/raid1/www/Hosts/bankrupt/TCR_Public/071013.mbx          T R O U B L E D   C O M P A N Y   R E P O R T E R

           Saturday, October 13, 2007, Vol. 11, No. 243

                             Headlines

AEGIS MORTGAGE: Posts $31,993,322 Net Loss in Month Ended Aug. 31
AMERICAN HOME: AHM Corp. Files Schedules of Assets and Debts
AMERICAN HOME: AHM Holdings Files Schedules of Assets and Debts
AMERICAN HOME: Files Schedules of Assets and Liabilities
DANA CORPORATION: Posts $103,000,000 Net Loss in August 2007

INTERSTATE BAKERIES: Posts $13,388,355 Net Loss in August 2007
SEA CONTAINERS: Earns $11,158,734 in Month Ended August 31
SOLUTIA INC: Incurs $9,000,000 Net Loss in Month Ended August 31
THAXTON GROUP: Files Monthly Operating Report for August 2007

                             *********

AEGIS MORTGAGE: Posts $31,993,322 Net Loss in Month Ended Aug. 31
-----------------------------------------------------------------

                Aegis Mortgage Corporation, et al.
                    Consolidated Balance Sheet

                       As of August 31, 2007
                                                               
Unrestricted Cash & Equivalents                     $10,625,132
Restricted Cash and Equivalents                      19,323,977
                                                 --------------
  Total Cash and Cash Equivalents                    29,949,109
                                                               
                                                               
Prime loans                                          13,808,237
Nonconforming Loans                                  14,630,259
Loan Premium, net                                     2,219,404
Repurchased Loans                                    28,760,838
Loan Loss Reserve                                   (63,943,370)
                                                 --------------
  Mortgage Loans Held for Sale                       (4,524,632)
                                                               
                                                               
ABS Nonconforming                                 3,885,471,929
ABS Loan Premium, net                               (19,273,212)
ABS Loan Loss Reserve                              (181,454,514)
                                                 --------------
  Mortgage Loans Held for Investment              3,684,744,203
                                                               
Accrued Interest - Loans Held for Sale                        -
Accrued Int. - Loans Held for Investment             26,252,626
                                                 --------------
Accrued Interest Receivable                          26,252,626
                                                               
Mortgage Servicing Rights                                     -
Property and Equipment, net                          10,969,126
Deferred Income Taxes                               128,495,450
Goodwill                                                      -
Prepaid Rent and Deposits                             1,877,413
Derivative Assets                                    13,529,767
Receivable for Advances                              43,166,604
Servicer Related                                        883,888
Other Assets                                        641,891,872
Intercompany Receivable                                       -
                                                 --------------
TOTAL ASSETS                                     $4,557,235,427
                                                 ==============

Liabilities                                                    
                                                               
N/P Warehouse - Prime                               540,186,233
N/p Warehouse - Nonconforming                        25,222,476
N/P Warehouse - Other                                65,595,628
N/P Warehouse - Repurchased                          11,933,754
                                                 --------------
Revolving Warehouse and                                        
  Repurchase Facilities                             642,938,091
                                                               
Bonds Payable                                     3,705,880,154
NAS IO Bonds Payable                                 20,700,000
NIM Bonds Payable                                    58,777,826
Bond Premium, net                                   (12,836,147)
                                                 --------------
  Bond Financing on Mortgage                                   
  Loans Held for Investment                       3,772,521,833
                                                               
  Subordinated Debt                                 177,156,872
  Accrued Interest Payable                            6,137,557
  Accounts Payable and                                         
   Accrued Expenses                                  31,304,808
  Notes Payable-Other                                         -
  Postpetition Liabilities                               97,412
                                                 --------------
Total Liabilities                                 4,630,156,572
                                                               
Common Stock                                             97,386
Preferred Stock                                         104,000
Other Comprehensive Income                           (3,297,655)
Paid in Capital                                      50,959,490
Distributions                                                 -
Treasury Stock                                          (32,500)
Dividends                                            91,041,942
Retained Earnings                                             -
Current Net Income Prepetition                     (147,171,105)
Current Net Income                                  (44,622,704)
                                                 --------------
Total Equity                                        (52,921,146)
                                                 --------------
TOTAL LIABILITIES & EQUITY                       $4,557,235,427
                                                 ==============
                                                               
                Aegis Mortgage Corporation, et al.
                  Consolidated Income Statement
                      August 13 to 31, 2007

Loans Held for Sale                                            
  Interest Income                                      $670,331
  Interest Expense                                         (498)
  Servicing Expense                                      (1,654)
                                                 --------------
  Net Interest Income                                   668,179
                                                               
Loans Held for Investment                                      
  Interest Income                                    30,603,350
  Interest Expense                                  (18,226,090)
  Servicing Expense                                  (1,716,566)
                                                 --------------
  Net Interest Income                                10,660,694
                                                               
Gains on Sale                                                 -
Premiums Paid                                                 -
Loan Points                                                   -
Loan Origination Fees                                     1,050
Broker Fees Received                                          -
                                                 --------------
  Production Income                                       1,050
                                                               
Servicing and Prepayment Income                         789,470
Late Charges                                             52,194
                                                 --------------
  Total Servicing Fees                                  841,664
                                                               
Other income                                           (626,894)
                                                 --------------
Total Revenue                                        11,544,693
                                                               
Salaries                                              2,320,898
Bonuses                                                  86,191
Commissions                                                   -
Employee Benefits                                         8,945
Payroll Taxes                                           145,343
Meetings & Travel                                         9,730
Meals & Entertainment                                     1,120
                                                 --------------
  Total Personnel Expenses                            2,572,226
                                                               
