/raid1/www/Hosts/bankrupt/TCREUR

/raid1/www/Hosts/bankrupt/TCREUR_Public/080421.mbx T R O U B L E D C O M P A N Y R E P O R T E R E U R O P E Monday, April 21, 2008, Vol. 9, No. 78 Headlines A U S T R I A AUTO POTZINGER: Claims Registration Period Ends May 13 ELEKTROTECHNIK TSCHUDEN: Claims Registration Period Ends May 13 P & P TROCKENAUSBAU: Claims Registration Period Ends May 13 F R A N C E CULLIGAN INT'L: S&P Cuts Rating to B- on High Leverage DELPHI CORP: Wants Exclusivity Moved Beyond Plan Effective Date DELPHI CORP: Mulls Suing Plan Investors for Reneging on New EPCA THOMSON SA: Moody's Cuts Corporate Family Rating to Ba2 * Societe Generale Replaces CEO Following Trading Scandal G E R M A N Y ANDREAS DELFS: Claims Registration Period Ends May 13 AUTOPARK GTH: Claims Registration Period Ends May 13 B + W DACHBESCHICHUNG: Claims Registration Period Ends May 13 BAUCONCEPT + GMBH: Claims Registration Period Ends May 13 COSMONEX GMBH: Claims Registration Period Ends May 13 DIROLL FILMS: Claims Registration Period Ends May 9 EWD GMBH: Claims Registration Period Ends May 9 FSK FUSSBODEN: Claims Registration Period Ends May 13 GESELLSCHAFT FUER: Creditors' Meeting Slated for May 29 HANSATOURS GMBH: Claims Registration Period Ends May 13 HAUS & GRUND: Claims Registration Period Ends May 9 HEINER WILCKEN: Claims Registration Period Ends May 13 HINRICH BUSCH: Creditors' Meeting Slated for April 24 KARA GEBAUDEREINIGUNG: Claims Registration Period Ends May 13 LAFRENTZ GMBH: Claims Registration Ends May 13 L & A SAALE-FENSTERTECHNIK: Claims Registration Ends May 13 MITSUBISHI MOTORS: S&P Lifts Rating to B+ on Good Performance MODEHAUS SCHLUETER: Creditors' Meeting Slated for May 9 MOHR GMBH: Claims Registration Ends May 13 MP-GROUP VERTRIEB: Creditors' Meeting Slated for May 5 OFFSIDE GMBH: Claims Registration Ends May 13 OSSIGER GRUNDSTUECKS-UND: Claims Registration Ends May 13 RAYER BETEILIGUNGS: Claims Registration Period Ends May 9 RBS MAISEL: Claims Registration Period Ends May 1 REGIO PRINT-VERTRIEB: Claims Registration Period Ends April 30 RESTAURANT SCHUETZENLIESEL: Claims Registration Ends May 13 ROESLER PRINT: Claims Registration Period Ends May 9 SANIDO BETEILIGUNGS: Claims Registration Period Ends May 15 SANITAR- UND HEIZUNGSBAU: Claims Period Ends May 5 THL H.-H. KOCK: Claims Registration Period Ends May 8 UNIQUE MARKETING: Claims Registration Period Ends May 15 I R E L A N D CLOVERIE PLC: Moody's Junks Ratings Classes B and C Notes EIRLES TWO: Moody's May Further Cut Low-B Ratings After Review NEW BOND: Moody's Junks Rating on US$17,500,000 Class B3 Notes PALMER SQUARE 3: Moody's Junks Ratings on Three Note Classes STANTON VINTAGE: Moody's May Further Notes' Ratings After Review I T A L Y ALCATEL-LUCENT SA: Names Stefano Lorenzi as Sr. Officer in Italy ALITALIA SPA: Chairman Wants Air France Talks to Resume FIAT SPA: In Talks with Chrysler Over Alfa Romeo Production * Moody's Says Italian RMBS Delinquencies Rise in 4th Qtr. 2007 K A Z A K H S T A N KAZAKHSTAN TEMIR: S&P Affirms BB+ Corporate Credit Rating K Y R G Y Z S T A N ACA CONSULTING: Claims Filing Period Ends May 13 NIS LLC: Creditors Must File Claims by May 20 L U X E M B O U R G EVRAZ GROUP: Declares US$4.20 Dividend per Share for 2007 GOODYEAR TIRE: US$4 Million Notes Convertible Until June 30 GOODYEAR TIRE: Board Approves 2008 Performance Plan, MIP VINTAGE CAPITAL: Moody's May Lift Ba1 Rating After Review N E T H E R L A N D S JAMES HARDIE: Dutch Parent to Liquidate; Transfers HQ to U.S. X5 RETAIL: Earns US$143.75 Million for Year Ended December 31 P O L A N D AFFILIATED COMPUTER: To Acquire Orbital Science's TMS Biz R U S S I A COMSTAR-UNITED: Earns US$43.8 Million for Year Ended December 31 CREDIT BANK OF MOSCOW: Fitch Upgrades IDR to B; Outlook Stable EVRAZ GROUP: Declares US$4.20 Dividend per Share for 2007 KAZANSKOE OJSC: Creditors Must File Claims by April 22 KRASNOGVARDEYSKIY DIARY: Belgorod Bankruptcy Hearing Set July 2 MAGNITOGORSK IRON: Earns RUR8.5 Billion for First Quarter 2008 NIVA CJSC: Creditors Must File Claims by July 15 PETROPAVLOVKA-AGRO-PROM-TEKHNIKA: Claims Filing Set April 22 RAZDOLYE LLC: Creditors Must File Claims by April 22 REINFORCED-CONCRETE PRODUCTS-1: Claims Filing Set April 22 SARBOYAN CJSC: Asset Sale Slated for April 30 VIMPEL-COMMUNICATIONS: To Issue Notes to Repay Acquisition Debt VIMPEL-COMMUNICATIONS: Moody's Holds Ba2 Corporate Family Rating X5 RETAIL: Earns US$143.75 Million for Year Ended December 31 S P A I N AYT GOYA: S&P Rates EUR3.4 Million Notes at BB U K R A I N E CHERNOVCY AGRICULTURAL: Proofs of Claim Deadline Set May 2 EPAS LLC Proofs of Claim Deadline Set May 2 KASKAD LLC: Creditors Must File Claims by May 2 PAVLORAD MANAGEMENT 417: Proofs of Claim Deadline Set May 2 PESCHANKA MOVABLE 79: Creditors Must File Claims by May 2 PROGRESS LLC: Creditors Must File Claims by May 2 STAKHANOV RUBBER: Creditors Must File Claims by May 2 TRADEIMPEKS LTD: Proofs of Claim Deadline Set May 2 YABLONEVKA-AGRO LLC: Creditors Must File Claims by May 4 U N I T E D K I N G D O M AMR CORP: Posts US$328 Million Net Loss in First Quarter of 2008 AMR CORP: Selling Asset-Management Subsidiary for US$480 Million BAA LIMITED: British Airways May File Lawsuit over Terminal Five BRITISH AIRWAYS: May File Lawsuit vs BAA over Terminal Five CONSORT HOMES: Appoints Joint Administrators from KPMG CREAM COMPUTERS: To Undergo Liquidation DRINKS GROUP: Taps Liquidators from Vantis Business Recovery FORD MOTOR: Court Okays Ford Explorer Class Action Settlement IDMOS PLC: Brings In Administrators from Ernst & Young JACKSTONE FROSTER: Brings In Liquidators from Tenon Recovery LUNEDI LTD: Calls In Liquidators from Tenon Recovery MARBLE ARCH: Moody's Cuts Rating on GBP25.2 Million Notes to B2 MARSHALL GROVES: Creditors' Meeting Slated for April 23 MASONITE INT'L: S&P Puts B Credit Ratings on CreditWatch Neg. MEDWAY FOODS: Creditors' Meeting Slated for April 30 MW RETAIL: Liquidation Proceedings Confirmed by Harrisons NIELD GROUP: Taps Joint Administrators from Deloitte & Touche OAKENMOOR LTD: Claims Filing Period Ends May 19 PENTA GLASS: Brings In Administrators from KPMG QUASER SPORTS: Appoints KPMG to Administer Assets RING BY DESIGN: Hires Liquidators from Tenon Recovery SERENDIPITY ENTERPRISES: Brings In Deloitte as Administrators SHAW GROUP: Moody's Lifts Ratings to Ba1 on Strong Performance SOLO CUP: Turnaround Cues S&P to Lift Ratings by One Notch TORQUE TOOLS: Brings In Administrators from Menzies * U.K. Gov't. & Bank of England Take Steps to Restore Liquidity * BOND PRICING: For the Week April 14 to April 18, 2008 ********* ============= A U S T R I A ============= AUTO POTZINGER: Claims Registration Period Ends May 13 ------------------------------------------------------ Creditors owed money by LLC Auto Potzinger (FN 176904d) have until May 13, 2008, to file written proofs of claim to court- appointed estate administrator Stefan Kohlfuerst at: Mag. Stefan Kohlfuerst OEG Hofstatter & Kohlfuerst Rechtsanwalte Marburgerkai 47 8010 Graz Austria Tel: 0316/815454-0 Fax: 0316/815454-22 E-mail: advokat@hofstaetter.co.at Creditors and other interested parties are encouraged to attend the creditors' meeting at 9:45 a.m. on May 27, 2008, for the examination of claims. The meeting of creditors will be held at: The Land Court of Graz Hall K Room 205 Second Floor Graz Austria Headquartered in Graz, Austria, the Debtor declared bankruptcy on April 2, 2008 (Bankr. Case No. 40 S 19/08d). ELEKTROTECHNIK TSCHUDEN: Claims Registration Period Ends May 13 --------------------------------------------------------------- Creditors owed money by LLC Elektrotechnik Tschuden (FN 45789m) have until May 13, 2008 to file written proofs of claim to court-appointed estate administrator Kurt Hirn at: Dr. Kurt Hirn Dr. Arthur Lemisch Platz 2 9020 Klagenfurt Austria Tel: 0463/504770 Fax: 0463/504771 E-mail: dr.kurt.hirn@chello.at Creditors and other interested parties are encouraged to attend the creditors' meeting at 9:30 a.m. on May 19, 2008, for the examination of claims. The meeting of creditors will be held at: The Land Court of Klagenfurt Meeting Room 225 Second Floor Klagenfurt Austria Headquartered in Klagenfurt, Austria, the Debtor declared bankruptcy on April 3, 2008 (Bankr. Case No. 41 S 36/08d). P & P TROCKENAUSBAU: Claims Registration Period Ends May 13 ----------------------------------------------------------- Creditors owed money by LLC P & P Trockenausbau (FN 225036k) have until May 13, 2008, to file written proofs of claim to court-appointed estate administrator Candidus Cortolezis at: Dr. Candidus Cortolezis Hauptplatz 14 8010 Graz Austria Tel: 0316/813973 Fax: 0316/847797 E-mail: office@cortolezis.com Creditors and other interested parties are encouraged to attend the creditors' meeting at 10:00 a.m. on May 27, 2008, for the examination of claims. The meeting of creditors will be held at: The Land Court of Graz Hall K Room 230 Second Floor Graz Austria Headquartered in G, Austria, the Debtor declared bankruptcy on April 3, 2008 (Bankr. Case No. 40 S 21/08y). =========== F R A N C E =========== CULLIGAN INT'L: S&P Cuts Rating to B- on High Leverage ------------------------------------------------------ Standard & Poor's Ratings Services lowered its ratings on water services provider Culligan International Co., including the corporate credit rating (to 'B-' from 'B') and the issue-level and recovery ratings. S&P removed the ratings from CreditWatch, where they had been placed with negative implications on Nov. 30, 2007, because of fiscal 2007 operating results that were below our expectations. The outlook is stable. Total debt outstanding at the company was about US$831 million as of Dec. 31, 2007. "The downgrade primarily reflects a decline in financial performance resulting from weak organic growth during the year, and the company's high leverage," said Standard & Poor's credit analyst Kenneth Shea. For the full year 2007, adjusted EBITDA declined 15%, reflecting a 1% decline in organic sales (total sales increased a modest 3% due to favorable currency exchange translations), narrowed gross margins, inventory rationalization, and costs associated with the transition to a new third-party distribution center. These factors were partially offset by the favorable impact of lower product costs achieved from some manufacturing outsourcing initiatives. Rosemont, Ill.-based Culligan participates in a highly competitive and fragmented industry with modest growth prospects. The company distributes its products primarily through an extensive dealer network, which Standard & Poor's views as a competitive advantage. The company has operations in China, the United Kingdom, France, Italy and Argentina, among others. DELPHI CORP: Wants Exclusivity Moved Beyond Plan Effective Date ---------------------------------------------------------------- Delphi Corp. and its debtor-affiliates ask the U.S. Bankruptcy Court for the Southern District of New York to extend their exclusive periods to: (a) file a plan of reorganization until 30 days after substantial consummation of the confirmed First Amended Joint Plan of Reorganization or any modified Plan; and (b) solicit acceptances of that Plan until 90 days after substantial consummation of the First Amended Plan or modified Plan. Out of an abundance of caution and to ensure clarity with their stakeholders, including their customers and supplies, the Debtors seek an extension of the Exclusive Periods to prevent any lapse in exclusivity, John Wm. Butler, Jr., Esq., at Skadden, Arps, Slate, Meagher & Flom LLP, in Chicago, Illinois, clarifies. A further extension of the Exclusive Periods, Mr. Butler says, is justified by the significant progress the Debtors have made toward emerging from Chapter 11. After obtaining confirmation of the First Amended Plan, the Debtors secured exit financing and met all other conditions to the effectiveness of the Plan and Investment Agreement and were prepared to emerge from Chapter 11. The Debtors' efforts to emerge from Chapter 11, however, were affected by severe dislocations in the capital markets that began late in the second quarter of 2007 and that have continued through the present, according to Mr. Butler. Although the Debtors eventually obtained the exit financing required by the First Amended Plan, the turbulence in the capital markets was a principal cause of the delay in the Debtors' emergence from Chapter 11 before the end of 2007, he maintains. Moreover, the decision by Appaloosa Management L.P. and the other Plan Investors to not honor their commitments in the parties' New Equity Purchase and Commitment Agreement prevented the Debtors from emerging on April 4, 2008. Nevertheless, the Debtors have accomplished numerous other tasks related to many different aspects of the cases to emerge from Chapter 11 protection, including: -- obtaining Court approval to perform under modified pension funding waivers issued by the Internal Revenue Service; -- reducing the aggregate amount of Trade and Other Unsecured Claims below the US$1,450,000,000 amount set by the Plan; -- obtaining the Court's permission to sell their bearings business; -- completing the sale of their interiors and closures business to Inteva Products, LLC; and -- commencing the offering of rights to purchase shares of Reorganized Delphi Corp. common stock, which closed March 31, 2008. The unresolved contingencies relating to emergence notwithstanding the Plan Investors' failure to perform, and the size and complexity of the Debtors' cases, also justify a further extension of the Exclusive Periods, Mr. Butler relates. Under Section 1129(c) the Bankruptcy Code, the Court may confirm only one plan of reorganization. The Court confirmed the First Amended Plan on Jan. 25, 2008. Since the Plan Confirmation Order cannot be revoked unless "procured by fraud," in accordance with Section 1144, no other plan of reorganization may now be filed or solicited in the Debtors' bankruptcy cases, Mr. Butler asserts. As a result, the Exclusivity Periods will inevitably extend until the Debtors consummate the First Amended Plan or any modified plan, he notes. The Debtors are paying their bills as they come due, including the statutory fees paid quarterly to the U.S. Trustee, Mr. Butler assures Judge Drain. The Debtors have also extended the maturity date of their US$4,500,000,000 debtor-in-possession financing facility to July 1, 2008, and anticipate negotiating financing through Dec. 31, 2008, to provide additional comfort to creditors and other stakeholders that they will continue to meet their obligations as they come due. Although the Debtors are seeking a further extension of the Exclusivity Periods, they nonetheless anticipate emerging from Chapter 11 "as soon as reasonably practicable." The Court will convene a hearing to consider the Debtors' request on April 30. Objections are due April 23. 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 confirmed the Debtors' First Amended Plan on Jan. 25, 2008. (Delphi Bankruptcy News, Issue No. 121; Bankruptcy Creditors' Service Inc., http://bankrupt.com/newsstand/or 215/945-7000) * * * As reported in the Troubled Company Reporter on March 19, 2008, Standard & Poor's Ratings Services said it still expects to assign a 'B' corporate credit rating to Delphi Corp. if the company emerges from bankruptcy in early April. This rating expectation is consistent with S&P's commentary on Jan. 9, 2008. DELPHI CORP: Mulls Suing Plan Investors for Reneging on New EPCA ---------------------------------------------------------------- Delphi Corp. and its debtor-affiliates believes that Plan Investors A-D Acquisition Holdings, LLC, Harbinger Del-Auto Investment Company, Ltd., Merrill Lynch, Pierce, Fenner & Smith Inc., UBS Securities LLC, Goldman, Sachs & Co., and Pardus DPH Holding LLC wrongfully terminated the New Equity Purchase and Commitment Agreement and disputes the allegations that it breached the New EPCA or failed to satisfy any condition to the Plan Investors' obligations. At the time ADAH delivered its April 4 Termination Notice, the representatives of Delphi's exit financing lenders, General Motors Corp., the Official Committee of Unsecured Creditors, the Official Committee of Equity Security Holders, and all other parties needed for the Debtors' successful closing and emergence from Chapter 11, other than the Plan Investors, were present and were prepared to move forward. Moreover, all actions necessary to consummate the Plan, including obtaining US$6,100,000,000 of exit financing, were taken other than the concurrent closing and funding of the New EPCA. Delphi Corp. Vice President and Chief Restructuring Officer John D. Sheehan relates in a regulatory filing with the Securities and Exchange Commission that Delphi's Board of Directors has: (a) formed a special litigation committee; and (b) engaged independent legal counsel to consider and pursue any and all available equitable and legal remedies, including the commencement of legal action in the U.S. Bankruptcy Court for the Southern District of New York to seek all appropriate relief, including the Plan Investors' specific performance of their obligations under the New EPCA. Pursuant to the New EPCA, the Plan Investors committed to purchase US$800,000,000 of convertible preferred stock and approximately US$175,000,000 of common stock in the reorganized company. In addition, the Plan Investors committed to purchase any unsubscribed shares of common stock in connection with an approximately US$1,600,000,000 rights offering that was made available to unsecured creditors subject to satisfaction of other terms and conditions. As of April 4, 2008, the Plan Investors collectively own 125,739,448 shares of Delphi common stock, representing 22.31% of the 563,477,461 shares of Delphi Common Stock outstanding as of Jan. 31, 2008. Delphi shares traded at US$0.11 per share at the close of business on April 11. ADAH Delivers Supplemental Termination Letter As reported in the Troubled Company Reporter on April 7, 2008, Delphi Corp.'s Plan Investors terminated the parties' New Equity Purchase and Commitment Agreement on April 4, 2008, interrupting Delphi's efforts to close its Plan of Reorganization. The closing had been scheduled to occur on April 4 pursuant to the New EPCA between Delphi and Plan Investors A-D Acquisition Holdings, LLC, Harbinger Del-Auto Investment Company, Ltd., Merrill Lynch, Pierce, Fenner & Smith Inc., UBS Securities LLC, Goldman, Sachs & Co., and Pardus DPH Holding LLC. Several hours prior to the April 4 scheduled closing, ADAH, affiliate of lead Plan Investor Appaloosa Management L.P., delivered to Delphi a letter, stating that that letter "constitutes a notice of immediate termination" of the New EPCA. The April 4 Termination Notice alleges that: (1) Delphi has breached certain provisions of the New EPCA; (2) ADAH is entitled to terminate the New EPCA; and (3) the Plan Investors are entitled to a US$82,500,000 fee plus certain expenses and other amounts. ADAH subsequently delivered to Delphi a supplement to the April 4 Termination Notice on April 5, 2008, stating that that supplemental letter constitutes a "notice of an additional ground for termination" of the New EPCA. The April 5 letter cited Section 12(d)(iii) of the Investment Agreement based on the Plan not having become effective on or before April 4, 2008. The New EPCA provided that if the closing date under the agreement has not occurred by April 4, 2008, ADAH may terminate the agreement from and after April 5, 2008. ADAH added that it would continue to actively engage in discussions to resolve outstanding issues with Delphi in a mutually acceptable manner, including considering mutually acceptable alternative transactions wherein it would participate in a capacity different than that envisioned by the New EPCA. A full-text copy of the April 4 Termination Notice is available for free at http://ResearchArchives.com/t/s?2ab1 A full-text copy of the April 5 Termination Notice is available for free at http://ResearchArchives.com/t/s?2ab2 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 confirmed the Debtors' First Amended Plan on Jan. 25, 2008. (Delphi Bankruptcy News, Issue No. 121; Bankruptcy Creditors' Service Inc., http://bankrupt.com/newsstand/or 215/945-7000) * * * As reported in the Troubled Company Reporter on March 19, 2008, Standard & Poor's Ratings Services said it still expects to assign a 'B' corporate credit rating to Delphi Corp. if the company emerges from bankruptcy in early April. This rating expectation is consistent with S&P's commentary on Jan. 9, 2008. THOMSON SA: Moody's Cuts Corporate Family Rating to Ba2 ------------------------------------------------------- Moody's Investor's Service downgraded the Corporate Family rating for Thomson S.A. to Ba2 from Ba1 and downgraded the junior subordinated rating for Thomson's perpetual junior subordinated bonds to B2 from Ba3. The outlook remains negative. The rating action was triggered by Thomson's announcement on April 16, 2008, that additional restructuring would be required to further reduce costs and improve profitability as well as the sales evolution of the first half 2008 that is more negative than previously expected by Moody's. Thomson now expects to report a loss from continuing activities before interest and tax for the first six months of 2008. In addition it is planned to cut the dividend payment for 2007, which raises Moody's concerns that a non-payment of the coupon for the EUR500 million perpetual junior subordinated bond becomes a possible scenario. So far, Moody's recognized that the company has now built a portfolio of businesses with sound competitive positions and a stable revenue stream from the licensing portfolio, but we also noted that Thomson still had to prove that it can deliver on a sustainable basis a solid operating performance from each of the components of its business profile. The current headwind from an 18.3% sales decline in the first quarter across all divisions (11% on a constant currency basis) put cost reduction and profitability improvement on top of management's agenda. Moody's notes that even the licensing business, which is the stable backbone of the group, had to report for the first quarter a 7.3% sales decline at constant currency. Due to challenging market conditions and additional restructuring costs Moody's believes that Thomson is unlikely to be able to reach in the intermediate term the thresholds set for the Ba1 category i.e.: reverting the negative trend in current trading, stabilizing operating margins at 2007 level and improving EBITA interest coverage above 2.5x and cash leverage above 15%. The decision to skip the dividend payment for 2007 is seen as positive from a senior debtor's perspective, since it increases the company's headroom to finalize the transformation of the business profile and to improve profitability. However, the terms and conditions of the deeply subordinated Hybrid bond give Thomson the option not to pay interest for this instrument if no common dividend is paid. In such case, the deferred interest payments will not be cumulative. Management indicated that not proposing a dividend did not imply that a decision regarding non-payment on the