TCREUR_Public/080815.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, August 15, 2008, Vol. 9, No. 162

                            Headlines


A U S T R I A

ACI AIR: Claims Registration Period Ends August 20
ALPHA LLC: Claims Registration Period Ends August 18
M.S. LLC: Claims Registration Period Ends August 25
PEGASUS BAU & CO: Claims Registration Period Ends August 18
STAHLBAUSCHLOSSEREI SAGMEISTER: Claims Filing Ends Aug. 19


F R A N C E

ALCATEL-LUCENT SA: Extends Tender Offer for Motive Inc.
ALCATEL-LUCENT SA: To Provide Payment Solution to Dialog Telecom
DELPHI CORP: June 30 Balance Sheet Upside-Down by US$14.5 Bln
PSM SA: Resumes Production After Administration; Seeks Buyer


G E R M A N Y

CARGO STUHR: Claims Registration Period Ends August 22
CAT TIMMENDORFER: Claims Registration Period Ends August 22
EUROPERA GRUNDBESITZ: Claims Registration Period Ends August 22
FISCHHAUS AM STROM: Claims Registration Period Ends August 22
GRUEN-GOLD: Claims Registration Period Ends August 22

GSM INNENAUSBAU: Claims Registration Period Ends August 22
IKB DEUTSCHE: Closes Subscription Period for News Shares
KAYSER-LITHO & PRODUKTION: Claims Registration Ends August 22
LAMPTRONIC INT'L: Claims Registration Period Ends August 22
MR SPEDITION: Claims Registration Period Ends August 22

NTZ ELEKTROTECHNIK: Claims Registration Period Ends August 22
NYX3 GMBH: Claims Registration Period Ends August 22
PFLEIDERER AG: Fitch Trims LT Issuer Default Rating to 'BB'
SEND SIGNAL: Claims Registration Period Ends August 22
SIPA-VERWALTUNGS GMBH: Claims Registration Period Ends Aug. 23

STRICKWARENFABRIK LUDWIG: Claims Registration Ends August 22
TELEFONNAVIGATION GMBH: Claims Registration Period Ends Aug. 22
TOMA RESTAURATIONS: Claims Registration Period Ends August 22
WOLFSBURGER OBERFLZCHENTECHNIK: Claims Registration Ends Aug. 22
ZI TECHNOLOGY: Claims Registration Period Ends August 23


I R E L A N D

AVOCA CLO V: Fitch Holds EUR22MM Class D Notes Rating at 'BB'
AVOCA CLO VI: Fitch Affirms 'B' Rating on EUR10MM Class F Notes
AVOCA CLO VII: Fitch Affirms Low-B Ratings on Three Note Classes
AVOCA CLO VIII: Fitch Holds BB Rating on EUR21.5MM Class E Notes
JER CRE CDO: S&P Cuts Ratings on Four Classes to BB, B


I T A L Y

ALITALIA SPA: Intesa Sanpalo Recommends Lufthansa as Partner
PARMALAT SPA: NY Court Dismisses Class Suit vs BoA & Citigroup


K A Z A K H S T A N

AUTO HIM: Creditors Must File Claims by September 23
KANDYGASH SBYT: Claims Filing Deadline Slated for September 19
KOMAN LIMITED: Claims Filing Period Ends September 23
MAX LTD: Creditors' Proofs of Claim Due on September 23
MAYFAIR TEA: Claims Registration Ends September 23

PRODOVOLSTVENNAYA KOMPANIYA: Creditors' Claims Due on Sept. 19
TAVERMASH LLP: Claims Deadline Slated for September 19


K Y R G Y Z S T A N

HILOL-STROY LLC: Creditors Must File Claims by September 16


R U S S I A

FINAO CJSC: Court Sets Supervision Hearing on December 8
INTERNATIONAL BANK: Fitch Affirms Individual Rating at 'D/E'
IVNITI OJSC: Court Sets Supervision Hearing on November 10
MAXIMUM INVEST: Court Starts Bankruptcy Supervision Procedure
NOVOLIPETSK STEEL: Earns RUR36.9 Bln for Second Quarter 2008

NOVOLIPETSK STEEL: To Buy John Maneely Co. for US$3.53 Billion
SOLID LLC: Creditors Must File Proofs of Claims by September 5
SPARE PART: Creditors Must File Proofs of Claims by September 5
STROY-MONTAGE: Court Sets Supervision Hearing on September 16
URAL-GIPRO-REZINO-TEKHNIKA: Claims Filing Deadline Set Sept. 5


S W I T Z E R L A N D

DANTON WEALTH: Creditors Have Until Sept. 10 to File Claims
DIVAL JSC: Sept. 10 Set as Deadline to File Proofs of Claim
GENERAL MOTORS: Implements Procedures on Health Care Policy
GENERAL MOTORS: Moody's Lowers Corporate Family Rating to Caa1
IM BETEILIGUNG: Creditors Must File Proofs of Claim by  Sept. 7

MIKE MULLER: Deadline to File Proofs of Claim Set August 31
NEWDATA LLC: Proofs of Claim Filing Deadline is August 23
PHO-STA LLC: Creditors' Proofs of Claim Due by August 23
POLYBIUS CRYPTO: Aug. 27 Set as Deadline to File Proofs of Claim
PROMETALLEX JSC: Creditors Must File Proofs of Claim by Aug. 31

SEMGROUP LP: Enterra, et al., Disclose Financial Exposures
SEMGROUP LP: Eagle Rock Asserts US$6 Million Claim on June Sales
SEMGROUP LP: Three Parties Respond to Cash Collateral Motion
STOLLER BETRIEB: Deadline to File Proofs of Claim Set August 27


U K R A I N E

NAFTOGAZ NJSC: Fitch Anticipates Weak FYO7 Financial Results

* S&P Publishes Annual Credit Report for Ukraine


U N I T E D   K I N G D O M

BRITISH AIRWAYS: Inks Biz Deal with Iberia and American Airlines
BRITISH ENERGY: Earns GBP62 Million for 1st Qtr Ended June 29
BS DEVELOPMENTS: Goes Into Administration
EUROSAIL 2006-3NC: S&P Cuts E1c/ETc/FTc Notes Rating to B/B/CCC
HAMATELL LTD: Brings in Liquidators from Vantis

HUMBER COOPERAGE: Calls in Liquidators from Tenon Recovery
INDUSTRIAL WASTEWATER: Taps Grant Thornton to Administer Assets
INNOVATE OFFICE: Appoints Joint Administrators from BDO Stoy
ISSA DEVELOPMENTS: Goes Into Administration
JILLAND ENGINEERING: Hires Liquidators from Mazars

JILLAND RAIL: Brings in Liquidators from Mazars
LTE NETWORK: Taps Joint Administrators from Tenon Recovery
MADDEN CONSTRUCTION: Calls in Liquidators from Moore Stephens
PJ ROWAN: Appoints Joint Administrators from Grant Thornton
QUEBECOR WORLD: Seeks Nod on US$100MM Insight Printing Deal

QUEBECOR WORLD: Wants to Engage Watson Wyatt as Actuary
QUEBECOR WORLD: Resolves Sharper Image's US$3.8 Million Claim
QUEBECOR WORLD: To Sell Ontario Lot to Broccolini for C$3.35MM
QUEBECOR WORLD: Trade Creditors Sell 32 Claims Worth US$17.5 Mln
WHIZZGO LTD: Taps Joint Administrators from KPMG

WRAPIT PLC: Directors Fail to Find Buyer; KPMG Reviews Options

* European CMBS Markets Deteriorates Further in 2008, S&P Says
* S&P Says European Credit Card Markets Down in 2nd Quarter 2008

* BOOK REVIEW: Rupert Murdoch: Creator of a Worldwide Media


                            *********


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


ACI AIR: Claims Registration Period Ends August 20
--------------------------------------------------
Creditors owed money by LLC Aci Air Condition Innovation have
until Aug. 20, 2008, to file written proofs of claim to the
court-appointed estate administrator:

         Dr. Thomas Deschka
         Spiegelgasse 10
         1010 Vienna
         Austria
         Tel: 513 99 39
         Fax: 513 99 39 30
         E-mail: deschka@lawcenter.at

Creditors and other interested parties are encouraged to attend
the creditors' meeting at 9:00 a.m. on Sept. 3, 2008, for the
examination of claims at:

         The Trade Court of Vienna
         Room 1606
         Vienna
         Austria

Headquartered in Vienna, Austria, the Debtor declared bankruptcy
on July 8, 2008, (Bankr. Case No. 4 S 90/08z).


ALPHA LLC: Claims Registration Period Ends August 18
----------------------------------------------------
Creditors owed money by LLC Alpha have until Aug. 18, 2008, to
file written proofs of claim to the court-appointed estate
administrator:

         Dr. Christof Stapf
         Fanny Elssler-Gasse 4
         7000 Eisenstadt
         Austria
         Tel: 02682/61394
         Fax: 02682/68339
         E-mail: eisenstadt@snwlaw.at

Creditors and other interested parties are encouraged to attend
the creditors' meeting at 10:30 a.m. on Sept. 1, 2008, for the
examination of claims at:

         The Land Court of Eisenstadt
         Hall F
         Eisenstadt
         Austria

Headquartered in Eisenstadt, Austria, the Debtor declared
bankruptcy on July 8, 2008, (Bankr. Case No. 26 S 63/08d).


M.S. LLC: Claims Registration Period Ends August 25
---------------------------------------------------
Creditors owed money by LLC M.S. have until Aug. 25, 2008, to
file written proofs of claim to the court-appointed estate
administrator:

         Dr. Bernhard Eder
         Brucknerstrasse 4
         1040 Vienna
         Austria
         Tel: 505 78 61
         Fax: 505 78 619
         E-mail: eder@rechtsanwaelte.co.at

Creditors and other interested parties are encouraged to attend
the creditors' meeting at 10:00 a.m. on Sept. 8, 2008, for the
examination of claims at:

         The Trade Court of Vienna
         Room 1705
         Vienna
         Austria

Headquartered in Vienna, Austria, the Debtor declared bankruptcy
on July 4, 2008, (Bankr. Case No. 3 S 75/08m).


PEGASUS BAU & CO: Claims Registration Period Ends August 18
-----------------------------------------------------------
Creditors owed money by LLC Pegasus Bau & Co KG have until Aug.
18, 2008, to file written proofs of claim to the court-appointed
estate administrator:

         Dr. Christian Ransmayr
         Honauerstrasse 2
         4020 Linz
         Austria
         Tel: 77 77 66
         Fax: 77 77 66-10
         E-mail: christian.ransmayr@iura.at

Creditors and other interested parties are encouraged to attend
the creditors' meeting at 11:15 a.m. on Sept. 1, 2008, for the
examination of claims at:

         The Land Court of Linz
         Room 522
         5th Floor
         Linz
         Austria

Headquartered in Linz, Austria, the Debtor declared bankruptcy
on July 4, 2008, (Bankr. Case No. 12 S 58/08d).


STAHLBAUSCHLOSSEREI SAGMEISTER: Claims Filing Ends Aug. 19
----------------------------------------------------------
Creditors owed money by LLC Stahlbauschlosserei Sagmeister have
until Aug. 19, 2008, to file written proofs of claim to the
court-appointed estate administrator:

         Gerhard Stauder
         Siebensterngasse 42
         1070 Vienna
         Austria
         Tel: 523 47 91
         Fax: 523 47 91 33
         E-mail: kahlig.partner@aon.at

Creditors and other interested parties are encouraged to attend
the creditors' meeting at 9:15 a.m. on Sept. 2, 2008, for the
examination of claims at:

         Trade Court of Vienna
         Room 1609
         Vienna
         Austria

Headquartered in Vienna, Austria, the Debtor declared bankruptcy
on July 8, 2008, (Bankr. Case No. 6 S 99/08p).


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


ALCATEL-LUCENT SA: Extends Tender Offer for Motive Inc.
-------------------------------------------------------
Alcatel-Lucent SA's wholly owned subsidiary, Lucent Technologies
Inc., has extended its announced tender offer for all of the
issued and outstanding shares of common stock of Motive, Inc.
until 12:00 midnight, New York City time, at the end of
Wednesday, Sept. 10, 2008.

The tender offer was previously set to expire at 12:00 midnight,
New York City time, at the end of Tuesday, Aug. 12, 2008.

As of 12:00 midnight, New York City time, at the end of Tuesday,
Aug. 12, 2008, approximately 27.0 million shares had been
tendered into the tender offer and not withdrawn.

                      About Alcatel-Lucent

Headquartered in Paris, France, Alcatel-Lucent S.A. --
http://www.alcatel-lucent.com/-- provides solutions that enable
service providers, enterprises and governments worldwide to
deliver voice, data and video communication services to end
users.

Alcatel-Lucent maintains operations in 130 countries, including,
Austria, Germany, Hungary, Italy, Netherlands, Ireland, Canada,
United States, Costa Rica, Dominican Republic, El Salvador,
Guatemala, Peru, Venezuela, Indonesia, Australia, Brunei and
Cambodia.

                           *     *     *

As appeared in the TCR-Europe on Aug. 4, 2008, Standard & Poor's
Ratings Services has revised to negative from stable its outlook
on France-based telecommunications equipment supplier Alcatel
Lucent.  At the same time, the 'BB-/B' long- and short-term
corporate credit ratings on Alcatel Lucent, the 'BB-/B-1' long
and short-term corporate credit ratings on subsidiary Lucent
Technologies Inc., and all issue ratings on both companies were
affirmed.

Alcatel-Lucent continues to carry Ba3 Corporate Family and
Senior Debt ratings, Not-Prime for short term debt, as well as
B2 ratings for subordinated debt with negative outlook from
Moody's Investors Service.  The ratings were affirmed in
April 2008.

Alcatel-Lucent's Long-Term Corporate Credit rating and Senior
Unsecured Debt still carry Standard & Poor's Ratings Services'
BB rating.  Its Short-Term Corporate Credit rating stands at B.


ALCATEL-LUCENT SA: To Provide Payment Solution to Dialog Telecom
---------------------------------------------------------------
Dialog Telecom has selected Alcatel-Lucent's convergent payment
solution for its Mobile Virtual Network Operator services.

Under the terms of the contract, Alcatel-Lucent will deploy a
service delivery platform which includes the Alcatel-Lucent 8610
Instant Convergent Charging suite and the 5900 Specialized
Resource Point for IVR functionality.  It will also deliver its
8985 Mobile Provisioning system and NGN switching subsystem
based on the Alcatel-Lucent 5020 Media Gateway Controller and
Alcatel-Lucent 7515 Media Gateway, which support SIP-based OSP
applications.

The Alcatel-Lucent 8610 Instant Convergent Charging Suite, based
on the Open Services Platform, will give Dialog the capacity to
expand its convergent service offering with mobile prepaid and
post-paid services.  Alcatel-Lucent will also integrate the
platform with the core network of a mobile network operator,
acting as a host for Dialog’s mobile services, as Dialog, a
virtual operator, doesn’t own a network.

Piotr Mazurkiewicz, President of Management Board of Dialog
Telecom, said, "Dialog wants to be a leader in service
convergence among independent operators in Poland.  As one of
the leading brands in the Polish telecommunication market we are
in good position to integrate our fixed, Internet and multimedia
services with a mobile portfolio and create a winning quadruple-
play service bundle."

Mr. Mazurkiewicz added, "We chose Alcatel-Lucent because we are
convinced that the MVNO capabilities of their solution provide
the performance and flexibility required for creating attractive
and reliable services for our customers.  It was also very
important that Alcatel-Lucent has the references of a leading
integrator of telecommunication systems, and these skills are
vital for the success of this project."

Mr. Etienne Fouques, President of Alcatel-Lucent's activities in
Europe, Asia and Africa, said, "We are very pleased that we can
help Dialog realize a key piece of its strategy.  Our MVNO
platform fits very well with Dialog's requirements and future
plans.  It allows Dialog to create advanced and flexible mobile
service offerings, bring them to market quickly and bundle them
with other services to meet the needs of customers."


                     About Telefonia Dialog

Telefonia Dialog is one of the largest alternative fixed line
operators in Poland.  Over half a million clients have come to
appreciate the company’s innovative telephony and Internet
solutions and their high satisfaction level was reflected in
independent customer satisfaction surveys. Over 120,000
subscribers are now using broadband DialNet Internet access.

                      About Alcatel-Lucent

Headquartered in Paris, France, Alcatel-Lucent S.A. -
http://www.alcatel-lucent.com/-- provides solutions that enable
service providers, enterprises and governments worldwide to
deliver voice, data and video communication services to end
users.

Alcatel-Lucent maintains operations in 130 countries, including,
Austria, Germany, Hungary, Italy, Netherlands, Ireland, Canada,
United States, Costa Rica, Dominican Republic, El Salvador,
Guatemala, Peru, Venezuela, Indonesia, Australia, Brunei and
Cambodia.

                           *     *     *

Alcatel-Lucent continues to carry Ba3 Corporate Family and
Senior Debt ratings, Not-Prime for short term debt, as well as
B2 ratings for subordinated debt with negative outlook from
Moody's Investors Service.  The ratings were affirmed in
April 2008.

Alcatel-Lucent's Long-Term Corporate Credit rating and Senior
Unsecured Debt still carry Standard & Poor's Ratings Services'
BB- rating.  Its Short-Term Corporate Credit rating stands at B.


DELPHI CORP: June 30 Balance Sheet Upside-Down by US$14.5 Bln
-------------------------------------------------------------
Delphi Corp. reported second quarter 2008 financial results with
revenues of US$5.2 billion, and a net loss of US$551 million.
The Company also entered into an amendment of an existing
agreement with General Motors that is expected to further
enhance Delphi's liquidity position.

                Second Quarter 2008 Financial Results

     -- Revenue: Revenue for the quarter was US$5.2 billion,
        down from US$6.0 billion in the second quarter of 2007.

        * Revenue decline was driven primarily by a 28 percent
          decrease in GM North America (GMNA) production volume,
          which included the impact of a work stoppage at a Tier
          1 supplier to GMNA and Delphi's ongoing divestiture of
          non-core businesses that primarily supplied GMNA.
          Sales to GMNA represented 19 percent of total Delphi
          revenue in the second quarter of 2008, down from 31
          percent in the second quarter of 2007.  Non-GM revenue
          was unchanged at US$3.8 billion for the quarter,
          representing 72 percent of second quarter revenue,
          compared to 63 percent for the same period last year.

     -- Net Loss: Net loss for the quarter was US$551 million,
        or US$0.98 per share, improved from the second quarter
        2007 net loss of US$821 million, or US$1.46 per share.

        * The improvement in net loss was due to the absence of
          charges recorded in the second quarter of 2007 related
          to the Securities and ERISA multi-district litigation
          settlement and employee termination benefits and other
          exit costs primarily resulting from the exit of a
          manufacturing facility in Cadiz, Spain. Offsetting
          these items for the second quarter of 2008 were GMNA
          volume reductions, including the impact of the Tier 1
          supplier work stoppage, a goodwill impairment charge
          and the loss on extinguishment of debt resulting from
          the refinancing of the Company's DIP Credit Facility
          through the end of 2008.

       Parties Reach Accord to Amend GM-Delphi Agreement

As part of Delphi's ongoing discussions with key stakeholders
regarding potential modifications to the Company's amended Plan
of Reorganization (POR), GM has agreed, subject to Court
approval, to amend its Agreement from earlier this year to
increase by US$300 million, to a total of US$950 million, the
amount of advances GM will provide against amounts to be paid to
Delphi by GM following the effectiveness of the GM Settlement
Agreement and Master Restructuring Agreement. The additional
US$300 million of advances is conditioned upon Delphi filing
modifications to its POR by Oct. 31, 2008.

Additional information concerning Delphi's second quarter 2008
results is available through the Investor Relations page of
Delphi's website at http://www.delphi.comand in Delphi's second
quarter Form 10-Q, filed with the Securities and Exchange
Commission.

A full-text copy of Delphi's Form 10-Q report for the fourth
quarter and fiscal year ended December 31, 2007, filed with the
U.S. Securities and Exchange Commission is available for free
at:

               http://ResearchArchives.com/t/s?30bd

                   Delphi Corporation, et al.
               Unaudited Consolidated Balance Sheet
                       As of June 30, 2008
                          (In Millions)

                              ASSETS

Current assets:
   Cash and cash equivalents                           US$1,054
   Restricted cash                                          121
   Accounts receivable, net:
      General Motors and affiliates                       1,108
      Other customers                                     3,024
   Inventories, net                                       1,737
   Other current assets                                     677
   Assets held for sale                                     711
                                                       --------
      TOTAL CURRENT ASSETS                                8,432

Long-term assets:
   Property, net                                          3,811
   Investment in affiliates                                 386
   Goodwill                                                 256
   Other                                                    784
                                                       --------
      TOTAL LONG-TERM ASSETS                              5,237
                                                       --------
TOTAL ASSETS                                          US$13,669
                                                       ========

               LIABILITIES AND STOCKHOLDERS' DEFICIT

Current liabilities:
   Short-term debt
US$4,421
   Accounts payable                                       2,951
   Accrued liabilities                                    2,343
   Liabilities held for sale                                451
                                                       --------
   TOTAL CURRENT LIABILITIES                             10,166

Long-term liabilities:
   Other long-term debt                                      59
   Employee benefit plan obligations                        475
   Other                                                  1,160
                                                       --------
   TOTAL LONG-TERM LIABILITIES                            1,694

Liabilities subject to compromise                        16,244
                                                       --------
   TOTAL LIABILITIES                                  US$28,104
                                                       --------

Minority interest
US$145
Stockholders' deficit:
   Common stock                                               6
   Additional paid-in capital                             2,747
   Accumulated deficit                                  (16,241)
   Employee benefit plan                                 (1,702)
   Other                                                    616
   Accumulated other comprehensive loss                  (1,086)
   Treasury stock, at cost (3.2 million shares)              (6)
                                                       --------
   TOTAL STOCKHOLDERS' DEFICIT                          (14,580)
                                                       --------
TOTAL LIABILITIES AND STOCKHOLDERS' DEFICIT           US$13,669
                                                       ========


                    Delphi Corporation, et al.
          Unaudited Consolidated Statement of Operations
                 Six Months Ended June 30, 2008
                          (In Millions)

Net sales:
   General Motors and affiliates                       US$3,124
   Other customers                                        7,362
                                                       --------
Total net sales                                          10,486
                                                       --------
Operating expenses:
   Cost of sales                                          9,718
   U.S. employee workforce transition program charges        54
   Depreciation and amortization                            429
   Long-lived asset impairment charges                        8
   Goodwill impairment charges                              168
   Selling, general and administrative                      741
                                                       --------
Total operating expenses                                 11,118
                                                       --------
Operating loss                                             (632)

Interest expense                                           (219)
Loss on extinguishment of debt                              (49)
Other (expense) income, net                                  23
Reorganization items                                       (138)
Loss from continuing operations
before minority interest and equity income               (1,015)
Income tax benefit (expense)                                (73)
Loss from continuing operations before                        -
  minority interest and equity income                    (1,088)
  Minority interest, net of tax                              23
  Equity income, net of tax                                  22
Loss from continuing operations                          (1,089)
Loss from discontinued operations, net of tax               (51)
                                                       --------
NET LOSS                                              (US$1,140)
                                                       ========


                    Delphi Corporation, et al.
          Unaudited Consolidated Statement of Cash Flows
                 Six Months Ended June 30, 2008
                          (In Millions)

Cash flows from operating activities:
   Net loss                                           (US$1,140)
   Adjustments to reconcile net loss
    to net cash provided by operating activities:             -
    Depreciation and amortization                           429
    Long-lived asset impairment charges                       8
    Goodwill impairment charges                             168
    Deferred income taxes                                   (10)
    Pension and other postretirement benefit expenses       375
    Equity income                                           (22)
    Reorganization items                                    138
    U.S. employee workforce transition program charges       54
    Loss on extinguishment of debt                           49
    Loss on asset held for sale                              32
    Changes in operating assets and liabilities:              -
    Accounts receivable, net                               (376)
    Inventories, net                                         36
    Other assets                                             36
    Accounts payable                                        151
    Employee and product line obligations                     -
    Accrued and other long-term liabilities                  53
    Other, net                                              (42)
   U.S. employee workforce transition program payments     (100)
   Pension contributions                                   (310)
   Other postretirement benefit payments                   (131)
   (Payments) receipts for reorganization items             (55)
   Dividends from equity investments                         10
   Discontinued operations                                   48
                                                       --------
Net cash used in operating activities                      (599)

Cash flows from investing activities:
   Capital expenditures                                    (414)
   Proceeds from sale of property                            47
   Cost of acquisitions, net of cash acquired               (15)
   Proceeds from sale of non-U.S. trade bank notes          117
   Proceeds from divestitures                               121
   Increase in restricted cash                               52
   Other, net                                                (6)
   Discontinued operations                                  (99)
                                                       --------
Net cash used in investing activities                      (197)

Cash flows from financing activities:
   Proceeds from refinanced DIP facility                  3,158
   Repayments of borrowings from refinanced DIP facility (2,746)
   Net proceeds from term loan facility                       -
Net borrowings under amended and restated
   DIP facility                                             311
   (Repayments) proceeds under cash overdraft                 -
   Net borrowings (repayments) under other debt pacts        29
   Dividend payments                                          -
   Dividend payments of consolidated affiliates to
    minority shareholders                                   (23)
   Other, net                                                 -
   Discontinued operations                                   17
                                                       --------
Net cash used in financing activities                       746
                                                       --------
Effect of exchange rate fluctuations on
cash & cash equivalents                                     68
Decrease in cash and cash equivalents                        18
Cash and cash equivalents at beginning of period          1,036
                                                       --------
Cash and cash equivalents at end of period             US$1,054
                                                       ========

                   Delphi Reports Narrower Loss

Various reports note that Delphi reported a narrower net loss of
US$551,000,000, or 98 cents a share for the second quarter of
2008, compared with a year-earlier net loss of US$821,000,000,
or US$1.46 a share.  The Wall Street Journal said Delphi's
second quarter net loss narrowed as smaller charges more than
offset a sharp drop in business from its primary customer
General Motors Corp.