Rent                                                    361,496
Telephone                                                43,044
Office Supplies                                           4,023
Shipping & Postage                                       18,378
Equipment                                               153,419
                                                 --------------
  Total Office Expenses                                 580,360
                                                               
Professional expense                                         11
Marketing                                                  (912)
Loan Related Expenses                                    73,182
Banking                                                      45
Other Taxes/Licenses/Fees                                  (250)
Other Expenses                                           27,430
                                                 --------------
  Total Other Expenses                                   99,506
                                                               
  Direct Operating Expense                            3,252,092
  Direct Operating Income                             8,292,601
                                                               
Loan Loss Provision                                  59,749,285
Deferred SFAS 91 Expenses                                     -
Sub Debt Expense                                              -
Depreciation Expense                                    564,978
Amortization                                                  -
Direct Allocation to Subs                                     -
Allocation Between Subs                                       -
                                                 --------------
  Indirect Operating Expense                         60,314,263
                                                 --------------
Total Expenses                                       63,566,354
                                                               
Income (Loss) Before Taxes                          (52,021,662)
                                                               
Federal and State Income Taxes                      (20,028,340)
                                                 --------------
Net Income (Loss)                                  ($31,993,322)
                                                 ==============

A full-text copy of the Debtors' MOR is available at no charge at

              http://researcharchives.com/t/s?2436

                       About Aegis Mortgage

Headquartered in Houston, Texas, Aegis Mortgage Corporation --
http://www.aegismtg.com/-- offers a variety of mortgage loan    
products to brokers through its subsidiaries.

The company together with 10 affiliates filed for chapter 11
protection on Aug. 13, 2007 (Bankr. D. Del. Case No. 07-11119)
Curtis A. Hehn, Esq., James E. O'Neill, Esq., Laura Davis Jones,
Esq., and Timothy P. Cairns, Esq., at Pachulski, Stang, Ziehl, &
Jones, L.L.P., serve as counsel to the Debtors.  When the Debtors
filed for bankruptcy, they listed assets and debts of more than
$100 million.

The Debtors' exclusive period to file a plan expires on
Dec. 11, 2007.  Aegis Bankruptcy News, Issue No. 8, Bankruptcy
Creditors' Service, Inc., http://bankrupt.com/newsstand/          
or 215/945-7000).


AMERICAN HOME: AHM Corp. Files Schedules of Assets and Debts
------------------------------------------------------------
American Home Mortgage Corp. submitted to the U.S. Bankruptcy
Court for the District of Delaware its schedules of assets and
liabilities, disclosing:

A - Real Property                                    $38,454,462

B - Personal Property
B.1   Cash on Hand                                             0
B.2   Bank Accounts
         Bank of America                                  74,175
         Bank of New York                                476,663
         JP Morgan Chase                               9,597,751
         Deutsche Bank                                 5,601,306
         Northfolk Bank                                1,110,953

B.3   Security Deposits
         Landlord Deposit                              2,991,561

B.4   Household goods                                          0
B.5   Book, artwork and collectibles                           0
B.6   Wearing apparel                                          0
B.7   Furs and jewelry                                         0
B.8   Firearms and other equipment                             0
B.9   Insurance Policies                                       0
B.10  Annuities                                                0
B.11  Interests in an education IRA                            0
B.12  Interests in pension plans 401(k) Plan                   0
B.13  Stock and Interests
              100 % interest in AHMSP VIII          Undetermined
              100 % interest in American Home E     Undetermined
              100 % interest in Broadhollow Fun     Undetermined
              100 % interest in Great Oak           Undetermined
              100 % interest in Homegate            Undetermined
              100 % interest in Melville Reinsu     Undetermined

B.14  Interests in partnerships or joint ventures
         50% interest in Mortgage First Limited     Undetermined
         50% interest in Array Mortgage             Undetermined
         50% interest in American Midwest           Undetermined

B.15  Government and corporate bonds                           0
B.16  Accounts Receivable
         Inter-company AHM Acceptance, Inc.          343,172,287
         Others                                       63,634,705

B.17  Alimony                                                  0
B.18  Other Liquidated Debts Owing Debtor                      0
B.19  Equitable or future interests                            0
B.20  Interests in estate death benefit plan                   0
B.21  Other Contingent and Unliquidated Claims
         Litigation                                 Undetermined
         Tax refund                                      787,096

B.22  Patents, copyrights, and others                          0
B.23  Licenses, franchises & other intangibles      Undetermined
B.24  Customer lists or other compilations          Undetermined
B.25  Vehicles                                            17,816
B.26  Boats, motors and accessories                            0
B.27  Aircraft and accessories                                 0
B.28  Office Equipment                                48,206,208
B.29  Equipment and Supplies for Business                      0
B.30  Inventory                                                0
B.31  Animals                                                  0
B.32  Crops                                                    0
B.33  Farming equipment and implements                         0
B.34  Farm supplies, chemicals, and feed                       0
B.35  Other Personal Property
         Mortgage Servicing Rights                   559,047,782
         Loans for sale – encumbered               2,405,756,085
         Loans for sale – unencumbered               169,514,748
         Derivative assets                               982,678
         Prepaid expenses                                396,600
         Residual interest                               Unknown

       TOTAL SCHEDULED ASSETS                     $3,649,822,877
       =========================================================