coupon has already been made but that they will carefully consider this option when the decision is due in September 2008. The downgrade to B2 of the junior subordinated rating for the hybrid is one notch below the outcome of Moody's LGD rating model to reflect the increased risk of a non-payment of the coupon. Downgrades: * Issuer: Thomson S.A. -- Probability of Default Rating, Downgraded to Ba2 from Ba1; -- Corporate Family Rating, Downgraded to Ba2 from Ba1; -- Junior Subordinated Regular Bond/Debenture, Downgraded to a range of 100- LGD6 to B2 from a range of 97 - LGD6 to Ba3. The last rating action for Thomson has been on April 1, 2008, when Moody's affirmed the ratings and changed the outlook to negative from stable. Headquartered in Paris, France, Thomson is a leading provider of technology, systems and service solutions for integrated media and entertainment companies operating in three business segments: Thomson's Services division offers end-to-end management of services for the media and entertainment industry, from finishing movie content (post-production) to content replication of film and DVD and distribution. The Systems division provides professional broadcasting and network equipment for TV stations and other network operators as well as broadband access products. The Technology division combines Thomson's research and exploitation of its patent portfolio through licensing programs. In fiscal year 2007 the company generated revenues from continuing operations of EUR 5.6 billion. * Societe Generale Replaces CEO Following Trading Scandal --------------------------------------------------------- Societe Generale SA's Board of Directors has decided to proceed with the dissociation of the functions of Chairman and Chief Executive Officer. The Board will appoint Daniel Bouton, currently CEO, as Chairman and Frederic Oudea, currently Chief Financial Officer, as Chief Executive Officer. Mr. Oudea has informed the Board that on May 12, 2008, he will propose that Philippe Citerne and Didier Alix be confirmed in their functions as Co-Chief Executive Officers. Mr. Citerne has proposed to the Board not to renew his Board Director mandate as initially submitted for approval by the General Meeting of Shareholders on May 27, 2008. The Board has decided to accept this proposal and to increase the proportion of independent Board members by asking shareholders to appoint a new independent Board member. The Board of Directors will also approve on May 12, 2008, the first quarter 2008 earnings, which will reflect the sustained confidence of our clients, the Group�s resilience and once again the benefits derived from a balanced portfolio of activities in a difficult environment. ============= G E R M A N Y ============= ANDREAS DELFS: Claims Registration Period Ends May 13 ----------------------------------------------------- Creditors of Andreas Delfs Fuhrunternehmen GmbH have until May 13, 2008, to register their claims with court-appointed insolvency manager Hans-Juergen Beil. Creditors and other interested parties are encouraged to attend the meeting at 9:30 a.m. on June 23, 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 Neumuenster Meeting Hall B.126 Law Courts Boostedter Strasse 26 Neumuenster Germany The Court will also verify the claims set out in the insolvency manager's report during this meeting, while creditors may constitute a creditors' committee or opt to appoint a new insolvency manager. The insolvency manager can be reached at: Hans-Juergen Beil Hallerstrasse 76 20146 Hamburg Germany The District Court of Neumuenster opened bankruptcy proceedings against Andreas Delfs Fuhrunternehmen GmbH on March 11, 2008. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be reached at: Andreas Delfs Fuhrunternehmen GmbH Kreisstrasse 7 24637 Schillsdorf Germany AUTOPARK GTH: Claims Registration Period Ends May 13 ---------------------------------------------------- Creditors of Autopark GTH GmbH have until May 13, 2008, to register their claims with court-appointed insolvency manager Thomas Alter. Creditors and other interested parties are encouraged to attend the meeting at 10:00 a.m. on June 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 Erfurt Hall 15 Judicial Center Rudolfstr. 46 99092 Erfurt Germany The Court will also verify the claims set out in the insolvency manager's report during this meeting, while creditors may constitute a creditors' committee or opt to appoint a new insolvency manager. The insolvency manager can be reached at: Thomas Alter Schillerstr. 2 99096 Erfurt Germany The District Court of Erfurt opened bankruptcy proceedings against Autopark GTH GmbH on March 23, 2008. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be reached at: Autopark GTH GmbH Wolfgang Lukowski, Manager Parkstr. 1-3 99867 Gotha Germany B + W DACHBESCHICHUNG: Claims Registration Period Ends May 13 ------------------------------------------------------------- Creditors of B + W Dachbeschichung-Solartechnik GmbH have until May 13, 2008, to register their claims with court-appointed insolvency manager Ulrich Zerrath. Creditors and other interested parties are encouraged to attend the meeting at 9:00 a.m. on June 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 Muenster Meeting Hall 13 B Gerichtsstr. 2-6 48149 Muenster Germany The Court will also verify the claims set out in the insolvency manager's report during this meeting, while creditors may constitute a creditors' committee or opt to appoint a new insolvency manager. The insolvency manager can be reached at: Ulrich Zerrath Lange Wanne 57 45665 Recklinghausen Germany Tel: 02361/4884-0 Fax: +492361488499 The District Court of Muenster opened bankruptcy proceedings against B + W Dachbeschichung-Solartechnik GmbH on March 7, 2008. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be reached at: B + W Dachbeschichung-Solartechnik GmbH Auf dem Voelker 7 59269 Beckum Germany BAUCONCEPT + GMBH: Claims Registration Period Ends May 13 --------------------------------------------------------- Creditors of Bauconcept + GmbH have until May 13, 2008, to register their claims with court-appointed insolvency manager Marc Schmidt-Thieme. Creditors and other interested parties are encouraged to attend the meeting at 11:00 a.m. on June 24, 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 Baden-Baden Hall 009a Ground Floor Gutenbergstr. 17 76532 Baden-Baden 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: Marc Schmidt-Thieme Stephanienstr. 8 76133 Karlsruhe Germany The District Court of Baden-Baden opened bankruptcy proceedings against Bauconcept + GmbH on April 3, 2008. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be reached at: Bauconcept + GmbH Attn: Clemens Schoenle, Manager Waldulmer Str. 2 77876 Kappelrodeck Germany COSMONEX GMBH: Claims Registration Period Ends May 13 ----------------------------------------------------- Creditors of Cosmonex GmbH have until May 13, 2008, to register their claims with court-appointed insolvency manager Joerg Zumbaum. Creditors and other interested parties are encouraged to attend the meeting at 10:00 a.m. on June 16, 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 Aachen Meeting Hall K 5 Third Floor Alter Posthof 1 52062 Aachen 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: Joerg Zumbaum Zuelpicher Strasse 117 52349 Dueren Germany Tel: 02421/20854-0 Fax: 02421/20854-26 The District Court of Aachen opened bankruptcy proceedings against Cosmonex GmbH on March 25, 2008. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be reached at: Cosmonex GmbH Boos-Fremery-Strasse 62 52525 Heinsberg Germany DIROLL FILMS: Claims Registration Period Ends May 9 --------------------------------------------------- Creditors of Diroll Films GmbH have until May 9, 2008, to register their claims with court-appointed insolvency manager Thomas Linse. Creditors and other interested parties are encouraged to attend the meeting at 8:00 a.m. on June 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 Coburg Meeting Room K I. Stick Auxiliary Building Coburg Germany The Court will also verify the claims set out in the insolvency manager's report during this meeting, while creditors may constitute a creditors' committee or opt to appoint a new insolvency manager. The insolvency manager can be reached at: Thomas Linse Rosenauer Str. 22 96450 Coburg Germany Tel: 09561/80340 Fax: 09561/803434 The District Court of Coburg opened bankruptcy proceedings against Diroll Films GmbH on April 7, 2008. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be reached at: Diroll Films GmbH Reundorfer Str. 7 96215 Lichtenfels Germany EWD GMBH: Claims Registration Period Ends May 9 ----------------------------------------------- Creditors of EWD GmbH have until May 9, 2008, to register their claims with court-appointed insolvency manager Marc d'Avoine. Creditors and other interested parties are encouraged to attend the meeting at 10:50 a.m. on June 10, 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. Marc d'Avoine Doeppersberg 19 42103 Wuppertal Germany The District Court of Cologne opened bankruptcy proceedings against EWD GmbH on March 17, 2008. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be reached at: EWD GmbH Attn: Marko Dick, Manager Niehler Str. 94 50733 Cologne Germany FSK FUSSBODEN: Claims Registration Period Ends May 13 ----------------------------------------------------- Creditors of FSK Fussboden Bau GmbH have until May 13, 2008, to register their claims with court-appointed insolvency manager Holger Bluemle. Creditors and other interested parties are encouraged to attend the meeting at 10:00 a.m. on June 24, 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: Holger Bluemle Kriegsstrasse 113 76135 Karlsruhe Germany Tel: (0721) 9195 70 The District Court of Karlsruhe opened bankruptcy proceedings against FSK Fussboden Bau GmbH on March 25, 2008. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be reached at: FSK Fussboden Bau GmbH Bahnhofstrasse 6 76275 Ettlingen Germany GESELLSCHAFT FUER: Creditors' Meeting Slated for May 29 ------------------------------------------------------- The court-appointed insolvency manager for Gesellschaft fuer innovative Energie und Lebensqualitat mbH, Frank-Michael Rhode will present his first report on the Company's insolvency proceedings at a creditors' meeting at 9:30 a.m. on May 29, 2008. The meeting of creditors and other interested parties will be held at: The District Court of Bremen Hall 115 Ostertorstr. 25-31 28195 Bremen Germany The Court will also verify the claims set out in the insolvency manager's report at 9:30 a.m. on June 26, 2008, at the same venue. Creditors have until May 13, 2008, to register their claims with the court-appointed insolvency manager. The insolvency manager can be reached at: Frank-Michael Rhode Graf-Moltke-Str. 62 28211 Bremen Germany Tel: 0421/3485212/213 Fax: 0421/341078 E-mail: info@rhode.de Web site: http://www.rhode.de/ The District Court of Bremen opened bankruptcy proceedings against Gesellschaft fuer innovative Energie und Lebensqualitat mbH on March 14, 2008. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be reached at: Gesellschaft fuer innovative Energie und Lebensqualitat mbH Kurt-Schumacher-Allee 2 28329 Bremen Germany HANSATOURS GMBH: Claims Registration Period Ends May 13 ------------------------------------------------------- Creditors of HansaTours GmbH have until May 13, 2008, to register their claims with court-appointed insolvency manager Frank-Michael Rhode. Creditors and other interested parties are encouraged to attend the meeting at 9:30 a.m. on April 24, 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 Bremen Hall 115 Ostertorstr. 25-31 28195 Bremen 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-Michael Rhode Graf-Moltke-Str. 62 28211 Bremen Germany Tel: 0421/3485212/213 Fax: 0421/341078 E-mail: info@rhode.de Web site: http://www.rhode.de/ The District Court of Bremen opened bankruptcy proceedings against HansaTours GmbH on March 18, 2008. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be reached at: HansaTours GmbH Haferwende 3a 28357 Bremen Germany HAUS & GRUND: Claims Registration Period Ends May 9 --------------------------------------------------- Creditors of Haus & Grund Hildesheim Dienstleistungsgesellschaft mbH have until May 9, 2008, to register their claims with court- appointed insolvency manager Steffen Koch. Creditors and other interested parties are encouraged to attend the meeting at 11:00 a.m. on May 27, 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 Hildesheim Hall 124 Main Building Kaiserstrasse 60 31134 Hildesheim 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. Steffen Koch Sophienstr. 1 30159 Hannover Germany Tel: 0511/3539910 Fax: 0511/35399110 E-mail: www.hww-kanzlei.de The District Court of Hildesheim opened bankruptcy proceedings against Haus & Grund Hildesheim Dienstleistungsgesellschaft mbH on March 7, 2008. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be reached at: Haus & Grund Hildesheim Dienstleistungsgesellschaft mbH Osterstr. 33 31134 Hildesheim Germany HEINER WILCKEN: Claims Registration Period Ends May 13 ------------------------------------------------------ Creditors of Heiner Wilcken Verwaltungs GmbH have until May 13, 2008, to register their claims with court-appointed insolvency manager Reinhold Schmid-Sperber. Creditors and other interested parties are encouraged to attend the meeting at 9:30 a.m. on May 30, 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 Eutin Hall B First Stick Jungfernstieg 3 23701 Eutin 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: Reinhold Schmid-Sperber Westring 455 24118 Kiel Germany The District Court of Eutin opened bankruptcy proceedings against Heiner Wilcken Verwaltungs GmbH on May 13, 2008. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be reached at: Heiner Wilcken Verwaltungs GmbH Attn: Christian Starke, Manager Luetjenburger Weg 1 23774 Heiligenhafen Germany HINRICH BUSCH: Creditors' Meeting Slated for April 24 ----------------------------------------------------- The court-appointed insolvency manager for Hinrich Busch GmbH & Co. KG, Uwe Kuhmann will present his first report on the Company's insolvency proceedings at a creditors' meeting at 9:00 a.m. on April 24, 2008. The meeting of creditors and other interested parties will be held at: The District Court of Bremen Hall 115 Ostertorstr. 25-31 28195 Bremen Germany The Court will also verify the claims set out in the insolvency manager's report at 9:00 a.m. on June 26, 2008 at the same venue. Creditors have until May 13, 2008 to register their claims with the court-appointed insolvency manager. The insolvency manager can be reached at: Uwe Kuhmann Schuesselkorb 3 28195 Bremen Germany Tel: 0421-33061-0 Fax: 0421-33061-10 E-Mail: info@kuhmann.eu Web site: http://www.kuhmann.eu/ The District Court of Bremen opened bankruptcy proceedings against Hinrich Busch GmbH & Co. KG on March 1, 2008. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be reached at: Hinrich Busch GmbH & Co. KG Pulverberg 8 28239 Bremen Germany KARA GEBAUDEREINIGUNG: Claims Registration Period Ends May 13 ------------------------------------------------------------- Creditors of Kara Gebaudereinigung & Services GmbH have until May 13, 2008, to register their claims with court-appointed insolvency manager Jens Dohse. Creditors and other interested parties are encouraged to attend the meeting at 10:00 a.m. on June 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 Rostock Hall 330 Zochstrasse 13 18057 Rostock Germany The Court will also verify the claims set out in the insolvency manager's report during this meeting, while creditors may constitute a creditors' committee or opt to appoint a new insolvency manager. The insolvency manager can be reached at: Jens Dohse Hermannstrasse 5 18055 Rostock Germany The District Court of Rostock opened bankruptcy proceedings against Kara Gebaudereinigung & Services GmbH on April 1, 2008. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be reached at: Kara Gebaudereinigung & Services GmbH Attn: Katrin Laskowski, Manager Langenort 10 18147 Rostock Germany LAFRENTZ GMBH: Claims Registration Ends May 13 ---------------------------------------------- Creditors of Lafrentz GmbH have until May 13, 2008 to register their claims with court-appointed insolvency manager Ingo Wiese. Creditors and other interested parties are encouraged to attend the meeting at 9:30 a.m. on June 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 Kiel Deliusstr. 22 Kiel 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: Ingo Wiese Oberbaumbruecke 1 20457 Hamburg Germany Tel: 040/32507783 Fax: 040/30200777 The District Court of Kiel opened bankruptcy proceedings against Lafrentz GmbH on April 1, 2008. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be reached at: Lafrentz GmbH Attn: Karl-Heinz Lafrentz, Manager Eckernfoerder Str. 169 24116 Kiel Germany L & A SAALE-FENSTERTECHNIK: Claims Registration Ends May 13 ----------------------------------------------------------- Creditors of L & A Saale-Fenstertechnik GmbH have until May 13, 2008 to register their claims with court-appointed insolvency manager Annegret Schwarz. Creditors and other interested parties are encouraged to attend the meeting at 11:15 a.m. on June 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 Gera Hall 317 Rudolf-Diener-Str. 1 Gera Germany The Court will also verify the claims set out in the insolvency manager's report during this meeting, while creditors may constitute a creditors' committee or opt to appoint a new insolvency manager. The insolvency manager can be reached at: Annegret Schwarz Helenenstrasse 15 99867 Gotha Germany The District Court of Gera opened bankruptcy proceedings against L & A Saale-Fenstertechnik GmbH on April 7, 2008. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be reached at: L & A Saale-Fenstertechnik GmbH Pestalozzistr. 49 07318 Saalfeld Germany MITSUBISHI MOTORS: S&P Lifts Rating to B+ on Good Performance ------------------------------------------------------------- Standard & Poor's Ratings Services raised its long-term corporate credit rating to 'B+' from 'B', and its senior unsecured debt rating to 'BB-' from 'B+' on Mitsubishi Motors Corp. At the same time the ratings were removed from CreditWatch where they had been placed with positive implications on Feb. 21, 2008. The upgrade follows the company's progress in further improving its financial performance and profile. The outlook on the long-term corporate credit rating is stable. Despite a slowdown in the North American market and a continuing slump in the Japanese market, Mitsubishi Motors is likely to have achieved its global sales volume for fiscal 2007 (ended March 31, 2008), surpassing that of the previous fiscal year. Sales volume has increased thanks to strong performances in the Asia and others, and Europe regional segments (excluding the Japan and North America segments). Even after factoring in a restructuring charge of JPY22 billion on the closure of its Australian plant in March 2008, the company is likely to have recorded an operating profit of JPY80 billion and a net profit of JPY20 billion in fiscal 2007. These expected results are largely in line with the targets (operating profit of JPY74 billion and a net profit of JPY41 billion) laid down in its revitalization plan, which ended in fiscal 2007. Standard & Poor's believes that the downside risk to the company's financial performance has been reduced. This is partially because the company significantly reduced its credit risk exposure and capital-funding burden following its switch to a new arrangement at its U.S. captive finance operation in July 2005. Mitsubishi Motors continues to face challenges strengthening its business and financial profile. For example, it faces difficulties boosting its competitive position with its limited financial resources, as well as redefining its financial policy. In addition, the optimization of its global production system has been a key issue for the company, as its assembly plants in North America and Europe are underutilized. Following the plant closure in Australia in March, the company also plans to transfer some of its production to its manufacturing subsidiary in the Netherlands, Netherlands Car B.V., from its Japan-based Okazaki and Mizushima plants, which are operating at full capacity. S&P views these measures as progress towards Mitsubishi Motors improving its global production efficiency. Mitsubishi Motors' financial profile also improved as a result of increasing profitability and cash flow. In particular, the debt coverage ratio shows significant improvement as the ratio of total debt (adjusted for leases, unfunded post-retirement liabilities, and captive finance debt) to EBITDA is expected to decline further to about 3x in fiscal 2007, from 4.9x in fiscal 2006. Given the expectation of increased pressure on profitability and planned increases in capital expenditures, free operating cash flow may temporarily become negative, but should become positive again in two to three years. S&P expects the improved financial profile to be sustainable as a result of the company's enhanced funds from operations. The outlook on the long-term corporate credit rating is stable. For a further upgrade, Mitsubishi Motors needs to demonstrate consistent improvement in its sales performance and cost structure. However, if difficult business conditions such as the market downturn in North America, adverse foreign exchange rates, or high raw material costs, significantly weaken profitability and the company's financial profile deteriorates, the rating could be lowered. The long-term senior unsecured debt rating continues to be one notch higher than the long-term corporate credit rating, reflecting the lower default risk of the company's debt than its bank loans. This is based on Standard & Poor's expectation of debt forgiveness by creditor banks in case of a default. At the same time, the rating reflects the relatively weak seniority of the rated unsecured bonds, as high priority liabilities make up a relatively large proportion of the company's total assets. Ratings List Upgraded; CreditWatch/Outlook Action To From Mitsubishi Motors Corp. Corporate Credit Rating B+/Stable/-- B/Watch Pos/-- Senior Unsecured Local Currency BB- B+/Watch Pos Mitsubishi Motors Corp. -- http://www.mitsubishi-motors.co.jp-- headquartered in Tokyo, is a Japan-based automobile manufacturer. The company is engaged in the development, design, manufacture, assembly, purchase, sale, import and export of general and small-sized passenger vehicles, mini-vehicles, sport utility vehicles (SUVs), vans, trucks and automobile parts, as well as industrial machines. It is also engaged in the purchase and sale of pre-owned vehicles and parts, the sale of gauges, in addition to the provision of non-life insurance and financing services. As of March 31, 2007, the Company had 94 subsidiaries and 22 associated companies located in Japan, the United States, Germany, the United Kingdom, Italia, Holland, Philippines, Indonesia, Malaysia, China and Australia. On March 1, 2008, the Company has established a wholly owned subsidiary in Niigata. MODEHAUS SCHLUETER: Creditors' Meeting Slated for May 9 ------------------------------------------------------- The court-appointed insolvency manager for Modehaus Schlueter GmbH, Gerhard Hauk will present his first report on the Company's insolvency proceedings at a creditors' meeting at 8:00 a.m. on May 9, 2008. The meeting of creditors and other interested parties will be held at: The District Court of Wetzlar Meeting Hall 201 Building B Second Floor Wetherstr. 