"Given how bad GM's results were, it could have been a lot
worse," said Kirk Ludtke, an analyst at CRT Capital Group LLC,
according to a report by Bloomberg news.  "Delphi's European
operations are doing well," he said.

Delphi said that its gross margin improved to 7.9% in the second
quarter of 2008, compared to 5.8% during the year-ago period due
to improvements in its operational performance and these
factors:

   -- US$149,000,000 decrease in costs in employee termination
      benefits and other exit costs, primarily due to costs
      recorded during 2007 related to the exit of a
      manufacturing       in Cadiz, Spain;

   -- US$101,000,000 decrease in warranty costs, primarily due
      to a US$91,000,000 increase to warranty reserves recorded
      in the six months ended June 30, 2007 in the Powertrain
      Systems and Electronics and Safety segments related to the
      warranty settlement agreement with GM; and

   -- US$25,000,000 decrease in costs related to incentive
      compensation plans for executives and U.S. salaried
      employees.

According to Delphi, offsetting the increases were an
approximate 28% reduction in production of GM vehicles in North
America, including the negative impact of the work stoppages,
the impact of certain plant closures and divestitures in its
Automotive Holdings Group segment, and recent consumer trends
and market conditions.

              Delphi Mulling Amendments to GM Deal

Delphi said in its Form 10-Q submitted to the Securities and
Exchange Commission that it and GM are are considering potential
amendments to the global settlement and restructuring
agreements, would cause the agreements or certain portions of
the agreements to become effective prior to substantial
consummation of a plan of reorganization.

Those portions include the transfer of certain assets and
liabilities of Delphi's Hourly-Rate Employees Pension Plan to
the GM Hourly-Rate Employees Pension Plan, as set forth in the
U.S. labor union settlement agreements, thereby facilitating
completion of the transfer in an economically efficient manner
prior to September 30, 2008.

            Delphi Sees Decreases in Revenues for 2008

Delphi reported total net sales of US$5,234,000,000 for the
three months ended June 30, 2008, compared with US$6,000,000,000
during the same period last year.

According to Delphi, total sales to GM decreased US$764,000,000
to 28% of total sales, primarily due to decreases in GM North
America volume of 28% and contractual price reductions.

Approximately US$428,000,000 of the GMNA sales decrease is due
to the work stoppages.  Additionally, primarily as a result of
portfolio transformation related to non-core businesses and
recent consumer trends and market conditions, during the three
months ended June 30, 2008, Delphi's GMNA content per vehicle
was US$1,184, 27% lower than the US$1,620 content per vehicle
for the same period in 2007, and GM sales were also decreased by
the impact of certain plant closures and divestitures in
Delphi's AHG segment.

According to Delphi, the decrease to GM sales was offset
slightly due to favorable fluctuations in foreign currency
exchange rates, primarily driven by the Euro, Brazilian Real,
Polish Zloty, Hungarian Forint and Chinese Renminbi as well as
increases in volume of GM sales in international locations.

Delphi said that sales to non-GM customers for the three months
ended June 30, 2008 were flat compared to 2007 but increased to
72% of total sales, primarily due to the decrease in GM sales.

Delphi said that in light of the current economic climate in the
global automotive industry, it anticipates continued operating
challenges due to lower North American production volumes,
related pricing pressures stemming from increasingly competitive
markets, and continued commodity price increases.   As a result,
Delphi expects 2008 revenue will be significantly lower as
compared to 2007, reflecting lower GM revenues, primarily as a
result of lower forecast production volumes in North America as
well as continued divestitures by Delphi of non-core operations,
and flat to moderate growth in sales to other customers.

       Credit Markets Constraints Delaying Ch. 11 Emergence

Delphi said that constraints in the credit markets continue to
impede its ability to obtain financing at reasonable rates and
furthers the delay in our emergence from Chapter 11.  This,
according to Delphi, has made it particularly vulnerable to
changes in the overall economic climate.

Delphi says that it if it is not able to emerge from Chapter 11
prior to December 31, 2008, it would seek to further extend the
term of its US$4,350,000,000 DIP Credit Facility and seek
alternative sources of financing.

                         About Delphi

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

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

The Court approved Delphi's First Amended Joint Disclosure
Statement and related solicitation procedures for the
solicitation of votes on the First Amended Plan on Dec. 20,
2007.  The Court confirmed the Debtors' First Amended Plan on
Jan. 25, 2008.  The Plan has not been consummated after a group
led by Appaloosa Management, L.P., backed out from their
proposal to provide US$2,550,000,000 in equity financing to
Delphi.

(Delphi Bankruptcy News, Issue No. 141; Bankruptcy Creditors'
Service Inc., http://bankrupt.com/newsstand/or 215/945-7000)


PSM SA: Resumes Production After Administration; Seeks Buyer
------------------------------------------------------------
PSM S.A. has resumed production at its 200-staff mill after it
went into administration due to cash problems, Helen Morris of
PrintWeek reports.

The French Court of Commerce appointed administrators to PSM on
Aug. 1, 2008.  The company temporarily halted production as a
result, although none of its staff have been made redundant, the
report relates.

Alexandre Riesser, commercial director at PSM, told PrintWeek
"PSM's move into administration was expected.  It is necessary
to change the very complicated ownership situation of the mill
and it does open up new horizons," adding "the situation can be
solved, as it's a cash problem, which is partly solved thanks to
the freezing of debts."

PSM, which is now in a six-month "trial period", is currently
seeking a buyer, the report says.

Headquartered in Pont Sanint Maxence, France, PSM S.A. --
http://www.psm-sa.fr/-- manufactures and supplies recycled
papers for the U.K market.  It produces 45,000 tons of recycled
paper annually.


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


CARGO STUHR: Claims Registration Period Ends August 22
------------------------------------------------------
Creditors of Cargo Stuhr GmbH have until Aug. 22, 2008, to
register their claims with court-appointed insolvency manager
Jan H. Wilhelm.

Creditors and other interested parties are encouraged to attend
the meeting at 10:00 a.m. on Sept. 12, 2008, at which time the
insolvency manager will present his first report on the
insolvency proceedings.

The meeting of creditors will be held at:

         The District Court of Syke
         Hall 112
         Hauptstr. 5A
         28857 Syke
         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:

         Jan H. Wilhelm
         Am Markt 1
         28195 Bremen
         Germany
         Tel: 0421/178765
         Fax: 0421/1787665

The District Court of Syke opened bankruptcy proceedings against
Cargo Stuhr GmbH on July 1, 2008.  Consequently, all pending
proceedings against the company have been automatically stayed.

The Debtor can be reached at:

         Cargo Stuhr GmbH
         3-K-Weg 1-3
         28816 Stuhr
         Germany


CAT TIMMENDORFER: Claims Registration Period Ends August 22
-----------------------------------------------------------
Creditors of CAT Timmendorfer Strand GmbH have until Aug. 22,
2008, to register their claims with court-appointed insolvency
manager Thorsten Schnoor.

Creditors and other interested parties are encouraged to attend
the meeting at 9:30 a.m. on Sept. 12, 2008, at which time the
insolvency manager will present his first report on the
insolvency proceedings.

The meeting of creditors will be held at:

         The District Court of Eutin
         Hall B
         First Stick
         Jungfernstieg 3
         23701 Eutin
         Germany

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

The insolvency manager can be reached at:

         Thorsten Schnoor
         Wendenstrasse 4
         20097 Hamburg
         Germany

The District Court of Eutin opened bankruptcy proceedings
against CAT Timmendorfer Strand GmbH on July 24, 2008.
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be reached at:

         CAT Timmendorfer Strand GmbH
         Attn: Matthias Schlingmann, Manager
         Hauptstr. 24a
         23669 Timmendorfer Strand
         Germany


EUROPERA GRUNDBESITZ: Claims Registration Period Ends August 22
---------------------------------------------------------------
Creditors of Europera Grundbesitz GmbH have until Aug. 22, 2008,
to register their claims with court-appointed insolvency manager
Dr. Dietmar Penzlin.

Creditors and other interested parties are encouraged to attend
the meeting at 9:45 a.m. on Sept. 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 Hamburg
         Hall B 405
         Fourth Floor Annex
         Civil Justice Bldg.
         Sievkingplatz 1
         20355 Hamburg
         Germany

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

The insolvency manager can be reached at:

         Dr. Dietmar Penzlin
         Rathausstrasse 2
         20095 Hamburg
         Germany

The District Court of Hamburg opened bankruptcy proceedings
against Europera Grundbesitz GmbH on July 1, 2008.
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be reached at:

         Europera Grundbesitz GmbH
         Holsteinischer Kamp 12
         22081 Hamburg
         Germany


FISCHHAUS AM STROM: Claims Registration Period Ends August 22
-------------------------------------------------------------
Creditors of Fischhaus am Strom GmbH have until Aug. 22, 2008,
to register their claims with court-appointed insolvency manager
Herbert Huelsbergen.

Creditors and other interested parties are encouraged to attend
the meeting at 9:00 a.m. on Oct. 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 Rostock
         Hall 330
         Zochstrasse 13
         18057 Rostock
         Germany

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

The insolvency manager can be reached at:

         Herbert Huelsbergen
         Graf-Schack-Strasse 14
         18055 Rostock
         Germany

The District Court of Rostock opened bankruptcy proceedings
against Fischhaus am Strom GmbH on July 16, 2008.  Consequently,
all pending proceedings against the company have been
automatically stayed.

The Debtor can be reached at:

         Fischhaus am Strom GmbH
         Attn: Edelbert Hensel, Manager
         Am Strom 90/91
         18119 Rostock-Warnemuende
         Germany


GRUEN-GOLD: Claims Registration Period Ends August 22
-----------------------------------------------------
Creditors of Gruen-Gold GmbH have until Aug. 22, 2008, to
register their claims with court-appointed insolvency manager
Michael W. Scholz.

Creditors and other interested parties are encouraged to attend
the meeting at 9:30 a.m. on Sept. 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 Hamburg
         Hall B 405
         Fourth Floor Annex
         Civil Justice Bldg.
         Sievkingplatz 1
         20355 Hamburg
         Germany

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

The insolvency manager can be reached at:

         Michael W. Scholz
         Deichstrasse 1
         20459 Hamburg
         Germany

The District Court of Hamburg opened bankruptcy proceedings
against Gruen-Gold GmbH on June 24, 2008.  Consequently, all
pending proceedings against the company have been automatically
stayed.

The Debtor can be reached at:

         Gruen-Gold GmbH
         Wilstorfer Strasse 108
         21073 Hamburg
         Germany


GSM INNENAUSBAU: Claims Registration Period Ends August 22
----------------------------------------------------------
Creditors of GSM Innenausbau GmbH i.L. have until Aug. 22, 2008,
to register their claims with court-appointed insolvency manager
Dr. Wolf-Ruediger von der Fecht.

Creditors and other interested parties are encouraged to attend
the meeting at 9:00 a.m. on Sept. 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 Duisburg
         Hall C205
         Second Floor
         Kardinal-Galen-Strasse 124-132
         47058 Duisburg
         Germany

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

The insolvency manager can be reached at:

         Dr. Wolf-Ruediger von der Fecht
         Goldstr. 1
         47051 Duisburg
         Germany

The District Court of Duisburg opened bankruptcy proceedings
against GSM Innenausbau GmbH i.L. on June 24, 2008.
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be reached at:

         GSM Innenausbau GmbH i.L.
         Brueckelstr. 90-92
         47137 Duisburg
         Germany


IKB DEUTSCHE: Closes Subscription Period for News Shares
--------------------------------------------------------
On Aug. 11, 2008, the end of the subscription period for the
capital increase of IKB Deutsche Industriebank AG, for
265,306,116 shares, the exercise of subscription rights has been
declared.

Thereof declarations in respect of 264,152,886 subscription
rights are from KfW Bankengruppe, in accordance with its actual
share in IKB of 45.5 percent.

KfW has committed itself to subscribing such number of shares
that IKB receives proceeds from the capital increase of at least
EUR1.25 billion.  This commitment is subject to the condition
precedent that the European Commission has determined that the
participation of KfW in the capital increase either does not
constitute a subsidy or constitutes a subsidy that is approved.

This reservation also applies to such shares for which KfW
declared the exercise of its subscription rights.  A decision of
the European Commission is expected to be made in October 2008.

Due to the publication of an amendment to the prospectus for the
capital increase on Aug. 12, 2008, shareholders who declared the
exercise of their subscription rights can repudiate their
declaration within a two days period.

                       About IKB Deutsche

Headquartered in Dusseldorf, Germany, IKB Deutsche Industriebank
AG -- http://www.ikb.de/-- provides medium-sized companies with
long-term financing.  The bank operates in several German
locations, as well as branches in the United Kingdom,
Luxembourg, Spain and France.

IKB had previously invested in securitized loans on the US
market for subprime mortgages, which are now almost worthless.
This resulted in a deep-seated crisis within the bank, pushing
it on the brink of bankruptcy.

                         *     *     *

Moody's Investors Service currently rates IKB Deutsche
Industriebank AG's bank financial strength at E; subordinated
debt at Ba2; junior subordinated securities at Ca and hybrid
capital instruments eligible for Tier 1 capital and the
preferred securities of IKB Funding Trust I & II at Caa3.  The
ratings, which were downgraded to their current level in
April 2008, have stable outlook.


KAYSER-LITHO & PRODUKTION: Claims Registration Ends August 22
-------------------------------------------------------------
Creditors of Kayser-Litho & Produktion GmbH have until Aug. 22,
2008, to register their claims with court-appointed insolvency
manager Stefan Hinrichs.

Creditors and other interested parties are encouraged to attend
the meeting at 11:45 a.m. on Sept. 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 Hamburg
         Meeting Hall B405
         Fourth Floor
         Sievkingplatz 1
         20355 Hamburg
         Germany

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

The insolvency manager can be reached at:

         Stefan Hinrichs
         Kaiser-Wilhelm-Strasse 93
         20355 Hamburg
         Germany

The District Court of Hamburg opened bankruptcy proceedings
against Kayser-Litho & Produktion GmbH on July 16, 2008.
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be reached at:

         Kayser-Litho & Produktion GmbH
         Attn: Wolfgang Hoehn und Walter Howe, Managers
         Neumann-Reichardt-Strasse 34
         22041 Hamburg
         Germany


LAMPTRONIC INT'L: Claims Registration Period Ends August 22
-----------------------------------------------------------
Creditors of Lamptronic International GmbH & Co. KG have until
Aug. 22, 2008, to register their claims with court-appointed
insolvency manager Andreas Sontopski.

Creditors and other interested parties are encouraged to attend
the meeting at 2:15 p.m. on Sept. 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 Meppen
         Hall 1
         Obergerichtsstrasse 20
         49716 Meppen
         Germany

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

The insolvency manager can be reached at:

         Andreas Sontopski
         Gnoiener Platz 10
         48493 Wettringen
         Germany
         Tel: 02557-93840
         Fax: 02557-938450

The District Court of Meppen opened bankruptcy proceedings
against Lamptronic International GmbH & Co. KG on July 1, 2008.
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be reached at:

         Lamptronic International GmbH & Co. KG
         Attn: Eller Verwaltungs-GmbH, Manager
         Zur Seeschleuse 14
         26871 Papenburg
         Germany


MR SPEDITION: Claims Registration Period Ends August 22
-------------------------------------------------------
Creditors of MR Spedition & Anlagenbau GmbH have until Aug. 22,
2008, to register their claims with court-appointed insolvency
manager Goerge Scheid.

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

The meeting of creditors will be held at:

         The District Court of Meiningen
         Hall 105
         Lindenallee 15
         98617 Meiningen
         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:

         Goerge Scheid
         Anger 10
         99084 Erfurt
         Germany

The District Court of Meiningen opened bankruptcy proceedings
against MR Spedition & Anlagenbau GmbH on July 1, 2008.
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be reached at:

         MR Spedition & Anlagenbau GmbH
         Attn: Mike Reukauf, Manager
         Georgstr. 22
         98617 Meiningen
         Germany


NTZ ELEKTROTECHNIK: Claims Registration Period Ends August 22
-------------------------------------------------------------
Creditors of NTZ Elektrotechnik GmbH have until Aug. 22, 2008,
to register their claims with court-appointed insolvency manager
Marcus Janca.

Creditors and other interested parties are encouraged to attend
the meeting at 10:00 a.m. on Sept. 5, 2008, at which time the
insolvency manager will present his first report on the
insolvency proceedings.

The meeting of creditors will be held at:

         The District Court of Norderstedt
         Hall B
         Rathausallee 80
         22846 Norderstedt
         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:

         Marcus Janca
         Untere Querstrasse 1
         23730 Neustadt
         Germany

The District Court of  Norderstedt opened bankruptcy proceedings
against NTZ Elektrotechnik GmbH on July 1, 2008.  Consequently,
all pending proceedings against the company have been
automatically stayed.

The Debtor can be reached at:

         NTZ Elektrotechnik GmbH
         Attn: Oleg Nowopruzkij, Manager
         Bertha-von-Suttner-Strasse 8
         24610 Trappenkamp
         Germany


NYX3 GMBH: Claims Registration Period Ends August 22
----------------------------------------------------
Creditors of NYX3 GmbH have until Aug. 22, 2008, to register
their claims with court-appointed insolvency manager Elfi
Doubleday.

Creditors and other interested parties are encouraged to attend
the meeting at 10:00 a.m. on Sept. 12, 2008, at which time the
insolvency manager will present her first report on the
insolvency proceedings.

The meeting of creditors will be held at:

         The District Court of Konstanz
         Hall 207
         Main Building
         Second Floor
         Untere Laube 12
         78462 Konstanz
         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:

         Elfi Doubleday
         Bleicherstr. 10
         78467 Konstanz
         Germany

The District Court of Konstanz opened bankruptcy proceedings
against NYX3 GmbH on June 26, 2008.  Consequently, all pending
proceedings against the company have been automatically stayed.

The Debtor can be reached at:

         NYX3 GmbH
         Attn: Manfred Wahl, Manager
         Oberfischbach 3
         88677 Markdorf
         Germany


PFLEIDERER AG: Fitch Trims LT Issuer Default Rating to 'BB'
-----------------------------------------------------------
Fitch Ratings downgraded Pfleiderer AG's Long-term Issuer
Default to 'BB' from 'BB+'.  The Short-term IDR is affirmed at
'B'. The Outlook on the Long-term IDR is Stable.  Pfleiderer's
EUR275 million guaranteed undated subordinated fixed- to
floating-rate capital securities are downgraded to 'B+' from
'BB-'.

The downgrade reflects Fitch's view that Pfleiderer will not
achieve a marked improvement of its financial profile within the
next 12-18 months as previously expected.  Pfleiderer recently
announced it will miss its previously indicated revenue target
of EUR2bn for FY08 and operating margin of 15%, both by 5%-15%.
The company continues to face challenging market conditions in
North America while rising competitive pressure in eastern
Europe, particularly in Poland, makes it difficult for
Pfleiderer to pass on raw material price increases to customers
as expected.

Pfleiderer's credit ratios for 2007 deteriorated after its
EUR300 million acquisition of laminate flooring producer, Pergo
AB, with an adjusted net debt/EBITDAR of 3.25x and a total
adjusted debt/EBITDAR of 3.31x. Cash from operations covered 19%
of total adjusted debt, while funds from operations fixed charge
cover stood at 3.7x.  As of end-H1 ended June 30, 2008,
Pfleiderer had undrawn committed credit facilities of EUR540
million and cash and cash-equivalents of EUR138.6 million.  The
latter included the remaining proceeds of a EUR165 million
Schuldschein issued in June 2008 to repay some short-term
financial debt and to extend the company's overall maturity
profile.

Pfleiderer's net adjusted debt is estimated to have amounted to
EUR894 million at end-Q2FY08, resulting in a net adjusted
debt/LTM EBITDAR of 3.5x, according to Fitch's calculation.
Fitch expects adjusted net debt/EBITDAR to remain above 3x
during the coming 12-18 months, excluding any external growth
opportunities the company may pursue in the consolidating
engineered wood industry.

The ratings continue to be supported by Pfleiderer's business
profile as a leading producer of engineered wood, with
increasing shares in its key markets.  They also reflect its
sound geographical diversification, namely its strong positions
in its core markets in western and eastern Europe and North
America, and its broad, integrated product spectrum.  The
ratings are constrained by the industry's capital intensity and
vulnerability to cyclical over-capacity, resulting in price
pressure, as well as the company's challenged ability to pass on
price increases to customers.