C - Property Claimed                                          $0

D - Creditors Holding
       ABN AMRO Bank N.V.                            136,423,174
       Bank of America, N.A.                         625,990,951
       Bear Sterns Mortgage Capital                  116,430,424
       Calyon New York Branch                      1,155,752,443
       Citigroup                                     140,255,912
       Credit Suisse First Boston Mortgage            29,660,346
       Greenwich Capital Financial                   292,796,700
       IXIS Real Estate Capital                       11,134,799
       JP Morgan Chase Bank, N.A.                    161,160,514
       Liquid Funding, Ltd.                                    0
       Park National Bank                                930,536
       Societe Generale                              311,571,799
       U.S. Bank, N.A.                                         0

E - Creditors Holding Unsecured Priority Claims
       Taxes, advanced fees and employee claims       23,470,217

F - Creditors Holding Unsecured Nonpriority Claims
       AP Vendor, litigation and employee claim    1,628,000,107

       TOTAL SCHEDULED LIABILITIES                $4,633,577,922
       =========================================================

Based in Melville, New York, American Home Mortgage Investment
Corp. (NYSE: AHM) -- http://www.americanhm.com/-- is a
mortgage         
real estate investment trust engaged in the business of investing
in mortgage-backed securities and mortgage loans resulting from
the securitization of residential mortgage loans originated and
serviced by its subsidiaries.  

American Home Mortgage and seven affiliates filed for chapter 11
protection on Aug. 6, 2007 (Bankr. D. Del. Case Nos. 07-11047
through 07-11054).  James L. Patton, Jr., Esq., Joel A. Waite,
Esq., and Pauline K. Morgan, Esq. at Young, Conaway, Stargatt &
Taylor LLP represent the Debtors.  Epiq Bankruptcy Solutions LLC
acts as the Debtors' claims and noticing agent.  The Official
Committee of Unsecured Creditors has selected Hahn & Hessen LLP as
its counsel.  As of March 31, 2007, American Home Mortgage's
balance sheet showed total assets of $20,553,935,000, total
liabilities of $19,330,191,000.  The Debtors' exclusive period to
file a plan expires on Dec. 4, 2007.  (American Home Bankruptcy
News, Issue No. 10, Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000).


AMERICAN HOME: AHM Holdings Files Schedules of Assets and Debts
---------------------------------------------------------------
American Home Mortgage Holdings Inc. submitted to the U.S.
Bankruptcy Court for the District of Delaware its schedules of
assets and liabilities, disclosing:

A - Real Property                                             $0

B - Personal Property
B.1   Cash on Hand                                             0
B.2   Bank Accounts                                        1,000
B.3   Security Deposits                                  396,213
B.4   Household goods                                          0
B.5   Book, artwork and collectibles                           0
B.6   Wearing apparel                                          0
B.7   Furs and jewelry                                         0
B.8   Firearms and other equipment                             0
B.9   Insurance Policies                                       0
B.10  Annuities                                                0
B.11  Interests in an education IRA                            0
B.12  Interests in pension plans 401(k) Plan                   0
B.13  Stock and Interests
         100 % interest in AH Securities            Undetermined
         100 % interest in AHM Ventures             Undetermined
         100 % interest in AHMSI                    Undetermined
         100 % interest in AH Bank                  Undetermined
         100 % interest in AHMC                     Undetermined

B.14  Interests in partnerships or joint ventures              0
B.15  Government and corporate bonds                           0
B.16  Accounts Receivable
         Inter-company AHM Investment Corp.           74,030,211
         Inter-company AHM Corp.                      59,092,122
         Others                                       30,500,339

B.17  Alimony                                                  0
B.18  Other Liquidated Debts Owing Debtor                      0
B.19  Equitable or future interests                            0
B.20  Interests in estate death benefit plan                   0
B.21  Other Contingent and Unliquidated Claims                 0
B.22  Patents, copyrights, and others                          0
B.23  Licenses, franchises & other intangibles                 0
B.24  Customer lists or other compilations                     0
B.25  Vehicles                                                 0
B.26  Boats, motors and accessories                            0
B.27  Aircraft and accessories                                 0
B.28  Office Equipment                                         0
B.29  Equipment and Supplies for Business                      0
B.30  Inventory                                                0
B.31  Animals                                                  0
B.32  Crops                                                    0
B.33  Farming equipment and implements                         0
B.34  Farm supplies, chemicals, and feed                       0
B.35  Other Personal Property                                  0

       TOTAL SCHEDULED ASSETS                       $164,019,885
       =========================================================

C - Property Claimed                                          $0

D - Creditors Holding
       Credit Suisse First Boston Mortgage            29,660,346
       IXIS Real Estate Capital, Inc.                 11,134,799

E - Creditors Holding Unsecured Priority Claims
       Taxes and other owed to governmental units        852,227

F - Creditors Holding Unsecured Nonpriority Claims
       JP Morgan Chase Bank, N.A.                    154,645,000
       Wells Fargo Bank, N.A.                         36,166,000
       Wilmington Trust Company                      113,403,000

       TOTAL SCHEDULED LIABILITIES                  $345,861,372
       =========================================================

Based in Melville, New York, American Home Mortgage Investment
Corp. (NYSE: AHM) -- http://www.americanhm.com/-- is a
mortgage         
real estate investment trust engaged in the business of investing
in mortgage-backed securities and mortgage loans resulting from
the securitization of residential mortgage loans originated and
serviced by its subsidiaries.  

