MOODY'S DOWNGRADES MICHIGAN GENERAL <MGL> DEBT
Moody's Investors Service Inc said it
downgraded 110 mln dlrs of debt of Michigan General Corp.
    Reduced were the company's 10-3/4 pct senior subordinated
debentures of 1998 to Caa from B-3.
    Moody's cited Michigan's ongoing losses which have impaired
liquidity, weakened financial flexibility and lessened the
likelihood for operating performance to improve.
    Michigan's principal business, lumber and housebuilding
products sales, operates in a cyclical and highly competitve
environment so that even debt restructuring would probably not
improve earnings, Moody's pointed out.
 Reuter