1 35578 Wetzlar Germany The Court will also verify the claims set out in the insolvency manager's report at 8:30 a.m. on June 18, 2008, at the same venue. Creditors have until May 7, 2008, to register their claims with the court-appointed insolvency manager. The insolvency manager can be reached at: Gerhard Hauk Marktlaubenstrasse 9 35390 Giessen Germany Tel: 0641/9324360 Fax: 0641/9324350 E-mail: insolvenz@rae-voelpel.de The District Court of Wetzlar opened bankruptcy proceedings against Modehaus Schlueter GmbH on March 27, 2008. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be reached at: Modehaus Schlueter GmbH Forum 1 35576 Wetzlar Germany MOHR GMBH: Claims Registration Ends May 13 ------------------------------------------ Creditors of Mohr GmbH have until May 13, 2008 to register their claims with court-appointed insolvency manager Stephan Haspel. Creditors and other interested parties are encouraged to attend the meeting at 10:00 a.m. on June 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 Landau in der Pfalz Hall 225 Marienring 13 76829 Landau in der Pfalz 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: Stephan Haspel Xylanderstr. 3 76829 Landau in der Pfalz Germany Tel: 06341-51020 Fax: 06341-510229 The District Court of Landau in der Pfalz opened bankruptcy proceedings against Mohr GmbH on April 1, 2008. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be reached at: Mohr GmbH Attn: Klaus Mohr, Manager Gaxwald 26 76863 Herxheim Germany MP-GROUP VERTRIEB: Creditors' Meeting Slated for May 5 ------------------------------------------------------ The court-appointed insolvency manager for mp-group, Vertrieb f�r Metall- u. Kunststoffprodukte GmbH, Thomas Wazlawik will present his first report on the Company's insolvency proceedings at a creditors' meeting at 10:30 a.m. on May 5, 2008. The meeting of creditors and other interested parties will be held at: The District Court of Passau Meeting Hall 6 Ground Floor Schustergasse 4 Passau Germany The Court will also verify the claims set out in the insolvency manager's report at 10:30 a.m. on June 16, 2008, at the same venue. Creditors have until May 9, 2008, to register their claims with the court-appointed insolvency manager. The insolvency manager can be reached at: Dr. Thomas Wazlawik Luragogasse 5 94032 Passau Germany Tel: 0851/490548-0 Fax: 0851/490548-9 The District Court of Passau opened bankruptcy proceedings against mp-group, Vertrieb f�r Metall- u. Kunststoffprodukte GmbH on April 1, 2008. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be reached at: mp-group, Vertrieb f�r Metall- u. Kunststoffprodukte GmbH Alte Str. 68 94034 Passau Germany OFFSIDE GMBH: Claims Registration Ends May 13 --------------------------------------------- Creditors of Offside GmbH have until May 13, 2008 to register their claims with court-appointed insolvency manager Dr. Thorsten Fuest. Creditors and other interested parties are encouraged to attend the meeting at 10:00 a.m. on June 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 Bielefeld Meeting Hall 4065 Fourth Floor Gerichtstrasse 66 33602 Bielefeld 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. Thorsten Fuest Gerichtstr. 3 33602 Bielefeld Germany The District Court of Bielefeld opened bankruptcy proceedings against Offside GmbH on March 11, 2008. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be reached at: Offside GmbH Zimmerstr. 16 33602 Bielefeld Germany Attn: Cannur Basaran, Manager Guetersloher Str. 121a 33649 Bielefeld Germany OSSIGER GRUNDSTUECKS-UND: Claims Registration Ends May 13 --------------------------------------------------------- Creditors of Ossiger Grundstuecks-und Erschliessungs-GmbH have until May 13, 2008 to register their claims with court-appointed insolvency manager Stephan Poppe. Creditors and other interested parties are encouraged to attend the meeting at 10:15 a.m. on June 10, 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 Halle-Saalkreis Hall 1.043 Judicial Center Thueringer Str. 16 06112 Halle 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: Stephan Poppe Emil-Eichhorn-Str. 1 06114 Halle Germany Tel: 0345/530490 Fax: 0345/5304926 The District Court of Halle-Saalkreis opened bankruptcy proceedings against Ossiger Grundstuecks-und Erschliessungs-GmbH on March 13, 2008. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be reached at: Ossiger Grundstuecks-und Erschliessungs-GmbH Johann-Gottlob-Strasse 47 06712 Schellbach Germany RAYER BETEILIGUNGS: Claims Registration Period Ends May 9 --------------------------------------------------------- Creditors of Rayer Beteiligungs GmbH have until May 9, 2008, to register their claims with court-appointed insolvency manager Jochen Horch. Creditors and other interested parties are encouraged to attend the meeting at 2:30 p.m. on June 2, 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 Heilbronn Hall 4 Ground Floor Rollwagstr. 10a 74072 Heilbronn 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: Jochen Horch Keplerstrasse 7 74072 Heilbronn Germany Tel: 07131/7801-33 Fax: 07131/7801-11 The District Court of Heilbronn opened bankruptcy proceedings against Rayer Beteiligungs GmbH on March 28, 2008. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be reached at: Rayer Beteiligungs GmbH Hoher Rain 5 72631 Aichtal Germany RBS MAISEL: Claims Registration Period Ends May 1 ------------------------------------------------- Creditors of RBS Maisel Rohrhandel GmbH & Co. KG have until May 1, 2008, to register their claims with court-appointed insolvency manager Stefan WALDHERR. Creditors and other interested parties are encouraged to attend the meeting at 10:00 a.m. on May 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 Nuernberg Meeting Hall 124 Flaschenhofstr. 35 Nuernberg 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: Stefan WALDHERR Peuntgasse 3 90402 Nuernberg Germany Tel: 0911/27980-0 Fax: 0911/27980-90 The District Court of Nuernberg opened bankruptcy proceedings against RBS Maisel Rohrhandel GmbH & Co. KG on April 7, 2008. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be reached at: RBS Maisel Rohrhandel GmbH & Co. KG Braunleinsberg 1a 91242 Ottensoos Germany REGIO PRINT-VERTRIEB: Claims Registration Period Ends April 30 -------------------------------------------------------------- Creditors of REGIO Print-Vertrieb GmbH have until April 30, 2008, to register their claims with court-appointed insolvency manager Dr. Andreas Ringstmeier. Creditors and other interested parties are encouraged to attend the meeting at 12:30 p.m. on May 30, 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. Andreas Ringstmeier Magnusstr. 13 50672 Koeln Germany Tel: 0221/650 660 Fax: +49221650661 The District Court of Cologne opened bankruptcy proceedings against REGIO Print-Vertrieb GmbH on April 1, 2008. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be reached at: REGIO Print-Vertrieb GmbH Attn: Frank Klein, Manager Untert�rkheimer Str. 15 66117 Saarbruecken Germany RESTAURANT SCHUETZENLIESEL: Claims Registration Ends May 13 ----------------------------------------------------------- Creditors of Restaurant Schuetzenliesel GmbH have until May 13, 2008 to register their claims with court-appointed insolvency manager Dr. Ferdinand Kiessner. Creditors and other interested parties are encouraged to attend the meeting at 9:00 a.m. on June 24, 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 Baden-Baden Hall 009a Ground Floor Gutenbergstr. 17 76532 Baden-Baden 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. Ferdinand Kiessner Eisenbahnstr. 19-23 77855 Achern Germany The District Court of Baden-Baden opened bankruptcy proceedings against Restaurant Schuetzenliesel GmbH on April 1, 2008. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be reached at: Restaurant Schuetzenliesel GmbH Attn: Giovanni Cetera, Manager Oberreutweg 29 76437 Rastatt Germany ROESLER PRINT: Claims Registration Period Ends May 9 ---------------------------------------------------- Creditors of Roesler Print- u. Digitalmedien GmbH + Co.KG have until May 9, 2008, to register their claims with court-appointed insolvency manager Thomas Schaefer. Creditors and other interested parties are encouraged to attend the meeting at 9:00 a.m. on May 29, 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: Thomas Schaefer Fuggerstr. 16 86150 Augsburg Germany The District Court of Augsburg opened bankruptcy proceedings against Roesler Print- u. Digitalmedien GmbH + Co.KG on March 1, 2008. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be reached at: Roesler Print- u. Digitalmedien GmbH + Co.KG Hirblinger Str. 141 86156 Augsburg Germany SANIDO BETEILIGUNGS: Claims Registration Period Ends May 15 ----------------------------------------------------------- Creditors of SANIDO Beteiligungs-GmbH have until May 15, 2008, to register their claims with court-appointed insolvency manager Jana Dettmer. Creditors and other interested parties are encouraged to attend the meeting at 10:10 a.m. on June 24, 2008, 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 Bonn Hall W 1.24 C William-Strasse 23 53111 Bonn 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: Jana Dettmer In der Suerst 3 53111 Bonn Tel: 0228/85080-21 Fax: 02288508020 The District Court of Bonn opened bankruptcy proceedings against SANIDO Beteiligungs-GmbH on April 3, 2008. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be reached at: SANIDO Beteiligungs-GmbH Gertrudenweg 16 53842 Troisdorf Germany Attn: Reiner Pulvermacher, Manager Wernscheid 16 51709 Marienheide Germany SANITAR- UND HEIZUNGSBAU: Claims Period Ends May 5 -------------------------------------------------- Creditors of Sanitar- und Heizungsbau GmbH have until May 5, 2008, to register their claims with court-appointed insolvency manager Dr. Helmut Lorentz. Creditors and other interested parties are encouraged to attend the meeting at 10:15 a.m. on June 5, 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 Mainz Hall 174 Building B Ernst-Ludwig Strasse 7 55116 Mainz 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. Helmut Lorentz GF 39 Kaiserstrasse 64 D 55116 Mainz Germany Tel: 06131/234551 Fax: 06131/231094 The District Court of Mainz opened bankruptcy proceedings against Sanitar- und Heizungsbau GmbH on March 31, 2008. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be reached at: Sanitar- und Heizungsbau GmbH Attn: Alberta Jertz, Manager Rheinhessenstr. 19 55129 Mainz Germany THL H.-H. KOCK: Claims Registration Period Ends May 8 ----------------------------------------------------- Creditors of THL H.-H. Kock GmbH have until May 8, 2008, to register their claims with court-appointed insolvency manager Martin Maletzky. Creditors and other interested parties are encouraged to attend the meeting at 9:30 a.m. on June 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 Neumuenster Meeting Hall 0.13 Law Courts Boostedter Strasse 26 Neumuenster Germany The Court will also verify the claims set out in the insolvency manager's report during this meeting, while creditors may constitute a creditors' committee or opt to appoint a new insolvency manager. The insolvency manager can be reached at: Dr. Martin Maletzky Hamburger Strasse 89 a 24558 Henstedt-Ulzburg Germany The District Court of Neumuenster opened bankruptcy proceedings against THL H.-H. Kock GmbH on March 3, 2008. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be reached at: THL H.-H. Kock GmbH Attn: Hauke Kock, Manager Grosse Reihe 12 24787 Fockbek Germany UNIQUE MARKETING: Claims Registration Period Ends May 15 -------------------------------------------------------- Creditors of Unique Marketing GmbH have until May 15, 2008, to register their claims with court-appointed insolvency manager Karl-Joachim Meyer. Creditors and other interested parties are encouraged to attend the meeting at 10:30 a.m. on June 5, 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 Lueneburg Hall 302 Am Ochsenmarkt 3 21335 Lueneburg 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: Karl-Joachim Meyer Schiessgrabenstr. 8/9 21335 Lueneburg Germany Tel: 20100 Fax: 20 10 14 The District Court of Lueneburg opened bankruptcy proceedings against Unique Marketing GmbH on April 4, 2008. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be reached at: Unique Marketing GmbH Attn: Oliver Jendrian, Manager Stresemannstrasse 4 21335 Lueneburg Germany ============= I R E L A N D ============= CLOVERIE PLC: Moody's Junks Ratings Classes B and C Notes --------------------------------------------------------- Moody's Investors Service downgraded two classes of notes issued by Cloverie PLC. These rating actions are a response to severe credit deterioration in the underlying portfolio. The transaction is a fully-funded static CDO referencing ABS and CDOs of ABS (ABS CDOs), containing 78% subprime assets and 9% ABS CDOs of the 2005, 2006, and 2007 vintages. 5% of the portfolio by volume is currently rated Ca or C. Moody's announced on Feb. 4, 2008 that it is revising its expected loss assumptions which are used for surveillance of ratings of ABS CDOs holding subprime RMBS, specifically of the 2006 vintage. Moody's stated that for purposes of monitoring its ratings of ABS CDOs with exposure to 2006 subprime RMBS, it will rely on certain projections of the lifetime average cumulative losses for 2006's quarterly vintages of RMBS set forth in a recent Moody's Special Report, "Moody's Updates Loss Projections for 2006 Subprime Loans." This report illustrates average loss results for the 2006 quarterly vintages under five distinct loss projection scenarios. Moody's explained that it will utilise the range of loss projections set forth in Scenarios 2 and 3 based on deal performance and quarterly vintage to modify its prior assumptions of the expected loss inputs when monitoring ABS CDO ratings. Moody's will continue to monitor all deals with exposure to US subprime RMBS, and will take further actions in respect of all CDOs placed under review for downgrade once the extent of actual downgrades to US RMBS vintages becomes known. These rating actions are: * The US$80,000,000 Series 2007-32 Class B Credit Linked Notes issued by Cloverie PLC: -- Current Rating: Ca -- Prior Rating: B2, on review for downgrade * The US$20,000,000 Series 2007-33 Class C Credit Linked Notes issued by Cloverie PLC: -- Current Rating: Ca -- Prior Rating: Caa2, on review for downgrade EIRLES TWO: Moody's May Further Cut Low-B Ratings After Review -------------------------------------------------------------- Moody's Investors Service downgraded and left on review for further downgrade 3 classes of notes issued out of Eirles Two Limited Series 286, 287 and 288. This synthetic CDO of ABS has some exposure to US subprime RMBS bonds and in particular to the 2005 and 2006 vintages. Moody's announced on Feb. 4, 2008 that it is revising its expected loss assumptions which are used for surveillance of ratings of ABS CDOs holding subprime RMBS, specifically of the 2006 vintage. Moody's stated that for purposes of monitoring its ratings of ABS CDOs with exposure to 2006 subprime RMBS, it will rely on certain projections of the lifetime average cumulative losses for 2006's quarterly vintages of RMBS set forth in a recent Moody's Special Report, "Moody's Updates Loss Projections for 2006 Subprime Loans." This report illustrates average loss results for the 2006 quarterly vintages under five distinct loss projection scenarios. Moody's explained that it will utilise the range of loss projections set forth in Scenarios 2 and 3 based on deal performance and quarterly vintage to modify its prior assumptions of the expected loss inputs when monitoring ABS CDO ratings. Moody's will continue to monitor all deals with exposure to US subprime RMBS, and will take further actions in respect of all CDOs placed under review for downgrade once the extent of actual downgrades to US RMBS vintages becomes known. These rating actions are: Issuer: Eirles Two Limited - Series 286, 287 and 288: (1) Series 286 Class B USD 42,000,000 Variable Rate Secured Notes due 2048 -- Current rating: Baa3, on review for downgrade -- Prior rating: Aaa, on review for downgrade (2) Series 287 Class C USD 22,500,000 Variable Rate Secured Notes due 2048 -- Current rating: Ba3, on review for downgrade -- Prior rating: Aa2, on review for downgrade (3) Series 288 Class D USD 18,000,000 Variable Rate Secured Notes due 2048 -- Current rating: B3, on review for downgrade -- Prior rating: A3, on review for downgrade NEW BOND: Moody's Junks Rating on US$17,500,000 Class B3 Notes -------------------------------------------------------------- Moody's Investors Service put on review for possible downgrade one class of notes and downgraded and left on review for further downgrade three classes of notes issued by New Bond Street CDO 1 PLC, a limited purpose vehicle incorporated in Ireland. These rating actions are a response to the severe credit deterioration in the underlying portfolio. This managed cash CDO of ABS transation has 30% US ABS CDOs of the 2005, 2006, and 2007 vintages. One US ABS CDO, representing 2.5% of the portfolio by volume, is currently rated C. Moody's announced on Feb. 4, 2008 that it is revising its expected loss assumptions which are used for surveillance of ratings of ABS CDOs holding subprime RMBS, specifically of the 2006 vintage. Moody's stated that for purposes of monitoring its ratings of ABS CDOs with exposure to 2006 subprime RMBS, it will rely on certain projections of the lifetime average cumulative losses for 2006's quarterly vintages of RMBS set forth in a recent Moody's Special Report, Moody's Updates Loss Projections for 2006 Subprime Loans." This report illustrates average loss results for the 2006 quarterly vintages under five distinct loss projection scenarios. Moody's explained that it will utilise the range of loss projections set forth in Scenarios 2 and 3 based on deal performance and quarterly vintage to modify its prior assumptions of the expected loss inputs when monitoring ABS CDO ratings. Moody's will continue to monitor all deals with exposure to US subprime RMBS, and will take further actions in respect of all CDOs placed under review for downgrade once the extent of actual downgrades to US RMBS vintages becomes known. These rating actions are: New Bond Street CDO 1 PLC: (1) the US$100,000,000 Class A2 Floating Rate Notes due 2066 -- Current Rating: Aaa, on review for downgrade -- Prior Rating: Aaa (2) the US$150,000,000 Class B1 Floating Rate Notes due 2066 -- Current Rating: Ba1, on review for downgrade -- Prior Rating: Aaa (3) the US$32,500,000 Class B2 Deferrable Floating Rate Notes due 2066 -- Current Rating: B2, on review for downgrade -- Prior Rating: Aa2 (4) the US$17,500,000 Class B3 Deferrable Floating Rate Notes due 2066 -- Current Rating: C -- Prior Rating: Baa3 PALMER SQUARE 3: Moody's Junks Ratings on Three Note Classes ------------------------------------------------------------ Moody's Investors Service downgraded and left on review for further downgrade four classes of notes and downgraded three class of notes issued by Palmer Square 3 Limited, a limited purpose vehicle incorporated in Ireland. These rating actions are a response to severe credit deterioration in the underlying portfolio. The transaction is a managed cash CDO of ABS, containing roughly 40% ABS CDOs and 27% sub-prime RMBS of the 2005, 2006, and 2007 vintages. Many of the assets in the portfolio have been downgraded, placed on review for downgrade, or both since October 2007. 