TCREUR_Public/080523.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

              Friday, May 23, 2008, Vol. 9, No. 102

                            Headlines


A U S T R I A

DATASCAN HANDEL: Claims Registration Period Ends June 25
GLOBCARGO – SPEDITION: Claims Registration Period Ends July 1
HUESEYIN ZEYTUN: Claims Registration Period Ends June 16
LIEGENSCHAFTSVERWALTUNG UND BAU: Claims Filing Ends June 18
STERNENCLUB GASTRONOMIE: Claims Registration Period Ends June 10


B E L A R U S

BELINVESTBANK: Moody's Assigns Ba2/NP/E+ Ratings


B E L G I U M

TENNECO INC: S&P Keeps BB- Rating; Ratings Off CreditWatch


F I N L A N D

M-REAL CORP: Elevates Annual Profit Target to EUR150 Million


F R A N C E

BELVEDERE S.A.: Operating Setbacks Cue S&P to Hold B Rating


G E R M A N Y

AKH LEASING: Creditors Meeting Slated for June 17
ALERIS INTERNATIONAL: Scott McKinley Elected as SVP & Controller
ALERIS INTERNATIONAL: Phelps Dodge Ex-CEO Elected to Board
ALERIS INTERNATIONAL: Earns US$4.3 Million in 2008 First Quarter
ASK AUTOMOBILVERTRIEBS: Creditors Meeting Slated for June 17

AUTOHAUS KIRN: Creditors Meeting Slated for June 17
GARBERSBAU HOCH: Claims Registration Period Ends June 9
GEBRUEDER WALDSCHMIDT: Claims Registration Period Ends June 9
H. SCHOEDEL: Claims Registration Period Ends June 9
K.H. SCHROD: Creditors Meeting Slated for June 17, 2008

LEAR CORP: S&P Keeps B+ Rating; Ratings Off CreditWatch
NATURSTEINHANDEL HEISIG: Claims Registration Period Ends June 9
NRG ENERGY: Calpine Discloses Receipt of Merger Proposal
NRG ENERGY: Confirms Calpine's Disclosure on Proposal
NRG ENERGY: S&P Puts B+ Credit Rating Under Negative Watch

PR BAU GMBH: Claims Registration Period Ends June 10
PRISMA TECH: Claims Registration Period Ends June 10
S&D STADT: Claims Registration Period Ends June 9
SCHWALMSTADT-BAUMARKT: Claims Registration Period Ends June 9
SPECTRUM BRANDS: Sells Pet Biz to Salton Inc. for US$692MM Cash

SPECTRUM BRANDS: Salton Deal Prompts Fitch to Hold Ratings
SPECTRUM BRANDS: Salton Deal Cues S&P to Put Ratings Under Watch
SPECTRUM BRANDS: Salton Deal Prompts Moody's to Review Ratings
SPECTRUM BRANDS: Not In Talks for Sale of Home and Garden Biz
STIERLE MODULAR: Claims Registration Ends June 10

SWR WASSER: Claims Registration Ends June 10
VISTEON CORP: Moody's Affirms B3 Corporate Family Rating
WEST-OST ALFA: Claims Registration Ends June 10
WICHMANN KUECHEN: Claims Registration Ends June 10
WILLI BODE: Claims Registration Ends June 10

ZIMMEREI BRUNO: Claims Registration Period Ends June 10


I R E L A N D

BIFROST INVESTMENTS: Fitch Cuts Class 10D Note's Ratings to BB
HORMANN ELECTRONICS: Shuts Down Operations; 138 Jobs Lost


I T A L Y

ALITALIA SPA: Deloitte & Touche May Not Certify 2007 Accounts
ALITALIA SPA: Italy to Convert EUR300-Million Loan to Equity


K A Z A K H S T A N

AMANGELDY-2030 LLP: Creditors Must File Claims by June 27
ASKRA LLP: Claims Deadline Slated for June 27
AVION LLP: Claims Filing Period Ends June 27
JANBOLAT LIMITED: Creditors' Claims Due on June 27
KOSTANAI TRANS OIL: Claims Registration Ends June 27

MANZKE GMBH: Claims Registration Period Ends June 10
NARIMAN LLP: Claims Deadline Slated for June 27
NOOK-SERVICE-STROY LLP: Claims Filing Period Ends July 1
TRIAMA LLP: Creditors' Claims Due on June 27


K Y R G Y Z S T A N

MANAS JET: Creditors Must File Claims by July 2


L U X E M B O U R G

CALPINE CORP: Discloses Receipt of Merger Proposal from NRG
CALPINE CORP: NRG Confirms Merger Proposal
CALPINE CORP: S&P Puts B Credit Rating Under Positive Watch
CALPINE CORPORATION: Kenneth Derr to Resign as Director
EVRAZ GROUP: Highveld Unit Declares Dividend from Sale Proceeds


N E T H E R L A N D S

CORPORATE EXPRESS: S&P Puts BB+ Debt Rating on Developing Watch
CORPORATE EXPRESS: Moody's Puts Low-B Ratings Under Review
HALCYON STRUCTURED: S&P Rates EUR11 Mln Class E Notes at BB-


R U S S I A

AGROPROMCREDIT LLC: Moody's Puts B2/NP/E+/Baa1.ru Ratings
BAYKAL CJSC: Creditors Must File Claims by June 6
GONCHAROVSKOE CJSC: Asset Sale Slated for June 9
KESHEVO CJSC: Creditors Must File Claims by July 6
MOBILE TELESYSTEMS: Earns US$610 Million in Qtr. Ended March 31

NARTKALINSKIY ELEVATOR: Court Starts Bankruptcy Supervision
OCTANE LLC: Creditors Must File Claims by June 26
OKTYABRSK-RAY-GAS: Creditors Must File Claims by June 6
PETROCOMMERCE: Good Performance Cues S&P to Keep Ratings
RUSSIAN GRAIN: Omsk Bankruptcy Hearing Slated for August 13

SEVER-PROM-SNAB LLC: Creditors Must File Claims by June 6
SEVERSTAL OAO: To Acquire WCI Steel for US$140 Million
SEVERSTAL OAO: Earns US$429 Million in First Quarter 2008
TRANSCREDITBANK: S&P Keeps Ratings; Outlook Revised to Positive
TSVET-MET-KOMPLEKT: Creditors Must File Claims by June 26

VOST-SIB-TRANS-VZRYV: Creditors Must File Claims by July 6


S W I T Z E R L A N D

BIO GROWTH: Creditors Have Until May 29 to File Proofs of Claim
CIPHERGEN BIOSYSTEMS: Proofs of Claim Deadline is May 29
GALAXY DEVELOPMENT: Creditors' Liquidation Claims Due by May 29
HORUS JSC: Luzern Court Initiates Bankruptcy Proceedings
KLAUS HUBER: Deadline for Filing Proof of Claim is May 29

M SERIFI: Liestal Court Commences Bankruptcy Proceedings
SECURSA CONSULTING: Proofs of Claim Filing Deadline is May 28
WEMO IMMOBILIEN: Creditors Must File Proofs of Claim by May 29


T U R K E Y

DENIZBANK A.S.: Fitch Holds Long-term Foreign Currency IDR at BB
DENIZ FINANSAL: Fitch Affirms IDR at BB with Stable Outlook


U K R A I N E

ALFA BANK: Moody's Rates Upcoming Senior Unsecured Notes at Ba3
CONUNG-LTD LLC: Proofs of Claim Deadline Set May 25
DEKON PLUS: Proofs of Claim Deadline Set May 25
GAZOVIK OJSC: Proofs of Claim Deadline Set May 25
INDUSTRIAL TECHNOLOGY: Proofs of Claim Deadline Set May 25

KOMISHUVAKHA REPAIR-TRANSPORT: Creditors' Claims Due May 25
MALIN CELLULOSE-PAPER: Creditors Must File Claims by May 25
MECHANIZED WORKS: Creditors Must File Claims by May 28
SLAVUTICH LLC: Proofs of Claim Deadline Set May 24
SUMY MOTORCAR 15927: Proofs of Claim Deadline Set May 25

UMAN AGENCY: Proofs of Claim Deadline Set May 24


U N I T E D   K I N G D O M

AIRBASE SERVICES: Brings In Liquidators from Tenon Recovery
BENSON KNIGHT: Taps Liquidators from BDO Stoy Hayward
BOSTON UNITED: Comes Out of Administration
BRAESIDE DEVELOPMENTS: Taps Administrators from BDO Stoy
BRITISH ENERGY: Suez Wants to Close Gaz Deal Before Bid

CAIRNGORM MOUNTAIN: Transfers Ownership to Highlands & Islands
CAREANDHEALTH LTD: Appoints Administrators from Kroll
CHALLENGE EMPLOYMENT: Hires Liquidators from Vantis
CHEVIN CONSTRUCTION: Taps Joint Administrators from Begbies
CHOICE GIFT: Calls In Liquidators from PricewaterhouseCoopers

FELIX VAN DEN BERGHE: Appoints Colin Prescott as Liquidator
FORD MOTOR: Board to Remain Neutral on Tracinda Offer
FORD MOTOR: Adjusts Production Volume; Revises Profit Outlook
FORD MOTOR: S&P Keeps B Rating; Outlook Revised to Negative
FORD MOTOR: Declining Demand Prompts Moody's to Hold Ratings

GENERAL MOTORS: Adequate Liquidity Cues S&P to Keep B Rating
GRETNA FOOTBALL: Axes Entire Staff; In Talks with Possible Buyer
HBS PROJECTS: Joint Liquidators Take Over Operations
INVENSYS PLC: Fitch Affirms IDR at BB on Term Loans' Repayment
NATIONWIDE ENVIRONMENTAL: Hires Liquidators from Vantis

NEWCASTLE COMPUTER: Brings In Grant Thornton as Administrators
STAFF FINDERS: Appoints Tenon Recovery to Administer Assets

* UK's Public Debt Reaches 43.1%, ONS Says

* UK Airlines Will View Landing Slots as Assets on Balance Sheet

* BOOK REVIEW: Business Wit & Wisdom


                            *********

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


DATASCAN HANDEL: Claims Registration Period Ends June 25
--------------------------------------------------------
Creditors owed money by LLC Datascan Handel (FN 284883x) have
until June 25, 2008, to file written proofs of claim to court-
appointed estate administrator Hans Rant  at:

          Dr. Hans Rant
          c/o Dr. Kurt Freyler  
          Seilerstatte 5
          1010 Vienna
          Austria
          Tel: 513 31 65
          Fax: 512 20 01
          E-mail: ra-kanzlei@rant-freyler.at  

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

The meeting of creditors will be held at:

          The Trade Court of Vienna
          Room 1703
          Vienna
          Austria

Headquartered in Vienna, Austria, the Debtor declared bankruptcy
on May 5, 2008  (Bankr. Case No. 5 S 46/08m).  Kurt Freyler  
represents Dr. Rant in the bankruptcy proceedings.


GLOBCARGO – SPEDITION: Claims Registration Period Ends July 1
-------------------------------------------------------------
Creditors owed money by LLC Globcargo – Spedition (FN 42390p)
have until July 1, 2008, to file written proofs of claim to
court-appointed estate administrator Herbert Hochegger at:

          Dr. Herbert Hochegger
          c/o Dr. Bernhard Eder
          Brucknerstrasse 4/5
          1040 Vienna
          Austria
          Tel: 505 78 61
          Fax: 505 78 619
          E-mail: office@hoch.co.at   

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

The meeting of creditors will be held at:

          The Trade Court of Vienna
          Room 1606
          Vienna
          Austria

Headquartered in Vienna, Austria, the Debtor declared bankruptcy
on May 5, 2008 (Bankr. Case No. 4 S 62/08g).  Bernhard Eder
represents Dr. Hochegger in the bankruptcy proceedings.


HUESEYIN ZEYTUN: Claims Registration Period Ends June 16
--------------------------------------------------------
Creditors owed money by KEG Hueseyin Zeytun (FN 225177v) have
until June 16, 2008, to file written proofs of claim to court-
appointed estate administrator Gerhard Rigler at:

          Mag. Gerhard Rigler
          c/o Dr. Gernot Hain  
          Hauptplatz 14
          2700 Wiener Neustadt
          Austria
          Tel: 02622/84 141
          Fax: 02622/84141-24
          E-mail: office@hain-rechtsanwaelte.at  

Creditors and other interested parties are encouraged to attend
the creditors' meeting at noon on  June 26, 2008, for the
examination of claims.

The meeting of creditors will be held at:

          The Land Court of Wiener Neustadt
          Room 15
          Wiener Neustadt
          Austria

Headquartered in Wiener Neustadt, Austria, the Debtor declared
bankruptcy on May 5, 2008 (Bankr. Case No. 10 S 53/08k).   
Gernot Hain represents Mag. Rigler in the bankruptcy
proceedings.


LIEGENSCHAFTSVERWALTUNG UND BAU: Claims Filing Ends June 18
-----------------------------------------------------------
Creditors owed money by LLC Liegenschaftsverwaltung und Bau (FN
116657f) have until June 18, 2008, to file written proofs of
claim to court-appointed estate administrator Karl Robert Hiebl
at:

          Dr. Karl Robert Hiebl
          Stadtplatz 50/2
          5280 Braunau am Inn
          Austria
          Tel: 07722/625 43
          Fax: 07722/828 93
          E-mail: kanzlei@lirk-hiebl.at    

Creditors and other interested parties are encouraged to attend
the creditors' meeting at 9:20 a.m. on June 25, 2008, for the
examination of claims.

The meeting of creditors will be held at:

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

Headquartered in St. Pantaleon, Austria, the Debtor declared
bankruptcy on May 5, 2008 (Bankr. Case No. 17 S 20/08k).  


STERNENCLUB GASTRONOMIE: Claims Registration Period Ends June 10
----------------------------------------------------------------
Creditors owed money by LLC Sternenclub Gastronomie have until
June 10, 2008, to file written proofs of claim to court-
appointed estate administrator Marisa Schamesberger at:

          Dr. Marisa Schamesberger
          Hofgasse 6 / III
          8010 Graz
          Austria
          Tel: 0316/842184
          Fax: 0316/8421848
          E-mail: kanzlei@ra-hofgasse6.com    

Creditors and other interested parties are encouraged to attend
the creditors' meeting at 3:00 p.m. on June 26, 2008, for the
examination of claims.

The meeting of creditors will be held at:

          The Land Court of Graz
          Hall L
          Room 230
          Second Floor
          Graz
          Austria

Headquartered in Graz, Austria, the Debtor declared bankruptcy
on May 2, 2008 (Bankr. Case No. 25 S 34/08z).  


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B E L A R U S
=============


BELINVESTBANK: Moody's Assigns Ba2/NP/E+ Ratings
------------------------------------------------
Moody's Investors Service assigned these ratings to
Belinvestbank:

   -- E+ Bank Financial Strength Rating ;

   -- Ba2 long-term and Not Prime short-term local currency
      deposit ratings;and

   -- B2 long-term and Not Prime short-term foreign currency
      deposit ratings.

All of the bank's ratings carry a stable outlook.

According to Moody's, Belinvestbank's E+ BFSR, which translates
into a Baseline Credit Assessment of B2, is underpinned by the
bank's relatively strong market position as the fourth-largest
bank in Belarus by assets, capital and retail deposits, as well
as acceptable asset quality to date.  The rating is constrained
by the bank's modest profitability, capital adequacy and
efficiency, as well as fairly weak corporate governance due to
the high level of government interference in the bank's
business.

The bank's Ba2/Not-Prime long-term/short-term local currency
deposit rating factors in both Belinvestbank's B2 BCA and
Moody's assessment of a very high probability of systemic
support in the event of a stress situation.  The assessment of
the systemic support probability is based on the bank's 81.6%
direct ownership by the Belarus government, and its significant
importance for the country's banking system, as reflected in its
7.6% market share in terms of both total assets and retail
deposits at year-end 2007.  As a result, the long-term local
currency deposit rating receives a three-notch uplift to Ba2
from the bank's B2 Baseline Credit Assessment.

Belinvestbank's B2 long-term foreign currency deposit rating is
constrained by the relevant country ceiling for Belarus.

Belinvestbank focuses on providing mainly long-term and medium-
term loans to large Belarusian companies representing various
industry sectors.  As a result, corporate loans currently
account for around 90% of Belinvestbank's total loan portfolio.
According to the bank, it plans to develop its retail and SME
businesses more proactively going forward.

According to Moody's, Belinvestbank's BFSR could be upgraded if
the bank improves its profitability through enhanced revenue
generation and efficient cost control, provided this was coupled
with stronger capital adequacy and a still acceptable level of
asset quality.

Conversely, the bank's BFSR could come under pressure in the
event of a significant deterioration in asset quality or a
continued weakening of profitability and capital adequacy.

Belinvestbank's local currency deposit rating would be expected
to change in tandem with the bank's BFSR.  The bank's foreign
currency deposit rating could be upgraded in the event of an
upgrade of Belarus' foreign currency deposit ceiling. It is
unlikely to be downgraded over the medium term as it is already
constrained by that ceiling.

Based in Minsk, Belarus, Belinvestbank reported total IFRS
consolidated assets of US$1.44 billion, shareholders' equity of
US$110.9 million and net income of US$8.14 million at year-end
2007 (US$968 million, US$96 million and US$10.7 million,
respectively, at year-end 2006).


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


TENNECO INC: S&P Keeps BB- Rating; Ratings Off CreditWatch
----------------------------------------------------------
Standard & Poor's Ratings Services affirmed its 'BB-' corporate
credit rating and certain other ratings on Tenneco Inc. and
removed them from CreditWatch with negative implications, where
they were placed on March 17, 2008, as a result of the American
Axle & Manufacturing Holdings Inc. (BB/Watch Neg/--) strike. The
outlook is stable.

At the same time, Standard & Poor's raised its issue-level
rating on Tenneco's senior unsecured notes to 'BB-' (the same
level as the corporate credit rating on the company) from 'B+',
and assigned recovery ratings of '4' to this debt, indicating
the expectation for average (30%-50%) recovery in the event of a
payment default.  The issue-level rating on Tenneco's senior
subordinated notes remains at 'B' (two notches lower than the
corporate credit rating on the company), and a recovery rating
of '6' was assigned to this debt, indicating the expectation for
negligible (0%-10%) recovery in the event of a payment default.
The rating actions reflect the extension of our recovery ratings
to all speculative-grade unsecured debt issues.

"The rating affirmation and stable outlook reflect our view that
Tenneco's credit measures will remain within our expectations
for the rating level in the face of very challenging conditions
for the North American auto sector in 2008 and perhaps 2009,"
said Standard & Poor's credit analyst Lawrence Orlowski.  For
the rating, S&P expects that adjusted debt to EBITDA will remain
less than 4x and funds from operations (FFO) about 15%.
Reflecting the impact from the American Axle strike, net sales
and operating income in the first quarter were US$1.56 billion
and US$39 million, respectively, compared with US$1.4 billion
and US$49 million in the year-earlier quarter.

The ratings on Tenneco reflect the company's weak business
profile and highly leveraged but still stable financial profile.
Tenneco's credit measures were generally stable in the 12 months
ended March 31, 2008.  The company benefits from good diversity
among its customers, business platforms, and regions of
operation.  However, Tenneco is still exposed to declining
vehicle production by its large customers, General Motors Corp.
and Ford Motor Co.

Credit measures should remain consistent with the rating despite
industry conditions that include production cuts by some
customers and raw-material price pressures.  S&P could revise
the outlook to negative if industry challenges prevent Tenneco
from generating free cash flow or if leverage rises to much more
than 4x, which could occur if EBITDA fell about 10% from current
levels, perhaps as a result of reduced production and
unrecovered raw material costs.

Based in Lake Forest, Illinois, Tenneco Inc., (NYSE: TEN) --
http://www.tenneco.com/-- manufactures automotive ride and
emissions control products and systems for both the original
equipment market and aftermarket.  Brands include Monroe(R),
Rancho(R), and Fric Rot ride control products and Walker(R) and
Gillet emission control products.  The company has operations in
Argentina, Japan, and Germany, with its European operations
headquartered in Brussels, Belgium.  The company has
approximately 21,000 employees worldwide.


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F I N L A N D
=============


M-REAL CORP: Elevates Annual Profit Target to EUR150 Million
------------------------------------------------------------
M-real Corp. raised its annual profit target to EUR150 million
from EUR100 million.  The company said that the full impact of
this measure is expected to be felt starting 2010.

M-real started an internal profit improvement and complexity
reduction program in November 2007 targeting EUR100 million
annual profit improvements.  After continued in-depth
investigations, M-real has identified additional profit
improvement measures mainly in the business concept
simplification in all business areas.  Consequently, the
original EUR100 million annual profit improvement target is
raised to EUR150 million.

Headquartered in Espoo, Finland, M-real Corp. --
http://www.M-Real.com/-- produces and distributes coated and  
uncoated fine papers for printing and packaging industries.  The
company has operations in Brazil and Mexico.

                        *     *     *

As of Feb. 8, 2008, M-real Oyj carries a B2 long-term corporate
family rating and a B2 senior unsecured debt rating from
Moody's, which said the outlook is negative.

Standard & Poor's rates the company's long-term foreign and
local issuer credit at B+ and  its short-term foreign and local
issuer credit at B.  The outlook is negative.


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


BELVEDERE S.A.: Operating Setbacks Cue S&P to Hold B Rating
-----------------------------------------------------------
Standard & Poor's Ratings Services revised the outlook on
France-based spirits and wine producer and supplier Belvedere
S.A. to stable from positive.  At the same time, the 'B' long-
term corporate credit rating was affirmed.

The EUR375 million senior secured floating-rate notes due 2013
issued by Belvedere remain rated 'B', in line with the corporate
credit rating.  The recovery rating remains unchanged at '4',
indicating our expectation of average (30%-50%) recovery in the
event of a payment default.   

"The outlook revision follows the stronger-than-expected decline
of Belvedere's operating results in 2007," said Standard &
Poor's credit analyst Michael Seewald.  "Despite the group's
intention to reduce debt, operating setbacks in 2007 and high
debt leverage make any near-term upgrade of Belvedere unlikely."

The ratings reflect Belvedere's highly leveraged financial
profile resulting from its debt-financed expansion strategy.
Partially mitigating factors are Belvedere's increasingly
diversified product mix and geographic reach following
acquisitions, combined with ownership of some brands with
leading market shares in the group's core Polish and French
markets.

"We expect that Belvedere's commitment to debt reduction and a
recovery in group earnings during 2008 should help financial
metrics to resume levels in line with the rating," said Mr.
Seewald.

Potential rating upside potential is remote.  In contrast, S&P
may consider a negative rating action if further operating
setbacks prevent Belvedere's adjusted EBITDA cash interest cover
from recovering to at least 1.5x over the next year, or if
further acquisitions or extraordinary cash outflows deteriorate
the group's liquidity position.


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


AKH LEASING: Creditors Meeting Slated for June 17
-------------------------------------------------
The court-appointed insolvency manager for AKH Leasing GmbH,
Jens Lieser, will present his first report on the Company's
insolvency proceedings at a creditors' meeting at 11:30 a.m. on
June 17, 2008.

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

         The District Court of Bad Kreuznach
         Hall A4
         Hofgartenstr. 2
         55545 Bad Kreuznach
         Germany

The Court will also verify the claims set out in the insolvency
manager's report at 1:40 p.m. on Sept. 30, 2008 at the same
venue.

Creditors have until June 11, 2008, to register their claims
with the court-appointed insolvency manager.