Pfleiderer is a leading supplier of engineered wood, surface-
finished products and laminate flooring.  With some 5,800
employees and production sites in western and eastern Europe and
North America, the group reported sales of EUR1.8 billion in
FY07 and EBITDAR of EUR257 million.


SEND SIGNAL: Claims Registration Period Ends August 22
------------------------------------------------------
Creditors of SEND Signal Elektronik GmbH have until Aug. 22,
2008, to register their claims with court-appointed insolvency
manager Dr. Olaf Buechler.

Creditors and other interested parties are encouraged to attend
the meeting at 10:25 a.m. on Sept. 22, 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 Hamburg
         Meeting Hall B405
         Fourth Floor
         Sievkingplatz 1
         20355 Hamburg
         Germany

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

The insolvency manager can be reached at:

         Dr. Olaf Buechler
         Herrengraben 3
         20459 Hamburg
         Germany

The District Court of Hamburg opened bankruptcy proceedings
against SEND Signal Elektronik GmbH on July 1, 2008.
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be reached at:

         SEND Signal Elektronik GmbH
         Attn: Klaus Schleisiek, Manager
         Rostocker Strasse 20
         20099 Hamburg
         Germany


SIPA-VERWALTUNGS GMBH: Claims Registration Period Ends Aug. 23
--------------------------------------------------------------
Creditors of SIPA-Verwaltungs GmbH have until Aug. 23, 2008, to
register their claims with court-appointed insolvency manager
Susanne Mueller-Heeg.

Creditors and other interested parties are encouraged to attend
the meeting at 11:55 a.m. on Sept. 5, 2008, at which time the
insolvency manager will present her first report on the
insolvency proceedings.

The meeting of creditors will be held at:

         The District Court of Flensburg
         Hall A 220
         Suedergraben 22
         Flensburg
         Germany

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

The insolvency manager can be reached at:

         Susanne Mueller-Heeg
         Rat-hausstrasse 1
         24937 Flensburg
         Germany

The District Court of Flensburg opened bankruptcy proceedings
against SIPA-Verwaltungs GmbH on July 18, 2008.  Consequently,
all pending proceedings against the company have been
automatically stayed.

The Debtor can be reached at:

         SIPA-Verwaltungs GmbH
         Attn: Heinz-Walther Doege, Manager
         Harnis 20
         24937 Flensburg
         Germany


STRICKWARENFABRIK LUDWIG: Claims Registration Ends August 22
------------------------------------------------------------
Creditors of Strickwarenfabrik Ludwig GmbH have until
Aug. 22, 2008, to register their claims with court-appointed
insolvency manager Jutta Ruedlin.

Creditors and other interested parties are encouraged to attend
the meeting at 10:30 a.m. on Sept. 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 Fritzlar
         Meeting Room 17
         Building A
         Schladenweg 1
         34560 Fritzlar
         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:

         Jutta Ruedlin
         Am Markt 4
         34212 Melsungen
         Germany
         Tel: 05661/926280
         Fax: 05661/9262820

The District Court of Fritzlar opened bankruptcy proceedings
against Strickwarenfabrik Ludwig GmbH on July 9, 2008.
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be reached at:

         Strickwarenfabrik Ludwig GmbH
         Eichkopfweg 8
         34326 Morschen
         Germany

         Attn: Karl-Heinz Just, Manager
         Eichkopfweg 8A
         34326 Morschen
         Germany


TELEFONNAVIGATION GMBH: Claims Registration Period Ends Aug. 22
---------------------------------------------------------------
Creditors of TelefonNavigation GmbH + Co.KG have until
Aug. 22, 2008, to register their claims with court-appointed
insolvency manager Dr. Karsten Foerster.

Creditors and other interested parties are encouraged to attend
the meeting at 1:00 a.m. on Sept. 22, 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 Neubrandenburg
         Hall 1
         Fr.-Engels-Ring 15-18
         Neubrandenburg
         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. Karsten Foerster
         Otto von Guericke Strasse 5
         17033 Neubrandenburg
         Germany

The District Court of Neubrandenburg opened bankruptcy
proceedings against TelefonNavigation GmbH + Co.KG on
July 4, 2008.  Consequently, all pending proceedings against the
company have been automatically stayed.

The Debtor can be reached at:

         TelefonNavigation GmbH + Co. KG
         Woldzegartener Weg 3
         17209 Leizen
         Germany


TOMA RESTAURATIONS: Claims Registration Period Ends August 22
-------------------------------------------------------------
Creditors of ToMa Restaurations & Marketing GmbH have until
Aug. 22, 2008, to register their claims with court-appointed
insolvency manager Markus Lehmkuehler.

Creditors and other interested parties are encouraged to attend
the meeting at 11:00 a.m. on Sept. 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 Cologne
         Meeting Hall 142
         Luxemburger Strasse 101
         50939 Cologne
         Germany

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

The insolvency manager can be reached at:

         Markus Lehmkuehler
         Wilhelmstr. 40
         53111 Bonn
         Germany

The District Court of Cologne opened bankruptcy proceedings
against ToMa Restaurations & Marketing GmbH on June 6, 2008.
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be reached at:

         ToMa Restaurations & Marketing GmbH
         Attn: Thomas Wegerhoff, Manager
         Carl-Schurz-Str. 27
         50374 Erftstadt
         Germany


WOLFSBURGER OBERFLZCHENTECHNIK: Claims Registration Ends Aug. 22
----------------------------------------------------------------
Creditors of Wolfsburger Oberflzchentechnik GmbH have until
Aug. 22, 2008, to register their claims with court-appointed
insolvency manager Henning Jung.

Creditors and other interested parties are encouraged to attend
the meeting at 10:00 a.m. on Sept. 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 Distric Court of Wolfsburg
         Hall D
         Rothenfelder Strasse 43
         38440 Wolfsburg
         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:

         Henning Jung
         Thiestr. 5
         38226 Salzgitter
         Germany
         Tel: 05341/86609-00
         Fax: 05341/8660909
         E-mail:H.Jung@leonhardt-westhelle.eu

The District Court of Wolfsburg opened bankruptcy proceedings
against Wolfsburger Oberflzchentechnik GmbH on July 1, 2008.
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be reached at:

         Wolfsburger Oberflzchentechnik GmbH
         Attn: Michael Stoz, Manager
         Brandgehaege 19
         38444 Wolfsburg - Hattorf
         Germany


ZI TECHNOLOGY: Claims Registration Period Ends August 23
--------------------------------------------------------
Creditors of ZI technology GmbH have until Aug. 23, 2008, to
register their claims with court-appointed insolvency manager
Dr. Sven-Holger Undritz.

Creditors and other interested parties are encouraged to attend
the meeting at 11:30 a.m. on Sept. 5, 2008, at which time the
insolvency manager will present his first report on the
insolvency proceedings.

The meeting of creditors will be held at:

         The District Court of Flensburg
         Hall A 220
         Suedergraben 22
         Flensburg
         Germany

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

The insolvency manager can be reached at:

         Dr. Sven-Holger Undritz
         C/o White & Case Insolvenz GbR
         Rathausstrasse 6
         24937 Flensburg
         Germany

The District Court of Flensburg opened bankruptcy proceedings
against ZI technology GmbH on June 20, 2008.  Consequently, all
pending proceedings against the company have been automatically
stayed.

The Debtor can be reached at:

         ZI technology GmbH
         Attn: Wolf-Juergen Mueller, Manager
         Ziegeleistrasse 11
         24392 Norderbrarup
         Germany


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


AVOCA CLO V: Fitch Holds EUR22MM Class D Notes Rating at 'BB'
-------------------------------------------------------------
Fitch Ratings affirmed the ratings on nine classes of Avoca CLO
V Plc. notes.

  -- EUR237.5 million Class A1A notes (ISIN: XS0256535567):
     affirmed at 'AAA'

  -- EUR66 million Class A1B notes (ISIN: XS0256536029):
     affirmed at 'AAA'

  -- EUR46.5 million Class A2 notes (ISIN: XS0256536532):
     affirmed at 'AAA'

  -- EUR34.5 million Class B notes (ISIN: XS0256536888):
     affirmed at 'AA'

  -- EUR23.5 million Class C1 notes (ISIN: XS0256537423):
     affirmed at 'A'

  -- EUR9.5 million Class C2 notes (ISIN: XS0256538157):
     affirmed at 'A'

  -- EUR22.5 million Class D notes (ISIN: XS0256538405):
     affirmed at 'BBB'

  -- EUR22 million Class E notes (ISIN: XS0256539122):
     affirmed at 'BB'

  -- EUR10 million Class F notes (ISIN: XS0256539635):
     affirmed at 'B'

Avoca CLO V Plc is a securitization of mainly European senior
secured loans, with the total note issuance of EUR506 million
invested in a target portfolio of EUR500 million.  The portfolio
is actively managed by Avoca Capital Holdings (rated 'CAM2+' on
Fitch's CDO Asset Manager Rating scale).

Fitch released two new criteria on April 30, 2008: Global
Criteria for Corporate CDOs and Global Criteria for Cash Flow
Analysis in Corporate CDOs.  At that time, Fitch noted that it
would be reviewing its ratings with these two new criteria to
establish consistency for existing and new ratings.  The
elements of the updated criteria having the greatest impact on
the analysis of Avoca CLO V Plc include increased default
probability assumptions for underlying assets, as well as
stressed correlation assumptions to reflect the additional risk
posed by portfolio concentrations.  Fitch's new cash flow
criteria also apply updated default timing and interest rate
scenarios.

In analyzing Avoca CLO V Plc, Fitch has modified several
elements of its public criteria.  The most significant
modification to the cash flow methodology relates to a
shortening of recovery timing to 12 months from 18 months after
default for rating scenarios at 'BBB' and below.  Fitch also
used scenario analysis to determine whether the rated notes are
in line with the agency's rating definitions.  The most
important scenario analysis tested how robust the rated notes
are against individual obligor defaults.

For example, the Class D notes can withstand the default of 27
assets on average or 13 of the largest risk contributors, the
Class E notes can withstand the default of 18 assets on average
or five of the largest risk contributors and the Class F notes
can withstand the default of 15 assets on average or seven of
the largest risk contributors.  This analysis more accurately
reflects Fitch's view of the credit quality of the portfolio,
the transaction structure and the ability of the manager.  While
the credit enhancement is considered consistent with the current
ratings, Fitch notes that the lower tranches of notes are most
sensitive to scenarios where defaults occur at the end of the
transaction's life, when assets are due to mature and there is
limited opportunity for the structure to capture excess spread
to protect the notes.

Avoca CLO V plc is an actively managed transaction, with
approximately EUR75 million of the loan portfolio traded since
30 April 2008.  As a result, the management decisions of Avoca
Capital Holdings are critical to the performance of the CDO.  In
recent months, Avoca Capital Holdings has reduced its exposure
to 'CCC'-rated loans from 1% to 0%.  This action has improved
the credit quality of the portfolio and contributed to Fitch's
rating decision.  In addition, Avoca Capital Holdings holds a
portion of the equity tranche and has elected to divert excess
spread away from the equity tranche at the last payment date to
purchase additional collateral and signaled its intention to
continue to divert excess spread for the next several payment
dates.

As of the review date, the portfolio contained loans from 62
obligors, with the largest exposure accounting for approximately
3% of the outstanding portfolio amount, and the three largest
obligors accounting for 9% of the outstanding portfolio amount.
Fitch makes downward adjustments for any names on Rating Watch
Negative or Negative Outlook for default analysis in its
Portfolio Credit Model.

Although none of the assets are rated in the 'CCC' category on
an unadjusted basis, on an adjusted basis approximately 14% of
the assets are treated as 'CCC+' or below and the weighted
average portfolio quality is 'B-' (B minus/'B'.  None of the
assets in the portfolio are on RWN, while 15 obligors
(corresponding to 31% of the portfolio) are on Negative Outlook.
The largest single industry is broadcasting and media, with 13%
of the portfolio volume.


AVOCA CLO VI: Fitch Affirms 'B' Rating on EUR10MM Class F Notes
---------------------------------------------------------------
Fitch Ratings has affirmed eight classes of Avoca CLO VI PLC
notes due 2023.

  -- EUR301.5 million Class A1 notes (XS0272579763):
     affirmed at 'AAA'

  -- EUR64 million Class A2 notes (XS0272580266):
     affirmed at 'AAA'

  -- EUR19.4 million Class B notes (XS0272580779):
     affirmed at 'AA'

  -- EUR31.5 millon Class C notes (XS0272580936):
     affirmed at 'A'

  -- EUR20 million Class D notes (XS0272582395):
     affirmed at 'BBB'

  -- EUR23.85 million Class E notes (XS0272583286):
     affirmed at 'BB'

  -- EUR10 million Class F notes (XS0272583955):
     affirmed at 'B'

  -- EUR7 millon Class V combination notes (XS0272586891):
     affirmed at 'BBB+'

Avoca CLO VI plc is a securitization of mainly European senior
secured loans, with the total note issuance of EUR508 million
invested in a target portfolio of EUR500 million.  The portfolio
is actively managed by Avoca Capital Holdings (rated 'CAM2+' on
Fitch's CDO Asset Manager Rating scale).

Fitch released two new criteria on April 30, 2008: Global
Criteria for Corporate CDOs and Global Criteria for Cash Flow
Analysis in Corporate CDOs.  At that time, Fitch noted that it
would be reviewing its ratings with these two new criteria to
establish consistency for existing and new ratings.  The
elements of the updated criteria having the greatest impact on
the analysis of Avoca CLO VI plc include increased default
probability assumptions for underlying assets, as well as
stressed correlation assumptions to reflect the additional risk
posed by portfolio concentrations.   Fitch's new cash flow
criteria also apply updated default timing and interest rate
scenarios.

In analyzing Avoca VI plc, Fitch has modified several elements
of its public criteria.  The most significant modification to
the cash flow methodology relates to a shortening of recovery
timing to 12 months from 18 months after default for rating
scenarios at 'BBB' and below.  Fitch also used scenario analysis
to determine whether the rated notes are in line with the
agency's rating definitions.  The most important scenario
analysis tested how robust the rated notes are against
individual obligor defaults.  For example, the Class B notes can
withstand the default of 37 assets on average or 21 of the
largest risk contributors, Class E notes can withstand the
default of 19 assets on average or eight of the largest risk
contributors and the Class F notes can withstand the default of
16 assets on average or six of the largest risk contributors.

This analysis more accurately reflects Fitch's view of the
credit quality of the portfolio, the transaction structure and
the ability of the manager.  While the credit enhancement is
considered consistent with the current ratings, Fitch notes that
the tranches are most sensitive to scenarios where defaults
occur at the end of the transaction's life, when assets are due
to mature and there is limited opportunity for the structure to
capture excess spread to protect the notes.

Avoca CLO VI plc is an actively managed transaction, with
approximately EUR65 million of the loan portfolio traded since
30 April 2008.  As a result, the management decisions of Avoca
Capital Holdings are critical to the performance of the CDO.  In
recent months, Avoca Capital Holdings has reduced its exposure
to 'CCC'-rated loans from 2% to 1%.  This action has improved
the credit quality of the portfolio and contributed to Fitch's
rating decision.  In addition, Avoca Capital Holdings holds a
portion of the equity tranche and has elected to divert excess
spread away from the equity tranche to purchase additional
collateral in two of the transactions it manages and signaled
its intention to divert excess spread for this CLO for the next
several payment dates.

As of the review date, the portfolio contained loans from 66
obligors, with the largest exposure accounting for approximately
3% of the outstanding portfolio amount, and the three largest
obligors accounting for 9% of the outstanding portfolio amount.
Fitch makes downward adjustments for any names on Rating Watch
Negative or Negative Outlook for default analysis in its
Portfolio Credit Model.  One asset representing 1% of the
portfolio is rated 'CCC' on an unadjusted basis, while on an
adjusted basis approximately 8% of the assets are treated as
'CCC+' or below and the weighted average portfolio quality is
'B'.  Two obligors that make up less than 1% of the portfolio
are on RWN, while 24% are on Negative Outlook.  The largest
single industry is broadcasting & media, with 15% of the
portfolio volume.


AVOCA CLO VII: Fitch Affirms Low-B Ratings on Three Note Classes
----------------------------------------------------------------
Fitch Ratings affirmed the ratings of 12 classes of Avoca CLO
VII plc notes.

  -- EUR284 million Class A1 notes (ISIN: XS0289562745):
     affirmed at 'AAA'

  -- EUR62.5 million Class A2 notes (ISIN: XS0289563396):
     affirmed at 'AAA'

  -- EUR145 million Class A3 notes (ISIN: XS0289564014):
     affirmed at 'AAA'

  -- EUR48.5 million Class B notes (ISIN: XS0289565763):
     affirmed at 'AA'

  -- EUR42 million Class C1 notes (ISIN: XS0289566571):
     affirmed at 'A'

  -- EUR4.5 million Class C2 notes (ISIN: XS0290383412):
     affirmed at 'A'

  -- EUR23 million Class D1 notes (ISIN: XS0289566902):
     affirmed at 'BBB'

  -- EUR8.5 million Class D2 notes (ISIN: XS0290383768):
     affirmed at 'BBB'

  -- EUR28.25 million Class E1 notes (ISIN: XS0289567546):
     affirmed at 'BB'

  -- EUR2.75 million Class E2 notes (ISIN: XS0290384493):
     affirmed at 'BB'

  -- EUR14 million Class F notes (ISIN: XS0289568437):
     affirmed at 'B'

  -- EUR40 million Class V combination notes
    (ISIN: XS0290386431): affirmed at 'AAA'

Avoca CLO VII plc is a securitization of mainly European senior
secured loans, with the total note issuance of EUR711m invested
in a target portfolio of EUR700 million.  The portfolio is
actively managed by Avoca Capital Holdings (rated 'CAM 2+' on
Fitch's CDO Asset Manager Rating scale).

Fitch released two new criteria on April 30, 2008: Global
Criteria for Corporate CDOs and Global Criteria for Cash Flow
Analysis in Corporate CDOs.  At that time, Fitch noted that it
would be reviewing its ratings with these two new criteria to
establish consistency for existing and new ratings.  The
elements of the updated criteria having the greatest impact on
the ratings of Avoca CLO VII plc include increased default
probability assumptions for underlying assets, as well as
stressed correlation assumptions to reflect the additional risk
posed by portfolio concentrations.  Fitch's new cash flow
criteria also apply updated default timing and interest rate
scenarios.

In analyzing Avoca VII plc, the Fitch has modified several
elements of its public criteria.  The most significant
modification to the cash flow methodology relates to a
shortening of recovery timing to 12 months from 18 months after
default for rating scenarios at 'BBB' and below.  Fitch also
used scenario analysis to determine whether the rated notes are
in line with the agency's rating definitions.  The most
important scenario analysis tested how robust the rated notes
are against individual obligor defaults.

For example, the Class B notes can withstand the default of 38
assets on average or 21 of the largest risk contributors and the
Class C notes can withstand the default of 33 assets on average
or 16 of the largest risk contributors.  This analysis more
accurately reflects Fitch's view of the credit quality of the
portfolio, the transaction structure and the ability of the
manager.  While the credit enhancement is considered consistent
with the current ratings, Fitch notes that the lower tranches of
notes are most sensitive to scenarios where defaults occur at
the end of the transaction's life, when assets are due to mature
and there is limited opportunity for the structure to capture
excess spread to protect the notes.

Avoca CLO VII plc is an actively managed transaction, with
approximately EUR100 million of the loan portfolio traded since
30 April 2008.  As a result, the management decisions of Avoca
Capital Holdings are critical to the performance of the CDO.  In
recent months, Avoca Capital Holdings has reduced its exposure
to 'CCC'-rated loans from 1% to 0%.  This action has improved
the credit quality of the portfolio and contributed to Fitch's
rating decision.  In addition, Avoca Capital Holdings holds a
portion of the equity tranche and has elected to divert excess
spread away from the equity tranche to purchase additional
collateral in two of the transactions it manages and signaled
its intention to divert excess spread for this CLO for the next
several payment dates.

As of the review date, the portfolio contained loans from 71
obligors, with the largest exposure accounting for approximately
3% of the outstanding portfolio amount, and the three largest
obligors accounting for 9% of the outstanding portfolio amount.
Fitch makes downward adjustments for any names on Rating Watch
Negative or Negative Outlook for default analysis in its
Portfolio Credit Model.  Although none of the assets are rated
in the 'CCC' category on an unadjusted basis, on an adjusted
basis approximately 10% of the assets are treated as 'CCC+' or
below and the weighted average portfolio quality is 'B'/'B-'.
Less than 1% of the assets in the portfolio are on RWN, while
23% are on Negative Outlook.  The largest single industry is
broadcasting and media, with 15% of the portfolio volume.


AVOCA CLO VIII: Fitch Holds BB Rating on EUR21.5MM Class E Notes
----------------------------------------------------------------
Fitch Ratings has affirmed the ratings of seven classes of Avoca
CLO VIII Limited notes due 2023.

  -- EUR298.4 million Class A1 notes (ISIN: XS0312372112):
     affirmed at 'AAA'

  -- EUR52.6 million Class A2 notes (ISIN: XS0312377772):
     affirmed at 'AAA'

  -- EUR34 million Class B notes (ISIN: XS0312378747): affirmed
     at 'AA'

  -- EUR30 million Class C notes (ISIN: XS0312379984): affirmed
     at 'A'

  -- EUR21.5 million Class D notes (ISIN: XS0312380305):
     affirmed at 'BBB'

  -- EUR21.5 million Class E notes (ISIN: XS0312380727):
     affirmed at 'BB'

  -- EUR7,626,897 Class U combination notes
    (ISIN: XS0312840746): affirmed at 'A-'

Avoca CLO VIII Limited is a securitization of mainly European
leveraged loans, with the total note issuance of EUR508 million
invested in a target portfolio of EUR500 million.  The portfolio
is actively managed by Avoca Capital Holdings (rated 'CAM2+' on
Fitch's CDO Asset Manager Rating scale).

Fitch released two new criteria on April 30, 2008: Global
Criteria for Corporate CDOs / CLOs and Global Criteria for Cash
Flow Analysis in Corporate CDOs.  At that time, Fitch noted that
it would be reviewing its ratings with these two new criteria to
establish consistency for existing and new ratings.  The
elements of the updated criteria having the greatest impact on
the analysis of Avoca CLO VIII Limited include increased default
probability assumptions for underlying assets, as well as
stressed correlation assumptions to reflect the additional risk
posed by portfolio concentrations.  Fitch's new cash flow
criteria also apply updated default timing and interest rate
scenarios.

In analyzing Avoca CLO VIII Limited, Fitch has modified several
elements of its public criteria.  The most significant
modification to the cash flow methodology relates to a
shortening of recovery timing to 12 months from 18 months after
default for rating scenarios at 'BBB' and below.  Fitch also
used scenario analysis to determine whether the rated notes are
in line with the agency's rating definitions.  The most
important scenario analysis tested how robust the rated notes
are against individual obligor defaults.