American Home Mortgage and seven affiliates filed for chapter 11
protection on Aug. 6, 2007 (Bankr. D. Del. Case Nos. 07-11047
through 07-11054).  James L. Patton, Jr., Esq., Joel A. Waite,
Esq., and Pauline K. Morgan, Esq. at Young, Conaway, Stargatt &
Taylor LLP represent the Debtors.  Epiq Bankruptcy Solutions LLC
acts as the Debtors' claims and noticing agent.  The Official
Committee of Unsecured Creditors has selected Hahn & Hessen LLP as
its counsel.  As of March 31, 2007, American Home Mortgage's
balance sheet showed total assets of $20,553,935,000, total
liabilities of $19,330,191,000.  The Debtors' exclusive period to
file a plan expires on Dec. 4, 2007.  (American Home Bankruptcy
News, Issue No. 10, Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000).


AMERICAN HOME: Files Schedules of Assets and Liabilities
--------------------------------------------------------
American Home Mortgage Investment Corp. submitted to the U.S.
Bankruptcy Court for the District of Delaware its schedules of
assets and liabilities, disclosing:

A - Real Property                                             $0

B - Personal Property
B.1   Cash on Hand                                             0
B.2   Bank Accounts                                   20,949,898
B.3   Security Deposits                                        0
B.4   Household goods                                          0
B.5   Book, artwork and collectibles                           0
B.6   Wearing apparel                                          0
B.7   Furs and jewelry                                         0
B.8   Firearms and other equipment                             0
B.9   Insurance Policies                                       0
B.10  Annuities                                                0
B.11  Interests in an education IRA                            0
B.12  Interests in pension plans 401(k) Plan                   0
B.13  Stock and Interests
         100 % interest in AHMAC                    Undetermined
         100 % interest in AHMH                     Undetermined
         100 % interest in AHMSP VIII               Undetermined

B.14  Interests in partnerships or joint ventures              0
B.15  Government and corporate bonds                           0
B.16  Accounts Receivable
         Inter-company Baylis Trust 1                  7,865,269
         Accrued Interest Receivable Trading           4,110,281
         Others                                          701,289
B.17  Alimony                                                  0
B.18  Other Liquidated Debts Owing Debtor                      0
B.19  Equitable or future interests                            0
B.20  Interests in estate death benefit plan                   0
B.21  Other Contingent and Unliquidated Claims            89,472
B.22  Patents, copyrights, and others                          0
B.23  Licenses, franchises & other intangibles                 0
B.24  Customer lists or other compilations                     0
B.25  Vehicles                                                 0
B.26  Boats, motors and accessories                            0
B.27  Aircraft and accessories                                 0
B.28  Office Equipment                                         0
B.29  Equipment and Supplies for Business                      0
B.30  Inventory                                                0
B.31  Animals                                                  0
B.32  Crops                                                    0
B.33  Farming equipment and implements                         0
B.34  Farm supplies, chemicals, and feed                       0
B.35  Other Personal Property                                  0
         Derivative assets                            17,320,805
         Mortgage backed securities                1,596,492,619
         Prepaid expenses                                 11,876

       TOTAL SCHEDULED ASSETS                     $1,647,541,509
       =========================================================

C - Property Claimed                                          $0

D - Creditors Holding
       ABN AMRO Bank N.V.                            136,423,174
       Bank of America, N.A.                         711,034,823
       Barclays Bank PLC                             148,336,100
       Bear Sterns Mortgage Capital                  328,666,553
       Calyon New York Branch                      1,155,752,443
       Credit Suisse First Boston Mortgage            31,230,346
       Deutsche Bank                                 284,367,331
       Greenwich Capital Financial                   312,698,485
       IXIS Real Estate Capital                       11,134,799
       JP Morgan Chase Bank, N.A.                    161,160,514
       Lehman                                        204,707,427
       Merrill Lynch                                 224,567,000
       Morgan Stanley                                 38,727,000
       ORIX                                           73,009,000
       UBS Real Estate Securities                    201,571,829

E - Creditors Holding Unsecured Priority Claims
       Taxes and other owed to governmental uni           30,438

F - Creditors Holding Unsecured Nonpriority Claims
       AHM SPV III, LLC                               24,196,644
       AHM Acceptance, Inc.                          478,044,316
       AHM Holdings, Inc.                             74,030,211
       AHM Servicing, Inc.                             8,313,978
       AHM Securities, Inc.                            2,650,000
       JP Morgan Chase Bank, N.A.                     51,550,000
       Wilmington Trust Company                      128,866,000

       TOTAL SCHEDULED LIABILITIES                $4,791,068,411
       =========================================================

Based in Melville, New York, American Home Mortgage Investment
Corp. (NYSE: AHM) -- http://www.americanhm.com/-- is a
mortgage         
real estate investment trust engaged in the business of investing
in mortgage-backed securities and mortgage loans resulting from
the securitization of residential mortgage loans originated and
serviced by its subsidiaries.  

American Home Mortgage and seven affiliates filed for chapter 11
protection on Aug. 6, 2007 (Bankr. D. Del. Case Nos. 07-11047
through 07-11054).  James L. Patton, Jr., Esq., Joel A. Waite,
Esq., and Pauline K. Morgan, Esq. at Young, Conaway, Stargatt &
Taylor LLP represent the Debtors.  Epiq Bankruptcy Solutions LLC
acts as the Debtors' claims and noticing agent.  The Official
Committee of Unsecured Creditors has selected Hahn & Hessen LLP as
its counsel.  As of March 31, 2007, American Home Mortgage's
balance sheet showed total assets of $20,553,935,000, total
liabilities of $19,330,191,000.  The Debtors' exclusive period to
file a plan expires on Dec. 4, 2007.  (American Home Bankruptcy
News, Issue No. 10, Bankruptcy Creditors' Service, Inc.,
http://bankrupt.com/newsstand/or 215/945-7000).


