection on Jan. 18, 2008, (Bankr. E.D. Tenn. Case No. 08-
10249).  The debtors' has selected Edward L. Ripley, Esq., Henry
J. Kaim, Esq., and Mark W. Wege, Esq. at King & Spalding, in
Houston, Texas, to represent them.  As of Sept. 30, 2007, the
debtors' balance sheet showed total assets of US$585,700,000 and
total debts of US$527,400,000.  (Propex Bankruptcy News, Issue
No. 3; Bankruptcy Creditors' Service Inc.,
http://bankrupt.com/newsstand/or 215/945-7000)


SUN MICROSYSTEMS: Earns US$260 Mln in Second Qtr. Ended Dec. 30
---------------------------------------------------------------
Sun Microsystems, Inc., reported results for its fiscal second
quarter, which ended Dec. 30, 2007.

Revenues for the second quarter of fiscal 2008 were US$3.615
billion, an increase of approximately 1.4% as compared with
US$3.566 billion for the second quarter of fiscal 2007.  Total
gross margin as a% of revenues was 48.5, an increase of 3.5%age
points, as compared with the second quarter of fiscal 2007.

Net income for the second quarter of fiscal 2008 on a GAAP basis
was US$260 million, as compared with a net income of US$133
million, for the second quarter of fiscal 2007.  GAAP net income
for the second quarter of fiscal 2008 included a US$32 million
restructuring charge.

Cash generated from operations for the second quarter of fiscal
2008 was US$336 million, and the cash and marketable debt
securities balance at the end of the quarter was US$4.677
billion.

"Today's results clearly demonstrate steady progress against our
financial targets and highlight the accelerating demand set to
fuel growth in the back half of the fiscal year," said Jonathan
Schwartz, Chief Executive Officer of Sun Microsystems.
"Headlining the results were improved margins and strong
bookings along with double digit growth in emerging markets
including India, China, Latin America, Eastern Europe, the
Middle East and Africa.  Adding to the momentum were the
SolarisTM Operating System OEM agreement with Dell and our
introduction of the industry's first open source datacenter
virtualization and management platform, Sun xVM."

Headquartered in Santa Clara, California, Sun Microsystems Inc.
(NASDAQ: SUNW) -- http://www.sun.com/-- provides network
computing infrastructure solutions that include computer
systems, data management, support services and client solutions
and educational services.  It sells networking solutions,
including products and services, in most major markets worldwide
through a combination of direct and indirect channels.

Sun Microsystems conducts business in 100 countries around the
globe, including Brazil, Argentina, India, Hungary, United
Kingdom, Singapore, among others.

                        *     *     *

Sun Microsystems Inc. carries Moody's "Ba1" probability of
default and long-term corporate family ratings with a stable
outlook.  The ratings were placed on Sept. 22, 2006, and
Sept. 22, 2005, respectively.

Sun Microsystems also carries Standard & Poor's "BB+" long-term
foreign and local issuer credit ratings, which were placed on
March 5, 2004, with a stable outlook.


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


ALITALIA SPA: Political Crisis Spurs Parties to Speed Up Talks
--------------------------------------------------------------
Alitalia S.p.A. and Air France-KLM want to finalize the offer
sheet for the Italian government's 49.9% stake in the national
carrier weeks before the agreed deadline, Thomson Financial
reports citing Finanza & Mercati as its source.

The parties had planned to present a final contract within eight
weeks, but cut the period to four-to-five weeks following the
Italian political crisis, Finanza & Mercati relates.

Negotiations commenced mid-January 2008 following a go-signal
from the current administration, led by Romano Prodi.

Mr. Prodi tendered his resignation as Prime Minister on
Jan. 24, 2008, after losing a confidence vote in the Senate.
Mr. Prodi earlier lost a majority in the Italian Senate after
the Udeur party left the coalition government.  Mr. Prodi had
survived a confidence vote in the lower parliamentary.
President Giorgio Napolitano said he will defer a decision to
accept the resignation pending consultations with all the
political parties in the Parliament, BBC News relates.

"We confirm that it is our strong determination to present the
definitive offer within the timetable set out," Reuters reports
citing a source close to Air France.  "Despite the political
situation the Alitalia dossier remains a priority."

                        Calls for Review

Meanwhile, Roberto Formigoni, president of Italy's Lombardy
region, called for a reconsideration of the current exclusive
talks between Alitalia and Air France, citing the collapse of
the Prodi administration, Bloomberg News reports.

Mr. Formigoni and several politician and businessmen are
opposing Air France's plan to downscale Alitalia's operations in
Milan's Malpensa airport, Bloomberg News relates.

"Our priority is to ensure Alitalia is sold to a company that
keeps a service throughout the nation," Mr. Formigoni told
Bloomberg News.

Marco Tronchetti Provera, chairman of Pirelli & C. S.p.A., aired
a similar sentiment, saying that Malpensa should be a priority
in Alitalia's sales talks, Bloomberg News says.

"If we start to see concrete ideas about the relaunching of the
airport system, businessmen are ready to invest," Mr. Provera
was quote by Finanza & Mercati as saying.

As reported in the TCR-Europe on Jan. 24, 2008, Italian
ministers assured that the current political crisis in the
country will not affect sale talks.

"[Alitalia Chairman Maurizio] Prato has full powers to conduct
and conclude talks with Air France, with the duty to keep the
minister informed, even during a government crisis," Transport
Minister Alessandro Bianchi told Reuters.

"Nothing changes, even if there is a government crisis,"
Economic Development Minister Pierluigi Bersani told Thomson
Financial.

As reported in the TCR-Europe on Jan. 17, 2007, Alitalia and
Italy have commenced exclusive sale talks with Air France-KLM.
The carriers have two months to reach an agreement, which would
be approved by the government.

Tommaso Padoa Schioppa, Italy's finance minister, has delivered
a letter to Alitalia S.p.A. approving the commencement of
exclusive talks with Air France-KLM.

In its non-binding offer, Air France 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.

Air France CEO Jean-Cyril Spinetta confirmed plans to cut 1,700
jobs and defended plans to downsize Alitalia's operations in
Milan's Malpensa airport.

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.


FIAT SPA: Posts EUR58.5 Billion in Revenues for Fiscal Year 2007
----------------------------------------------------------------
Fiat S.p.A. reported EUR58.5 billion in revenues for year ended
2007 compared with EUR51.8 billion in revenues for the year
ended 2006.  The revenues are driven by increased activity
across all major industrial businesses.

The Automobiles businesses posted revenues of EUR29 billion, on
the back of higher sales volumes at Fiat Group Automobiles,
whose revenues rose 13.1% to EUR26.8 billion.  Significant
contributions also came from Ferrari, whose revenues increased
15.3%, and Maserati, which recorded revenue growth of 33.7%.

Iveco had revenues of EUR11.2 billion due to outstanding sales
volume and improved pricing.

CNH-Case New Holland closed with revenues of EUR11.8 billion, up
12.5% from EUR10.5 billion in 2006.

Revenues in the Components and Production Systems businesses
totaled EUR13.4 billion, an overall increase of 8.2%.  Sales
increased 15.1% at FPT Powertrain Technologies and 12.2% at
Magneti Marelli.  Teksid revenues decreased by 20.0%, from
EUR783 million in 2007 from EUR979 million in 2006, in absolute
terms, mainly due to changes in the scope of consolidation

Comau reported a decline of 14.9%, in line with the reshaping of
the business initiated in 2006.

In the fourth quarter of 2007, Fiat Group revenues totaled
EUR15.8 billion, a 14.1% increase over EUR13.9 billion for the
fourth quarter in 2006, with all major sectors contributing to
the improvement.

In 2007, trading profit totaled EUR3.23 billion, an increase of
65.7% compared to the EUR1.95 million reported in 2006.  The
Automobiles businesses achieved trading profit of EUR1.09
million.

Fiat Group Automobiles, in particular, had a trading profit of
EUR803 million, an increase of EUR512 million compared to 2006,
while trading margin grew from 1.2% in 2006 to 3.0% in 2007.

Ferrari's trading profit totaled EUR266 million, an increase of
45.4%.  For the first time since its acquisition by Fiat in
1993, Maserati was profitable in 2007, achieving a trading
profit of EUR24 million against a loss of EUR33 million in
2006.

Agricultural and Construction Equipment had a trading profit of
EUR990 million, exceeding by EUR253 million the 2006 level;
trading margin grew from 7.0% in 2006 to 8.4% in 2007.

Iveco's trading profit also improved sharply from EUR546 million
in 2006 to EUR813 million in 2007, an increase of EUR267 million
or 48.9%.

In 2007, the Components and Production Systems business posted
trading profit of EUR509 million, representing a trading margin
of 3.8%.  The EUR161 million overall improvement reflects higher
trading profit at FPT Powertrain Technologies and Magneti
Marelli, and a much reduced loss at Comau, whose reshaping plan
is starting to bear fruit.

Teksid's trading profit, down EUR9 million, improved by EUR16
million on a comparable scope of operations.

For the fourth quarter of 2007, trading profit was EUR947
million, up EUR405 million or 74.7% over Q4 2006, with
improvements across all businesses.

Operating income for the year totaled EUR3.15 billion. The
EIR1.09 million improvement from 2006 reflects higher trading
profit for EUR1.28 million, reduced by the difference of
EUR191 million in unusual items year-over-year

Gains of disposals worth EUR190 million in 2007 were more than
offset by restructuring costs of EUR105 million and other
one-off expenses of EUR166 million mainly related to the
remaining class of strategic suppliers in need of
rationalization.

In 2007, net financial expenses totaled EUR564 million and
included the positive impact of EUR70 million from two stock
option-related equity swaps, the financing costs for pension
plans and other employee benefits for EUR155 million, as well as
the one-off cost of EUR43 million related to the accelerated
redemption of CNH senior notes due 2011.

Investment income totaled EUR185 million in 2007, versus EUR156
million in 2006.  Income before taxes amounted to EUR2.77
million in 2007, against EUR1.64 million in 2006.

The improvement of EUR1.13 million is due to the EUR1.09 million
increase in operating income, lower net financial expenses of
EUR12 million and the increase of EUR29 million in investment
income.

Income taxes totaled EUR719 million, representing an effective
tax rate of 25.9%, at the low end of the expected income tax
rate range.

In 2007, net income before minority interest was EUR2.05
million, compared with income of EUR1.15 million in 2006.

Net industrial debt turned from EUR1.77 million at the end of
2006 to a net industrial cash position of EUR355 million at 2007
year end, reflecting strong net industrial cash flow of
approximately EUR2.7 billion, mainly as a result of positive
operating performance, partially offset by dividend distribution
of EUR0.3 billion and share repurchase for EUR0.4 billion.

Fiat Group's capital expenditures in 2007 for industrial
operations amounted to EUR3.7 billion, an increase of EUR0.8
billion against 2006.

The Group's cash position at December 31, 2007 was EUR6.9
billion compared with EUR8 billion at Dec. 31, 2006.  The
decrease follows the net reduction in external debt of about
EUR2.2 billion.

                       Outlook for 2008

The Western European automobile market is expected to remain
stable in 2008.  In this context, Fiat Group Automobiles expects
to gain market share in Italy and Western Europe, continuing to
leverage on the recently introduced Fiat 500, Fiat Bravo, Fiat
Linea, on the 2008 new model launches, as well as on new
engines.

The Brazilian market should continue to grow, posting in 2008 an
increase of more than 10% compared to 2007, and Fiat operations
are expected to maintain their leadership of the Brazilian
market.

Higher spending in advertising and network investments will
support Fiat Group Automobiles targeted volume growth of
approximately 200,000 units in 2008.

The agricultural equipment market is expected to grow in North
America, Europe and in Latin America and to remain flat in the
Rest of the World.  High global commodity prices and low levels
of agricultural stocks will lead to strong net farm incomes.
Increasing demand for corn and sugar cane to produce fuel
ethanol continues to support equipment sales.

The construction equipment market is expected to grow in Europe
and in the rest of the world, to be flat in Latin America and to
decrease in North America.  In the United States, further
declines in residential construction should be partly offset by
higher nonresidential and heavy construction activity. In North
America, housing starts are expected to continue declining but
will potentially stabilize later in the year; housing starts are
expected to be flat in Europe, Latin America and in the rest of
the world.

In this context, CNH expects to achieve a strong improvement in
unit volume along with continuing market share gains.  Momentum
of positive net pricing offsetting increases in certain raw
materials and components will continue.  In Western Europe, the
market for light, medium and heavy commercial vehicles is
expected to keep on growing, notably in the first half of the
year.

Central and Eastern European markets are expected to grow about
15% compared to 2007.  In this environment Iveco aims at gaining
market share thanks to new products and is targeting revenue
growth due to price repositioning and higher volumes.

To achieve its targets, the Fiat Group will continue to push
group-wide purchasing synergies, intensifying and accelerating
development of best-cost-country sourcing, strengthening
strategic partnerships with suppliers through long-term
contracts, and focusing on the implementation of world-class
manufacturing initiatives.

The Group confirms its targets for 2008: trading profit between
EUR3.4 and EUR3.6 billion, net income between EUR2.4 and EUR2.6
billion (earnings per share between EUR1.90/EUR2.00).

Consolidated net revenues will be in excess of EUR60 billion.
The Group expects to close the year again debt free, with a
minimum of EUR1.5 billion of net cash on hand.

While working on the achievement of these objectives, the Fiat
Group will continue to implement its strategy of targeted
alliances, in order to reduce capital commitments, and
reduce the related risks.

The Group's expectations for 2008 are based on the assumption
that the current turbulence in financial markets will have
limited contagion impact on the real economy, and at worst will
be limited to the U.S. market.  There is a concern that the
current crisis of confidence being experienced in the capital
markets will spill over and begin to severely restrict
consumption on a global scale.