For example, the Class D notes can withstand the default of 24
assets on average or 11 of the largest risk contributors and the
Class E notes can withstand the default of 17 assets on average
or seven of the largest risk contributors.  This analysis more
accurately reflects Fitch's view of the credit quality of the
portfolio, the transaction structure and the ability of the
manager.  While the credit enhancement is considered consistent
with the current ratings, Fitch notes that the lower tranches of
notes are most sensitive to scenarios where defaults occur at
the end of the transaction's life, when assets are due to mature
and there is limited opportunity for the structure to capture
excess spread to protect the notes.

Avoca CLO VIII Limited is an actively managed transaction, with
approximately EUR62 million of the loan portfolio traded since
30 April 2008.  As a result, the management decisions of Avoca
Capital Holdings are critical to the performance of the CDO.
Avoca Capital Holdings holds a portion of the equity tranche and
has diverted excess spread away from the equity tranche to
purchase additional collateral in two of the transactions it
manages and signaled its intention to divert excess spread for
this CLO for the next several payment dates.  This contributed
to Fitch's rating decision.

The notional amount of the Class U combination notes refer to
the outstanding rated balance.  This takes into account all
previous payments that have been used to reduce the note
balance, in accordance with the terms and conditions of the
notes.

As of the review date, the portfolio contained loans from 61
obligors, with the largest exposure accounting for approximately
3% of the outstanding portfolio amount, and the three largest
obligors accounting for 8% of the outstanding portfolio amount.
Fitch makes downward adjustments for any names on Rating Watch
Negative or Negative Outlook for default analysis in its
Portfolio Credit Model.  Although none of the assets are rated
in the 'CCC' category on an unadjusted basis, on an adjusted
basis approximately 8% of the assets are treated as 'CCC+' or
below and the weighted average portfolio quality is 'B'/'B-'.
None of the assets in the portfolio are on RWN, while 28% are on
Negative Outlook.  The largest single industry is broadcasting
and media, with 14% of the portfolio volume.


JER CRE CDO: S&P Cuts Ratings on Four Classes to BB, B
------------------------------------------------------
Standard & Poor's Ratings Services lowered its ratings on 10
classes from JER CRE CDO 2006-2 Ltd. and removed them from
CreditWatch with negative implications, where they were placed
on May 28, 2008.

The rating actions follow S&P's analysis of the transaction,
including an examination of the current credit characteristics
of the transaction's assets and liabilities.  S&P's review
incorporates Standard & Poor's revised recovery rate assumptions
for commercial mortgage-backed securities (CMBS), which is a
primary factor for the rating actions.

According to the trustee report dated July 21, 2008, the
transaction's current assets included 98 classes (US$872.8
million, 73%) of CMBS pass-through certificates from 21 distinct
transactions issued between 1998 and 2007.  None of the CMBS
assets represent an asset concentration of 10% or more of total
assets.

The current assets also include 10 commercial real estate loans
(US$274 million, 23%), which are either whole or mezzanine
loans, as well as three classes each from JER CRE CDO 2005-1
Ltd. (US$34.3 million, 3%) and Mach One 2004-1 LLC (US$16.1
million, 1%), which are both CMBS resecuritizations . The
aggregate principal balance of the assets totaled US$1.197
billion, excluding cash of US$1 million, down from US$1.2
billion at issuance.  The aggregate balance of the liabilities
totaled US$1.198 billion, also down from US$1.2 billion at
issuance.  The US$2.3 million reduction in aggregate liability
balance was due to principal losses realized on first-loss CMBS
assets, which currently represent US$370.4 million (31%)
of the asset pool.

S&P's analysis indicates that the current asset pool exhibits
weighted average credit characteristics consistent with 'B-'
rated obligations.  Excluding first-loss assets, the current
asset pool exhibits credit characteristics consistent with 'B'
rated obligations.  Standard & Poor's rates US$372.3 million
(31%) of the assets. S&P reanalyzed its outstanding credit
estimates for the remaining assets.

Ratings Lowered and Removed from CreditWatch Negative

                     JER CRE CDO 2006-2 Ltd.
                 Collateralized Debt Obligations

                              Rating
                 Class    To           From

                 A-FL     AA           AAA/Watch Neg
                 B-FL     BBB+         AA/Watch Neg
                 C-FL     BBB+         AA-/Watch Neg
                 C-FX     BBB+         AA-/Watch Neg
                 D-FL     BBB-         A+/Watch Neg
                 D-FX     BBB-         A+/Watch Neg
                 E-FL     BB+          A-/Watch Neg
                 E-FX     BB+          A-/Watch Neg
                 F-FL     BB-          BBB+/Watch Neg
                 G-FL     B            BBB-/Watch Neg


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


ALITALIA SPA: Intesa Sanpalo Recommends Lufthansa as Partner
------------------------------------------------------------
Intesa Sanpaolo S.p.A., the Italian government's adviser for the
sale of its 49.9% stake in Alitalia S.p.A., has recommended
Deutsche Lufthansa AG as a strategic partner for the loss-making
national airline, Bloomberg News reports citing Il Sole 24 Ore.

Il Sole cites banking sources as saying that Lufthansa will be
approached mid-August about its interest in an alliance in
Alitalia.

As reported in the TCR-Europe on March 12, 2008, Lufthansa Chief
Executive Wolfgang Mayrhuber said the carrier is not interested
in acquiring Alitalia.  Mr. Mayhuber stressed that though
Lufthansa is planning to participate in mergers in Europe's
airline industry, it was not at the time eyeing Alitalia.

According to Il Sole, Lufthansa is preferred over French rival
Air France-KLM SA.

Intesa Sanpaolo had until Aug. 10, 2008, to submit Alitalia's
rescue plan to the government.

As reported in TCR-Europe on Aug. 1, 2008, Citigroup said
Alitalia may not be liquid enough to finance its operations in
2009, since the national carrier only has enough cash until end
2008.

Citigroup said Alitalia was to run out of cash by third quarter
2008, but a EUR300 million emergency financing provided by the
Italian government should "help Alitalia to survive until the
end of 2008."

The bank expects Alitalia to post EUR720 million in net losses
and a 20% drop in revenues for 2008.  The bank also expects
significant markdowns of the fleet in service.

Citigroup said a merger with smaller Italian carrier Air One
appeared to be the only "meaningful solution" now, combined with
a grounding of obsolete planes that would halve capacity.  It
estimated a EUR1 billion equity injection is needed.

                          About Alitalia

Based in Rome, 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, EUR625.6 million
in 2006, and EUR494.64 million in 2007.


PARMALAT SPA: NY Court Dismisses Class Suit vs BoA & Citigroup
--------------------------------------------------------------
The Hon. Lewis Kaplan of the U.S. District Court for the
Southern District of New York has dismissed the securities class
action against Bank of America Corp. and Citigroup Inc. in
relation to the collapse of Parmalat Finanziaria S.p.A.,
Bloomberg News reports.

Judge Kaplan said the dismissal was mandated by a recent U.S.
Supreme Court ruling that made it more difficult to sue banks
and auditors for a client's fraud, referring to the Stoneridge
v. Scientific-Atlanta case.

"Investors must show reliance upon a defendant's own deceptive
conduct," Mr. Kaplan said. "Plaintiffs' evidence falls well
short of this standard."

Both BoA and Citigroup said they are pleased with the ruling.

Investors led by Hermes Focus Asset Management Europe Ltd.
commenced a class action lawsuit against Parmalat's former
management banks -- including BoA and Citigroup -- and auditors,
alleging violations of the Securities Exchange Act of 1934.  The
investors purchased or acquired securities of Parmalat
Finanziaria and its subsidiaries and affiliates between and
including Jan. 5, 1999, and Dec. 18, 2003, in reliance on the
company's materially false and misleading financial statements
and other public statements.

The investors sought more than US$8 billion in damages after
they lost their money when Parmalat collapsed in December 2003
due to substantial operating losses that had been concealed for
over a decade.

In May 2008, Parmalat reached an agreement with investors to
settle the securities class action.  Parmalat said it will issue
around 10.5 million shares of stock in full satisfaction of any
and all claims asserted against it in the class action,
worldwide.  Parmalat will also incur up to EUR1 million of the
cost of notifying the class members of the settlement.

In July 2, 2008, Judge Kaplan certified the settlement class,
composed of shareholders who purchased Parmalat stock between
Jan. 5, 1999, and Dec. 18, 2003.

Judge Kaplan also stipulated that the settlement class excludes
Parmalat; all defendants named in the case; any officers and
directors of Parmalat or its subsidiaries; and banks and
insurance companies employed by Parmalat.

Judge Kaplan will convene a hearing on Sept. 24, 2008, at
9:30 a.m., to determine whether the Settlement is fair,
reasonable and accurate.  The Court will also consider the
approval of the related plan of allocation, as well as the
reimbursement of attorneys' fees and other costs.

The case is In Re Parmalat Securities Litigation, 04-MD- 01653,
U.S. District Court for the Southern District of New York
(Manhattan).

                        About Parmalat

Headquartered in Milan, Italy, Parmalat S.p.A.
-- http://www.parmalat.net/-- sells nameplate milk products
that can be stored at room temperature for months.  It also has
about 40 brand product lines, which include yogurt, cheese,
butter, cakes and cookies, breads, pizza, snack foods and
vegetable sauces, soups and juices.

The company's U.S. operations filed for chapter 11 protection on
Feb. 24, 2004 (Bankr. S.D.N.Y. Case No. 04-11139).  Gary
Holtzer, Esq., and Marcia L. Goldstein, Esq., at Weil Gotshal &
Manges LLP, represent the Debtors.  When the U.S. Debtors filed
for bankruptcy protection, they reported more than US$200
million in assets and debts.  The U.S. Debtors emerged from
bankruptcy on April 13, 2005.

Parmalat S.p.A. and its Italian affiliates filed separate
petitions for Extraordinary Administration before the Italian
Ministry of Productive Activities and the Civil and Criminal
District Court of the City of Parma, Italy on Dec. 24, 2003.
Dr. Enrico Bondi was appointed Extraordinary Commissioner in
each of the cases.  The Parma Court has declared the units
insolvent.

On June 22, 2004, Dr. Bondi filed a Sec. 304 Petition, Case No.
04-14268, in the United States Bankruptcy Court for the Southern
District of New York.

Parmalat has three financing arms: Dairy Holdings Ltd., Parmalat
Capital Finance Ltd., and Food Holdings Ltd.  Dairy Holdings and
Food Holdings are Cayman Island special-purpose vehicles
established by Parmalat S.p.A.  The Finance Companies are under
separate winding up petitions before the Grand Court of the
Cayman Islands.  Gordon I. MacRae and James Cleaver of Kroll
(Cayman) Ltd. serve as Joint Provisional Liquidators in the
cases.  On Jan. 20, 2004, the Liquidators filed Sec. 304
petition, Case No. 04-10362, in the United States Bankruptcy
Court for the Southern District of New York.  In May 2006, the
Cayman Island Court appointed Messrs. MacRae and Cleaver as
Joint Official Liquidators.  Gregory M. Petrick, Esq., at
Cadwalader, Wickersham & Taft LLP, and Richard I. Janvey, Esq.,
at Janvey, Gordon, Herlands Randolph, represent the Finance
Companies in the Sec. 304 case.

The Honorable Robert D. Drain presides over the Parmalat
Debtors' U.S. cases.


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


AUTO HIM: Creditors Must File Claims by September 23
----------------------------------------------------
LLP Auto Him Snub has declared insolvency.  Creditors have until
Sept. 23, 2008, to submit written proofs of claims to:

         LLP Auto Him Snub
         Kopychenka
         Fedorovsky District
         Kostanai
         Kazakhstan


KANDYGASH SBYT: Claims Filing Deadline Slated for September 19
--------------------------------------------------------------
The Specialized Inter-Regional Economic Court of Aktube has
declared LLP Kandygash Sbyt insolvent.

Creditors have until Sept. 19, 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


KOMAN LIMITED: Claims Filing Period Ends September 23
-----------------------------------------------------
The Specialized Inter-Regional Economic Court of Akmola has
declared LLP Koman Limited insolvent.

Creditors have until Sept. 23, 2008, to submit written proofs of
claims to:

         The Specialized Inter-Regional
         Economic Court of Akmola
         Room 228
         Auelbekov Str. 139a
         Kokshetau
         Akmola
         Kazakhstan
         Tel: 8 (7162) 25-79-32


MAX LTD: Creditors' Proofs of Claim Due on September 23
--------------------------------------------------------
The Specialized Inter-Regional Economic Court of Akmola has
declared LLP Max Ltd. insolvent.

Creditors have until Sept. 23, 2008, to submit written proofs of
claims to:

         The Specialized Inter-Regional
         Economic Court of Akmola
         Room 228
         Auelbekov Str. 139a
         Kokshetau
         Akmola
         Kazakhstan
         Tel: 8 (7162) 25-79-32


MAYFAIR TEA: Claims Registration Ends September 23
--------------------------------------------------
LLP Mayfair Tea has declared insolvency.  Creditors have until
Sept. 23, 2008, to submit written proofs of claims to:

         LLP Mayfair Tea
         Office 8
         Kassin Str. 2/1
         Mamyr
         050052, Almaty
         Kazakhstan
         Tel: 8 (7272) 63-84-42
              8 777 559 68-31
              8 777 258 50-41


PRODOVOLSTVENNAYA KOMPANIYA: Creditors' Claims Due on Sept. 19
--------------------------------------------------------------
The Specialized Inter-Regional Economic Court of North
Kazakhstan has declared LLP Grocery Company Prodovolstvennaya
Kompaniya insolvent on June 30, 2008.

Creditors have until Sept. 19, 2008, to submit written proofs of
claims to:

         The Specialized Inter-Regional
         Economic Court of North Kazakhstan
         Jumabaev Str. 109-415
         Petropavlovsk
         North Kazakhstan
         Kazakhstan


TAVERMASH LLP: Claims Deadline Slated for September 19
------------------------------------------------------
The Specialized Inter-Regional Economic Court of North
Kazakhstan has declared LLP Tavermash insolvent on June 30,
2008.

Creditors have until Sept. 19, 2008, to submit written proofs of
claims to:

         The Specialized Inter-Regional
         Economic Court of North Kazakhstan
         Jumabaev Str. 109-415
         Petropavlovsk
         North Kazakhstan
         Kazakhstan


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


HILOL-STROY LLC: Creditors Must File Claims by September 16
-----------------------------------------------------------
LLC Construction Company Hilol-Stroy has declared insolvency.
Creditors have until Sept. 16, 2008, to submit written  proofs
of claim to:

         LLC Hilol-Stroy
         Repin Str. 50
         Osh
         Kyrgyzstan


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


FINAO CJSC: Court Sets Supervision Hearing on December 8
--------------------------------------------------------
The Arbitration Court of Samara commenced bankruptcy supervision
procedure against CJSC Finao (TIN 6377006800) and appointed N.
Deryabina as interim receiver.  The case is docketed under Case
No. A55-6085/2008-36.

Creditors have to submit proofs of claim to:

         N. Deryabina, Interim Receiver
         Komsomolskaya Str. 5
         443099 Samara
         Russia

The Court will convene at 1:30 p.m. on Dec. 8, 2008, to hear the
case at:

         The Arbitration Court of Samara
         Avrory Str. 148
         443045 Samara
         Russia

The Debtor can be reached at:

         CJSC Finao
         Promeshlennosti 35
         Neftegorsk
         Samara
         Russia


INTERNATIONAL BANK: Fitch Affirms Individual Rating at 'D/E'
------------------------------------------------------------
Fitch Ratings has downgraded International Bank of Saint
Petersburg's National Long-term rating to 'BB-(rus)' from 'BB
(rus)'.  The bank's other ratings are affirmed at Long-term
Issuer Default 'B-', Short-term IDR 'B', Individual 'D/E',
Support '5' and Support Rating Floor 'No Floor'.  The Outlooks
for the Long-term IDR and National Long-term rating are revised
to Negative from Stable.

The downgrade and Negative Outlook reflect further deterioration
in IBSP's capital ratios, resulting from the bank's asset growth
and modest internal capital generation.  At end-2007, the bank's
Basel Tier 1 capital ratio fell to a low 7.1% (the total capital
ratio was 10.6%), while the bank's RAS accounts suggest that
H108 loan growth was 20% and no new equity injections have been
made in 2008 to date.

Capitalization is viewed as weak, especially given IBSP's highly
concentrated loan portfolio.  In addition, the ratings also
reflect the small size of the bank by international standards
and its limited franchise, concentrated funding base and,
potentially, vulnerable liquidity.  Fitch also notes that IBSP
has considerable direct and indirect related-party credit
exposure in the form of financing made available to the
Interleasing group of companies.  At the same time, the ratings
also consider the bank's good asset quality to date.

Fitch notes that failure to restore capital ratios to more
adequate levels over the next few months, given other aspects of
the bank's risk profile, would likely result in a downgrade of
the bank's Long-term IDR and National rating.  Any significant
credit losses or marked tightening of liquidity could also
result in a downgrade.  The Outlook could revert to Stable,
however, if the bank manages to strengthen its capitalization
without any deterioration in asset quality.  Fitch has been
informed that the bank's owner is prepared to make an equity
injection of up to RUR500m (22% of end-2007 IFRS equity) in
Q408.  Such an injection could provide some capital relief in
the short term.

IBSP primarily focuses on corporate banking, and its loan
portfolio has been growing rapidly (by 70% and 72% in 2006 and
2007, respectively), while borrower concentrations are high.
Exposure to the real estate and construction sector was also at
a high 30% of total loans at end-2007.  Reported asset quality
remained good, with no write-offs in 2006-2007 and with non-
performing loans at just 0.1% of total loans at end-2007.  IBSP
is primarily funded by short-term and highly concentrated
corporate customer accounts, making liquidity potentially
vulnerable.

IBSP is a medium-sized corporate Russian bank.  It is 98%-owned
by Sergey Bazhanov, chairman of the bank's management board.
The bank's network is limited to a head office in Saint-
Petersburg and a branch in Moscow, but to an extent supported by
the regional franchise of the Interleasing group, in which Mr.
Bazhanov owns a 80% stake.


IVNITI OJSC: Court Sets Supervision Hearing on November 10
----------------------------------------------------------
The Arbitration Court of Ivanovo commenced bankruptcy
supervision procedure against OJSC IvNITI and appointed E.
Pukhova as interim receiver.  The case is docketed under Case
No. A17-1577/2008 10-B.

Creditors have to submit proofs of claim to:

         E. Pukhova, Interim Receiver
         Zhideleva Str. 1
         Ivanovo
         Russia

The Court will convene on Nov. 10, 2008, to hear the case at:

         The Arbitration Court of Ivanovo
         B. Khmelnitskogo Str. 59B
         Ivanovo
         Russia

The Debtor can be reached at:

         E. Pukhova, Interim Receiver
         Zhideleva Str. 1
         Ivanovo
         Russia


MAXIMUM INVEST: Court Starts Bankruptcy Supervision Procedure
-------------------------------------------------------------
The Arbitration Court of Tyumen commenced bankruptcy supervision
procedure against CJSC Maximum Invest and appointed S.
Aleksandrov as interim receiver.  The case is docketed under
Case No. A70-911/3-2008.

Creditors have to submit proofs of claim to:

         S. Aleksandrov, Interim Receiver
         Office 207
         Lenina Str. 31
         640000 Kurgan
         Russia
         Tel/Fax: 8 (3522) 41-38-46

The Court is located at:

         The Arbitration Court of Tyumen
         Khokhryakova Str. 77
         627000 Tyumen
         Russia

The Debtor can be reached at:

         CJSC Maximum Invest
         Leniona Str. 67
         Tyumen
         Russia


NOVOLIPETSK STEEL: Earns RUR36.9 Bln for Second Quarter 2008
------------------------------------------------------------
The Novolipetsk Group disclosed the financial results of its
major companies for second quarter ended June 30, 2008, prepared
according to Russian Accounting Standards.

                              NLMK

OJSC Novolipetsk Steel posted RUR36.9 billion in net income on
RUR58.95 billion in net revenues for the second quarter 2008,
compared with RUR10.67 billion in net income on RUR37.91 billion
in net revenues for the same period in 2007.

In second quarter 2008, NLMK'S revenue grew due to sales volume
expansion and steel product price rises.  The sharp
increase in sales volumes in second quarter 2008 is attributable
to a recovery of sales volumes after a decrease caused
by a change in the delivery basis to FOB for export contracts in
first quarter 2008.

The rapid rise in steel product prices in the reporting quarter,
mainly on export markets, ensured the
significant increase in sales revenue and gross profit compared
to first quarter 2008.

                            Viz-Stal

LLC Viz-Stal posted RUR2.34 billion in net income on
RUR4.67 billion in net revenues for the second quarter 2008,
compared with RUR2.23 billion in net income on RUR4.78 billion
in net revenues for the same period in 2007.

A slight decrease in sales revenue in second quarter 2008 was
mainly due to an interruption in semi-finished steel
products (cold-rolled full hard steel) used in transformer steel
production supplied to the Lipetsk production site, coupled with
a small price increase of Viz-Stal finished products.

Semi-finished transformer product supplies from Viz-Stal to the
main production facilities in Lipetsk are performed in order to
optimize transformer steel production at both the production
sites and to increase consolidated financial results.

Viz-Stal results broadly maintained the level of the previous
quarter. A slight decrease in second quarter 2008 net profit
compared to the previous quarter is due to a decrease in gains
from deposits which is explained by dividend distribution.

Operating profit growth was driven by an increase in steel
prices coupled with gains from the forward contracts contributed
to second quarter 2008 net profit increase on a year-on-year
basis.

                         Stoilensky GOK

OJSC Stoilensky GOK posted RUR3.35 billion in net income on
RUR5.93 billion in net revenues for the second quarter 2008,
compared with RUR2.93 billion in net income on RUR5.25 billion
in net revenues for the same period in 2007.

The growth of Stoilensky GOK's second quarter 2008 financial
results on a year-on-year basis is due to an increase in iron
ore concentrate (all of which is supplied to the Lipetsk
production site) and sinter ore prices, while production costs
traditionally remained low.

Iron ore supplies to NLMK are based on annual contracts with a
fixed market price.

Increased gains from deposits became an additional factor that
contributed to the second quarter net profit growth on a year-
on-year basis.

A slight decrease in iron ore concentrate and sinter ore
supplies to NLMK due to the main production site’s
reduced requirements resulted in a decrease in the financial
performance of Stoilensky GOK in second quarter 2008 on a
quarter-on-quarter basis.

                              NMMZ

CJSC Nizhneserginsky Metizno Metallurgicheskiy Zavod posted
RUR1.89 billion in net income on RUR12 billion in net revenues
for the second quarter 2008, compared with RUR1.26 billion in
net income on RUR6.79 billion in net revenues for the same
period in 2007.

The growth of NSMMZ financial results in second quarter 2008
compared to the previous quarter was due to higher steel
prices supported by a lower growth in purchased scrap prices.

Growth in steel sales volumes and selling prices coupled with
management initiatives aimed at improving operational
performance of the production facility contributed to improved
financial results during the period compared to the same period
last year.

                           Altai-Koks

OJSC Altai-Koks posted RUR711.79 million in net income on
RUR7.34 billion in net revenues for the second quarter 2008,
compared with RUR249.82 million in net income on RUR4.09 billion
in net revenues for the same period in 2007.

The increase in Altai-koks' key financial results compared to
second quarter 2007 was driven by coke price growth which
began in second half 2007.