11% of the portfolio by volume (mainly US ABS CDOs) is currently rated C or Ca. Moody's announced on Feb. 4, 2008 that it is revising its expected loss assumptions which are used for surveillance of ratings of ABS CDOs holding subprime RMBS, specifically of the 2006 vintage. Moody's stated that for purposes of monitoring its ratings of ABS CDOs with exposure to 2006 subprime RMBS, it will rely on certain projections of the lifetime average cumulative losses for 2006's quarterly vintages of RMBS set forth in a recent Moody's Special Report, "Moody's Updates Loss Projections for 2006 Subprime Loans." This report illustrates average loss results for the 2006 quarterly vintages under five distinct loss projection scenarios. Moody's explained that it will utilise the range of loss projections set forth in Scenarios 2 and 3 based on deal performance and quarterly vintage to modify its prior assumptions of the expected loss inputs when monitoring ABS CDO ratings. Moody's will continue to monitor all deals with exposure to US subprime RMBS, and will take further actions in respect of all CDOs placed under review for downgrade once the extent of actual downgrades to US RMBS vintages becomes known. These rating actions are: Palmer Square 3 Limited: (1) the US$1,000,000,000 Class A1-M Floating Rate Notes due 2052 -- Current Rating: A3, on review for downgrade -- Prior Rating: Aaa, on review for downgrade (2) the US$200,000,000 Class A1-Q Floating Rate Notes due 2052 -- Current Rating: A3, on review for downgrade -- Prior Rating: Aaa, on review for downgrade (3) US$300,000,000 Class A2 Floating Rate Notes due 2052 -- Current Rating: B3, on review for downgrade -- Prior Rating: Aa2, on review for downgrade (4) US$300,000,000 Class A3 Floating Rate Notes due 2052 -- Current Rating: Caa3, on review for downgrade -- Prior Rating: Baa2, on review for downgrade (5) US$116,000,000 Class A4 Floating Rate Notes due 2052 -- Current Rating: Ca -- Prior Rating: Ba3, on review for downgrade (6) US$39,000,000 Class B Floating Rate Notes due 2052 -- Current Rating: Ca -- Prior Rating: B3, on review for downgrade (7) US$18,000,000 Class C Deferrable Floating Rate Notes due 2052 -- Current Rating: C -- Prior Rating: Caa3, on review for downgrade STANTON VINTAGE: Moody's May Further Notes' Ratings After Review ---------------------------------------------------------------- Moody's Investors Service downgraded and left on review for further downgrade four classes of notes issued by Stanton Vintage CDO P.L.C. These rating actions are a response to severe credit deterioration in the underlying portfolio. This transaction is a managed cash CDO of ABS with a portfolio which contains 21.7% US ABS CDOs of the 2005, 2006, and 2007 vintages. In addition, 4.4% of the portfolio by volume (all US ABS CDOs) is currently rated Ca. Moody's announced on Feb. 4, 2008 that it is revising its expected loss assumptions which are used for surveillance of ratings of ABS CDOs holding subprime RMBS, specifically of the 2006 vintage. Moody's stated that for purposes of monitoring its ratings of ABS CDOs with exposure to 2006 subprime RMBS, it will rely on certain projections of the lifetime average cumulative losses for 2006's quarterly vintages of RMBS set forth in a recent Moody's Special Report, "Moody's Updates Loss Projections for 2006 Subprime Loans." This report illustrates average loss results for the 2006 quarterly vintages under five distinct loss projection scenarios. Moody's explained that it will utilise the range of loss projections set forth in Scenarios 2 and 3 based on deal performance and quarterly vintage to modify its prior assumptions of the expected loss inputs when monitoring ABS CDO ratings. Moody's will continue to monitor all deals with exposure to US subprime RMBS, and will take further actions in respect of all CDOs placed under review for downgrade once the extent of actual downgrades to US RMBS vintages becomes known. These rating actions are: Stanton Vintage CDO P.L.C.: (1) US$24,000,000 Class C Notes due 2048 -- Current Rating: Baa2, on review for downgrade -- Prior Rating: A2, on review for downgrade (2) US$20,000,000 Class D Notes due 2048 -- Current Rating: B2, on review for downgrade -- Prior Rating: Baa2, on review for downgrade (3) US$16,000,000 Class E Notes due 2048 -- Current Rating: Caa2, on review for downgrade -- Prior Rating: Ba2, on review for downgrade (4) US$12,000,000 Class P Combination Notes due 2048 -- Current Rating: Ba3, on review for downgrade -- Prior Rating: A3, on review for downgrade The US$20,000,000 Class A Notes due 2048, currently rated Aaa and the US$60,000,000 Class B Notes due 2048 currently rated Aa2 remain on review for possible downgrade. ========= I T A L Y ========= ALCATEL-LUCENT SA: Names Stefano Lorenzi as Sr. Officer in Italy ---------------------------------------------------------------- Alcatel-Lucent SA has appointed Stefano Lorenzi as its new Country Senior Officer for Italy. He will also lead the company�s activities in Israel and Malta. With a Master's degree in Telecommunications from the Engineering University of Ancona, Italy, Mr. Lorenzi has gained a thorough international experience in the telecommunication industry through a number of assignments of growing responsibility. Before this new assignment, he led Alcatel-Lucent�s Services activities in the Caribbean and Latin American (CALA) region, with responsibility for the overall services business, carrier- related delivery, and post-sales support activities in the region. He joined Alcatel in 2003, where within the Optics business, he was responsible for all customer project and services activities worldwide. After that, he was responsible of the company�s Optics business in Europe, Africa, Middle East and Latin America. Prior to joining Alcatel, Mr. Stefano was EMEA Country Operations Vice President for AT&T Global Services, based in Brussels, Belgium. Prior to that he held various senior management positions with service providers such as the Telecom Italia group, Telecom Argentina, and GTS/KPN-Qwest. "After so many years spent abroad, I�m glad to return home and have the opportunity to lead Alcatel-Lucent's business in my home country," Mr. Lorenzi said. "It's an exciting challenge for me. I am confident that we will continue to successfully develop the business in Italy, Israel and Malta, which is such a diversified and stimulating market." About Alcatel-Lucent Headquartered in Paris, France, Alcatel-Lucent S.A. -- http://www.alcatel-lucent.com/-- provides solutions that enable service providers, enterprises and governments worldwide to deliver voice, data and video communication services to end users. Alcatel-Lucent maintains operations in 130 countries, including, Austria, Germany, Hungary, Italy, Netherlands, Ireland, Canada, United States, Costa Rica, Dominican Republic, El Salvador, Guatemala, Peru, Venezuela, Indonesia, Australia, Brunei and Cambodia. * * * As reported in the TCR-Europe on April 4, 2008, Moody's Investors Service affirmed the ratings for Alcatel-Lucent, which include a Ba3 corporate family rating for Alcatel-Lucent and a Not-Prime for its short term debt, as well as Ba3 ratings for senior and B2 ratings for subordinated debt that was issued originally by the predecessor companies Alcatel S.A. and Lucent Technologies, Inc. Moody's said the outlook for the ratings is Negative. Alcatel-Lucent's Long-Term Corporate Credit rating and Senior Unsecured Debt carry Standard & Poor's Ratings Services' BB rating. Its Short-Term Corporate Credit rating stands at B. ALITALIA SPA: Chairman Wants Air France Talks to Resume ------------------------------------------------------- Following a meeting between Alitalia S.p.A. Chairman Aristide Police and the Italian Stock Exchange Controller CONSOB, it emerged that there is a need for more time to allow the negotiations between Air France-KLM S.A., the carrier, its unions, to take their due course. During the meeting, Alitalia�s situation was examined and updated. The levels of cash-to-hand and short-term financial credits were confirmed. The Board of Directors is continuing to monitor the Company�s operational performance and financial and asset situation, and confirms its undertaking to provide prompt information to the appropriate authorities �- CONSOB and ENAC -� and the market. During the meeting, the Alitalia representatives pointed out that the Company has taken note of the press release issued by the Presidency of the Council of Ministers relative to the possibility that the company�s situation will be examined in detail during a meeting between the government and a delegate representing the leader of the coalition that won the general election, also regarding the possibility of fulfilling some of the conditions put forward by Air France-KLM for the presentation of the public exchange offer. 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 Finance Minister Tommaso Padoa-Schioppa had said that if the sale to Air France fails, Alitalia may seek protection from creditors and the government would appoint a special commissioner to initiate bankruptcy proceedings. FIAT SPA: In Talks with Chrysler Over Alfa Romeo Production ----------------------------------------------------------- Chrysler LLC has initiated talks with Fiat SpA over a possible cooperation agreement under which Chrysler will produce the Italian auto manufacturer's Alfa Romeo cars in its U.S. factories, Reuters reports, citing German newspaper Handelsblatt. The talks, Reuters says, is now in the advanced stage. A Chrysler spokeswoman, however, dismissed the report as speculation, saying "there could be other partnerships with other carmakers," Reuters relates. Chrysler earlier announced a production alliance with Japanese automaker Nissan, the paper reveals. A TCR-Europe reported on March 27, 2008 disclosed Fiat entered into discussions with Detroit's auto manufacturers on sharing production of Alfa Romeos in the U.S. Fiat's chief executive officer Sergio Marchionne said that production of Alfa cars will start by 2011 or 2012. Meanwhile, Alfa, which will start distributing and selling cars in the U.S. cars next year, will have to absorb losses until production starts with a partner. Fiat had to manufacture in the U.S. because of the weakness of the dollar against the euro. Fiat is also preparing to transfer its Iveco division to the U.S. along with the relaunched Fiat 500 compact car. About Fiat Turin, Italy-based Fiat SpA -- http://www.fiatgroup.com/-- (BIT:F) is principally engaged in the design, manufacture and sale of automobiles, trucks, wheel loaders, excavators, telehandlers, tractors and combine harvesters. Through its subsidiaries, Fiat operates mainly in five business areas: Automobiles, including sectors led by Maserati SpA, Ferrari SpA and Fiat Group Automobiles SpA, which design, produce and sell cars under the Fiat, Alfa Romeo, Lancia, Fiat Professional, Abarth, Ferrari and Maserati brands; Agricultural and Construction Equipment, which is led by Case New Holland Global NV; Trucks and Commercial Vehicles, which is led by Iveco SpA; Components and Production Systems, which includes the sectors led by Magneti Marelli Holding SpA, Teksid SpA, Comau SpA and Fiat Powertrain Technologies SpA, and Other Businesses, which includes the sectors led by Fiat Services SpA, a publishing house Editrice La Stampa SpA and an advertising agency Publikompass SpA. Outside Europe, the company has subsidiaries in the United States, Japan, India, China, Mexico, Brazil and Argentina, among others. * * * As of March 13, 2008, Fiat S.p.A. and its subsidiaries carries Ba3 Corporate Family and Senior Unsecured ratings from Moody's Investors Service, which said the outlook is positive. The company carries Standard & Poor's Ratings Services' BB long- term corporate credit rating. The company also carries B short- term rating. S&P said the outlook is stable. * Moody's Says Italian RMBS Delinquencies Rise in 4th Qtr. 2007 --------------------------------------------------------------- The total issuance of Italian Residential Mortgage Backed Securities was EUR 7.3billion in fourth quarter 2007, says Moody's Investors Service in its latest Italian RMBS index report. Four new transactions were closed during fourth quarter 2007. In terms of performance, delinquency rates -- which are of particular interest as they can be an early indicator of mortgage loan defaults -- recorded deterioration during fourth quarter 2007. "Weighted-average delinquencies greater than 90 days past due represented 1.25% of the outstanding pool balance, up from 0.96% in Q3 2007, states Daron Kularatnam, a Moody's Senior Associate and author of the report. The rising delinquencies have coincided with increasing defaults. Moody's Italian RMBS cumulative net default trend, as an early indicator of losses in the Italian market, increased to 0.56% in fourth quarter 2007 up from 0.43% in third quarter 2007. However, losses remain at this stage below Moody's expected loss assumptions. In addition, the weighted-average annualized Constant Prepayment Rate increased to 9.02% in fourth quarter 2007 compared to 8.33% in third quarter 2007. The past year has seen a significant rise in prepayment levels in the Italian market. Moody's notes that this is primarily due to the introduction of the Bersani Decree in February 2007. Moody's report, entitled "Italian RMBS Q4 2007 Indices", discusses the key market performance indicators. =================== K A Z A K H S T A N =================== KAZAKHSTAN TEMIR: S&P Affirms BB+ Corporate Credit Rating --------------------------------------------------------- Standard & Poor's Ratings Services affirmed its 'BB+' long-term corporate credit and 'kzAA-' Kazakhstan national scale ratings on Kazakh national railroad company Kazakhstan Temir Zholy. The outlook is stable. "The ratings on KTZ reflect the company's high strategic importance to the state and strong government support," said Standard & Poor's credit analyst Eugene Korovin. "The ratings are based on a top-down approach and are two notches lower than the sovereign local currency rating." The ratings on KTZ are constrained by an opaque regulatory regime in Kazakhstan and the company's obsolete assets and aggressive investment program. The ongoing rail-sector restructuring, the risk of commodities traffic volatility, and competition from oil pipelines also constrain the ratings. The company's strong market and competitive position in the national transport sector somewhat mitigate these risks. KTZ's vertically integrated business model, which combines monopoly rail infrastructure and profitable freight transport operations, and the company's intermediate financial profile and moderate financial policy also bolster the ratings. At Dec. 31, 2007, KTZ had US$1.034 billion in total debt according to management information. "We expect KTZ to continue to benefit from solid state support to the sector and financial support for investments in railroad infrastructure," said Mr. Korovin. "One example of such support would be higher operating subsidies to the passenger segment, which would allow higher track access locomotive traction charges for the passenger segment after its potential divestment." S&P also expects that KTZ will retain an adequate financial profile within approved financial policy targets, which will underpin KTZ's stand-alone credit quality. A consistent implementation of the government's tariff policy for KTZ and the sector restructuring plan--including ownership unbundling of the passenger segment from KTZ--together with higher subsidies, could create ratings upside potential in the absence of negative macroeconomic implications. A positive change in the sovereign rating or outlook would most likely lead to similar movement in the ratings on KTZ, unless there is evidence of a changed relationship with the state, which would likely trigger a revision of our top-down rating approach. A negative change in the sovereign rating would not automatically result in a similar action on the company, unless the trigger for the sovereign rating change materially impairs KTZ's stand-alone credit quality. =================== K Y R G Y Z S T A N =================== ACA CONSULTING: Claims Filing Period Ends May 13 ------------------------------------------------ LLC Juridical Company Aca Consulting has declared insolvency. Creditors have until May 13, 2008 to submit written proofs of claim. Inquiries can be addressed to (+996 312) 65-48-84. NIS LLC: Creditors Must File Claims by May 20 --------------------------------------------- LLC Manufacturing-Commercial Firm NIS has declared insolvency. Creditors have until May 20, 2008 to submit written proofs of claim. Inquiries can be addressed to (0-515) 75-12-23. =================== L U X E M B O U R G =================== EVRAZ GROUP: Declares US$4.20 Dividend per Share for 2007 --------------------------------------------------------- Evraz Group S.A.'s Board of Directors has recommended that the annual general meeting of shareholders on May 15, 2008, approve a final dividend of US$4.20 per common share, or US$1.40 per GDR, in respect of the year ended Dec. 31, 2007, payable to shareholders on the share register record date of May 14, 2008. When added to the interim dividend this will make a total dividend for the year of US$9.00 per common share, or US$3.00 per GDR. About Evraz Headquartered in Luxembourg, Evraz Group S.A. (LSE:EVR) -- http://www.evraz.com/-- manufactures and distributes steel and related products. In addition, the Company owns and operates certain mining assets. Its steel production and mining facilities are mainly located in the Russian Federation. It operates three steel mills in Russia, one mill in the Sverdlovsk region and two mills in the Kemerovo region. * * * As reported in the TCR-Europe on April 16, 2008, Moody's Investors Service confirmed Evraz's Group's Ba2 corporate family rating, the Ba2 rating for the Senior Notes due 2009 and the Ba3 rating for the Senior Notes due 2015. Moody's also assigned a (P) Ba3 rating to the proposed U.S. dollar notes to be issued by Evraz Group S.A. The outlook for the ratings was changed to negative. TCR-Europe also reported on April 16, 2008, that Fitch Ratings has assigned Evraz Group S.A.'s prospective US$ notes issue an expected senior unsecured 'BB' rating. The expected rating is in line with Evraz's 'BB' Long-term Issuer Default rating (IDR). Fitch also has affirmed Evraz's Long-term IDR and senior unsecured ratings of 'BB' and Short-term IDR of 'B'. The ratings of Mastercroft Limited (Evraz's core subsidiary holding most of its key operating assets within Russia) are also affirmed at Long-term IDR 'BB' and Short-term IDR 'B', as is the senior unsecured 'BB' rating of Evraz Securities S.A. The Outlooks for Evraz's and Mastercroft Limited's Long-term IDRs are Stable. As reported in the TCR-Europe on April 15, 2008, Standard & Poor's Ratings Services assigned its 'BB-' senior unsecured debt rating to the proposed U.S. dollar fixed-rate bond to be issued by Evraz Group S.A. (BB-/Positive/--). GOODYEAR TIRE: US$4 Million Notes Convertible Until June 30 ----------------------------------------------------------- The Goodyear Tire & Rubber Company's remaining 4.00% convertible senior notes due June 15, 2034, are now convertible at the option of the holders and will be convertible through June 30, 2008, the last business day of the current fiscal quarter. The notes became convertible because the last reported sale price of the company's common stock for at least 20 trading days during the 30 consecutive trading-day period ending on April 15, 2008, was greater than 120% of the conversion price in effect on such day. The notes have been convertible in previous fiscal quarters. The company will deliver shares of its common stock or pay cash upon conversion of any notes surrendered on or prior to June 30, 2008. If shares are delivered, cash will be paid in lieu of fractional shares only. Issued in July 2004, the notes are currently convertible at a rate of 83.0703 shares of common stock per US$1,000 principal amount of notes, which is equal to a conversion price of US$12.04 per share. During the fourth quarter of 2007, Goodyear completed an exchange offer for outstanding notes for a cash payment and shares of common stock. Approximately 99% of the outstanding notes were exchanged. As a result, less than US$4 million in aggregate principal amount of notes remain outstanding. If all remaining outstanding notes are surrendered for conversion, the aggregate number of shares of common stock issued would be approximately 0.3 million. The notes could be convertible after June 30, 2008, if the sale price condition is met in any future fiscal quarter or if any of the other conditions to conversion set forth in the indenture governing the notes are met. 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 60 facilities in 26 countries and employs 80,000 people worldwide. Goodyear has subsidiaries in New Zealand, Venezuela, Peru, Mexico, Luxembourg, Finland, Korea and Japan, among others. * * * As reported by the Troubled Company Reporter-Europe on March 6, 2008, Fitch Ratings upgraded The Goodyear Tire & Rubber Company's Issuer Default Rating to 'BB-' from 'B+' and senior unsecured debt rating to 'B+' from 'B-/RR6'. GOODYEAR TIRE: Board Approves 2008 Performance Plan, MIP -------------------------------------------------------- The Goodyear Tire & Rubber Company disclosed in a regulatory filing that on April 8, 2008, its shareholders and Board of Directors approved the adoption of the 2008 Performance Plan and the Management Incentive Plan. The Compensation Committee of the Board of Directors also approved forms of grant agreements under the 2008 Plan. 2008 Performance Plan The 2008 Plan is designed to advance the interests of Goodyear and its shareholders by strengthening its ability to attract, retain and reward highly qualified executive officers and other employees, to motivate them to achieve business objectives established to promote Goodyear�s long term growth, profitability and success, and to encourage their ownership of Common Stock. The 2008 Plan is also designed to enable Goodyear to provide certain forms of performance-based compensation to senior executive officers that will meet the requirements for tax deductibility under Section 162(m) of the Internal Revenue Code of 1986, as amended. The 2008 Plan authorizes grants and awards of stock options, stock appreciation rights, restricted stock, restricted stock units, and performance and other grants and awards. A total of eight million shares of Common Stock may be issued under the 2008 Plan. Any shares of Common Stock that are subject to awards of stock options or stock appreciation rights will be counted as one share for each share granted for purposes of the aggregate share limit and any shares of Common Stock that are subject to any other awards will be counted as 1.61 shares for each share granted for purposes of the aggregate share limit. The 2008 Plan will be administered by the Compensation Committee of the Board of Directors which will have the sole authority to, among other things: construe and interpret the 2008 Plan; make rules and regulations relating to the administration of the 2008 Plan; select participants; and establish the terms and conditions of grants and awards. Any employee of Goodyear or any of its subsidiaries, including any officer of Goodyear, selected by the Compensation Committee is eligible to receive grants of stock options, stock appreciation rights, restricted stock, restricted stock units, and performance and other grants and awards under the 2008 Plan. Directors of Goodyear are also eligible to receive awards (other than performance awards) under the 2008 Plan. The selection of participants and the nature and size of grants and awards will be wholly within the discretion of the Compensation Committee. It is anticipated that all officers of Goodyear will receive various grants under the 2008 Plan and approximately 1,000 other employees of Goodyear and its subsidiaries will participate in at least one feature of the 2008 Plan. A participant must be an employee of the company or a subsidiary or a director of the company continuously from the date a grant is made through the date of payment or settlement thereof, unless otherwise provided by the Compensation Committee. The 2008 Plan will remain in effect until April 8, 2018, unless sooner terminated by the Board of Directors. Termination will not affect grants and awards then outstanding. Management Incentive Plan The MIP is designed to advance the interests of Goodyear and its shareholders and assist Goodyear in motivating, attracting and retaining executive officers by providing incentives and financial rewards to those executive officers that are intended to be deductible to the maximum extent possible as �performance- based compensation� within the meaning of Section 162(m) of the Code. The MIP will become effective as of January 1, 2009. The MIP will be administered by the Compensation Committee, which has broad authority to administer and interpret the MIP and its provisions as it deems necessary and appropriate. Board-appointed officers of Goodyear who are designated by the Board of Directors as �Section 16 officers� and are selected by the Compensation Committee to participate in the MIP are eligible to receive awards under the MIP. Under the MIP, each participant is eligible to receive a maximum performance award equal to a percentage of Goodyear�s EBIT for a performance period established by the Compensation Committee. �EBIT� means the Company�s net sales, less cost of goods sold, and selling, administrative and general expenses, as reported in the Company�s consolidated statement of operations for the applicable performance period, prior to accrual of any amounts for payment under the MIP for the performance period, adjusted to eliminate the effects of charges for restructurings, discontinued operations, extraordinary items, other unusual or non-recurring items, and the cumulative effect of tax or accounting changes, each as defined by generally accepted accounting principles or identified in the Company�s consolidated financial statements, notes to the consolidated financial statements or management�s discussion and analysis of financial condition and results of operations. Specifically, Goodyear�s Chief Executive Officer is eligible to receive a performance award equal to 0.75% of EBIT for a performance period and the other participants in the MIP are each eligible to receive a performance award equal to 0.5% of EBIT for a performance period. The actual performance award granted to a participant is determined by the Compensation Committee, which retains the discretionary authority to reduce or eliminate (but not increase) a performance award based on its consideration of, among other things, corporate and/or business unit performance against achievement of financial or non- financial goals, economic and relative performance considerations, and assessments of individual performance. Each award under the MIP will be paid in cash, provided that the Compensation Committee may in its discretion determine that all or a portion of an award shall be paid in shares of Common Stock, restricted stock, stock options or other stock-based or stock denominated units that are issued pursuant to Goodyear�s equity compensation plans in existence at the time of the grant. 