The Group believes that such a scenario is unlikely:
nonetheless, if such conditions were to effectively materialize,
the Group believes that it would be able to fully sustain the
financial impact of a downward pressure on demand, albeit with
reduced operating performance and margins.

A full-text copy of Fiat SpA's financial results is available at
no charge at http://ResearchArchives.com/t/s?2777

                     About Fiat S.p.A.

Headquartered in Turin, Italy, Fiat S.p.A. --
http://www.fiatgroup.com/-- manufactures and sells automobiles,
commercial vehicles, and agricultural and construction
equipment.  It also manufactures, for use by the company's
automotive sectors and for sale to third parties, other
automotive-related products and systems, principally power
trains (engines and transmissions), components, metallurgical
products and production systems.  Fiat's creditors include Banca
Intesa, Banca Monte dei Paschi di Siena, Banca Nazionale del
Lavoro, Capitalia, Sanpaolo IMI, and UniCredito Italiano.

Fiat operates in Argentina, Australia, Austria, Belgium, Brazil,
Bulgaria, China, Czech Republic, Denmark, France, Germany,
Greece, Hungary, India, Ireland, Italy, Japan, Lituania,
Netherlands, Poland, Portugal, Romania, Russia, Singapore,
Spain, among others.

                          *     *     *

As reported in the Troubled Company Reporter-Europe on Jan. 28,
2008, Moody's Investors Service affirmed Fiat SpA's Ba1
Corporate Family Rating, and the group's other long-term senior
unsecured ratings.  At the same time, the positive outlook was
maintained.  The short term Not Prime rating remains unchanged.

The company also carries Standard & Poor's BB+ on long-term
foreign issuer credit rating, BB+ on long-term local issuer
credit rating, B on short-term foreign issuer and local issuer
credit ratings.


TRW AUTOMOTIVE: Earns US$23 Mln in Third Quarter Ended Sept. 28
---------------------------------------------------------------
TRW Automotive Holdings Corp. reported net earnings of
US$23 million for the third quarter ended Sept. 28, 2007, which
compares to net earnings of US$5 million in the corresponding
period ended Sept. 29, 2006.

The company reported third-quarter 2007 sales of US$3.5 billion,
an increase of US$480.0 million or 16.0% over the prior year
period. The 2007 quarter benefited from higher customer vehicle
production in Europe and China, continued growth of safety
products in all markets (including a higher mix of lower margin
modules) and the positive effect of foreign currency
translation.  These positive factors were partially offset by
price reductions provided to customers.

"The growing market demand for our advanced active and passive
safety products is helping to drive our solid 2007 financial
performance," said John Plant, president and chief executive
officer.  "We have seen a 16.0% increase in total sales related
to electronic stability control, electric park brake,
electrically powered steering, tire pressure monitoring and side
and curtain airbag systems during the first nine months of the
year.

"In addition to the success of these products, we continue to
derive significant benefits from the diversity of having nearly
70.0% of sales outside the challenging North American market,
aggressive cost reduction efforts and interest savings
attributable to our 2007 debt recapitalization."

Mr. Plant added, "Safety continues to be a major focus of
manufacturers and governments seeking to reduce driving related
injuries and fatalities, and of consumers who want their
vehicles equipped with technology that can help protect their
families.  As the global leader in safety with the most
comprehensive portfolio of products on the market, we are at the
forefront of development and are recognized as a solution
provider, especially when it comes to integrated products that
encompass both active and passive safety technologies."

Operating income for third-quarter 2007 was US$95.0 million,
which compares favorably to US$82.0 million in the prior year
period. Restructuring and asset impairment expenses in the 2007
period were US$13.0 million, which compares to US$3.0 million in
2006. Excluding these expenses from both periods, operating
income was US$108.0 million in 2007, which represents an
increase of 27.0% compared to the 2006 adjusted result.

The year-to-year increase was driven primarily by higher product
volumes and savings generated from cost improvement and
efficiency programs, including reductions in pension and OPEB
related costs.  These positive factors were in part offset by
pricing provided to customers and higher commodity costs.

Net interest and securitization expense for the third quarter of
2007 totaled US$56.0 million, which compares to US$62.0 million
in the prior year.  The year-to-year decline can be attributed
to the benefits derived from the company's 2007 debt
recapitalization, which was completed during the second quarter
of this year.

Tax expense was US$18.0 million in both 2007 and 2006.  The
effective tax rate in the 2007 quarter was 44.0%, which compares
favorably to 78.0% in the prior year primarily due to a change
in the company's geographical earnings mix.

Earnings before interest, securitization costs, loss on
retirement of debt (where applicable), taxes, depreciation and
amortization, or EBITDA, were US$237.0 million in the third
quarter, which compares to the prior year level of
US$213.0 million.

                        Year-to-Date 2007

For the nine-month period ended Sept. 28, 2007, the company
reported sales of US$10.8 billion, an increase of US$944.0
million or approximately 10.0% compared to prior year sales of
US$9.9 billion. The 2007 period benefited primarily from higher
product volumes related to new product growth, robust industry
sales in overseas markets and the positive effect of foreign
currency translation. These positive factors were partially
offset by the decline in North American customer vehicle
production and price reductions provided to customers.

Year-to-date 2007 net earnings were US$34.0 million, which
compares to US$143.0 million in the 2006 period.  Net earnings
excluding  debt retirement costs from both periods were
US$189.0 million, which compares to US$200.0 million in 2006.

EBITDA for the first nine months of 2007 was US$890.0 million,
which is lower than the prior year level of US$899.0 million,
primarily due to the lower level of operating income in the
current year.

                        Capital Structure

The company completed its debt recapitalization plan during the
second quarter of 2007.  Transactions related to the plan
included the refinancing of the company's US$2.5 billion credit
facilities on May 9, 2007.  Prior to this transaction, on March
26, 2007, the company completed its US$1.5 billion Senior Note
offering and repurchased substantially all of the existing
US$1.3 billion Notes through a tender offer.  The company
incurred debt retirement charges of around US$155.0 million
during the year-to-date period related to these transactions.

On Feb. 2, 2006, the company's wholly owned subsidiary, Lucas
Industries Limited, completed the tender for its outstanding GBP
94.6 million 10 7/8% bonds.  As a result of the transaction, the
company incurred a US$57.0 million charge for loss on retirement
of debt.

As of Sept. 28, 2007, the company had US$3.515 billion of debt
and US$486.0 million of cash and marketable securities,
resulting in net debt of US$3.029 billion.  This net debt
outcome, excluding the Receivable Facility repayment, is
US$144.0 million higher than the balance at the end of the
second quarter primarily due to the seasonal cash outflow in the
third quarter.

                          Balance Sheet

At Sept. 28, 2007, the company's consolidated balance sheet
showed US$11.93 billion in total assets, US$9.21 billion in
total liabilities, US$128,000 in minority interests, and US$2.59
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?2764

                       About TRW Automotive

Headquartered in Livonia, Michigan, TRW Automotive Holdings
Corp. (NYSE: TRW) -- http://www.trw.com/-- ranks among the
world's leading automotive suppliers.  The company, through its
subsidiaries, operates in 28 countries and employs approximately
63,800 people worldwide including Brazil, China, Germany,
Italy, among others.  TRW Automotive products include integrated
vehicle control and driver assist systems, braking systems,
steering systems, suspension systems, occupant safety systems
(seat belts and airbags), electronics, engine components,
fastening systems and aftermarket replacement parts and
services.

                          *     *     *

As reported in the Troubled Company Reporter on Jan. 25, 2008,
Moody's Investors Service affirmed the ratings of TRW Automotive
Inc.: Corporate Family Rating, Ba2; senior secured bank credit
facilities, Baa3; and senior unsecured notes, Ba3, but revised
the rating outlook to negative from stable.

As reported in the Troubled Company Reporter on Oct. 2, 2007,
Fitch Ratings affirmed TRW Automotive Holdings Corp.'s BB Issuer
Default Rating.  It also affirmed TRW Automotive Inc.'s BB
Issuer Default Rating.  The Rating Outlook is Stable.


TRW AUTOMOTIVE: Moody's Affirms 'Ba2' Corporate Family Rating
-------------------------------------------------------------
Moody's Investors Service affirmed the ratings of TRW
Automotive, Inc.:

   -- Corporate Family Rating, Ba2;
   -- senior secured bank credit facilities, Baa3; and
   -- senior unsecured notes, Ba3,

but revised the rating outlook to negative from stable.

As a leading supplier of components and systems to automotive
OEMs, TRW's business profile has many characteristics that are
consistent with the assigned Ba2 Corporate Family rating.  The
company enjoys a well diversified revenue base, including long
standing supply arrangements with European and Asian auto
makers.  Continuous investment in new safety product
technologies should support future revenue growth, even as
automotive demand softens.  While the company's refinancing in
2007 resulted in lower debt costs, debt levels remain high and
continues to pressure the company's interest coverage measures.

The negative outlook reflects concern that in an environment of
weakening economic trends in North America and Europe, TRW could
be challenged to sustain financial metrics consistent with its
Ba2 rating.  For the last 12-month period ending Sept. 30, 2007,
EBIT/Interest (including Moody's standard adjustments) was about
1.7x, and debt/EBITDA was about 4.1x.  While last 12-month
FCF/Debt was negative, Moody's expects the company's fourth
quarter free cash flow to be seasonally strong.  Recent free
cash flow trends have been hurt by timing issues regarding
certain customer invoices and growth abroad.  However, the
company has continued to experience margin pressures and modest
free cash flow generation.  Moreover, debt levels have remained
high resulting from the recent debt refinancing, debt acquired
with the Dalphi Metal Espana, S.A. consolidation, and the
repurchase of TRW stock from Northrop Grumman Corporation.

Moody's expects the company's safety product focus, and its
strong geographic, customer and product diversification to
continue to support revenue growth even in the face of weaker
automotive demand.  While TRW has generated steady yearly EBITDA
levels, the company's ability to materially reduce debt and
thereby improve its interest coverage metrics will be challenged
by the current automotive environment both in North America and
abroad.  These challenges include declining OEM production both
in North America and abroad, high raw material costs, and
negotiated price downs.

TRW will continue to have very good liquidity over the next 12
months.  The company's liquidity profile consists of
approximately US$473 million of cash and cash equivalents at
Sept. 28, 2007, availability under the US$1.4 billion revolving
credit facilities was approximately US$600 million, after
consideration of letters of credit outstanding and usage under
the company's additional borrowing facilities.  TRW's covenants
are not expected to restrict this access over the next twelve
months.  Moody's expects free cash flow to be positive in 2008
reflecting stable EBITDA performance and capital expenditures
consistent with historical trends.  Alternative liquidity
arrangements will continue to be limited by the current bank
liens over substantially all of the company's assets.

These ratings were affirmed

  -- Ba2 Corporate Family rating;

  -- Ba2 Probability of Default rating;

  -- Baa3 (LGD2, 17%) rating for the US$1.4 billion combined
     senior secured domestic and global revolving credit
     facilities;

  -- Baa3 (LGD2, 17%) rating for the US$600 million senior
     secured term loan A;

  -- Baa3 (LGD2, 17%) rating for the US$500 million senior
     secured term loan B;

  -- Ba3 (LGD5, 72%) for the US$500 million senior unsecured
     notes due 2014;

   -- Ba3 (LGD5, 72%) for the EUR275 million senior unsecured
      notes due 2014;

  -- Ba3 (LGD5, 72%) for the US$600 million senior unsecured
     notes due 2017;

  -- SGL-1 Speculative Grade Liquidity Rating

The last rating action was on April 26, 2007, when ratings were
assigned to the company's senior secured bank credit facilities.

Future events that would be likely to improve TRW Automotive's
outlook or ratings include further debt and leverage reduction
from free cash flow, or improved operating margins resulting
from new business wins or productivity improvements.
Consideration for upward outlook or rating migration would arise
if any combination of these factors were to reduce leverage to
under 3.0x or increase EBIT/interest coverage to a level
approaching 3.0x.

Consideration for downward rating migration would arise if any
combination of factors were to result in leverage sustained at
over 3.5x or if EBIT/ Interest coverage sustained at under 2.0x.

TRW Automotive, Inc., headquartered in Livonia, Michigan, is
among the world's largest and most diversified suppliers of
automotive systems, modules, and components to global vehicle
manufacturers and related aftermarket.  The company has three
operating segments; Chassis Systems, Occupant Safety Systems,
and Automotive Components.  Its primary business lines encompass
the design, manufacture and sale of active and passive safety
related products.  Annual revenues are approximately
US$14 billion.


XEROX CORPORATION: Earns US$1.1 Billion in 2007
-----------------------------------------------
Xerox Corporation reported US$1.1 billion of net income for the
year ended Dec. 31, 2007, compared to net income of US$1.2
million for the same period in 2006.  The company also earned
US$382 million for the three months ended Dec. 31, 2007,
compared to net income of US$214 million for the same period in
2007.

Total revenue of US$4.9 billion grew 11% in the quarter with
post-sale and financing revenue up 12%; this annuity stream
represents about 70% of total revenue.  Both total revenue and
post-sale revenue included a currency benefit of four%age points
as well as the benefit from Xerox's acquisition of Global
Imaging Systems.

"Our growing annuity revenue and strong cash generation, along
with our disciplined approach to controlling costs, result in
consistent delivery of solid performance year after year," said
Anne M. Mulcahy, Xerox chairman and chief executive officer.
"In 2007, we expanded earnings, grew revenue, generated
approximately US$1.9 billion in operating cash flow, repurchased
US$631 million in Xerox shares and declared a dividend.  As
important, we fortified our leadership in the marketplace
through increased distribution and innovative technology and
document management services.

"Xerox operates in a global business environment, serving a wide
range of markets with more than 50% of our revenue generated
from customers outside the U.S.," she added.  "This worldwide
reach and our effective business model -- combined with our
competitive offerings and strong recurring revenues
-- position us well to continue building value for shareholders.
As a result, we remain committed to delivering on our 2008
full-year EPS guidance of US$1.31 to US$1.35, and we are
increasing our guidance for full-year operating cash flow."