The quarter-on-quarter growth in Altai-koks' sales revenue was
due to an increase in sales volumes as well as a strong pricing
environment for the company’s key products.  A decrease in
profit is mainly attributable to an increase in coal concentrate
prices.


                              TMTP

OJSC TMTP posted RUR193.77 million in net income on
RUR479.71 million in net revenues for the second quarter 2008,
compared with RUR207.37 million in net income on
RUR493.83 million in net revenues for the same period in 2007.

The quarter-on-quarter increase in TMTP's second quarter 2008
financial results was mainly due to an increase in bulk
cargo transshipment volumes.  Dividend contributions from
subsidiaries in May 2008 was an additional factor
driving second quarter 2008 net profit.

A decrease in TMTP's second quarter 2008 financial results on a
year-on-year basis was mainly due to a reduction in bulk cargo
transshipment volumes.

                               NTK

LLC NTK posted RUR189.39 million in net income on
RUR802.24 billion in net revenues for the second quarter 2008,
compared with RUR92.83 million in net income on RUR438.46
million in net revenues for the same period in 2007.

The substantial increase in NTK's financial results in second
quarter 2008 compared to the analyzed periods is attributable to
increased transportation volumes originating from Maxi-Group
facilities starting from April 2008.

This growth is supported by expanding transportation volumes in
leased railway cars as well as increasing volumes of third party
owned railway car operation services.  The latter enabled NTK to
reduce railcar usage fees paid to Russian Railways, thus cutting
transportation costs.

                   About Novolipetsk Steel

Headquartered in Lipetsk, Russia, Novolipetsk Steel OJSC --
http://www.nlmksteel.com/-- manufactures pig iron, slabs, hot-
rolled steel, and a variety of value-added steel products, such
as cold-rolled sheet, electrical steel and other specialty flat
products.  The group also operates in Denmark and Japan.

The group entered the Danish steel market in the first quarter
of 2006 by acquiring a 100% stake at DanSteel A/S.

                         *     *    *

Novolipetsk Steel OJSC carries Ba1 Corporate Family and
Probability-of-Default ratings from Moody's Investors Service,
which said the Outlook is stable.

NLMK carries BB+ Issuer Credit rating from Standard &
Poor's Ratings Services with a Stable Outlook.

The company also carries BB+ Long-term Issuer Default,
B and Short-term Issuer Default ratings from Fitch Ratings,
which said the Outlook is Stable.


NOVOLIPETSK STEEL: To Buy John Maneely Co. for US$3.53 Billion
--------------------------------------------------------------
Novolipetsk Steel OJSC has signed a definitive agreement to
acquire U.S. steel pipe and tube manufacturer John Maneely
Company from a shareholder group that incluides global private
equity firm The Carlyle Group and the Zekelman family for
US$3.53 billion, acquiring the company on a debt free, cash free
basis.  The transaction is subject to customary regulatory
approvals and is expected to close in the fourth quarter of
2008.

JMC is the largest independent tubular manufacturer in North
America, with the most diverse product platform in the North
American pipe and tube industry.  Through its Wheatland and
Atlas Tube divisions, it maintains a number 1 market position in
North America in each of its three core product categories:
Hollow Structural Sections (HSS), standard pipe and electrical
conduit.  During Carlyle's ownership, sales increased by US$800
million, a 36% percent rise, from US$2.2 billion in fiscal 2006
to an estimated US$3 billion in fiscal 2008.

Formed through the combination of John Maneely Company and Atlas
Tube in December 2006 and headquartered in Beachwood, Ohio, JMC
operates eleven plants in five U.S. states and one Canadian
province and has a total production capacity of more than 3
million tons of steel pipe and tube per annum. In the twelve
months ended June 30, 2008, JMC shipped 2.1 million tons of pipe
and generated revenue of US$2.4 billion and EBITDA of US$485
million.

The acquisition of JMC fits with NLMK's stated strategy of
portfolio diversification and downstream integration in the core
markets of the company.  It strengthens NLMK's position in North
America and provides an entry point into an important and high
margin end market.

NLMK, through its joint venture with Duferco Group, has two
manufacturing facilities in the U.S., Duferco Farrell Corp. and
Sharon Coating, LLC.  Duferco Farrell is currently the key
supplier of hot rolled coils (HRC) to JMC and in particular the
largest supplier of HRC to JMC's Wheatland division, to which it
is closely located.  NLMK is therefore in an excellent position
to extract synergies (estimated to be around US$35 million per
annum) from the vertical integration of its steel assets in
North America with JMC's low cost processing capabilities.

Vladimir Lisin, Chairman of NLMK, said, "We are delighted to
have secured an entry into the highly attractive U.S. pipe and
tube market and we are confident that the incorporation of JMC's
quality assets into the NLMK group will prove to be a highly
attractive investment for NLMK's shareholders as well as a
beneficial development for JMC's customers and employees.

Barry Zekelman, Chief Executive Officer of JMC, said, "Our hard
work these past few years has demonstrated that Atlas and
Wheatland are formidable players in their served markets.  We
are proud to become part of the NLMK steel family and believe
the future is bright for the company and its dedicated
employees."

Tom Conway, International Vice President (Administration) USW,
said, "The United Steelworkers has had long-standing productive
relationships with both companies. We look forward to working
with the new owners."

Daniel A. Pryor, Managing Director on the Carlyle Industrial
team, said, "In the face of intense global competition, JMC's
remarkable management team and work force have built the premier
global steel pipe and tube manufacturer.  They have created
economies of scale through two strategic acquisitions, improved
operations with lean manufacturing and six sigma techniques, and
grown sales through an intense focus on customer service.  At
many plants, the workforce has shared the benefits of this
transformation via gainsharing programs.  This is a great
example of how private equity can help create value.  NLMK is
the right owner to carry on JMC's proud tradition of quality and
innovation and to take JMC to the next level."

The transaction will be financed from available bank
commitments, including the recently established US$1.6 billion
Pre Export Finance (PXF) facility and a US$2.0 billion bridge
commitment provided by Merrill Lynch, Deutsche Bank and Societe
Generale.

Merrill Lynch is the exclusive financial advisor and Debevoise &
Plimpton is the legal counsel to NLMK.  JP Morgan, Goldman Sachs
and GMP Securities provided financial advice to JMC and Latham &
Watkins is the legal counsel.

                  About John Maneely Company

Headquartered in Beachwood, Ohio, JMC is the largest independent
tubular manufacturer in North America, with the most diverse
product platform in the North American pipe and tube industry.
In the 12 months ended June 30, 2008, JMC shipped 2.1 million
tons of pipe and generated revenue of US$2.4 billion and EBITDA
of US$485 million.


                  About Novolipetsk Steel

Headquartered in Lipetsk, Russia, Novolipetsk Steel OJSC --
http://www.nlmksteel.com/-- manufactures pig iron, slabs, hot-
rolled steel, and a variety of value-added steel products, such
as cold-rolled sheet, electrical steel and other specialty flat
products.  The group also operates in Denmark and Japan.

The group entered the Danish steel market in the first quarter
of 2006 by acquiring a 100% stake at DanSteel A/S.

                         *     *    *

Novolipetsk Steel OJSC carries Ba1 Corporate Family and
Probability-of-Default ratings from Moody's Investors Service,
which said the Outlook is stable.

NLMK carries BB+ Issuer Credit rating from Standard &
Poor's Ratings Services with a Stable Outlook.

The company also carries BB+ Long-term Issuer Default,
B and Short-term Issuer Default ratings from Fitch Ratings,
which said the Outlook is Stable.


SOLID LLC: Creditors Must File Proofs of Claims by September 5
--------------------------------------------------------------
The Arbitration Court of Khanty-Mansiyskiy commenced bankruptcy
supervision procedure against LLC Solid and appointed V.
Belonogov as interim receiver.  The case is docketed under Case
No. A75-2175/2008.

Creditors have until Sept. 5, 2008, to submit proofs of claim
to:

         V. Belonogov, Interim Receiver
         Post User Box 57
         Neftekamsk-10
         628310 Tyumen
         Russia

The Court is located at:

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

The Debtor can be reached at:

         V. Belonogov, Interim Receiver
         Post User Box 57
         Neftekamsk-10
         628310 Tyumen
         Russia


SPARE PART: Creditors Must File Proofs of Claims by September 5
---------------------------------------------------------------
The Arbitration Court of Altay commenced bankruptcy supervision
procedure against LLC Altayskiy Tractor Factory Spare Part and
appointed T. Shmakov as interim receiver.  The case is docketed
under Case No. A03-11816/07-B.

Creditors have until Sept. 5, 2008, to submit proofs of claim
to:

         T. Shmakov, Interim Receiver
         Post User Box 1503
         656049 Barnaul
         Russia
         Tel: 8 (3852)380104

The Court will convene at 11:00 a.m. on June 17, 2008, to hear
the case.

The Debtor can be reached at:

         LLC Altayskiy Tractor Factory Spare Part
         Traktornaya Str. 17
         Rubtsovsk
         658212 Altay
         Russia


STROY-MONTAGE: Court Sets Supervision Hearing on September 16
-------------------------------------------------------------
The Arbitration Court of Kirov commenced bankruptcy supervision
procedure against LLC Stroy-Montage and appointed A. Ivonin as
interim receiver.  The case is docketed under Case No. A28-
3972/2008-161/19.

Creditors have to submit proofs of claim to:

         A. Ivonin, Interim Receiver
         Office 78
         Oktyabrksiy Pr. 54
         610046 Kirov
         Russia

The Court will convene on Sept. 16, 2008, to hear the case at:

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

The Debtor can be reached at:

          LLC Stroy-Montage
         Chapaeva Str. 18
         Kirov
         Russia


URAL-GIPRO-REZINO-TEKHNIKA: Claims Filing Deadline Set Sept. 5
--------------------------------------------------------------
The first creditors meeting of CJSC Scientific Production
Association Ural-Gipro-Rezino-Tekhnika (TIN 6658036649) has
resolved to place the company under financial rehabilitation and
appointed S. Semenov as administrative receiver.

The Arbitration Court of Sverdlovsk has sanctioned the
creditors' resolution.  The case is docketed under Case No.
A60-31462/2007-S11.

Creditors have until Sept. 5, 2008, to submit proofs of claim
to:

         S. Semenov, Administrative Receiver
         Post User Box 439
         Central Post Office
         620000 Ekaterinburg
         Russia


The Court is located at:

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


The Debtor can be reached at:

         CJSC Scientific Production Association Ural-Gipro-`1
         Rezino-Tekhnika
         Moskovskaya Str. 1
         620014 Ekaterinburg
         Russia


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


DANTON WEALTH: Creditors Have Until Sept. 10 to File Claims
-----------------------------------------------------------
Creditors owed money by JSC Danton Wealth Management are
requested to file their proofs of claim by Sept. 10, 2008, to:

         Joseph Huber
         Grossmatt 3
         6052 Hergiswil
         Switzerland

The company is currently undergoing liquidation in Zug.  The
decision about liquidation was accepted at an extraordinary
shareholders' meeting held on June 10, 2008.


DIVAL JSC: Sept. 10 Set as Deadline to File Proofs of Claim
-----------------------------------------------------------
Creditors owed money by JSC Dival are requested to file their
proofs of claim by Sept. 10, 2008, to:

         Peter Bucher
         Espigraben 22
         8264 Eschenz
         Switzerland

The company is currently undergoing liquidation in Eschenz.  The
decision about liquidation was accepted at an extraordinary
shareholders' meeting held on June 30, 2008.


GENERAL MOTORS: Implements Procedures on Health Care Policy
-----------------------------------------------------------
General Motors Corp., in an effort to cut about US$5 billion-a-
year in health-care costs, is cracking down on workers who are
collecting medical benefits for which they aren't eligible, The
Wall Street Journal reports.

The auto maker, according to WSJ, says that 67,000 hourly
workers have until August 20 to voluntarily remove unqualified
dependents from their health policies.  After that, employees
must prove that covered family members are eligible, WSJ adds.

WSJ points out that GM spends US$4.6 billion on health care and
it wants to make sure only the eligible employees are receiving
the health care benefit.

According to WSJ, workers may be forced to reimburse the
company, if GM discovered that it paid for health expenses it
shouldn't have.  A GM spokeswoman said that GM has audited its
health-care rolls before, but the new effort is more extensive
than in years past, WSJ indicates.

WSJ, citing Paul Fronstin, director of health research and
educational programs for the Employee Benefit Research Institute
in Washington, D.C., says health plan audits like the one GM is
conducting are becoming increasingly common as employers look to
offset soaring medical expenses.

Trimming ineligible dependents from health plans can reduce
medical costs by 2% to 5%, WSJ says according HRAdvance, a
Dallas human-resources company that conducts audits for
employers.

GM last year spent US$1.3 billion on health-care benefits for
active hourly and salaried workers, WSJ adds.

                     About General Motors

Headquartered in Detroit, Michigan, General Motors Corp. (NYSE:
GM) -- http://www.gm.com/-- was founded in 1908.  GM employs
about 266,000 people around the world and manufactures cars and
trucks in 35 countries.  In 2007, nearly 9.37 million GM cars
and trucks were sold globally under the following brands: Buick,
Cadillac, Chevrolet, GMC, GM Daewoo, Holden, HUMMER, Opel,
Pontiac, Saab, Saturn, Vauxhall and Wuling.  GM's OnStar
subsidiary is the industry leader in vehicle safety, security
and information services.

At March 31, 2008, GM's balance sheet showed total assets of
US$145,741,000,000 and total debts of US$186,784,000,000,
resulting in a stockholders' deficit of US$41,043,000,000.
Deficit, at Dec. 31, 2007, and March 31, 2007, was
US$37,094,000,000 and US$4,558,000,000, respectively.

General Motors Latin America, Africa and Middle East, with
headquarters in Miramar, Florida, is one of GM's four regional
business units.  GM LAAM employs approximately 37,000 people in
18 countries and has manufacturing facilities in Argentina,
Brazil, Colombia, Ecuador, Egypt, Kenya, South Africa and
Venezuela.  GM LAAM markets vehicles under the Buick,
Cadillac, Chevrolet, GMC, Hummer, Isuzu, Opel, Saab and
Suzuki brands.

                          *     *     *

As reported in the Troubled Company Reporter on June 24, 2008,
DBRS has placed the ratings of General Motors Corporation and
General Motors of Canada Limited Under Review with Negative
Implications.  The rating action reflects the structural
deterioration of the company's operations in North America
brought on by high oil prices and a slowing U.S. economy.

Standard & Poor's Ratings Services has placed its corporate
credit ratings on the three U.S. automakers, General Motors
Corp., Ford Motor Co., and Chrysler LLC, on CreditWatch with
negative implications, citing the need to evaluate the financial
damage being inflicted by deteriorating U.S. industry conditions
-- largely as a result of high gasoline prices.  Included in the
CreditWatch placement are the finance units Ford Motor Credit
Co. and DaimlerChrysler Financial Services Americas LLC, as well
as GM's 49%-owned finance affiliate GMAC LLC.

As related in the Troubled Company Reporter on June 5, 2008,
Standard & Poor's Ratings Services said that its ratings on
General Motors Corp. (B/Negative/B-3) are not immediately
affected by the company's announcement that it will cease
production at four North American truck plants over the next two
years.  These closures are in response to the re-energized shift
in consumer demand away from light trucks.  GM previously said
only one shift was being eliminated at each of the four truck
plants.  Production is being increased at plants producing small
and midsize cars, but the cash contribution margin from these
smaller vehicles is far less than that of light trucks.


GENERAL MOTORS: Moody's Lowers Corporate Family Rating to Caa1
--------------------------------------------------------------
Moody's Investors Service lowered the ratings of General Motors
Corporation Corporate Family to Caa1 from B3; Probability of
Default to Caa1 from B3; senior unsecured to Caa2 from Caa1;
and, senior secured credit facility to B1 from Ba3.  The
company's Speculative Grade Liquidity rating remains at SGL-2.
The outlook is Negative.

The ratings of GMAC LLC are not affected by this action and its
Corporate Family Rating remains at B3 with a negative outlook.

The downgrade of GM's ratings reflects the challenges the
company will face in reestablishing a competitive position in
the US automotive market and generating positive operating cash
flow in the face of: annual industry sales that could remain
below 15 million units through 2009; the shift in consumer
demand away from trucks and SUVs; the 18 to 24-month time frame
necessary for GM to meaningfully expand its portfolio of mid and
small vehicles; and, the difficulties the company will encounter
in establishing pricing power in the car and crossover segments.
GM's recently initiated operating plan is intended to generate
US$10 billion in additional cash, and the asset-sale and
capital-raising plans are targeting US$5 billion in proceeds by
year-end 2009.  These undertakings will help to boost the
company's liquidity position which consisted of US$21 billion in
cash and approximately US$5 billion in committed US credit
facilities at June 2008.  However, achieving the planned level
of savings and the additional capital inflows may be
challenging, and the company will need to demonstrate solid
progress in order to forestall any further pressure on the Caa1
Corporate Family Rating and SGL-2 Speculative Grade Liquidity
rating.

Bruce Clark, senior vice president with Moody's, said, "GM has a
pretty good track record in achieving its cost reduction targets
and structuring transactions that help raise capital.  It's
reasonable to expect that the plan being implemented now will
help strengthen the company's liquidity position, which
otherwise could have become very strained by late 2009."  The
success likely to be achieved in these areas helped to maintain
GM's SGL-2 Speculative Grade Liquidity Rating. Despite these
constructive steps, Clark notes that GM still faces formidable
long-term challenges.  "The most difficult challenge facing GM
and the other domestic producers will be accelerating the
introduction of fuel efficient vehicles, and convincing
consumers that these vehicles offer as good a value proposition
Asian product.  The additional liquidity that will be raised by
GM's operating plan gives the company more time to make this
transition, but it will remain a very difficult transition to
implement."

The negative outlook recognizes that in the absence of clear
progress in several financial and operating areas, GM's long-
term and Speculative Grade Liquidity ratings could come under
further pressure.  These areas include: maintaining US market
share near 21%; achieving much of the US$10 billion in operating
savings; successfully launching new car and crossover vehicles
through 2009; and improving the average transaction prices for
its car and crossover portfolio.

General Motors Corporation, headquartered in Detroit, Michigan,
is the world's second-largest automotive manufacturer.


IM BETEILIGUNG: Creditors Must File Proofs of Claim by  Sept. 7
---------------------------------------------------------------
Creditors owed money by JSC IM Beteiligung are requested to file
their proofs of claim by Sept. 7, 2008, to:

         Jurg-Albert Masson
         Blumenaustrasse 28
         8200 Schaffhausen
         Switzerland

The company is currently undergoing liquidation in Schaffhausen.
The decision about liquidation was accepted at an extraordinary
shareholders' meeting held on June 23, 2008.


MIKE MULLER: Deadline to File Proofs of Claim Set August 31
-----------------------------------------------------------
Creditors owed money by LLC Mike MUller are requested to file
their proofs of claim by Aug. 31, 2008, to:

         Emil Muller
         Untere Pressistrasse 15
         8750 Glarus
         Switzerland

The company is currently undergoing liquidation in Netstal.  The
decision about liquidation was accepted at an extraordinary
shareholders' meeting held on June 19, 2008.


NEWDATA LLC: Proofs of Claim Filing Deadline is August 23
---------------------------------------------------------
Creditors owed money by LLC NewData are requested to file their
proofs of claim by Aug. 23, 2008, to:

         Marco Benedetti
         Gurnigelstrasse 42
         2560 Nidau
         Switzerland

The company is currently undergoing liquidation in Nidau.  The
decision about liquidation was accepted at an extraordinary
shareholders' meeting held on Feb. 23, 2008.


PHO-STA LLC: Creditors' Proofs of Claim Due by August 23
--------------------------------------------------------
Creditors owed money by LLC Pho-Sta are requested to file their
proofs of claim by Aug. 23, 2008, to:

         Dominik Meli
         Holengartenstrasse 6a
         9300 Wittenbach
         Switzerland

The company is currently undergoing liquidation in Speicher.
The decision about liquidation was accepted at an extraordinary
shareholders' meeting held on May 19, 2008.


POLYBIUS CRYPTO: Aug. 27 Set as Deadline to File Proofs of Claim
----------------------------------------------------------------
Creditors owed money by JSC Polybius Crypto Holding are
requested to file their proofs of claim by Aug. 27, 2008, to:

         Peter von Gunten
         Stapferstrasse 19
         8615 Wermatswil
         Germany

The company is currently undergoing liquidation in Frauenfeld.
The decision about liquidation was accepted at an extraordinary
shareholders' meeting held on June 27, 2008.


PROMETALLEX JSC: Creditors Must File Proofs of Claim by Aug. 31
---------------------------------------------------------------
Creditors owed money by  JSC PROMETALLEX are requested to file
their proofs of claim by Aug. 31, 2008, to:

         Dr. Patrick M. Hoch
         Advocacy Schoch Jaeggi Hoch
         Ramistrasse 29
         8001 Zurich
         Switzerland

The company is currently undergoing liquidation in Meilen.  The
decision about liquidation was accepted at an extraordinary
shareholders' meeting held on Dec. 19, 2007.


SEMGROUP LP: Enterra, et al., Disclose Financial Exposures
----------------------------------------------------------
Enterra Energy Trust, NAL Oil & Gas Trust, and TRAFINA Energy
Ltd., disclosed potential financial exposures in the bankruptcy
case of SemGroup L.P. and its debtor-affiliates.

A. Enterra Energy

Enterra Energy Trust has a potential financial exposure of up to
US$10 million primarily from oil and gas sales to subsidiaries
of SemGroup L.P. in Canada and the U.S. during the months of
June and July 2008.  A financial instrument held in Canada with
SemGroup offsets a substantial portion of this exposure.

On July 22, 2008, certain of the U.S. subsidiaries of SemGroup
filed for protection under Chapter 11 of the U.S. Bankruptcy
Code and two Canadian SemGroup subsidiaries filed for creditor
protection under the Canadian Companies' Creditors Arrangement
Act.  In Oklahoma, Enterra sells roughly 900 barrels of oil
equivalent per day to SemGroup and in Canada the Trust sells
approximately 1,000 barrels per day of crude to SemGroup.  In
addition, Enterra participates in a joint venture crude oil
blending facility in Canada with SemGroup.

Enterra is currently working with SemGroup to ensure that the
Trust's exposure is minimized.  While the amounts owed by
SemGroup to the Trust are held in abeyance during the court-
supervised restructuring processes, Enterra is reasonably
confident of the recovery of most, if not all, the amounts owing
to it from SemGroup.  Similarly, the Trust believes its go-
forward business with SemGroup is established on terms that are
in the normal course.  The delayed receipt and even the possible
loss of funds owed to Enterra at July 22, 2008 while
unsatisfactory, does not threaten the financial viability of the
Trust or any of its individual businesses.

In the U.S., Enterra believes that its production for much of
the period in question will be a high priority debt as SemGroup
reorganizes.  Further, Enterra's Oklahoma subsidiary has
applied for status under SemGroup's court approved Critical
Supplier Protection Program which is intended to keep whole
suppliers who continue to sell product to SemGroup over the next
six months, and may include full and immediate payment for
products shipped before the Chapter 11 filing.

