TCREUR_Public/061025.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

           Wednesday, October 25, 2006, Vol. 7, No. 212

                            Headlines

A U S T R I A

BETA LLC: Creditors' Meeting Slated for November 7
GUELEY AKYILDIZ: Claims Registration Period Ends Nov. 14
ING. DIETMAR: Feldkirch Court Orders Business Shutdown
KFZ-WIESAUER: Claims Registration Period Ends November 14
MUHM & PARTNER: Creditors to Recover 3.6% of Claims

PETER SCHWITZER: Innsbruck Court Orders Business Shutdown
STANOJEVIC DANICA: Vienna Court Orders Closing of Business


B E L A R U S

VALEANT PHARMA: Restating Results Due to Stock Option Errors
VALEANT PHARMA: Moody's Reviews Ratings on Restatement Concerns


C Y P R U S

CYPRUS POPULAR: Fitch Assigns Individual Rating at C
SENSIENT TECHNOLOGIES: Moody's Assigns Loss-Given-Default Rating


C Z E C H   R E P U B L I C

POLYONE CORP: Moody's Assigns Loss-Given-Default Ratings


F I N L A N D

PQ CORP: Moody's Assigns Loss-Given-Default Ratings


F R A N C E

BEARINGPOINT: Solicits Consents from Certain Debenture Holders
BEARINGPOINT: Gets US$69MM Deal to Boost Jordan Competitiveness
BEARINGPOINT INC: Names Judy Ethell as Chief Financial Officer
POLYMER GROUP: Finalizes Deal to Buy Spunbond Line in Argentina
UNIFRAX CORP: Moody's Assigns Loss-Given-Default Ratings

VNESHTORGBANK JSC: Might Sell EADS Stake at Profit


G E R M A N Y

APO-MEDICS: Claims Registration Ends October 30
BENQ CORP: BenQ Mobile Confirms 1,900 Job Cuts in Germany
DWT WASSERTECHNIK: Claims Registration Ends October 30
HALLENSER BLUMEN: Claims Registration Ends October 30
KABEL DEUTSCHLAND: Aims to Terminate 400 Technical Workers

KARSTADTQUELLE AG: Denies Profit Warning Speculation Report
LINZBACH FOTO: Claims Registration Ends October 30
M&L HANDELSGESELLSCHAFT: Creditors' Meeting Slated for Oct. 30
MARTINEZ CHOCOLADE: Claims Registration Ends Oct. 30
MB MATRATZEN: Claims Registration Ends October 30

P BI DER SPORT: Claims Registration Ends October 30
STENGELIN VERWALTUNGS: Claims Registration Ends October 30
TYPOSTUDIO GMBH: Claims Registration Ends October 30
VEREIN VEREINIGUNG: Creditors' Meeting Slated for October 31
VERO VERWALTUNGS: Creditors' Meeting Slated for October 31

VITALWATER SYSTEMS: Claims Registration Ends October 30


H U N G A R Y

OWENS-ILLINOIS: Moody's Assigns Loss-Given-Default Ratings


I R E L A N D

AFFILIATED COMPUTER: Extends SmartPA Operation for Drug Program


I T A L Y

ALITALIA SPA: Carries More Passenger & Cargo in September
FEDERAL-MOGUL: Wants to Recapitalize Non-Debtor Subsidiaries
ROCKWOOD SPECIALTIES: Moody's Assigns Loss-Given-Default Ratings


K A Z A K H S T A N

AINUR LLP: Pavlodar Court Opens Bankruptcy Proceedings
ALEMBEK LLP: Creditors Must File Claims by Nov. 17
ATYRAUSTROYSERVICE LLP: Creditors' Claims Due Nov. 17
BORODULIHA-STROYSERVICE: Claims Registration Ends Nov. 17
DAKAR EKIBASTUZ: Pavlodar Court Begins Bankruptcy Proceedings

ENERGIYA TRADING: Proof of Claim Deadline Slated for Nov. 17
LENSTROYINVEST LLP: Claims Filing Period Ends Nov. 17
LGS MAKTA: South Kazakhstan Court Starts Bankruptcy Procedure
NUREKE LLP: Creditors' Claims Due Nov. 17
V MIRE: Creditors Must File Claims by Nov. 17