The acquisition of Global Imaging Systems, which provides a
broader distribution to small and mid-size businesses in the
U.S., led to a 10% increase in equipment sales, including a
five-point benefit from currency.  In 2007, Xerox introduced 39
products, more than twice the number of products it launched in
2006.  More than two-thirds of Xerox's equipment sale revenue
comes from products launched in the past two years.

Revenue from color grew 14% in the fourth quarter and now
represents 40% of Xerox's total revenue, up 3 points from the
fourth quarter of 2006.  Xerox color devices print the highest
volume of pages in the industry -- producing more than 40
billion color pages in 2007, an increase of more than 30% from
2006.  In the fourth quarter, the number of color pages grew
34%, and now represent 14% of total pages, up 4 points from the
prior year.  Color performance excludes Global Imaging Systems
results.

Xerox services help businesses simplify work processes, manage
office technology and in-house print shops, digitize paper
files, create digital archives and much more.  During 2007,
Xerox Global Services generated US$3.4 billion in annuity
revenue, an 8% increase over 2006.

"As businesses shift to more color in the office and begin to
see the cost benefits of simplifying their work processes,
they're turning to Xerox for our innovation and expertise.  Our
focus on color and document services is fueling our annuity
stream and creating long-term value in our company," said
Ms. Mulcahy.

Xerox's production business provides commercial printers and
document-intensive industries with high-speed digital printing
and services that enable on-demand, personalized printing.
Total production revenue increased 5% in the fourth quarter,
including a six-point currency benefit. Production color
installs grew 3%.  Installs of production black-and-white
systems declined 10%.  Demand for the Xerox Nuvera(R) EA and
Xerox Nuvera 288 digital presses as well as continuous feed
systems only partially offset declines from other high-volume
and light-production systems.

Through expanded channels of distribution and competitive
offerings for businesses of any size, Xerox continues to drive
the demand for color in the office with installs of color
multifunction systems up 67%.  Total office revenue was up 14%
in the fourth quarter, including a five-point benefit from
currency.  Installs of the company's black-and-white
multifunction devices increased 6%.

Gross margins were 40.5%, down about a half a point from the
fourth quarter of 2006.  Selling, administrative and general
expenses were 24.3% of revenue, up 1 point from fourth-quarter
2006.  The strength of Xerox's annuity-based business model led
to a significant increase in operating cash flow, generating
US$1 billion in the fourth quarter and US$1.9 billion for the
full year.

Since launching its stock buyback program in October 2005, Xerox
has repurchased 137 million shares or 13% of outstanding shares.
Earlier this week, Xerox's Board of Directors authorized an
additional US$1 billion, adding to the remaining US$370 million
available for share repurchase.

Xerox expects first-quarter 2008 earnings in the range of 25 to
28 cents per share.

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

                        *     *     *

As reported in the Troubled Company Reporter-Europe on Dec. 13,
2007, Fitch upgraded Xerox Corp.'s and its subsidiary's
debt as:

  -- Issuer Default Rating to 'BBB' from 'BBB-';
  -- Senior unsecured credit facility to 'BBB' from 'BBB-';
  -- Senior unsecured debt to 'BBB' from 'BBB-';
  -- Trust preferred securities to 'BBB-' from 'BB'.

Approximately US$9.1 billion of securities, including the US$2
billion credit facility, are affected by Fitch's action.  Fitch
says the rating outlook is stable.


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


AGRO SNAB: Proof of Claim Deadline Slated for Feb. 27
-----------------------------------------------------
LLP AGRO Snab Service has declared insolvency.  Creditors have
until Feb. 27, 2008, to submit written proofs of claims to:

         LLP AGRO Snab Service
         Promyshlennaya Str. 41
         Kostanai
         Kazakhstan


ALFA TRANS: Creditors Must File Claims by Feb. 27
-------------------------------------------------
LLP ALFA Trans Ltd has declared insolvency.  Creditors have
until Feb. 27, 2008, to submit written proofs of claims to:

         LLP ALFA Trans Ltd
         Dzerjynsky Str. 61/1
         Kostanai
         Kazakhstan


AMANKARAGAISKAYA MTS: Claims Filing Period Ends Feb. 22
-------------------------------------------------------
The Specialized Inter-Regional Economic Court of Kostanai has
declared LLP Amankaragaiskaya MTS insolvent.

Creditors have until Feb. 22, 2008, to submit written proofs of
claims to:

         The Specialized Inter-Regional
         Economic Court of Kostanai
         Abai ave. 21-27
         Kostanai
         Kazakhstan
         Tel: 8 (3142) 22-44-93


ATAKENT-NUR LLP: Creditors' Claims Due on Feb. 22
-------------------------------------------------
The Specialized Inter-Regional Economic Court of Kyzylorda has
declared LLP Atakent-Nur insolvent.

Creditors have until Feb. 22, 2008, to submit written proofs of
claims to:

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


INTER COMMERCE: Claims Registration Ends Feb. 27
------------------------------------------------
LLP Company Inter Commerce Ltd. has declared insolvency.
Creditors have until Feb. 27, 2008, to submit written proofs of
claims to:

         LLP Company Inter Commerce Ltd.
         Abai ave. 76/109
         Bostandyksky District
         Almaty
         Kazakhstan


ENERGO-TRANSIT LLP: Claims Deadline Slated for Feb. 27
------------------------------------------------------
LLP Energo-Transit has declared insolvency.  Creditors have
until Feb. 27, 2008, to submit written proofs of claims to:

         LLP Energo-Transit
         Skladskaya Str. 8
         Karaganda
         Kazakhstan


ISLAM & K: Creditors Must File Claims by Feb. 22
------------------------------------------------
The Specialized Inter-Regional Economic Court of Kyzylorda has
declared LLP Islam & K Kyzylorda insolvent.

Creditors have until Feb. 22, 2008, to submit written proofs of
claims to:

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


KAZINVEST MINERAL: Claims Filing Period Ends Feb. 27
----------------------------------------------------
The Specialized Inter-Regional Economic Court of Almaty has
declared LLP Kazinvest Mineral insolvent.

Creditors have until Feb. 27, 2008, to submit written proofs of
claims to:

         The Specialized Inter-Regional
         Economic Court of Almaty
         P.O. Box 72
         Main Post Office
         050000, Almaty
         Kazakhstan
         Tel: 8 777 241 79-98


LEX DOMINUS: Creditors' Claims Due on Feb. 27
---------------------------------------------
Branch of LLP Lex Dominus has declared insolvency.  Creditors
have until Feb. 27, 2008, to submit written proofs of claims to:

         LLP Lex Dominus
         Manas Str. 32a
         Almaty
         Kazakhstan


RAITEPLOCOMMUNEENERGO LLP: Claims Registration Ends Feb. 22
-----------------------------------------------------------
The Specialized Inter-Regional Economic Court of Pavlodar has
declared LLP Raiteplocommuneenergo insolvent.

Creditors have until Feb. 22, 2008, to submit written proofs of
claims to:

         The Specialized Inter-Regional
         Economic Court of Pavlodar
         Satpayev Str. 136-208
         Pavlodar
         Kazakhstan
         Tel: 8 (7182) 32-15-92


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


ELECTRO STROY: Creditors Must File Claims by Feb. 15
----------------------------------------------------
LLC Construction Company Electro Stroy has declared insolvency.
Creditors have until Feb. 15, 2008, to submit written proofs of
claim to:

         LLC Construction Company Electro Stroy
         Kosygin Str. 34
         Aksuu
         Moskovsky District
         Chui
         Kyrgyzstan



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


EVRAZ GROUP: Completes Acquisition of Claymont Steel
----------------------------------------------------
Evraz Group S.A. has completed its acquisition of Claymont Steel
via a short-form merger of Titan Acquisition Sub, Inc., an
indirect wholly owned subsidiary of Evraz, with and into
Claymont Steel pursuant to the applicable provisions of Delaware
law.  As a result of the merger, Claymont Steel is now an
indirect wholly owned subsidiary of Evraz.

The merger followed the announcement on Jan. 17, 2008, of the
successful closing of the cash tender offer by Titan Acquisition
Sub, Inc. to purchase all outstanding shares of common stock of
Claymont Steel for US$23.50 per share, in which approximately
96.6% of the shares were tendered (including shares delivered
pursuant to notices of guaranteed delivery).  Payment has been
made for the tendered shares.

Pursuant to the merger, each share of Claymont Steel common
stock not accepted for payment in the tender offer, other than
those as to which holders exercise dissenters' rights and those
held by Evraz or Claymont Steel or their respective
subsidiaries, has been converted into the right to receive the
US$23.50 price per share that was paid in the tender offer,
without interest thereon and less any applicable stock transfer
taxes and withholding taxes.

                          About Evraz

Headquartered in Luxembourg, Evraz Group S.A. (LSE:EVR) --
http://www.evraz.com/-- manufactures and distributes steel and
related products.  In addition, the Company owns and operates
certain mining assets.  Its steel production and mining
facilities are mainly located in the Russian Federation.  It
operates three steel mills in Russia, one mill in the Sverdlovsk
region and two mills in the Kemerovo region.

                         *     *     *

As of Nov. 20, 2007, Evraz Group carries Ba3 Corporate Family
and Probability-of-Default ratings and B2 Senior Unsecured Debt
rating from Moody's Investor Service.  Moody's said the Outlook
is Positive.

Evraz also carries BB- Local and Foreign Issuer Credit ratings
from Standard & Poor's.  S&P said the Outlook is Positive.

The company carries BB Issuer Default and Senior Unsecured
ratings and B Short-Term IDR.  Fitch said the Outlook is Stable.


EVRAZ GROUP: Acquires 100% of ZapSibTETs After Buyout Offer
-----------------------------------------------------------
Evraz Group S.A., through its subsidiary, has completed the
buyout of all outstanding common stock of West Siberian Heat and
Power Plant (ZapSibTETs).

The procedure was carried out in accordance with the Russian
legislation through mandatory offers to all minority
shareholders.  As a result of the buyout, ZapSibTETs has become
Evraz's wholly owned subsidiary.

The Plant has a nominal capacity of 1,307 Gcal/hour of heat and
600 MW of electricity. Heat and electricity are mainly consumed
by ZSMK, one of Evraz's steel mills in Russia

                          About Evraz

Headquartered in Luxembourg, Evraz Group S.A. (LSE:EVR) --
http://www.evraz.com/-- manufactures and distributes steel and
related products.  In addition, the Company owns and operates
certain mining assets.  Its steel production and mining
facilities are mainly located in the Russian Federation.  It
operates three steel mills in Russia, one mill in the Sverdlovsk
region and two mills in the Kemerovo region.

                         *     *     *

As of Nov. 20, 2007, Evraz Group carries Ba3 Corporate Family
and Probability-of-Default ratings and B2 Senior Unsecured Debt
rating from Moody's Investor Service.  Moody's said the Outlook
is Positive.

Evraz also carries BB- Local and Foreign Issuer Credit ratings
from Standard & Poor's.  S&P said the Outlook is Positive.

The company carries BB Issuer Default and Senior Unsecured
ratings and B Short-Term IDR.  Fitch said the Outlook is Stable.


PIN GROUP: Private Equity Firms In Talks to Acquire Business
------------------------------------------------------------
The Blackstone Group, Kohlberg Kravis Roberts & Co., Advent
International Corp. have expressed interest in acquiring PIN
Group AG, which is expected to go bust at the end of February,
Bloomberg News reports, citing Focus.

According to Bloomberg, the private equity firms have held
preliminary talks with Horst Piepenburg, head of the management
board at PIN.

Thomas Schulz, a spokesman for PIN, confirmed that negotiations
over the sale of the company started two weeks ago, although he
refused to reveal the identity of the potential buyers,
Bloomberg relates.

Meanwhile, 19 of PIN's 91 subsidiaries are set to file for
insolvency this week, the FT relates.   The company's
insolvencies has now totaled to 37.

The insolvencies came after publishing group Axel Springer AG,
which owns a 63.7% stake in PIN, resolved to stop funding the
company following the German government's decision to introduce
minimum wages of EUR8- EUR9.80 for the postal industry.

A TCR-Europe report on Jan. 18, 2008, disclosed that Mr.
Piepenburg is looking to sell the company as a whole as he tries
to avert further insolvencies.

However, the Financial Times says, citing Handelsblatt, Mr.
Piepenburg also admitted a possible division of PIN and the
disposal of individual regional subsidiaries if he fails to sell
the company in its entirety.

                        About PIN Group AG

Headquartered in Luxembourg, PIN Group AG -- http://www.pin-
group.net/ -- provides postal services across Germany.  The
group has more than 60 regional subsidiaries, and in 2006 became
a national integrated provider by setting up an efficient
nationwide distribution network.


PIN GROUP: To Carry Out Statutory Minimum Wage This Month
---------------------------------------------------------
PIN Group AG, which currently pays its employees an average of
EUR7.50 per hour, is to implement the statutory postal minimum
wage of between EUR8-EUR9.80 per hour this month, Thomson
Financial reports, citing Focus Online.

PIN's move, The Financial Times says, citing Handelsblatt, is
aimed at retaining public customers, including municipal
authorities and ministries.

A TCR-Europe report on Jan. 18, 2008, disclosed that the minimum
wage would cost PIN, which has 9,000 employees, up to EUR45
million, although "most of the costs are expected to be covered
by a form of state reimbursement."

Meanwhile, 19 of PIN's 91 subsidiaries are set to file for
insolvency this week, the FT relates.   The company's
insolvencies has now totaled to 37.

As previously stated in a TCR-Europe report, the insolvencies
came after publishing group Axel Springer AG, which owns a 63.7%
stake in PIN, resolved to stop funding the company following the
German government's decision to introduce minimum wages of EUR8-
EUR9.80 for the postal industry.