In Canada, Enterra has agreed with SemGroup that while SemGroup
is operating under CCAA protection, Enterra will continue to
ship product and operate the joint blending facility on the
basis of pre-payment for such production and operations.  On
Monday, July 28, 2008, Enterra received payment for production
and operations for the period of July 22 through Aug. 25, 2008.

Enterra will provide further significant information regarding
this matter as it becomes available.

B. NAL Oil & Gas Trust

NAL Oil & Gas Trust announced today that the trust  has a
potential exposure of between US$3.5 million and US$7.5 million
from oil, butane and condensate sales to SemCanada Crude
Company, a subsidiary of SemGroup, L.P. for the marketing of a
portion of NAL's oil production.

NAL management has retained legal counsel and continues to have
discussions with SemCanada and its Monitor to best manage and
resolve this matter.  NAL is currently uncertain what portion
of the exposure may be collectible, but the amount is not
considered significant to NAL's financial position.

C. TRAFINA Energy Ltd.

TRAFINA Energy Ltd. said that it has potential exposure of
approximately US$480,000 to SemCanada Energy Company and
SemCanada Crude Company, both subsidiaries of SemGroup, L.P.,
relating to the marketing of a portion of the Company's natural
gas for the month of June, 2008 and crude oil production for the
period June, 2008 up to July 22, 2008.

At this time, TRAFINA is not able to quantify the portion, if
any, that may be recovered, however it will pursue all
reasonable means available to recover amounts owing to the
company.  TRAFINA has made alternative arrangements for the
marketing of the portion of natural gas previously marketed by
SemCanada and SemCanada Crude.

                        About TRAFINA

TRAFINA Energy Ltd. (TSX VENTURE:TFA.A) is a junior oil and gas
company based in Calgary, Alberta.  It is primarily a natural
gas producer, with its main areas of interest being in
Wetaskiwin, Jenner, Carson Creek/Judy Creek and Bindloss; all of
which are located in Alberta.  TRAFINA's shares trade on the TSX
Venture Exchange under the stock symbol TFA.A.

                   About NAL Oil & Gas Trust

NAL Oil & Gas Trust (TSX:NAE.UN) is an open-end investment trust
that generates distributions through the acquisition,
development, production and marketing of oil, natural gas and
natural gas liquids.  The Trust owns high quality assets in
British Columbia, Alberta, Saskatchewan and Ontario.  Trust
units trade on the Toronto Stock Exchange under the symbol
"NAE.UN".

                   About Enterra Energy Trust

Enterra Energy Trust (TSX: ENT.UN) (NYSE: ENT) is an exploration
and production oil and gas trust based in Calgary, Alberta.  The
Trust acquires, operates and exploits petroleum and natural gas
assets principally in western Canada and in Oklahoma, U.S.A.

                       About SemGroup L.P.

SemGroup L.P. -- http://www.semgrouplp.com/-- is a midstream
service company providing the energy industry means to move
products from the wellhead to the wholesale marketplace.
SemGroup provides diversified services for end users and
consumers of crude oil, natural gas, natural gas liquids,
refined products and asphalt.  Services include purchasing,
selling, processing, transporting, terminaling and storing
energy.  SemGroup serves customers in the United States, Canada,
Mexico, Wales, Switzerland and Vietnam.

SemGroup L.P. and its debtor-affiliates filed for Chapter 11
protection on July 22, 2008 (Bankr. D. Del. Lead Case No. 08-
11525).  These represent the Debtors' restructuring efforts:
John H. Knight, Esq., L. Katherine Good, Esq. and Mark D.
Collins, Esq. at Richards Layton & Finger; Harvey R. Miller,
Esq., Michael P. Kessler, Esq. and Sherri L. Toub, Esq. at Weil,
Gotshal & Manges LLP; and Martin A. Sosland, Esq. and Sylvia A.
Mayer, Esq. at Weil Gotshal & Manges LLP.  Kurtzman Carson
Consultants L.L.C. is the Debtors' claims agent.  The Debtors'
financial advisors are The Blackstone Group L.P. and A.P.
Services LLC.  Margot B. Schonholtz, Esq., and Scott D.
Talmadge, Esq., at Kaye Scholer LLP; and Laurie Selber
Silverstein, Esq., at Potter Anderson & Corroon LLP, represent
the Debtors' prepetition lenders.

SemGroup L.P.'s affiliates, SemCAMS ULC and SemCanada Crude
Company, sought protection under the Companies' Creditors
Arrangement Act (Canada) on July 22, 2008.  Ernst & Young, Inc.
The CCAA stay expires on Aug. 20, 2008.

SemGroup L.P.'s consolidated, unaudited financial conditions as
of June 30, 2007, showed US$5,429,038,000 in total assets and
US$5,033,214,000 in total debts.  In their petition, they showed
more than US$1,000,000,000 in estimated total assets and more
than US$1,000,000,000 in total debts.

(SemGoup Bankruptcy News, Issue No. 4; Bankruptcy Creditors'
Service, Inc., http://bankrupt.com/newsstand/or 215/945-7000).


SEMGROUP LP: Eagle Rock Asserts US$6 Million Claim on June Sales
--------------------------------------------------------------
Eagle Rock Energy Partners, L.P. said in a public statement that
it has an approximately US$6 million receivable from certain
subsidiaries of SemGroup, L.P., related to its June sales of
condensate.

In July 2008, SemGroup filed petitions for reorganization under
Chapter 11 of the U.S. Bankruptcy Code and accordingly, the
Partnership's receivable associated with its June sales of
condensate represents a pre-bankruptcy claim.  The Partnership
is seeking payment of its June receivable as a critical supplier
to SemGroup under SemGroup's Supplier Protection Program.

During July 2008, the Partnership sold, pre-bankruptcy, and
continued to sell, post-bankruptcy, condensate to SemGroup,
primarily from the Partnership's Texas Panhandle and East Texas
midstream systems.  The Partnership's financial exposure for its
July sales of condensate currently is approximately US$5 million
to US$6 million.  The Partnership is evaluating its ability to
collecton its July 2008 sales in light of SemGroup's bankruptcy.
The Partnership will continue to monitor SemGroup's situation
and will sell condensate to alternate purchasers should it
become necessary.

                        About Eagle Rock

Eagle Rock Energy Partners, L.P. (Nasdaq GS:EROC) is a growth-
oriented master limited partnership engaged in three businesses:
a) midstream, which includes (i) gathering, compressing,
treating, processing, transporting and selling natural gas, and
(ii) fractionating and transporting natural gas liquids; b)
upstream, which includes acquiring, exploiting, developing, and
producing crude oil and natural gas interests; and c) minerals,
which includes acquiring and managing fee minerals and royalty
interests.  Its corporate office is located in Houston, Texas.

                        About SemGroup L.P.

SemGroup L.P. -- http://www.semgrouplp.com/-- is a midstream
service company providing the energy industry means to move
products from the wellhead to the wholesale marketplace.
SemGroup provides diversified services for end users and
consumers of crude oil, natural gas, natural gas liquids,
refined products and asphalt.  Services include purchasing,
selling, processing, transporting, terminaling and storing
energy.  SemGroup serves customers in the United States, Canada,
Mexico, Wales, Switzerland and Vietnam.

SemGroup L.P. and its debtor-affiliates filed for Chapter 11
protection on July 22, 2008 (Bankr. D. Del. Lead Case No. 08-
11525).  These represent the Debtors' restructuring efforts:
John H. Knight, Esq., L. Katherine Good, Esq. and Mark D.
Collins, Esq.  at Richards Layton & Finger; Harvey R. Miller,
Esq., Michael P. Kessler, Esq. and Sherri L. Toub, Esq. at Weil,
Gotshal & Manges LLP; and Martin A. Sosland, Esq. and Sylvia A.
Mayer, Esq. at Weil Gotshal & Manges LLP.  Kurtzman Carson
Consultants L.L.C. is the Debtors' claims agent.  The Debtors'
financial advisors are The Blackstone Group L.P. and A.P.
Services LLC.  Margot B. Schonholtz, Esq., and Scott D.
Talmadge, Esq., at Kaye Scholer LLP; and Laurie Selber
Silverstein, Esq., at Potter Anderson & Corroon LLP, represent
the Debtors' prepetition lenders.

SemGroup L.P.'s affiliates, SemCAMS ULC and SemCanada Crude
Company, sought protection under the Companies' Creditors
Arrangement Act (Canada) on July 22, 2008.  Ernst & Young, Inc.
The CCAA stay expires on Aug. 20, 2008.

SemGroup L.P.'s consolidated, unaudited financial conditions as
of June 30, 2007, showed US$5,429,038,000 in total assets and
US$5,033,214,000 in total debts.  In their petition, they showed
more than US$1,000,000,000 in estimated total assets and more
than US$1,000,000,000 in total debts.

(SemGoup Bankruptcy News, Issue No. 5; Bankruptcy Creditors'
Service, Inc., http://bankrupt.com/newsstand/or 215/945-7000).


SEMGROUP LP: Three Parties Respond to Cash Collateral Motion
------------------------------------------------------------
Prima Exploration, Inc., and Kirby Corporation, in separate
filings, asked the U.S. Bankruptcy Court for the District of
Delaware to deny a cash collateral motion of SemGroup L.P. and
its debtor-affiliates.

TransMontaigne Partners L.P., which alleges to have a lien and
security interest in petroleum products pursuant to servicing
agreements with SemMaterials, L.P., reserved all of its rights,
including the right to withhold or suspend providing services to
SemMaterials, in the event that SemMaterials will not be able to
provide adequate protection for TransMontaigne's interest in the
collateral.

Prima Exploration complained that the motion seeks to elevate
the administrative claims of professionals over the
administrative claims of other entities.  Prima added that the
Motion grants rights to lenders, effecting in the subordination
of its security interests and eliminating its timely exercised
reclamation rights.  Prima insisted that, by virtue of its
claims totaling US$5,767,352 for oil purchased by SemCrude,
L.P., it is on equal footing with the professionals and other
administrative claimants, and does not consent to the
subordination of its claims.

Kirby Corporation objected to the Cash Collateral Motion to the
extent the Debtors intend to terminate their right to pay
administrative expenses, as well as the granting of super-
priority administrative expense claims to prepetition secured
Lenders as adequate protection, to the extent that the claims
deprive the Debtors' ability to pay its postpetition operating
costs.

Kirby Corporation, a party to an agreement under which the
Debtors charter Kirby's barges and vessels to transport asphalt
and fuel oil, says the Debtors were in default under the Charter
for failure to pay US$949,659 in charter hire and other charges.
According to Kirby, the terms of Cash Collateral Interim Order
eliminate the Debtors' ability to pay Kirby's administrative
claims once a default, occurs, despite benefiting from the
postpetition goods and services.

Furthermore, Kirby objected to the prohibition of the imposition
of preservation costs, to the extent that it prevents a charge
for goods and services.

          Debtors & BofA Address Term Lenders' Concerns

In separate filings, the Debtors and the Bank of America, N.A.,
as administrative agent for certain of the Debtors' prepetition
lenders, addressed the objections raised by the Debtors'
prepetition term loan lenders.

The Debtors told the Court that payment of the Term Lenders'
professional fees and expenses is not adequate protection under
the Bankruptcy Code.  Any adequate protection to the Term
Lenders is determined by the requirements of the Bankruptcy
Code, and not on any consensual negotiations by secured
creditors, Martin A. Sosland, Esq., at Weil, Gotshal & Manges
LLP, in Dallas, Texas, argued on behalf of the Debtors.  The
payment of the administrative agent's professional fees and
expenses is not grounds for the payment of the same to the Term
Lenders on an ongoing basis under the credit facility, he added.

According to the Debtors, the terms of the credit facility do
not support paying the Term Lenders' professional fees and
expenses incurred in connection with the Debtors' Chapter 11
cases.

BofA told the Court that it does not take position on the Term
Lenders' request for payment of the fees and expenses of its
professionals.  However, BofA sought to clarify the record
regarding certain provisions of the Prepetition Loan Documents
and their implications as they relate to the issues before the
Court.

BofA's counsel, Laurie Seiber Silverstein, Esq., at Potter
Anderson & Corroon LLP, in Wilmington, Delaware, pointed out
that the Term Lenders' demand is based on false premises.  The
Term Lenders insisted that their security interests and secured
claims are distinct from those of other lenders under the Credit
Agreement, and assert that BofA serves in a mere "administrative
capacity" with respect to the Prepetition Collateral.

According to Ms. Silverstein, the Debtors' Term Obligations
share precisely the same rights with respect to the Prepetition
Collateral as the Revolver Obligations, as stated in the plain
terms of the Prepetition Loan Documents.  Moreover, the liens
and security interests in the Prepetition Collateral are granted
to BofA as secured party for its benefit, and for the benefit of
the respective Lenders under the Prepetition Credit Agreement.
Hence, BofA is charged with significant control over and
discretion with respect to the Prepetition Collateral.

Ms. Silverstein contended that payment of BofA's fees and
expenses of professionals is part of the adequate protection
granted to BofA for its benefit, as well as the benefit of all
the Lenders, as a condition to the Debtors' use of cash
collateral.  Pursuant to Section 506(b) of the Bankruptcy Code,
when a prepetition claim is oversecured, the allowed amount of
the secured claim may increase, securing that claim to include
any reasonable fees, costs or charges.  Reasonable attorneys'
fees become part of the secured creditors allowed secured claim.
BofA, the Administrative Agent is receiving reimbursement of
professional fees as a condition to authorizing the use of cash
collateral, Ms. Silverstein clarified.

                        About SemGroup L.P.

SemGroup L.P. -- http://www.semgrouplp.com/-- is a midstream
service company providing the energy industry means to move
products from the wellhead to the wholesale marketplace.
SemGroup provides diversified services for end users and
consumers of crude oil, natural gas, natural gas liquids,
refined products and asphalt.  Services include purchasing,
selling, processing, transporting, terminaling and storing
energy.  SemGroup serves customers in the United States, Canada,
Mexico, Wales, Switzerland and Vietnam.

SemGroup L.P. and its debtor-affiliates filed for Chapter 11
protection on July 22, 2008 (Bankr. D. Del. Lead Case No. 08-
11525).  These represent the Debtors' restructuring efforts:
John H. Knight, Esq., L. Katherine Good, Esq. and Mark D.
Collins, Esq. at Richards Layton & Finger; Harvey R. Miller,
Esq., Michael P. Kessler, Esq. and Sherri L. Toub, Esq. at Weil,
Gotshal & Manges LLP; and Martin A. Sosland, Esq. and Sylvia A.
Mayer, Esq. at Weil Gotshal & Manges LLP.  Kurtzman Carson
Consultants L.L.C. is the Debtors' claims agent.  The Debtors'
financial advisors are The Blackstone Group L.P. and A.P.
Services LLC.  Margot B. Schonholtz, Esq., and Scott D.
Talmadge, Esq., at Kaye Scholer LLP; and Laurie Selber
Silverstein, Esq., at Potter Anderson & Corroon LLP, represent
the Debtors' prepetition lenders.

SemGroup L.P.'s affiliates, SemCAMS ULC and SemCanada Crude
Company, sought protection under the Companies' Creditors
Arrangement Act (Canada) on July 22, 2008.  Ernst & Young, Inc.
The CCAA stay expires on Aug. 20, 2008.

SemGroup L.P.'s consolidated, unaudited financial conditions as
of June 30, 2007, showed US$5,429,038,000 in total assets and
US$5,033,214,000 in total debts.  In their petition, they showed
more than US$1,000,000,000 in estimated total assets and more
than US$1,000,000,000 in total debts.

(SemGoup Bankruptcy News, Issue No. 6; Bankruptcy Creditors'
Service, Inc., http://bankrupt.com/newsstand/or 215/945-7000).


STOLLER BETRIEB: Deadline to File Proofs of Claim Set August 27
---------------------------------------------------------------
Creditors owed money by JSC Stoller Betrieb are requested to
file their proofs of claim by Aug. 27, 2008, to:

         Werner Stoller
         Badenerstrasse 357
         8003 Zurich
         Switzerland

The company is currently undergoing liquidation in Zurich.  The
decision about liquidation was accepted at an extraordinary
shareholders' meeting held on May 30, 2008.


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


NAFTOGAZ NJSC: Fitch Anticipates Weak FYO7 Financial Results
------------------------------------------------------------
Fitch Ratings anticipates weak FY07 results by NJSC Naftogaz of
Ukraine ('B+'/RWN), stemming largely from the company's
inability to fully recover gas import prices from its domestic
sales.  But the agency will review these results in light of
favorable government decisions in 2008 that have led to an
improved business profile.

First, in March 2008 the Ukrainian government replaced
UkrGazEnergo with Naftogaz as the dominant supplier to
industrial and commercial I&C customers pay Ukraine's full gas
import price and have a near zero default rate on payments.
Second, the 2008 state budget introduced a UAH4.3 billion
subsidy mechanism that provides Naftogaz on a monthly basis with
the difference between the import price of gas and the lower
domestic price paid by communal heating enterprises.  "The
situation in 2008 is in stark contrast to FY07, during which
Naftogaz had no I&C customers and was fully exposed to under-
payment by communal heating enterprises", says Anton Krawchenko,
Associate Director in Fitch's Energy team.

Within the next several months, two potential developments could
significantly impact Naftogaz's rating.  First, a proposed
amendment to the 2008 state budget - currently in the
legislative process - may be adopted by Parliament.  This
amendment would increase the state subsidy to Naftogaz to UAH8
billion from UAH4.3 billion for the balance of FY08, and also
maintain a UAH12 billion foreign debt guarantee.  Second,
Naftogaz must secure a new source of funding, either privately
or via the Ukrainian government, to continue purchasing gas for
storage ahead of the winter heating season (October 15, 2008 to
April 15, 2009).  Failure to secure funding could significantly
increase Naftogaz's liquidity risk.

The prospective gas price agreement between Ukraine and Russia
could see gas import prices to Ukraine rising significantly in
2009.  If Naftogaz has stored gas sufficient to supply the
balance of the heating season in 2009 (approximately 7bcm), the
company will forestall significant exposure to higher prices
until October 2009.  If not, Naftogaz's working capital
requirements will increase significantly in the beginning of
2009, resulting in a higher external financing requirement.
Either way, Naftogaz is not in a position to fund these
purchases without raising additional debt or capital.

Fitch notes that most of the past and prospective changes in
Naftogaz's business and financial position have been or are
dependent on relatively unpredictable government decisions.
Positive resolution of the above-mentioned state budget and gas
storage financing issues may therefore be sufficient to
forestall a negative credit impact from the publication of weak
FY07 results.

In H208, Naftogaz faces slightly higher debt repayment
obligations: 64.6% of debt falling due within FY08 is payable in
H208.  Naftogaz's total financial debt as of FYE07 was UAH12
billion, UAH11.1 billion of which was owed to foreign bilateral
lenders and Eurobond holders.  As of end-July 2008, Naftogaz had
no outstanding debt to RosUkrEnergo.


* S&P Publishes Annual Credit Report for Ukraine
------------------------------------------------
Since 2003, the economy of the Ukraine (foreign currency
B+/Stable/B; local currency BB-/Stable/B) has been booming,
growing at an annual rate of just under 8%, with per capita GDP
growth even higher.  This period of explosive growth has
occurred despite political uncertainty.  Indeed, in most
respects the Ukrainian economy has demonstrated impressive
immunity to high electoral turnover and an erratic fiscal mix,
as the economy becomes more integrated into the global economy.
According to a new Standard & Poor's Ratings Services report on
Ukraine, however, politics and policy-making are likely to play
a larger role in the coming years in laying the foundations for
sustainable growth, among which is price stability.

Stoked by 64% year over year nominal credit growth and overly
accommodative incomes policies, Ukraine's economy has been
overheating.  Since 2005, aggregate demand has exceeded
aggregate supply.  Although much of this was due to
capacity-building investment, which is a substantial positive
for long-term growth prospects, more recently consumption goods
have increasingly dominated the import basket.

The failure of authorities to put into place adequate policy
measures to counter rising inflation in Ukraine's overheating
economy led to S&P's downgrade of the sovereign in June of this
year ("Ukraine FC Cut To 'B+' On Inflationary Policies,
Contingent Risks; Outlook Stable," published June 8,
2008, on RatingsDirect).

At 27% year over year as of end-July, inflation is still far too
high.  While food inflation is coming down, services inflation
continues to be stubbornly high, reflecting wage pressures and
demand side pressures.  Inflation matters to creditworthiness
because if left to its own devices it debases national
currencies and seriously undermines competitiveness, frequently
triggering exchange rate volatility, balance of payments crises,
and/or serious political repercussions.

In both Ukraine and Russia, high inflation is also lowering the
competitiveness of domestic producers, leading to unusually high
nominal import growth (in dollar terms) of 52% year over year
and 43% year over year for Ukraine and Russia, respectively,
during the first five months of 2008.  Positively, the Ukraine
has been able to re-export much of the imported energy price
inflation via higher steel prices.

High steel prices may not survive a global cyclical downturn,
however.  It is therefore a concern that Ukraine's non-energy
and metals goods deficit (excluding metal, oil and gas imports,
and metal and refined energy exports) more than doubled to 10%
of GDP in 2007 from slightly less than 5% in 2005.

Ukraine's current account deficit is on its way to exceeding 9%
of GDP in 2008 and 12% of GDP in 2009, versus a surplus only
three years ago.  It makes economic sense for undercapitalized
countries like the Ukraine to run current account deficits, and
Ukraine's are not on the same scale as those in the Balkans or
the Baltics.  However, in those countries in which financial
systems are more subject to bouts of capital flight such as
Ukraine, double-digit current account deficits may prove to be
less sustainable.  This is especially the case where imports go
primarily into consumption or into non-tradeables sectors such
as residential construction and retail banking.

The National Bank of Ukraine is gradually evolving into the sort
of institution that can help to guarantee long-term economic
stability and meet the challenges of inflation and excessive
credit growth.  Recent moves to adopt a wider fluctuation band
for the hryvnia and leave the de facto dollar peg should help
improve the institution's anti-inflationary arsenal.

A stronger political commitment is needed, however, to clarify
the legal independence of the National Bank of Ukraine, so that
it can function in a more timely and independent manner to
assure price stability.  The recent Memorandum of Understanding
between the government and the National Bank of Ukraine is an
encouraging first step towards improving fiscal and monetary
coordination and cementing plans to adopt a formal inflation
targeting regime.

It is too early to determine whether the government will live up
to the terms of this agreement, which include a commitment to
save all windfall revenues above budget for 2008.  Another
positive development, if indeed followed through, is that, as
part of the agreement, further increases to minimum wages will
be delayed and government obligations to the central bank will
be securitized.

In a separate report published on Aug. 5, 2008, titled "Ukraine
Estimate Of Potential Gross Problematic Assets Is Lowered; BICRA
Affirmed At Group 10," S&P announced that it had revised its
estimate of the incidence of gross problematic assets in the
Ukrainian financial system under a reasonable scenario of
economic recession to 35%-50% from 50%-75%.  At the same time,
S&P affirmed its Banking Industry Country Risk Assessment
(BICRA) on Ukraine at Group 10.


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


BRITISH AIRWAYS: Inks Biz Deal with Iberia and American Airlines
----------------------------------------------------------------
British Airways Plc, American Airlines and Iberia SA have signed
a joint business agreement on flights between North America and
Europe and plan to expand their global cooperation.

