8-K

                    U.S. SECURITIES AND EXCHANGE COMMISSION

                            Washington, D.C. 20549



                                   FORM 8-K

                                CURRENT REPORT


    Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934


     Date of Report (Date of earliest event reported):  December 18, 2000




                       KAISER GROUP INTERNATIONAL, INC.
            (Exact name of registrant as specified in its charter)






   Delaware                 File No. 1-12248                     54-1437073
(State or other             (Commission File                   (IRS Employer
jurisdiction of             Number)                        Identification No.)
incorporation)




                               9302 Lee Highway
                         Fairfax, Virginia  22031-1207
        (Address of principal executive offices, including zip code)



                                 703-934-3300
              (Registrant's telephone number, including areacode)


Item 5.    Other events
           ------------


  In a press release dated December 18, 2000, Kaiser Group International, Inc.
announced that its Plan of Reorganization, which was confirmed by Order of the
United States Bankruptcy Court for the District of Delaware on December 5, 2000,
became effective today.  A copy of this two-page press release is attached to
this Report on Form 8-K as Exhibit 99.


Item 7.  Financial Statements and Exhibits
         ---------------------------------

Exhibit 99 - Press Release



                                   SIGNATURES

  Pursuant to the requirements of the Securities Exchange Act of 1934, the
Registrant has duly caused this Report on Form 8-K to be signed on its behalf by
the undersigned hereunto duly authorized.


                                 KAISER GROUP INTERNATIONAL, INC.
                                         (Registrant)


                                 /s/ James J. Maiwurm
                                 ----------------------------------
                                 James J. Maiwurm
                                 Chairman, President and Chief Executive Officer




Date:  December 19, 2000

                                       2

EX-99

[LOGO] Kaiser Group                                                   EXHIBIT 99
       International
- ----------------
Kaiser Group International, Inc
9300 Lee Highway
Fairfax, Virginia 22031
703/934-3300 Fax 703/934-3740
www.kaiseregineers.com


FOR IMMEDIATE RELEASE                Press and Investor Contact: Marijo Ahlgrimm
                                                                    703/934-3995



KAISER GROUP INTERNATIONAL ANNOUNCES EFFECTIVENESS OF PLAN OF REORGANIZATION AND
FORMATION OF KAISER GROUP HOLDINGS, INC.

FAIRFAX, VA, December 18, 2000  Kaiser Group International, Inc. (OTCBB:  KSRG)
announced that its Plan of Reorganization, which was confirmed by Order of the
United States Bankruptcy Court for the District of Delaware on December 5, 2000,
became effective today.  As a result, Kaiser Group International, Inc. is now
100% owned by Kaiser Group Holdings, Inc., a newly formed Delaware corporation
and a "successor issuer" to Kaiser Group International, Inc. by virtue of Rule
12g-3(a) under the Securities Exchange Act of 1934. Future filings with the
Securities and Exchange Commission will be filed under the name Kaiser Group
Holdings, Inc. rather than under the name Kaiser Group International, Inc.

Kaiser Group International, Inc. ("Old Kaiser") filed with the Securities and
Exchange Commission on December 14, 2000 a Current Report on Form 8-K
summarizing the terms of the Plan of Reorganization of Old Kaiser and its debtor
subsidiaries and how the Plan will be implemented.

As explained in more detail in the Form 8-K, with the effectiveness of the Plan
of Reorganization, shares of common stock of Old Kaiser ("Old Common Stock") no
longer represent shares of common stock of Kaiser Group International, Inc.
Instead, shares of Old Common Stock represent the right to receive the number of
shares of common stock of Kaiser Group Holdings, Inc. ultimately distributable
to holders of Old Common Stock under the Plan of Reorganization.

Similarly, and as more fully described in the Form 8-K, as of the effective date
of the Plan, Old Kaiser's senior subordinated notes due 2003 ("Old Subordinated
Notes") no longer represent a debt obligation of Old Kaiser.  Instead, the Old
Subordinated Notes now represent the right to receive (1) cash and preferred
stock and common stock of Kaiser Holdings distributable to holders of Allowed
Class 4 Claims under Old Kaiser's Plan of Reorganization and (2) to the extent
the holder of an Old Subordinated Note accepted the exchange offer of Kaiser
Government Programs, Inc. ("KGP") that was completed on November 15, 2000, or is
a direct or indirect transferee from a holder of Old Subordinated Notes who
accepted the KGP exchange offer, the appropriate number of KGP put rights that
were offered in that exchange.

Kaiser Group Holdings, Inc. expects that, until the initial distribution of cash
and preferred and common stock of Kaiser Group Holdings, Inc. is made under the
Plan of Reorganization, shares of Old Common

                                    -more-



Stock will continue to trade on the NASD's electronic bulletin board under the
symbol "KSRG."

Shares of preferred stock and common stock of Kaiser Group Holdings, Inc.
distributable to holders of Allowed Claims and Allowed Equity Interests (as
defined in the Old Kaiser Plan of Reorganization), including holders of Old
Common Stock and Old Subordinated Notes, will not be tradable before the dates
of actual distribution.  Kaiser Holdings plans to attempt to cause its new
preferred stock and new common stock to be tradable on the NASD's electronic
bulletin board following the initial distribution.  Details concerning any such
trading availability, including the symbols for Kaiser Holdings' new preferred
stock and new common stock, will be announced in connection with the initial
distribution.

As noted above, the Current Report on Form 8-K filed by Kaiser Group
International, Inc. on December 14, 2000 and the exhibits thereto include
important information concerning the implementation of Old Kaiser's Plan of
Reorganization and Kaiser Holdings.  Holders of securities previously issued by
Old Kaiser are urged to review that Current Report on Form 8-K and its exhibits,
which are available on the internet through the Securities and Exchange
Commission's EDGAR system at www.sec.gov/edgarhp.htm.