                        About PIN Group AG

Headquartered in Luxembourg, PIN Group AG -- http://www.pin-
group.net/ -- provides postal services across Germany.  The
group has more than 60 regional subsidiaries, and in 2006 became
a national integrated provider by setting up an efficient
nationwide distribution network.


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


IMPRESS HOLDINGS: S&P Affirms B+ Ratings on Delayed IPO
-------------------------------------------------------
Standard & Poor's Ratings Services affirmed its 'B+' long-term
corporate credit rating on The Netherlands-based metal packaging
group Impress Holdings B.V.

All ratings were removed from CreditWatch where they were placed
with positive implications on Nov. 2, 2007, based on the group's
stated intention to use parts of the IPO proceeds to repay high-
cost debt. The outlook is stable.

"We now believe that the planned and subsequently delayed IPO
will be unlikely to occur in the near term, owing to unfavorable
market conditions," said Standard & Poor's credit analyst
Izabela Listowska.

The ratings on Impress are constrained by the group's highly
leveraged financial risk profile and by its exposure to
inflationary cost pressures and meaningful competition,
particularly from smaller, regional players in fairly mature
markets.  These risks are reduced by the company's leading
European market positions in aluminum- and steel-based packaging
for food products, and in decorative and protective finishes,
stable revenue streams from relatively recession-resistant
markets, and longstanding relationships with key customers.

Impress' profitability has improved gradually over the past
years after suffering from an aggressive pricing environment as
leading market players have maneuvered for position.  In the 12
months to Sept. 30, 2007, the group reported restructuring-
adjusted EBITDA margins of about 13%, the level achieved in 2006
and an improvement on 2004 (10%) and 2003 (8%).  The company's
ability to further recover cost inflation, make additional
efficiency gains, and stay focused on higher margin value-added
business, will be important factors in gradually expanding
earnings and cash flows in the foreseeable future and helping
offset the impact of high financial leverage.  Contributions
and synergies from recent acquisitions will also be important
success factors.

"The stable outlook reflects our expectation that Impress'
credit protection measures will strengthen over the coming
quarters, with FFO to adjusted cash debt remaining at 10%-15%,
and adjusted cash debt to EBITDA improving to below 5x," said
Ms. Listowska "A potential future IPO could trigger a positive
rating action, although this would depend on factors such as
final amounts and usage of proceeds."


KHAMSIN CREDIT: Moody's Cuts Rating to B3 on Series 6 Notes
-----------------------------------------------------------
Moody's Investors Service downgraded to B3 from Aaa and left
under review for further downgrade the Series 6 US$55,625,000
Leveraged Super Senior Portfolio Credit Linked Notes due 2041
issued by Khamsin Credit Products (Netherlands) B.V.
Approximately US$12 million of the original nominal value has
already amortized.

This transaction is a Leveraged Super-Senior transaction, where
the risk transferred to investors is linked to the credit
quality of the portfolio underlying the Class A US$890,000,000
Blue Heron Funding II Notes.  This portfolio is made of
Structured Finance securities, including CDOs of ABS and U.S.
subprime RMBS.  This LSS has a Weighted Average Rating Factor
test which has been breached following several severe downgrades
in the underlying portfolio. As a result of this test breach,
the Noteholders have the option to delever the transaction by
investing further monies.  In the event the Noteholders do not
delever, the transaction will unwind resulting in all likelihood
in a 100% loss of the remaining principal balance.


ROSNEFT OIL: To Receive US$2 Billion Loan from Vnesheconombank
--------------------------------------------------------------
OJSC Vnesheconombank will lend US$2 billion to OAO Rosneft Oil
Co. to finance the oil giant's Tuapse refinery modernization
program, RIA Novosti reports.

VEB CEO Vladimir Dmitriyev told RIA Novosti that the refinery's
upgrade includes capacity expansion and oil refining
infrastructure enhancement.  The upgrade will be completed in
2012 via two stages.

According RIA Novosti, the upgrade is part of Rosneft's plans to
hike its oil refining output from five million tons in 2007 to
12 million tons in 2010.  The company also plans to increase its
oil transshipment volume from 9 million tons to 19 million tons
in 2012.

                         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.  Ratings apply to date.


X5 RETAIL: Banks Commence Syndication for US$1.1 Bln Facility
-------------------------------------------------------------
X5 Retail Group N.V. disclosed that syndication for the
US$1.1 billion three-year Term Loan Facility has been launched
by BNP Paribas, CALYON, HSBC Bank plc, ING Bank N.V. and
Raiffeisen Zentralbank ™sterreich AG.

The Facility was fully pre-funded by the Bookrunners. There will
be a bank meeting held in London on Jan. 29, 2008.

Banks are invited to join the Facility at one of these:

         Title                      Amount
         -----                      ------
         Lead Arranger              US$75,000,000 or more
         Arranger                   US$50,000,000
         Co-Arranger                US$25,000,000

Societe Generale joined the transaction prior to the launch of
syndication as Mandated Lead Arranger (together with the
Bookrunners, the "Initial Mandated Lead Arrangers").

As X5 Retail Group announced on Dec. 18, 2007, the Facility pays
a margin of 225 bps per annum over LIBOR out of the box for the
first year.  Subsequently, the margin will move in accordance
with a Net Debt/EBITDA grid with a maximum margin at the top of
the grid of 200 bps per annum over LIBOR.

                         About X5 Retail

Headquartered in the Netherlands, X5 Retail Group N.V. --
http://www.x5.ru/en/-- operates a large store network largely
covering the Moscow region and St. Petersburg but also has a
good presence in other Russian regions through its franchise
operations.  The company has recently acquired two of its
successful regional franchise operations -- in Yekaterinburg and
Chelyabinsk.

                          *     *     *

As of Nov. 12, 2007, X5 Retail Group N.V. carries a B1 Corporate
Family Rating from Moody's Investors Service.  Moody's said the
outlook is positive.

X5 Retail and its subsidiaries also carries a 'BB-' long-term
corporate credit rating from Standard & Poor's Ratings Services.
S&P said the outlook is stable.


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


OPTIMUS SA: Files Another Bankruptcy Petition
---------------------------------------------
Optimus S.A. filed another bankruptcy petition after admitting
there was no other option than the previous motion put forward
some time ago by the company, The Financial Times reports,
citing Polish News Bulletin.

Katarzyna Ziolek, Optimus' supervisory board head, explained
that the Company Board has "filed the motion according to the
court's specifications.  The company's situation is dire and it
is right to seek bankruptcy with settlement options," the report
relates.

With the motion, Optimus hopes to conduct an issue that would
allow it to gain PLN18 million, two-thirds of which would be
used to pay off debts to companies like Bank BPH and Microsoft,
Financial Times relates.

As previously reported, Optimus filed its first bankruptcy after
the D-series shares issued by the company a year ago were
crossed off from the KRS official registry.

Headquartered in Warszawa, Poland, Optimus S.A. --
http://www.optimus.pl-- is engaged in the manufacture and
wholesale trade of computers, software and peripherals and in
office equipment, computer maintenance and repair services.


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


EVRAZ GROUP: Completes Acquisition of Claymont Steel
----------------------------------------------------
Evraz Group S.A. has completed its acquisition of Claymont Steel
via a short-form merger of Titan Acquisition Sub, Inc., an
indirect wholly owned subsidiary of Evraz, with and into
Claymont Steel pursuant to the applicable provisions of Delaware
law.  As a result of the merger, Claymont Steel is now an
indirect wholly owned subsidiary of Evraz.

The merger followed the announcement on Jan. 17, 2008, of the
successful closing of the cash tender offer by Titan Acquisition
Sub, Inc. to purchase all outstanding shares of common stock of
Claymont Steel for US$23.50 per share, in which approximately
96.6% of the shares were tendered (including shares delivered
pursuant to notices of guaranteed delivery).  Payment has been
made for the tendered shares.

Pursuant to the merger, each share of Claymont Steel common
stock not accepted for payment in the tender offer, other than
those as to which holders exercise dissenters' rights and those
held by Evraz or Claymont Steel or their respective
subsidiaries, has been converted into the right to receive the
US$23.50 price per share that was paid in the tender offer,
without interest thereon and less any applicable stock transfer
taxes and withholding taxes.

                          About Evraz

Headquartered in Luxembourg, Evraz Group S.A. (LSE:EVR) --
http://www.evraz.com/-- manufactures and distributes steel and
related products.  In addition, the Company owns and operates
certain mining assets.  Its steel production and mining
facilities are mainly located in the Russian Federation.  It
operates three steel mills in Russia, one mill in the Sverdlovsk
region and two mills in the Kemerovo region.

                         *     *     *

As of Nov. 20, 2007, Evraz Group carries Ba3 Corporate Family
and Probability-of-Default ratings and B2 Senior Unsecured Debt
rating from Moody's Investor Service.  Moody's said the Outlook
is Positive.

Evraz also carries BB- Local and Foreign Issuer Credit ratings
from Standard & Poor's.  S&P said the Outlook is Positive.

The company carries BB Issuer Default and Senior Unsecured
ratings and B Short-Term IDR.  Fitch said the Outlook is Stable.


EVRAZ GROUP: Acquires 100% of ZapSibTETs After Buyout Offer
-----------------------------------------------------------
Evraz Group S.A., through its subsidiary, has completed the
buyout of all outstanding common stock of West Siberian Heat and
Power Plant (ZapSibTETs).

The procedure was carried out in accordance with the Russian
legislation through mandatory offers to all minority
shareholders.  As a result of the buyout, ZapSibTETs has become
Evraz's wholly owned subsidiary.

The Plant has a nominal capacity of 1,307 Gcal/hour of heat and
600 MW of electricity. Heat and electricity are mainly consumed
by ZSMK, one of Evraz's steel mills in Russia

                          About Evraz

Headquartered in Luxembourg, Evraz Group S.A. (LSE:EVR) --
http://www.evraz.com/-- manufactures and distributes steel and
related products.  In addition, the Company owns and operates
certain mining assets.  Its steel production and mining
facilities are mainly located in the Russian Federation.  It
operates three steel mills in Russia, one mill in the Sverdlovsk
region and two mills in the Kemerovo region.

                         *     *     *

As of Nov. 20, 2007, Evraz Group carries Ba3 Corporate Family
and Probability-of-Default ratings and B2 Senior Unsecured Debt
rating from Moody's Investor Service.  Moody's said the Outlook
is Positive.

Evraz also carries BB- Local and Foreign Issuer Credit ratings
from Standard & Poor's.  S&P said the Outlook is Positive.

The company carries BB Issuer Default and Senior Unsecured
ratings and B Short-Term IDR.  Fitch said the Outlook is Stable.


X5 RETAIL: Banks Commence Syndication for US$1.1 Bln Facility
-------------------------------------------------------------
X5 Retail Group N.V. disclosed that syndication for the
US$1.1 billion three-year Term Loan Facility has been launched
by BNP Paribas, CALYON, HSBC Bank plc, ING Bank N.V. and
Raiffeisen Zentralbank ™sterreich AG.

The Facility was fully pre-funded by the Bookrunners. There will
be a bank meeting held in London on Jan. 29, 2008.

Banks are invited to join the Facility at one of these:

         Title                      Amount
         -----                      ------
         Lead Arranger              US$75,000,000 or more
         Arranger                   US$50,000,000
         Co-Arranger                US$25,000,000

Societe Generale joined the transaction prior to the launch of
syndication as Mandated Lead Arranger (together with the
Bookrunners, the "Initial Mandated Lead Arrangers").

As X5 Retail Group announced on Dec. 18, 2007, the Facility pays
a margin of 225 bps per annum over LIBOR out of the box for the
first year.  Subsequently, the margin will move in accordance
with a Net Debt/EBITDA grid with a maximum margin at the top of
the grid of 200 bps per annum over LIBOR.

                         About X5 Retail

Headquartered in the Netherlands, X5 Retail Group N.V. --
http://www.x5.ru/en/-- operates a large store network largely
covering the Moscow region and St. Petersburg but also has a
good presence in other Russian regions through its franchise
operations.  The company has recently acquired two of its
successful regional franchise operations -- in Yekaterinburg and
Chelyabinsk.

                          *     *     *

As of Nov. 12, 2007, X5 Retail Group N.V. carries a B1 Corporate
Family Rating from Moody's Investors Service.  Moody's said the
outlook is positive.

X5 Retail and its subsidiaries also carries a 'BB-' long-term
corporate credit rating from Standard & Poor's Ratings Services.
S&P said the outlook is stable.


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


SANTANDER HIPOTECARIO 4: Fitch Junks EUR14.8 Mln Class F Notes
--------------------------------------------------------------
Fitch Ratings has assigned Fondo de Titulizacion de Activos,
Santander Hipotecario 4's notes totaling EUR1.245 billion due in
October 2050, final ratings are:

   -- EUR184.3 million Class A1: 'AAA'; Outlook Stable
   -- EUR661.9 million Class A2: 'AAA'; Outlook Stable
   -- EUR278 million Class A3: 'AAA'; Outlook Stable
   -- EUR20.9 million Class B: 'AA'; Outlook Stable
   -- EUR30.7 million Class C: 'A'; Outlook Stable
   -- EUR27.1 million Class D: 'BBB'; Outlook Stable
   -- EUR27.1 million Class E: 'BB'; Outlook Stable
   -- EUR14.8 million Class F: 'CCC'; Outlook Stable

This transaction is a cash-flow securitization of a
EUR1.23 billion static pool of residential mortgage loans
granted by Banco Santander ('AA' /'F1+'/Outlook Stable) to
individuals in Spain.