The insolvency manager can be reached at:

         Jens Lieser
         Fachanwalt fuer Insolvenzrecht
         Josef-Goerres-Platz 5
         56068 Koblenz
         Germany
         Tel: 0261/30479-0
         Fax: 0261/9114729
         E-mail: info@lieser-rechtsanwaelte.de

The District Court of Bad Kreuznach opened bankruptcy
proceedings against AKH Leasing GmbH on May 5, 2008.
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be reached at:

         AKH Leasing GmbH
         Attn: Friedrich Leydecker, Manager
         Riegelgrube 8
         55543 Bad Kreuznach
         Germany

ALERIS INTERNATIONAL: Scott McKinley Elected as SVP & Controller
----------------------------------------------------------------
Aleris International, Inc. said Wednesday that Scott A. McKinley
was elected Senior Vice President and Controller of the company.

Mr. McKinley had served as Senior Vice President and Treasurer
since September 2006.  Prior to joining Aleris, he served as
Vice President and Chief Financial Officer for Lubrizol
Corporation’s Specialty Chemicals Segment.  Before that, he was
the Vice President and Controller of Noveon, Inc.

Mr. McKinley also previously held the position of Director,
Financial Planning and Analysis for BF Goodrich Performance
Materials and spent the first 15 years of his career at the
General Electric Company.

                        About Aleris

Aleris International, Inc. –- http://www.aleris.com/-- is in  
the business of aluminum rolled and extruded products, aluminum
recycling and specification alloy production.  In 2007 and in
prior years, the company was a recycler of zinc and manufactured
zinc metal and value-added zinc products that included zinc
oxide and zinc dust.  The company operates its business through
48 production facilities in two global segments: global rolled
and extruded products and global recycling.

For its global rolled and extruded products, Aleris has 17
production facilities that provide rolled and extruded aluminum
products to the major aluminum consuming regions worldwide.  The
company’s global recycling network operates 31 strategically
located production plants, with 21 in the United States, two in
Brazil, three in Germany, two in Norway and one in each of
Mexico, Canada and the United Kingdom.  The company also has a
presence in Asia through subsidiaries located in China and Hong
Kong.

                         *     *     *

As reported in the Troubled Company Reporter on May 1, 2008,
Standard & Poor's Ratings Services affirmed its ratings on
Aleris International Inc., including its 'B+' corporate credit
rating.


ALERIS INTERNATIONAL: Phelps Dodge Ex-CEO Elected to Board
----------------------------------------------------------
Aleris International, Inc. disclosed last week the election of
J. Steven Whisler to its Board of Directors.  His election
expands the Aleris board to seven members.

Mr. Whisler, 53, retired as Chairman and Chief Executive Officer
of Phelps Dodge Corporation, a Fortune 500 company based in
Phoenix, following its merger with Freeport-McMoRan Copper &
Gold Inc. in March 2007.  Mr. Whisler had been with helps Dodge
in several executive positions for 30 years.

“We look forward to Steve’s guidance and insights as he draws
upon his outstanding experience with one of the world’s leading
metals companies,” said Steven J. Demetriou, Chairman and Chief
Executive Officer of Aleris.  “We are pleased to welcome him to
our board.”

At the time of the merger, Phelps Dodge was one of the world’s
leading producers of copper and molybdenum and the largest
producer of molybdenum-based chemicals and continuous-cast
copper rod, with sales of US$10.9 billion and operations in
North America, Peru, and Chile.

Mr. Whisler currently is a director of Burlington Northern Santa
Fe Corporation, USAirways Group, Inc., the Brunswick
Corporation, the International Paper Company, the National
Cowboy and Western Heritage Museum, and the C.M. Russell Museum.

He is also a former member of the Business Council and the
Business Roundtable.

                        About Aleris

Aleris International, Inc. –- http://www.aleris.com/-- is in  
the business of aluminum rolled and extruded products, aluminum
recycling and specification alloy production.  In 2007 and in
prior years, the company was a recycler of zinc and manufactured
zinc metal and value-added zinc products that included zinc
oxide and zinc dust.  The company operates its business through
48 production facilities in two global segments: global rolled
and extruded products and global recycling.

For its global rolled and extruded products, Aleris has 17
production facilities that provide rolled and extruded aluminum
products to the major aluminum consuming regions worldwide.  The
company’s global recycling network operates 31 strategically
located production plants, with 21 in the United States, two in
Brazil, three in Germany, two in Norway and one in each of
Mexico, Canada and the United Kingdom.  The company also has a
presence in Asia through subsidiaries located in China and Hong
Kong.

                         *     *     *

As reported in the Troubled Company Reporter on May 1, 2008,
Standard & Poor's Ratings Services affirmed its ratings on
Aleris International Inc., including its 'B+' corporate credit
rating.


ALERIS INTERNATIONAL: Earns US$4.3 Million in 2008 First Quarter
----------------------------------------------------------------
Aleris International, Inc. reported results for the quarter
ended March 31, 2008.

Highlights for the first quarter of 2008 incude:

    -- Sequential adjusted EBITDA from continuing operations,
       excluding special items, improved to US$79 million in the
       first quarter of 2008 from US$49 million in the fourth
       quarter of 2007 despite continued softening in the
       underlying economy

    -- Successful capacity ramp-up of 160 inch hotmill in
       Koblenz, Germany; continues our strategic expansion into
       high value-added aerospace and other end-uses

    -- Completed sale of Zinc Business for US$295 million
       allowing greater focus on aluminum business

    -- Announced five plant closings or idlings to drive
       operating cost reductions, improved productivity and to
       respond to North American demand declines
    
    -- Productivity savings and acquisition synergies totaled
       US$27 million in the quarter which more than offset
       continued commodity and general inflation

    -- Strengthened management team with the addition of Roeland
       Baan as President, Aleris Europe

    -- Pro forma adjusted EBITDA from continuing operations,
       including synergies, was US$392 million for the twelve
       months ended March 31, 2008

    -- Expanded Aleris Board of Directors with the addition of
       J. Steven Whisler, former Chairman and CEO of Phelps
       Dodge Corporation

                        Financial Results

Aleris reported first quarter 2008 revenues of US$1.6 billion
and income from continuing operations of US$0.6 million.  Income
from continuing operations includes US$55.6 million of
unrealized gains on derivative financial instruments, a US$0.6
million gain from the early extinguishment of debt, US$9.5
million in restructuring and other charges, US$6.2 million of
purchase accounting items, US$2.3 million of sponsor management
fees, and US$1.0 million of charges for non-cash stock-based
compensation.  EBITDA from continuing operations, excluding
special items, was US$79.4 million in the first quarter of 2008.

For the first quarter of 2007, Aleris reported revenues of
US$1.5 billion and a loss from continuing operations of US$44.4
million.  The loss from continuing operations includes US$64.1
million of special charges, including US$55.7 million from
purchase accounting, US$7.2 million in restructuring and other
charges, US$2.3 million of sponsor management fees, US$0.7
million of non-cash stock-based compensation and US$2.0 million
of unrealized gains on derivative financial instruments.  EBITDA
from continuing operations, excluding special items, was
US$106.5 million in the first quarter of 2007.

EBITDA from continuing operations, excluding special items,
declined to US$79.4 million in the first quarter of 2008 from
US$106.5 million in the first quarter of 2007.  The decline in
performance is due to lower year over year volumes resulting
from declining demand from the North American building and
construction and automotive industries and destocking within
certain European industries as well as reduced benefits from
metal price lag, and continued commodity cost inflation.  The
negative factors were partially offset by productivity gains and
stronger margins in Europe associated with an improving product
mix and higher pricing.

As a result of the reduced demand, the company has announced the
closure or temporary idling of production at three of its North
American rolled products facilities and two specification alloy
facilities.

Sequentially, EBITDA from continuing operations, excluding
special items, improved by US$30.0 million from US$49.4 million
in the fourth quarter of 2007 to US$79.4 million in first
quarter of 2008.  This improvement is due to the normal seasonal
profile of our volume demand despite a continued softening in
the underlying economy.

Steven J. Demetriou, Chairman and Chief Executive Officer of
Aleris, said, “Volume in both of our global business segments
continues to suffer from the recessionary conditions prevalent
in the United States as well as customer destocking in certain
European end use industries.  In response to the reduced North
American demand, we have taken aggressive actions to reposition
our asset base with the consolidation of facilities to drive
costs down, while still being able to meet our customers’
demand.  Although we have been implementing these cost reduction
initiatives with the expectation of a prolonged downturn, we
believe that these efforts will result in significantly lower
costs and higher profitability when demand strengthens.”

For the three months ended March 31, 2008, the company reported
net income US$4.3 million compared to a net loss for the three
months ended march 31, 2007 of US$53.1 million.

As of March 31, 2008, total assets stood at US$5.2 billion and
total stockholder’s equity of US$893 million.  At Dec. 31, 2007,
equity was at US$851 million.

A full-text copy of the company’s quarterly report of Form 10-Q
for the three months ended March 31, 2008 may be viewed for free
at http://ResearchArchives.com/t/s?2c64

                        About Aleris

Aleris International, Inc. –- http://www.aleris.com/-- is in  
the business of aluminum rolled and extruded products, aluminum
recycling and specification alloy production.  In 2007 and in
prior years, the company was a recycler of zinc and manufactured
zinc metal and value-added zinc products that included zinc
oxide and zinc dust.  The company operates its business through
48 production facilities in two global segments: global rolled
and extruded products and global recycling.

For its global rolled and extruded products, Aleris has 17
production facilities that provide rolled and extruded aluminum
products to the major aluminum consuming regions worldwide.  The
company’s global recycling network operates 31 strategically
located production plants, with 21 in the United States, two in
Brazil, three in Germany, two in Norway and one in each of
Mexico, Canada and the United Kingdom.  The company also has a
presence in Asia through subsidiaries located in China and Hong
Kong.

                         *     *     *

As reported in the Troubled Company Reporter on May 1, 2008,
Standard & Poor's Ratings Services affirmed its ratings on
Aleris International Inc., including its 'B+' corporate credit
rating.


ASK AUTOMOBILVERTRIEBS: Creditors Meeting Slated for June 17
------------------------------------------------------------
The court-appointed insolvency manager for ASK
Automobilvertriebs GmbH, Jens Lieser, will present his first
report on the Company's insolvency proceedings at a creditors'
meeting at 11:50 a.m. on June 17, 2008.

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

         The District Court of Bad Kreuznach
         Hall A4
         Hofgartenstr. 2
         55545 Bad Kreuznach
         Germany

The Court will also verify the claims set out in the insolvency
manager's report at 1:50 p.m. on Sept. 30, 2008, at the same
venue.

Creditors have until June 11, 2008, to register their claims
with the court-appointed insolvency manager.

The insolvency manager can be reached at:

         Jens Lieser
         Fachanwalt fuer Insolvenzrecht
         Josef-Görres-Platz 5
         56068 Koblenz
         Germany
         Tel: 0261/30479-0
         Fax: 0261/9114729
         E-mail: info@lieser-rechtsanwaelte.de

The District Court of Bad Kreuznach opened bankruptcy
proceedings against ASK Automobilvertriebs GmbH on May 5, 2008.
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be reached at:

         ASK Automobilvertriebs GmbH
         Westtangente 6
         55566 Bad Sobernheim
         Germany

         Attn: Friedrich Leydecker, Manager
         Windesheimer Str. 2
         55545 Bad Kreuznach
         Germany


AUTOHAUS KIRN: Creditors Meeting Slated for June 17
---------------------------------------------------
The court-appointed insolvency manager for Autohaus Kirn GmbH,
Jens Lieser, will present his first report on the Company's
insolvency proceedings at a creditors' meeting at 11:00 a.m. on
June 17, 2008.

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

         The District Court of Bad Kreuznach
         Hall A4
         Hofgartenstr. 2
         55545 Bad Kreuznach
         Germany

The Court will also verify the claims set out in the insolvency
manager's report at 1:30 a.m. on Sept. 30, 2008, at the same
venue.

Creditors have until June 11, 2008, to register their claims
with the court-appointed insolvency manager.

The insolvency manager can be reached at:

         Jens Lieser
         Fachanwalt fuer Insolvenzrecht
         Josef-Goerres-Platz 5
         56068 Koblenz
         Germany
         Tel: 0261/30479-0
         Fax: 0261/9114729
         E-mail: info@lieser-rechtsanwaelte.de

The District Court of Bad Kreuznach opened bankruptcy
proceedings against Autohaus Kirn GmbH on May 5, 2008.
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be reached at:

         Autohaus Kirn GmbH
         Attn: Friedrich Peter Leydecker, Manager
         Binger Landstr. 89
         55606 Kirn
         Germany


GARBERSBAU HOCH: Claims Registration Period Ends June 9
-------------------------------------------------------
Creditors of GARBERSBAU Hoch- und Ingenieurbau GmbH have until
June 9, 2008, to register their claims with court-appointed
insolvency manager Wolfgang Weidemann.

Creditors and other interested parties are encouraged to attend
the meeting at 9:00 a.m. on June 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 Lueneburg
         Hall 302
         Ochsenmarket 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:

          Wolfgang Weidemann
          Wendenstr. 4
          20097 Hamburg
          Germany
          Tel: 040/23 32 85
          Fax: 040/23 38 10

The District Court of Lueneburg opened bankruptcy proceedings
against GARBERSBAU Hoch- und Ingenieurbau GmbH on May 1, 2008.  
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be reached at:

          GARBERSBAU Hoch- und Ingenieurbau GmbH
          Hacklinger Weg 66
          21335 Lueneburg
          Germany


GEBRUEDER WALDSCHMIDT: Claims Registration Period Ends June 9
-------------------------------------------------------------
Creditors of Gebrueder Waldschmidt GmbH u. Co. KG have until
June 9, 2008, to register their claims with court-appointed
insolvency manager Bernd Ache.

Creditors and other interested parties are encouraged to attend
the meeting at 8:00 a.m. on July 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 Wetzlar
          Meeting Hall 201
          Building B
          Second Stock
          Wetherstr. 1
          35578 Wetzlar
          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:

          Bernd Ache
          Karl-Kellner-Ring 23
          35576 Wetzlar
          Germany
          Tel: 06441/94240
          Fax: 06441/42843
          E-mail: info@kanzlei-unuetzer.de  

The District Court of Wetzlar opened bankruptcy proceedings
against Gebrueder Waldschmidt GmbH u. Co. KG on April 30, 2008.  
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be reached at:

          Gebrueder Waldschmidt GmbH u. Co. KG
          Pfannenstielsgasse 17
          35578 Wetzlar
          Germany


H. SCHOEDEL: Claims Registration Period Ends June 9
---------------------------------------------------
Creditors of Ing. H. Schoedel GmbH have until June 9, 2008, to
register their claims with court-appointed insolvency manager
Frank Hanselmann.

Creditors and other interested parties are encouraged to attend
the meeting at 10:10 a.m. on June 26, 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 Schweinfurt
          Meeting Hall 22
          Eingang Friedenstr. 2
          Schweinfurt
          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 Hanselmann
          Heinestrasse 7 b
          97070 Wuerzburg
          Germany
          Tel: 0931 359800
          Fax: 0931 3598050

The District Court of Schweinfurt opened bankruptcy proceedings
against Ing. H. Schoedel GmbH on April 18, 2008.  Consequently,
all pending proceedings against the company have been
automatically stayed.

The Debtor can be reached at:

          Ing. H. Schoedel GmbH
          Strohgasse 25
          97456 Dittelbrunn
          Germany


K.H. SCHROD: Creditors Meeting Slated for June 17, 2008
-------------------------------------------------------
The court-appointed insolvency manager for K.H. Schrod GmbH, Dr.
Jur. Wolfgang Maus, will present his first report on the
Company's insolvency proceedings at a creditors' meeting at
10:10 a.m. on June 17, 2008.

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

         The District Court of Bad Kreuznach
         Hall A4
         Hofgartenstr. 2
         55545 Bad Kreuznach
         Germany

The Court will also verify the claims set out in the insolvency
manager's report at 11:40 a.m. on Sept. 30, 2008, at the same
venue.

Creditors have until June 11, 2008, to register their claims
with the court-appointed insolvency manager.

The insolvency manager can be reached at:

         Dr. Jur. Wolfgang Maus
         Mannheimer Str. 254a
         D 55543 Bad Kreuznach
         Germany
         Tel: 0671-79496-13
         Fax: 0671-79496-10

The District Court of Bad Kreuznach opened bankruptcy
proceedings against K.H. Schrod GmbH on May 5, 2008.
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be reached at:

         K.H. Schrod GmbH
         Attn: Karl-Heinz Schrod, Manager
         Dichtelbacher Str. 2
         55494 Rheinboellen
         Germany


LEAR CORP: S&P Keeps B+ Rating; Ratings Off CreditWatch
-------------------------------------------------------
Standard & Poor's Ratings Services affirmed its 'B+' corporate
credit rating and certain other ratings on Lear Corp. and
removed them from CreditWatch with negative implications, where
they were placed on March 17, 2008, as a result of the American
Axle & Manufacturing Holdings Inc. (BB/Watch Neg/--) strike. The
outlook is stable.

At the same time, Standard & Poor's raised its issue-level
rating on Lear's senior unsecured notes to 'B+' (the same level
as the corporate credit rating on the company) from 'B-', and
assigned a recovery rating of '4' to this debt, indicating the
expectation for average (30%-50%) recovery in the event of a
payment default.  The rating actions reflect the extension of
our recovery ratings to all speculative-grade unsecured debt
issues.

"The rating affirmation and stable outlook reflect our view that
Lear's credit measures will remain within our expectations for
the ratings in the face of very challenging North American auto
sector conditions in 2008 and perhaps 2009," said Standard &
Poor's credit analyst Lawrence Orlowski.  In the first quarter
of 2008, which was affected by the American Axle strike, net
sales (excluding the 2007 divestiture of the interior business)
increased by US$75 million year-over-year and pretax income rose
by US$27 million over the year-earlier period.  The improvement
in profitability reflects savings from restructuring initiatives
and the driving of commercial settlements.

The ratings on Lear reflect a highly leveraged financial risk
profile--currently strong for the rating--combined with a weak
business risk position that is dominated by the intense
competitive pressures of the global auto supply industry.  Lear
has a solid market position in the global auto seating supply
sector (79% of revenues) and is a player in the
electrical/electronics auto supply market.

The outlook is stable because the company has shown significant
improvement in expanding cash flow and earnings.  But S&P
expects the operating environment for auto suppliers to remain
difficult in 2008, with Lear's leverage and heavy dependence on
the U.S. auto manufacturers making the company especially
vulnerable to negative developments.  Even if the company's
financial profile weakens in 2008, S&P expects it to remain
broadly consistent with the current rating metrics of adjusted
debt to EBITDA of less than 4x and FFO to debt of 15%.  To reach
the upper end of our expected debt to EBITDA metric, Lear's
EBITDA would have to drop an estimated 30% from the levels of
the 12 months ended March 29, 2008.  S&P could revise the
outlook back to negative if industry conditions deteriorate more
than expected and if reduced production and higher raw material
prices significantly impair profitability.

Based in Southfield, Michigan, Lear Corporation (NYSE:LEA) --
http://www.lear.com/-- supplies automotive interior systems,   
electrical distribution systems and related electronic products.  
The company has around 91,000 employees at 215 facilities in 35
countries.  Outside the United States, Lear has subsidiaries in
Germany, Luxembourg, Sweden, Singapore, China, India and Mexico,
among others.


NATURSTEINHANDEL HEISIG: Claims Registration Period Ends June 9
---------------------------------------------------------------
Creditors of Natursteinhandel Heisig GmbH have until June 9,
2008, to register their claims with court-appointed insolvency
manager Christoph Bode.

Creditors and other interested parties are encouraged to attend
the meeting at 2:30 p.m. on June 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 Delmenhorst
          Hall 2
          Branch 1
          Cramerstrasse 183
          27749 Delmenhorst
          Germany

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

The insolvency manager can be reached at:

          Dr. Christoph Bode
          Langenweg 55
          26125 Oldenburg
          Germany
          Tel: 0441 9710 169
          Fax: 0441 9710 299

The District Court of Delmenhorst opened bankruptcy proceedings
against Natursteinhandel Heisig GmbH on April 16, 2008.  
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be reached at:

          Natursteinhandel Heisig GmbH
          Attn: Lothar Heisig, Manager
          Wolfsheide 8
          27777 Ganderkesee
          Germany


NRG ENERGY: Calpine Discloses Receipt of Merger Proposal
--------------------------------------------------------
Calpine Corporation on Wednesday confirmed that on May 14, 2008,
it received an unsolicited proposal from NRG Energy, Inc.
regarding a potential combination between Calpine and NRG.

The terms of NRG's proposal included an all-stock merger
transaction at a fixed exchange ratio of 0.534x, which implies a
premium of 6.7% based on the closing prices of both companies'
stocks as of May 21, 2008.

Consistent with its fiduciary duties and in consultation with
its financial advisor and legal counsel, Calpine's Board of
Directors will continue to review the NRG proposal to determine
if it is in the best interest of Calpine's shareholders.  
Calpine said that its shareholders need not take any action at
this time.

Goldman Sachs & Co is serving as financial advisor to Calpine,
and Skadden, Arps, Slate, Meagher & Flom LLP is legal counsel.

                          About Calpine

Calpine Corporation --  http://www.calpine.com/-- (NYSE:CPN)
is helping meet the needs of an economy that demands more and
cleaner sources of electricity.  Founded in 1984, Calpine is a
major U.S. power company, currently capable of delivering nearly
24,000 megawatts of clean, cost-effective, reliable, and fuel-
efficient electricity to customers and communities in 18 states
in the United States.  The company owns leases and operates low-
carbon, natural gas-fired, and renewable geothermal power
plants.  Using advanced technologies, Calpine generates
electricity in a reliable and environmentally responsible manner
for the customers and communities it serves.  Calpine owns,
leases and operates integrated systems of plants in 21 U.S.
states and in three Canadian provinces.  The company also has
Italy, Luxembourg and the United Kingdom.

The company and its affiliates filed for chapter 11 protection
on Dec. 20, 2005 (Bankr. S.D.N.Y. Lead Case No. 05-60200).  
Richard M. Cieri, Esq., Matthew A. Cantor, Esq., Edward
Sassower, Esq., and Robert G. Burns, Esq., Kirkland & Ellis LLP
represented the Debtors in their succesful restructuring.  
Michael S. Stamer, Esq., at Akin Gump Strauss Hauer & Feld LLP,
represented the Official Committee of Unsecured Creditors.

On Feb. 3, 2006, two more affiliates, Geysers Power Company,
LLC, and Silverado Geothermal Resources, Inc., filed voluntary
chapter 11 petitions (Bankr. S.D.N.Y. Case Nos. 06-10197 and 06-
10198).  On Sept. 20, 2007, Santa Rosa Energy Center, LLC,
another affiliate, also filed a voluntary chapter 11 petition
(Bankr. S.D.N.Y. Case No. 07-12967).

On June 20, 2007, the Debtors filed their Chapter 11 Plan and
Disclosure Statement.  On Aug. 27, 2007, the Debtors filed their
Amended Plan and Disclosure Statement.  Calpine filed a Second
Amended Plan on Sept. 19, 2007 and on Sept. 24, 2007, filed a
Third Amended Plan.  On Sept. 25, 2007, the Court approved the
adequacy of the Debtors' Disclosure Statement and entered a
written order on September 26.  On Dec. 19, 2007, the Court
confirmed the Debtors' Plan.  The Amended Plan was deemed
effective as of January 31, 2008.

                           About NRG

NRG Energy, Inc. -- http://www.nrgenergy.com/-- (NYSE:NRG) owns  
and operates a diverse portfolio of power generating facilities,
primarily in Texas and the Northeast, South Central and West
regions of the United States.  Its operations include baseload,
intermediate, peaking, and cogeneration and thermal energy
production facilities.  NRG also has ownership interests in
generating facilities in Australia and Germany.


NRG ENERGY: Confirms Calpine's Disclosure on Proposal
-----------------------------------------------------
In light of the disclosure of the terms of its offer by Calpine
Corporation, NRG Energy, Inc. confirmed its proposal to enter
into a combination with Calpine Corporation.