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 60 facilities in 26 countries and employs 80,000 people worldwide. Goodyear has subsidiaries in New Zealand, Venezuela, Peru, Mexico, Luxembourg, Finland, Korea and Japan, among others. * * * As reported by the Troubled Company Reporter-Europe on March 6, 2008, Fitch Ratings upgraded The Goodyear Tire & Rubber Company's Issuer Default Rating to 'BB-' from 'B+' and senior unsecured debt rating to 'B+' from 'B-/RR6'. VINTAGE CAPITAL: Moody's May Lift Ba1 Rating After Review --------------------------------------------------------- Moody's Investors Service withdrew the ratings on one class of notes and placed on review for possible upgrade another class of notes issued by Vintage Capital S.A. The transaction is a semi synthetic CDO largely invested in corporate European bonds. This action has been prompted by the redemption of the Class A-1 Notes in full and the substantial partial redemption of the Class A-2 Notes, with the residual balance of approximately EUR7.25 million expected to be fully redeemed by June 2009 from the maturity proceeds of a portfolio mainly invested in the European financial sector bonds. These rating actions are: Vintage Capital S.A.: (1) EUR108,000,000 (No Current Outstandings - Note has been fully redeemed) Class A-1 Floating Rate Credit-Linked Notes due 2010 -- Current Rating: WR -- Prior Rating: Aaa (2) EUR50,000,000 (Current Outstandings EUR7,252,115.99) Class A-2 Floating Rate Credit-Linked Notes due 2010 -- Current Rating: Ba1, on review for upgrade -- Prior Rating: Ba1 Vintage Capital S.A. is a special purpose vehicle incorporated in Luxembourg. ===================== N E T H E R L A N D S ===================== JAMES HARDIE: Dutch Parent to Liquidate; Transfers HQ to U.S. ------------------------------------------------------------- James Hardie Industries NV is to transfer its headquarters to the U.S. from the Netherlands, Bloomberg News reports, citing Weekend Australian Newspaper. The parent company, Bloomberg says, will be liquidated, although some operations will be based in Europe to avoid tax. Meanwhile, James Hardie's Australian and New Zealand operations are likely to be separated from the Dutch parent, which will become a registered company in Delaware. The Asia-Pacific operations will either be sold off or incorporated as independent local companies, Bloomberg relates. According to Peter Baker, James Hardie's Asia-Pacific vice president, a review of domicile and tax options is underway, Bloomberg adds. The board is set to approve resolutions to transfer assets and liabilities on May 1, the paper states. James Hardie Industries Limited -- http://www.jameshardie.com/ -- manufactures, markets and distributes fiber cement and gypsum products, fiberglass reinforced plastic and PVC products, sanitary ware and bathroom products, insulating materials and fillers, strippers and adhesives. On July 2, 1998, the then public company announced a plan of reorganization and capital restructuring. James Hardie N.V. was incorporated in August 1998 as an intermediary holding company, with all of its common stock owned by indirect subsidiaries of JHIL. Effective as of November 1998, JHIL contributed its fiber cement businesses, its United States gypsum wallboard business, its Australian and New Zealand building systems busineses and its Australian windows business to JHNV and its subsidiaries. On July 24, 2001, JHIL announced a further plan of reorganization and capital restructuring, which reorganization was completed on Oct. 19, 2001. In connection with the 2001 reorganization, James Hardie Industries N.V., formerly RCI Netherlands Holdings B.V., issued common shares represented by CHESS Units of Foreign Securities on a one for one basis to existing JHIL shareholders in exchange for their shares such that JHINV became the new ultimate holding company for JHIL and JHNV. Following the 2001 Reorganization, JHINV controls the same assets and liabilities as JHIL controlled immediately prior to the 2001 Reorganization. The company's troubles began with its "under-funded" allocation for asbestos claims, which were brought in by people who suffer or may have diseases caused by exposure to the asbestos-related products produced by JHIL. In 2001, James Hardie set up an independent entity, Medical Research and Compensation Foundation, to handle asbestos claims. The Foundation has warned that it could run out of money within five years. The Asbestos Diseases Foundation of Australia and workers unions called for all the Company's asbestos profits to be immediately placed in the fund. James Hardie was later accused of topping up the dwindling asbestos fund it established. By 2004, James Hardie's former asbestos manufacturing subsidiaries -- Amaca Pty Ltd, Amaba Pty Ltd, and ABN 60 Pty Ltd -- are three of around 150 defendants in asbestos litigation, and based on the Foundation's own figures, they account for US$1,000,000,000 of the predicted US$6,000,000,000 future asbestos liabilities in Australia. Although James Hardie stopped making asbestos products in 1987, the average 35-year latency of mesothelioma, an asbestos-related disease, means asbestos compensation funds will be needed until mid-century. In a 2005 report by a company-hired actuary from KPMG, it was predicted that 4,915 Australians would contract mesothelioma from exposure to Hardie products in the coming decades. When less serious forms of asbestos-related disease are included, James Hardie should expect to compensate 8,725 victims. On Dec. 1, 2005, the company announced that the NSW Government and a wholly owned Australian subsidiary of the Company -- LGTDD Pty Ltd -- had entered into a conditional agreement to provide long-term funding to a special purpose fund that will provide compensation for Australian asbestos-related personal injury claims against certain former James Hardie asbestos companies. The amount of the asbestos provision of AU$1 billion, at March 31, 2006, is the company's best estimate of the probable outcome. The estimate includes an actuarial calculation prepared by KPMG Actuaries Pty Ltd of the projected future cash outflows, undiscounted and uninflated, and the anticipated tax deduction arising from Australian legislation, which came into force on April 6, 2006. X5 RETAIL: Earns US$143.75 Million for Year Ended December 31 ------------------------------------------------------------- X5 Retail Group N.V. posted US143.75 million in consolidated net profit on US$5.32 billion in consolidated net revenues for year ended Dec. 31, 2007, compared with US$101.24 billion in consolidated net profit on US$3.49 billion in consolidated net revenues for year ended Dec. 31, 2006. As of Dec. 31, 2007, X5 Retail had US$6.52 billion in total assets, US$3.28 billion in total liabilities and US3.24 billion in total shareholders' equity. Net cash from operating activities totaled US$427 million on the back of strong operating performance as well as working capital improvement. Net cash used in investing activities totaled US$899 million, as the Company continued to add selling space and invested in its distribution infrastructure development. In total, X5 added 31% in net selling space during 2007. The total net selling area increased by 143,100 sq. m. This takes into account 3,600 sq. m. that were closed during the year (8 soft discounters and 2 supermarkets) and includes stores acquired through tactical M&A transactions. Net addition of stores totaled 249, of which 223 were in soft discount format, 23 were supermarkets and three were hypermarkets. As a result, at Dec. 31, 2007, X5 operated 868 company-managed stores -- consisting of 674 soft discounters, 179 supermarkets, 14 compact hypermarkets and one full-size hypermarket store -- with the total net selling space of 609,200 sq. m. Net cash from financing activities amounted to US$470 million as the Company raised funds to finance its capital expenditure program. During 2007 X5 optimized its debt portfolio and as a result decreased its cost of funding and improved its debt structure. The steps undertaken by the Company in 2007 to optimize its debt portfolio included ruble debt restructuring whereby X5 replaced three outstanding bonds previously issued by Pyaterochka and Perekrestok in the total amount of RUR6 billion with one seven- year bond (puttable in three years) with an interest of 7.6% and a notional amount of RUR9 billion (US$352 million). "Our strong operational performance in 2007, supported by rigorous working capital management, resulted in healthy cash flow generation, enabling the Company to finance almost half of its capital expenditure program from its own resources," Evgeny Kornilov, X5 Retail Group CFO, commented. "These results also provide a solid foundation for the implementation of our ambitious expansion program throughout 2008 and beyond". About X5 Retail Headquartered in Amsterdam, Netherlands, X5 Retail Group N.V. (LSE: FIVE) -- http://www.x5.ru/en/-- acts as a holding firm for the group of companies that operate retail grocery stores. The main activity of the company is the development and operation of grocery retail stores. The company operated Pyaterochka and Perekrestok retail chains in Russia, including Moscow, St. Petersburg, Nizhniy Novgorod, Krasnodar, Kazan, Samara, Ekaterinburg and Kiev, Ukraine. * * * As of March 6, 2008, 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 =========== AFFILIATED COMPUTER: To Acquire Orbital Science's TMS Biz --------------------------------------------------------- Affiliated Computer Services, Inc. has signed an agreement to expand its global public transit service capabilities with the acquisition of Orbital Sciences Corporation's (NYSE: ORB) Transportation Management Systems business for US$42.5 million. The closing of the transaction is subject to customary conditions. TMS is the nation's leading provider of Global Positioning System (GPS)-based fleet management systems, with trailing twelve months revenue of approximately $50 million as of March 2008. TMS provides ACS leadership in the fastest-growing segment of the transit market and makes ACS the only company capable of providing both fare collection and fleet management system capabilities. The systems developed by TMS combine satellite navigation and wireless communications. They enable transit control centers to better manage and dispatch public transit and highway service vehicles and commuter light rail systems. The technology is used by more than 60 clients, exceeding 27,500 vehicles, or more than 30 percent of the U.S. and Canadian fleet. TMS' clients include some of the nation's largest fleet management systems, such as Los Angeles, Chicago, and Washington, D.C. "The TMS acquisition strengthens ACS' end-to-end transportation services," said Michael Huerta, ACS executive vice president and group president, Transportation Solutions. " TMS' reputation for improving operational efficiency, customer service, safety and security for their clients fits well with our culture of responsive and reliable service." Federal, state and local funding for public transportation continues to increase, reflecting public demand. During the past decade, state transportation budgets rose 15 percent annually, while federal funding increased at 5 percent. Over the next several years an additional 16,000 public transit vehicles in North America are expected to be equipped with new GPS-based services. "TMS' employees are excited about the opportunity of joining an industry-leading company with a strong emphasis on the transportation market," said David Kachemov, TMS vice president and general manager. "ACS will now be able to expand into vital markets such as school buses, public works vehicles, and the growing paratransit systems that provide critical services to people with disabilities. Additionally, ACS' international presence will enable the company to provide TMS' solutions globally." ACS is the industry leader in providing systems and services to public transport agencies worldwide. ACS' Transportation Solutions business helps government agencies in more than 30 countries address their challenges through revenue collection and regulation compliance services. ACS' transportation industry expertise includes: * Electronic toll collection: ACS is the nation's largest service provider, with US$3 billion in toll revenue collected annually in programs such as E-ZPass(TM). * Public transport fare collection: ACS provides solutions for more than 1,000 fare collection systems worldwide, enabling 50 million passengers to use mass transit daily. * Parking: The company operates customized airport and urban parking systems, and performs parking violations processing, with 15 million citations processed annually. * Red light and speed photo enforcement: ACS serves 60 governmental jurisdictions in the U.S. and Canada, processing 2 million photo enforcement violations annually. * Shipping and logistics: ACS supports PrePass(R), a service that allows transponder-equipped trucks to bypass weigh stations. The transaction will be funded with a combination of existing cash on hand and borrowings under ACS' existing credit facility. About Affiliated Computer Services Headquartered in Dallas, Texas, Affiliated Computer Services Inc. (NYSE:ACS) -- http://www.acs-inc.com/-- provides business process outsourcing and information technology services to commercial and government clients. The company has two segments based on the clients it serves: commercial and government. The company provides services to a variety of clients including healthcare providers and payers, manufacturers, retailers, wholesale distributors, utilities, entertainment companies, higher education institutions, financial institutions, insurance and transportation companies. The company has global operations in Brazil, China, Dominican Republic, India, Guatemala, Ireland, Philippines, and Poland. * * * Affiliated Computer carris Moody's Investors Service's Ba2 corporate family rating with a stable rating outlook. =========== R U S S I A =========== COMSTAR-UNITED: Earns US$43.8 Million for Year Ended December 31 ---------------------------------------------------------------- Comstar-United TeleSystems JSC posted US43.8 million in consolidated net profit on US$1.56 billion in consolidated net revenues for 2007, compared with US$82.5 billion in consolidated net profit on US$1.12 billion in consolidated net revenues for 2006. The company also posted US51.8 million in consolidated net profit on US$482.1 million in consolidated net revenues for fourth quarter 2007, compared with US$63.1 million in consolidated net losses on US$292.1 million in consolidated net revenues for the same period in 2006. "We are pleased to report a healthy set of results, which reflect a number of positive changes that we made during 2007," Sergey Pridantsev, President and Chief Executive Officer, said. "Comstar has now successfully restructured a group of diverse companies into a single, efficient and integrated operator that is fit to compete in the global telecommunications marketplace. We are already the largest and the most profitable fixed-line telecommunications operator in Russia." "We have developed, and begun to implement, a long-term and highly proactive five point strategy, which is centrrd around Broadband development, Regional expansion, MGTS, Group structure and Svyazinvest, and which underlines the fact that we are on the competitive offensive in the market place with a unique offering of bundled communications services," Mr. Pridantsev added. "We have already achieved a number of important operating and financial milestones during 2007. The strategic objectives are integrated into our forward budgets and operational planning, and we are committed to delivering on the aggressive targets set before us, including the expansion of our residential broadband subscriber base in Moscow to over 1 million customers by the end of 2008 and the doubling of our regional broadband subscriber base." Outlook "We made significant steps during 2007 to simplify the legal and organizational structure of the Group, in order to streamline our business processes and the efficiency of the overall business," Irina Matveeva, Chief Financial Officer, said. "This work is continuing in 2008. Despite this ongoing restructuring process and the changing regulatory environment, we have continued to demonstrate sustainable growth and healthy profitability levels." "Looking forward, we expect Group revenues to grow organically by 15% to 20% in 2008 when excluding the Federal Budget compensation received in 2007," Ms. Matveeva added. "We also expect to deliver a full year 2008 OIBDA margin of between 38% and 40%, despite the fact that we will not receive any Budget compensation in 2008 and excluding the impact of the new long term incentive plan introduced from April 2008, further acquisitions and any unforeseen regulatory changes. The margin guidance does however include the ongoing investments and start- up projects in the regions, which are expected to be principal drivers of revenue growth and profitability from 2009." As of Dec. 31, 2007, Comstar-UTS had US$4.63 billion in total assets, US$1.77 billion in total liabilities and US2.09 billion in total shareholders' equity. About Comstar-UTS Headquartered in Moscow, Russia, Comstar-UTS JSC -- http://www.Comstar-uts.com/en/-- provides fixed line telecommunication services in the Moscow metropolitan area with a population of over 10 million, and to five regions of Russia, Ukraine and Armenia. As at Dec. 31, 2006, Comstar had US$1.12 billion in revenues and US$428.6 million in EBITDA (excluding US$62 million stock bonus awards). * * * As of March 27, 2008, Comstar-United TeleSystems carries Moody's long-term corporate family rating of Ba3 with positive outlook. Standard & Poor's gave the company BB- on long-term foreign issuer credit rating and BB- on long-term local issuer credit rating. The outlook is positive. CREDIT BANK OF MOSCOW: Fitch Upgrades IDR to B; Outlook Stable -------------------------------------------------------------- Fitch Ratings has upgraded on April 18, 2008, Russia-based Credit Bank of Moscow's Long-term Issuer Default Rating to 'B' from 'B-' and its National Long-term rating to 'BBB-(rus)' from 'BB+(rus)'. Other ratings are affirmed at Short-term IDR 'B', Individual 'D', Support '5' and Support Rating Floor 'No Floor'. Following the upgrade, the Outlooks on the LT IDR and National Long-term rating are now Stable. The upgrade reflects stable growth of the bank's franchise in Moscow and the Moscow region, which has not compromised its good asset quality and adequate liquidity, with the latter supported by good funding diversification. Profitability ratios improved marginally in 2007; however, they are still moderate. Non-performing loans have been low on the back of a moderate risk appetite in retail lending and generally good-quality corporate borrowers. Reserves are adequate relative to current loan impairment, but at 0.8% of gross loans may not be sufficient to absorb any future losses. Market risk is not significant. Foreign funding maturing in 2008 is equal to a moderate 9% of liabilities and the bank's management expects this to be at least partially refinanced. Capitalization is likely to soften from the end-2007 levels of 15.3% for Tier 1 ratio and 15.7% for Total ratio as asset growth outpaces internal capital generation. However, in Fitch's view, capitalization should remain adequate at end-2008, and the Total capital ratio comfortably above the 12% covenanted level, absent significant credit losses. At the end of 2007 the bank's previous CEO resigned, and the sole shareholder, Roman Avdeev, appointed himself to the position. CBOM's concentrated ownership and the direct involvement of the shareholder in the bank's management might heighten corporate governance risk, in Fitch's view, although related-party lending has been moderate to date and independent directors are expected to be appointed. Mr. Avdeev plans to personally oversee the bank's expansion outside the core Moscow region, as well as its efforts to achieve the targeted return on equity of 15% in 2008 (2007: 10.6%). Although the expansion might elevate CBOM's credit and operational risk profiles, Fitch understands that growth will be gradual and mostly in adjacent regions. Upside potential for the ratings is limited in the short-term, but might be driven by a successful further broadening of franchise, combined with an acceptable risk profile and strengthened profitability. Downside pressure is unlikely at present, but could arise from significant worsening of asset quality or considerable deterioration of corporate governance. CBOM was among the 60-largest Russian banks by assets at end- 2007. Its core business is to provide banking services to medium-sized trading companies and retail customers (notably auto lending and mortgages). EVRAZ GROUP: Declares US$4.20 Dividend per Share for 2007 --------------------------------------------------------- Evraz Group S.A.'s Board of Directors has recommended that the annual general meeting of shareholders on May 15, 2008, approve a final dividend of US$4.20 per common share, or US$1.40 per GDR, in respect of the year ended Dec. 31, 2007, payable to shareholders on the share register record date of May 14, 2008. When added to the interim dividend this will make a total dividend for the year of US$9.00 per common share, or US$3.00 per GDR. About Evraz Headquartered in Luxembourg, Evraz Group S.A. (LSE:EVR) -- http://www.evraz.com/-- manufactures and distributes steel and related products. In addition, the Company owns and operates certain mining assets. Its steel production and mining facilities are mainly located in the Russian Federation. It operates three steel mills in Russia, one mill in the Sverdlovsk region and two mills in the Kemerovo region. * * * As reported in the TCR-Europe on April 16, 2008, Moody's Investors Service confirmed Evraz's Group's Ba2 corporate family rating, the Ba2 rating for the Senior Notes due 2009 and the Ba3 rating for the Senior Notes due 2015. Moody's also assigned a (P) Ba3 rating to the proposed