K Y R G Y Z S T A N

KYRGYZKURULUSH OJSC: Public Auction Scheduled for Oct. 30


L A T V I A

LATVIJAS KRAJBANKA: Moody's Assigns D Financial Strength Rating


N E T H E R L A N D S

WELLMAN INC: Moody's Assigns Loss-Given-Default Ratings


N O R W A Y

AKER KVAERNER: Inks NOK130-Million Supply Deal with Rashpetco


P O L A N D

OMNOVA SOLUTIONS: Moody's Assigns Loss-Given-Default Ratings


R U S S I A

ANTEL CJSC: Kaluga Court Names B. Yun as Insolvency Manager
DOLGORUKOVSKIY BAKERY: Court Names V. Khlusov to Manage Assets
EDUS CJSC: Omsk Court Names A. Lyasman as Insolvency Manager
ELSHANSKOYE REPAIR: Bankruptcy Hearing Slated for Dec. 26
GAZPROMBANK: Parent Support Prompts S&P to Lift Rating to BB+

GOLDEN TELECOM: To Start US$10-Mln Moscow Wi-Fi Service in 2007
HEAVY-ENGINEERING-INVEST-SERVICE: A. Astakhov to Manage Assets
KALININSKOYE CJSC: Court Names N. Ushanov as Insolvency Manager
KOMANDOR: Orel Court Names D. Kutlin as Insolvency Manager
LAR-RUSINVEST: Moscow Bankruptcy Hearing Slated for Dec. 28

MOLODOTUDSKIY FLAX: Tver Court Starts Bankruptcy Supervision
NOVODEREVENSKIY AGRO-SNAB: A. Nikolskiy to Manage Assets
OIL-GAS-INVEST: Court Names A. Kiselev as Insolvency Manager
TIMBER MILL: Court Names S. Gavryutina as Insolvency Manager
TIMBER TRANSPORT: Perm Bankruptcy Hearing Slated for Jan. 22

TMK OAO: S&P Keeps B+ Rating on CreditWatch Negative After IPO
TNK-BP HOLDING: Earns RUR100.7 Bln for January-September 2006
TYUSHEVSKIY SPIRIT: Asset Sale Slated for October 31
USEC INC: Restores US$150-Mln Availability to Credit Facility
VIKULOVSKIY: Court Names V. Kravchenko as Insolvency Manager

VNESHTORGBANK JSC: Might Sell EADS Stake at Profit


S L O V A K   R E P U B L I C

VALEANT PHARMA: Restating Results Due to Stock Option Errors
VALEANT PHARMA: Moody's Reviews Ratings on Restatement Concerns


S W I T Z E R L A N D

BOMBARDIER INC.: Launches Tender Offers for Outstanding Notes
BOMBARDIER INC.: Fitch Puts BB Default Rating on Watch Negative


U K R A I N E

AGRONIK: Kyiv Court Starts Bankruptcy Supervision
BANK FORUM: Moody's Assigns B2 Rating on US$100-Million Notes
BANK FORUM: Fitch Assigns Final B- Rating to US$100-Mln Notes
BANK FINANCE: Moody's Rates Loan Participation Notes at B2
BIRKIVSKE: Court Names Yurij Teleshun as Insolvency Manager

DNIPROELEKTROKOMPLEKT: Mikita Nikitenko to Liquidate Assets
FENIKS 666: Court Names Oleg Bilera appointed as Liquidator
FREE PISTON: Harkiv Court Starts Bankruptcy Supervision
GOLDEN TELECOM: To Start US$10-Mln Moscow Wi-Fi Service in 2007
KREMENCHUK METAL: Court Names Stepan Bonchak as Liquidator

TEHSPECSERVICE: Zaporizhya Court Starts Bankruptcy Supervision
TNK-BP HOLDING: Earns RUR100.7 Bln for January-September 2006


U N I T E D   K I N G D O M

14 ECCLESTON: Creditors' Meeting Slated for November 2
BEARINGPOINT: Solicits Consents from Certain Debenture Holders
BEARINGPOINT: Gets US$69MM Deal to Boost Jordan Competitiveness
BEARINGPOINT INC: Names Judy Ethell as Chief Financial Officer
BOMBARDIER INC.: Launches Tender Offers for Outstanding Notes