In a letter dated May 14, 2008, NRG proposed to purchase all of
Calpine’s outstanding capital stock in an all stock transaction.

The proposed fixed exchange ratio would be 0.534 NRG shares
which represents approximately $23 per Calpine share as of May
14, 2008.  This offer represents a 16% premium to the May 13,
2008 closing price and approximately 20% to the 30-day trading
average for Calpine stock price at that time.

“The combined company would be the culmination of what we in
this industry have aspired to become,” said David Crane,
President and Chief Executive Officer, NRG Energy.  “We look
forward to working with Calpine to demonstrate the full
potential of the benefits enumerated in our letter for our
respective shareholders. This is, quite simply, the right deal,
at the right point in time, between the right partners.”

                          About Calpine

Calpine Corporation --  http://www.calpine.com/-- (NYSE:CPN)
is helping meet the needs of an economy that demands more and
cleaner sources of electricity.  Founded in 1984, Calpine is a
major U.S. power company, currently capable of delivering nearly
24,000 megawatts of clean, cost-effective, reliable, and fuel-
efficient electricity to customers and communities in 18 states
in the United States.  The company owns leases and operates low-
carbon, natural gas-fired, and renewable geothermal power
plants.  Using advanced technologies, Calpine generates
electricity in a reliable and environmentally responsible manner
for the customers and communities it serves.  Calpine owns,
leases and operates integrated systems of plants in 21 U.S.
states and in three Canadian provinces.  The company also has
Italy, Luxembourg and the United Kingdom.

The company and its affiliates filed for chapter 11 protection
on Dec. 20, 2005 (Bankr. S.D.N.Y. Lead Case No. 05-60200).  
Richard M. Cieri, Esq., Matthew A. Cantor, Esq., Edward
Sassower, Esq., and Robert G. Burns, Esq., Kirkland & Ellis LLP
represented the Debtors in their succesful restructuring.  
Michael S. Stamer, Esq., at Akin Gump Strauss Hauer & Feld LLP,
represented the Official Committee of Unsecured Creditors.

On Feb. 3, 2006, two more affiliates, Geysers Power Company,
LLC, and Silverado Geothermal Resources, Inc., filed voluntary
chapter 11 petitions (Bankr. S.D.N.Y. Case Nos. 06-10197 and 06-
10198).  On Sept. 20, 2007, Santa Rosa Energy Center, LLC,
another affiliate, also filed a voluntary chapter 11 petition
(Bankr. S.D.N.Y. Case No. 07-12967).

On June 20, 2007, the Debtors filed their Chapter 11 Plan and
Disclosure Statement.  On Aug. 27, 2007, the Debtors filed their
Amended Plan and Disclosure Statement.  Calpine filed a Second
Amended Plan on Sept. 19, 2007 and on Sept. 24, 2007, filed a
Third Amended Plan.  On Sept. 25, 2007, the Court approved the
adequacy of the Debtors' Disclosure Statement and entered a
written order on September 26.  On Dec. 19, 2007, the Court
confirmed the Debtors' Plan.  The Amended Plan was deemed
effective as of January 31, 2008.

                           About NRG

NRG Energy, Inc. -- http://www.nrgenergy.com/-- (NYSE:NRG) owns  
and operates a diverse portfolio of power generating facilities,
primarily in Texas and the Northeast, South Central and West
regions of the United States.  Its operations include baseload,
intermediate, peaking, and cogeneration and thermal energy
production facilities.  NRG also has ownership interests in
generating facilities in Australia and Germany.


NRG ENERGY: S&P Puts B+ Credit Rating Under Negative Watch
----------------------------------------------------------
Standard & Poor's Ratings Services placed its 'B+' corporate
credit rating on NRG Energy Inc. on CreditWatch with negative
implications and its 'B' corporate credit rating on Calpine
Corp. on CreditWatch with positive implications.

These rating actions follow the disclosure that NRG's board, via
a private letter to the Calpine board, made an all-stock offer
to purchase 100% of the outstanding shares of Calpine at an
exchange ratio of 0.534 shares of NRG for each share of Calpine.
It is not clear how long it would take before a formal
transaction is agreed upon, if at all.  However, NRG's letter to
Calpine's board says that NRG anticipates it will be able to
conduct its further necessary confirmatory due diligence within
a three-week period.

"Although formal discussions between the two companies are just
commencing and the terms of the deal could change, based on the
current all-stock proposal, we think that NRG's acquisition of a
much less hedged and more leveraged Calpine would likely result
in the combined company being rated either 'B+' or 'B'," said
Standard & Poor's credit analyst Swami Venkataraman.  "However,
the transaction has both strengths and weaknesses that may
potentially drive ratings outside this range, although we
consider that an unlikely outcome at this stage."

The most important determinant of the final rating outcome is
the deal's final financing structure and our view of the
financial performance of the combined company.  The all-stock
transaction structure currently proposed is clearly the least
detrimental to NRG's credit quality, but the final transaction
structure is uncertain. In its press release, Harbinger Capital
called the offer a "good starting point."  If NRG agrees to a
significantly higher valuation for Calpine, the dilution implied
by an all-stock transaction may be unacceptable to NRG's
shareholders and a final deal may potentially involve
incremental debt.

Under the terms of Calpine's exit financing, change of control
is an event of default.  Thus, an acquisition by NRG could
require refinancing or repricing of Calpine's debt, which was
committed before the credit crunch and carries attractive
pricing compared to current market conditions.  An increased
cost of borrowing of about US$6 billion of Calpine's emergence
financing would be a credit negative.


PR BAU GMBH: Claims Registration Period Ends June 10
----------------------------------------------------
Creditors of PR Bau GmbH have until June 10, 2008, to register
their claims with court-appointed insolvency manager Konrad
Menz.

Creditors and other interested parties are encouraged to attend
the meeting at 10:30 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 Memmingen
         Meeting Hall 103
         Ground Floor
         Buxacher Strasse 6
         Memmingen
         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:

         Konrad Menz
         Frauenstr. 14
         89073 Ulm
         Germany
         Tel. 0731/92288-0
         Fax: 0731/9228888

The District Court of Memmingen opened bankruptcy proceedings
against PR Bau GmbH on April 22, 2008.  Consequently, all
pending proceedings against the company have been automatically
stayed.

The Debtor can be reached at:

        PR Bau GmbH
        Attn: Peter Rauth, Manager
        Lessingstr. 20
        87700 Memmingen
        Germany


PRISMA TECH: Claims Registration Period Ends June 10
----------------------------------------------------
Creditors of Prisma Tech Products GmbH have until June 10, 2008,
to register their claims with court-appointed insolvency manager
Hans-Joerg Derra.

Creditors and other interested parties are encouraged to attend
the meeting at 9:00 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 Neu-Ulm
         Heiner-Metzger-Platz 1
         Zi. 211/II
         89231 Neu-Ulm
         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-Joerg Derra
         Frauenstrasse 14
         89073 Ulm
         Germany
         Tel: 0731/922880
         Fax: 0731/9228888

The District Court of Neu-Ulm opened bankruptcy proceedings
against Prisma Tech Products GmbH on April 30, 2008.  
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be reached at:

        Prisma Tech Products GmbH
        Pfaffenweg 27
        89231 Neu-Ulm
        Germany


S&D STADT: Claims Registration Period Ends June 9
-------------------------------------------------
Creditors of S&D STADT & DORF Planungs-Gesellschaft mbH have
until June 9, 2008, to register their claims with court-
appointed insolvency manager Mark Zeuner.

Creditors and other interested parties are encouraged to attend
the meeting at 10:15 a.m. on July 7, 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 Schwerin
          Hall 7
          Demmlerplatz 14
          19053 Schwerin
          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. Mark Zeuner
          Beethovenstr. 13
          19053 Schwerin
          Germany

The District Court of Schwerin opened bankruptcy proceedings
against S&D STADT & DORF Planungs-Gesellschaft mbH on May 1,
2008.  Consequently, all pending proceedings against the company
have been automatically stayed.

The Debtor can be reached at:

          S&D STADT & DORF Planungs-Gesellschaft mbH
          Attn: Peter Kausch, Manager
          Obotritenring 17
          19053 Schwerin
          Germany


SCHWALMSTADT-BAUMARKT: Claims Registration Period Ends June 9
-------------------------------------------------------------
Creditors of Schwalmstadt-Baumarkt Verwaltung Heinrich Schmitt
jun. GmbH have until June 9, 2008, to register their claims with
court-appointed insolvency manager Manfred Kuhne.

Creditors and other interested parties are encouraged to attend
the meeting at 8:30 a.m. on July 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 Marburg/Lahn
          Hall 159
          Universitatsstrasse 48
          35037 Marburg/Lahn
          Germany

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

The insolvency manager can be reached at:

          Manfred Kuhne
          Fach 31
          Schwanallee 18-20
          35037 Marburg
          Germany
          Tel: 06421/407960
          Fax: 06421/15858

The District Court of Marburg/Lahn opened bankruptcy proceedings
against Schwalmstadt-Baumarkt Verwaltung Heinrich Schmitt jun.
GmbH on April 7, 2008.  Consequently, all pending proceedings
against the company have been automatically stayed.

The Debtor can be reached at:

          Schwalmstadt-Baumarkt Verwaltung
          Heinrich Schmitt jun. GmbH
          Erich-Rohde-Strasse 8
          34613 Schwalmstadt
          Germany


SPECTRUM BRANDS: Sells Pet Biz to Salton Inc. for US$692MM Cash
---------------------------------------------------------------
Spectrum Brands signed a definitive agreement with Salton Inc.
and its subsidiary, Applica Pet Products LLC, for the sale of
its Global Pet Business for US$692.5 million in cash and an
aggregate principal amount of the company's subordinated debt
securities equal to US$222.5 million less an amount equal to
accrued and unpaid interest on such subordinated debt securities
since the dates of the last interest payments thereon, which,
depending on when the closing occurs, could be an amount of up
to approximately US$6.5 million.

Under and subject to the terms of the agreement, Salton will pay
the company US$692.5 million of the purchase price in cash and
will surrender a principal amount of the company's Variable Rate
Toggle Senior Subordinated Notes due 2013, also referred to as
PIK Notes, equal to US$98 million less an amount equal to
accrued and unpaid interest, and a principal amount of the
company's 7-3/8% Senior Subordinated Notes due 2015 equal to
US$124.5 million less an amount equal to accrued and unpaid
interest.

Additionally, the agreement between the parties provides that if
the adjusted EBITDA derived from the 2007 audited financial
statements of the Global Pet Business is more than US$3 million
less than US$92.9 million, the purchase price will be reduced by
a multiple of 10 times the incremental difference.  These
audited segment level results are required to be delivered to
Salton prior to the close of the sale.

The company does not believe, based on available information,
that any purchase price adjustment related to the audited
adjusted EBITDA will be required.  In addition, the purchase
price is subject to adjustment for changes in working capital
prior to closing and certain expenses incurred in connection
with the sale.

In the event of any purchase price increase as a result of such
adjustments, the proportion of the purchase price that is paid
in cash may be increased.  Funding for the transaction will be
provided by an equity investment to Salton provided by Harbinger
Capital Partners Master Fund I Ltd. and Harbinger Capital
Partners Special Situations Fund L.P., the controlling
stockholders of Salton.

Consistent with its communicated strategies, the company will
apply the net cash proceeds from the sale to pay down a portion
of its ABL facility and other senior bank facilities in
accordance with the company's debt agreements.

"The sale of our Global Pet Supply business for a full and fair
value is a critical step toward achieving one of our key
priorities, improving the overall capital structure of this
company," Kent Hussey, chief executive officer, said.  "We
estimate that this transaction will decrease our total leverage
ratio of approximately 8.5 as of March 30, 2008 to approximately
7.8 on a pro forma basis and will provide greater flexibility to
our remaining core businesses."

"Additonally, we estimate that this transaction will decrease
our senior leverage ratio from approximately 5.0 as of March 30,
2008, to approximately 4.0 on a pro forma basis," Mr. Hussey
said.  "The company also estimates that its annualized cash
interest expense will be reduced by approximately $70 million as
a result of this transaction."

Subject to approval of its senior lenders and certain regulatory
and other statutory notices and filings, the company expects the
transaction to close by the end of August 2008.

Sutherland acted as legal advisor to the company and Skadden
Arps Slate Meagher Flom LLP also provided certain legal advice
to the company in connection with the transaction.  Goldman,
Sachs & Co. is acting as the company's financial advisor.

                        About Salton Inc.

Headquartered in Lake Forest, Illinois, Salton Inc. --
http://www.saltoninc.com/--  (NYSE:SFP) designs, markets and  
distributes branded, high-quality small appliances, home decor
and personal care products.  Its product mix includes a range of
small kitchen and home appliances, electronics for the home,
time products, lighting products, picture frames and personal
care and wellness products.

                  About Spectrum Brands

Headquartered in Atlanta, Georgia, Spectrum Brands Inc. (NYSE:
SPC) -- http://www.spectrumbrands.com/-- is a supplier of     
consumer batteries, lawn and garden care products, specialty pet
supplies, shaving and grooming products, household insect
control products, personal care products and portable lighting.

The company's European unit, Rayovac Europe GmbH, is
headquartered in Sulzbach, Germany.  Outside the United States,
the company also has manufacturing facilities in Brazil,
Columbia and China.


SPECTRUM BRANDS: Salton Deal Prompts Fitch to Hold Ratings
----------------------------------------------------------
Following the announcement that Spectrum Brands has signed a
definitive agreement with Salton, Inc. for the sale of its
Global Pet Business for approximately US$692.5 million in cash
and an aggregate principal amount of Spectrum's subordinated
debt securities equal to US$222.5 million, Fitch affirms
Spectrum Brands, Inc. ratings as:

-- Issuer Default Rating at 'CCC';

-- US$1 billion term loan B at 'B/RR1';

-- US$225 million ABL at 'B/RR1';

-- EUR350 million term loan at 'B/RR1';

-- US$700 million 7.4% senior sub note at 'CCC-/RR5';

-- US$2.9 million 8.5% senior sub note at 'CCC-/RR5';

-- US$347 million 11.25% variable rate toggle senior sub note
    at 'CCC-/RR5'

The Rating Outlook is Negative.

The ratings reflect SPC's high leverage and thin coverage
metrics on a pro-forma basis despite the significant decline in
debt levels expected upon the transaction close.  On a pro-forma
last 12-month basis adjusting for the Lawn & Garden segment
which is now being recorded as part of continuing operations,
leverage would improve modestly to 8.4 times from approximately
8.9x at March 31, 2008 and interest coverage on an EBITDA basis
will remain basically flat at 1.25x.  Overall, the change in
credit metrics shows marginal improvement.  Further, Pet
represents approximately a third of EBITDA before corporate
overhead and is a steady year-round performer which improves the
company's earnings quality.  

While the remaining businesses have offsetting seasonality, the
company's business profile is not as strong with the sale of the
Pet segment, in Fitch's view.  The rating takes into account
Spectrum's adequate liquidity, more financial flexibility within
its indenture covenants, and an expectation that operations in
the remaining businesses will be sustained.

The Negative Outlook encompasses the deterioration in financial
and credit protection measures since 2005, a modest increase in
business risk with this transaction, and the potential that
other actions may take place as the company executes its plans
to improve its capital structure, which may include other asset
sales.  Fitch will be reviewing Spectrum's performance over the
summer and holiday season to gain a better understanding of the
company's profitability and cash flow going forward.

Spectrum is a global branded consumer products company with
operations in seven product categories: consumer batteries; lawn
and garden; pet supplies; electric shaving and grooming;
household insect control; electric personal care products; and
portable lighting.


SPECTRUM BRANDS: Salton Deal Cues S&P to Put Ratings Under Watch
----------------------------------------------------------------
Standard & Poor's Ratings Services placed its ratings on
Atlanta-based Spectrum Brands Inc., including the 'CCC+' long-
term corporate credit rating, on CreditWatch with positive
implications.  The CreditWatch status indicates that S&P could
either raise or affirm the ratings following the completion of
its review.  Approximately US$2.6 billion of debt was
outstanding as of March 30, 2008.
     
"The rating action follows the company's announcement that it
has signed a definitive agreement with Salton Inc. and its
wholly owned subsidiary, Applica Pet Products LLC, to sell
Spectrum's global pet business for US$915 million in total or a
10x EBITDA multiple," said Standard & Poor's credit analyst
Patrick Jeffrey.  

S&P expects the transaction to improve the company's leverage to
about 8x from the mid-8x area and enhance financial flexibility.  
In addition, the company has demonstrated operating and
liquidity improvement over the past several quarters.  However,
the sale of Spectrum's pet business will result in a less
diversified business portfolio.  Spectrum Brands is a leading
global branded consumer products company with brands that
include Rayovac and Remington.
   
Standard & Poor's will meet with management to discuss the
impact of this transaction on the company's business profile,
capital structure, and liquidity.  S&P are unlikely to raise the
corporate credit rating more than one notch as a result of this
review.


SPECTRUM BRANDS: Salton Deal Prompts Moody's to Review Ratings
--------------------------------------------------------------
Moody's Investors Service placed the Caa1 corporate family
rating and Caa1 probability of default rating of Spectrum Brands
under review following the announcement that Spectrum has
entered into a definitive agreement to sell its Global Pet
business to Applica Pet Products, a subsidiary of Salton, Inc.,
for over US$900 million.

"The combination of high leverage, declining operating
performance trends, and limited financial flexibility are the
principal constraints on Spectrum's rating" said Kevin Cassidy,
Vice President/Senior Credit Officer at Moody's Investors
Service.  At the same time, product diversification and the
general stability of the Global Pet division, which has helped
offset the decline in the Home and Garden and Global Batteries
and Personal Care businesses, support Spectrum's ratings.

"While the transaction may arguably diminish the company's
credit profile due to the sale of its most stable business, it
should improve Spectrum's financial flexibility as secured debt
will be reduced by close to US$700 million, resulting in a
reduction of both senior leverage (a little less than 1 turn)
and total leverage (about .5 turns) and increased head room
under financial covenants" noted Cassidy.  The transaction
should also improve the company's liquidity profile as it will
pay down a portion of its US$300 million ABL facility.

The review will focus on the company's strategy to reverse the
negative operating trends over the past couple of years
(notwithstanding recent improvements) in its Home and Garden and
Global Batteries and Personal Care businesses and possible
strategic capital structure alternatives.  If the transaction
closes without any material modifications, the ratings on the
secured credit facility (term loan and synthetic letter of
credit) and the ratings on both tranches of subordinated debt
would likely be affirmed or possibly upgraded.  Moody's said an
upgrade to the instrument ratings may occur if the CFR and PDR
are affirmed due to the change in the capital structure with a
significant decrease in secured debt relative to unsecured debt.
The LGD assessments are also subject to change, the direction of
which is uncertain.

Ratings on review for possible downgrade:

   -- Corporate family rating at Caa1;
   -- Probability of default rating at Caa1;

Ratings affirmed:

   -- US$700 million 7.375% senior subordinated bonds due 2015
      at Caa3 (LGD 5, 83%);

   -- US$350 million variable rate toggle senior subordinated
      notes due 2013 at Caa3 (LGD 5, 83%);

   -- US$1.55 billion senior secured revolving credit facility
      due 2013 at B2 (LGD 2, 29%);

   -- US$50 million synthetic letter of credit facility due 2013
      at B2 (LGD 2, 29%)

Headquartered in Atlanta, Georgia, Spectrum Brands, Inc. is a
global consumer products company with a diverse product
portfolio including consumer batteries, lawn and garden,
electric shaving and grooming, and household insect control.
Spectrum reported sales of US$2 billion for the twelve months
ended March 2008.


SPECTRUM BRANDS: Not In Talks for Sale of Home and Garden Biz
-------------------------------------------------------------
Spectrum Brands, Inc., currently is not involved in on-going
discussions with potential purchasers of its Home and Garden
Business.

Spectrum Brands issued the statement in its reply to an inquiry
by the staff of the Securities and Exchange Commission regarding
matter reported in the company's Form 10-K for the fiscal year
ended September 30, 2007, filed December 14, 2007; Form 10-Q for
the fiscal quarter ended December 30, 2007; and Form 8-K dated
February 7, 2008.

In its letter to the Company dated February 22, 2008, the SEC
staff asked the company to explain, among others, its planned
divestiture of its Home and Garden Business.

Spectrum Brands related that it engaged independent investment
advisors to assist it in exploring possible strategic options,
including divesting certain assets, to sharpen the Company's
focus on strategic growth businesses, reduce outstanding
indebtedness and maximize long-term shareholder value.  During
the first quarter of Fiscal 2007, the company approved and
initiated a plan to sell the Home and Garden Business.

During the first and second quarters of Fiscal 2007, the Company
engaged in substantive negotiations with a potential purchaser
as to definitive terms for the purchase of the Home and Garden
Business; however, the potential purchaser ultimately determined
not to pursue the acquisition.  The Company continued to
actively market the Home and Garden Business after such time,
however, the Fiscal 2007 selling season for lawn and garden and
household insect control product offerings was significantly
negatively impacted by extremely poor weather conditions
throughout the United States, resulting in poor operating
performance of the Home and Garden Business.  In addition,
during the fourth quarter of Fiscal 2007 there was an
unforeseen, rapid and significant tightening of liquidity in the
U.S. credit markets.  This tightening of liquidity within the
credit markets had a direct impact on the expected proceeds that
the Company would ultimately receive in connection with a sale
of the Home and Garden Business.

To address these issues, during the fourth quarter of Fiscal
2007, the company, with assistance from its independent
investment advisors, reassessed the value of the Home and Garden
Business to take into account the changes in the credit markets
and the weaker than planned operating performance during the
Fiscal 2007 selling season so as to ensure that the Home and
Garden Business was being marketed at a price that was
reasonable in relation to its current fair value.  The
reassessment by the company, with assistance from its
independent investment advisors, produced a lower range of
expected sales values than was previously determined.

As a result of the reassessment, the Company recorded an
impairment charge against the Home and Garden Business during
the fourth quarter of Fiscal 2007 to reflect its fair value as
determined by the Company with assistance from its independent
investment advisors.  Subsequent to taking the impairment
charge, and thereby revising expectations of the proceeds that
will ultimately be received upon a sale of the Home and Garden
Business, the Company continued to be in active discussions with
various potential purchasers.

In its inquiry, the SEC staff also asked the company to explain
the redemption feature related to the Variable Rate Toggle
Senior Subordinated Notes due 2013 the Company issued.

Spectrum Brands explained the Variable Rate Toggle Senior
Subordinated Notes due October 2, 2013, as well as its Senior
Subordinated Notes due February 1, 2015, and its Senior
Subordinated Notes due October 1, 2013, contain certain
provisions that require the Company to make an offer to
repurchase the notes for a specified redemption price upon the
occurrence of a change in control.  Spectrum Brands said the
redemption provisions provide for settlement solely in cash.

Spectrum Brands also noted that following its offer to exchange
the entire $350 million of outstanding principal amount of the
Company's 8-1/2% Senior Subordinated Notes due 2013 for the same
aggregate principal amount of Variable Rate Toggle Senior
Subordinated Notes due 2013 pursuant to the terms of an exchange
offer which expired on April 13, 2007, approximately $3 million
aggregate principal amount of the Company's 8-1/2% Senior
Subordinated Notes due 2013 remained outstanding and that
substantially all of the restrictive covenants contained in the
Indenture that governs the Company's remaining 8-1/2% Senior
Subordinated Notes due 2013 were removed.  As a result, the
Indenture governing the Company's 8-1/2% Senior Subordinated
Notes due 2013 no longer contains a provision that requires the
company to make an offer to repurchase the notes for a specified
redemption price upon the occurrence of a change in control.  
Spectrum Brands promised to clarify this fact in its future
filings.