The ratings are based on the quality of the collateral, the
underwriting and servicing of the mortgage loans, available
credit enhancement, the integrity of the transaction's legal and
financial structure and Santander de Titulizacion S.G.F.T, S.A's
administrative capabilities

Initial CE for the Class A to E notes is provided by
subordination and a reserve fund, which will be funded at
closing using the proceeds of the Class F notes.  The Class F
notes are uncollateralized by mortgages, but will benefit from
excess spread.

The ratings address the payment of interest on the notes
according to the terms and conditions of the documentation,
subject to a deferral trigger on the Class B, C, D and E notes,
as well as the repayment of principal at legal final maturity.
Should the deferral trigger on the Class B, C, D and E notes be
hit, interest on these notes will be deferred in the priority of
payments.  In this instance, interest payments might not be
received for a period of time, but will be received by legal
final maturity.

The fund will be regulated by Spanish Securitisation Law 19/1992
and Royal Decree 926/1998.  Its sole purpose will be to convert
mortgage transmission certificates (certificados de transmision
de hipotecas) from the seller into fixed-income securities.  The
fund will be legally represented and managed by Santander de
Titulizacion S.G.F.T, S.A, a limited liability company
incorporated under Spanish law, whose activities are limited to
the management of securitization funds.


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


AVNET INC: Earns US$142.2 Million in Second Qtr. Ended Dec. 29
--------------------------------------------------------------
Avnet Inc. reported revenue of US$4.75 billion for second
quarter fiscal 2008 ended Dec. 29, 2007, representing an
increase of 22.2% over second quarter fiscal 2007.

Pro forma revenue growth, as defined in the Non-GAAP Financial
Information Section, was 6.3% over the prior year second
quarter.  Net income for second quarter fiscal 2008 was US$142.2
million, as compared with net income of US$99.1 million, or
US$0.67 per share, for the second quarter last year.  Included
in the current quarter results are a one-time gain on the sale
of a building and an additional gain from a prior sale of a
business resulting from the receipt of a contingent payment.
Excluding these items, net income and diluted earnings per share
were US$135.9 million and US$0.89, respectively, representing an
increase of 37.1% and 32.8% over the year ago period.  Included
in these results is stock compensation expense of US$0.02 per
diluted share in the current and prior year quarters.

Operating income for second quarter fiscal 2008 was a record
US$207.9 million, up 26.9% as compared with operating income of
US$163.8 million in the year ago quarter.  Operating income as
a% of sales was 4.4%, up 16 basis points from last year's second
quarter.

Roy Vallee, Chairman and Chief Executive Officer, commented,
"Our results continue to demonstrate the positive impact that
our value-based management strategy, augmented by value-creating
acquisitions, is having on our business.  While sequential sales
growth reflected normal seasonal trends, our year-over-year
growth of 22% was bolstered by seven value-creating acquisitions
that span both operating groups and all three regions.  In
addition to the top line growth, we increased year-over-year
operating income 27% and, excluding the gain on the sale of
assets, increased EPS 33% while driving return on capital
employed to a record 12.8%."

                   Operating Group Results

Electronics Marketing (EM) sales of US$2.48 billion in the
second quarter fiscal 2008 were up 6.2% year over year on a
reported basis and up 2.4% when adjusted to exclude the impact
of changes in foreign currency exchange rates.  EM sales in the
Americas, EMEA and Asia regions increased 3.7%, 7.2% and 8.5%,
respectively, year over year. EM operating income of US$126.6
million for second quarter fiscal 2008 was up 6.4% over the
prior year second quarter operating income of US$119.1 million
and operating income margin of 5.1% was flat as compared with
the prior year quarter.

Mr. Vallee added, "Electronics Marketing's revenue growth was
above our expectations and represents the third consecutive
quarter of moderate acceleration in year-over-year growth.  The
Americas region grew sequentially and returned to positive year-
over-year growth following four quarters of negative growth.  EM
had another strong performance in its interconnect, passive and
electromechanical (IP&E) product line which grew revenue at a
double digit rate over the year ago quarter. Since the beginning
of the fiscal year, we closed three IP&E international
acquisitions, which should increase EM's global revenue for its
IP&E business to roughly 15% of total revenue exiting this
fiscal year, as compared with 10% just a year ago.

Technology Solutions (TS) sales of US$2.27 billion in the second
quarter fiscal 2008 were up 46.0% year over year on a reported
basis and up 6.9% on a pro forma basis.  On a pro forma basis,
second quarter fiscal 2008 sales in the Americas, EMEA and Asia
were up 6.6%, 1.9%, and 45.6%, respectively, year over year.  TS
operating income was US$99.4 million in the second quarter
fiscal 2008, a 55.3% increase as compared with second quarter
fiscal 2007 operating income of US$64.0 million, and operating
income margin of 4.4% increased by 26 basis points over the
prior year second quarter benefited by the change to net revenue
accounting on the sales of supplier service contracts.

Mr. Vallee further added, "Technology Solutions revenue was
above the high end of our guidance range as we delivered a
strong December quarter aided by better than expected sales in
the final week.  Despite the well-publicized concerns with the
U.S. economy, our Americas region experienced better than
normal sequential growth in our seasonally strong December
quarter and year-over-year pro forma growth of 6.6%. We also
achieved strong sequential growth in the EMEA and Asia regions.
With solid revenue growth, both organically and through our
value-creating acquisitions, TS delivered record operating
income for the quarter."

                          Cash Flow

During the second quarter of fiscal 2008, the company generated
US$83.8 million of cash flow from operations and on a rolling
four quarter basis generated US$553.6 million.  As a result, the
company ended the quarter with US$417.1 million of cash and cash
equivalents and net debt (total debt less cash and cash
equivalents) of US$863.0 million.

Ray Sadowski, Chief Financial Officer, stated, "We had a solid
quarter of cash flow generation which further strengthened our
credit statistics and our overall balance sheet.  We achieved
record levels of working capital velocity due to business mix
and EM's year-over-year improvement in inventory turns and net
days.  This improvement in velocity, combined with the year-
over-year growth in operating income margin, drove return on
working capital 336 basis points above last year's second
quarter."

                           Outlook

For Avnet's third quarter fiscal 2008, management expects normal
seasonality at both operating groups with sales at EM
anticipated to be in the range of US$2.64 billion to US$2.74
billion and sales for TS to be between US$1.73 billion and
US$1.83 billion.  Therefore, Avnet's consolidated sales are
forecasted to be between US$4.37 billion and US$4.57 billion for
the third quarter of fiscal 2008.  Management expects third
quarter earnings to be in the range of US$0.85 to US$0.89 per
share, up 16.4% - 21.9% as compared with last year's third
quarter.  The above EPS guidance does not include the
amortization of intangible assets or integration charges related
to acquisitions that have closed or will close in the March
quarter.

                        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.


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


DISCO BAR: Lucerne Court Starts Bankruptcy Proceedings
------------------------------------------------------
The Bankruptcy Service of Sursee commenced bankruptcy
proceedings against LLC Disco Bar Prisao on Dec. 11, 2007.

The Bankruptcy Service of Sursee can be reached at:

         Bankruptcy Service of Sursee
         6018 Buttisholz
         Sursee LU
         Switzerland

The Debtor can be reached at:

         LLC Disco Bar Prisao
         Langmatt
         6212 St. Erhard LU
         Switzerland


GALCOMET JSC: Creditors' Liquidation Claims Due by Feb. 4
---------------------------------------------------------
Creditors of JSC Galcomet have until Feb. 4, 2008, to submit
their claims to:

         JSC Galcomet
         Sterenweg 6
         6304 Zug
         Switzerland


MONITOR TOOLS: Creditors' Liquidation Claims Due by Feb. 4
----------------------------------------------------------
Creditors of JSC Monitor Tools have until Feb. 4, 2008, to
submit their claims to:

         Stefan Zindel
         Liquidator
         Grutlistrasse 16
         9000 St. Gallen
         Switzerland

The Debtor can be reached at:

         JSC Monitor Tools
         Dubendorf
         Uster ZH
         Switzerland


SAFEX JSC: Zug Court Starts Bankruptcy Proceedings
--------------------------------------------------
The Bankruptcy Service of Zug commenced bankruptcy proceedings
against JSC Safex on Dec. 11, 2007.

The Bankruptcy Service of Zug can be reached at:

         Bankruptcy Service of Zug
         6300 Zug
         Switzerland

The Debtor can be reached at:

         JSC Safex
         Alte Steinhauserstrasse 19
         6330 Cham ZG
         Switzerland


SATROP HOLDING: Creditors' Liquidation Claims Due by Feb. 4
-----------------------------------------------------------
Creditors of JSC Satrop Holding have until Feb. 4, 2008, to
submit their claims to:

         Gero Gestions
         Liquidator
         Leberngasse 9
         4603 Olten SO
         Switzerland

The Debtor can be reached at:

         JSC Satrop Holding
         Olten SO
         Switzerland


SCHUHHAUS SCHUBIGER: Creditors Must File Claims by Feb. 4
---------------------------------------------------------
Creditors of JSC Schuhhaus Schubiger have until Feb. 4, 2008, to
submit their claims to:

         Arnold Giger
         Liquidator
         Lowenstrasse 17
         8021 Zurich
         Switzerland

The Debtor can be reached at:

         JSC Schuhhaus Schubiger
         Uznach SG
         Switzerland


WEP SYSTEMS: Creditors' Liquidation Claims Due by Feb. 4
--------------------------------------------------------
Creditors of JSC Wep Systems have until Feb. 4, 2008, to submit
their claims to:

         Werner Peter
         Liquidator
         Hochistrasse 17
         6353 Weggis LU
         Switzerland

The Debtor can be reached at:

         JSC Wep Systems
         Hergiswil NW
         Switzerland


WERNER ELSIG: Creditors' Liquidation Claims Due by Feb. 4
-------------------------------------------------------------
Creditors of JSC Werner Elsig have until Feb. 4, 2008, to submit
their claims to:

         Uwe F. Nee
         Neuwiesenweg 5
         8132 Hinteregg
         Egg, Uster ZH
         Switzerland

The Debtor can be reached at:

         JSC Werner Elsig
         Hori
         Bulach ZH
         Switzerland


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


CHEMISTRY TRADE: Proofs of Claim Filing Ends Feb. 7
---------------------------------------------------
Creditors of LLC Agricultural Chemistry Trade (code EDRPOU
32829232) have until Feb. 7, 2008, to submit written proofs of
claim to:

         Jury Ulianchuk
         Temporary Insolvency Manager
         Apartment 54
         Yanvarskogo vosstaniya Str. 11-a
         Kiev
         Ukraine

The Economic Court of Kiev commenced bankruptcy supervision
procedure on the company on Dec. 14, 2007.  The case is docketed
under Case No. 43/748.

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

The Debtor can be reached at:

         LLC Agricultural Chemistry Trade
         Yaroslavov Val Str. 21-P
         01034 Kiev
         Ukraine


COMBI-SERVICE LLC: Creditors Must File Claims by Feb. 7
-------------------------------------------------------
Creditors of LLC Combi-Service (code EDRPOU 24241211) have until
Feb. 7, 2008, 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 26/25-07.

The Debtor can be reached at:

         LLC Combi-Service
         Dnieprovskaya Str. 418-A
         Pavlograd
         51400 Dnipropetrovsk
         Ukraine


ENERGY LIGHT: Proofs of Claim Filing Ends Feb. 7
------------------------------------------------
Creditors of LLC Energy Light Service (code EDRPOU 34531994)
have until Feb. 7, 2008, to submit written proofs of claim to:

         Jury Ulianchuk
         Temporary Insolvency Manager
         Apartment 54
         Yanvarskogo vosstaniya Str. 11-a
         Kiev
         Ukraine

The Economic Court of Kiev commenced bankruptcy supervision
procedure on the company on Dec. 14, 2007.  The case is docketed
under Case No. 43/750.

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

The Debtor can be reached at:

         LLC Energy Light Service
         Melnikov Str. 12
         04050 Kiev
         Ukraine


EUPATORIYA MEAT-PACKING: Creditors Must File Claims by Feb. 7
-------------------------------------------------------------
Creditors of OJSC Eupatoriya Meat-Packing Plant (code EDRPOU
00443743) have until Feb. 7, 2008, to submit written proofs of
claim to:

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

The Economic Court of AR Krym commenced bankruptcy proceedings
against the company after finding it insolvent.  The case is
docketed under Case No. 2-4/9047.2-2007.

The Debtor can be reached at:

         OJSC Eupatoriya Meat-Packing Plant
         Novoselovskoye Highway 1
         Eupatoriya
         97400 AR Krym
         Ukraine


FOZZI-STRATE LLC: Creditors Must File Claims by Feb. 7
------------------------------------------------------
Creditors of LLC Fozzi-Strate (code EDRPOU 32171205) have until
Feb. 7, 2008, to submit written proofs of claim to:

         Alexander Borodiy
         Liquidator
         P.O. Box 48
         02068 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 11/445-07.

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

The Debtor can be reached at:

         LLC Fozzi-Strate
         Industrial Str. 5
         Vishnevoye
         Kiev
         Ukraine


FRUIT AND VEGETABLES: Creditors Must File Claims by Feb. 7
----------------------------------------------------------
Creditors of Common Enterprise Fruit and Vegetables (code EDRPOU
05539353) have until Feb. 7, 2008, 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. 27/251-b.

The Debtor can be reached at:

         Common Enterprise Fruit and Vegetables
         Lenin Str. 33
         Druzhkovka
         84200 Donetsk
         Ukraine


GLOBUS-LTD-TRADE LLC: Proofs of Claim Filing Ends Feb. 7
--------------------------------------------------------
Creditors of LLC Globus-Ltd-Trade (code EDRPOU 35251047) have
until Feb. 7, 2008, to submit written proofs of claim to:

         Jury Ulianchuk
         Temporary Insolvency Manager
         Apartment 54
         Yanvarskogo vosstaniya Str. 11-a
         Kiev
         Ukraine

The Economic Court of Kiev commenced bankruptcy supervision
procedure on the company on Dec. 14, 2007.  The case is docketed
under Case No. 43/752.