DANA CORPORATION: Posts $103,000,000 Net Loss in August 2007
------------------------------------------------------------

                        Dana Corporation
                Unaudited Condensed Balance Sheet
                      As of August 31, 2007

ASEETS

CURRENT ASSETS

   Cash and cash equivalents                    $1,071,000,000
   Accounts receivable
      Trade                                      1,311,000,000
      Other                                        309,000,000
   Inventories                                     822,000,000
   Assets of discontinued operations                85,000,000
   Other current assets                            141,000,000
                                               ---------------
Total current assets                             3,739,000,000

Investments and other assets                                 0
Investments in equity affiliates                   435,000,000
Property, plant and equipment, net               1,713,000,000
Other noncurrent assets
991,000,000                                                        
                                               ---------------
TOTAL ASSETS                                    $6,878,000,000
                                               ===============

LIABILITIES AND SHAREHOLDERS' EQUITY

CURRENT LIABILITIES
   Debtor-in-possession financing                  $900,000,000
   Notes payable                                    66,000,000
   Accounts payable                              1,080,000,000
   Liabilities of discontinued operations           39,000,000
   Other accrued liabilities                       822,000,000
                                               ---------------
Total current liabilities                        2,907,000,000

Liabilities subject to compromise                4,067,000,000
Deferred employee benefits
   & other noncurrent benefits                     472,000,000
Long-term debt                                      13,000,000
Minority interest in consolidated subsidiaries      92,000,000
                                               ---------------
Total liabilities                                7,551,000,000
Shareholders' deficit                             (673,000,000)
                                               ---------------
TOTAL LIABILITIES AND SHAREHOLDERS' DEFICIT     $6,878,000,000
                                               ===============

                        Dana Corporation
           Unaudited Condensed Statement of Operations
               For the month ended August 31, 2007

Net sales                                         $739,000,000
Costs and expenses
   Cost of sales                                   698,000,000
   Selling, general & admin expenses                28,000,000
   Realignment charges                               6,000,000
   Other income, net                                10,000,000
                                               ---------------
Income (loss) from operations                       25,000,000
Interest expense                                     8,000,000
Reorganization items, net                           10,000,000
                                               ---------------
Income (loss) before income taxes                 (104,000,000)
Income tax expense                                   6,000,000
Minority interest expense                            1,000,000
Equity in earnings of affiliates                     1,000,000
                                               ---------------
Income (loss) from continuing operations          (110,000,000)
Loss from discontinued operations                    7,000,000
                                               ---------------
Net income (loss)                                ($103,000,000)
                                               ===============

                        Dana Corporation
          Unaudited Condensed Statement of Cash Flows
               For the month ended August 31, 2007

OPERATING ACTIVITIES
Net income                                       ($103,000,000)
Depreciation and amortization                       23,000,000
Loss on sale of businesses                           7,000,000
Non-cash portion of U.K. pension charge                      0
Increase in working capital                        (75,000,000)
Unremitted equity in earnings of affiliates        ( 1,000,000)
Contract rejections and claim settlements          106,000,000
Other                                                9,000,000
                                               ---------------
Net cash flows used for operating activities       (33,000,000)

INVESTING ACTIVITIES
Purchases of property, plant and equipment         (26,000,000)
Proceeds from sale of assets                        18,000,000
Other                                                9,000,000
                                               ---------------
Net cash flows provided by (used for) investing      1,000,000

FINANCING ACTIVITIES
Net change in short-term debt                       25,000,000
Proceeds from DIP Credit Agreement                           0
                                               ---------------
Net cash flows provided by (used for) financing     25,000,000

Net increase (decrease) in cash
   and cash equivalents                             (7,000,000)
                                               ---------------
Cash and cash equivalents, beginning of period   1,078,000,000

Cash and cash equivalents, end of period        $1,071,000,000
                                               ===============

Toledo, Ohio-based Dana Corp. -- http://www.dana.com/-- designs
and manufactures products for every major vehicle producer in the
world, and supplies drivetrain, chassis, structural, and engine
technologies to those companies.  Dana employs 46,000 people in
28 countries.  Dana is focused on being an essential partner to
automotive, commercial, and off-highway vehicle customers, which
collectively produce more than 60 million vehicles annually.  

The company and its affiliates filed for chapter 11 protection on
Mar. 3, 2006 (Bankr. S.D.N.Y. Case No. 06-10354).  As of Sept. 30,
2005, the Debtors listed $7,900,000,000 in total assets and
$6,800,000,000 in total debts.

Corinne Ball, Esq., and Richard H. Engman, Esq., at Jones Day, in
Manhattan and Heather Lennox, Esq., Jeffrey B. Ellman, Esq.,
Carl E. Black, Esq., and Ryan T. Routh, Esq., at Jones Day in
Cleveland, Ohio, represent the Debtors.  Henry S. Miller at
Miller Buckfire & Co., LLC, serves as the Debtors' financial
advisor and investment banker.  Ted Stenger from AlixPartners
serves as Dana's Chief Restructuring Officer.  

Thomas Moers Mayer, Esq., at Kramer Levin Naftalis & Frankel LLP,
represents the Official Committee of Unsecured Creditors.  Fried,
Frank, Harris, Shriver & Jacobson, LLP serves as counsel to the
Official Committee of Equity Security Holders.  Stahl Cowen
Crowley, LLC serves as counsel to the Official Committee of
Non-Union Retirees.  

The Debtors filed their Joint Plan of Reorganization on Aug. 31,
2007.  The Court has set a hearing on Oct. 23, 2007, to consider
the adequacy of the Disclosure Statement explaining the Debtors'
Plan.  (Dana Corporation Bankruptcy News, Issue No. 56; Bankruptcy
Creditors' Service Inc.; http://bankrupt.com/newsstand/or       
215/945-7000).