BOMBARDIER INC.: Fitch Puts BB Default Rating on Watch Negative
CENTREX COMPUTING: Brings In Administrators from Menzies
COINVISION DIRECT: Appoints Liquidator from Griffin & King
COLLINS & AIKMAN: Halts Plastic Parts Shipments to Ford
CORUS GROUP: Proposed Acquisition Cues Moody's to Review Ratings

ELLANGEE LIMITED: Taps Liquidators from Rothman Pantall & Co.
EUROFIT INTERIORS: Names Claire L. Dwyer Liquidator
EUROSAIL 2006-3NC: S&P Puts Low-B Ratings to GBP13.1-Mln Notes
FEDERAL-MOGUL: Wants to Recapitalize Non-Debtor Subsidiaries
FIXED INCOME: Moody's Places Rating Under Review & May Downgrade

FORD MOTOR: Lenders Could Get Plants as Loan Security
FORD MOTOR: Moody's Says Weak 3Q Results Affirms Downgrade
FORD MOTOR: S&P Puts Unsecured Debt Issue Ratings on Watch Neg.
FORD MOTOR: Fitch Puts B+/RR3 Sr. Unsec. Debt on Watch Negative
HEMPSTED DOMESTIC: Appoints Hazlewoods to Administer Assets

HERTZ CORP: IPO Filing Spurs S&P to Keep Ratings on Watch Neg.
JTR ASCOT: Names William Antony Batty as Administrator
LYNXS SHREDDER: Names Joint Administrators from Hart Shaw
MANSARD MORTGAGES: S&P Assigns BB Rating on GBP20-Mln Notes
MEDA PLASTICS: Nominates Timothy Frank Corfield as Liquidator

MILLENNIUM VALETING: Hires Liquidator from Clarke Bell
MIRACON LIMITED: Nominates Liquidator from Griffin & King
MV COMPONENTS: Creditors Confirm Liquidator's Appointment
NORTHERN INDUSTRIAL: Creditors' Meeting Slated for October 31
RAVENS TRAILERS: Chris Williams Leads Liquidation Procedure

SEA CONTAINERS: May Give Up GNER in May 2007
VECTA CORP.: Appoints Joint Administrators from KPMG

* Moody's Reports LGD Assessments' Overall Impact on Ratings

                            *********

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


BETA LLC: Creditors' Meeting Slated for November 7
--------------------------------------------------
Creditors owed money by LLC Beta (FN 123323h) are encouraged to
attend the creditors' meeting at 10:20 a.m. on Nov. 7 to
consider the adoption of the rule by revision and
accountability.

The creditors' meeting will be held at:

         The Land Court of St. Poelten
         Room 216
         2nd Floor (Old Building)
         St. Poelten, Austria

Headquartered in St. Poelten - Harland, Austria, the Debtor
declared bankruptcy on Sept. 11 (Bankr. Case No. 14 S 143/06d).
Peter Schobel serves as the court-appointed property manager of
the bankrupt estate.

The property manager can be reached at:

         Dr. Peter Schobel
         Viennese Road 12
         3100 St. Poelten, Austria
         Tel: 02742/354 234
         Fax: 02742/351 448
         E-mail: office@plusjus.at


GUELEY AKYILDIZ: Claims Registration Period Ends Nov. 14
--------------------------------------------------------
Creditors owed money by KEG Gueley Akyildiz (FN 156030g) have
until Nov. 14 to file written proofs of claims to court-
appointed property manager Gerhard Rigler at:

         Mag. Gerhard Rigler
         Main Place 14
         2700 Wiener Neustadt, Austria
         Tel: 02622/84141
         Fax: 02622/8414124
         E-mail: hain.advocat@utanet.at

Creditors and other interested parties are encouraged to attend
the creditors' meeting at 9:30 a.m. on Nov. 28 to consider the
adoption of the rule by revision and accountability.

The meeting of creditors will be held at:

         The Land Court of Wiener Neustadt
         Room 15
         Wiener Neustadt, Austria

Headquartered in Pernitz, Austria, the Debtor declared
bankruptcy on Sept. 11 (Bankr. Case No. 11 S 91/06b).