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

The Debtor can be reached at:

         LLC Globus-Ltd-Trade
         Svitlitsky Str. 24-A
         04071 Kiev
         Ukraine


JUPITER-COMPANY LLC: Proofs of Claim Filing Ends Feb. 7
-------------------------------------------------------
Creditors of LLC Jupiter-Company (code EDRPOU 31856592) have
until Feb. 7, 2008, to submit written proofs of claim to:

         The Economic Court of Lugansk
         Geroiv VVV Square 3a
         91000 Lugansk
         Ukraine

The Economic Court of Lugansk commenced bankruptcy supervision
procedure on the company.  The case is docketed under Case No.
12/542b.

The Debtor can be reached at:

         LLC Jupiter-Company
         Shevchenko Str. 7
         91055 Lugansk
         Ukraine


RESOURCES-2001 LLC: Creditors Must File Claims by Feb. 7
--------------------------------------------------------
Creditors of LLC Resources-2001 (code EDRPOU 31546463) have
until Feb. 7, 2008, 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 proceedings
against the company after finding it insolvent.  The case is
docketed under Case No. 01/5690.

The Debtor can be reached at:

         LLC Resources-2001
         Khimikov Lane 1
         Cherkassy
         Ukraine


TECHNO-ART LLC: Creditors Must File Claims by Feb. 7
----------------------------------------------------
Creditors of LLC Firm Techno-Art (code EDRPOU 24674430) have
until Feb. 7, 2008, to submit written proofs of claims to:

         The Economic Court of Kharkov
         Derzhprom 8th Entrance
         Svoboda Square 5
         61022 Kharkov
         Ukraine

The Economic Court of Kharkov commenced bankruptcy proceedings
against the company after finding it insolvent.  The case is
docketed under Case No. B-31/179-07.

The Debtor can be reached at:

         LLC Firm Techno-Art
         Artem Str. 32
         Kharkov
         Ukraine


YENAKIYEVO MOTORCAR 11469: Creditors' Claim Due Feb. 7
------------------------------------------------------
Creditors of OJSC Donetsk Motorcar Transport Subsidiary Company
Yenakiyevo Motorcar Division 11469 (code EDRPOU 30321905) have
until Feb. 7, 2008, 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. 27/129b.

The Debtor can be reached at:

         OJSC Donetsk Motorcar Transport Subsidiary Company
         Yenakiyevo Motorcar Division 11469
         Lebedev-Kumach Str. 10
         Yenakiyevo
         86406 Donetsk
         Ukraine


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


AXIUM INTERNATIONAL: Unit to Sell All Assets to MPS Group
---------------------------------------------------------
Ensemble Chimes Global, a wholly owned subsidiary of Axium
International Inc., disclosed that MPS Group Inc. was the
successful bidder for its assets.

The closing of the transaction is subject to certain
contingencies, but it is anticipated that the transaction will
close by the end of the month.

On Jan. 24, 2008, the assets of Chimes, including software
platforms and related intellectual property, were auctioned
through bankruptcy proceedings in the United States District
Court in Los Angeles.

Axium International was also in the business of providing
payroll and accounting services to the entertainment industry.
MPS Group has no interest in pursuing any additional Axium
International asset other than the assets of Chimes.

"The anticipated acquisition of Chimes' assets will make Beeline
the clear leader in vendor management solutions with potential
oversight of more than US$3 billion in annual contingent labor
spend," Timothy Payne, president and chief executive officer of
MPS Group, stated.  "Chimes' clients and users can now feel
comfortable that they will be supported by a large and
financially strong public company that has a long-term
commitment to providing world-class workforce solutions."

"We are aware that many Chimes' clients have suffered recent
disruptions to their operations due to Axium's bankruptcy
filing," Richard White, president of Beeline, added.  "We are
ready and able to jump in and provide the resources and
solutions necessary to get these clients back online and
operating efficiently."

                     About MPS Group Inc.

Headquartered in Jacksonville, Florida, MPS Group Inc.
(NYSE:MPS) -- http://www.mpsgroup.com/ -- provides staffing,
consulting, and solutions in the disciplines of information
technology, finance and accounting, law, engineering, and
healthcare.  Badenoch & Clark Company --
http://www.badenochandclark.com/-- is MPS' London-based
subsidiary that specializes in professional services
recruitment on a direct hire, temporary, and contract basis in
the United Kingdom.  For 27 years, the company has focused on
the accounting, financial services, banking, legal, insurance,
property, public sector and human resource disciplines.  MPS
Group delivers its services to government entities and
businesses in virtually all industries throughout the United
States, Canada, the United Kingdom, and Europe.

                      About Ensemble Chimes


Headquartered in Los Angeles, California, Ensemble Chimes Global
-- http://www.teamecg.com/-- is a wholly owned subsidiary of
Axium International.  The company is a labor management services
provider whose services range from workforce acquisition to
payroll, from risk mitigation to billing and invoicing.  The
company filed for protection under Chapter 7 of the Bankruptcy
Code on Jan. 9, 2008, Bankr. C.D. Calif. Case No. 08-10376).

                          About Axium

Axium International Inc. -- http://www.axium.com/-- provides
payroll solutions for production.  It offers various financial
services and technology for the entertainment industry through
Axium Global and Axium Global Workforce.  It serves companies
ranging from mid-market to Fortune 500.  Axium International has
offices in Los Angeles, New York, Burbank, Hollywood, Las Vegas,
Toronto, Vancouver and London.  The company filed for protection
under Chapter 7 of the Bankruptcy Code on Jan. 8, 2008, (Bankr.
C.D. Calif. Case No. 08-10277).  Howard M. Ehrenberg, a partner
at SulmeyerKupetz, has been appointed as Chapter 7 Trustee.


BARABAS CULTURAL: Brings In Liquidators from Tenon Recovery
-----------------------------------------------------------
S. J. Parker and T. J. Binyon of Tenon Recovery were appointed
joint liquidators of Barabas Cultural Intelligence Ltd. on Jan.
16 for the creditors' voluntary winding-up proceeding.

The joint liquidators can be reached at:

         Tenon Recovery
         Sherlock House
         73 Baker Street
         London
         W1U 6RD
         England


CASTLE FINANCE: Moody's Junks Series 4 EUR20 Million Notes
----------------------------------------------------------
Moody's Investors Service downgraded two Constant Proportion
Debt Obligations exposed to portfolios of financial names.  The
affected CPDOs were issued by Castle Finance II Ltd. and CHESS
III Ltd., and represent 22% of outstanding CPDOs linked to
financial names and 4% of all CPDOs rated by Moody's.

The negative rating actions are a result of the weighted average
spread of the underlying portfolios continually increasing over
recent weeks, and eventually reaching a level of 201bps on
Jan. 22, 2008, from 101bps on Jan. 2, 2008.  At this level the
net asset value of both transactions was reduced to 10%,
invoking their "cash-out" triggers.  As a result, the
transactions will unwind at an approximate 90% loss to the
investors.

These rating actions are:

* Series 4 EUR20,000,000 SURF Constant Proportion Debt
   Obligation Notes Due 2017 issued by Castle Finance II Ltd

   -- Current rating: C
   -- Prior rating: B2, on review for downgrade

* Series 2007-1 EUR100,000,000 SURF Constant Proportion Debt
   Obligation Notes Due 2017 issued by CHESS III Ltd.

   -- Current rating: C
   -- Prior rating: B2, on review for downgrade


CAVALIER TECHNICAL: Taps Liquidators from Vantis
------------------------------------------------
Paul Atkinson and Glyn Mummery of Vantis Business Recovery
Services were appointed joint liquidators of Cavalier Technical
Sales Ltd. (t/a Cavalier Advanced Panels & Products) on Jan. 17
for the creditors' voluntary winding-up proceeding.

The joint liquidators can be reached at:

         Vantis Business Recovery Services
         43-45 Butts Green Road
         Hornchurch
         Essex
         RM11 2JX
         England


CHESS III: Moody's Junks Series 2007-1 EUR100 Million Notes
-----------------------------------------------------------
Moody's Investors Service downgraded two Constant Proportion
Debt Obligations exposed to portfolios of financial names.  The
affected CPDOs were issued by Castle Finance II Ltd. and CHESS
III Ltd., and represent 22% of outstanding CPDOs linked to
financial names and 4% of all CPDOs rated by Moody's.

The negative rating actions are a result of the weighted average
spread of the underlying portfolios continually increasing over
recent weeks, and eventually reaching a level of 201bps on
Jan. 22, 2008, from 101bps on Jan. 2, 2008.  At this level the
net asset value of both transactions was reduced to 10%,
invoking their "cash-out" triggers.  As a result, the
transactions will unwind at an approximate 90% loss to the
investors.

These rating actions are:

* Series 4 EUR20,000,000 SURF Constant Proportion Debt
   Obligation Notes Due 2017 issued by Castle Finance II Ltd

   -- Current rating: C
   -- Prior rating: B2, on review for downgrade

* Series 2007-1 EUR100,000,000 SURF Constant Proportion Debt
   Obligation Notes Due 2017 issued by CHESS III Ltd.

   -- Current rating: C
   -- Prior rating: B2, on review for downgrade


CHRYSLER LLC: Invests US$27 Million in Toledo Machining Plant
-------------------------------------------------------------
Tom LaSorda, Chrysler LLC Vice Chairman and President, disclosed
that Chrysler would invest more than US$27 million in its Toledo
Machining Plant in Ohio.  The plans were revealed during a
keynote speech at the Toledo Regional Chamber of Commerce's
annual meeting.

Toledo Machining, which currently builds torque converters and
steering columns, will divide the investment into two separate
parts of the plant: US$26.4 million will go toward the
manufacturing of a redesigned torque converter for automatic
transmissions and an additional US$1.5 million will be used for
production of a new steering column.

The torque converter investment will deliver improved fuel
efficiency and refinement and retain 164 jobs.  The steering
column investment will retain 44 hourly jobs.

"Chrysler's investments in the Toledo area are rooted in our
faith that we can keep good-paying manufacturing jobs in America
as long as government, our unions and our companies all pull
together for the common good," Mr. LaSorda said.  "We at
Chrysler have a stake in Toledo being a vital city, and we're
pleased at the ongoing progress."

Overall, the Toledo Machining investment will enhance Chrysler's
ability to offer the highest quality products and advanced
technical expertise.

"This is an important day for the future of the UAW and
Chrysler, and in particular for the continued competitiveness of
our team here in the State of Ohio," General Holiefield, UAW
Vice President, who directs the union's Chrysler Department,
said.  "This investment is a significant step toward realizing
our vision to see this company and our union grow this business
and be competitive for the long run."

"Chrysler is the largest manufacturing employer and one of the
best corporate citizens in Wood County," Tom Blaha, Executive
Director of the Wood County Economic Development Commission,
said.  "This investment is a testament to the hard working men
and women at Toledo Machining."

The Toledo Machining Plant is located in Perrysburg, Ohio.  The
plant covers 1.2 million square feet and employs 1,530.
Employees at the plant are represented by UAW Local #1435.  The
plant builds steering columns and torque converters for vehicles
across the Chrysler, Jeep(R), Dodge product line.

Chrysler, a good neighbor and good citizen, sponsors various
community events through its philanthropic arm, The Chrysler
Foundation, including the Art Tatum Jazz Heritage Festival,
Toledo Urban League, City's Youth Entrepreneur Program, Toledo
Opera, the Toledo Museum of Art, Valentine Theatre and the
Diamante Awards.

                       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 TCR-Europe on Jan. 8, 2008, Moody's
Investors Service placed the Ba1 Corporate Family Rating of Tata
Motors Ltd on review for possible downgrade.


DCL INTERIORS: Taps Begbies Traynor to Administer Assets
--------------------------------------------------------
David Acland and Steven Williams of Begbies Traynor were
appointed joint administrators of DCL Interiors Ltd. (Company
Number 03520150) on Jan. 17, 2008.

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

The company can be reached at:

          DCL Interiors Ltd.
          Unit 6 Shawbridge Sawmill
          Shaw Bridge Street
          Clitheroe
          Lancashire
          BB7 1LY
          England
          Tel: 01200 422 007
          Fax: 01200 422 700
          Web site: http://www.dclinteriors.co.uk/


DOLCIS LTD: Appoints Joint Administrators from KPMG
---------------------------------------------------
Brian Green, Allan Graham and Howard Smith of KPMG Restructuring
were appointed joint administrators of Dolcis Ltd. on Jan. 21,
2008.

The joint administrators are reviewing the business and will
seek to continue to trade from as many of the 185 stores as
possible.

"Dolcis is a well recognized, long established High Street brand
so we are hopeful of finding a buyer for it," Brian Green
disclosed.

"Dolcis is to some extent a victim of the tough trading
conditions in which the retail sector is currently operating.
Earlier this month KPMG and the British Retail Consortium
reported that footwear sales fell for the third consecutive
month in December, with the mass market hit hardest, as even
large discounts failed to tempt sufficient customers," Mr. Green
added.

According to Mr. Green, while most businesses wait and see
whether the recent dent to consumer confidence has a longer term
impact on the wider economy, the retail sector and its suppliers
operate at the sharp end; feeling the impact of tighter consumer
spending with more immediacy and arguably acting as an indicator
of trouble ahead for other sectors.

"There are, however, a significant number of positive factors
about this business to make it an attractive acquisition and any
interested parties should contact us for information," Mr. Green
concluded.

KPMG LLP -- http://www.kpmg.co.uk/-- offers accounting, audit,
and tax-related services to customers in such target industries
as banking, media and entertainment, consumer products, health
care providers, insurance, and pharmaceuticals.

Headquartered in Coventry, England, Dolcis Ltd. --
http://www.dolcis.co.uk/-- retails shoes.  It has 65 high
street branches across the U.K., in addition to these there are
also over 150 Dolcis concessions primarily within Bay Trading
and Envy stores.