INTERSTATE BAKERIES: Posts $13,388,355 Net Loss in August 2007
--------------------------------------------------------------

           Interstate Bakeries Corporation and Subsidiaries
            Unaudited Consolidated Monthly Operating Report
                   Four Weeks Ended August 25, 2007

REVENUE

Gross Income                                        $227,974,432
Less Cost of Goods Sold
   Ingredients, Packaging & Outside Purchasing        55,592,731
   Direct & Indirect Labor                            40,904,702
   Overhead & Production Administration               12,550,617
                                                   -------------
Gross Profit                                         118,926,382
                                                   -------------
OPERATING EXPENSES

Owner-Draws/Salaries                                           -
Selling & Delivery Employee Salaries                  52,471,043
Advertising and Marketing                              1,482,307
Insurance (Property, Casualty, & Medical)             10,693,678
Payroll Taxes                                          4,452,416
Lease and Rent                                         2,665,963
Telephone and Utilities                                1,048,827
Corporate Expense (Including Salaries)                 8,202,734
Other Expenses                                        31,505,021
                                                   -------------
     Total Operating Expenses                        112,521,989
                                                   -------------
EBITDA                                                 6,404,393

Restructuring & Reorganization Charges                 2,937,572
Depreciation and Amortization                          5,241,988
Abandonment                                              211,684
Property & Equipment Impairment                       10,192,699
Other( Income)/Expense                                   (54,566)
Gain/Loss Sale of Property                                     -
Interest Expense                                       3,629,128
                                                   -------------
Operating Income (Loss)                              (15,754,112)
Income Tax Expense (Benefit)                          (2,365,757)
                                                   -------------
Net Income (Loss)                                   ($13,388,355)
                                                   =============

CURRENT ASSETS
   Accounts Receivable at end of period             $144,249,639
   Increase (Dec.) in Accounts Receivable              2,149,494
   Inventory at end of period                         63,655,572
   Increase (Decrease) in Inventory for period          (966,859)
   Cash at end of period                              68,716,386
   Increase (Decrease) in Cash for period              5,930,086
   Restricted Cash                                    17,697,653
   Increase (Dec.) in Restricted Cash for period         228,882

LIABILITIES
   Increase (Decrease) in Liabilities
      Not Subject to Compromise                        7,720,540
   Increase (Decrease) in Liabilities
      Subject to Compromise                              330,211
   Taxes payable:
      Federal Payroll Taxes                            8,429,378
      State/Local Payroll Taxes                        2,147,339
      State Sales Taxes                                  621,673
      Real Estate and Personal Property Taxes          8,111,861
      Other                                            3,271,174
                                                   -------------
      Total Taxes Payable                            $22,581,425
                                                   =============

Headquartered in Kansas City, Missouri, Interstate Bakeries
Corporation is a wholesale baker and distributor of fresh-baked
bread and sweet goods, under various national brand names,
including Wonder(R), Baker's Inn(R), Merita(R), Hostess(R) and
Drake's(R).  Currently, IBC employs more than 25,000 people and
operates 45 bakeries, as well as approximately 800 distribution
centers and approximately 800 bakery outlets throughout the
country.

The company and seven of its debtor-affiliates filed for chapter
11 protection on Sept. 22, 2004 (Bankr. W.D. Mo. Case No. 04-
45814).  J. Eric Ivester, Esq., and Samuel S. Ory, Esq., at
Skadden, Arps, Slate, Meagher & Flom LLP represent the Debtors in
their restructuring efforts.  When the Debtors filed for
protection from their creditors, they listed $1,626,425,000 in
total assets and $1,321,713,000 (excluding the $100,000,000 issue
of 6% senior subordinated convertible notes due Aug. 15, 2014) in
total debts.  The Debtors' exclusive period to file a chapter 11
plan has recently been extended to Nov. 8, 2007.

(Interstate Bakeries Bankruptcy News, Issue No. 72; Bankruptcy
Creditors' Service Inc., http://bankrupt.com/newsstand/or   
215/945-7000).


SEA CONTAINERS: Earns $11,158,734 in Month Ended August 31
----------------------------------------------------------

                      Sea Containers, Ltd.
                    Unaudited Balance Sheet
                     As of August 31, 2007



                            Assets

Current Assets
  Cash and cash equivalents                     $47,650,121
  Trade receivables, less allowances
    for doubtful accounts                            27,578
  Due from related parties                        7,409,824      
  Prepaid expenses and other current assets       1,717,768
                                               ------------
      Total current assets                       56,805,291

Fixed assets, net                                         -

Long-term equipment sales receivable, net                 -
Investments in group companies                  143,546,856       
Intercompany receivables                                  -
Investment in equity ownership interests        227,146,976
Other assets                                      4,076,327
                                               ------------
Total assets                                   $431,575,450
                                               ============

             Liabilities and Shareholders' Equity

Current Liabilities
  Accounts payable                               $8,865,234       
  Accrued expenses                               52,398,600
  Current portion of long-term debt             171,098,244
  Current portion of senior notes               385,323,207
                                               ------------
        Total current liabilities               617,685,285

Total shareholders' equity                     (186,109,835)
                                               ------------  
Total liabilities and shareholders' equity     $431,575,450       
                                               ============       


                     Sea Containers, Ltd.
               Unaudited Statement of Operations
               For the Month Ended August 31, 2007