U.S. dollar notes to be issued by Evraz Group S.A. The outlook for the ratings was changed to negative. TCR-Europe also reported on April 16, 2008, that Fitch Ratings has assigned Evraz Group S.A.'s prospective US$ notes issue an expected senior unsecured 'BB' rating. The expected rating is in line with Evraz's 'BB' Long-term Issuer Default rating (IDR). Fitch also has affirmed Evraz's Long-term IDR and senior unsecured ratings of 'BB' and Short-term IDR of 'B'. The ratings of Mastercroft Limited (Evraz's core subsidiary holding most of its key operating assets within Russia) are also affirmed at Long-term IDR 'BB' and Short-term IDR 'B', as is the senior unsecured 'BB' rating of Evraz Securities S.A. The Outlooks for Evraz's and Mastercroft Limited's Long-term IDRs are Stable. As reported in the TCR-Europe on April 15, 2008, Standard & Poor's Ratings Services assigned its 'BB-' senior unsecured debt rating to the proposed U.S. dollar fixed-rate bond to be issued by Evraz Group S.A. (BB-/Positive/--). KAZANSKOE OJSC: Creditors Must File Claims by April 22 ------------------------------------------------------ Creditors of OJSC Kazanskoe have until April 22, 2008, to submit proofs of claim to: V. Petrochenko Insolvency Manager Office 509 B. Khmelnitskogo Pr. 133 Belgorod Russia The Arbitration Court of Belgorod commenced bankruptcy proceedings against the company after finding it insolvent. The case is docketed under Case No. A08-4974/07-14B. The Court is located at: The Arbitration Court of Belgorod Narodnyj Avenue 135 308600 Belgorod Russia The Debtor can be reached at: OJSC Kazanskoe Gotovye Krasnenskoe Belgorod Russia KRASNOGVARDEYSKIY DIARY: Belgorod Bankruptcy Hearing Set July 2 --------------------------------------------------------------- The Arbitration Court of Belgorod will convene at noon on July 2, 2008, to hear the bankruptcy supervision procedure on OJSC Krasnogvardeyskiy Diary (TIN 3111000724). The case is docketed under Case No. A08-237/08-14B. The Temporary Insolvency Manager is: Y. Ganzikov Post User Box 22 308002 Belgorod Russia The Court is located at: The Arbitration Court of Belgorod Narodnyj Avenue 135 308600 Belgorod Russia The Debtor can be reached at: OJSC Krasnogvardeyskiy Diary Lenina Str. 108 Zasosna Krasnogvardeyskiy 309926 Belgorod Russia MAGNITOGORSK IRON: Earns RUR8.5 Billion for First Quarter 2008 -------------------------------------------------------------- OAO Magnitogorsk Iron and Steel Works registered RUR8.5 billion in net profit on RUR52.3 billion in net revenues for first quarter 2008, compared with RUR8.4 billion in net profit on US$43.1 billion in net revenues for the same period in 2007. First Quarter 2008 Operation Highlights * crude steel production up 14% to 3.6 million tons compared to first quarter 2007; * commercial steel products output increased 12% to 3.3 million tons, compared to first quarter 2007; and * a rise in product prices across the board compared to the end of 2007, including 22% for flat rolled products and 23% for long products. MMK expects domestic demand and global industry dynamics to drive further price increases in second quarter 2008. "In the first quarter of 2008 we have shown strong positive financial and operational results," Victor Rashnikov, Chairman of MMK�s Board of Directors said. "These achievements were a result of the company�s focus on high value added products, our strong position in the growing domestic market and continuing significant investments in advanced technology and equipment. "Already this year we have made further significant steps toward resource self-sufficiency through our strategic partnership with coal producer Belon and the development of Prioskolsky iron ore deposit. Against a background of record steel prices and with a strong outlook for the demand for our products in domestic and export markets, we look forward with confidence to the year ahead." About Magnitogorsk Iron Headquartered in Magnitogorsk, Russia, OAO Magnitogorsk Iron and Steel Works -- http://www.mmk.ru/-- manufactures steel and accounts for about 20% of all steel products sold on the domestic market. MMK is a major fully integrated steel making complex encompassing all the required processes, from preparation of iron ore materials to high added value processing of steel. About half of the Company's output is exported worldwide. * * * As of March 26, 2007, Magnitogorsk Iron and Steel Works carries Moody's Investor's Service's Ba2 corporate family rating. Moody's said the outlook for both ratings is stable. Magnitogorsk Iron also carries BB Issuer Default and senior unsecured ratings from Fitch Ratings, which said the Outlook is Stable. The company also carries a BB Issuer Rating from Standard and Poor's, which said the outlook is positive. NIVA CJSC: Creditors Must File Claims by July 15 ------------------------------------------------ Creditors of CJSC Niva (TIN 3119006044) have until July 15, 2008, to submit proofs of claim to: V. Krotov Temporary Insolvency Manager Room 23 Promyshlennyj Pr. 3 308023 Belgorod Russia Tel/Fax: (4722) 34-13-74 The Arbitration Court of Tambov will convene at 11:00 a.m. on July 15, 2008, to hear the company's bankruptcy supervision procedure. The case is docketed under Case No. A08-646/08-24B. The Court is located at: The Arbitration Court of Tambov Penzenskaya Str. 67/12 392020 Tambov Russia The Debtor can be reached at: V. Krotov Temporary Insolvency Manager Room 23 Promyshlennyj Pr. 3 308023 Belgorod Russia PETROPAVLOVKA-AGRO-PROM-TEKHNIKA: Claims Filing Set April 22 ------------------------------------------------------------ Creditors of OJSC Petropavlovka-Agro-Prom-Tekhnika have until April 22, 2008, to submit proofs of claim to: A. Suvorov Temporary Insolvency Manager Post User Box 95 394077 Voronezh-77 Russia The Arbitration Court of Voronezh will convene at 10:00 a.m. on May 29, 2008, to hear the company's bankruptcy supervision procedure. The case is docketed under Case No. A14-764-2008-7/ 20b. The Court is located at: The Arbitration Court of Voronezh Room 606 Srednemoskovskaya Str. 77 Voronezh Russia The Debtor can be reached at: OJSC Petropavlovka-Agro-Prom-Tekhnika Petropavlovka Voronezh Russia RAZDOLYE LLC: Creditors Must File Claims by April 22 ---------------------------------------------------- Creditors of LLC Razdolye have until April 22, 2008, to submit proofs of claim to: A. Barinov Temporary Insolvency Manager Building 1 Mira Pr. 68 129110 Moscow Russia Tel: (495) 680-11-93 The Arbitration Court of Smolensk commenced bankruptcy supervision procedure on the company. The case is docketed under Case No. A-62-4921/2008. The Court is located at: The Arbitration Court of Smolensk Pr. Gagarina 46 214001 Smolensk Russia The Debtor can be reached at: LLC Razdolye Lnozavod Pochinkovskiy 216470 Smolensk Russia REINFORCED-CONCRETE PRODUCTS-1: Claims Filing Set April 22 ---------------------------------------------------------- Creditors of LLC Reinforced-Concrete Products-1 (TIN 3819013590) have until April 22, 2008, to submit proofs of claim to: A. Vologzhin Insolvency Manager Post User Box 406 S. Razina Str. 23 Irkutsk Russia The Arbitration Court of Irkutsk commenced bankruptcy proceedings against the company after finding it insolvent. The case is docketed under Case No. A19-1713/08-8. The Court is located at: The Arbitration Court of Irkutsk Room 303 Gagarina Avenue 70 664025 Irkutsk Russia The Debtor can be reached at: LLC Reinforced-Concrete Products-1 Korostova Str. 20 Usolye-Sibirskoe Irkutsk Russia SARBOYAN CJSC: Asset Sale Slated for April 30 --------------------------------------------- Ya. Gomerov, the insolvency manager and bidding organizer for CJSC Sarboyan, will set a repeated public auction for the company's properties at 10:00 a.m. on April 30, 2008. The company has set a RUR2,197,575 starting price for the assets on auction. Interested participants have until April 25, 2008, to deposit an amount equivalent to 5% of the starting price to: Settlement Account 40702810730000000936 Correspondent Account 30101810200000000815 TIN 5432110560 KPP 543201001 BIK 045004815 OJSC CB Akcept Novosibirsk Russia Bidding documents must be submitted to: Ya. Gomerov Novosibirsk Russia Tel: (8-383) 348-53-06, 217-42-04 The Debtor can be reached at: CJSC Sarboyan Uch-Balta Moshkovskiy Novosibirsk Russia VIMPEL-COMMUNICATIONS: To Issue Notes to Repay Acquisition Debt --------------------------------------------------------------- OJSC Vimpel-Communications plans to raise, subject to market and other conditions, debt financing by the issuance of notes in the international bond markets. The terms of the notes, including aggregate principal amount, interest rate and maturity date, have yet to be determined. The Company intends to use the net proceeds from the issuance in part to refinance its existing bridge facility entered into in connection with its acquisition of Golden Telecom, Inc. The offering of notes is currently anticipated to close during the second quarter of 2008. About VimpelCom Headquartered in Moscow, Russia, OJSC Vimpel-Communications (NYSE: VIP) -- http://www.vimpelcom.com/-- provides mobile telecommunications services in Russia and Kazakhstan with newly acquired operations in Ukraine, Tajikistan and Uzbekistan. The Company operates under the 'Beeline' brand in Russia and Kazakhstan. In addition, VimpelCom is continuing to use 'K- mobile' and 'EXCESS' brands in Kazakhstan. The group wholly owns Mobitel in Georgia. VIMPEL-COMMUNICATIONS: Moody's Holds Ba2 Corporate Family Rating ---------------------------------------------------------------- Moody's Investors Service affirmed the corporate family and senior unsecured ratings of Open Joint Stock Company Vimpel- Communication at Ba2. Concurrently, Moody's assigned a provisional (P)Ba2 rating to the proposed loan participation notes of VIP Finance Ireland Limited, an orphan special purpose vehicle, created for the sole purpose of issuing notes and on-lending proceeds to VimpelCom. The amount and maturity are subject to the prevailing market conditions during placement. In the absence of guarantee from the beneficiary of the Notes proceeds, credit recourse is provided by the underlying loan agreement with VimpelCom. The loan evidencing the on-lending of the proceeds from the new Notes will rank pari passu with all the existing senior unsecured obligations of VimpelCom. The rating outlook is stable. Upon a conclusive review of the transaction and associated documentation, Moody's will assign a definitive rating to the Notes issue. A definitive rating may differ from a provisional rating. Net proceeds from the new notes offering will be used primarily to re-finance the US$1.5 billion bridge loan maturing on Feb. 8, 2009, and for other corporate purposes including network development and acquisitions or investments in existing telecommunications operators within Russia, CIS and abroad. Moody's notes that the consolidated leverage of VimpelCom group (which also includes the fixed-line operator Golden Telecom, Ba3, stable, acquired by VimpelCom earlier this year) may increase up to 1.8x-1.9x (measured by Debt/EBITDA on an adjusted basis) in 2008. However, based on robust financial results for year-end 2007, the rating agency believes that the company enjoys sufficient headroom and financial flexibility to accommodate the additional debt within the current rating category. Moody's positively notes the recent extension of VimpelCom's GSM 900/1800 mobile radio telephony licenses in 50 regions of the Russian Federation, and the outstanding financial performance of both VimpelCom and GTI in 2007. Moody's also notes that the operational profile of the consolidated company may significantly strengthen following successful business processes and network integration, thereby providing the company with synergic opportunities in the field of infrastructure usage optimisation, provision of comprehensive bundled services, including Broadband, and improved market outreach. VimpelCom's rating currently remains constrained by the uncertainties pertaining to the integration process of the two merged companies and the placement risk for the new bond issue. VimpelCom is the second-largest Russian provider of mobile telecommunications services, under the "Beeline" brand. For the year ended Dec. 31, 2007, the company generated US$7.2 billion in revenue with a reported 50.2% operating income before depreciation and amortization margin. X5 RETAIL: Earns US$143.75 Million for Year Ended December 31 ------------------------------------------------------------- X5 Retail Group N.V. posted US143.75 million in consolidated net profit on US$5.32 billion in consolidated net revenues for year ended Dec. 31, 2007, compared with US$101.24 billion in consolidated net profit on US$3.49 billion in consolidated net revenues for year ended Dec. 31, 2006. As of Dec. 31, 2007, X5 Retail had US$6.52 billion in total assets, US$3.28 billion in total liabilities and US3.24 billion in total shareholders' equity. Net cash from operating activities totaled US$427 million on the back of strong operating performance as well as working capital improvement. Net cash used in investing activities totaled US$899 million, as the Company continued to add selling space and invested in its distribution infrastructure development. In total, X5 added 31% in net selling space during 2007. The total net selling area increased by 143,100 sq. m. This takes into account 3,600 sq. m. that were closed during the year (8 soft discounters and 2 supermarkets) and includes stores acquired through tactical M&A transactions. Net addition of stores totaled 249, of which 223 were in soft discount format, 23 were supermarkets and three were hypermarkets. As a result, at Dec. 31, 2007, X5 operated 868 company-managed stores -- consisting of 674 soft discounters, 179 supermarkets, 14 compact hypermarkets and one full-size hypermarket store -- with the total net selling space of 609,200 sq. m. Net cash from financing activities amounted to US$470 million as the Company raised funds to finance its capital expenditure program. During 2007 X5 optimized its debt portfolio and as a result decreased its cost of funding and improved its debt structure. The steps undertaken by the Company in 2007 to optimize its debt portfolio included ruble debt restructuring whereby X5 replaced three outstanding bonds previously issued by Pyaterochka and Perekrestok in the total amount of RUR6 billion with one seven- year bond (puttable in three years) with an interest of 7.6% and a notional amount of RUR9 billion (US$352 million). "Our strong operational performance in 2007, supported by rigorous working capital management, resulted in healthy cash flow generation, enabling the Company to finance almost half of its capital expenditure program from its own resources," Evgeny Kornilov, X5 Retail Group CFO, commented. "These results also provide a solid foundation for the implementation of our ambitious expansion program throughout 2008 and beyond". About X5 Retail Headquartered in Amsterdam, Netherlands, X5 Retail Group N.V. (LSE: FIVE) -- http://www.x5.ru/en/-- acts as a holding firm for the group of companies that operate retail grocery stores. The main activity of the company is the development and operation of grocery retail stores. The company operated Pyaterochka and Perekrestok retail chains in Russia, including Moscow, St. Petersburg, Nizhniy Novgorod, Krasnodar, Kazan, Samara, Ekaterinburg and Kiev, Ukraine. * * * As of March 6, 2008, 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 ========= AYT GOYA: S&P Rates EUR3.4 Million Notes at BB ---------------------------------------------- Standard & Poor's Ratings Services has assigned its preliminary credit ratings to the mortgage-backed floating-rate notes to be issued by AyT GOYA Hipotecario II, Fondo de Titulizacion de Activos, a special-purpose entity incorporated in Spain. This will be Barclays Bank S.A.'s 18th RMBS securitization of mortgage loans in Spain (including four transactions for Banco Zaragozano before its merger with Barclays Bank S.A.). In this transaction, Barclays Bank S.A., a subsidiary of Barclays Bank PLC, will act as originator, servicer, and paying agent. The swap counterparty will be the Spanish branch of Barclays Bank PLC. The mortgage loans providing the collateral for the transaction are "Certificados de Transmisi�n Hipotecaria" (CTHs). These loans are mainly originated in Madrid, Andaluc�a, and Catalonia, and could be used for any purpose. The fund will acquire a group of mortgage loans held by Barclays Bank S.A. granted to individuals domiciled in Spain. Barclays Bank S.A. will issue the CTHs and the issuer will subscribe to them. AyT GOYA II will then finance its purchase of the CTHs by issuing the notes. Ratings List AyT GOYA Hipotecario II, Fondo de Titulizacion de Activos EUR1.365 Billion Mortgage-Backed Floating-Rate Notes Class Prelim. Prelim. rating amount (Mil. EUR) A AAA 1,300.15 B A 40.95 C BBB 20.50 D BB 3.40 ============= U K R A I N E ============= CHERNOVCY AGRICULTURAL: Proofs of Claim Deadline Set May 2 ---------------------------------------------------------- Creditors of OJSC Chernovcy Agricultural Machine (code EDRPOU 00901720) have until May 2, 2008, to submit proofs of claim to: The Economic Court of Chernovcy O. Kobylianska Str. 14 58000 Chernovcy Ukraine The Economic Court of Chernovcy commenced bankruptcy supervision procedure on the company on Feb. 19, 2008. The case is docketed as 5/66/B. The Debtor can be reached at: OJSC Chernovcy Agricultural Machine Zelenaya Str. 5 58000 Chernovcy Ukraine EPAS LLC Proofs of Claim Deadline Set May 2 ------------------------------------------- Creditors of LLC Epas (code EDRPOU 31385336) have until May 2, 2008, to submit proofs of claim to The Economic Court of Dnipropetrovsk Kujbishev Str. 1a 49600 Dnipropetrovsk Ukraine The Economic Court of Dnipropetrovsk commenced bankruptcy supervision procedure on the company on Jan. 25, 2008. The case is docketed as B 26/25-08. The Debtor can be reached at: LLC Epas Dzerzhynsky Avenue 31 Krivoy Rog 50007 Dnipropetrovsk Ukraine KASKAD LLC: Creditors Must File Claims by May 2 ----------------------------------------------- Creditors of LLC Kaskad (code EDRPOU 13498763) have until May 2, 2008, to submit 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 on March 13, 2008, after finding it insolvent. The case is docketed as 45/166b. The Debtor can be reached at: LLC Kaskad Artem Str. 86 83050 Donetsk Ukraine PAVLORAD MANAGEMENT 417: Proofs of Claim Deadline Set May 2 ----------------------------------------------------------- Creditors of CJSC Pavlorad Specialized Management 417 (code EDRPOU 01416843) have until May 2, 2008, to submit proofs of claim to: The Economic Court of Dnipropetrovsk Kujbishev Str. 1a 49600 Dnipropetrovsk Ukraine The Economic Court of Dnipropetrovsk commenced bankruptcy supervision procedure on the company on Feb. 28, 2008. The case is docketed as B 40/20-08. The Debtor can be reached at: CJSC Pavlorad Specialized Management 417 Krylov Str. 25 Pavlograd Dnipropetrovsk Ukraine PESCHANKA MOVABLE 79: Creditors Must File Claims by May 2 --------------------------------------------------------- Creditors of (code EDRPOU 30067504) have until May 2, 2008, to submit proofs of claim to: The Economic Court of Vinnica Hmelnickiy Str. 7 21036 Vinnica Ukraine The Economic Court of Vinnica commenced bankruptcy proceedings against the company on March 18, 2008, after finding it insolvent. The Debtor can be reached at: Peschanka Specialized Movable Column 79 Nekrasov Str. 51 Peschanka Vinnica Ukraine PROGRESS LLC: Creditors Must File Claims by May 2 ------------------------------------------------- Creditors of LLC Progress (code EDRPOU 30825102) have until May 2, 2008, to submit proofs of claim to: The Economic Court of Zhytomir Putiatinskiy Square 3/65 10014 Zhytomir Ukraine The Economic Court of Zhytomir commenced bankruptcy proceedings against the company after finding it insolvent on March 6, 2008. The case is docketed as 3/29b. The Debtor can be reached at: LLC Progress Lenin Str. 8 Nikonovna Berdichev District Zhytomir Ukraine STAKHANOV RUBBER: Creditors Must File Claims by May 2 ----------------------------------------------------- Creditors of OJSC Trading House Stakhanov Plant of Mechanical Rubber Goods (code EDRPOU 00178732) have until May 2, 2008, to submit proofs of claim to The Economic Court of Lugansk Geroiv VVV Square 3a 91000 Lugansk Ukraine The Economic Court of Lugansk commenced bankruptcy proceedings against the company on March 21, 2008, after finding it insolvent. The case is docketed as 19/84b. The Debtor can be reached at: OJSC Trading House Stakhanov Plant of Mechanical Rubber Goods 8th of March Str. 1 Stakhanov 94012 Lugansk Ukraine TRADEIMPEKS LTD: Proofs of Claim Deadline Set May 2 --------------------------------------------------- Creditors of LLC Tradeimpeks Ltd. (code EDRPOU 31175282) have until May 2, 2008, to submit proofs of claim to: The Economic Court of Poltava Zigin Str. 1 36000 Poltava Ukraine The Economic Court of Poltava commenced bankruptcy supervision procedure on the company on Feb. 28, 2008. The case is docketed as 18/33. The Debtor can be reached at: LLC Tradeimpeks Ltd. Polovko Str. 62 36000 Poltava Ukraine YABLONEVKA-AGRO LLC: Creditors Must File Claims by May 4 -------------------------------------------------------- Creditors of LLC Yablonevka-Agro (code EDRPOU 32745710) have until May 4, 2008, to submit 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 on March 20, 2008, after finding it insolvent. The case is docketed as 10/893. The Debtor can be reached at: LLC Yablonevka-Agro Shevchenko Str. 2 Yablonebka Lisiansky District Cherkassy Ukraine =========================== U N I T E D K I N G D O M =========================== AMR CORP: Posts US$328 Million Net Loss in First Quarter of 2008 ---------------------------------------------------------------- AMR Corporation, the parent company of American Airlines, Inc., reported net loss of US$328 million for the first quarter of 2008. The current quarter results compare to a net profit of US$81 million for the first quarter of 2007. Record jet fuel prices contributed significantly to the company's loss in the first quarter of 2008. The company paid US$665 million more for fuel in the first quarter of 2008 than it would have paid at prevailing prices from the prior-year period. AMR paid US$2.74 per gallon for jet fuel in the first quarter compared to US$1.85 a gallon in the first quarter of 2007, a 48% increase. "The first quarter proved yet again that fuel prices remain one of the biggest threats to our industry and our company, and we also can't ignore the ongoing concerns about the U.S. economy and the potential impact on travel demand," AMR Chairman and CEO Gerard Arpey said. "Clearly, it has been a challenging start to 2008, and I want to take this time to again apologize to our customers who were inconvenienced by our recent cancellations and also thank all of our employees who worked tirelessly through difficult weather and maintenance challenges to take care of our customers. While our first quarter financial results were disappointing, through our hard work