GETTY IMAGES: S&P Holds BB Corp. Credit Rating with Neg. Outlook
----------------------------------------------------------------
Standard & Poor's Ratings Services has affirmed its ratings and
outlook on Seattle, Washington-based visual imagery company
Getty Images Inc., including its 'BB' corporate credit rating,
following the company's announcement that it is exploring
strategic alternatives.  The outlook is negative.

"We believe that a sale of the company could potentially result
in a weakened credit profile, but that current unfavorable
economic and credit market conditions suggest a lower
probability of a transaction within the next three months," said
S&P's credit analyst Tulip Lim.

The ratings on Getty Images reflect risks related to its limited
business diversity, its reliance on sales to the cyclical
advertising and publishing industries, the trend of organic
revenue decline, and secular pressures related to the
unfavorable economics of digital migration.  The company's good
competitive position in the niche market for generic (or stock)
visual imagery, solid discretionary cash flow generation, and
low leverage partially offset these risks.

Headquartered in Seattle, Washington, Getty Images, Inc. --
http://corporate.gettyimages.com/-- creates and distributes
visual content.  The company has corporate offices in Australia,
the United Kingdom and Argentina.


FORD MOTOR: Auto Credit Arm Earns US$775 Million in 2007
--------------------------------------------------------
Ford Motor Credit Company reported net income of US$775 million
in 2007, down US$508 million from earnings of US$1,283 million a
year earlier.  On a pre-tax basis, Ford Motor Credit earned
US$1.215 billion in 2007, down US$738 million from 2006.

The decrease in full year earnings primarily reflected the non-
recurrence of credit loss reserve reductions, higher borrowing
costs, higher depreciation expense for leased vehicles and
higher costs due to our North American business transformation
initiative.  These were offset partially by lower net losses
related to market valuation adjustments from derivatives and
lower expenses primarily reflecting improved operating costs.

In the fourth quarter of 2007, Ford Motor Credit's net income
was US$186 million, down US$93 million from a year earlier.  On
a pre-tax basis, Ford Motor Credit earned US$263 million in the
fourth quarter, compared with US$406 million in the previous
year.  The decrease in fourth quarter earnings primarily
reflected the non-recurrence of credit loss reserve reductions,
higher borrowing costs and higher depreciation expense for
leased vehicles, offset partially by lower expenses and the non-
recurrence of losses related to market valuation adjustments
from derivatives.

"We had a good year in 2007 with a business that performed
consistently and predictably," Mike Bannister, chairman and CEO,
said.  "With our sound business fundamentals, we have a strong
foundation for the future."

Ford Motor Credit expects its earnings in 2008 to be about equal
to its earnings in 2007.

On Dec. 31, 2007, Ford Motor Credit's on-balance sheet net
receivables totaled US$141 billion, compared with US$135 billion
at year-end 2006. Managed receivables were US$147 billion, down
from US$148 billion a year ago.

On Dec. 31, 2007, managed leverage was 9.8 to 1.

                     About Ford Motor Credit

Ford Motor Credit Company LLC -- http://www.fordcredit.com/--
an indirect, wholly owned subsidiary of Ford Motor Company, is
an automotive finance company and has supported the sale of Ford
products since 1959.  It provides automotive financing for Ford,
Lincoln, Mercury, Jaguar, Land Rover, Mazda and Volvo dealers
and customers.

                         About Ford Motor

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

The company has operations in Japan in the Asia Pacific region.
In Europe, the company maintains a presence in Sweden, and the
United Kingdom.  The company also distributes its brands in
various Latin American regions, including Argentina and Brazil.

                          *     *     *

As reported in the Troubled Company Reporter-Europe on
Nov. 20, 2007, Moody's Investors Service affirmed the long-term
ratings of Ford Motor Company (B3 Corporate Family Rating, Ba3
senior secured, Caa1 senior unsecured, and B3 probability of
default), but changed the rating outlook to Stable from Negative
and raised the company's Speculative Grade Liquidity rating to
SGL-1 from SGL-3.  Moody's also affirmed Ford Motor Credit
Company's B1 senior unsecured rating, and changed the outlook to
Stable from Negative.  These rating actions follow Ford's
announcement of the details of the newly ratified four-year
labor agreement with the UAW.


FORD MOTOR: Posts US$2.7 Billion Net Loss in Fiscal Year 2007
-------------------------------------------------------------
Ford Motor Company reported a 2007 full-year net loss of
US$2.7 billion.  This compares with a 2006 full-year net loss of
US$12.6 billion.

Ford's 2007 revenue, excluding special items, was US$173.9
billion, up from US$160.1 billion a year ago.  The increase
primarily reflected changes in exchange rates, higher net
pricing and improved product mix.

For full-year 2007, Ford earned a pre-tax operating profit from
continuing operations, excluding special items, of US$126
million.  Including taxes, Ford's full-year loss from continuing
operations was US$366 million, compared with a 2006 loss of
US$2.7 billion.

Special items, which primarily reflected non-cash charges
associated with a Premier Automotive Group asset impairment
(related to Volvo) and a change in business practice for
providing retail incentives to dealers throughout the year,
reduced full-year pre-tax results by US$3.9 billion, which
included a reduction in revenue of US$1.4 billion.

Automotive gross cash, which includes cash and cash equivalents,
net marketable securities, loaned securities and short-term VEBA
assets, was US$34.6 billion at Dec. 31, 2007, an increase of
US$700 million from year-end 2006.

"Each of our Automotive operations is improving, and we are
encouraged by the progress, which validates our strategy and
plan," Ford President and CEO Alan Mulally said.  "In 2007, we
introduced great new products around the globe that received
strong third-party endorsements for styling, quality and safety.
This year, we have some outstanding new product introductions
including the Ford Flex, Lincoln MKS, and Ford F-150 in North
America, and Ford Kuga and the production version of the Ford
Verve concept in Europe."

                     Full-Year Highlights

Full-year 2007 highlights supporting the company's plan
included:

   * reached agreement with the United Auto Workers on a new
     four-year national labor contract, which significantly
     improves the company's competitiveness going forward.

   * continued to align capacity to match demand and improve
     productivity in North America, and reduced personnel by
     32,800 in 2007.

   * achieved US$1.8 billion in cost savings in 2007 (at
     constant volume, mix and exchange; excluding special
     items).

   * introduced Ford SYNC -- the company's award-winning, fully
     integrated, voice-activated in-car communications and
     entertainment system developed in association with
     Microsoft -- which will be available in nearly every Ford,
     Lincoln and Mercury product by the end of 2008.

   * in the U.S., Ford, Lincoln and Mercury crossover utility
     vehicles led the fastest-growing segment with a sales gain
     of 62% in 2007.

   * the Ford Mustang convertible made history as the first
     sports car and first convertible to earn the highest
     possible safety ratings from the National Highway Traffic
     and Safety Administration.  The Mustang convertible earned
     five-star ratings in all crash test and rollover
     categories.

   * Ford Taurus, Taurus X and Mercury Sable earned Top Safety
     Pick ratings from the Insurance Institute for Highway
     Safety for achieving the highest possible ratings in
     frontal, side and rear crash test performance.  They also
     earned five-star crash-test ratings from NHTSA.

   * Ford Europe captured Autocar Magazine's annual "Car Company
     of the Year" award.

   * Ford Mondeo joins three other models -- Ford Focus, Galaxy
     and S-MAX -- with a five-star performance on the Euro NCAP
     Top 10 list, reinforcing Ford Europe's position as the
     manufacturer with the highest number of vehicles in the top
     10 for adult occupant protection.

   * Ford South America had record pre-tax profits and unit
     sales were up 19% year-over-year.

   * Land Rover achieved a third straight year of record unit
     sales.

   * Volvo S80 won AutoMundo Magazine's 2007 Car of the Year
     Award, and Volvo C30 was named Automobile Magazine's 2008
     All-Star.

   * launched operations at new assembly plant in Nanjing,
     China, that will produce the latest small-car models from
     both Ford and Mazda.

   * Ford China unit sales rose 26% in 2007, outpacing industry
     growth in China.

   * Mazda CX-9 named "North American Truck of the Year," the
     first-ever Mazda to win the honor.

   * completed the sale of Automobile Protection Corporation,
     Aston Martin and two Automotive Components Holdings plants.

   * reduced Automotive debt by US$2.7 billion by completing
     trust preferred exchange offer and debt/equity swap.

                      Fourth Quarter Results

The company reported a 2007 fourth-quarter net loss of
US$2.8 billion.  This compares with a net loss of US$5.6 billion
in the same period a year ago.

Ford's fourth-quarter revenue, excluding special items, was
US$45.5 billion, up from US$40.3 billion a year ago.  The
increase reflected changes in currency exchange rates, higher
net pricing, and improved volume.

Ford's fourth-quarter after-tax loss from continuing operations,
excluding special items, was US$429 million, compared with a
2006 after-tax loss of US$2.0 billion.

Special items reduced pre-tax results by US$3.9 billion in the
fourth quarter, which included a revenue reduction of
US$1.4 billion.  These primarily reflected non-cash charges
associated with a PAG asset impairment (related to Volvo) and a
change in business practice for providing retail incentives to
dealers.

                         About Ford Motor

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

The company has operations in Japan in the Asia Pacific region.
In Europe, the company maintains a presence in Sweden, and the
United Kingdom.  The company also distributes its brands in
various Latin American regions, including Argentina and Brazil.

                          *     *     *

As reported in the Troubled Company Reporter-Europe on
Nov. 20, 2007, Moody's Investors Service affirmed the long-term
ratings of Ford Motor Company (B3 Corporate Family Rating, Ba3
senior secured, Caa1 senior unsecured, and B3 probability of
default), but changed the rating outlook to Stable from Negative
and raised the company's Speculative Grade Liquidity rating to
SGL-1 from SGL-3.  Moody's also affirmed Ford Motor Credit
Company's B1 senior unsecured rating, and changed the outlook to
Stable from Negative.  These rating actions follow Ford's
announcement of the details of the newly ratified four-year
labor agreement with the UAW.


HAINES WATTS: Appoints Joint Administrators from PwC
----------------------------------------------------
Colin Michael, Trevethyn Haig, Ian David Green and Patrick
Michael Boyden  of PricewaterhouseCoopers LLP were appointed
Jan. 14, 2008, joint administrators of:

   -- Credere (Company Number 05719911);

   -- Credere Holdings Ltd. (Company Number 05874693);

   -- Haines Watts Bri Ltd. (Company Number 05532196);

   -- Haines Watts Iva Ltd. (Company Number 05532209);

   -- Haines Watts Information Services Ltd.
      (Company Number 03637610); and

   -- Haines Watts Laiss Ltd. (Company Number 05532202).

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

Headquartered in Barnsley, England, Haines Watts --
http://www.hwca.com/-- provides services that include taxation,
business advisory, corporate finance, corporate recovery &
insolvency and budget summary.


HH ON-LINE: Joint Liquidators Take Over Operations
--------------------------------------------------
Glyn Mummery and Geoffrey Paul Rowley of Vantis LLP were
appointed joint liquidators of HH On-Line Ltd., WR Training
Ltd., WR Birmingham Ltd., WR Brighton Ltd., WR Bristol Ltd.,
WR Croydon Ltd., WR Darlington Ltd., WR Leeds Ltd., WR Liverpool
Ltd., and WR Manchester Ltd. on Jan. 7 for the creditors'
voluntary winding-up proceeding.

The joint liquidators can be reached at:

         Vantis LLP
         PO Box 2653
         66 Wigmore Street
         London
         England


INSIGHT MANAGEMENT: Calls In Liquidators from Moore Stephens
------------------------------------------------------------
Nigel Price and Mark Bowen of Moore Stephens LLP were appointed
joint liquidators of Insight Management Plc on Jan. 15 for the
creditors' voluntary winding-up proceeding.

The joint liquidators can be reached at:

         Moore Stephens LLP
         Beaufort House
         94-96 Newhall Street
         Birmingham
         B3 1PB
         England


MAULER PLASTICS: Appoints Liquidators from Vantis
-------------------------------------------------
Peter James Hughes-Holland and Frank Wessely of Vantis were
appointed joint liquidators of Mauler Plastics Ltd. on Jan. 17
for the creditors' voluntary winding-up proceeding.

The joint liquidators can be reached at:

         Vantis
         81 Station Road
         Marlow
         Buckinghamshire
         SL7 1NS
         England


RANK GROUP: Nears GBP700 Mln Pension Scheme Deal with Goldman
-------------------------------------------------------------
Rank Group plc is nearing a deal to sell its GBP700 million
pension scheme to Goldman Sachs, the Daily Telegraph reports.

According to the Daily Telegraph, citing unidentified sources,
Rank, which hired Mercer to auction the scheme, could reach a
deal "in a matter of weeks, not months."

The sources disclosed that the two companies are still
discussing over how much Rank would need to pay Goldman, on top
of transferring the GBP711 million assets of the scheme, the
Daily Telegraph says.

Goldman Sachs is understood to have outbid Legal & General,
Prudential, Paternoster, Pension Corporation and Synesis Life,
the Daily Telegraph relates.

The company's scheme, the paper adds, has a surplus of GBP75.8
million, while liabilities stood at GBP635.2 million.

Meanwhile, Malaysia-based Guoco Group Limited has increased its
stake in Rank to 4.09% from 3.17%, sparking speculation that it
is eyeing up a bid for the company, Reuters reveals.

Headquartered in London, United Kingdom, Rank Group PLC --
http://www.rank.com/-- is an international leisure and
entertainment company.  The Group provides services to the film
industry, including film processing, video duplication and
cinema exhibition.  The Group's leisure and entertainment
activities entail gambling services, encompassing Mecca Bingo
Clubs and Grosvenor Casinos, and owned and franchises Hard Rock
cafes.