ING. DIETMAR: Feldkirch Court Orders Business Shutdown
------------------------------------------------------
The Land Court of Feldkirch entered an order Sept. 8 shutting
down the business of LLC Ing. Dietmar Dold (FN 129632k).  Court-
appointed property manager Christoph Ganahl recommended the
business shutdown after determining that the continuing
operations would reduce the value of the estate.

The property manager can be reached at:

         Dr. Christoph Ganahl
         Schwefel 93/7 (Wirtschaftshaus)
         6850 Dornbirn, Austria
         Tel: 05572/890890
         Fax: 05572/890890-8
         E-mail: kanzlei@ganahl.cc

Headquartered in Hohenems, Austria, the Debtor declared
bankruptcy on Sept. 6 (Bankr. Case No. 14 S 39/06g).


KFZ-WIESAUER: Claims Registration Period Ends November 14
---------------------------------------------------------
Creditors owed money by OEG KFZ-Wiesauer (FN 237167a) have until
Nov. 14 to file written proofs of claims to court-appointed
property manager Alexander Knotek at:

         Dr. Alexander Knotek
         Pergerstrasse 12
         2500 Baden bei Vienna, Austria
         Tel: 02252/43056-0
         Fax: 02252/43056-20
         E-mail: info@avia-law.com

Creditors and other interested parties are encouraged to attend
the creditors' meeting at 10:30 a.m. on Nov. 28 to consider the
adoption of the rule by revision and accountability.

The meeting of creditors will be held at:

         The Land Court of Wiener Neustadt
         Room 15
         Wiener Neustadt, Austria

Headquartered in Leobersdorf, Austria, the Debtor declared
bankruptcy on Sept. 11 (Bankr. Case No. 11 S 92/06z).


MUHM & PARTNER: Creditors to Recover 3.6% of Claims
---------------------------------------------------
The Land Court of Wiener Neustadt approved Sept. 8 the final
decision on allocation of Alois Leeb, the court-appointed
property manager of KEG Muhm & Partner (FN 190567x).

Under the property manager's project by final allocation,
creditors will recover 3.6% of their claims.

Headquartered in Natschbach, Austria, the Debtor declared
bankruptcy on March 21, 2005 (Bankr. Case No. 11 S 34/05v).

The property manager can be reached at:

         Dr. Alois Leeb
         Triester Road 8
         2620 Neunkirchen, Austria
         Tel: 02635/62060
         Fax: 02635/62060-25
         E-mail: kzl.neunkirchen@wlp.at


PETER SCHWITZER: Innsbruck Court Orders Business Shutdown
---------------------------------------------------------
The Land Court of Innsbruck entered an order Sept. 8 shutting
down the business of LLC Peter Schwitzer (FN 42858b).  Court-
appointed property manager Ingrid Hochstaffl-Salcher recommended
the business shutdown after determining that the continuing
operations would reduce the value of the estate.

The property manager can be reached at:

         Dr. Ingrid Hochstaffl-Salcher
         Hochstaffl & Rupprechter, Rechtsanwalte
         Bahnhofstrasse 37
         2nd Floor
         6300 Wörgl, Austria
         Tel: 05332/71 800
         Fax: 05332/71 800 7
         E-mail: mail@hochstaffl-rupprechter.com

Headquartered in Kirchbichl, Austria, the Debtor declared
bankruptcy on Sept. 5 (Bankr. Case No. 9 S 23/06s).


STANOJEVIC DANICA: Vienna Court Orders Closing of Business
----------------------------------------------------------
The Trade Court of Vienna entered an order Sept. 8 closing the
business of KEG Stanojevic Danica (FN 231138i).  Court-appointed
property manager Edmund Roehlich recommended the business
closure after determining that the continuing operations would
reduce the value of the estate.

The property manager and his representative can be reached at:

         Dr. Edmund Roehlich
         c/o Dr. Richard Proksch
         Heumarkt 9/I/11
         1030 Vienna, Austria
         Tel: 713 46 51
         Fax: 713 84 35
         E-mail: proksch@eurojuris.at

Headquartered in Vienna, Austria, the Debtor declared bankruptcy
on Aug. 29 (Bankr. Case No. 5 S 122/06k).  Richard Proksch
represents Dr. Roehlich in the bankruptcy proceedings.