A full-text copy of Spectrum Brand's response to the SEC staff
inquiry is available at no charge at:

               http://ResearchArchives.com/t/s?2c12

                      About Spectrum Brands

Headquartered in Atlanta, Georgia, Spectrum Brands Inc. (NYSE:
SPC) -- http://www.spectrumbrands.com/-- is a supplier of    
consumer batteries, lawn and garden care products, specialty pet
supplies, shaving and grooming products, household insect
control products, personal care products and portable lighting.

The company's European unit, Rayovac Europe GmbH, is
headquartered in Sulzbach, Germany.  Outside the United States,
the company also has manufacturing facilities in Brazil,
Columbia and China.


STIERLE MODULAR: Claims Registration Ends June 10
-------------------------------------------------
Creditors of stierle modular gmbH have until June 10, 2008 to
register their claims with court-appointed insolvency manager
Heike Metzger.

Creditors and other interested parties are encouraged to attend
the meeting at 10:00 a.m. on July 7, 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 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:

         Heike Metzger
         Hauptstrasse 161
         68259 Mannheim
         Germany
         Tel: 0621/4328899-0
         Fax: 0621/4328899-50

The District Court of Heilbronn opened bankruptcy proceedings
against stierle modular gmbH on May 1, 2008.  Consequently, all
pending proceedings against the company have been automatically
stayed.

The Debtor can be reached at:

         stierle modular gmbH
         Attn: Hans-Dieter Stierle, Manager
         Pforzheimer Strasse 3-5
         71665 Vaihingen
         Germany


SWR WASSER: Claims Registration Ends June 10
--------------------------------------------
Creditors of SWR Wasser- und Rohrleitungsbau GmbH Schleiz have
until June 10, 2008 to register their claims with court-
appointed insolvency manager Hanns Poellmann.

Creditors and other interested parties are encouraged to attend
the meeting at 1:50 p.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 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:

         Hanns Poellmann
         Blankenburger Str. 3
         07318 Saalfeld
         Germany

The District Court of Gera opened bankruptcy proceedings against
SWR Wasser- und Rohrleitungsbau GmbH Schleiz on April 30, 2008.  
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be reached at:

         SWR Wasser- und Rohrleitungsbau GmbH Schleiz
         Heinrichsruh 18
         07907 Schleiz
         Germany


VISTEON CORP: Moody's Affirms B3 Corporate Family Rating
--------------------------------------------------------
Moody's Investors Service affirmed Visteon Corporation's debt
ratings, including:

   -- Corporate Family Rating of B3;
   -- Probability of Default of B3;
   -- senior secured term loan rating of Ba3;
   -- senior unsecured notes of Caa2; and
   -- Speculative Grade Liquidity rating of SGL-3.

In a related action, Moody's assigned a prospective rating to
Visteon's proposed senior unsecured notes, (P)Caa1 (LGD4, 66%).
The outlook remains negative.

The new senior unsecured note will be combined with
approximately US$150 million of cash and used to tender for
approximately US$344 million of Visteon's existing senior
unsecured notes due 2010.  The transaction will result in a
slight deleveraging of the company's balance sheet and will
lessen debt maturity requirements in 2010.  The new senior
unsecured notes are expected to have a maturity of 2016.
Subsequent to the proposed transaction Visteon will continue to
maintain significant liquidity which should support the
company's ongoing restructuring actions.  The tender for the
senior unsecured notes is not expected to change any of the
terms and conditions of the company's existing debt. The new
senior unsecured debt will have the benefit of guarantees from
domestic subsidiaries, and will have certain covenant baskets
aligned with the company's existing senior secured facilities.
The subsidiary guarantees of the proposed notes support their
Caa1 rating and the one-notch differential relative to the
unguaranteed notes which remain rated Caa2.  While the new
senior unsecured note will have a higher coupon, the impact of
the transaction will nominally decrease the company's cash
interest expense.  The transaction is viewed as supportive of
the rating in that it will effectively address a portion of the
company's 2010 debt maturities.

The B3 Corporate Family Rating continues to recognize Visteon's
weak credit metrics and the risk in executing a restructuring
program which is essential to the company's long term viability.
In part, the company's financial and operating challenges result
from meaningful reductions in market share and build-rates by
its largest customer, Ford, as well as challenging industry
conditions affecting most auto makers and suppliers in North
America.  Visteon continues to improve its customer mix (sales
to Ford's North American operations in the first quarter of 2008
represented about 12% of revenues) and book of new business
awards.  Nevertheless, pricing pressures in the industry remain
significant, and continued cost reductions are necessary to
ensure adequate returns are achieved.

Even with this challenging operating environment, the company's
rating is supported by its liquidity profile. Visteon's SGL-3
Speculative Grade Liquidity Rating represents adequate liquidity
over the next 12 months. Cash at March 31, 2008 was US$1.6
billion with about 85% of this cash located in North America.
Negative free cash flow is expected in 2008 while Visteon
executes it restructuring program, but Moody's expects the
company's cash balances to be sufficient to cover the expected
free cash flow burn over the next twelve months. Visteon had
approximately, US$177 million available under its US$350 million
ABL revolver, after LC usage. In addition the company maintained
US$162 million of availability under its European
Securitization.  A fixed charge coverage covenant becomes
effective when availability under the revolving credit facility
falls below US$75 million, which is not expected. The rating
also reflects a limited scope to develop incremental alternative
liquidity arrangements given the extent of assets pledged.

The negative outlook incorporates Moody's current view of the
challenges facing Visteon in its North American markets,
including expected lower vehicle production rates, continued
market share erosion of its largest OEM customer, and the need
to fully execute a major restructuring program. Ford's recent
announcement of production declines for 2008 in North America
further exemplifies these pressures. However, partially
mitigating the impact of Ford's production decline is Visteon's
improving customer mix away from Ford North America and ongoing
restructuring efforts.  For the LTM period ending March 31,
2008, Visteon's debt/EBITDA (including Moody's standard
adjustments) approximated 5.6x. EBIT/interest coverage was
approximately 0.6x, while EBITDA/Interest was approximately
2.3x. Visteon's performance is expected to remain at these
levels over the near term, until the full effect of the
restructuring initiatives take effect. Positive free cash flow
is not expected until 2009.

Ratings Assigned:

   -- US$210 million proposed new senior unsecured notes --
      privately place without registration rights, (P)Caa1
      (LGD4, 66%);

A prospective rating has been assigned pending confirmation of
the final terms of the exchange transaction.  If the transaction
is completed in accordance with the currently proposed terms,
the rating will be affirmed and the prospective designation
removed.

Ratings affirmed:

Visteon Corporation

   -- Corporate Family Rating, B3

   -- Probability of default, B3

   -- Secured bank term loan, Ba3 (LGD2, 19%);

   -- Existing Unsecured notes, Caa2 (LGD6, 94%);

   -- Shelf filings for unsecured, subordinated, and preferred,
     (P)Caa2 (LGD6, 94%), (P)Caa2 (LGD6, 97%), and (P)Caa2
     (LGD6, 97%),respectively;

   -- Speculative Grade Liquidity rating, SGL-3

Visteon Capital Trust I

   -- Shelf filing trust preferred, (P)Caa2 (LGD6, 97%)

The last rating action was on March 26, 2007 at which time the
outlook was changed to negative.

Visteon's US$350 million revolving credit facility is not rated
by Moody's.

Visteon Corporation, headquartered in Van Buren Township,
Michigan, is a global tier 1 automotive supplier focused on
climate control systems, electronic/lighting products and
interiors.  Annual product revenues were US$11.3 billion in
2007.  The company has operations in 26 countries.


WEST-OST ALFA: Claims Registration Ends June 10
-----------------------------------------------
Creditors of WEST-OST ALFA GmbH have until June 10, 2008 to
register their claims with court-appointed insolvency manager
Rainer Michael Bahr.

Creditors and other interested parties are encouraged to attend
the meeting at 10:30 a.m. on July 9, 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 Hannover
         Hall 226
         Second Upper Floor
         Service Bldg.
         Hamburger Allee 26
         30161 Hannover
         Germany

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

The insolvency manager can be reached at:

         Rainer Michael Bahr
         Prinzenstr. 14
         30159 Hannover
         Germany
         Tel: 0511 8503058-0
         Fax: 0511 8503058-8

The District Court of Hannover opened bankruptcy proceedings
against WEST-OST ALFA GmbH on April 30, 2008.  Consequently, all
pending proceedings against the company have been automatically
stayed.

The Debtor can be reached at:

         WEST-OST ALFA GmbH
         Karl-Wiechert-Allee 66
         30625 Hannover
         Germany


WICHMANN KUECHEN: Claims Registration Ends June 10
--------------------------------------------------
Creditors of Wichmann Kuechen GmbH have until June 10, 2008 to
register their claims with court-appointed insolvency manager
Stefan Meyer.

Creditors and other interested parties are encouraged to attend
the meeting at 9:00 a.m. on July 1, 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 101 B
         Gerichtsstr. 2-6
         48149 Muenster
         Germany

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

The insolvency manager can be reached at:

         Stefan Meyer
         Ostertorstr. 7
         32312 Luebbecke
         Germany
         Tel: 05741-337300
         Fax: +495741337338

The District Court of Muenster opened bankruptcy proceedings
against Wichmann Kuechen GmbH on May 1, 2008.  Consequently, all
pending proceedings against the company have been automatically
stayed.

The Debtor can be reached at:

         Wichmann Kuechen GmbH
         Bahnhofstrasse 103
         49525 Lengerich
         Germany

         Attn: Erwin Kemna, Manager
         Gartenstr. 26
         48147 Muenster
         Germany


WILLI BODE: Claims Registration Ends June 10
--------------------------------------------
Creditors of Willi Bode Feinmechnik GmbH have until June 10,
2008 to register their claims with court-appointed insolvency
manager Dr. Peter Staufenbiel.

Creditors and other interested parties are encouraged to attend
the meeting at 8:30 a.m. on July 8, 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 Goettingen
         Hall B8
         Berliner Strasse 8
         37073 Goettingen
         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. Peter Staufenbiel
         Dransfelder Strasse 19 A
         37079 Goettingen
         Germany
         Tel: 0551/9000950
         Fax: 0551/9000955
         E-mail: info@hauter.com  

The District Court of Goettingen opened bankruptcy proceedings
against Willi Bode Feinmechnik GmbH on April 30, 2008.  
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be reached at:
         
         Willi Bode Feinmechnik GmbH
         Wilhelm-Berg-Strasse 6
         37079 Goettingen
         Germany


ZIMMEREI BRUNO: Claims Registration Period Ends June 10
-------------------------------------------------------
Creditors of Zimmerei Bruno Stollewerk GmbH have until June 10,
2008, to register their claims with court-appointed insolvency
manager Siegfried Mueller.

Creditors and other interested parties are encouraged to attend
the meeting at 9:15 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 Aachen
         Room D 1.401
         Adalbertsteinweg 92
         52070 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:

         Siegfried Mueller
         Zum Markt 10
         53894 Mechernich
         Germany
         Tel: 02443/9812-0
         Fax: 02443/9812-19

The District Court of Aachen opened bankruptcy proceedings
against Zimmerei Bruno Stollewerk GmbH on May 1, 2008.  
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be reached at:

         Zimmerei Bruno Stollewerk GmbH
         Attn: Andreas Ritter, Manager
         Am Muensterwald 4
         52159 Roetgen
         Germany


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


BIFROST INVESTMENTS: Fitch Cuts Class 10D Note's Ratings to BB
--------------------------------------------------------------
Fitch Ratings has placed six tranches of Bifrost Investments
Limited -Series 17's unfunded mezzanine swaps on Rating Watch
Negative and affirmed the remaining six tranches, as listed
below.

The rating actions reflect Fitch's view on the credit risk of
the rated tranches following the release of its new Corporate
CDO rating criteria.

   -- EUR160 million Class 5A Series due Aug. 17, 2008: affirmed
      at 'AAA'

   -- EUR115 million Class 5B Series due Aug. 17, 2008: affirmed
      at 'AAA'

   -- EUR63 million Class 5C Series due Aug. 17, 2008: affirmed
      at 'AAA'

   -- EUR50 million Class 5D Series due Aug. 17, 2008: affirmed
      at 'AA'

   -- EUR160 million Class 7A Series due Aug. 17, 2010: affirmed
      at 'AAA'

   -- EUR125 million Class 7B Series due Aug. 17, 2010: 'AAA';
      on RWN

   -- EUR67.5 million Class 7C Series due Aug. 17, 2010: 'AAA';
      on RWN

   -- EUR50 million Class 7D Series due Aug. 17, 2010: 'A+'; on
      RWN

   -- EUR190 million Class 10A Series due Aug. 17, 2013:
      affirmed at 'AAA'

   -- EUR150 million Class 10B Series due Aug. 17, 2013: 'AAA';
      on RWN

   -- EUR80 million Class 10C Series due Aug. 17, 2013: 'AA'; on
      RWN

   -- EUR65 million Class 10D Series due Aug. 17, 2013: 'BBB+';
      on RWN

Key drivers of this transaction's credit risk include an
increase of the portfolio's credit risk, with 13% of the
portfolio now rated sub-investment grade, compared to 7% at the
previous rating action in February 2007. In addition, portfolio
migration risk has increased, with 8% of the portfolio on RWN
and 11% on Negative Outlook. Fitch also notes the industry
concentration of 31% in the three largest sectors, made up of
11% in banking and finance, 10% in energy and 10% in
telecommunications.

Given Fitch's view of concentration and the current credit
quality of the portfolio, the credit enhancement levels below
are not sufficient to justify the current ratings of the
tranches being placed on RWN.

   -- Class 7B Series due Aug. 17, 2010: 6.33%

   -- Class 7C Series due Aug. 17, 2010: 4.98%

   -- Class 7D Series due Aug. 17, 2010: 3.98%

   -- Class 10B Series due Aug. 17, 2013: 7.3%

   -- Class 10C Series due Aug. 17, 2013: 5.7%

   -- Class 10D Series due Aug. 17, 2013: 4.4%

Resolution of the RWN will incorporate any changes made to the
portfolio or the transaction along with additional portfolio
migration.  If there are no significant changes prior to the
resolution of the RWN, the tranches will likely be downgraded to
the rating categories indicated.

   -- Class 7B Series due Aug. 17, 2010: 'AA' category
      (currently rated 'AAA')

   -- Class 7C Series due Aug. 17, 2010: 'A' category (currently
      rated 'AAA')

   -- Class 7D Series due Aug. 17, 2010: 'BBB' category
      (currently rated 'A+')

   -- Class 10B Series due Aug. 17, 2013: 'A' category
      (currently rated 'AAA')

   -- Class 10C Series due Aug. 17, 2013: 'BBB' category
      (currently rated 'AA')

   -- Class 10D Series due Aug. 17, 2013: 'BB' category
      (currently rated 'BBB+')

For the affirmed tranches, current credit enhancement levels are
deemed to be sufficient to justify their current ratings.  The
agency also took into consideration the short remaining time to
maturity of the Class 5 tranches in its decision to affirm those
ratings.

At closing, Bifrost, a special purpose vehicle incorporated
under the laws of Ireland, entered into 12 mezzanine credit
default swaps with BNP Paribas (rated 'AA'/'F1+'/Outlook
Stable), under which it provides notional protection on a static
reference portfolio of 100 corporate entities with a total
notional value of EUR5 billion.  The mezzanine swaps for each
series relate to the same reference portfolio of corporate
entities, although the swaps have different loss thresholds and
maturity dates.

Fitch released its updated criteria on April 30, 2008, for
Corporate CDOs and, at that time, noted it would be reviewing
its ratings accordingly to establish consistency for existing
and new transactions.  As part of this review, Fitch makes
standard adjustments for any names on RWN or Outlook Negative,
reducing such ratings for default analysis purposes by two
notches and one notch, respectively.  Fitch has noted its review
will be focused first on ratings most exposed to risks it has
highlighted in its updated criteria.  Committees are also
reviewing transactions that are least impacted by the new
criteria and/or portfolio migration.  Resolution of these Rating
Watches will depend on the plans managers/arrangers may choose
to execute and communicate to address these concerns.


HORMANN ELECTRONICS: Shuts Down Operations; 138 Jobs Lost
---------------------------------------------------------
Hormann Electronics Ltd. has shut down its operations with 138
employees being made redundant, following a business review,
published reports say.

As previously reported in the TCR-Europe, the company went under
receivership as a result of being unable to catch up with
competition from Eastern Europe as well as those from the Far
East.  David Gilbert and Liam Dowdall of BDO Simpson Xavier were
appointed as joint receivers on May 9, 2008.

Based in Cork, Ireland, Hormann Electronics Ltd. --
http://www.hormann.ie/-- is an electronics contract  
manufacturing company offering full turnkey services, ranging
from Printed Circuit board assembly and test, through full
system build and supply chain management.


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


ALITALIA SPA: Deloitte & Touche May Not Certify 2007 Accounts
-------------------------------------------------------------
Deloitte & Touche LLP may not certify Alitalia S.p.A.'s 2007
financial accounts if there is no certainty that the carrier's
planned capital increase is successful, Bloomberg News relates  
citing an unsourced Corriere della Sera report.

As reported in the TCR-Europe on Feb. 1, 2008, Alitalia's board
of directors determined that the company needs to carry out a
EUR750-million capital increase in the first half of 2008 to
sustain the cash-to-hand at adequate operating levels.

                         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, including United States, Canada,
Japan and Argentina.  The Italian government owns 49.9% of
Alitalia.

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.


ALITALIA SPA: Italy to Convert EUR300-Million Loan to Equity
------------------------------------------------------------
The Italian government will convert its EUR300 million loan to
equity in order to gain approval from Alitalia S.p.A.’s Board of
Auditors, various reports say.

Agenzia Giornalistica Italia relates that according Italian
Economic Minister Giulio Tremonti, the decision is “a temporary
measure to prevent the Board of auditors from raising
objections.”

According to Mr. Tremonti, Reuters adds, Italy will provide
details of the measure to the European Commission, which is
currently reviewing whether the loan breaks its state aid rules.

                     Italy’s Bridge Loan

As previously reported in the Troubled Company Reporter-Europe,
the carrier received a EUR300-million emergency loan pledged by
the Italian government.

The European Commission however is reviewing the loan for
possible violation of the European Union rule on state aid.  The
EC has given the Italian government until May 30, 2008 to
provide details on the loan.

                         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, including United States, Canada,
Japan and Argentina.  The Italian government owns 49.9% of
Alitalia.

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.


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


AMANGELDY-2030 LLP: Creditors Must File Claims by June 27
---------------------------------------------------------  
The Specialized Inter-Regional Economic Court of Kostanai has
declared LLP Amangeldy-2030 insolvent.

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

         The Specialized Inter-Regional
         Economic Court of Kostanai
         Tolstoy Str. 74
         Kostanai
         Kazakhstan


ASKRA LLP: Claims Deadline Slated for June 27
---------------------------------------------  
The Specialized Inter-Regional Economic Court of Aktube has
declared LLP Askra insolvent.

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

         The Specialized Inter-Regional
         Economic Court of Aktube
         Altynsarin Str. 31
         Aktobe
         Aktube
         Kazakhstan
         Tel: 8 (3132) 21-30-32


AVION LLP: Claims Filing Period Ends June 27
--------------------------------------------   
The Specialized Inter-Regional Economic Court of Pavlodar has
declared LLP Avion insolvent on March 21, 2008.

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

         The Specialized Inter-Regional
         Economic Court of Pavlodar
         Tolstoy Str. 19-38
         Pavlodar
         Kazakhstan
         Tel: 8 (7172) 32-86-70


JANBOLAT LIMITED: Creditors' Claims Due on June 27
--------------------------------------------------  
The Specialized Inter-Regional Economic Court of Atyrau has
declared LLP Janbolat Limited insolvent.

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

         The Specialized Inter-Regional
         Economic Court of Atyrau
         Abai Str. 10a
         Atyrau
         Kazakhstan
         Tel: 8 (71222) 32-90-02


KOSTANAI TRANS OIL: Claims Registration Ends June 27
----------------------------------------------------  
The Specialized Inter-Regional Economic Court of Kostanai has
declared LLP Kostanai Trans Oil insolvent on April 24, 2008.

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

         The Specialized Inter-Regional
         Economic Court of Kostanai
         Baitursynov Str. 70
         Kostanai
         Kazakhstan


MANZKE GMBH: Claims Registration Period Ends June 10
----------------------------------------------------
Creditors of Manzke GmbH have until June 10, 2008, to register
their claims with court-appointed insolvency manager Hans-Peter
Rechel.

Creditors and other interested parties are encouraged to attend
the meeting at 10:00 a.m. on July 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 Neuruppin
         Hall 325
         Karl-Marx-Strasse 18a
         16816 Neuruppin
         Germany

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

The insolvency manager can be reached at:

         Hans-Peter Rechel
         Lehmweg 17
         20251 Hamburg
         Germany

The District Court of Neuruppin opened bankruptcy proceedings
against Manzke GmbH on April 22, 2008.  Consequently, all
pending proceedings against the company have been automatically
stayed.

The Debtor can be reached at:

        Manzke GmbH
        Attn: Herrn Rene Manzke, Manager
        Kirchstrasse 3c
        16845 Wildberg
        Germany


NARIMAN LLP: Claims Deadline Slated for June 27
-----------------------------------------------  
The Specialized Inter-Regional Economic Court of East Kazakhstan
has declared LLP Center on Business Cooperation Nariman
insolvent on April 7, 2008.  

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

         The Specialized Inter-Regional
         Economic Court of East Kazakhstan
         Myzy Str. 2/1
         Ust-Kamenogorsk
         East Kazakhstan
         Kazakhstan
         Tel: 8 (7232) 24-06-50


NOOK-SERVICE-STROY LLP: Claims Filing Period Ends July 1
--------------------------------------------------------  
LLP Nook-Service-Stroy has declared insolvency.  Creditors have
until July 1, 2008, to submit written proofs of claims to:

         LLP Nook-Service-Stroy
         Kalinin Str. 6
         Otegen batyr
         Ilyisky District
         040700, Almaty
         Kazakhstan
         Tel: 8 (72752) 2-23-52


TRIAMA LLP: Creditors' Claims Due on June 27
--------------------------------------------  
The Specialized Inter-Regional Economic Court of Pavlodar has
declared LLP Firm Triama insolvent on March 4, 2008.

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

         The Specialized Inter-Regional
         Economic Court of Pavlodar
         Parkovaya Str. 17
         Pavlodar
         Kazakhstan
         Tel: 8 (7182) 34-70-34


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


MANAS JET: Creditors Must File Claims by July 2
-----------------------------------------------
LLC Manas Jet Service has declared insolvency.  Creditors have
until July 2, 2008 to submit written proofs of claim to:

         LLC Manas Jet Service
         Panfilov Str. 145
         Bishkek
         Kyrgyzstan


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


CALPINE CORP: Discloses Receipt of Merger Proposal from NRG
-----------------------------------------------------------
Calpine Corporation on Wednesday confirmed that on May 14, 2008,
it received an unsolicited proposal from NRG Energy, Inc.
regarding a potential combination between Calpine and NRG.

The terms of NRG's proposal included an all-stock merger
transaction at a fixed exchange ratio of 0.534x, which implies a
premium of 6.7% based on the closing prices of both companies'
stocks as of May 21, 2008.

Consistent with its fiduciary duties and in consultation with
its financial advisor and legal counsel, Calpine's Board of
Directors will continue to review the NRG proposal to determine
if it is in the best interest of Calpine's shareholders.  
Calpine said that its shareholders need not take any action at
this time.

Goldman Sachs & Co is serving as financial advisor to Calpine,
and Skadden, Arps, Slate, Meagher & Flom LLP is legal counsel.