in recent years to contain costs and strengthen our balance sheet and liquidity we are better positioned to withstand today's uncertainty. However, we also recognize that we have a lot more hard work ahead of us and that our efforts must be ongoing," he said. Mr. Arpey noted that the company is taking numerous steps to address the challenging circumstances that it faces, including its recent hiring freeze for management and support staff and the announcements that AMR is making additional reductions to its 2008 capacity plan and is accelerating the replacement of its MD-80 fleet with more efficient Boeing 737-800s. Mr. Arpey also reiterated AMR's commitment to continue to work with the FAA to demonstrate the company's ongoing commitment to safety and compliance with the FAA's directives. AMR's planned divestiture of its regional carrier, American Eagle, also continues to move forward, Mr. Arpey said. Operational Performance AMR reported first quarter consolidated revenues of approximately US$5.7 billion, an increase of 5.0% year over year. AMR estimates that weather and maintenance cancellations reduced first quarter consolidated revenue by approximately US$75 million to US$80 million. American's mainline passenger revenue per available seat mile (unit revenue) increased by 6.5% in the first quarter compared to the year-ago quarter. Mainline capacity, or total available seat miles, in the first quarter decreased by 1.5% compared to the same period in 2007. The year-over-year decrease in capacity was largely the result of higher-than-anticipated weather cancellations, pilot early retirements, and maintenance cancellations. American's mainline load factor -� or the percentage of total seats filled -� was a record 79.1% during the first quarter, compared to 78.1% in the first quarter of 2007. American's first-quarter yield, which represents average fares paid, increased 5.1% compared to the first quarter of 2007, its 12th consecutive quarter of year-over-year yield increases. American's mainline cost per available seat mile (unit cost) in the first quarter increased 15.8% year over year. The largest contributor to the year-over-year increase in unit costs in the first quarter of 2008 was fuel. Excluding fuel, mainline unit costs in the first quarter of 2008 increased by 3.3% year over year. As part of its efforts to improve the cost and fuel efficiency of its fleet, as well as lessen the company's impact on the environment, AMR provided an update on its plans to replace MD- 80 aircraft with 737-800s. The company expects to take delivery of a total of 34 737-800 aircraft in 2009 and 36 737s in 2010. Of these, the company has firm commitments in place for 27 737s to be delivered in 2009 and three 737s to be delivered in 2010. This compares to the company's fleet renewal update in January, when it said that it had firm commitments to take delivery of 23 737s in 2009. Balance Sheet Update Mr. Arpey noted that the company's efforts to strengthen its balance sheet in recent years have better positioned AMR to face the current industry challenges. AMR ended the first quarter with US$4.9 billion in cash and short-term investments, including a restricted balance of US$426 million, compared to a balance of US$5.9 billion in cash and short-term investments, including a restricted balance of US$471 million, at the end of the first quarter of 2007. The year- over-year decrease in the company's cash and short-term investment balance is primarily related to AMR's total debt payments of approximately US$2.3 billion in 2007, including prepayment of approximately US$1 billion. AMR's Total Debt, which it defines as the aggregate of its long- term debt, capital lease obligations, the principal amount of airport facility tax-exempt bonds, and the present value of aircraft operating lease obligations, was US$15.2 billion at the end of the first quarter of 2008, compared to US$17.5 billion at the end of the first quarter of 2007. AMR's Net Debt, which it defines as Total Debt less unrestricted cash and short-term investments, was US$10.7 billion at the end of the first quarter of 2008, compared to US$12.2 billion at the end of the first quarter of 2007. As a result of scheduled principal payments as well as prepayments, refinancings and other efforts to strengthen its balance sheet, AMR's net interest expense in the first quarter of 2008 was US$23 million lower than in the year-ago period, a 14% reduction. AMR contributed US$25 million to its employees' defined benefit pension plans in the first quarter and made an additional contribution of US$50 million on April 15. AMR has contributed more than US$2 billion to its employee defined benefit pension plans since the beginning of 2002. About AMR Corporation Headquartered in Forth Worth, Texas, AMR Corporation (NYSE: AMR) operates with its principal subsidiary, American Airlines Inc. - - http://www.aa.com/-- a worldwide scheduled passenger airline. At the end of 2006, American provided scheduled jet service to about 150 destinations throughout North America, the Caribbean, Latin America, Europe and Asia, including Belgium, Brazil, Japan, among others. American is also a scheduled airfreight carrier, providing freight and mail services to shippers throughout its system. Its wholly owned subsidiary, AMR Eagle Holding Corp., owns two regional airlines, American Eagle Airlines Inc. and Executive Airlines Inc., and does business as "American Eagle." American Beacon Advisors Inc., a wholly owned subsidiary of AMR, is responsible for the investment and oversight of assets of AMR's U.S. employee benefit plans, as well as AMR's short-term investments. * * * AMR Corp. continues to carry Fitch Ratings' 'B-' Issuer Default Ratings with a Positive Outlook. AMR CORP: Selling Asset-Management Subsidiary for US$480 Million ---------------------------------------------------------------- AMR Corporation, the parent company of American Airlines, Inc., reached a definitive agreement to sell American Beacon Advisors, Inc., its wholly owned asset-management subsidiary, to Lighthouse Holdings, Inc., which is owned by investment funds affiliated with Pharos Capital Group, LLC and TPG Capital, two private equity firms. AMR will receive total consideration of approximately US$480 million. While primarily a cash transaction, AMR will retain a minority equity stake in the business. AMR expects to close the sale this summer subject to satisfactory completion of customary closing conditions as well as the approval of the Board of Trustees of the American Beacon family of mutual funds, shareholders of the American Beacon family of mutual funds, and consents from other American Beacon clients. AMR, which has been engaged in an ongoing strategic value review process related to certain businesses under the AMR umbrella, believes that the sale is in the best interests of AMR and its shareholders and will benefit American Beacon, its employees, customers and other stakeholders. The sale is intended to allow AMR and its shareholders to recognize the full value of American Beacon while allowing AMR to focus on its core airline business. American Beacon currently provides a number of services for AMR and its affiliates, including cash management for AMR and investment advisory services and investment management services for American's pension, 401(k) and other health and welfare plans. AMR anticipates that it will continue its relationships with American Beacon after the closing. However, to ensure that continuing relationships between American Beacon and American's pension, 401(k) and other health and welfare plans after closing satisfy the fiduciary duties and other rules that apply to these plans, an independent third party has been engaged to review and approve any such continuing relationships. In addition to currently providing these investment management services and asset oversight services to AMR, American Beacon currently serves as the investment manager of the American Beacon Funds, a family of mutual funds with both institutional and retail shareholders, and provides customized fixed income portfolio management services. Subject to the approval of the shareholders of the American Beacon family of mutual funds, it is anticipated that American Beacon will continue to be investment manager for the mutual funds. American Beacon Advisors has consistently grown since its creation in 1987, adding new products and growing average assets under management to $65 billion in 2007. For 2007, on a separate company basis, American Beacon's gross revenue was $101 million and income before income taxes was approximately $48 million, both of which increased approximately 40% over 2006. "The decision comes after a careful evaluation of the strategy that we believe will deliver the most value to our shareholders and create the ownership structure that makes the most sense for American Beacon," AMR Chairman and CEO Gerard Arpey said. "What started out more than 20 years ago as a smart way to manage AMR's benefit plans and cash has evolved and grown significantly into a successful financial management and advisory firm that is fully capable of standing on its own and is well positioned to pursue further growth opportunities outside of AMR." Mr. Arpey added that AMR is looking forward to engaging American Beacon for cash management services after the transaction closes and will remain actively engaged with American Beacon through a 10% ownership interest. "Pharos and TPG believe that the asset management business is a robust sector, in which American Beacon is a strong leader, with an outstanding, 20-year track record of performance in multiple asset classes across a variety of investment cycles," Kneeland Youngblood, co-founder and managing partner of Pharos Capital, said. "We look forward to working with the American Beacon team and TPG to fully leverage its strengths into industry-leading growth as well as continuing its superior customer service and performance. And, we welcome the opportunity to work with AMR not only as a significant client, but also as a long-term partner." "Having significantly grown our third-party revenue over the past several years, we believe the timing of the divestiture is just right for our company, our customers and our employees," American Beacon Advisors Chairman William F. Quinn said. "We're looking forward to focusing on growing our core business, while continuing to serve the needs of our customers and building on our successful history under a new ownership structure. Our management team and employees are excited about the many opportunities that this transaction will present to American Beacon, and our customers can rest assured that we intend to provide the same high level of service and expertise that they have come to expect from American Beacon in the past." Credit Suisse advised AMR on the transaction and Rothschild Inc. continues to advise AMR in its ongoing strategic value review. Merrill Lynch & Co. acted as exclusive financial advisor to Pharos Capital and TPG Capital. About AMR Corporation Headquartered in Forth Worth, Texas, AMR Corporation (NYSE: AMR) operates with its principal subsidiary, American Airlines Inc. - - http://www.aa.com/-- a worldwide scheduled passenger airline. At the end of 2006, American provided scheduled jet service to about 150 destinations throughout North America, the Caribbean, Latin America, Europe and Asia, including Belgium, Brazil, Japan, among others. American is also a scheduled airfreight carrier, providing freight and mail services to shippers throughout its system. Its wholly owned subsidiary, AMR Eagle Holding Corp., owns two regional airlines, American Eagle Airlines Inc. and Executive Airlines Inc., and does business as "American Eagle." American Beacon Advisors Inc., a wholly owned subsidiary of AMR, is responsible for the investment and oversight of assets of AMR's U.S. employee benefit plans, as well as AMR's short-term investments. * * * AMR Corp. continues to carry Fitch Ratings' 'B-' Issuer Default Ratings with a Positive Outlook. BAA LIMITED: British Airways May File Lawsuit over Terminal Five ---------------------------------------------------------------- British Airways Plc will ask its lawyers to examine a compensation claim against BAA Ltd. over the Terminal 5 opening fiasco, Tracy Alloway writes for Bloomberg News citing Chief Executive Officer Willie Walsh. Mr. Walsh blamed BAA for T5's "disappointing" opening on March 27, 2008, when British Airways was forced to cancel 12 days of flights after baggage-handling system broke down and airline employees were stuck in car parks and at security checkpoints, Bloomberg News relates. British Airways lost around GBP16 million over the T5 fiasco, Mr. Walsh told Bloomberg News. He said that that any claim might be complicated by fact that the carrier pays BAA for its services primarily through landing charges. Mr. Walsh said the carrier originally planned to start shifting flights to T5 on April 30, 2008, and complete the switch on the same day. The opening fiasco, however, forced British Airways to move the date to June 5, 2008, and complete the switch in October. BAA told Bloomberg News that while it expects legal issues to arise over T5, its main focus is to work with British Airways to improve operations at the newly opened terminal. About British Airways Headquartered in West Drayton, United Kingdom, British Airways Plc -- http://www.ba.com/-- operates of international and domestic scheduled and charter air services for the carriage of passengers, freight and mail, and provides of ancillary services. The British Airways group consists of British Airways plc and a number of subsidiary companies including in particular British Airways Holidays Ltd. and British Airways Travel Shops Ltd. BA has offices in India and Guatemala. About BAA Ltd. Headquartered in London, United Kingdom, BAA Ltd. (fka BAA plc) -- http://www.baa.com/-- owns and operates seven airports in the United Kingdom, including Heathrow, the world's busiest international airport, and Budapest Airport, serving 700 destinations by around 300 airlines. * * * As of April 17, 2008, BAA Limited carries BB- long-term corporate credit rating from Standard & Poor's Ratings Services, which said the Outlook is negative. BRITISH AIRWAYS: May File Lawsuit vs BAA over Terminal Five ----------------------------------------------------------- British Airways Plc will ask its lawyers to examine a compensation claim against BAA Ltd. over the Terminal 5 opening fiasco, Tracy Alloway writes for Bloomberg News citing Chief Executive Officer Willie Walsh. Mr. Walsh blamed BAA for T5's "disappointing" opening on March 27, 2008, when British Airways was forced to cancel 12 days of flights after baggage-handling system broke down and airline employees were stuck in car parks and at security checkpoints, Bloomberg News relates. British Airways lost around GBP16 million over the T5 fiasco, Mr. Walsh told Bloomberg News. He said that that any claim might be complicated by fact that the carrier pays BAA for its services primarily through landing charges. Mr. Walsh said the carrier originally planned to start shifting flights to T5 on April 30, 2008, and complete the switch on the same day. The opening fiasco, however, forced British Airways to move the date to June 5, 2008, and complete the switch in October. BAA told Bloomberg News that while it expects legal issues to arise over T5, its main focus is to work with British Airways to improve operations at the newly opened terminal. About BAA Ltd. Headquartered in London, United Kingdom, BAA Ltd. (fka BAA plc) -- http://www.baa.com/-- owns and operates seven airports in the United Kingdom, including Heathrow, the world's busiest international airport, and Budapest Airport, serving 700 destinations by around 300 airlines. About British Airways Headquartered in West Drayton, United Kingdom, British Airways Plc -- http://www.ba.com/-- operates of international and domestic scheduled and charter air services for the carriage of passengers, freight and mail, and provides of ancillary services. The British Airways group consists of British Airways plc and a number of subsidiary companies including in particular British Airways Holidays Ltd. and British Airways Travel Shops Ltd. BA has offices in India and Guatemala. * * * As of Jan. 2, 2008, British Airways Plc carries a senior unsecured debt rating of Ba1 from Moody's Investors' Service with a stable outlook. CONSORT HOMES: Appoints Joint Administrators from KPMG ------------------------------------------------------ The directors of Consort Homes appointed Mark Firmin, Richard Fleming and Blair Nimmo of KPMG LLP joint administrators over the main companies within the group on April 16, 2008. "Since the onset of the credit crunch, market conditions have been difficult and the group has been a victim of the slow-down in the housing sector," Mark Firmin disclosed. "The reduction in activity in this sector is due to the combination of a lack of consumer confidence in the property market and the limited access to mortgage funds for prospective purchasers," Mr. Firmin added. "We will be writing to all affected parties, including contractors and customers, advising them of the situation while we review the options for the business," Mr. Firmin said. 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 Leeds, England, Consort Homes -- http://www.consorthomes.co.uk/-- is a privately owned house builder. It employs 46 people, largely in management, sales and administrative roles. The company has turnover of GBP22 million and has ten active development sites, all in Yorkshire and Scotland. CREAM COMPUTERS: To Undergo Liquidation --------------------------------------- Cream Computers UK is set to undergo liquidation, CRN reports. The decision, CRN adds, follows a meeting of creditors held last April 17, 2008. Cream Computers UK -- http://www.creamcomputers.com/-- is a hardware and software products supplier. DRINKS GROUP: Taps Liquidators from Vantis Business Recovery ------------------------------------------------------------ Peter James Hughes-Holland and Frank Wessely of Vantis Business Recovery Services were appointed joint liquidators of The Drinks Group Ltd. on April 8 for the creditors' voluntary winding-up proceeding. The joint liquidators can be reached at: Vantis Business Recovery Services 81 Station Road Marlow Buckinghamshire SL7 1NS England FORD MOTOR: Court Okays Ford Explorer Class Action Settlement ------------------------------------------------------------- Judge David De Alba of the Superior Court of California, Sacramento County, ended seven years of litigation on Tuesday, April 15, 2008, when he approved the Ford Explorer class action settlement and found that it was fair, reasonable, and adequate. This approval means that California, Illinois, Connecticut, and Texas consumers who bought, owned or leased 1991-2001 model year Ford Explorers can get benefits from the settlement. Consumers must act by April 29, 2008, to get benefits, which include discount certificates worth US$500 toward the purchase or lease of a new Ford Explorer or US$300 toward the purchase or lease of any other new Ford, Lincoln, or Mercury. To qualify for discount certificates, those included must fill out and submit a claim form by April 29, 2008. Claim forms are available at http://www.ExplorerClaims.comor by calling 1-866- 833-7918. The settlement includes all persons who fall within any of the following groups: People and entities who bought, owned or leased new or used 1991-2001 model year Ford Explorers in California between 1990 and August 9, 2000, and who either (a) currently own or lease the vehicle(s) or (b) sold or whose lease for such vehicle(s) expired or otherwise terminated after August 9, 2000; and who resided in California on March 16, 2006. All residents of Illinois on September 27, 2004, who purchased, owned or leased, at any time between 1990 and September 27, 2004, Ford Explorers, model years 1991 through 2001, that are or were equipped with Firestone ATX, ATX II, or Wilderness tires. All persons who owned or leased 1991-2001 model year Explorers in Texas or Connecticut on August 9, 2000, and who were residents of Texas or Connecticut as of December 5, 2007. More information is available at http://www.ExplorerClaims.com or by calling, toll-free, 1-866-833-7918. 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 Feb. 18, 2008, Fitch Ratings affirmed the Issuer Default Ratings of Ford Motor Company and Ford Motor Credit Company at 'B', and maintained the Rating Outlook at Negative. 