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


VALEANT PHARMA: Restating Results Due to Stock Option Errors
------------------------------------------------------------
Valeant Pharmaceuticals International's board of directors has
concluded that as a result of errors in the company's accounting
for stock options, financial statements for certain prior
periods will need to be restated.

The company has received a request from the U.S. Securities and
Exchange Commission for data on its stock option granting
practices since January 1, 2000, as part of an informal inquiry.
The company initiated a review of its option grants and
continues to cooperate with the SEC inquiry.  The company's
board of directors appointed a special committee of independent
directors which is directing the review of options practices
with the assistance of outside legal counsel.

The special committee has reported preliminary results of its
review to the finance and audit committee and the board of
directors, including its determination that, with respect to
broad-based grants in 1997 and subsequent years, the company
should have used different measurement dates for the purpose of
computing compensation expense for those stock option grants.
Because the special committee has not completed its review, the
company has not yet determined the magnitude of the restatement
or what other periods may ultimately be affected.  However,
based on the review of the grants described above, the board of
directors has determined that the company's financial statements
for and after 1997 should no longer be relied upon.

The option accounting errors are due to an incorrect application
of the measurement date of option grants according to the
provisions of Accounting Principles Board Opinion No. 25,
"Accounting for Stock Issued to Employees."  The company notes
that the majority of errors in accounting for options pertain to
those granted prior to the change in board and management in
mid-2002.  Errors also were noted in accounting for certain
options granted to employees since the change of the board and
management, but none of the errors related to options granted to
the current chief executive officer or chief financial officer
of the company.

               Third Quarter Results Out on Nov. 2

The company also said that it will announce financial results
for the 2006 third quarter on Nov. 2.  Because of the pending
restatement, these results will be preliminary and will, among
other things, exclude the impact of any additional options
expense until the company completes its review.  In addition,
the company will not be able to provide results for the year-to-
date period ended September 30, 2006, or comparative financial
results for the quarter or year-to-date periods in the prior
year when it announces results on Nov. 2.

In addition, the company does not expect to file its Form 10-Q
for the quarter ended September 30, 2006 by the due date.  The
failure of the company to remain current in its periodic
reporting obligations could have material adverse consequences
for the company.  These adverse consequences could include
compliance issues under the information reporting requirements
of the company's outstanding convertible and high-yield notes,
which if not timely cured could result in the acceleration of
the amounts outstanding under those notes.

Headquartered in Costa Mesa, California, Valeant Pharmaceuticals
International -- http://www.valeant.com/-- is a global
specialty pharmaceutical company that develops, manufactures and
markets a broad range of pharmaceutical products primarily in
the areas of neurology, infectious disease and dermatology.  In
Europe, the company has commercial offices in Belarus, Czech
Republic, France, Germany, Hungary, Italy, The Netherlands,
Poland, Russia, Slovak Republic, Spain, Turkey, Ukraine, and the
United Kingdom.

                        *     *     *

As reported in the TCR-Europe on Sept. 27, Moody's Investors
Service confirmed its B1 Corporate Family Rating for Valeant
Pharmaceuticals International, and its Ba3 rating on the
company's US$300 million issue of 7% senior unsecured notes due
2011 in connection with Moody's Investors Service's
implementation of its new Probability-of-Default and Loss-Given-
Default rating methodology for the U.S. pharmaceutical sector.

Additionally, Moody's assigned an LGD3 rating to those
bonds, suggesting noteholders will experience a 39% loss in the
event of a default.


VALEANT PHARMA: Moody's Reviews Ratings on Restatement Concerns
---------------------------------------------------------------
Moody's Investors Service placed the ratings of Valeant
Pharmaceuticals International (B1 corporate family rating) under
review for possible downgrade.  This rating action follows the
company's announcement that it will restate certain financial
statements as a result of accounting errors related to
accounting for stock options.

The rating review is prompted primarily by concerns that failure
to file timely financial statements with the SEC could lead to
an acceleration of debt maturities.  According to the indentures
governing US$300 million of Valeant's senior notes, US$240
million of 3% convertible notes and US$240 million of 4%
convertible notes, failure to file timely SEC reports
constitutes a covenant violation.  If the trustee or holders of
25% of the respective series of notes or convertibles declare a
default, Valeant must cure the violation within 60 days or the
debt becomes immediately due.