                          About Calpine

Calpine Corporation --  http://www.calpine.com/-- (NYSE:CPN)
is helping meet the needs of an economy that demands more and
cleaner sources of electricity.  Founded in 1984, Calpine is a
major U.S. power company, currently capable of delivering nearly
24,000 megawatts of clean, cost-effective, reliable, and fuel-
efficient electricity to customers and communities in 18 states
in the United States.  The company owns leases and operates low-
carbon, natural gas-fired, and renewable geothermal power
plants.  Using advanced technologies, Calpine generates
electricity in a reliable and environmentally responsible manner
for the customers and communities it serves.  Calpine owns,
leases and operates integrated systems of plants in 21 U.S.
states and in three Canadian provinces.  The company also has
Italy, Luxembourg and the United Kingdom.

The company and its affiliates filed for chapter 11 protection
on Dec. 20, 2005 (Bankr. S.D.N.Y. Lead Case No. 05-60200).  
Richard M. Cieri, Esq., Matthew A. Cantor, Esq., Edward
Sassower, Esq., and Robert G. Burns, Esq., Kirkland & Ellis LLP
represented the Debtors in their succesful restructuring.  
Michael S. Stamer, Esq., at Akin Gump Strauss Hauer & Feld LLP,
represented the Official Committee of Unsecured Creditors.

On Feb. 3, 2006, two more affiliates, Geysers Power Company,
LLC, and Silverado Geothermal Resources, Inc., filed voluntary
chapter 11 petitions (Bankr. S.D.N.Y. Case Nos. 06-10197 and 06-
10198).  On Sept. 20, 2007, Santa Rosa Energy Center, LLC,
another affiliate, also filed a voluntary chapter 11 petition
(Bankr. S.D.N.Y. Case No. 07-12967).

On June 20, 2007, the Debtors filed their Chapter 11 Plan and
Disclosure Statement.  On Aug. 27, 2007, the Debtors filed their
Amended Plan and Disclosure Statement.  Calpine filed a Second
Amended Plan on Sept. 19, 2007 and on Sept. 24, 2007, filed a
Third Amended Plan.  On Sept. 25, 2007, the Court approved the
adequacy of the Debtors' Disclosure Statement and entered a
written order on September 26.  On Dec. 19, 2007, the Court
confirmed the Debtors' Plan.  The Amended Plan was deemed
effective as of January 31, 2008.

                           About NRG

NRG Energy, Inc. -- http://www.nrgenergy.com/-- (NYSE:NRG) owns  
and operates a diverse portfolio of power generating facilities,
primarily in Texas and the Northeast, South Central and West
regions of the United States.  Its operations include baseload,
intermediate, peaking, and cogeneration and thermal energy
production facilities.  NRG also has ownership interests in
generating facilities in Australia and Germany.


CALPINE CORP: NRG Confirms Merger Proposal
------------------------------------------
In light of the disclosure of the terms of its offer by Calpine
Corporation, NRG Energy, Inc. confirmed its proposal to enter
into a combination with Calpine Corporation.

In a letter dated May 14, 2008, NRG proposed to purchase all of
Calpine’s outstanding capital stock in an all stock transaction.

The proposed fixed exchange ratio would be 0.534 NRG shares
which represents approximately $23 per Calpine share as of May
14, 2008.  This offer represents a 16% premium to the May 13,
2008 closing price and approximately 20% to the 30-day trading
average for Calpine stock price at that time.

“The combined company would be the culmination of what we in
this industry have aspired to become,” said David Crane,
President and Chief Executive Officer, NRG Energy.  “We look
forward to working with Calpine to demonstrate the full
potential of the benefits enumerated in our letter for our
respective shareholders. This is, quite simply, the right deal,
at the right point in time, between the right partners.”

                           About NRG

NRG Energy, Inc. -- http://www.nrgenergy.com/-- (NYSE:NRG) owns  
and operates a diverse portfolio of power generating facilities,
primarily in Texas and the Northeast, South Central and West
regions of the United States.  Its operations include baseload,
intermediate, peaking, and cogeneration and thermal energy
production facilities.  NRG also has ownership interests in
generating facilities in Australia and Germany.

                         About Calpine

Calpine Corporation --  http://www.calpine.com/-- (NYSE:CPN)
is helping meet the needs of an economy that demands more and
cleaner sources of electricity.  Founded in 1984, Calpine is a
major U.S. power company, currently capable of delivering nearly
24,000 megawatts of clean, cost-effective, reliable, and fuel-
efficient electricity to customers and communities in 18 states
in the United States.  The company owns leases and operates low-
carbon, natural gas-fired, and renewable geothermal power
plants.  Using advanced technologies, Calpine generates
electricity in a reliable and environmentally responsible manner
for the customers and communities it serves.  Calpine owns,
leases and operates integrated systems of plants in 21 U.S.
states and in three Canadian provinces.  The company also has
Italy, Luxembourg and the United Kingdom.

The company and its affiliates filed for chapter 11 protection
on Dec. 20, 2005 (Bankr. S.D.N.Y. Lead Case No. 05-60200).  
Richard M. Cieri, Esq., Matthew A. Cantor, Esq., Edward
Sassower, Esq., and Robert G. Burns, Esq., Kirkland & Ellis LLP
represented the Debtors in their succesful restructuring.  
Michael S. Stamer, Esq., at Akin Gump Strauss Hauer & Feld LLP,
represented the Official Committee of Unsecured Creditors.

On Feb. 3, 2006, two more affiliates, Geysers Power Company,
LLC, and Silverado Geothermal Resources, Inc., filed voluntary
chapter 11 petitions (Bankr. S.D.N.Y. Case Nos. 06-10197 and 06-
10198).  On Sept. 20, 2007, Santa Rosa Energy Center, LLC,
another affiliate, also filed a voluntary chapter 11 petition
(Bankr. S.D.N.Y. Case No. 07-12967).

On June 20, 2007, the Debtors filed their Chapter 11 Plan and
Disclosure Statement.  On Aug. 27, 2007, the Debtors filed their
Amended Plan and Disclosure Statement.  Calpine filed a Second
Amended Plan on Sept. 19, 2007 and on Sept. 24, 2007, filed a
Third Amended Plan.  On Sept. 25, 2007, the Court approved the
adequacy of the Debtors' Disclosure Statement and entered a
written order on September 26.  On Dec. 19, 2007, the Court
confirmed the Debtors' Plan.  The Amended Plan was deemed
effective as of January 31, 2008.


CALPINE CORP: S&P Puts B Credit Rating Under Positive Watch
-----------------------------------------------------------
Standard & Poor's Ratings Services placed its 'B+' corporate
credit rating on NRG Energy Inc. on CreditWatch with negative
implications and its 'B' corporate credit rating on Calpine
Corp. on CreditWatch with positive implications.

These rating actions follow the disclosure that NRG's board, via
a private letter to the Calpine board, made an all-stock offer
to purchase 100% of the outstanding shares of Calpine at an
exchange ratio of 0.534 shares of NRG for each share of Calpine.
It is not clear how long it would take before a formal
transaction is agreed upon, if at all.  However, NRG's letter to
Calpine's board says that NRG anticipates it will be able to
conduct its further necessary confirmatory due diligence within
a three-week period.

"Although formal discussions between the two companies are just
commencing and the terms of the deal could change, based on the
current all-stock proposal, we think that NRG's acquisition of a
much less hedged and more leveraged Calpine would likely result
in the combined company being rated either 'B+' or 'B'," said
Standard & Poor's credit analyst Swami Venkataraman.  "However,
the transaction has both strengths and weaknesses that may
potentially drive ratings outside this range, although we
consider that an unlikely outcome at this stage."

The most important determinant of the final rating outcome is
the deal's final financing structure and our view of the
financial performance of the combined company.  The all-stock
transaction structure currently proposed is clearly the least
detrimental to NRG's credit quality, but the final transaction
structure is uncertain. In its press release, Harbinger Capital
called the offer a "good starting point."  If NRG agrees to a
significantly higher valuation for Calpine, the dilution implied
by an all-stock transaction may be unacceptable to NRG's
shareholders and a final deal may potentially involve
incremental debt.

Under the terms of Calpine's exit financing, change of control
is an event of default.  Thus, an acquisition by NRG could
require refinancing or repricing of Calpine's debt, which was
committed before the credit crunch and carries attractive
pricing compared to current market conditions.  An increased
cost of borrowing of about US$6 billion of Calpine's emergence
financing would be a credit negative.


CALPINE CORPORATION: Kenneth Derr to Resign as Director
-------------------------------------------------------
Calpine Corporation said that Kenneth Derr has notified the
company of his intention to resign as a director, effective May
22, 2008.

Mr. Derr tendered his resignation in order to focus his time and
energies on other business and personal matters.  With Mr.
Derr's resignation, the Board of Directors will have 8 members.

"We thank Ken for his steadfast service and for his many
contributions to the Board and to the Company, especially during
our very successful reorganization," said William J. Patterson,
Chairman of Calpine's Board of Directors.  "He is a talented
colleague who stepped forward in a time of great need for
Calpine and brought valuable and extensive experience to the
Company. We wish him well in all of his future endeavors."

Mr. Derr was Chairman of the Board of Calpine from November 2005
until January 2008 and has been a Calpine director since May
2001.  In addition, Mr. Derr served as Acting CEO prior to the
tenure of current CEO Robert P. May. Mr. Derr retired as the
Chairman and Chief Executive Officer of Chevron Corporation in
1999, a position that he held since 1989, after a 39-year career
with the company.

"It has been an honor and a privilege to have served as a
director of Calpine and to have helped guide the Company as it
regained its strong footing," said Mr. Derr.  "I believe that
Calpine is well positioned for the future and I wish them every
success."

                         About Calpine

Calpine Corporation --  http://www.calpine.com/-- (NYSE:CPN)
is helping meet the needs of an economy that demands more and
cleaner sources of electricity.  Founded in 1984, Calpine is a
major U.S. power company, currently capable of delivering nearly
24,000 megawatts of clean, cost-effective, reliable, and fuel-
efficient electricity to customers and communities in 18 states
in the United States.  The company owns leases and operates low-
carbon, natural gas-fired, and renewable geothermal power
plants.  Using advanced technologies, Calpine generates
electricity in a reliable and environmentally responsible manner
for the customers and communities it serves.  Calpine owns,
leases and operates integrated systems of plants in 21 U.S.
states and in three Canadian provinces.  The company also has
Italy, Luxembourg and the United Kingdom.

The company and its affiliates filed for chapter 11 protection
on Dec. 20, 2005 (Bankr. S.D.N.Y. Lead Case No. 05-60200).  
Richard M. Cieri, Esq., Matthew A. Cantor, Esq., Edward
Sassower, Esq., and Robert G. Burns, Esq., Kirkland & Ellis LLP
represented the Debtors in their succesful restructuring.  
Michael S. Stamer, Esq., at Akin Gump Strauss Hauer & Feld LLP,
represented the Official Committee of Unsecured Creditors.

On Feb. 3, 2006, two more affiliates, Geysers Power Company,
LLC, and Silverado Geothermal Resources, Inc., filed voluntary
chapter 11 petitions (Bankr. S.D.N.Y. Case Nos. 06-10197 and 06-
10198).  On Sept. 20, 2007, Santa Rosa Energy Center, LLC,
another affiliate, also filed a voluntary chapter 11 petition
(Bankr. S.D.N.Y. Case No. 07-12967).

On June 20, 2007, the Debtors filed their Chapter 11 Plan and
Disclosure Statement.  On Aug. 27, 2007, the Debtors filed their
Amended Plan and Disclosure Statement.  Calpine filed a Second
Amended Plan on Sept. 19, 2007 and on Sept. 24, 2007, filed a
Third Amended Plan.  On Sept. 25, 2007, the Court approved the
adequacy of the Debtors' Disclosure Statement and entered a
written order on September 26.  On Dec. 19, 2007, the Court
confirmed the Debtors' Plan.  The Amended Plan was deemed
effective as of January 31, 2008.


EVRAZ GROUP: Highveld Unit Declares Dividend from Sale Proceeds
--------------------------------------------------------------
Highveld Steel and Vanadium Corp., a unit of Evraz Group S.A.,
has declared a special dividend of 1,800 cents per share from
proceeds of asset sales, Reuters reports.

Highveld said the special dividend was a result of the better-
than-expected trading conditions, its future capital
requirements and proceeds from the Rand Carbide disposal.

In 2007, Evraz committed the sale of Highveld assets as a
condition to the approval by the European Commission and South
African competition authorities of its acquisition of a majority
interest.

                          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 March 19, 2008, Fitch Ratings
affirmed Luxembourg-based Evraz Group SA's Long-term Issuer
Default and senior unsecured ratings at 'BB' and Short-term IDR
at 'B'.  Fitch also affirmed the ratings of core subsidiary
Mastercroft Limited at Long-term IDR 'BB' and Short-term IDR
'B'.  Evraz Securities SA's senior unsecured rating is affirmed
at 'BB'.  The Outlooks for Evraz's and Mastercroft Limited's
Long-term IDRs are Stable.

As reported in the TCR-Europe on March 18, 2008, Standard &
Poor's Ratings Services affirmed its 'BB-' long-term
corporate credit and senior unsecured debt ratings on Russia-
based steel producer Evraz Group S.A. and its core subsidiary
Mastercroft Ltd.  S&P also affirmed the Russia national scale
ratings on Evraz and Mastercroft at 'ruAA'.  The outlook is
positive.

At the same time, Moody's Investors Service placed Evraz's Ba2
corporate family rating, Ba2 rating for Senior Notes due 2009
and Ba3 rating for Senior Notes due 2015 on review for possible
downgrade following the recent announcement of the acquisition
of IPSCO's Canadian plate and pipe business from SSAB for a net
cost of US$2.3 billion.


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


CORPORATE EXPRESS: S&P Puts BB+ Debt Rating on Developing Watch
---------------------------------------------------------------
Standard & Poor's Ratings Services assigned a recovery rating of
'1' to the new secured debt issues of Corporate Express U.S.
Finance Inc., the U.S. subsidiary of Netherlands-based office
products distributor Corporate Express N.V. (BB-/Watch Dev/--).
The recovery rating indicates our expectation of very high
(90%-100%) recovery for secured creditors in the event of a
payment default.

At the same time, S&P assigned our 'BB+' issue-level rating to
this debt, two notches higher than our corporate credit rating
on the parent, in accordance with the '1' recovery rating.  The
issue-level rating was placed on CreditWatch with developing
implications, in line with the corporate credit rating.

The issues comprise a EUR200 million term loan A, US$330 million
term loan B, and EUR175 million revolving credit facility.


CORPORATE EXPRESS: Moody's Puts Low-B Ratings Under Review
----------------------------------------------------------
Moody's Investors Service put the ratings of Corporate Express
NV (CFR at Ba3) under review with direction uncertain.

The rating action follows the recent announcements that:

   (i) Staples Inc (rated Baa1 under review for possible
       downgrade by Moody's) launched an unsolicited public
       offer of EUR8.00 per ordinary share in cash for Corporate
       Express; and

  (ii) Corporate Express announced a business combination with
       Lyreco SAS (unrated by Moody's), in which Corporate
       Express acquires Lyreco for 102.5 million new ordinary
       shares of Corporate Express and Euro 900 million in cash
      and vendor notes, subject amongst other things to approval
      by Corporate Express' shareholders.

Moody's believes that shareholders will over the coming weeks
consider the merits of the two transactions.  Corporate Express
expects to convene a shareholders' EGM to approve the Lyreco
transaction during the second half of June and the initial
acceptance period for Staples' offer runs out on June 27.  It
appears that under the terms of the offer document Staples would
not be bound by its offer if the Lyreco transaction becomes
binding for Corporate Express.

Moody's views the unsolicited offer from Staples as an important
incremental step in Staples' ongoing effort to acquire Corporate
Express.  Should shareholders eventually accept Staples' offer
and Corporate Express' debt remain outstanding, Moody's will
evaluate the level of Staples' explicit or implicit support for
Corporate Express' notes and adjust the rating as warranted.
Moody's notes that the Lyreco transaction has been structured by
the company with the intent to maintain the current Ba3 CFR.  
The rating agency believes that there is a good chance that this
objective can be achieved.  However, depending on Moody's review
of the equity characteristics of the vendor loan and the near-
term operating environment for the combined entity, pressure on
the outlook could ensue.

Ratings under review are:

Corporate Express NV:

   -- Corporate Family Rating: Ba3
   -- Sr Sec Bank Credit Facility -Dom Curr: Ba2
   -- Bkd Subordinate -Dom Curr: B2

Buhrmann US Inc (now Corporate Express US Finance Inc.) :

   -- Bkd Senior Subordinate: B2

Corporate Express NV headquartered in Amsterdam, The
Netherlands, is an international business-to-business services
and distribution group, supplying office products and graphics
systems and related services to the business market.  The
company reported net sales revenue of EUR5,631 million in the
year to Dec. 31, 2007.


HALCYON STRUCTURED: S&P Rates EUR11 Mln Class E Notes at BB-
------------------------------------------------------------
Standard & Poor's Ratings Services has assigned its credit
ratings to the EUR336 million secured floating-rate notes issued
by Halcyon Structured Asset Management European Long
Secured/Short Unsecured CLO 2008-I B.V.  In addition, Halcyon
issued EUR68 million of unrated notes.
  
The ratings reflect commensurate credit enhancement in the form
of overcollateralization and subordination, a diversified
collateral pool of loans and derivative financial instruments,
currency risk protections, strong collateral investment
guidelines, the bankruptcy-remoteness of the issuer, and various
amortization triggers.
  
At closing, Halcyon issued floating-rate notes, the proceeds of
which, after paying transaction fees and expenses, it invested
in a portfolio of predominantly senior-secured leveraged loans.
The transaction has a reinvestment period of five years and the
collateral manager is Halcyon Structured Asset Management L.P.
  
Halcyon is a bankruptcy-remote, private company with limited
liability ("besloten vennootschap met beperkte
aansprakelijkheid") incorporated under the laws of The
Netherlands.  Its only purpose is to acquire the portfolio,
issue the notes, and engage in certain related activities.
  
The collateral manager can enter into synthetic shorts whose
premiums are prefunded at closing from the subordinated notes
issuance.  S&P does not give credit to any potential benefit it
could have on the deal.
  
                         Ratings List
Halcyon Structured Asset Management European Long Secured/Short                
                  Unsecured CLO 2008-I B.V.

          EUR404 Million Secured Floating-Rate Notes
  
   Class                  Rating         Amount (Mil. EUR)
  
   A                      AAA                 278
   B                      AA                   10
   C                      A                    20
   D                      BBB-                 17
   E                      BB-                  11
   Subordinated           NR                   68


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


AGROPROMCREDIT LLC: Moody's Puts B2/NP/E+/Baa1.ru Ratings
---------------------------------------------------------
Moody's Investors Service assigned these global scale ratings to
Commercial Bank Agropromcredit (LLC) ("APC"): B2 long-term and
Not-Prime (NP) short-term foreign and local currency deposit
ratings and an E+ bank financial strength rating (BFSR). The
outlook for all ratings is stable.

At the same time, Moody's Interfax Rating Agency has assigned a
Baa1.ru long-term national scale credit rating (NSR) to APC.
Moscow-based Moody's Interfax is majority-owned by Moody's, a
leading global rating agency.

According to Moody's, the B2/NP/E+ global scale ratings assigned
to APC reflect global default and loss expectation, while the
Baa1.ru NSR reflects the standing of the bank's credit quality
relative to its domestic peers.

Moody's notes that the ratings are constrained by:

   (i) a limited corporate franchise which results in
       significant concentration levels on both sides of the
       balance sheet;

  (ii) substantial dependence of the corporate franchise on the
       key shareholder;

(iii) concerns about the bank's ability to sustain competitive
       pressure in the long run;

  (iv) vulnerable liquidity position due to high concentration
       levels in the funding base and weaknesses in liquidity
       management; and

   (v) corporate governance, which has room for improvement.

At the same time, the ratings are supported by the bank's good
financial performance, reflected in sound profitability,
adequate capitalization and good asset quality.  The rating
agency says that other positive factors include the bank's
achievements in developing its retail and SME franchise and
diversified business lines, as well as regional expansion.

The B2/NP foreign currency deposit ratings do not incorporate
possible support from the bank's owners.  In Moody's view,
although such support cannot be ruled out, its scope and
timeliness are rather uncertain.  Given APC's size and market
position, any support from the Russian financial authorities is
unlikely.

Moody's considers that visible success in developing franchise,
leading to a reduction in concentration levels resulting in less
dependence on the large core franchise which is obtained through
the shareholder, as well as improvement in liquidity management
would likely lead to the positive rating pressure.  On the other
hand, the rating agency cautions that significant deterioration
of the bank's franchise resulting from a failure to face growing
competition would be likely to result in a downgrade.  Any
significant asset quality and/or liquidity concerns would also
likely drive the ratings down.

Headquartered in Moscow, Russian Federation, APC reported total
consolidated assets of RUR21.6 billion (US$879 million) and
total equity of RUR2.6 billion (US$105 million) and ranked 97th
by assets among Russian banks as of Dec. 31, 2007, according to
Interfax.


BAYKAL CJSC: Creditors Must File Claims by June 6
-------------------------------------------------
Creditors of CJSC Exploitation Building Company Baykal have
until June 6, 2008, to submit proofs of claim to:

         A. Lebedev
         Temporary Insolvency Manager
         8 Marta Str. 65
         Yakutsk
         677015 Sakha–Yakutiya
         Russia

The Arbitration Court of Sakha-Yakutiya will convene on Aug. 25,
2008, to hear the company's bankruptcy supervision procedure.  
The case is docketed under Case No. A58-889/08-0101.

The Court is located at:

         The Arbitration Court of Sakha-Yakutiya
         Kurashova Str. 28
         677000 Sakha-Yakutiya
         Russia

The Debtor can be reached at:

         CJSC Exploitation Building Company Baykal
         Gubina Str. 29/2
         Yakutsk
         Sakha–Yakutiya
         Russia


GONCHAROVSKOE CJSC: Asset Sale Slated for June 9
------------------------------------------------
The external insolvency manager and bidding organizer for CJSC
Goncharovskoe, will open a public auction for the company's
properties at 11:00 a.m. on June 9, 2008 at:

         Office 401
         Sherbaneva Str. 25
         Omsk
         Russia

The company has set a RUR14,450,000 starting price for the
assets in auction.

Interested participants have until June 4, 2008, to deposit an
amount equivalent to 20% of the starting price to:

         TIN 5534003617
         Settlement Account 40702810100500010492
         Correspondent Account 30101810900000000783
         BIK 045209783
         OJSC Omsk-Bank
         Omsk
         Russia

Bidding documents must be submitted to:

         The External Insolvency Manager
         Office 401
         Sherbaneva Str. 25
         Omsk
         Russia
         Tel: (3812) 37-30-12

The Debtor can be reached at:

         CJSC Goncharovskoe
         Lyubomirovka
         Tavricheskiy
         Omsk
         Russia


KESHEVO CJSC: Creditors Must File Claims by July 6
--------------------------------------------------
Creditors of CJSC Keshevo (TIN 3811089044) have until July 6,
2008, to submit proofs of claim to:

         S. Galandin
         Insolvency Manager
         Post User Box 224
         664007 Irkutsk
         Russia

The Arbitration Court of Irkutsk commenced bankruptcy
proceedings against the company after finding it insolvent.  The
case is docketed under Case No. A19-14602/07-29.

The Court is located at:  

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

The Debtor can be reached at:

         CJSC Keshevo
         Traktovaya Str. 13
         Sosnovka
         Chunskiy
         Irkutsk
         Russia


MOBILE TELESYSTEMS: Earns US$610 Million in Qtr. Ended March 31
---------------------------------------------------------------
OJSC Mobile TeleSystems released its unaudited consolidated
financial results for the first quarter ended March 31, 2008.

MTS posted US$610.15 million in net profit on US$2.38 billion in
net revenues for first quarter ended March 31, 2008, compared
with US$448.58 million in net profit on US$1.74 billion in net
revenues for same period ended March 31, 2007.