Revenue                                          $2,473,134

Costs and expenses:
  Operating costs                                   430,602       
  Selling, general and
    administrative expenses                      (3,031,169)      
  Professional fees                              (6,832,670)
  Credits to provide against
    intercompany accounts                        66,453,293
  Impairment of investment in subsidy Co.       (29,778,329)
  Forgiveness of intercompany debt              (16,482,588)
  Depreciation and amortization                           -
                                               ------------
  Total costs and expenses                       10,759,139
                                               ------------
Gain or (Loss) on sale of assets                          -
                                               ------------
Operating income (loss)                          13,232,273       


Other income (expense)
  Interest income                                 3,893,111
  Foreign exchange gains or (losses)                  5,461
  Interest expense, net                          (5,872,111)
                                               ------------
Income (Loss) before taxes                       11,258,734
Income tax expense                                 (100,000)
                                               ------------
Net Profit (Loss)                               $11,158,734
                                               ============


                    Sea Containers Services
                    Unaudited Balance Sheet
                     As of August 31, 2007

                            Assets

Current Assets
  Cash and cash equivalents                         $67,758       
  Trade receivables                                  27,929       
  Due from related parties                        5,587,738
  Prepaid expenses and other current assets       4,741,076
                                               ------------
       Total current assets                      10,424,501

Fixed assets, net                                 2,327,141

Investments                                       2,717,732
Intercompany receivables                         46,451,752
Other assets                                              0
                                               ------------
Total assets                                    $61,921,126
                                               ============

             Liabilities and Shareholders' Equity

Current Liabilities
  Accounts payable                               $2,781,162       
  Accrued expenses                                2,682,516
  Current portion of long-term debt               1,679,343       
                                               ------------
      Total current liabilities                   7,143,021

Total shareholders' equity                       54,778,105
                                               ------------
Total liabilities and shareholders' equity      $61,921,126
                                               ============


                     Sea Containers Services
                 Unaudited Statement of Operations
             For the Month Ended August 31, 2007


Revenue                                          $2,478,786

Costs and expenses:
  Operating costs                                         -
  Selling, general and
     administrative expenses                     (1,623,585)        
  Professional Fees                                (570,095)
  Other charges                                           0       
  Depreciation and amortization                    (100,893)
                                               ------------
       Total costs and expenses                  (2,294,573)
                                               ------------      
Gains on sale of assets                                   0        
                                               ------------
Operating income (loss)                             184,214       

Other income (expense)
  Interest income                                       978
  Foreign exchange gains (losses)                      (537)
  Interest expense, net                              (9,953)
                                               ------------
Income (Loss) before taxes                          174,702
Income tax credit                                         0
                                               ------------
Net Income                                         $174,702      
                                               ============

Headquartered in Hamilton, Bermuda, Sea Containers Ltd. --
http://www.seacontainers.com/-- provides passenger and freight
transport and marine container leasing.  Registered in Bermuda,
the company has regional operating offices in London, Genoa, New
York, Rio de Janeiro, Sydney, and Singapore.  The company is
owned almost entirely by United States shareholders and its
primary listing is on the New York Stock Exchange (SCRA and
SCRB) since 1974.  On Oct. 3, the company's common shares and
senior notes were suspended from trading on the NYSE and NYSE
Arca after the company's failure to file its 2005 annual report
on Form 10-K and its quarterly reports on Form 10-Q during 2006
with the U.S. Securities and Exchange Commission.

Through its GNER subsidiary, Sea Containers Passenger Transport
operates Britain's fastest railway, the Great North Eastern
Railway, linking England and Scotland.  It also conducts ferry
operations, serving Finland and Estonia as well as a commuter
service between New York and New Jersey in the U.S.

Sea Containers Ltd. and two subsidiaries filed for chapter 11
protection on Oct. 15, 2006 (Bankr. D. Del. Case No. 06-11156).
Edmon L. Morton, Esq., Edwin J. Harron, Esq., Robert S. Brady,
Esq., Sean Matthew Beach, Esq., and Sean T. Greecher, Esq., at
Young, Conaway, Stargatt & Taylor, represent the Debtors in
their restructuring efforts.

The Official Committee of Unsecured Creditors and the Financial
Members Sub-Committee of the Official Committee of Unsecured
Creditors of Sea Containers Ltd. is represented by William H.
Sudell, Jr., Esq., and Thomas F. Driscoll, Esq., at Morris,
Nichols, Arsht & Tunnell LLP.  Sea Containers Services, Ltd.'s
Official Committee of Unsecured Creditors is represented by
attorneys at Willkie Farr & Gallagher LLP.  In its schedules filed
with the Court, Sea Containers disclosed total assets of
$62,400,718 and total liabilities of $1,545,384,083.  The Debtors'
exclusive period to file a chapter 11 plan expires on Dec 21,
2007.  (Sea Containers Bankruptcy News, Issue No. 28; Bankruptcy
Creditors' Service, Inc., http://bankrupt.com/newsstand/or   
215/945-7000).