                          *     *     *

As reported in the TCR-Europe on Nov. 14, 2007, Standard &
Poor's Ratings Services lowered its long-term corporate credit
rating on U.K. gaming group The Rank Group PLC to 'B+' from
'BB-'.  S&P said the outlook is negative.

At the same time, the debt ratings on Rank's three public bond
issues were lowered to 'B' from 'BB-', one notch lower than the
corporate credit rating to reflect structural subordination, and
the 'B' short-term corporate credit rating was withdrawn at the
company's request.

In October 2007, Moody's Investors Service downgraded to B1
(from Ba3) the corporate family rating of Rank Group Plc.

Moody's concurrently downgraded ratings of the US$100 million
guaranteed notes due 2008 and US$14.3 million guaranteed notes
due 2018 at Rank Group Finance Plc to B3/LGD5/85% from
B2/LGD5/84%.  Ratings have been placed on review for possible
further downgrade.

In April 2007, Standard & Poor's Ratings Services revised its
outlook on the company The Rank Group PLC to negative from
stable.  At the same time, the 'BB-' long-term and 'B' short-
term corporate credit ratings were affirmed.


REAL ESTATE: High Court Orders Winding Up Proceedings
-----------------------------------------------------
The High Court wound up Real Estate (Midlands) Ltd. on
Jan. 3, 2008, following an investigation by the Companies
Investigation Branch of the Insolvency Services.

Creditors of the company are owed in excess of GBP1.4 million.
Over one hundred of the company's trade suppliers provided
information to assist CIB's inquiries.

CIB's investigation found the company continued trading while
insolvent, and gave preferential treatment to connected
creditors and debtors.

The investigation also established that the company's management
lacked transparency in so far as the persons controlling its
affairs, including one person who was a disqualified director,
were not formally appointed as directors.

The company was placed into administration on Jan. 15, 2007.

A petition to wind up the company was presented on Nov. 7, 2007.


SAM TOOLING: Brings In Administrators from PwC
----------------------------------------------
Ross David Connock and Robert Nicholas Lewis of
PricewaterhouseCoopers LLP were appointed joint administrators
of Sam Tooling Ltd. (Company Number 01990139) on Jan. 16, 2008.

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

The company can be reached at:

          Sam Tooling Ltd.
          60 Newland Street
          Coleford
          Gloucestershire
          GL16 8AL
          England
          Tel: 01594 835 542
          Fax: 01594 837 293
          Web site: http://www.samtooling.co.uk/


SHAW GROUP: Environmental Unit Bags Deal from General Electric
--------------------------------------------------------------
The Shaw Group Inc.'s Environmental & Infrastructure Group has
been awarded a contract by the General Electric Company for work
on the Upper Hudson River dredging project.  The value of Shaw's
contract, which will be included in the company's fiscal year
2008-second quarter backlog, was not disclosed.

"We are pleased to assist GE in the important environmental
cleanup of the Hudson River," said Ronald W. Oakley, president
of Shaw's Environmental & Infrastructure Group.  "With our
involvement in the Hudson River project, and the Fox River
project in Wisconsin, Shaw is playing a significant role in two
of the largest and most important sediment remediation projects
in the U.S."

Once dredging begins, Shaw will operate the processing
facilities needed to manage sediments that are dredged from the
Upper Hudson River.  These facilities include:

   -- a barge terminal where sediments will be delivered and
      unloaded;

   -- a dewatering building with specialized equipment that will
      press water from dredged sediments;

   -- a water treatment plant that will remove polychlorinated
      biphenyls (PCBs) from the water; and

   -- large railroad staging facilities for the rail cars
      transporting the processed sediment for disposal.

Shaw will manage the project out of its Latham, N.Y., office.

With this contract, Shaw plans to utilize local subcontractors
and local manpower from Washington County and the Capital
District Region in New York.

                        About Shaw Group

Based in Baton Rouge, Louisiana, The Shaw Group Inc. (NYSE: SGR)
-- http://www.shawgrp.com/-- provides services to the
environmental, infrastructure and homeland security markets,
including consulting, engineering, construction, remediation and
facilities management services to governmental and commercial
customers.  It is also a vertically integrated provider of
engineering, procurement, pipe fabrication, construction and
maintenance services to the power and process industries.  The
company segregates its business activities into four operating
segments: Environmental & Infrastructure; Energy & Chemicals;
Maintenance, and Fabrication, Manufacturing & Distribution.  In
January 2005, the company sold substantially all of the assets
of its Shaw Power Technologies, Inc. and Shaw Power Technologies
International, Ltd. units to Siemens Power Transmission and
Distribution Inc., a unit of Siemens AG.

The company has operations in Chile, China, Malaysia, the United
Kingdom and, Venezuela, among others.

                          *     *     *

Standard & Poor's Ratings Services affirmed its 'BB' corporate
credit rating on The Shaw Group Inc. and removed it from
CreditWatch, where it was placed with negative implications in
October 2006.  S&P said the outlook is stable.

In addition, 'BB' senior secured debt rating was affirmed after
the US$100 million increase to the company's revolving credit
facility.


TECHNICAL MOULDED: Claims Filing Period Ends March 20
-----------------------------------------------------
Creditors of Technical Moulded Systems Ltd. have until March 20,
2008, to send in their full names, their addresses and
descriptions, full particulars of their debts or claims, and the
names and addresses of their solicitors (if any) to:

         Ian J. Gould
         Joint Liquidator
         PKF (UK) LLP
         New Guild House
         45 Great Charles Street
         Queensway
         Birmingham
         B3 2LX
         England

Ian J. Gould and Edward T. Kerr of PKF (UK) LLP were appointed
joint liquidators of the company on Jan. 21 by resolutions of
members and creditors.


TELTRONICS INC: Sells Telident 911 Assets to Amcom Software
-----------------------------------------------------------
Teltronics Inc., disclosed in a regulatory filing with the U.S.
Securities and Exchange Commission that on Jan. 18, 2008, it
sold all assets related to its Telident 911 Solutions line of
products to Amcom Software Inc. for a purchase price of US$1.75
million and the assumption by Amcom of certain liabilities.

Under the Asset Purchase Agreement executed on Jan. 18,  2008,
US$175,000.00 of the purchase price was deposited into an escrow
account to provide Amcom with limited rights to obtain payment
for claims made under the indemnity provisions of the Agreement.

The company also disclosed that on Jan. 18, 2008, Teltronics
Direct Inc., a subsidiary of the company closed acquisition of
substantially all of the assets of FMG Ventures LLC and JC
Ventures LLC under an Asset Purchase Agreement entered into by
TDI on Dec. 19, 2007.

The Sellers are local interconnect resellers and provide support
of small to medium size telephone switches in the Tampa to
Naples, Florida area.

Under the Agreement, TDI would acquire substantially all of the
assets of the Sellers in exchange for US$200,000.00 in cash paid
at the Closing and possible future payments based on the net
earnings of TDI for a period of five (5) years.  The Agreement
contemplates that TDI would be initially owned eighty-five% by
the company and seven and one-half% by each of the two
principals of the Sellers.  TDI would employ the principals of
the Sellers on a salary and commission basis for a period of
five (5) years, subject to termination under certain conditions.

                      About Teltronics Inc.

Headquartered in Sarasota, Florida, Teltronics Inc. (OTC BB:
TELT) -- http://www.teltronics.com/-- is a global provider of
communications solutions and services.  The company manufactures
telephone switching systems and software for small-to-large size
businesses and government facilities.   The company's products
are classified into intelligent systems management, digital
switching systems, voice over Internet protocol, customer
contact management systems and emergency response systems.
Overall operations are classified into three reportable
segments: Teltronics, Inc., Teltronics Limited (UK) and Mexico.
Its Mexico office is located at Naucalpan de Juarez.


TELTRONICS INC: Sept. 30 Balance Sheet Upside-Down by US$4.4 Mln
----------------------------------------------------------------
Teltronics Inc.'s consolidated balance sheet at Sept. 30, 2007,
showed US$18.4 million in total assets and US$22.8 million in
total liabilities, resulting in a US$4.4 million total
stockholders' deficit.

The company's consolidated balance sheet at Sept. 30, 2007, also
showed strained liquidity with US$16.7 million in total current
assets available to pay US$18.1 million in total current
liabilities.

The company reported net income of US$310,000 for the third
quarter ended Sept. 30, 2007, as compared to net income of
US$495,000 for the same period in 2006.  Net loss for the nine
months ended Sept. 30, 2007, was US$2.26 million, as compared to
a net income of US$690,000 for the same period in 2006.

Sales for the three months ended Sept. were US$11.7 million, as
compared to US$12.2 million reported for the same period in
2006.  Sales for the nine months ended Sept. 30, 2007, were
US$29.4 million, as compared to US$34.0 million for the same
period in 2006.  Gross profit margin for the three months ended
Sept. 30, 2007, was 38.5% as compared to 40.0% for the same
period in 2006.  Gross profit margin for the nine months ended
Sept. 30, 2007, was 37.4%, as compared to 40.7% for the same
period in 2006.

Operating expenses for the three months ended Sept. 30, 2007,
were US$3.8 million, as compared to US$3.9 million for the same
period in 2006.  Operating expenses for the nine months ended
Sept. 30, 2007, were US$11.6 million, as compared to
US$12.1 million for the same period in 2006.

"During the third quarter we started to see some of the sales
timing issues of the first half turnaround," said Ewen Cameron,
Teltronics' president and chief executive officer.  "While this
trend is expected to continue in the fourth quarter, we believe
that some of our expected 2007 revenue will roll into 2008."

                 Liquidity and Capital Resources

In May 2007, the company entered into a new Revolving Credit
Term Loan and Security agreement under which the company
established a revolving credit facility with a maximum principal
amount up to US$6,000,000 and received a five year term-loan
with the maximum principal amount of US$5,842,000.  The
obligations of the agreement are secured by a first lien and
security interest in all of the company's assets.  The
availability under this facility as of Sept. 30, 2007, was
US$1,568,000.

As of Sept. 30, 2007, the company has cash and cash equivalents
of US$896,000 as compared to US$794,000 as of Dec. 31, 2006.

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?275e

                      About Teltronics Inc.

Headquartered in Sarasota, Florida, Teltronics Inc. (OTC BB:
TELT) -- http://www.teltronics.com/-- is a global provider of
communications solutions and services.  The company manufactures
telephone switching systems and software for small-to-large size
businesses and government facilities.   The company's products
are classified into intelligent systems management, digital
switching systems, voice over Internet protocol, customer
contact management systems and emergency response systems.
Overall operations are classified into three reportable
segments: Teltronics, Inc., Teltronics Limited (U.K.) and
Mexico.  Its Mexico office is located at Naucalpan de Juarez.


* Chadbourne & Parke Expands London Office for Staff Additions
--------------------------------------------------------------
The international law firm of Chadbourne & Parke is expanding
its London offices, adding over 1,000 square meters or 10,800
square feet to its Regis House location on King William Street.

The expansion will enable Chadbourne & Parke to grow its
practice at its current office, providing space for additional
attorneys and support staff.

"London is the key to our European presence," Charles K.
O'Neill, Chadbourne managing partner, said.  "This additional
space enables us to have the room we will need in the immediate
term as we continue expanding our presence with lateral hires."

Chadbourne's London operation has enjoyed steady growth and
activity in recent months.  In December, it disclosed that three
partners from the London firm of Berwin Leighton Paisner -- Jon
Nash, Sohail Barkatali and Agnieszka Klich -- were joining the
project finance practice as a team, with a focus on Middle East
and Africa transactions.

In the last quarter of 2007, the office's English law team
played a key role in four M&A deals in six weeks, involving
transactions in Russia and Ukraine.  The deals involved: Bank
Hapoalim's acquisition of 76% of Ukraine Innovation Bank; Marfin
Popular Bank's acquisition of a 50.04% stake in Russia's
RosPromBank; the owners of a chain of Ukrainian cosmetic shops
on the investment by a private equity group in that business;
and Bank of Cyprus in the acquisition of 95% of the share
capital of Ukrainian bank AvtoZAZBank.

The architectural firm of Christian Garnett Partners is
overseeing the project, which will give Chadbourne a third floor
in the building.  London office managing partner Claude
Serfilippi said Chadbourne had used Christian Garnett Partners
before and it was a natural decision to use it again on the
latest office project.

In 1998, Christian Garnett Partners designed the fit out of the
firm's current London offices on two other floors of Regis
House.  The current work is due to be completed in May.

                  About Chadbourne & Parke LLP

Headquartered in New York City, Chadbourne & Parke LLP --
http://www.chadbourne.com/-- provides a full range of legal
services, including mergers and acquisitions, securities,
project finance, private funds, corporate finance, energy,
communications and technology, commercial and products liability
litigation, securities litigation and regulatory enforcement,
special investigations and litigation, intellectual property,
antitrust, domestic and international tax, insurance and
reinsurance, environmental, real estate, bankruptcy and
financial restructuring, employment law and ERISA, trusts and
estates and government contract matters. Major geographical
areas of concentration include Central and Eastern Europe,
Russia and the CIS, the Middle East and Latin America.  The firm
has offices in New York, Washington, DC, Los Angeles, Houston,
London, Moscow, St. Petersburg, Warsaw, Kyiv, Almaty, Dubai and
Beijing.


* 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)


CYPRUS
------
Cyprus Airways            CAIR       (30)         262      (97)


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
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
-----
A.S. Roma S.p.A.          ASR        (12)         188      (49)
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)
Lazio S.p.A.              SSL        (32)         254      (33)
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)       2,963   (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       65
Dowson Holding            DWN        (18)         226       31
Derby Investment                    (127)         793     (524)
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)
Marston's Trading                    (43)         908     (210)
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
Unilever U.K. Cent.               (1,170)       4,509       82
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 and Marites Claro, 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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