As of March 31, 2008, MTS had US$11.13 billion in total assets,
US$5.37 billion in total liabilities and US5.74 billion in total
shareholders' equity.

MTS maintained its leading position in the majority of its
markets of operation during the first quarter:

    * increased from 33% to 36% in Russia;
    * decreased from 36% to 35% in Ukraine;
    * increased from 50% to 52% in Uzbekistan;
    * decreased from 88% to 85% in Turkmenistan;
    * decreased from 74% to 73% in Armenia; and
    * increased to 54% from 53% in Belarus.

"We are pleased to deliver on our promise of profitable growth
throughout the Group’s operations," Leonid Melamed, President
and Chief Executive Officer, highlighted.  "In Russia, we are
witnessing clear momentum as we continue to add subscribers and
realize the benefits of increasing voice and data usage."

"In Ukraine, we see positive trends in usage growth and service
adoption, while in our remaining CIS markets, we are building
out our networks to bring mobile service deeper into the
local populations," Mr. Melamed added.  "In all, we are
confident that we can sustain this momentum to continue
executing on our corporate strategy."

                   About Mobile TeleSystems

Headquartered in Moscow, Russia, OJSC Mobile TeleSystems
(NYSE:MBT) -- http://www.mtsgsm.com/-- provides wireless      
telecommunications services operator in Russia, Ukraine,
Uzbekistan, Turkmenistan, Armenia, and Belarus.

                         *      *      *

As reported in the TCR-Europe on April 08, 2008, Fitch Ratings
assigned Mobile TeleSystems a Long-term Issuer Default rating of
'BB+', National Long-term rating of 'AA(rus)' and Short-term IDR
of 'B'.  The Outlooks for the Long-term IDR and National Long-
term rating are Stable.  The agency also assigned 'BB+' ratings
to two of MTS's outstanding Eurobonds, structured as senior
unsecured obligations.

Mobile TeleSystems also carries Ba2 Corporate Family and
Probability-of-Default ratings from Moody's Investors
Service, which says the outlook is positive.


NARTKALINSKIY ELEVATOR: Court Starts Bankruptcy Supervision
-----------------------------------------------------------
The Arbitration Court of Kabardino-Balkariya commenced
bankruptcy supervision procedure on OJSC Nartkalinskiy
Elevator (TIN 0707004962).  The case is docketed under Case No.
A20-365/2008.

The Temporary Insolvency Manager is:

         V. Osadchuk
         Room 307
         Kolkhoznaya Str. 3
         350042 Krasnodar
         Russia
         Tel: (861) 275-89-30

The Debtor can be reached at:

         OJSC Nartkalinskiy Elevator
         Gurfova Str. 30
         Nartkala
         Urvanskiy
         Kabardino-Balkariya
         Russia


OCTANE LLC: Creditors Must File Claims by June 26
-------------------------------------------------
Creditors of LLC Octane have until June 26, 2008, to submit
proofs of claim to:

         N. Chichev
         Insolvency Manager
         Post User Box 5077
         355044 Stavropol
         Russia

The Arbitration Court of Stavropol commenced bankruptcy
proceedings against the company after finding it insolvent.  The
case is docketed under Case No. A63-1552/08-S5-11.

The Court is located at:

         The Arbitration Court of Stavropol
         Mira Str. 4586
         Stavropol
         Russia

The Debtor can be reached at:

         LLC Octane
         Kirova Str. 3
         Mikhaylovsk
         Russia


OKTYABRSK-RAY-GAS: Creditors Must File Claims by June 6
-------------------------------------------------------
Creditors of OJSC Oktyabrsk-Ray-Gas have until June 6, 2008, to
submit proofs of claim to:

         I. Krivopaltseva
         Temporary Insolvency Manager
         Post User Box 90
         620088 Ekaterinburg
         Russia

The Arbitration Court of Khanty-Mansiyskiy will convene at
9:43 a.m. on July 14, 2008, to hear the company's bankruptcy
supervision procedure.  The case is docketed under Case No.
A75-640/2008.

The Court is located at:

         The Arbitration Court of Khanty-Mansiyskiy
         Lenina Str. 54/1
         Khanty-Mansiysk
         Russia

The Debtor can be reached at:

         OJSC Oktyabrsk-Ray-Gas
         Tsentralnaya Str. 13
         Priobye
         628100 Khanty-Mansiyskiy-Yugra
         Russia


PETROCOMMERCE: Good Performance Cues S&P to Keep Ratings
--------------------------------------------------------
Standard & Poor's Ratings Services revised its outlook on
Russian Commercial Bank Petrocommerce to positive from stable.
At the same time, the 'B+' long-term and 'B' short-term
counterparty credit ratings and 'ruA+' Russia national
scale rating were affirmed.

"The outlook revision reflects our expectation that the bank
will continue to widen its customer franchise, supported by its
independent business expansion and close relationships with
LUKoil, one of Russia's major oil companies," said Standard &
Poor's credit analyst Elena Romanov.

In addition, the capital increase Petrocommerce expects from
shareholders should enable the bank to increase its current low
capitalization, allow asset growth, and reduce large single-
party exposures that deteriorate credit risk.

The ratings on Petrocommerce reflect its high single-party
concentration in loans, barely adequate capitalization,
relatively high exposure to Russia's volatile securities
markets, and high dependence on related parties in funding.

The ratings are supported by Petrocommerce's close business
relationships with LUKoil OAO (BBB-/Stable/--), progress in
building up its franchise and loan portfolio, and an improving
funding profile and revenue structure.

S&P expects Petrocommerce to continue to expand its customer
franchise, supported by an expected capital increase and strong
ongoing business ties with LUKoil.  S&P also expects the bank to
maintain a good financial performance and stabilize its revenue
structure.

"Positive rating actions could result from the bank's ability to
grow and diversify its business, while maintaining good asset
quality and profitability and increasing its capitalization,"
said Ms. Romanova.

The ratings could be lowered or the outlook revised back to
stable if the bank's capitalization, asset quality, or
profitability suffers significant deterioration, or if the
bank's business ties with LUKoil weakened.


RUSSIAN GRAIN: Omsk Bankruptcy Hearing Slated for August 13
-----------------------------------------------------------
The Arbitration Court of Omsk will convene on Aug. 13, 2008, to
hear the bankruptcy supervision procedure on LLC Russian Grain
Omsk (TIN 5507070163).  The case is docketed under Case No.
A46-3597/2008.

The Temporary Insolvency Manager is:

         V.Khmelnitskiy
         Marksa Pr. 4-209A
         644024 Omsk-24
         Russia
         Tel/Fax: (3812) 31-05-27
         Tel: 31-00-13


SEVER-PROM-SNAB LLC: Creditors Must File Claims by June 6
---------------------------------------------------------
Creditors of LLC Sever-Prom-Snab have until June 6, 2008, to
submit proofs of claim to:

         V. Mosharev
         Temporary Insolvency Manager
         Apt. 1
         Vurycheyskogo Str. 28
         163002 Arkhangelsk
         Russia

The Arbitration Court of Arkhangelsk commenced bankruptcy
supervision procedure on the company.  The case is docketed
under Case No. A05-595/2908.

The Court is located at:

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

The Debtor can be reached at:

         LLC Sever-Prom-Snab
         Uritskogo Str. 17, 407
         166002 Arkhangelsk
         Russia


SEVERSTAL OAO: To Acquire WCI Steel for US$140 Million
------------------------------------------------------
OAO Severstal has reached a binding agreement to acquire all
outstanding equity of WCI Steel Inc. for a total cash
consideration of US$140 million, implying an enterprise value of
US$331 million based on outstanding net debt as of April 30,
2008.  The transaction is expected to be immediately accretive
to earnings.

WCI’s Board of Directors has recommended the transaction to its
shareholders.  Shareholders representing a majority of WCI’s
diluted shares outstanding have irrevocably consented to the
transaction.  The acquisition has the full support of the United
Steel Workers.

WCI’s total annual steel-making capacity of 1.22 million metric
tons is focused on high-quality, custom flat-rolled steel for
use in demanding applications.  Together with Severstal’s
current U.S. operations in Dearborn, Michigan, Columbus,
Mississippi, and the recently acquired Sparrows Point in
Baltimore, Maryland, WCI will grow the Company’s North American
leadership in the high-quality flat-rolled steel segment for the
automotive, appliance, furniture, construction and energy
markets.

The complementary nature of WCI’s manufacturing facility and
product offering to Severstal’s existing U.S. assets creates
potential synergies that together with strong steel industry
fundamentals leave WCI poised to add value across Severstal’s US
platform.

"This acquisition is aligned with Severstal’s disciplined
approach to growing our US business while creating shareholder
value," Gregory Mason, CEO of Severstal International and COO of
OAO Severstal, commented.  "It solidifies our position as the
fourth largest steel producer in the US by raising Severstal’s
total U.S. capacity to just under 11 million metric tons per
year.  The addition of WCI to Severstal’s family will enhance
our custom product capabilities and create opportunities to
increase profitability in both the short- and long-term."

The acquisition is subject to customary closing conditions,
including the receipt of all necessary government and regulatory
approvals, and is expected to close in late second quarter or
early third quarter 2008.

Citi and Raymond James are acting as financial advisors to
Severstal on this transaction.  Skadden, Arps, Slate, Meagher &
Flom LLP is acting as legal counsel to Severstal.

                         About WCI Steel

Headquartered in Warren, Ohio, WCI Steel Inc. (OTC: WCIS.PK) --
http://www.wcisteel.com/-- is an integrated steel maker  
producing 185 grades of flat-rolled custom and commodity steel
products.  Its products include high carbon, alloy, ultra high
strength, and heavy-gauge galvanized steel.  Major customers are
steel converters, processors, service centers, construction
product companies, and to a lesser extent, automobile
manufacturers

                         About Severstal

Headquartered in Cherepovets, Russia, OAO Severstal --
http://www.severstal.com/-- is the country's largest steel
producer, with steel production of 17.1 million tons in 2005.
The Company owns Severstal North America, the fifth largest
integrated steel maker in the U.S. with 2005 production of 2.7
million tons, and Lucchini, Italy's second largest steel group
with 2005 production of 3.5 million tons.  Severstal is one of
the world's lowest cost and most profitable steel producers,
with 2005 EBITDA per ton of around EUR150 per ton.

                         *     *     *

As of March 26, 2008, OAO Severstal carries Ba2 Corporate
Family, Senior Unsecured Debt and Probability-of-Default ratings
from Moody's Investor Service, which said the the outlook on all
ratings is stable.

The company also carries BB long-term Foreign and Local Issuer
Credit ratings from Standard & Poor's, which said the outlook is
stable.

Severstal carries BB- Issuer Default and Senior Unsecured
ratings from Fitch, which said the outlook is positive.


SEVERSTAL OAO: Earns US$429 Million in First Quarter 2008
---------------------------------------------------------
OAO Severstal registered US$429 million in net profit on
US$4.31 million in net revenues for the first quarter ended
March 31, 2008, compared with US$458 million in net profit on
US$3.69 million in net revenues for the same period ended
March 31, 2007.

The company also posted US$1.04 billion in EBITDA for first
three months 2008, compared with US$904 million in EBITDA for
same period 2007.

Severstal attributed the increase in net revenues to higher
average prices and volume growth were the main factors behind
this growth.  The company attributed the improvement in EBITDA
increased to the performance of Mining, Izhora Pipe Mill,
Lucchini and North America.  

As of March 31, 2008, Severstal had US$1.38 billion in net debt
and US$4.11 billion in total indebtedness.  The company also had
US$2.73 billion in cash, cash equivalents and short-term bank
deposits.

                            Dividend

Severstal's Board of Directors has recommended a dividend of
RUR5.20 per share for first quarter 2008 with the record date of
May 15, 2008.  Each GDR represents one share in the Company.

Approval of the dividend is expected at the AGM which will take
place on June 27, 2008.

                             Outlook

"With a favorable outlook for pricing and anticipated growth in
sales volumes across our businesses, we continue to expect 2008
to be another year of good progress for Severstal," Alexei
Mordashov, CEO of OAO Severstal, said.

                         About Severstal

Headquartered in Cherepovets, Russia, OAO Severstal --
http://www.severstal.com/-- is the country's largest steel
producer, with steel production of 17.1 million tons in 2005.
The Company owns Severstal North America, the fifth largest
integrated steel maker in the U.S. with 2005 production of 2.7
million tons, and Lucchini, Italy's second largest steel group
with 2005 production of 3.5 million tons.  Severstal is one of
the world's lowest cost and most profitable steel producers,
with 2005 EBITDA per ton of around EUR150 per ton.

                         *     *     *

As of March 26, 2008, OAO Severstal carries Ba2 Corporate
Family, Senior Unsecured Debt and Probability-of-Default ratings
from Moody's Investor Service, which said the the outlook on all
ratings is stable.

The company also carries BB long-term Foreign and Local Issuer
Credit ratings from Standard & Poor's, which said the outlook is
stable.

Severstal carries BB- Issuer Default and Senior Unsecured
ratings from Fitch, which said the outlook is positive.


TRANSCREDITBANK: S&P Keeps Ratings; Outlook Revised to Positive
---------------------------------------------------------------
Standard & Poor's Ratings Services revised its outlook on
Russian TransCreditBank to positive from stable.  At the same
time, the 'BB' long-term and 'B' short-term counterparty credit
ratings and the 'ruAA' Russia national scale rating were
affirmed.

"The outlook revision reflects our expectation that the bank
will continue to profitably widen its commercial franchise,
supported by its independent business expansion and strong
business ties with its major shareholder," said Standard &
Poor's credit analyst Victor Nikolskiy.

TransCreditBank should also be able to stabilize its
capitalization to absorb asset growth and lower the excessively
large exposures that currently heighten its risk profile.

The ratings reflect the bank's currently low capitalization,
high single-name concentration and related-party exposure in
both loans and deposits, and increased market risks.

The ratings are supported by strong business links to--and
support by--the major shareholder, state-owned railway monopoly
Russian Railways (JSC) (RZD; BBB+/Stable/--); good core
profitability; and progress in diversifying the funding base and
building a regional presence.

The current ratings do, however, take into account the long-
delayed capital increase that the bank expects in July 2008.

The positive outlook reflects our expectation that
TransCreditBank will continue to expand its business franchise,
supported by the new capital and its ties to RZD.  S&P also
expects the bank to maintain good financial performance.

"Continued business diversification and reduced exposure to
market risk would result in positive rating actions," said Mr.
Nikolskiy.

A material increase in credit or market risk concentrations,
deterioration in capitalization and financial performance, or
weaker links with the parent would lead to negative rating
actions.


TSVET-MET-KOMPLEKT: Creditors Must File Claims by June 26
---------------------------------------------------------
Creditors of LLC Tsvet-Met-Komplekt have until June 26, 2008, to
submit proofs of claim to:

         A. Kamynin
         Insolvency Manager
         Post User Box 28
         Central Post Office
         410000 Saratov
         Russia

The Arbitration Court of Saratov commenced bankruptcy
proceedings against the company after finding it insolvent.  The
case is docketed under Case No. A-57-1044/08-31.

The Court is located at:

         The Arbitration Court of Saratov
         Babushkin Vvoz 1
         Saratov
         Russia

The Debtor can be reached at:

         LLC Tsvet-Met-Komplekt
         Bakinskaya Str. 10
         410038 Saratov
         Russia


VOST-SIB-TRANS-VZRYV: Creditors Must File Claims by July 6
----------------------------------------------------------
Creditors of CJSC Vost-Sib-Trans-Vzryv have until July 6, 2008,
to submit proofs of claim to:

         N. Kazakov
         Insolvency Manager
         664003 Irkutsk
         Uritskogo Str. 8-506
         Russia

The Arbitration Court of Irkutsk will convene at 10:30 a.m. on
Feb. 18, 2009, to hear the bankruptcy proceedings against the
company after finding it insolvent.  The case is docketed under
Case No. A19-11113/07-60.

The Court is located at:  

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

The Debtor can be reached at:

         CJSC Vost-Sib-Trans-Vzryv
         Mayakovskogo Str. 65
         Irkutsk
         Russia


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


BIO GROWTH: Creditors Have Until May 29 to File Proofs of Claim
---------------------------------------------------------------
Creditors owed money by LLC Bio Growth are requested to submit
their proofs of claim by May 29, 2008 to:

          Ulrich Nussbaumer
          Liquidator
          Benkenstrasse 254
          4108 Witterswil
          Switzerland

The company is currently undergoing liquidation in Witterswil.  
The decision about liquidation was accepted at a shareholder’s
meeting held on April 9, 2008.


CIPHERGEN BIOSYSTEMS: Proofs of Claim Deadline is May 29
--------------------------------------------------------
Creditors owed money by JSC Ciphergen Biosystems are requested
to submit their proofs of claim by May 29, 2008 to:

          JSC Interconsulta, Revision und Treuhand
          Nordstrasse 190
          8037 Zurich
          Switzerland

The company is currently undergoing liquidation in Zurich.  The
decision about liquidation was accepted at an extraordinary
general meeting held on March 27, 2008.


GALAXY DEVELOPMENT: Creditors’ Liquidation Claims Due by May 29
---------------------------------------------------------------
Creditors owed money by JSC Galaxy Development are requested to
submit their proofs of claim by May 29, 2008 to:

          Dr. Alexander Vogel
          Liquidator
          Grabenstrasse 25
          6340 Baar
          Switzerland

The company is currently undergoing liquidation in Baar.  The
decision about liquidation was accepted at an extraordinary
general meeting held on April 10, 2008.


HORUS JSC: Luzern Court Initiates Bankruptcy Proceedings
--------------------------------------------------------
The Bankruptcy Service of Luzern commenced bankruptcy
proceedings against JSC Horus on March 28, 2008.

The Bankruptcy Service of Luzern can be reached at:

           Bankruptcy Service of Luzern
           6000 Luzern 5
           Switzerland


KLAUS HUBER: Deadline for Filing Proof of Claim is May 29
---------------------------------------------------------
Creditors owed money by JSC Klaus Huber Interieur are requested
to submit their proofs of claim by May 29, 2008 to:

          Klaus-Peter Huber
          Liquidator
          Stadtplatz 48
          3270 Aarberg
          Switzerland

The company is currently undergoing liquidation in Aarberg.  The
decision about liquidation was accepted at a regular general
meeting held on April 8, 2008.


M SERIFI: Liestal Court Commences Bankruptcy Proceedings
--------------------------------------------------------
The Bankruptcy Service of Liestal commenced bankruptcy
proceedings against LLC M. Serifi on March 5, 2008.

The Bankruptcy Service of Liestal can be reached at:

           Bankruptcy Service of Liestal
           4410 Liestal
           Switzerland

The company can be reached at:

           LLC M. Serifi
           Moosmattstr. 99,
           4304 Giebenach
           Switzerland


SECURSA CONSULTING: Proofs of Claim Filing Deadline is May 28
-------------------------------------------------------------
Creditors owed money by LLC Secursa Consulting are requested to
submit their proofs of claim by May 28, 2008 to:

          OCT Treuhand Traversa
          Gewerbestrasse 23
          4105 Biel-Benken
          Switzerland

The company is currently undergoing liquidation in Basel.  The
decision about liquidation was accepted at an extraordinary
shareholder’s meeting held on April 11, 2008.


WEMO IMMOBILIEN: Creditors Must File Proofs of Claim by May 29
--------------------------------------------------------------
Creditors owed money by JSC Wemo Immobilien are requested to
submit their proofs of claim by May 29, 2008 to:

          Heinz Weidmann
          Bahnhofstrasse 168
          4313 Mohlin
          Switzerland

The company is currently undergoing liquidation in Mohlin.  The
decision about liquidation was accepted at an extraordinary
general meeting held on March 19, 2008.


===========
T U R K E Y
===========


DENIZBANK A.S.: Fitch Holds Long-term Foreign Currency IDR at BB
---------------------------------------------------------------
Fitch Ratings has affirmed Turkey-based Denizbank A.S.'s ratings
at Long-term foreign currency Issuer Default 'BB', Long-term
local currency IDR 'BBB-', Short-term foreign currency IDR 'B',
Short-term local currency IDR 'F3', National Long-term
'AAA(tur)', Support '3' and Individual 'C'.  The Outlooks for
the Long-term IDRs and National Long-term rating are Stable.

Denizbank's Long- and Short-term foreign currency IDRs and
Individual rating reflect its intrinsic strength, improving
franchise, well-established risk culture, improving
profitability, good asset quality and consistent growth strategy
in niche areas.  However, the bank's rapid loan growth could
lead to asset-quality problems in a volatile operating
environment.  The Long- and Short-term local currency IDRs,
National Long-term rating and Support rating reflect the support
Denizbank can expect to receive from its parent in case of need.  
The bank's Long-term foreign currency IDR is constrained by the
Country Ceiling, and its Long-term local currency IDR is capped
two notches above the Sovereign's Long-term local currency IDR.

In October 2006, Belgium-based Dexia (rated 'AA+'/Outlook
Stable/'F1+') became the main shareholder (owning 99.81% of the
shares of the bank at end-2007) of Denizbank, after acquiring
the shares from Zorlu Holding.  Denizbank, the ninth-largest
commercial bank in Turkey in terms of total unconsolidated
assets, provides services in retail, SME, and agricultural,
commercial, and corporate banking through its 330 domestic
branches and 13 subsidiary branches abroad, and has increasingly
focused on public and project finance since the Dexia
acquisition.


DENIZ FINANSAL: Fitch Affirms IDR at BB with Stable Outlook
-----------------------------------------------------------
Fitch Ratings has affirmed Deniz Finansal Kiralama A.S.'s
ratings as:

   -- Long-term foreign currency Issuer Default Rating: affirmed
      at 'BB'

   -- Short-term foreign currency IDR: affirmed at 'B'

   -- Long-term local currency IDR: affirmed at 'BBB-'

   -- Short-term local currency IDR: affirmed at 'F3'

   -- National Long-term rating: affirmed at 'AAA(tur)'

   -- Support rating: '3'

The Outlooks for the Long-term IDRs and the National Long-term
rating are Stable.

Deniz Leasing's ratings are driven by the potential support from
its majority shareholder, Denizbank A.S. ('BB'/Outlook Stable),
which, in turn, is fully owned by Dexia ('AA+'/Outlook Stable)
of Belgium, in case of need.  Denizbank has a high propensity to
support Deniz Leasing, but its ability to do so is moderate as
reflected in its IDR.

Ranked fourth in its sector, Deniz Leasing is focused on further
growth and attaining a leading market share.  Fitch considers
the operating profitability good, as the company has a track
record of generating higher profits from increasing business
volumes.  Deniz Leasing achieves strong efficiency by relying on
its parent's scale and controlling overheads internally.
Although the level of gross impaired loans is still reasonable,
given the fast growth of receivables, Fitch views the
maintenance of good asset quality as a key challenge for Deniz
Leasing.  The company's funding structure consists of bank
borrowings, mainly from the parent. Capitalization was
strengthened in late 2007 with a cash capital injection of
TRY150m, bringing the equity/asset ratio to a comfortable 22%,
more than 90% of which is free capital.

Deniz Leasing started operations in December 1998 under the
umbrella of the Denizbank Financial Services Group.  Deniz
Leasing generated 70% of its business by volume through
Denizbank and the rest through direct marketing and vendors.  In
addition to cooperating with Denizbank in marketing and sales
activities, Deniz Leasing also benefits from the parent's
resources in client relationship management, operations, credit,
internal auditing, human resources, treasury, IT, PR, training,
procurement and legal affairs.


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


ALFA BANK: Moody's Rates Upcoming Senior Unsecured Notes at Ba3
---------------------------------------------------------------
Moody's Investors Service assigned a long-term foreign currency
rating of Ba3 to Alfa Bank Ukraine's upcoming senior unsecured
notes expected to be issued by Ukraine Issuance Plc, a UK-based
special-purpose company.