This relationship will benefit consumers by providing easy,
seamless and convenient travel to more global destinations with
better connections, improved flight schedules and enhanced
frequent flyer benefits.  It will improve customer choice by
enabling the oneworld global alliance, of which American,
British Airways and Iberia are key members, to compete more
effectively around the world with other global alliances.

The airlines plan to file today for worldwide anti-trust
immunity from the US Department of Transportation and will
notify the appropriate regulatory authorities in the European
Union.

In addition, fellow oneworld members Finnair and Royal Jordanian
are included in the anti-trust immunity application.

Under the joint business agreement, the three airlines will
cooperate commercially on flights between the United States,
Mexico and Canada, and the European Union, Switzerland and
Norway while continuing to operate as separate legal entities.
They will expand their codeshare arrangements on flights within
and beyond the EU and U.S., significantly increasing the number
of destination choices that the airlines can offer customers.

Today's announcement is a significant step towards strengthening
customer choice.  This agreement would enable oneworld to
compete effectively with rival global air alliances that have
already received transatlantic anti-trust immunity.  Currently,
six airlines in SkyTeam and nine Star Alliance airlines have
such immunity.

Customers will be able to travel more easily on the three
airlines' combined route network which will serve 443
destinations in 106 countries with more than 6200 daily
departures and more frequent and convenient schedule options
than any of the three carriers could offer individually.  By
working together to provide links for connecting passengers, the
airlines can expand customer choice by supporting routes that
would not be economically viable for the individual airlines.

Customers will also benefit from expanded opportunities to earn
and redeem frequent flyer miles and elite tier benefits on
flights worldwide and continued reciprocal airport lounge
access.

The joint business agreement will enable the airlines to reduce
costs and attract new customers, helping to mitigate pressure on
fares from record fuel costs.  This means that the airlines will
have greater ability to invest in their products, services and
fleets.  Employees and shareholders will also benefit from the
agreement.

Gerard Arpey, chairman and chief executive of AMR Corp., the
parent company of American Airlines, said: "We believe our
proposed cooperation is an important step towards ensuring that
we can compete effectively with rival alliances and manage
through the challenges of record fuel prices and growing
economic concerns.  In addition, we believe we will be more
effective competitors with greater ability to invest in our
products and services.  As a result, this business agreement
will create positive outcomes for our customers, shareholders,
employees and the communities we serve."

Willie Walsh, British Airways' chief executive, said: "This
strategic relationship strengthens competition by providing
consumers with easier journeys to more destinations with better
aligned schedules and frequencies.  We are applying for EU US
anti-trust immunity in a changed regulatory world where London
Heathrow is open to any US or EU airline that wants to fly to
the United States and where rival alliances have immunity."

Fernando Conte, Iberia chairman and chief executive, said:
"Customers will benefit the most from this relationship as they
will have better connections to more destinations around the
world.  It will increase competition as the three global airline
alliances will play under the same rules.  We are taking a very
important step towards consolidation which is necessary in
today's aviation industry."

                    About British Airways

Headquartered in Harmondsworth, England, British Airways Plc
-- http://www.ba.com/-- operates of international and domestic
scheduled and charter air services for the carriage of
passengers, freight and mail, and provides of ancillary
services.    The British Airways group consists of British
Airways plc and a number of subsidiary companies including in
particular British Airways Holidays Ltd.  and British Airways
Travel Shops Ltd.    BA has offices in India and Guatemala.

                         *     *     *

British Airways Plc continues to carry "Ba1" senior
unsecured debt rating from Moody's with a stable outlook.


BRITISH ENERGY: Earns GBP62 Million for 1st Qtr Ended June 29
-------------------------------------------------------------
British Energy Ltd. posted its consolidated financial results
for the first quarter ended June 29, 2008.

British Energy posted GBP62 million in net profit on
GBP629 million in net revenues for the first quarter ended
June 29, 2008, compared with GBP179 million in net profit on
GBP668 million in net revenues for the same period ended
July 1, 2007.

                           Key Points

    * Nuclear output lower than the comparable period of the
      previous financial year, primarily reflecting the
      continuing impact of the Boiler Closure Unit (BCU) outages
      at Hartlepool and Heysham 1;

    * Adjusted EBITDA of GBP129 million, down from
      GBP253 million in the comparable period, reflecting lower
      output and higher costs incurred in respect of the BCU
      modifications. Increased costs partially offset by higher
      realized price, reflecting higher prices on previously
      uncontracted nuclear sales and the benefit of higher clean
      dark spreads and net revenue from flexible operation of
      Eggborough;

    * Run rate for small unplanned losses continues to be
      broadly in line with best ever levels achieved in
      financial year 2007/08;

    * BCU recovery project progressing well, with Heysham 1
      Reactor 1 identified as lead unit for return to service.
      Total project costs in financial year 2008/09 now expected
      to be around GBP115 million (up from GBP50 million),
      driven by increased costs for inspections and increased
      costs of design, fabrication and installation of
      modifications.

      More than 1,200,000 manhours have been spent on the
      project to date which is on track to deliver return to
      service in the third quarter of this financial year;

    * Hinkley Point B Reactor 3 returned to service following
      successful planned inspection outage.  Hunterston B
      Reactor 4 restart process initiated; and

    * Advanced discussions continue in connection with a
      potential offer for the Company.  British Energy remains
      uniquely positioned to play a pivotal role in Nuclear New
      Build

Bill Coley, Chief Executive of British Energy, said: "We have
continued to make good progress towards resolving the plant
issues that have significantly impacted our performance
in the year to date.  Two of the four units at Hinkley Point B
and Hunterston B have already achieved operation at 70% load as
planned and we expect to raise load on the remaining two units
to this level in due course.  In addition, we remain on track to
deliver the return to service of Hartlepool and Heysham 1 in the
third quarter of this financial year."

"The role for nuclear new build as an integral part of UK energy
policy is now firmly established.  We welcome the steps being
taken by Government to drive forward the new nuclear agenda
while, at the same time, we continue with our preparations for
nuclear new build.  As we continue discussions in respect of a
potential transaction, we remain clear that the expertise of our
people, together with our sites, makes British Energy uniquely
positioned to play a pivotal role in nuclear new build."

At June 29, 2008, British Energy Group Plc had GBP12.49 billion
in total assets, GBP7.84 billion in total liabilities, and
GBP4.65 billion in total shareholders' equity.

A full copy of British Energy Ltd.'s financial statements for
the first quarter ended June 29, 2008, is available at:

             http://researcharchives.com/t/s?30c8


                      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.

                          *     *     *

British Energy Ltd. continues to carry 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 still carries a BB+ long-term issuer default rating
from Fitch with a stable outlook.


BS DEVELOPMENTS: Goes Into Administration
-----------------------------------------
Bashar Issa has lost control of all four of his Greater
Manchester projects after two of his BSC Group's units, Issa
Developments Ltd. and BS Developments Ltd., fell into the hands
of administrator David Costley-Wood of KPMG, Crain's Manchester
Business reports.

According to the report, Issa Developments, which owns proposed
hotel site Sarah Tower on Dale Street, is currently working on a
refinancing deal with London-based finance house Gresham Ltd.

Meanwhile, BS Developments' Yorkshire Bank-funded Sarah Point
development, which is estimated to be worth GBP35 million, has
been put for sale with David Clifton of Knight Frank carrying
out viewings with potential buyers, the report relates.

Andy Finch of Knight Frank, however, told Crain's viewers
expressed concerns as Sarah Point, which is partially complete,
was in a state of disrepair, although he said "there has been
interest in the site and there are a few options on what it
could be used for," including a mixed-use residential and
serviced apartment scheme or a rental-only residential complex.

As reported in the Troubled Company Reporter-Europe on May 20,
2008, BSC Group's BS Construction Ltd. went into voluntary
administration after Anglo-Irish Bank decided to withdraw an
GBP89 million rescue package for the company's Canopus Greengate
scheme.

BS Construction called in David Costley-Wood and Richard Fleming
from the Manchester office of KPMG as joint administrators on
May 12, 2008.  The company was put up for sale.

BS Construction, Crain's discloses, owed Barclays Bank GBP11.5
million.  It also owed GBP2 million to unsecured creditors.


EUROSAIL 2006-3NC: S&P Cuts E1c/ETc/FTc Notes Rating to B/B/CCC
---------------------------------------------------------------
Standard & Poor's Ratings Services has lowered and removed from
CreditWatch with negative implications its credit ratings on the
D1a, D1c, E1c, ETc, and FTc notes issued by Eurosail 2006-3NC
PLC.  S&P also removed from CreditWatch negative and affirmed
its ratings on the B1a, C1a, and C1c notes.  S&P affirmed all
the other notes in the transaction.

The rating actions follow a full credit and cash flow analysis
of the most recent loan-level information, particularly taking
into account the current and expected levels of the transaction
reserve in the near term.  The downgrades are due to
deteriorating collateral performance combined with the recent
reserve fund draws.  The transaction is also currently reaching
a trigger so that the liquidity facility cannot be used to pay
interest for the subordinate notes if required.

On the March 2008 interest payment date (IPD), the transaction
drew GBP360,492 from its reserve fund.  On the June 2008 IPD,
the transaction drew a further GBP354,528 from its reserve fund,
(16.2% of the fund's quarter opening balance).  The current
reserve fund balance of GBP1,834,980 represents 72% of the
reserve fund required amount.

In the transaction's sixth quarter, the coupon on the detachable
A3c coupon (DAC) remained at 1.7%. This coupon will step up to
2.25% in Q7 2.50% in Q8, 2.75% in Q9 and Q10, and then 3% in Q11
and Q12.  This will continue to place cash flow pressure on the
transaction and, if the collateral performance does not improve,
S&P expects to see a further reserve fund draw on the
September 2008 IPD.

As of June 2008, total delinquencies for Eurosail 2006-3NC were
41.16%.  Unsold repossessions were 2.54% of the outstanding
principal balance and cumulative losses were GBP1,195,607 (0.24%
of the original balance).  The weighted-average loss severity in
the current period was 21.4%.  With U.K. house prices likely to
continue falling in the coming months, S&P will monitor these
figures closely on the next IPD.

In addition, no drawing may be made under the liquidity facility
to pay interest for the class B1a, C, D1, and E1c notes if the
balance of all loans that are 90 days or more in arrears is
greater than 15% of the initial collateral-backed note balance.
This percentage currently stands at 16.6%.

S&P will continue to monitor the performance of this transaction
using the most recent loan-level data for its full credit and
cash flow analyses.  S&P will pay particular attention to future
repossessions, losses, and changes in collection rates and
prepayment rates.

Eurosail 2006-3NC PLC:

  -- EUR227.85 Million, GBP269.913 Million, and US$205 Million
     Mortgage-Backed Floating-Rate Notes, an Overissuance of
     GBP18.360 Million Mortgage-Backed Floating-Rate Notes, and
     GBP1.173 Million Mortgage-Backed Deferrable-Interest Notes

Class                    Rating
           To                            From

Ratings Lowered And Removed From CreditWatch Negative

D1a        BB+                           BBB/Watch Neg
D1c        BB+                           BBB/Watch Neg
E1c        B                             BB/Watch Neg
ETc        B                             BB-/Watch Neg
FTc        CCC                           B/Watch Neg

Ratings Removed From CreditWatch Negative And Affirmed
B1a        AA                            AA/Watch Neg
C1a        A+                            A+/Watch Neg
C1c        A+                            A+/Watch Neg

Ratings Affirmed
A1a        AAA
A1b        AAA
A1c        AAA
A2b        AAA
A2c        AAA
A3a        AAA
A3c        AAA
A3c DACs   AAA


HAMATELL LTD: Brings in Liquidators from Vantis
-----------------------------------------------
Christopher David Stevens and Colin Ian Vickers of Vantis were
appointed joint liquidators of Hamatell Ltd. (t/a Goddards
Estate Agents) on July 29, 2008, for the creditors' voluntary
winding-up proceeding.

The company can be reached at:

         Hamatell Ltd.
         c/o Vantis
         Fourth Floor
         Southfield House
         11 Liverpool Gardens
         Worthing
         West Sussex
         BN11 1RY
         England


HUMBER COOPERAGE: Calls in Liquidators from Tenon Recovery
----------------------------------------------------------
Matthew Colin Bowker and David Antony Willis of Tenon Recovery
were appointed joint liquidators of The Humber Cooperage Company
Ltd. on July 29, 2008, for the creditors' voluntary winding-up
proceeding.

The company can be reached at:

         The Humber Cooperage Company Ltd.
         c/o Tenon Recovery
         Lowgate House
         Lowgate
         Hull
         HU1 1EL
         England


INDUSTRIAL WASTEWATER: Taps Grant Thornton to Administer Assets
---------------------------------------------------------------
Keith Hinds and Joseph McLean of Grant Thornton U.K. LLP were
appointed joint administrators of Industrial Wastewater
Treatment Ltd. (Company Number 03772358) on Aug. 6, 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:

         Industrial Wastewater Treatment Ltd.
         16 Bond Street
         Wakefield
         West Yorkshire
         WF1 2QP
         England


INNOVATE OFFICE: Appoints Joint Administrators from BDO Stoy
------------------------------------------------------------
C. K. Rayment and S. Bannon of BDO Stoy Hayward LLP were
appointed joint administrators of Innovate Office (Leeds) Ltd.
(Company Number 04642633) on Aug. 14, 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.


ISSA DEVELOPMENTS: Goes Into Administration
-------------------------------------------
Bashar Issa has lost control of all four of his Greater
Manchester projects after two of his BSC Group's units, Issa
Developments Ltd. and BS Developments Ltd., fell into the hands
of administrator David Costley-Wood of KPMG, Crain's Manchester
Business reports.

According to the report, Issa Developments, which owns proposed
hotel site Sarah Tower on Dale Street, is currently working on a
refinancing deal with London-based finance house Gresham Ltd.

Meanwhile, BS Developments' Yorkshire Bank-funded Sarah Point
development, which is estimated to be worth GBP35 million, has
been put for sale with David Clifton of Knight Frank carrying
out viewings with potential buyers, the report relates.

Andy Finch of Knight Frank, however, told Crain's viewers
expressed concerns as Sarah Point, which is partially complete,
was in a state of disrepair, although he said "there has been
interest in the site and there are a few options on what it
could be used for," including a mixed-use residential and
serviced apartment scheme or a rental-only residential complex.

As reported in the Troubled Company Reporter-Europe on May 20,
2008, BSC Group's BS Construction Ltd. went into voluntary
administration after Anglo-Irish Bank decided to withdraw an
GBP89 million rescue package for the company's Canopus Greengate
scheme.

BS Construction called in David Costley-Wood and Richard Fleming
from the Manchester office of KPMG as joint administrators on
May 12, 2008.  The company was put up for sale.

BS Construction, Crain's discloses, owed Barclays Bank GBP11.5
million.  It also owed GBP2 million to unsecured creditors.


JILLAND ENGINEERING: Hires Liquidators from Mazars
--------------------------------------------------
Robert Adamson and Paul Charlton of Mazars LLP were appointed
joint liquidators of Jilland Engineering Services Ltd. on
July 1, 2008, for the creditors' voluntary winding-up
proceeding.

The company can be reached at:

         Jilland Engineering Services Ltd.
         c/o Mazars LLP
         Mazars House
         Gelderd Road
         Gildersome
         Leeds
         LS27 7JN
         England


JILLAND RAIL: Brings in Liquidators from Mazars
-----------------------------------------------
Robert Adamson and Paul Charlton of Mazars LLP were appointed
joint liquidators of Jilland Rail Services Ltd. on
July 1, 2008, for the creditors' voluntary winding-up
proceeding.

The company can be reached at:

         Jilland Rail Services Ltd.
         c/o Mazars LLP
         Mazars House
         Gelderd Road
         Gildersome
         Leeds
         LS27 7JN
         England


LTE NETWORK: Taps Joint Administrators from Tenon Recovery
----------------------------------------------------------
T. J. Binyon and S. J. Parker of Tenon Recovery were appointed
joint administrators of LTE Network Communications Ltd. (Company
Number 2397177) on Aug. 4, 2008.

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

The company can be reached at:

         LTE Network Communications Ltd
         c/o Tenon Recovery
         Sherlock House
         73 Baker Street
         London
         W1U 6RD
         England


MADDEN CONSTRUCTION: Calls in Liquidators from Moore Stephens
-------------------------------------------------------------
Nigel Price and Colin Andrew Prescott of Moore Stephens LLP were
appointed joint liquidators of Madden Construction and Display
Ltd. on July 24, 2008, for the creditors' voluntary winding-up
proceeding.

The company can be reached at:

         Madden Construction and Display Ltd.
         c/o Moore Stephens LLP
         Beaufort House
         94-96 Newhall Street
         Birmingham
         B3 1PB
         England


PJ ROWAN: Appoints Joint Administrators from Grant Thornton
------------------------------------------------------------
Neil Tombs and Leslie Ross of Grant Thornton U.K. LLP were
appointed joint administrators of PJ Rowan Ltd. (Company Number
01163241) on July 22, 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:

         PJ Rowan Ltd.
         Bridge House
         Coleshill Road
         Atherstone
         Warwickshire
         CV9 2AD
         England


QUEBECOR WORLD: Seeks Nod on US$100MM Insight Printing Deal
-----------------------------------------------------------
Quebecor World Inc. and its debtor-affiliates sought the
authority of the U.S. Bankruptcy Court for the Southern District
of New York to enter into and perform the obligations under a
master agreement for printing services between the Debtor
Quebecor World (USA) Inc., and Local Insight Media Holdings,
Inc.

QWUSA prints directories for Local Insight under three
contracts; two of which are due to expire in the last quarter of
2008, and the third of which is set to expire at the end of
2011.

Because of the pending expiration of two of the contracts, and
because the parties were also interested in expanding their
business relationship, the parties decided to negotiate the
terms of a new, long-term relationship that would supersede the
existing contracts.  Thus, the parties entered into the master
agreement for printing services.

The Debtors' counsel, Michael J. Canning, Esq., at Arnold &
Porter LLP, in New York, said sales volume of the Printing
Agreement over the course of its term is estimated at
approximately US$100,000,000.

The Printing Agreement expands and extends a critically
important relationship with Local Insight, and  will provide
QWUSA with substantial revenue and earnings, Mr. Canning told
the Court.  He adds that the Printing Agreement contains terms,
which are fair and reasonable in the industry.  He further tells
the Court that the Printing Agreement provides for QWUSA to
undertake new work for Local Insight that is not being produced
under the present contracts.

The terms of the Printing Agreement are confidential; however,
Mr. Manning said the Debtors will make it available on a
confidential basis to the Official Committee of Unsecured
Creditors, the Ad-Hoc Group of Noteholders, and the
Administrative Agent for the Debtors' Prepetition Lenders, and
the Court.

"We are pleased to expand the scope of our printing relationship
with Quebecor World," said Scott Pomeroy, President and CEO of
Local Insight Media.  "In addition to meeting our growing need
for high-quality printed directories across a geographically
diverse footprint, this agreement will enable us to realize
significant operational efficiencies and enhance our
competitiveness."

"Local Insight Media is an innovative directory publisher with a
broad geographic footprint that demands multi-plant
manufacturing and places a high premium on cycle time," said
Jacques Mallette, President and CEO Quebecor World Inc.  "At
Quebecor World, we are pleased to commit to meeting Local
Insight Media's needs and supporting their growth in all their
markets for many years to come."

Kevin J. Clarke, President of the Quebecor World Publishing
Services Group commented, "Local Insight Media and Quebecor
World share a history of success, beginning with our
relationship with their CBD Media directories business.  We are
delighted that they have chosen to significantly grow their
business with us.  We are committed to continuing to deliver
superior products and service to Local Insight Media in the
years ahead."

                     About Local Insight Media

Local Insight Media Holdings, Inc. --
http://www.localinsightmedia.com/-- provides lead-generating
directory and local search solutions for 370,000 businesses in
the U.S. and the Caribbean.  Through its operating subsidiaries
and affiliated companies, Local Insight Media owns and operates
seven yellow pages and local search companies, including The
Berry Company LLC, which it acquired in April 2008.  Now the
fifth largest directory publisher in the United States, Local
Insight Media provides print and online directories in 42
states, Puerto Rico and the Dominican Republic, generating more
than US$700 million in pro forma annual revenue.  It is also the
largest provider of outsourced directory services to incumbent
telephone companies in the United States.

Local Insight Media is a portfolio company of Welsh, Carson,
Anderson & Stowe ("WCAS"), which is one of the largest and most
successful private equity investment firms in the United States.
Since its founding in 1979, WCAS has organized 14 limited
partnerships with total capital of over US$16 billion.

                       About Quebecor World

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

The company has operations in Mexico, Brazil, Colombia, Chile,
Peru, Argentina and the British Virgin Islands.

Quebecor World and 53 of its subsidiaries, including those in
Canada, filed a petition under the Companies' Creditors
Arrangement Act before the Superior Court of Quebec, Commercial
Division, in Montreal, Canada, on Jan. 20, 2008.  The Honorable
Justice Robert Mongeon oversees the CCAA case.  Francois-David
Pare, Esq., at Ogilvy Renault, LLP, represents the Company in
the CCAA case.  Ernst & Young Inc. was appointed as Monitor.

On Jan. 21, 2008, Quebecor World (USA) Inc., its U.S.
subsidiary, along with other U.S. affiliates, filed for chapter
11 bankruptcy on Jan. 21, 2008 (Bankr. S.D.N.Y Lead Case No. 08-
10152).  Anthony D. Boccanfuso, Esq., at Arnold & Porter LLP
represents the Debtors in their restructuring efforts.   The
Official Committee of Unsecured Creditors is represented by Akin
Gump Strauss Hauer & Feld LLP.

Based in Corby, Northamptonshire, Quebecor World PLC --
http://www.quebecorworldplc.com/-- is the U.K. subsidiary of
Quebecor World Inc. that specializes in web offset magazines,
catalogues and specialty print products for marketing and
advertising campaigns.  The company employs around 290 people.
Quebecor PLC was placed into administration with Ian Best and
David Duggins of Ernst & Young LLP appointed as joint
administrators effective Jan. 28, 2008.

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

The Debtors have until Sept. 30, 2008, to file a plan of
reorganization in the chapter 11 case.  The Debtors' CCAA stay
has been extended to Sept. 30, 2008.  (Quebecor World Bankruptcy
News, Issue No. 23; Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000).


QUEBECOR WORLD: Wants to Engage Watson Wyatt as Actuary
-------------------------------------------------------
Quebecor World Inc. and its debtor-affiliates sought the
authority of the U.S. Bankruptcy Court for the Southern District
of New York to employ Watson Wyatt & Company, nunc pro tunc to
Aug. 1, 2008, to provide actuarial and other consulting services
for their pension and health and welfare plans, and human
resources consulting services.

Before the bankruptcy filing, Watson Wyatt, through its
affiliate Watson Wyatt Canada, ULC, was engaged by the Debtors.
Watson Wyatt has continued to provide postpetition services to
the Debtors as an ordinary course professional.  Recently,
Watson Wyatt has exceeded the US$50,000 OCP Limit, and
anticipates that it will also  exceed the OCP Limit for July
2008.  Watson Wyatt further expects that it will exceed the
aggregate OCP Limit of US$500,000 over the course of the
Debtors' Chapter 11 cases.