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. IDMOS PLC: Brings In Administrators from Ernst & Young ------------------------------------------------------ IDMoS Plc appointed Colin Dempster and Andrew Davison of Ernst & Young LLP as joint administrators on April 16, 2008, after the board has taken advice and no longer believe that the company is in a position to continue its commercial operations. The administrators will seek to find a buyer for the business and assets including the Cariescan product and underlying technology. The company's nominated advisor, Nomura Code Securities Limited has terminated its existing contract with the company, effective April 16, 2008. The board of IDMos Plc confirmed that the offer discussions relating its announcement on Feb. 20, 2008, was terminated after parties were unable to reach an agreement. The company announced on Feb. 8, 2008, that it was contemplating a range of transactions with a private, profitable company, the company's directors have identified a number of potential opportunities to release value for the company's shareholders. The directors are actively pursuing all such opportunities including seeking buyers for the entire issued shared capital of the company, although there can be no certainty that an offer or any other transaction will be forthcoming. Ernst & Young -- http://www.ey.com/-- provides broad array of services relating to audit and risk-related services, tax, and transactions across all industries�from emerging growth companies to global powerhouses�deal with a broad range of business issues. Headquartered in Dundee, England, IDMoS plc -- http://www.idmos.com/-- is engaged in research, development and commercialisation of its disease detection and monitoring technology. Its major products include CarieScan and CarieScan Plus. JACKSTONE FROSTER: Brings In Liquidators from Tenon Recovery ------------------------------------------------------------ T. J. Binyon and D. R. Beat of Tenon Recovery were appointed joint liquidators of Jackstone Froster Ltd. on April 7 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 LUNEDI LTD: Calls In Liquidators from Tenon Recovery ---------------------------------------------------- Steven Philip Ross and Ian William Kings of Tenon Recovery were appointed joint liquidators of Lunedi Ltd. (t/a Caffe Zonzo) on April 4 for the creditors' voluntary winding-up proceeding. The joint liquidators can be reached at: Tenon Recovery Tenon House Ferryboat Lane Sunderland Tyne & Wear SR5 3JN England MARBLE ARCH: Moody's Cuts Rating on GBP25.2 Million Notes to B2 --------------------------------------------------------------- Moody's Investors Service downgraded three classes of notes issued by Marble Arch Residential Securitization No. 4 plc: -- Class D1a notes, EUR20.7 Million, Current Rating Baa1, downgraded to Baa3; -- Class D1c notes, GBP26 Million, Current Rating Baa1, downgraded to Baa3; -- Class E1c notes, GBP25.2 Million, Current Rating Ba1, downgraded to B2. The rating action was prompted by worse-than-expected performance of the underlying loan portfolio. The performance of the transaction is materially deviating from U.K. Non- conforming market averages and, at 18 months since issuance, delinquent loans in the 90+ days bucket correspond to 10.80% of current balance, outstanding unsold repossession rate is at present 4.13% of current balance and 0.34% cumulative losses of original pool balance have been realised. The base margin of Detachable Coupon has also increased from 1.00% to 1.95% in the last Interest Payment Date. It will further step up to 2.25% until December 2009 or Class A3c notes are paid down fully. Due to the rise in losses and step up of Detachable Coupon, the reserve fund has to be drawn by 1.34% or GBP169,112.38 to cover the losses in last interest payment date. Next to reviewing the performance indicators, Moody's assessed updated loan-by-loan information of the outstanding portfolio to determine the increase in credit support needed and the volatility of future losses. Taking into account the current amount of realised losses and completing a roll-rate and severity analysis for the non-defaulted portion of the portfolio, Moody's has adjusted its loss expectations for this portfolio to 3-3.5% of the original balance, which includes the losses realised so far. The rating action takes into account protection provided by the performance triggers and structural features. The reserve fund is currently equal to 2.60% of current balance and it cannot amortise until it is fully replenished to its target balance. The transaction is currently paying sequential, and it will not pay pro rata unless the reserve fund is replenished to its required amount. Marble Arch Securities No. 4 plc closed in October 2006. In this transaction, the Originators (Matlock Bank Ltd, trading as London Mortgage Company or London Personal Loans; Langersal No. 2 Limited (formerly called London Personal Loans Limited), Southern Pacific Mortgage Limited ,trading as London Mortgage Company; and Southern Pacific Personal Loans Limited, trading as London Personal Loans) securitized a portfolio of 4,388 first ranking mortgage loans and 11,817 second ranking mortgage loans secured on residential properties located in England and Wales, for an overall amount of GBP 839,999,706. The pool has amortized to a current pool factor of 56.9%, and second ranking mortgages account for 21.7% of the current mortgage pool. Capstone is the primary servicer of the transaction and sub- delegates the servicing to Vertex. Moody's ratings address the expected loss posed to investors by the legal final maturity of the notes. Moody's ratings address only the credit risks associated with the transaction. Other non-credit risks have not been addressed, but may have a significant effect on yield to investors. MARSHALL GROVES: Creditors' Meeting Slated for April 23 ------------------------------------------------------- Creditors of Marshall Groves Ltd. (Company Number 05124354) will meet at 2:00 p.m. on April 23, 2008 at: Kelham House Kelham Street Doncaster DN1 3RE England Creditors who want to be represented at the meeting may appoint proxies. Proxy forms must be submitted together with written debt claims at noon on April 22, 2008 at: David Anthony Horner Joint Administrator Begbies Traynor 11 Clifton Moor Business Village James Nicolson Link Clifton Moor York YO30 4XG England Begbies Traynor -- http://www.begbies.com/-- assists companies, creditors, financial institutions and individuals on all aspects of financial restructuring and corporate recovery. MASONITE INT'L: S&P Puts B Credit Ratings on CreditWatch Neg. ------------------------------------------------------------- Standard & Poor's Ratings Services placed its 'B' long-term corporate credit and 'BB-' senior secured debt ratings on Masonite International Inc. on CreditWatch with negative implications. S&P also placed the 'B' long-term corporate credit ratings on its subsidiaries, Masonite International Corp. and Masonite U.S. Corp., on CreditWatch with negative implications. "We base this CreditWatch placement on our expectation that Masonite will breach covenants on its senior secured credit facility during 2008, as financial tests tighten amid declining profitability and the company's persistently heavy debt burden," said Standard & Poor's credit analyst Donald Marleau. As such, liquidity will become problematic, compelling Masonite to negotiate relief or arrange other sources of short-term funding, particularly as seasonal working capital swings consume cash in late 2008 and early 2009. Although interior/exterior door producer Masonite had US$42 million in cash on hand at Dec. 31, 2007, and could draw about US$310 million from its US$350 million revolver, availability will decline sharply in 2008 as financial covenants constrain access. Having said that, any potential liquidity constraints Masonite might face are alleviated significantly by its modest capital expenditures and maturities of only US$21 million through 2008. Masonite's leverage per the covenant calculation stood at 6.03x at Dec. 31, 2007, and the maximum leverage allowed under the credit agreement will tighten to 6.8x from 7.0x as of July 1, 2008, and again to 6.5x as of Oct. 1, 2008. Masonite's interest coverage as calculated for covenant purposes stood at 1.91x at Dec. 31, 2007, compared with a covenant minimum of 1.65x, which will tighten to 1.75x on Oct. 1, 2008. The CreditWatch will be resolved once Masonite's liquidity resources are solidified. The current ratings incorporate our expectation that Masonite will maintain adequate liquidity through difficult conditions in the next few quarters, although Standard & Poor's would likely lower the ratings if the company is unable to shore up its access to cash. Moreover, we could lower the ratings one notch if EBITDA interest coverage falls significantly below 1x for more than two quarters because of any combination of worsening profitability or higher borrowing costs stemming from higher debt or negotiated arrangements with lenders. MEDWAY FOODS: Creditors' Meeting Slated for April 30 ---------------------------------------------------- Creditors of Medway Foods Ltd. (Company Number 05649850) will meet at 11:30 a.m. on April 30, 2008 at: Chaucer Hotel 63 Ivy House Canterbury CT1 1TU England Creditors who want to be represented at the meeting may appoint proxies. Proxy forms must be submitted together with written debt claims at noon on April 29, 2008 at: Lee Antony Manning Joint Administrator Deloitte & Touche LLP Athene Place 66 Shoe Lane London EC4A 3BQ England Ernst & Young -- http://www.ey.com/-- provides broad array of services relating to audit and risk-related services, tax, and transactions across all industries�from emerging growth companies to global powerhouses�deal with a broad range of business issues. MW RETAIL: Liquidation Proceedings Confirmed by Harrisons --------------------------------------------------------- Paul Walker, a Harrisons partner, confirmed that MW Retail Ltd. has gone into liquidation, the Hereford Times reports. The company, which went into liquidation on April 14, had previously closed four shops. The shops are De Koffie Pot, Patisserie and Bakery, Delicatessen, and Giovanni's Ice Cream Parlour, the Hereford Times adds. NIELD GROUP: Taps Joint Administrators from Deloitte & Touche ------------------------------------------------------------- William Kenneth Dawson and Ian Brown of Deloitte & Touche LLP were appointed April 11, 2008, joint administrators of: -- Nield Group Ltd. (Company Number 00831398); -- AFT International Ltd. (Company Number 02875150); -- Health & Beauty Sales Ltd. (Company Number 03138621); -- Tomintoul Logistics Ltd. (Company Number 04299201); -- Nield (M/CR) Ltd. (Company Number 02767867); and -- Consumers Choice Ltd. (Company Number 03048630). Deloitte & Touche LLP -- http://www.deloitte.com/-- provides audit, tax, consulting and corporate finance services through more than 9,000 people in 21 locations. The group is the United Kingdom member firm of Deloitte Touche Tohmatsu, a Swiss Verein whose member firms are separate and independent legal entities. The company can be reached at: Nield Group Ltd. PO Box 500 2 Hardman Street Manchester M60 2AT England OAKENMOOR LTD: Claims Filing Period Ends May 19 ----------------------------------------------- Creditors of Oakenmoor Ltd. have until May 19, 2008 to send in their full names, their addresses and descriptions, full particulars of their debts and claims, and names and addresses of their solicitors (if any) to: Jeremy Woodside Joint Liquidator Arkwright House Parsonage Gardens Manchester M3 2LF England Christopher Ratten and Jeremy Woodside of Tenon Recovery were appointed joint liquidators of the company on April 11, 2008 by resolutions of members and creditors. PENTA GLASS: Brings In Administrators from KPMG ----------------------------------------------- Howard Smith and Richard Dixon Fleming of KPMG LLP were appointed joint administrators of Penta Glass Processing Ltd. (Company Number 06030495) on April 8, 2008. 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. The company can be reached at: Penta Glass Processing Ltd. Unit 17 Wright Business Park Carr Hill Doncaster South Yorkshire DN4 8DE England QUASER SPORTS: Appoints KPMG to Administer Assets ------------------------------------------------- Howard Smith and Richard Dixon Fleming of KPMG LLP were appointed joint administrators of Quaser Sports Ltd. (Company Number 03898984) on April 11, 2008. 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. The company can be reached at: Quaser Sports Ltd. 23 George Lane Read Burnley Lancashire BB12 7RQ England RING BY DESIGN: Hires Liquidators from Tenon Recovery ----------------------------------------------------- Steven Philip Ross and Ian William Kings of Tenon Recovery were appointed joint liquidators of Ring By Design Ltd. on March 27 for the creditors' voluntary winding-up proceeding. The joint liquidators can be reached at: Tenon Recovery Tenon House Ferryboat Lane Sunderland Tyne and Wear SR5 3JN England SERENDIPITY ENTERPRISES: Brings In Deloitte as Administrators ------------------------------------------------------------- Richard Michael Hawes and Stephen Anthony John Ramsbottom of Deloitte and Touche LLP were appointed joint administrators of Serendipity Enterprises Ltd. (Company Number 2920065) on April 4, 2008. Deloitte & Touche LLP -- http://www.deloitte.com/-- provides audit, tax, consulting and corporate finance services through more than 9,000 people in 21 locations. The group is the United Kingdom member firm of Deloitte Touche Tohmatsu, a Swiss Verein whose member firms are separate and independent legal entities. The company can be reached at: Serendipity Enterprises Ltd. Warren House The Salterns Tenby Pembrokeshire SA70 7NJ Wales SHAW GROUP: Moody's Lifts Ratings to Ba1 on Strong Performance -------------------------------------------------------------- Moody's Investors Service has upgraded the corporate family rating of The Shaw Group, Inc. to Ba1 from Ba2. In addition, Moody's raised the rating on the company's senior secured bank credit facility to Ba1 from Ba2. This action completed the review for upgrade initiated on Feb. 15, 2008. The rating outlook is stable. The ratings upgrade reflects SGR's continued organic growth, increasing backlog, improving operating margins, strong cash generation and solid liquidity profile. In addition, the upgrade reflects Moody's view that SGR has established itself as a leading service provider to the nuclear, coal-fired and gas- fired power generation market, in terms of its engineering, procurement, construction and maintenance of new and existing power plants. As a result, the company should benefit from increasing global power consumption and growing infrastructure demands. Further, the rating acknowledges the success SGR has demonstrated by executing on the majority of its contracts despite its rapidly growing project portfolio and employee pool. The stable outlook anticipates significant top-line growth, steady margins and volatility in cash flows, due to project- based working capital requirements. Moody's expects substantial increases in backlog reflecting the growth in the Fossil and Nuclear business, however anticipates that the new contracts for power plants will take longer to complete thus extending the backlog. Moody's does not anticipate that SGR will be required to borrow under its credit facility, absent a material acquisition, and expects the company to maintain substantial cash balances. Further, the stable outlook incorporates Moody's view that SGR will continue to make substantive progress in completing the process it has initiated to fully address its material weaknesses under Section 404 of the Sarbanes-Oxley act. These ratings were upgraded: -- Corporate Family Rating, Upgraded to Ba1 from Ba2; -- Probability of Default Rating, Upgraded to Ba1 from Ba2; -- Senior Secured Bank Credit Facility, Upgraded to Ba1 (LGD3, 43) from Ba2 (LGD3, 42). The Shaw Group, Inc., located in Baton Rouge, Louisiana, is diversified engineering, technology, construction, fabrication, environmental and industrial services organization. Revenues for the twelve months ending Feb. 28, 2008 were US$6.6 billion. SOLO CUP: Turnaround Cues S&P to Lift Ratings by One Notch ---------------------------------------------------------- Standard & Poor's Ratings Services raised all its ratings on Solo Cup Co. by one notch and removed them from CreditWatch where they had been placed with positive implications on Oct. 24, 2007. The corporate credit rating was raised to 'B-' from 'CCC+'. The outlook is stable. At the same time, S&P assigned a recovery rating of '6' to the company's subordinated debt. The 'CCC' subordinated debt rating and recovery rating of '6' indicate S&P's expectations for negligible (0% to 10%) recovery for subordinated debtholders in a payment default. "The upgrade reflects management's successful turnaround of operations via various initiatives and significant debt reduction with asset sale proceeds," said Standard & Poor's credit analyst Cynthia Werneth. Importantly, S&P believe that with improving operating performance and continued modest debt reduction, the company has a reasonable chance of remaining in compliance with increasingly restrictive covenants in its bank credit facilities during the next several quarters. S&P also note that the improving financial trends are likely to facilitate a more favorable renegotiation of these covenants, if necessary. At Dec. 30, 2007, total adjusted debt was about US$965 million. S&P adjust debt to include about US$200 million of capitalized operating leases and US$10 million of after-tax unfunded postretirement liabilities. Although debt leverage has declined, it remains aggressive, above 6x on an adjusted basis. With annual revenues from continuing operations of about US$2.1 billion, Highland Park, Illinois-based Solo is one of the largest providers of disposable paper and plastic cups, plates, and cutlery to foodservice distributors, quick-service restaurants, and retailers in the U.S. About Solo Cup Company Headquartered in Highland Park, Illinois, Solo Cup Company -- http://www.solocup.com/-- manufactures disposable foodservice products for the consumer and retail, foodservice, packaging, and international markets. Solo Cup has broad expertise in plastic, paper, and foam disposables and creates brand name products under the Solo, Sweetheart, Fonda, and Hoffmaster names. The company was established in 1936 and has a global presence with facilities in Asia, Canada, United Kingdom, Mexico, Panama and the United States. * * * As reported in the Troubled Company Reporter-Europe on Oct. 30, 2007, Fitch Ratings upgraded Solo Cup Company's senior secured first lien term loan rating to 'BB-/RR1' from 'B+/RR2', senior secured revolving credit facility rating to 'BB-/RR1' from 'B+/RR2' and senior subordinated notes rating to 'CCC+/RR5' from 'CCC/RR6'. Fitch also affirmed Solo Cup's Issuer default rating at 'B-'. TORQUE TOOLS: Brings In Administrators from Menzies ----------------------------------------------------- Geoffrey Wayne Bouchier and Jason James Godefroy of Menzies Corporate Restructuring were appointed joint administrators of Torque Tools Ltd. (Company Number 02059069) on April 8, 2008. Menzies Corporate Restructuring -- http://www.menzies.co.uk/-- provides corporate restructuring services including: services for directors or stakeholders of troubled businesses; services to Lenders of troubled businesses; raising rescue funding at short notice; and forensic and fraud services. The company can be reached at: Torque Tools Ltd. 40 Park Crescent Barry South Glamorgan CF62 6HE Wales Tel: 01446 721 300 Fax: 01446 721 216 * U.K. Gov't. & Bank of England Take Steps to Restore Liquidity ---------------------------------------------------------------- The U.K. government and the Bank of England are considering to take over mortgage-backed assets from banks as a step to restore liquidity to the money markets, Julia Werdigier writes for the New York Times. Citing a source familiar with the discussion, the report said that details of the plan that would offer government-backed bonds in exchange for securities backed by British mortgages, are still being decided upon. According to the report, Prime Minister Gordon Brown and Exchequer chancellor Alistair Darling, were pressured to act on the banks' unwillingness to lend as it adds to the housing and consumer markets problems in the U.K. * BOND PRICING: For the Week April 14 to April 18, 2008 ------------------------------------------------------- Issuer Coupon Maturity Currency Price ------ ------ -------- -------- ----- AUSTRIA ------- Kommunal Kredit Austria AG 0.500 3/15/19 CAD 64.83 0.250 10/14/26 CAD 40.17 Republic of Austria 4.000 06/22/22 EUR 74.73 1.740 08/04/25 EUR 65.77 2.817 10/10/25 EUR 63.31 FINLAND ------- Muni Finance PLC 1.000 03/19/13 AUD 73.39 0.500 04/26/13 AUD 70.70 1.000 11/21/16 NZD 58.65 1.000 10/30/17 AUD 56.18 1.000 02/27/18 AUD 55.45 0.500 09/24/20 CDN 60.48 0.250 06/28/40 CDN 20.69 FRANCE ------ Alcatel S.A. 4.750 01/01/11 EUR 14.46 Altran Technologies S.A. 3.750 01/01/09 EUR 12.05 BNP Paribas 0.250 12/20/14 US$ 74.65 Calyon 6.000 06/18/47 EUR 45.45 CAP Gemini S.A. 2.500 01/01/10 EUR 52.70 1.000 01/01/12 EUR 46.12 Club Mediterranee S.A. 3.000 11/01/08 EUR 66.20 4.375 11/01/10 EUR 47.87 Europcar Groupe S.A. 8.125 5/15/14 EUR 74.38 FCC Rome Alliance Funding 2.26 01/08/21 EUR 73.66 Groupe Vial 2.5 01/01/14 EUR 33.93 Havas S.A. 4.000 01/01/09 EUR 10.71 Infogrames Entertainment S.A. 1.500 04/01/09 EUR 0.81 Ingenico 2.750 01/01/12 EUR 20.43 Maurel & Prom 3.500 01/01/10 EUR 20.87 Publicis Group 0.750 07/17/08 EUR 28.96 1.000 01/18/18 EUR 42.14 Rhodia S.A. 0.500 01/01/14 EUR 36.70 Scor S.A. 4.125 01/01/10 EUR 2.06 Soc Air France 2.750 04/01/20 EUR 23.87 Soitec 4.625 12/20/09 EUR 5.06 Theolia S.A. 2.000 01/01/14 EUR 22.34 Valeo 2.38 01/01/11 EUR 42.81 Vivendi Univers 1.75 10/30/08 EUR 30.38 Wavecom S.A. 1.750 01/01/14 EUR 20.75 Wendel Invest S.A. 2.000 06/19/09 EUR 44.53 4.380 08/09/17 EUR 73.38 Zlomrex International Finance SA 8.5 02/01/14 EUR 60.97 GERMANY ------- Deutsche Bank 3.250 05/18/12 CHF 70.37 Deutsche Schifbk 4.200 01/23/09 EUR 99.57 KfW Bankengruppe 0.500 10/30/13 AUD 68.49 0.500 12/19/17 EUR 67.76 5.000 05/23/20 EUR 77.51 1.250 07/07/20 EUR 78.12 1.250 07/29/20 EUR 77.33 5.000 07/21/25 EUR 71.38 5.000 09/01/25 EUR 74.39 5.000 08/10/30 EUR 70.40 Landeskreditbank Baden- Wuerttemberg Foerderbk 0.500 05/10/27 CDN 43.53 Landwirtschaftliche Rentenbank AG 1.000 03/29/17 NZD 57.18 GREECE ------ Hellenic Republic 0.990 07/17/24 EUR 67.55 ICELAND ------- Kaupthing Bank 6.130 10/04/16 US$ 71.48 6.500 02/03/45 EUR 50.25 IRELAND ------- Banesto Finance Plc 6.170 11/07/37 EUR 6.12 Depfa ACS Bank 0.500 03/03/25 CDN 47.94 0.250 07/08/33 CDN 28.23 Magnolia Finance IV Plc 1.050 12/20/45 US$ 21.11 Ono Finance II 8.000 05/16/14 EUR 71.69 UT2 Funding PLC 5.32 06/30/16 EUR 73.78 ITALY ----- Alitalia SPA 7.500 07/22/10 EUR 65.97 Risanamento S.p.A. 1.000 05/10/14 EUR 49.99 Telecom Italia 5.250 03/17/55 EUR 69.09 LUXEMBOURG ---------- Beverage Pack 9.500 06/15/17 EUR 74.42 Cerutti Finance 6.500 07/26/04 EUR 25.04 Del Monte Fin SA 6.630 05/24/06 EUR 45.40 Finmek International 7.000 12/03/04 EUR 6.49 Hayes Lemmerz Finance 8.250 06/15/15 EUR 74.13 IT Holding Fin 9.880 11/15/12 EUR 71.16 Nell AF S.A. 8.375 08/15/15 EUR 71.06 8.375 08/15/15 US$ 71.01 NETHERLANDS ----------- ABN Amo Bank B.V. 6.000 03/16/35 EUR 74.31 6.250 06/29/35 EUR 66.25 Air Berlin Finance B.V. 1.500 04/11/27 EUR 62.37 ALB Finance BV 7.880 02/01/12 EUR 74.84 BK Ned Gemeenten 0.500 06/27/18 CDN 67.61 0.500 02/24/25 CDN 47.98 BLT Finance BV 7.500 05/15/14 US$ 72.90 Bulgaria Steel 12.000 05/04/13 EUR 64.50 Cirio Del Monte 7.750 03/14/05 EUR 36.73 EM.TV Finance B.V. 5.250 05/08/13 EUR 4.31 Hypo Real ES Finance 5.500 08/20/08 EUR 49.34 Indah Kiat Intl 11.880 06/15/02 US$ 53.00 IVG Finance B.V. 1.750 03/29/17 EUR 66.47 Kazkommerts International B.V. 6.880 02/13/17 EUR 73.91 8.500 06/13/17 US$ 74.59 Lehman Bros TSY B.V. 2.000 02/16/15 EUR 72.67 2.000 03/18/15 EUR 73.97 4.169 02/16/17 EUR 65.86 6.000 02/15/35 EUR 53.00 2.000 03/16/35 EUR 48.90 7.000 05/17/35 EUR 53.75 Montell Finance B.V. 8.100 03/15/27 US$ 66.64 Natl Invester Bank 25.982 05/07/29 EUR 32.70 Ned Waterschapbk 6.000 06/01/35 EUR 70.13 6.500 08/15/35 EUR 64.19 6.000 06/30/45 EUR 62.05 Rabobank Groep N.V. 6.000 02/22/35 EUR 65.78 5.000 02/28/35 EUR 63.62 7.000 03/23/35 EUR 61.42 6.000 05/09/35 EUR 68.95 Tjiwi Kimia Finance BV 13.25 08/01/01 US$ 0.43 NORWAY ------ Kommunalbanken A.S. 0.500 02/07/13 AUD 71.75 Norske Skogindustrier ASA 7.000 06/26/17 EUR 67.96 SWEDEN ------ AB Svensk Export 0.500 03/27/13 AUD 71.37 SWITZERLAND ----------- UBS AG 1.000 07/30/12 NZD 74.75 UNITED KINGDOM -------------- Alliance & Leicester Plc 5.88 8/14/31 GBP 67.96 Anglian Water Finance Plc 2.400 04/20/35 GBP 48.08 Bradford&Bin Building 6.630 06/16/23 GBP 77.48 Britannia Building Society 5.875 03/28/33 GBP 73.69 5.750 12/02/24 GBP 75.68 Cattles Plc 7.125 07/05/17 GBP 73.30 HBOS Plc 6.305 10/18/17 GBP 95.54 Ineos Group Holding 7.875 02/15/16 EUR 73.92 7.875 02/15/16 EUR 74.17 Jaztel Plc 5.000 04/29/10 EUR 70.23 National Grid Gas Plc 1.754 10/17/36 GBP 39.05 1.771 03/30/37 GBP 39.02 Royal Bank Scotland 9.500 04/04/25 US$ 71.75 RSL Communications Ltd 10.125 03/01/08 US$ 2.25 Wessex Water Fin 1.369 07/31/57 GBP 23.42 Wester Power Distribution 4.80 12/21/37 GBP 73.68 ********* 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. Jason Nieva, Julybien Atadero, Carmel Zamesa Paderog, Joy Agravante, Zora Jayda Zerrudo Sala, Pius Xerxes Tovilla 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. * * * End of Transmission * * *