The notes will be issued under the US$1 billion MTN programme on
a limited recourse basis with the sole purpose of financing
senior unsecured loans to Alfa Bank Ukraine.  The tenor of the
notes is expected to be two years with a 9.25% annual interest
rate.  The amount of the notes will be determined by market
conditions.  The outlook for the rating is stable.

According to Moody's, the Ba3 rating is based on the fundamental
credit strength of ABU -- currently rated Ba3/Not
Prime/E+/Aa1.ua -- and does not incorporate any potential
systemic support from the Ukrainian authorities in case of need.
It does, however, incorporate a moderate probability of parental
support from the bank's affiliated companies.

Moody's also notes that, according to the terms of the
programme, ABU will have to comply with a number of covenants
such as a negative pledge, a limitation on mergers and
consolidations as well as restrictions on mergers, disposals,
transactions with affiliates, restricted payments and
maintenance of capital adequacy.  According to the rating
agency, the likelihood of any of the above covenants being
triggered is relatively low.  However, if any such were to
occur, it could potentially have adverse liquidity implications
for the bank and might exert severe downward pressure on its
ratings. ABU is required to maintain full compliance with
prudential supervision ratios and other requirements of the
National Bank of Ukraine.

Moody's cautions that the transaction also has an embedded
rating trigger whereby the notes will become payable if, during
the three months after a change of control of ABU, its ratings
are downgraded by one or more notches or publicly placed under
review for possible downgrade.  Moody's notes that a change of
control of ABU will be viewed as a risk factor; if the
noteholders' put option were to be exercised, this could result
in the need to repay a sizeable obligation, thus placing a
burden on the bank's financial resources and potentially
destabilizing its ratings further.

Alfa Bank Ukraine is headquartered in Kiev, Ukraine, and
reported total assets of US$2.6 billion and net income of
US$11.85 million under IFRS as of 31 December 2007.


CONUNG-LTD LLC: Proofs of Claim Deadline Set May 25
---------------------------------------------------
Creditors of LLC Conung-Ltd. (code EDRPOU 32054832) have until
May 25, 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 April 14, 2008, after finding it
insolvent.  The case is docketed as 10/54-08.

The Debtor can be reached at:

         LLC Conung-Ltd.
         Industrialnaya Str. 8-D
         Vinnica
         Ukraine


DEKON PLUS: Proofs of Claim Deadline Set May 25
-----------------------------------------------
Creditors of LLC Trading Company Dekon Plus (code EDRPOU
35122040) have until May 25, 2008, to submit proofs of claim to:

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

The Economic Court of Kiev commenced bankruptcy proceedings
against the company on April 11, 2008, after finding it
insolvent.  The case is docketed as 43/295.

The Debtor can be reached at:

         LLC Trading Company Dekon Plus
         Bulgakov Str. 16
         03134 Kiev
         Ukraine


GAZOVIK OJSC: Proofs of Claim Deadline Set May 25
-------------------------------------------------
Creditors of OJSC Umangas Subsidiary Company Gazovik (code
EDRPOU 24420416) have until May 25, 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 after finding it insolvent on March 6, 2008.
The case is docketed as 10/1971.

The Debtor can be reached at:

         OJSC Umangas Subsidiary Company Gazovik
         Lenin Str. 65
         Uman
         Cherkassy
         Ukraine


INDUSTRIAL TECHNOLOGY: Proofs of Claim Deadline Set May 25
----------------------------------------------------------
Creditors of LLC Industrial Technology (code EDRPOU 22724247)
have until May 25, 2008, to submit proofs of claim to:

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

The Economic Court of Kharkov commenced bankruptcy proceedings
against the company on April 11, 2008, after finding it
insolvent.  The case is docketed as B-19/54-08.

The Debtor can be reached at:

         LLC Industrial Technology
         2nd 5 year plan Str. 1
         61007 Kharkov
         Ukraine


KOMISHUVAKHA REPAIR-TRANSPORT: Creditors' Claims Due May 25
------------------------------------------------------------
Creditors of OJSC Komishuvakha Repair-Transport Enterprise (code
EDRPOU 05516458) have until May 25, 2008, to submit proofs of
claim to:

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

The Economic Court of Zaporozhje commenced bankruptcy
supervision procedure on the company on March 31, 2008.  The
case is docketed as 16/63/08.

The Debtor can be reached at:

         OJSC Komishuvakha Repair-Transport Enterprise
         Gorky Str. 1
         Komishuvakha
         Orehovsky District
         70530 Zaporozhje
         Ukraine


MALIN CELLULOSE-PAPER: Creditors Must File Claims by May 25
-----------------------------------------------------------
Creditors of LLC Malin Cellulose-Paper Experimental Production
(code EDRPOU 30939578) have until May 25, 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 supervision
procedure on the company on April 14, 2008.  The case is
docketed as 3/59-b.

The Debtor can be reached at:

         LLC Malin Cellulose-Paper Experimental Production
         Nemanikhin Str. 2
         Malon
         11602 Zhytomir
         Ukraine


MECHANIZED WORKS: Creditors Must File Claims by May 28
------------------------------------------------------
Creditors of OJSC Mechanized Works Management2 (code EDRPOU
01350883) have until May 24, 2008, to submit proofs of claim to:

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

The Economic Court of Kharkov commenced bankruptcy supervision
procedure on the company on March 28, 2008.  The case is
docketed as B-19/49-08.

The Debtor can be reached at:

         OJSC Mechanized Works Management2
         Krasnaya Str. 46
         Lozovaya
         64605 Kharkov
         Ukraine


SLAVUTICH LLC: Proofs of Claim Deadline Set May 24
--------------------------------------------------
Creditors of LLC Slavutich (code EDRPOU 30812533) have until
May 24, 2008, to submit proofs of claim to:

         The Economic Court of Cherkassy
         Shevchenko Avenue 307
         18005 Cherkassy
         Ukraine

The Economic Court of Cherkassy has commenced bankruptcy
proceedings against the company after finding it insolvent.  The
case is docketed as 14/788.

The Debtor can be reached at:

         LLC Slavutich
         Zhovtneva Str. 5
         Sushkovka
         Uman District
         Cherkassy
         Ukraine


SUMY MOTORCAR 15927: Proofs of Claim Deadline Set May 25
--------------------------------------------------------
Creditors of OJSC Sumy Motorcar Enterprise 15927 (code EDRPOU
03118529) have until May 25, 2008, to submit proofs of claim to:

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

The Economic Court of Sumy commenced bankruptcy proceedings
against the company on March 24, 2008, after finding it
insolvent.  The case is docketed as 8/531-06.

The Debtor can be reached at:

         OJSC Sumy Motorcar Enterprise 15927
         Bielopolye Road Str. 16
         40009 Sumy
         Ukraine


UMAN AGENCY: Proofs of Claim Deadline Set May 24
------------------------------------------------
Creditors of CJSC Economic Development of Uman Agency (code
EDRPOU 30334469) have until May 24, 2008, to submit proofs of
claim to:

         The Economic Court of Cherkassy
         Shevchenko Avenue 307
         18005 Cherkassy
         Ukraine

The Economic Court of Cherkassy has commenced bankruptcy
proceedings against the company after finding it insolvent.  The
case is docketed as 14/5849.

The Debtor can be reached at:

         CJSC Economic Development of Uman Agency
         Zhelezniak Str. 2a
         Uman
         Cherkassy
         Ukraine


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


AIRBASE SERVICES: Brings In Liquidators from Tenon Recovery
-----------------------------------------------------------
David Richard Thorniley and Peter John Forsey of Tenon Recovery
were appointed joint liquidators of Airbase Services (UK) Ltd.
and Airbase Services (International) Ltd. on May 7 for the
creditors' voluntary winding-up proceeding.

The joint liquidators can be reached at:

         Tenon Recovery
         Third Floor
         Egmont House
         25-31 Tavistock Place
         London
         WC1H 9SF
         England


BENSON KNIGHT: Taps Liquidators from BDO Stoy Hayward
-----------------------------------------------------
Simon Edward Jex Girling and Christopher Kim Rayment of BDO Stoy
Hayward LLP were appointed joint liquidators of Benson Knight
(Bristol) Ltd. (formerly Aplin Ltd.) on April 22 for the
creditors' voluntary winding-up proceeding.

The joint liquidators can be reached at:

         BDO Stoy Hayward LLP
         Fourth Floor
         One Victoria Street
         Bristol
         BS1 6AA
         England


BOSTON UNITED: Comes Out of Administration
------------------------------------------
Boston United Football Club had reached a deal that resulted in
the club being out of administration, BBC News reports.

According to the report, the company agreed to end their Company
Voluntary Agreement with Revenue and Customs at a creditors'
meeting held last Tuesday.

Boston United Football Club is a football club based in Boston,
Lincolnshire, England.


BRAESIDE DEVELOPMENTS: Taps Administrators from BDO Stoy
--------------------------------------------------------
A.H. Beckingham and A.D. Nygate of BDO Stoy Hayward LLP were
appointed joint administrators of Braeside Developments
(Bournemouth) Ltd. (Company Number 03268107) on May 13, 2008.

BDO Stoy Hayward -- http://www.bdo.co.uk/-- focuses on business  
assurance (audit), corporate advisory, tax, and investment
management services, specializing in such industries as
charities, educational institutions, family businesses,
financial services, leisure, and hospitality.  The company is
the U.K. arm of BDO International and has offices in more than
15 cities throughout the U.K.

The company can be reached at:

          Braeside Developments (Bournemouth) Ltd.
          Unit A North House
          Braeside Business Park
          Poole
          Dorset
          BH15 2BX
          England
          Tel: 01202 688 188
          Fax: 01202 740 007


BRITISH ENERGY: Suez Wants to Close Gaz Deal Before Bid
-------------------------------------------------------
Suez wants to complete first its planned merger with Gaz de
France S.A. before submitting a takeover offer for British
Energy Limited, Russell Hotten writes for The Telegraph.

Suez said although it continues to participate in discussions
over British Energy, any decision relating to a takeover offer
would only taken by the board of directors of the merged
company, The Telegraph relates.

The Telegraph suggests that the Suez-GdF merger might not be
completed before end-June, the U.K. government may extend the
timetable for British Energy's auction.

The daily adds that a GdF bid may not receive blessing from the
French government, which backs Electricite de France S.A.
takeover offer for British Energy.

As reported in the TCR-Europe on May 13, 2008, Electricite de
France S.A. has submitted a 600p-a-share offer to acquire
British Energy.  The TCR-Europe also reported on May 20, 2008,
that British Energy has received two more takeover proposals.

A consortium of Germany's RWE AG and Spain's Iberdrola SA has
reportedly submitted a preliminary bid.  Two of the three
takeover proposals value British Energy at more than 680p-a-
share -- the company closing share on May 16, 2008 -- or GBP10.8
billion.

                      About British Energy

Headquartered in Livingston, Scotland, British Energy Limited
-- http://www.british-energy.com/-- is the U.K.'s largest
producer of electricity.  With a workforce of about 6,000, it
produces around one-sixth of the nation's electricity.

                          *     *     *

As of March 17, 2008, British Energy Group plc carries a Ba2
long-term corporate family rating from Moody's with a stable
outlook.

Standard & Poor's affirmed its BB long-term corporate credit
ratings on U.K.-based nuclear generator British Energy Group PLC
and its subsidiary British Energy Holdings PLC, with negative
outlook.

The company holds a BB+ long-term issuer default rating from
Fitch with a stable outlook.


CAIRNGORM MOUNTAIN: Transfers Ownership to Highlands & Islands
--------------------------------------------------------------
The ownership of CairnGorm Mountain Ltd., the operating company
of the Cairngorm funicular railway, will be transferred to
Highlands and Islands Enterprise.

In the face of a declining domestic ski market, CML has been
hampered from pursuing plans to diversify its operations because
of a debt burden incurred through its investment when the
railway – the only one of its kind in Scotland – started up in
2001.

However, its principal stakeholders, including The Highland
Council, Bank of Scotland Corporate and CairnGorm Mountain
Trust, have fully supported a proposal that HIE should take over
the operating company under terms which reduce its debt and
allow future ambitions to be explored.

"We’re pleased to have reached agreement with all parties and
thank them for the part they’ve played in developing this superb
and successful facility over the last seven years. We’ll now be
meeting with stakeholders to draw up plans which can secure the
sustainable future operation of the funicular railway," Douglas
Yule, HIE’s director of operations said.

"We are also delighted to be working with the team at CairnGorm
Mountain Limited, who have done such an excellent job of
managing this year-round visitor attraction.  CML has continued
to provide opportunities for Scottish skiing and, with strong
partnerships, ensure the facility remains at the forefront of
environmental sustainability, whilst continuing to support the
tourism industry in Badenoch & Strathspey and the wider
Highlands," Mr. Yule added.

Bob Kinnaird, chief executive of CML said, "The level of
stability that this new arrangement will provide has to be good
news for everyone with an interest in the continuing success of
CairnGorm.  Without HIE’s direct involvement and intervention,
none of this could have happened."

"We will clearly be working closely with HIE management over the
next few months in evaluating options, setting goals,
prioritizing projects and adapting the facility so it continues
to secure interest from the wider market that it serves in
addition to winter sports.  However, as far as the day-to-day
operation goes, it will be very much a case of business as usual
at CairnGorm for some time to come. Later on, and in the
interests of transparency and best value, tenders from parties
interested in procuring the right to operate the facility will
be sought," Mr. Kinnaird added.

As previously reported in the TCR-Europe,  The Highland Council
has backed moves to secure the future of the funicular railway
at Cairngorm in Scotland and to protect jobs at the important
tourism center by agreeing to a request by Highlands and Islands
Enterprise to sell for GBP1 its GBP1,000,000 loan and accrued
interest to Cairngorm Mountain Ltd.

Headquartered in Aviemore, Scotland, CairnGorm Mountain Ltd. --
http://www.cairngormmountain.org.uk/-- is the operating company  
of Cairngorm Mountain Funicular Railway, that transports
visitors to the Ptarmigan Top Station, nestled just below the
summit of Cairn Gorm.  The company has GBP6 million debts.


CAREANDHEALTH LTD: Appoints Administrators from Kroll
-----------------------------------------------------
Alastair Beveridge and Anne O'Keefe and Peter Saville of Kroll
Ltd. were appointed joint administrators of Careandhealth Ltd.
(Company Number 03808615) on May 14, 2008.

Kroll Limited -- http://www.krollworldwide.com/-- offers risk-
consulting services worldwide.  The firm is an operating unit of
Marsh & McLennan Companies, Inc., the global professional
services firm.  Kroll's services include corporate advisory and
restructuring, financial accounting, valuation and litigation,
electronic evidence and data recovery, business intelligence and
investigations, background screening, and security services.

The company can be reached at:

          Careandhealth Ltd.
          8 Golden Cross House
          Duncannon Street
          Holborn
          London
          WC2N 4JF
          England
          Tel: 08709017773


CHALLENGE EMPLOYMENT: Hires Liquidators from Vantis
---------------------------------------------------
Peter James Hughes-Holland and Frank Wessely of Vantis Business
Recovery Services were appointed joint liquidators of Challenge
Employment Ltd. on May 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


CHEVIN CONSTRUCTION: Taps Joint Administrators from Begbies
-----------------------------------------------------------
Michael E.G. Saville and Bob Maxwell of Begbies Traynor were
appointed joint administrators of Chevin Construction Ltd.
(Company Number 01568458) on May 15, 2008.

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

The company can be reached at:

          Chevin Construction Ltd.
          7 Cross Rosse Street
          Shipley
          West Yorkshire
          BD18 3SX
          England
          Tel: 01274 530 205
          Fax: 01274 530 209


CHOICE GIFT: Calls In Liquidators from PricewaterhouseCoopers
-------------------------------------------------------------
Edward Klempka and Ian Stokoe of PricewaterhouseCoopers LLP were
appointed joint liquidators of Choice Gift Vouchers Ltd.
(formerly Keycheck Ltd.) on May 8 for the creditors' voluntary
winding-up proceeding.

The joint liquidators can be reached at:

         PricewaterhouseCoopers LLP
         Benson House
         33 Wellington Street
         Leeds
         LS1 4JP
         England


FELIX VAN DEN BERGHE: Appoints Colin Prescott as Liquidator
-----------------------------------------------------------
Colin Prescott of Moore Stephens LLP was appointed liquidator of
Felix Van Den Berghe Ltd. on May 14 for the creditors' voluntary
winding-up procedure.

The joint liquidators can be reached at:

         Moore Stephens LLP
         1-2 Little King Street
         Bristol
         BS1 4HW
         England


FORD MOTOR: Board to Remain Neutral on Tracinda Offer
-----------------------------------------------------
Ford Motor Company disclosed that its Board of Directors has
determined that Ford will express no opinion and is neutral with
respect to Tracinda Corporation’s tender offer to purchase up to
20 million shares of Ford’s common stock at a price of US$8.50
per share, net to the seller in cash.

The shares sought in the tender offer represent just less than 1
percent of Ford’s outstanding common stock.  According to the
Schedule TO filed by Tracinda on May 9, 2008, Tracinda’s tender
offer will expire on June 9, 2008 at 5 p.m., New York City time,
unless the offer is extended.

The company says that its Board and management remain committed
to enhancing value for all of Ford’s stockholders by continuing
to execute the four key priorities of its business plan:
aggressively restructure to operate profitably at the current
demand and changing model mix; accelerate the development of new
products that customers want and value; finance the plan and
improve the balance sheet; and work together effectively as one
team to leverage global resources.  Ford will continue to
communicate with stockholders regarding these matters.

Based in Dearborn, Michigan, Ford Motor Company (NYSE:F) --
http://www.ford.com/-- manufactures or distributes automobiles  
in 200 markets across six continents.  With about 244,000
employees and about 90 plants worldwide, the company’s core and
affiliated automotive brands include Ford, Lincoln, Mercury,
Volvo, Mazda, and, until completion of their sale, Jaguar and
Land Rover.  The company provides financial services through
Ford Motor Credit Company.


FORD MOTOR: Adjusts Production Volume; Revises Profit Outlook
-------------------------------------------------------------
Ford Motor Company said Thursday that it is making adjustments
to its production plan and revising downward its near-term North
American Automotive profit outlook, while planning further
manufacturing capacity realignments, additional cost reductions
and changes to its product mix to respond to the rapidly
changing business environment in the U.S.

The company said it is increasing 2008 North American production
of the hot-selling Ford Focus, Fusion, Edge and Escape, Mercury
Milan and Mariner, as well as the Lincoln MKZ and Lincoln MKX.  

At the same time, Ford is reducing 2008 production of large
trucks and SUVs, as gas prices soar and customers move more
quickly to smaller and more fuel-efficient cars and crossovers.

“We are continuing to make great progress on our plan,” said
Ford President and CEO Alan Mulally.  “We are profitable and
growing outside of North America, and our transformation plan in
North America is working.  The challenge affecting the entire
industry is the accelerating shift in consumer demand away from
large trucks and SUVs to smaller cars and crossovers – combined
with a steep rise in commodity prices and the weak U.S.
economy.”

Ford said it now plans to produce 690,000 vehicles in North
America during the second quarter, a further reduction of 20,000
units from previously announced planned production levels and a
decline of 15% from the second quarter of 2007.  The company
plans to produce between 510,000 and 540,000 units in the third
quarter, down 15 to 20% from the same period last year.  Fourth-
quarter production is expected to be between 590,000 and 630,000
units, down 2 to 8% from year-ago levels.

The second-half production plan includes higher car and
crossover production compared with a year ago and will be
achieved through overtime and added shifts at Ford’s smaller car
and crossover assembly plants.  Large truck and SUV production
in the second half will be lower than a year ago, with
reductions achieved through a combination of additional
downtime, shift reductions and line-speed actions.

The lower overall production, dramatic model mix shifts and
substantially higher commodity costs are forcing a change in
Ford’s near-term financial outlook, the company said.

“Rapidly rising commodity prices – particularly steel prices –
and higher gasoline prices that are accelerating consumers’
shift away from large trucks and SUVs together are having a
tremendous impact on our sales, our manufacturing operations and
our profitability as we look to 2009,” said Mark Fields, Ford’s
President of The Americas.

“Unless there is a fairly rapid turnaround in U.S. business
conditions, which we are not anticipating, it now looks like it
will take longer than expected to achieve our North American
Automotive profitability goal,” Mulally said.  “Overall, we
expect to be about break-even companywide in 2009 – with
continued strong results in Europe and South America.”

Given the external challenges, Ford said it is more critical
than ever to continue executing its transformation plan, which
includes:

    -- Aggressively restructuring to operate profitably at the
       current demand and changing model mix

    -- Accelerating the development of new products that
       customers want and value

    -- Financing the plan and improving the balance sheet

    -- Working together effectively as one team, leveraging
       Ford’s global assets

“The most important thing we can do right now is to continue to
take decisive action implementing our plan to respond to the
rapidly changing business environment,” Mulally said.

Ford remains on track to reduce by $5 billion its annual North
American Automotive operating costs by the end of 2008 – at
constant volume, mix, and exchange and excluding special items –
compared with 2005.  However, further cost reductions and
recognition of anticipated retiree health care savings from
Ford’s recent UAW labor agreement will be needed to offset
higher commodity costs.  Ford previously had anticipated that
ongoing retiree health care savings in 2008 would allow it to
exceed the $5 billion target.

In addition, the company said it is planning further
manufacturing capacity realignments, as it accelerates the
introduction of more fuel-efficient small cars and crossovers.

Cash outflows associated with operating losses and employee
separations now are projected to be between $14 billion and $16
billion for 2007 to 2009.  This is a deterioration compared with
previous guidance but remains better than the original $17
billion outflow projection.  Ford’s Automotive net liquidity
remains substantial.  Total liquidity – including available
credit lines, the majority of which are in place through Dec.
15, 2011 – was $40.6 billion as of March 31.  Ford said it will
continue to evaluate overall liquidity and alternatives to
further improve its balance sheet.

Ford now expects 2008 U.S. industry volume, including medium and
heavy trucks, to be between 15 million and 15.4 million units.  
Ford, Lincoln and Mercury U.S. market share is expected to be
approximately 14% this year – supported by the introduction of
several new products.

“We are making great progress on the acceleration of new
products, and our initial quality is among the best in the
business,” Fields said.  “The new Focus, Edge and Escape have
had significant sales growth this year, and the pace of our
product introductions accelerates even further this summer.”

Production of the Ford Flex crossover and Lincoln MKS sedan is
under way and soon will begin for the new generation of the F-
150.  Ford also just introduced the 2009 Ford Escape and Mercury
Mariner small utility vehicles.  They have new 4- and 6-cylinder
engines with 11 and 20 percent more horsepower, respectively,
and 5 percent better fuel economy, thanks to new engine
technology, aerodynamic improvements and new six-speed
transmissions.  In fact, Ford now offers more vehicles with
fuel-saving six-speeds than any other automaker.

New versions of the Ford Fusion, Mercury Milan and Lincoln MKZ
mid-size cars also debut later this year, as do all-new hybrid
versions of the Fusion and Milan.

By the end of this year, 70% of all Ford, Lincoln and Mercury
products by volume in North America will be new or significantly
upgraded compared with 2006 models.  By the end of 2010, 100% of
the product lineup will be new, including the next-generation
Mustang in 2009, new fuel-saving EcoBoost engines in 2009, a new
European-engineered Transit Connect in 2009 and all-new Ford
Fiesta small car in 2010 – as well as several other vehicles not
yet announced.

As an example of working together and leveraging its global
assets, Ford said that it is accelerating even further the North
American introduction of many of the small cars and crossovers
that the company profitably sells today in Europe and South
America.

“We remain absolutely committed to creating an exciting, viable
Ford going forward – and to transforming Ford into a lean global
enterprise delivering profitable growth over the long term,”
Mulally said.  “We continue to make progress on every element of
our plan, and we are taking steps in the near term to ensure our
long-term success.”