Accordingly, the Debtors now seek to employ Watson & Wyatt as a
retained professional in their Chapter 11 Cases pursuant to
Sections 327(a) and 328(a) of the Bankruptcy Code.

As Pension and Benefits Consultants, Watson Wyatt will provide
consulting services needed in connection with:

   (a) ongoing group and healthcare consulting support;
   (b) FAS 106 valuation consulting;
   (c) post-retirement benefit consulting;
   (d) SERP and restoration plan consulting;
   (e) FAS 87 valuation consulting; and
   (d) non-trust retirement consulting.

The Debtors will pay Watson Wyatt according to its customary
hourly rates are:

   Professional                                Hourly Rate
   ------------                                -----------
   Account Management/Senior Consultant        US$500 - US$625
   Consultant                                  US$320 - US$500
   Analyst and Senior Analyst                  US$195 - US$320
   Support Personnel                           US$140 - US$195

The Debtors will also reimburse Watson Wyatt for expenses
incurred in connection with providing professional services to
the Debtors.

David D. Burke, a retirement practice director at Watson Wyatt,
assures the Court that his firm is a "disinterested person," as
that term is defined in Section 101(14), as modified by Section
1107(b).

Mr. Burke disclosed that Watson Wyatt incurred US$450,000 in
fees in connection with prepetition services it provided to the
Debtors.  He adds that Watson Wyatt received US$81,500 from the
Debtors in the ordinary course of business during the 90-day
period before the Petition Date.  Watson Wyatt agreed that if
its retention is approved, it will waive all of its prepetition
claims totaling US$310,000.

                       About Quebecor World

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

The company has operations in Mexico, Brazil, Colombia, Chile,
Peru, Argentina and the British Virgin Islands.

Quebecor World and 53 of its subsidiaries, including those in
Canada, filed a petition under the Companies' Creditors
Arrangement Act before the Superior Court of Quebec, Commercial
Division, in Montreal, Canada, on Jan. 20, 2008.  The Honorable
Justice Robert Mongeon oversees the CCAA case.  Francois-David
Pare, Esq., at Ogilvy Renault, LLP, represents the Company in
the CCAA case.  Ernst & Young Inc. was appointed as Monitor.

On Jan. 21, 2008, Quebecor World (USA) Inc., its U.S.
subsidiary, along with other U.S. affiliates, filed for chapter
11 bankruptcy on Jan. 21, 2008 (Bankr. S.D.N.Y Lead Case No. 08-
10152).  Anthony D. Boccanfuso, Esq., at Arnold & Porter LLP
represents the Debtors in their restructuring efforts.   The
Official Committee of Unsecured Creditors is represented by Akin
Gump Strauss Hauer & Feld LLP.

Based in Corby, Northamptonshire, Quebecor World PLC --
http://www.quebecorworldplc.com/-- is the U.K. subsidiary of
Quebecor World Inc. that specializes in web offset magazines,
catalogues and specialty print products for marketing and
advertising campaigns.  The company employs around 290 people.
Quebecor PLC was placed into administration with Ian Best and
David Duggins of Ernst & Young LLP appointed as joint
administrators effective Jan. 28, 2008.

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

The Debtors have until Sept. 30, 2008, to file a plan of
reorganization in the chapter 11 case.  The Debtors' CCAA stay
has been extended to Sept. 30, 2008.  (Quebecor World Bankruptcy
News, Issue No. 23; Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000).


QUEBECOR WORLD: Resolves Sharper Image's US$3.8 Million Claim
-----------------------------------------------------------
Quebecor World (USA) Inc., and TSIC, Inc., formerly Sharper
Image Corporation, are parties to an amended and restated
printing agreement, dated Jan. 5, 2007.

Under the Printing Agreement, QWUSA asserts a US$3,800,000 claim
against TSIC on account of certain printing services it provided
to TSIC.  QWUSA argues that its Claim is secured by a valid,
binding, enforceable and duly perfected lien on, and security
interest in certain paper that is currently in its possession.

TSIC disputes that QWUSA's Lien is valid, perfected and
enforceable and asserts that the QWUSA Lien may be a voidable
transfer under the Bankruptcy Code and that TSIC has a priority
security interest in the Paper.

TSIC wishes to sell the Paper to a third-party for a purchase
price of US$460,000 and has requested QWUSA's consent to the
Sale of the Paper free and clear of any liens, claims,
encumbrances.

To effectuate the Sale of the Paper in an expeditious manner and
resolve the disputes relating to the Parties' rights, claims and
interests in the Paper on a consensual basis, the Parties have
agreed to divide the proceeds of the Sale.

The parties agreed that:

   (a) QWUSA will consent to the Sale of the Paper by TSIC free
       and clear of any liens, claims, encumbrances or other
       rights to or claims against the Paper that QWUSA asserts
       now or may assert in the future;

   (b) upon consummation of the Sale of the Paper, the gross
       Proceeds of the Sale will be divided between the Parties,
       with QWUSA to receive 80% of the gross Proceeds and TSIC
       to receive 20% of the gross Proceeds;

   (c) upon consummation of the Sale of the Paper and QWUSA's
       receipt of QWUSA's Share, QWUSA will satisfy a brokerage
       commission of 3% of the Purchase Price totaling US$13,802
       due to Go2Paper, the auctioneer used by TSIC in
        connection with the Sale, with the Commission payable
        from QWUSA's Share;

   (e) QWUSA agrees not to charge any fee to either TSIC or the
       Third-Party Purchaser for QWUSA's handling of the Paper;
       and

   (d) the amount of the QWUSA Claim will be reduced by the
       amount of QWUSA's Share net payment of the Commission.

QWUSA, accordingly, asked the U.S. Bankruptcy Court for the
Southern District of New York  to approve the stipulation.

                      About Sharper Image

Based in San Francisco, California, Sharper Image Corp. --
http://www.sharperimage.com/-- is a multi-channel specialty
retailer.  It operates in three principal selling channels: the
Sharper Image specialty stores throughout the U.S., the Sharper
Image catalog and the Internet.  The company has operations in
Australia, Brazil and Mexico.  In addition, through its Brand
Licensing Division, it is also licensing the Sharper Image brand
to select third parties to allow them to sell Sharper Image
branded products in other channels of distribution.

The company filed for Chapter 11 protection on Feb. 19, 2008
(Bankr. D.D., Case No. 08-10322).  Judge Kevin Gross presides
over the case.  Harvey R. Miller, Esq., Lori R. Fife, Esq., and
Christopher J. Marcus, Esq., at Weil, Gotshal & Manges, LLP,
serve as the Debtor's lead counsel.  Steven K. Kortanek, Esq.,
and John H. Strock, Esq., at Womble, Carlyle, Sandridge & Rice,
P.L.L.C., serve as the Debtor's local Delaware counsel.

An Official Committee of UnsecuredCreditors has been appointed
in the case.  Cooley Godward Kronish LLP is the Committee's lead
bankruptcy counsel.  Whiteford Taylor Preston LLC is the
Committee's Delaware counsel.

When the Debtor filed for bankruptcy, it listed total assets of
US$251,500,000 and total debts of US$199,000,000.  As of June
30, 2008, the Debtor listed US$52,962,174 in total assets and
US$39,302,455 in total debts.

The Court extended the exclusive period during which the Debtor
may file a Plan through and including Sept. 16, 2008.  Sharper
Image sought and obtained the Court's approval to change its
name to "TSIC, Inc." in relation to an an Asset Purchase
Agreement by the Debtor with Gordon Brothers Retail Partners,
LLC, GB Brands, LLC, Hilco Merchant Resources, LLC, and Hilco
Consumer Capital, LLC.

                       About Quebecor World

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

The company has operations in Mexico, Brazil, Colombia, Chile,
Peru, Argentina and the British Virgin Islands.

Quebecor World and 53 of its subsidiaries, including those in
Canada, filed a petition under the Companies' Creditors
Arrangement Act before the Superior Court of Quebec, Commercial
Division, in Montreal, Canada, on Jan. 20, 2008.  The Honorable
Justice Robert Mongeon oversees the CCAA case.  Francois-David
Pare, Esq., at Ogilvy Renault, LLP, represents the Company in
the CCAA case.  Ernst & Young Inc. was appointed as Monitor.

On Jan. 21, 2008, Quebecor World (USA) Inc., its U.S.
subsidiary, along with other U.S. affiliates, filed for chapter
11 bankruptcy on Jan. 21, 2008 (Bankr. S.D.N.Y Lead Case No. 08-
10152).  Anthony D. Boccanfuso, Esq., at Arnold & Porter LLP
represents the Debtors in their restructuring efforts.   The
Official Committee of Unsecured Creditors is represented by Akin
Gump Strauss Hauer & Feld LLP.

Based in Corby, Northamptonshire, Quebecor World PLC --
http://www.quebecorworldplc.com/-- is the U.K. subsidiary of
Quebecor World Inc. that specializes in web offset magazines,
catalogues and specialty print products for marketing and
advertising campaigns.  The company employs around 290 people.
Quebecor PLC was placed into administration with Ian Best and
David Duggins of Ernst & Young LLP appointed as joint
administrators effective Jan. 28, 2008.

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

The Debtors have until Sept. 30, 2008, to file a plan of
reorganization in the chapter 11 case.  The Debtors' CCAA stay
has been extended to Sept. 30, 2008.  (Quebecor World Bankruptcy
News, Issue No. 23; Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000).


QUEBECOR WORLD: To Sell Ontario Lot to Broccolini for C$3.35MM
--------------------------------------------------------------
Ernst & Young, Inc., the Court-appointed monitor of Quebecor
World Inc., and its affiliates' reorganization proceedings under
the Canadian Companies' Creditors Arrangement Act, reported that
QWI intends to sell a parcel of real property located at 975
Gladstone Avenue, in Ottawa, Ontario, to Broccolini Construction
(Ontario), Inc., for C$3,350,000.

The Applicants have sought and obtained the Canadian Court's
permission to sell the property.

According to E&Y, there is extensive underground environmental
contamination as well as interior asbestos insulation at the
Ottawa Property.  The underground contamination is currently
encroaching upon an adjoining public property with an unknown
extent of off-site contamination.  Partial demolition is
required to remediate the building.  Presently, the Applicants
spend C$50,000 annually on a program that monitors and prevents
further migration of the contamination.

QWI has marketed the Ottawa Property for sale through a real
estate broker, Colliers Macaulay Nicolls (Ontario) Inc., since
January 2005.  During the sale and marketing process, QWI
received offers from different parties but none of the proposed
sales closed given the environmental contamination of the Ottawa
Property and the difficulty encountered by potential purchasers
in obtaining financing.  In December 2007, Broccolini presented
QWI with an offer to purchase the Ottawa Property.  After
extensive negotiations, the parties entered into a purchase and
sale agreement on Feb. 22, 2008, which was subsequently
amended on April 22, 2008, and July 9, 2008.

A full-text copy of the Broccolini Sale Agreement is available
for free at http://ResearchArchives.com/t/s?303f

The major terms and conditions of the Ottawa Sale Agreement are:

   (a) QWI and Broccolini initially agreed to a purchase price
       of C$3,500,000 with QWI retaining liability for any off
       site environmental contamination.  Following further
       negotiations, Broccolini subsequently agreed to assume
       all environmental liabilities in consideration for a
       C$150,000 reduction in the purchase price.

   (b) QWI contemplated to pay a C$100,000 breakage fee to
       Broccolini in the event that a Court approval and vesting
       order is not obtained.

   (c) The Ottawa Property is being sold on an "as is, where is"
       basis.

   (d) The sale will close on Aug. 18, 2008.

QWI estimates that its closing costs, including legal and broker
fees, will total approximately C$200,000.

E&Y said the the sale will allow QWI to divest of a non-core and
redundant asset and mitigate the Applicants' exposure to the
environmental liabilities associated with the Ottawa Property.

                       About Quebecor World

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

The company has operations in Mexico, Brazil, Colombia, Chile,
Peru, Argentina and the British Virgin Islands.

Quebecor World and 53 of its subsidiaries, including those in
Canada, filed a petition under the Companies' Creditors
Arrangement Act before the Superior Court of Quebec, Commercial
Division, in Montreal, Canada, on Jan. 20, 2008.  The Honorable
Justice Robert Mongeon oversees the CCAA case.  Francois-David
Pare, Esq., at Ogilvy Renault, LLP, represents the Company in
the CCAA case.  Ernst & Young Inc. was appointed as Monitor.

On Jan. 21, 2008, Quebecor World (USA) Inc., its U.S.
subsidiary, along with other U.S. affiliates, filed for chapter
11 bankruptcy on Jan. 21, 2008 (Bankr. S.D.N.Y Lead Case No. 08-
10152).  Anthony D. Boccanfuso, Esq., at Arnold & Porter LLP
represents the Debtors in their restructuring efforts.   The
Official Committee of Unsecured Creditors is represented by Akin
Gump Strauss Hauer & Feld LLP.

Based in Corby, Northamptonshire, Quebecor World PLC --
http://www.quebecorworldplc.com/-- is the U.K. subsidiary of
Quebecor World Inc. that specializes in web offset magazines,
catalogues and specialty print products for marketing and
advertising campaigns.  The company employs around 290 people.
Quebecor PLC was placed into administration with Ian Best and
David Duggins of Ernst & Young LLP appointed as joint
administrators effective Jan. 28, 2008.

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

The Debtors have until Sept. 30, 2008, to file a plan of
reorganization in the chapter 11 case.  The Debtors' CCAA stay
has been extended to Sept. 30, 2008.  (Quebecor World Bankruptcy
News, Issue No. 23; Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000).


QUEBECOR WORLD: Trade Creditors Sell 32 Claims Worth US$17.5 Mln
----------------------------------------------------------------
In July 2008, the Clerk of the U.S. Bankruptcy Court for the
Southern District of New York recorded 32 claim transfers
totaling US$17,476,366 in the bankruptcy case of Quebecor World
Inc.
and its debtor-affiliates:

   (a) Sierra Liquidity Fund, LLC

       Transferor                               Claim Amount
       ----------                               ------------
       Yale Kentuckiana, Inc.                    US$59,954
       BE Equipment, Inc.                           20,778
       Indoor Environment Services                  19,496
       Hilton Fort Collins                          10,299
       Madesafe                                      6,048
       Culligan of Dixon                             4,927
       Prime Trailer Leasing                         3,293
       Orion Registrars, Inc.                        3,625
       Nixco Plumbing, Inc.                          3,607
       Professional Print & Mail, Inc.               2,731
       Rochester Midland Corp                        1,369
       Barcom, Inc.                                  1,302
       Gilson Graphics                               1,158

   (b) Riverside Claims LLC

       Transferor                               Claim Amount
       ----------                               ------------
       Yankee Pallet Products, Inc.             US$105,730
       SDS Transportation                           16,775
       SAV Express                                   6,800
       Coast to Coast Express                        6,500
       Culligan of Dixon                             4,927
       Fine Transport Inc.                           2,750
       Gregory Logistics, Inc.                       1,975
       Knudsen Logistics, Inc.                       1,325

   (c) Bank of America, NA

       Transferor                               Claim Amount
       ----------                               ------------
       American Home Assurance Company         US$4,228,412
       National Union Fire Insurance Company      2,086,888
       Air Stamping, Inc.                           110,543
       WESCO Distribution Corp.                      68,409

   (d) Hain Capital Holdings, Ltd.

       Transferor                               Claim Amount
       ----------                               ------------
       Catalyst Paper (USA) Inc.               US$3,040,214
       Central National-Gottesam (USA) Inc.       1,407,278

   (e) Debt Acquisition Company of America V, LLC

       Transferor                               Claim Amount
       ----------                               ------------
       Computer Component Repair Service             US$914
       Western Tool Supply                              599

   (f) Merrill Lynch Credit Products LLC

       Transferor                               Claim Amount
       ----------                               ------------
       Blue Heron Paper Company                  US$1,327,168

   (g) CCP Credit Acquisition Holdings

       Transferor                               Claim Amount
       ----------                               ------------
       Deutsche Bank Securities Inc.             US$4,339,174

   (h) Hain Capital Holdings, Ltd.

       Transferor                               Claim Amount
       ----------                               ------------
       Fortran Graphics, Inc.                      US$252,118

                       About Quebecor World

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

The company has operations in Mexico, Brazil, Colombia, Chile,
Peru, Argentina and the British Virgin Islands.

Quebecor World and 53 of its subsidiaries, including those in
Canada, filed a petition under the Companies' Creditors
Arrangement Act before the Superior Court of Quebec, Commercial
Division, in Montreal, Canada, on Jan. 20, 2008.  The Honorable
Justice Robert Mongeon oversees the CCAA case.  Francois-David
Pare, Esq., at Ogilvy Renault, LLP, represents the Company in
the CCAA case.  Ernst & Young Inc. was appointed as Monitor.

On Jan. 21, 2008, Quebecor World (USA) Inc., its U.S.
subsidiary, along with other U.S. affiliates, filed for chapter
11 bankruptcy on Jan. 21, 2008 (Bankr. S.D.N.Y Lead Case No. 08-
10152).  Anthony D. Boccanfuso, Esq., at Arnold & Porter LLP
represents the Debtors in their restructuring efforts.   The
Official Committee of Unsecured Creditors is represented by Akin
Gump Strauss Hauer & Feld LLP.

Based in Corby, Northamptonshire, Quebecor World PLC --
http://www.quebecorworldplc.com/-- is the U.K. subsidiary of
Quebecor World Inc. that specializes in web offset magazines,
catalogues and specialty print products for marketing and
advertising campaigns.  The company employs around 290 people.
Quebecor PLC was placed into administration with Ian Best and
David Duggins of Ernst & Young LLP appointed as joint
administrators effective Jan. 28, 2008.

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

The Debtors have until Sept. 30, 2008, to file a plan of
reorganization in the chapter 11 case.  The Debtors' CCAA stay
has been extended to Sept. 30, 2008.  (Quebecor World Bankruptcy
News, Issue No. 23; Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000).


WHIZZGO LTD: Taps Joint Administrators from KPMG
------------------------------------------------
Howard Smith and Richard Dixon Fleming of KPMG LLP were
appointed joint administrators of Whizzgo Ltd. (Company Number
04753989) on Aug. 4, 2008.

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

The company can be reached at:

         Whizzgo Ltd.
         c/o KPMG LLP
         1 The Embankment
         Neville Street
         Leeds
         LS1 4DW
         England


WRAPIT PLC: Directors Fail to Find Buyer; KPMG Reviews Options
--------------------------------------------------------------
Following their appointment on Aug. 4, 2008, the administrators
to Wrapit plc, Jane Moriarty and Myles Halley of KPMG
Restructuring, have been reviewing all the options for the
business.

The administrators confirmed that the business has ceased
trading and that 55 of the 73 staff have been made redundant.
This follows unsuccessful attempts by the directors to find a
buyer for the business.

The remaining staff will be retained for a short period to
ensure that couples who have stock allocated to them in the
warehouse will receive some of their gifts.

In addition, the company and administrators will continue to
operate the helpline for the time being to deal with queries
from couples, the majority of whom will not now receive any of
their gifts.

The administrators encourage couples and guests to make their
claim, in writing, for any gifts that have not been received to
the following address:

         The Administrator
         Wrapit plc
         c/o KPMG LLP
         8 Salisbury Square
         London
         EC4Y 8BB

Mr. Halley said: "A full report on the progress of the
administration will be available within the next eight weeks.
This will include the results of our preliminary investigation
into the reasons for the company's failure as well as the
prospects for the unsecured creditors.  However, at this stage,
we do not consider funds will be available for distribution to
unsecured creditors."

Further information is available at wrapit.com and on the 0844
770 1301 helpline.

A Troubled Company Reporter-Europe report on Aug. 6, 2008,
Wrapit, an online wedding list service, has been struggling
for some time and recently encountered severe financial
difficulties.


* European CMBS Markets Deteriorates Further in 2008, S&P Says
--------------------------------------------------------------
During the first half of 2008, European commercial mortgage-
backed securities (CMBS) market performance deteriorated
further, according to the European CMBS Performance Review H1
2008 report published by Standard & Poor's Ratings Services.

Since the H2 2007 European CMBS performance review was published
in January 2008, a combination of capital market difficulties
and underlying commercial real estate market weaknesses has
continued to create very tough conditions for the European CMBS
market.

During that time S&P has seen loan performance deteriorate, some
loans go into special servicing, and certain structural features
exacerbate strains on some transactions.

For the first time in this European asset class, downgrades have
exceeded upgrades and some loans that have underperformed have
been transferred into special servicing.  However, it is worth
noting that the number of loans that defaulted and were
transferred into special servicing is still very low.  These
loans account for only 0.1% of the total loan balance
outstanding in European CMBS.


* S&P Says European Credit Card Markets Down in 2nd Quarter 2008
----------------------------------------------------------------
The overall performance of the European credit card market
continued to deteriorate in the second quarter of 2008, after
steady performance in the second half of 2007, according to
Standard & Poor's Ratings Services' latest European credit card
index report.

This is due partly to the downturn in the U.K. economy and the
rise in charge-offs.  S&P's charge-off index worsened again in
June 2008, climbing to 6.90% from 6.62% in March 2008.

S&P's delinquency index remained stable in second quarter 2008
at 5.88%.  However, due to borrower over-indebtedness and
stricter lending criteria from the originators, card holders
will find it harder to source credit and service existing
obligations.

The average excess spread levels in some series have fallen to
below the respective trigger level, and cash has started to be
trapped in the relevant spread accounts.


* BOOK REVIEW: Rupert Murdoch: Creator of a Worldwide Media
-----------------------------------------------------------
Author:     Jerome Tuccille
Publisher:  Beard Books
Hardcover:  324 pages
List Price: US$34.95

Own your personal copy at
http://amazon.com/exec/obidos/ASIN/1587982242/internetbankrupt

This book is a multi-faceted biography of the most innovative
figure of the information age, Rupert Murdoch, who had
established the most far-reaching communications empire in
existence when this book was first published in 1989.

Through interviews with numerous sources both inside and outside
the Murdoch organization, including a rare interview with
Murdoch himself, Jerome Tuccille reveals little-known facts
about the man behind the public figure.

What emerges from Rupert Murdoch is a complete and balanced
picture of the man and his achievements - at once a fascinating
three-dimensional portrait of the individual and a detailed
account of his amazing financial triumphs.


                            *********

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.  Zora Jayda Zerrudo Sala, Pius Xerxes Tovilla, Joy
Agravante, Julybien Atadero, Marie Therese Profetana and Peter
A. Chapman, Editors.

Copyright 2008.  All rights reserved.  ISSN 1529-2754.

This material is copyrighted and any commercial use, resale or
publication in any form (including e-mail forwarding, electronic
re-mailing and photocopying) is strictly prohibited without
prior written permission of the publishers.

Information contained herein is obtained from sources believed
to be reliable, but is not guaranteed.

The TCR Europe subscription rate is US$625 per half-year,
delivered via e-mail.  Additional e-mail subscriptions for
members of the same firm for the term of the initial
subscription or balance thereof are US$25 each. For subscription
information, contact Christopher Beard at 240/629-3300.


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