SOLUTIA INC: Incurs $9,000,000 Net Loss in Month Ended August 31
----------------------------------------------------------------

                  Solutia Chapter 11 Debtors
              Unaudited Statement of Consolidated
                     Financial Position
                   As of August 31, 2007

                          ASSETS

Cash                                                $68,000,000
Trade Receivables, net                              200,000,000
Account Receivables-Unconsolidated Subsidiaries      62,000,000
Inventories                                         176,000,000
Other Current Assets                                 76,000,000
Assets of Discontinued Operations                     6,000,000
                                                 --------------
Total Current Assets                                588,000,000

Property, Plant and Equipment, net                  650,000,000
Investments in Subsidiaries and Affiliates          687,000,000
Intangible Assets, net                              100,000,000
Other Assets                                         56,000,000
                                                 --------------
Total Assets                                     $2,081,000,000
                                                 ==============

              LIABILITIES AND SHAREHOLDERS' DEFICIT

Accounts Payable                                   $213,000,000
Short Term Debt                                     922,000,000
Other Current Liabilities                           152,000,000
Liabilities of Discontinued Operations                4,000,000
                                                 --------------
Total Current Liabilities                         1,291,000,000

Long-Term Debt                                       19,000,000
Other Long-Term Liabilities                         194,000,000
                                                 --------------
Total Liabilities not Subject to Compromise       1,504,000,000

Liabilities Subject to Compromise                 1,850,000,000

Shareholders' Deficit                            (1,273,000,000)
                                                 --------------
Total Liabilities & Shareholders' Deficit        $2,081,000,000
                                                 ==============


                  Solutia Chapter 11 Debtors
        Unaudited Consolidated Statement of Operations
             For the Month Ended August 31, 2007

Total Net Sales                                    $219,000,000
Total Cost Of Goods Sold                            198,000,000
                                                 --------------
Gross Profit                                         21,000,000

Total MAT Expense                                    19,000,000
                                                 --------------
Operating Income (Loss)                               2,000,000

Equity Earnings from Affiliates                               0
Interest Expense, net                               (11,000,000)
Other Income, net                                     3,000,000

Reorganization Items:
Professional fees                                    (6,000,000)
Employee severance and retention costs                        0
Adjustment to allowed claim amounts                   5,000,000
Settlements of prepetition claims                    (2,000,000)
                                                 --------------
                                                     (3,000,000)
                                                 --------------
Income from continuing operations before taxes       (9,000,000)

Income tax expense (benefit)                                  0

Income from discontinued operations                           0
                                                 --------------
Net Income (Loss)                                   ($9,000,000)
                                                 ==============

Headquartered in St. Louis, Missouri, Solutia Inc. (OTCBB: SOLUQ)
-- http://www.solutia.com/-- and its subsidiaries, engage in the
manufacture and sale of chemical-based materials, which are used
in consumer and industrial applications worldwide.  The company
and 15 debtor-affiliates filed for chapter 11 protection on Dec.
17, 2003 (Bankr. S.D.N.Y. Case No. 03-17949).  When the
Debtors filed for protection from their creditors, they listed
$2,854,000,000 in assets and $3,223,000,000 in debts.

Solutia is represented by Allen E. Grimes, III, Esq., at
Dinsmore & Shohl, LLP and Conor D. Reilly, Esq., at Gibson,
Dunn & Crutcher, LLP.  Trumbull Group LLC is the Debtor's claims
and noticing agent.  Daniel H. Golden, Esq., Ira S. Dizengoff,
Esq., and Russel J. Reid, Esq., at Akin Gump Strauss Hauer &
Feld LLP represent the Official Committee of Unsecured Creditors,
and Derron S. Slonecker at Houlihan Lokey Howard & Zukin Capital
provides the Creditors' Committee with financial advice.

On Feb. 14, 2006, the Debtors filed their Reorganization Plan &
Disclosure Statement.  On May 15, 2007, they filed an Amended
Reorganization Plan and on July 9, 2007, filed a 2nd Amended
Reorganization Plan.  The Disclosure Statement hearing began on
July 10, 2007, and will be continued on Oct. 17, 2007.

(Solutia Bankruptcy News, Issue No. 100; Bankruptcy Creditors'
Service, Inc., http://bankrupt.com/newsstand/or 215/945-7000).


THAXTON GROUP: Files Monthly Operating Report for August 2007
-------------------------------------------------------------
The Thaxton Group Inc. and its debtor-affiliates filed with the
Securities and Exchange Commission their consolidated statements
of cash disbursements for Aug. 1, 2007, through Aug 31, 2007,
showing:

   Cash, Beginning of Month                         $9,392,679

   Total Cash Receipts and Transfers                12,682,545

     Less: Cash Disbursements - Loans                6,780,319
           Cash Disbursements - Others               5,463,454
                                                    ----------
   Total Cash Disbursements                         12,243,773
                                                    ----------
   Net Cash Flow                                      $438,772
                                                    ==========
   Cash, End of Month                               $9,831,451
                                                    ==========

A full-text copy of the Debtors' monthly operating report for the
period ended Aug. 31, 2007 is available for free at:

               http://ResearchArchives.com/t/s?2435

The Thaxton Group Inc., is a diversified financial services
company which specializes in consumer lending, automobile sales &
insurance premium financing.  The Thaxton Group, Inc. and its
debtor-affiliates filed for Chapter 11 protection on Oct. 17, 2003
(Bankr. D. Del. Case Numbers 03-13182 through 03-13213).  Robert
J. Dehney, Esq., and Michael G. Busenkell, Esq., at Morris,
Nichols, Arsht & Tunnell represent the debtors.  When they filed
for bankruptcy, they listed $206,000,000 in total assets and
$242,000,000 in total liabilities.

                             *********

Monday's edition of the TCR delivers a list of indicative prices
for bond issues that reportedly trade well below par.  Prices are
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Each Tuesday edition of the TCR contains a list of companies with
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                             *********

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 is a daily newsletter co-published
by Bankruptcy Creditors' Service, Inc., Fairless Hills,
Pennsylvania, USA, and Beard Group, Inc., Frederick, Maryland,
USA.  Marie Therese V. Profetana, Shimero R. Jainga, Ronald C. Sy,
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Copyright 2007.  All rights reserved.  ISSN: 1520-9474.

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