Based in Dearborn, Michigan, Ford Motor Company (NYSE:F) --
http://www.ford.com/-- manufactures or distributes automobiles  
in 200 markets across six continents.  With about 244,000
employees and about 90 plants worldwide, the company’s core and
affiliated automotive brands include Ford, Lincoln, Mercury,
Volvo, Mazda, and, until completion of their sale, Jaguar and
Land Rover.  The company provides financial services through
Ford Motor Credit Company.


FORD MOTOR: S&P Keeps B Rating; Outlook Revised to Negative
-----------------------------------------------------------
Standard & Poor's Ratings Services revised its outlook on Ford
Motor Co. and related entities, including Ford Motor Credit Co.  
and FCE Bank PLC, to negative from stable.  At the same time, we
affirmed the 'B' long-term and 'B-3' short-term ratings on Ford
and Ford Credit, and the 'B+/B-3' ratings on FCE.

The outlook change reflects heightened concerns about industry
challenges in North America after Ford today revised upward the
amount of cash it expects to use from its global automotive
operations over the next two years and said it no longer expects
to return the automotive business to profitability by 2009.

"The negative outlook should be understood to mean that we could
place our ratings on CreditWatch at any time and subsequently
lower them," said Standard & Poor's credit analyst Robert
Schulz, "given the possibility of further adverse developments
in the severely challenged North American auto sector."
Reflecting the weaker prospective cash flows, Ford also said it
plans to take a fixed-asset impairment in the second quarter,
but did not disclose the size of the expected charge.

Ford said it expects a cumulative global automotive cash outflow
of between US$14 billion and US$16 billion, including the cost
of employee separations, from 2007 through 2009 compared to
earlier guidance of between US$12 billion and US$14 billion.
Ford had previously reduced its cash use guidance from US$15
billion to US$17 billion after making progress on its cost
structure.  However, sluggish U.S. light-vehicle demand and, in
particular, the shift away from the more profitable SUVs and
pickups, which accelerated in April, will result in greater cash
use.  Sharply higher costs for steel and other raw materials
represent another industry concern.

S&P previously estimated that Ford would use US$8 billion to
US$10 billion of cash in its global automotive operations,
including cash restructuring expenses, during 2008.  This
remains our expectation, but we are now concerned that cash use
could improve only moderately in 2009.  S&P expects the company
to move to a net debt position (debt in excess of cash at the
parent level) in 2008.

Standard & Poor's believes Ford's liquidity remains adequate
despite the prospective cash use and ongoing restructuring
efforts.  But if lower-than-expected U.S. light-vehicle sales
persist through 2009 or higher fuel prices cause an even
more dramatic shift away from light trucks, Ford's liquidity
could reach undesirable levels by late 2009.  This could occur
even if Ford continues to make progress on its turnaround
program in North America and auto operations outside North
America remain improved contributors.

The ratings on Ford, including the 'B' corporate credit rating,
reflect the multiple challenges the company faces in stemming
cash losses from its North American automotive operations. These
challenges include overcapacity, fierce competition, adverse
customer shifts away from more profitable vehicle segments, and
sliding demand because of the weak U.S. economy.  S&P expects
U.S. light-vehicle sales to be 14.8 million units in 2008, the
lowest in a decade and down from 16.1 million units in 2007.
Ford also continues to lose market share in the U.S., although
much of its share loss in the past year resulted
from deliberate reductions in sales to daily rental fleets. More
recently, Ford's market share has been affected by the customer
shift toward car segments in which it has a smaller share.

Ford's response to these challenges is a multiyear restructuring
plan involving additional cost-cutting and capacity reductions.
Ford said it will pursue further capacity reductions at its
light-truck plants in response to eroding demand for SUVs and
pickups.  As with past restructuring efforts, the ultimate
success depends largely on whether the company can stabilize its
market share at a level consistent with its future capacity.
Product mix shifts add another layer of complexity, as it
remains difficult and costly to convert light-truck capacity to
car or crossover utility vehicle capacity.

Separately, Ford also said today that it is neutral on the
tender offer by Kirk Kerkorian's Tracinda Corp., which would
increase Tracinda's equity stake to about 5.6% from the current
4.7%.  This is not currently a factor in our ratings because we
do not believe it portends a major shift in Ford's turnaround
strategy.

Ford's outlook is negative.  S&P could place our ratings on
CreditWatch at any time and subsequently lower them, given the
possibility of further adverse developments in the severely
challenged North American auto sector.  For example, if lower-
than-expected U.S. light-vehicle sales persist through 2009
or higher fuel prices cause an even more dramatic shift away
from light trucks, Ford's liquidity could reach undesirable
levels by late 2009.  This could occur even if Ford continues to
make progress on its turnaround program in North America and
auto operations outside North America remain improved
contributors.

S&P do not expect to revise the outlook back to stable within
the next year, given the economic outlook, ongoing turnaround
plan execution risk, and potential pressure on liquidity.  
Longer term, we could consider a stable outlook if industry
conditions stabilize and Ford is able to significantly reduce
its cash burn heading into its 2010 retiree health care savings.


FORD MOTOR: Declining Demand Prompts Moody's to Hold Ratings
------------------------------------------------------------
Moody's Investors Service affirmed the ratings of Ford Motor
Company following the company's announcement that declining
demand in the US market and the ongoing shift in consumer
preference away from trucks and SUVs will result in an operating
loss during 2009, and require further restructuring initiatives.

As a result, Ford estimates that the cash outflow for the period
of 2008 through 2009 will worsen by US$2 billion - from US$10-
US$12 billion to US$12-US$14 billion.  The ratings affirmed
include:

   -- B3 - Corporate Family Rating;
   -- B3 - Probability of Default;
   -- Ba3 - secured credit facility;
   -- Caa1 senior unsecured debt rating; and
   -- SGL-1 Speculative Grade Liquidity rating.

The rating outlook remains stable.

The rating affirmation and stable outlook reflect Moody's view
that Ford's gross liquidity of US$40.6 billion at March 31,
2008, which consists of US$28.7 billion in cash and securities
and US$11.9 billion in committed credit facilities, should
enable the company to adequately fund this larger cash outflow.

"One of the key challenges facing Ford and the other domestic
auto manufacturers is maintaining sufficient liquidity to fund
the large cash outflows that will occur during 2008 and 2009,"
Bruce Clark, Senior Vice President of Moody's said.  Once they
get to 2010, the domestic OEM's should begin to benefit from
significant cash savings associated with the UAW-managed health
care program."  "Of the domestic OEMs, Ford has the most robust
liquidity position to fund the cash requirements it is likely to
face during the next two years," Clark went on to say.

Notwithstanding this substantial liquidity position, Ford's
operating performance and credit metrics will remain very weak,
and the company's overall operating and financial profile will
be consistent with a rating in the low single-B category based
on the rating factors contained in Moody's Rating Methodology
for the Global Automotive Industry.  Moody's also notes that
over the coming two years Ford will face considerable cash
requirements that will significantly reduce its current US$40.6
billion in liquidity.  These requirements will include: the
approximately US$13 billion in operating losses and
restructuring expenditures; ongoing minimum levels of cash
required to fund intra-month working capital requirements that
can approximate 5%-6% of revenues in the automotive OEM sector;
debt repayments of approximately US$1.5 billion; UAW-related
VEBA contributions of US$2.8 billion; pension contributions;
sizable payments to Ford Motor Credit Company that will bring
Ford's subvention payment terms with its finance operation more
in line with industry norms; and the possibility that the pace
of cash outflow could increase if the operating environment in
the US continues to worsen.  A moderate offset to these outflows
will be approximately US$2.3 billion in proceeds for the sale of
Land Rover and Jaguar.

Despite Ford's likely ability to fund these significant cash
requirements during 2008 and 2009, it will remain critical for
the company to make sufficient progress in reestablishing the
competitiveness of its operating model during this period and to
adequately adjust to lower demand and mix shift in the US.  Key
areas will include: maintaining US market share above 14%, and
accelerating the successful launch of cars and crossover
vehicles and building the profitability of these vehicles.
Absent evidence of steady progress in these areas, Ford's rating
could come under pressure later in 2008.  The rating could also
be pressured by the prospect of continued escalation in US
gasoline prices or by US retail shipment levels remaining below
16 million units for 2009.

Ford Motor Company, headquartered in Dearborn, Mich., is a
leading global automotive manufacturer.


GENERAL MOTORS: Adequate Liquidity Cues S&P to Keep B Rating
------------------------------------------------------------
Standard & Poor's Ratings Services affirmed its 'B' corporate
credit rating and other ratings on General Motors Corp. and
removed them from CreditWatch with negative implications, where
they were placed March 17, 2008, as a result of the strike
at American Axle & Manufacturing Holdings Inc.  The outlook on
GM is negative.

At the same time, S&P raised our issue-level rating on GM's
senior unsecured notes to 'B' (the same as the corporate credit
rating on the company) from 'B-', and assigned recovery ratings
of '4', indicating the expectation for average (30% to 50%)
recovery in the event of a payment default.  The rating actions
reflect the extension of our recovery ratings to all
speculative-grade unsecured debt issues.

The rating affirmation reflects our view that GM's liquidity is
currently adequate, taking account of the company's negative
cash use in North America and ongoing restructuring efforts.
However, "The negative outlook should be understood to mean that
we could place the ratings on CreditWatch at any time and
subsequently lower them," said Standard & Poor's credit analyst
Robert Schulz, "given the possibility of further adverse
developments in the severely challenged North American auto
sector."  A primary example would be GM's inability to manage
lower-than-expected U.S. light-vehicle sales through 2009,
along with more dramatic and accelerated shifts away from light
trucks, which could push GM's liquidity toward undesirable
levels.  This could occur even if GM continues to make progress
on its turnaround program in North America and auto operations
outside North America remain improved contributors.

The ratings on GM reflect primarily the risks and lack of
visibility related to the company's North American automotive
operations.  GM faces two very serious challenges in the North
American market: weak industry demand in 2008 and possibly 2009,
and adverse customer shifts away from more profitable vehicle
segments.  These negative developments are coming as GM is in
the midst of addressing its high cost structure and improving
its product mix in North America.  S&P expects U.S. light-
vehicle sales to be about 14.8 million units in 2008, the lowest
in more than a decade and down from 16.1 million units in
2007.  GM also continues to lose market share in the U.S.,
although much of its share loss in the past year resulted from
deliberate reductions in sales to daily rental fleets.  More
recently, GM's market share has been affected by the shift
toward car segments in which it has a smaller share.

GM's response to these challenges is a multiyear restructuring
plan, a major element of which is the four-year labor contract
reached last fall with the United Auto Workers.  S&P considers
the UAW contract to be a substantial long-term positive
development for GM's turnaround efforts in North America, and we
believe GM has traction on its broader cost-reduction plan.
However, the large retiree health care cost savings from the
contract do not begin to accrue until 2010, and as with past
restructurings, the ultimate success of the turnaround plan
depends largely on whether the company can stabilize its market
share at a level consistent with its future capacity.

In the interim, GM will continue to use substantial cash in its
automotive operations in 2008, and likely in 2009.  The causes
of this include deteriorating volume and mix in North America
and cash restructuring costs.

The automotive finance and insurance operations of 49%-owned
GMAC LLC are expected to remain profitable in 2008, albeit at
lower levels than in past
years.  But GMAC's Residential Capital LLC mortgage unit has had
very poor results recently, and this will continue to depress
GM's net income.  S&P's lowering of GMAC's and Residential
Capital's ratings had no effect on the ratings on GM.  GM is not
required to support Residential Capital, but is offering to
backstop a portion (estimated at US$367 million) of a US$750
million first-loss position in a US$3.5 billion secured facility
offered to Residential Capital by GMAC.  Although manageable,
this is a contingent call on GM's liquidity.  A default by
Residential Capital would not directly affect any of
GM's financing agreements.  Under the terms of the sale of a
majority stake in GMAC in late 2006, GM agreed to forgo
dividends from GMAC for a period of time, so we already had no
expectation that GMAC would make cash payments to GM.

On various important labor fronts, we are concerned about the
difficulties that bankrupt supplier Delphi Corp. has experienced
in emerging from bankruptcy.  S&P still do not expect the
comprehensive costs to GM of resolving its exposure to Delphi to
strain GM's liquidity, even if GM does not receive any cash
consideration upon Delphi's emergence.  S&P would reassess this
view if GM found it necessary to fund any significant portion of
Delphi's eventual emergence with cash beyond the ongoing plant
and wage subsidies GM has agreed to provide.  Separately, the
US$200 million that GM has agreed to pay to American Axle to
defray a portion of the costs of American Axle's labor
settlement is another diversion of cash outside GM, but does not
affect GM's rating.  GM has also eliminated the potential for
labor disruptions this fall in Canada with the recently
concluded preliminary agreement with the Canadian Auto Works
union well in advance of the contract expiration.

GM's outlook is negative.  S&P do not expect to revise the
outlook to stable within the next year, given the economic
outlook, ongoing turnaround plan execution risk, and pressure on
liquidity.  Longer term, S&P could consider a stable outlook if
industry conditions stabilize and GM is able to significantly
reduce its cash burn heading into its 2010 retiree health care
savings.

S&P do not expect GM to provide any significant capital to GMAC
or indirectly to Residential Capital, nor is GM required to do
so.  In addition, S&P do not believe there are any rating
triggers or other mandatory calls on GM's cash caused by a GMAC
or Residential Capital downgrade or in the event that
Residential Capital were to default.


GRETNA FOOTBALL: Axes Entire Staff; In Talks with Possible Buyer
----------------------------------------------------------------
Gretna Football Club has resolved to lay off its remaining 40
staff members, including players, with immediate effect after
administrators failed to meet a May 17, 2008 deadline to find a
buyer, Duncan Smith writes for the Scotsman.  Gretna went into
administration on March 10, 2008 with debts of about GBP4
million.

According to Gretna's director Mick Wadsworth, the decision has
been reached because "there are no funds at the moment to carry
on," the Scotsman relates.

Meanwhile, Gretna's administrator David Elliot of Wilson Field
confirmed that there is one potential buyer for the club, which
seeks to be admitted to the First Division of the Scottish
Football League next season, the Scotsman relates.

The interested party is thought to be a consortium led by Paul
Davies, a business from Glasgow, the Scotsman reveals.

Gretna's chairman Ron McGregor disclosed negotiations with the
potential buyer, which is also in discussions with the SFL, are
in progress, stressing "we know the bidder who we have been
talking to us is very, very keen to complete the deal," the
Scotsman adds.

Mr. Elliot, the paper notes, earlier indicated that a potential
buyer will have to acquire the club's sole asset, Raydale Park,
for GBP850,000 and get it up to SFL standards.

The Financial Times says no rescue deal has been concluded and
no new deadline has been set.

Headquartered Gretna, United Kingdom, Gretna Football Club Ltd.
-- http://www.gretnafootballclub.co.uk/-- is a Scottish  
football club that plays in the Scottish Premier League.


HBS PROJECTS: Joint Liquidators Take Over Operations
----------------------------------------------------
Mark Newman and Vincent John Green of Vantis Business Recovery
Services were appointed joint liquidators of HBS Projects Ltd.
(formerly Hunter Building Systems Ltd.) on May 15 for the
creditors' voluntary winding-up proceeding.

The joint liquidators can be reached at:

         Vantis Business Recovery Services
         Judd House
         16 East Street
         Tonbridge
         Kent
         TN9 1HG
         England


INVENSYS PLC: Fitch Affirms IDR at BB on Term Loans' Repayment
--------------------------------------------------------------
Fitch Ratings has affirmed UK-based Invensys Plc's Long-term
Issuer Default rating at 'BB' and Short-term IDR at 'B'.  The
Outlook for the Long-term IDR has been revised to Positive from
Stable.  This action follows Invensys's repayment of outstanding
term loans out of existing cash balances through a call option.  
In addition, Fitch has withdrawn all the ratings at Invensys
International Holding Ltd., as this entity does not have any
outstanding debt.

Following the improvement in operating performance, with fiscal
year 2008 operating profits (before exceptional items) rising to
GBP254 million (an increase of 17% year-on-year) and reported
operating margins increasing to 12% from 10.7% in fiscal year
2007, the Positive Outlook reflects the expectation of further
strengthening in the results achieved to date in a more
challenging environment.  Furthermore, a decrease in interest
costs and lower pension and other legacy liabilities are
expected to become less of a cash flow burden and thereby less
of a ratings constraint going forward.

The successful asset disposal strategy targeting underperforming
and cash-draining business has continued to improve the group's
financial position.  This resulted in the redemption of the
GBP343 million outstanding high yield Bonds in March 2008, and
the more recent repayment of its GBP155 million senior secured
term loans in early May.  The financial profile is therefore
underpinned by its current debt-free status.  The group's
liquidity position is boosted by a cash balance of approximately
GBP200 million and a GBP130 million revolving credit facility
maturing in December 2010.  While Invensys also canceled
GBP100 million from its bonding credit facility (previously
GBP396 million), the company is currently under negotiations
with relationship banks to establish a capital structure more
reflective of its new business profile.

Extensive restructuring to stem the historical slowdown in
growth and decline in profitability, particularly within the
challenging Controls business, appears to be yielding results.  
Therefore, among the factors considered for a potential upgrade
is further progress in the recovery of this division.  In
addition, Fitch will view positively further increases in the
group's order book derived from better market share and an
expansion in the penetration of Invensys's solutions to its
customers.  While Fitch remains cautious about ongoing weakness
in the US residential market and the uncertain global economic
outlook, Fitch believes Invensys has sufficient financial
flexibility at the current rating level to cope with the
prospects of an economic slowdown.

Fitch believes that the current credit profile provides some
financial headroom for resuming dividend payments after the
implementation of a new capital structure, and bolt-on
acquisitions are also factored into the ratings.  While large
scale and debt-funded acquisitions do not appear likely in the
foreseeable future, any change in Fitch's perception of the
group's financial policy and acquisition strategy would be
treated as event risk on a case-by-case basis.

Invensys is a diversified automation and engineering group with
four main divisions: Process Systems (39% of fiscal year 2008
revenues), Controls (30% of fiscal year 2008 revenues), Rail
Systems (26% of fiscal year 2008 revenues) and Eurotherm (5% of
fiscal year 2008 revenues).


NATIONWIDE ENVIRONMENTAL: Hires Liquidators from Vantis
-------------------------------------------------------
Colin Ian Vickers and Christopher David Stevens of Vantis
Business Recovery Services were appointed joint liquidators of
Nationwide Environmental Services Ltd. (formerly Seagreen Ltd.)
on May 14 for the creditors' voluntary winding-up proceeding.

The joint liquidators can be reached at:

         Vantis Business Recovery Services
         Fourth Floor
         Southfield House
         11 Liverpool Gardens
         Worthing
         BN11 1RY
         England


NEWCASTLE COMPUTER: Brings In Grant Thornton as Administrators
--------------------------------------------------------------
Joseph Peter Francis McLean and Keith Hinds of Grant Thornton UK
LLP were appointed joint administrators of Newcastle Computer
Services Plc (Company Number 01643277) on May 13, 2008.

Grant Thornton U.K. LLP -- http://www.grant-thornton.co.uk/--  
provides value-added professional services as assurance
services, compensation and benefits, merger and acquisition
transaction services, management advisory services, tax
consulting and valuation services.

The company can be reached at:

          Newcastle Computer Services Plc
          Viaduct Works
          Clay Lane
          Huddersfield
          HD7 5BG
          England
          Tel: 01484 848 100
          Fax: 01484 848 119
          Web site: http://www.ncs-plc.co.uk/


STAFF FINDERS: Appoints Tenon Recovery to Administer Assets
-----------------------------------------------------------
Matthew Colin Bowker and David Antony Willis of Tenon Recovery
were appointed joint administrators of Staff Finders UK Ltd.
(Company Number 03304434) on May 13, 2008.

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

The company can be reached at:

          Staff Finders UK Ltd.
          10-11 Wright Street
          Hull
          North Humberside
          HU2 8HU
          England
          Tel: 01482 211 000
          Fax: 01482 227 447


* UK’s Public Debt Reaches 43.1%, ONS Says
------------------------------------------
The Office for National Statistics disclosed that the United
Kingdom's net debt stood at 43.1% of its GDP as of March 2008,
Breaking News in Ireland reports.  The debt is a little over the
40% ceiling as required by the Treasury, breaking News adds.

The ONS says that the nationalization of Northern Rock was cited
as one of the reasons for the breach adding more than GBP92
billion to the public debt, Breaking News relates.  ONS however
adds that it needed more time to assess the full impact on the
move to nationalize Northern Rock.

According to the ONS, it cannot give a definite date on the
release of the final calculations of Northern Rock's impact on
the public debt, Breaking News further relates.


* UK Airlines Will View Landing Slots as Assets on Balance Sheet
----------------------------------------------------------------
Deloitte is expecting that certain UK airlines will start to
value all of their landing slots as assets on their balance
sheet annual results.

"With such high demand for landing slots, many airlines have
realized the slots they hold are very valuable.  For most part,
there are not included as assets on an airline's balance sheet.    
It is important that this value is fairly recognized so that
airlines have the potential to use them as security against
borrowings," Graham Pickett, aviation partner at Deloitte
commented on the move.

Deloitte has calculated that in Europe the most valuable landing
slots are those at London Heathrow, followed by Charles de
Gaulle, Gatwick and Frankfurt.  Based on a recent transaction
the implied value of a pair of peak time slots at London
Heathrow is currently worth between GBP25 and GBP30 million.  
The value of slots varies primarily depending on the time of day
they are for.

While EU regulations are in place to ensure landing slots are
allocated fairly, they have generally failed to significantly
erode the presence of the 'national flag' carrier airlines at
key airports.

At Heathrow, for example, this summer there are a total of 9,562
slots available.  99% of these are held by legacy/ flag carrier
airlines - those already established at the airport.  41% of
Heathrow slots are held by British Airways.  BMI hold a further
11% and Virgin Atlantic hold 3%.  Deloitte’s research shows that
just 1.0% of slots are available for allocation to new entrants
and many of these are unusable because of their timing or other
factors.

With the introduction of the Open Skies Agreement and limited
scope to increase capacity at Heathrow and Gatwick airports, in
particular, due to air traffic congestion, Deloitte expects the
value of landing slots to remain high.  

"The Open Skies agreement should lead to greater demand between
airlines for landing slots at Heathrow.  London Heathrow is seen
as the ‘Crown Jewel’ for landing slots. Where previously just
four airlines could operate flights from Heathrow to the US, the
Open Skies agreement opens the market to new entrants and we
expect other airlines to look to acquire slots here," Mr. Picket
said.

"However, airlines keen to rival the incumbent players may find
it difficult to secure landing slots. Trading in slots, a bit of
a grey area in terms of regulation, can be an extremely
expensive business.  There could, however, be the potential for
airlines to use landing slots as security against borrowings if
they can now recognize them all on balance sheet at valuation.  
It will be interesting to see what position airlines finally
take and how banks regard such assets over the coming months,"
Mr. Picket concluded.


* BOOK REVIEW: Business Wit & Wisdom
------------------------------------
Author:     Richard S. Zera
Publisher:  Beard Books
Paperback:  316 pages
List Price: US$34.95

Order your personal copy at
http://www.amazon.com/exec/obidos/ASIN/1587982560/internetbankru
pt

This book Business Wit & Wisdom, written by Richard S. Zera
houses a masterful collection of sayings, anecdotes, and quotes
to amuse.

Thought provoking ideas and expressions can be found on every
page, along with stories and quips to prompt a smile or a hearty
chuckle.

Conveniently grouped by subject, this gold mine can be easily
panned by speakers for relevant nuggets, and readers can just
enjoy the thoughts and meanings prompted by so many of the
entries of this wonderful treasure chest.

                            *********

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 and Pius Xerxes
Tovilla, 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 * * *