Secondary concerns include the company's cash flow relative to
debt, which has remained somewhat weak for Moody's B1 corporate
family rating, and delays in the expected timeline for
Viramidine regulatory filings following VISER1 data published in
March 2006 and VISER2 data published in September 2006.  Moody's
rating outlook on Valeant has been negative since March 23.

Moody's rating review will focus on:

   -- the ability of the company to meet the filing
      requirements specified in the indentures;

   -- the nature and extent of the restatement, as well as
      the disclosures of any weaknesses in internal
      controls over financial reporting; and

   -- the company's ability to improve free cash flow over
      the near term through growth in product sales and
      cost restructuring activities while continuing to
      invest in Viramidine clinical trials.

Ratings placed under review for possible downgrade:

Valeant Pharmaceuticals International

    * B1 corporate family rating

    * Ba3 senior unsecured notes of US$300 million due 2011
     (LGD3, 39%)

    * Ba3 probability of default rating

Moody's does not rate Valeant's 3% convertible subordinated
notes of US$240 million due 2010 or its 4% convertible
subordinated notes of US$240 million due 2013.

Headquartered in Costa Mesa, California, Valeant Pharmaceuticals
International [NYSE: VRX] is a global specialty pharmaceutical
company with US$823 million of 2005 revenues.


===========
C Y P R U S
===========


CYPRUS POPULAR: Fitch Assigns Individual Rating at C
----------------------------------------------------
Fitch Ratings assigned Cyprus Popular Bank ratings of Issuer
Default BBB+, Short-term F2, Individual C, and Support 2.  The
Outlook for the Issuer Default rating is Stable.

The ratings reflect CPB's improving profitability and cost
efficiency, its declining but still large stock of impaired
loans and its adequate capitalization.  The ratings take also
into account the public offers launched for 100% of two Greece-
based banks, Marfin Financial Group and Egnatia Bank.

CPB has a strong position in Cyprus as the island's second
largest financial institution, with a market share of 20% in
deposits at end-H106, including the cooperative sectors.  As the
Cypriot banking system is over-branched, international expansion
is key to its strategy.  In January 2006 CPB bought a 90% stake
in Centrobanka, a small Serbian bank.

After two years of losses, since 2003 CPB has progressively
regained satisfactory profitability.  In H106 and in 2005,
revenue generation rose strongly following the bank's efforts to
re-price much of its loan portfolio, larger commissions and
improved revenues from its insurance operations.  CPB is also
controlling costs more tightly.  Despite heavy staff costs in
Cyprus due to collective agreements, CPB's cost/income ratio
improved to a good 53% in H106 from 62% in H105.

Although CPB's asset quality ratios, like those of its Cypriot
peers, are weak by international standards, Fitch considers the
bank's credit risk to be adequate.  At end-H106, the bank's
impaired/total loans ratio was a high 9.5%, but it reflected the
slow loan recovery period in Cyprus.  Its loan impairment
coverage of 58% at end-H106 was adequate given that tangible
securities back much of the loan book.

Market risk is limited and relates mainly to the bank's
structural interest-rate position.  Liquidity is sound and is
supported by a large deposit base.  At end-H106, CPB's Tier 1
ratio stood at 10.3%, which Fitch considers adequate in light of
the bank's high stock of impaired loans.

In September 2006 CPB launched public and private offers for
100% of Marfin and Egnatia shares and 20% of its subsidiary,
Laiki Bank Hellas.  The bank plans to merge Marfin and Laiki
Bank Hellas with Egnatia to create a leading bank in Greece.
CPB will be renamed Marfin Popular Bank.

The merger with Marfin and Egnatia will strengthen CPB's
position in the increasingly competitive Greek market.  Although
there is integration risk involved in a three-way merger, it is
an opportunity to maximize the specialization of the three
banks, bringing potential business and revenue diversification.
The new merged bank will also benefit from cost and revenue
synergies from the integration of IT systems, a better funding
profile and cross-selling opportunities.

CPB offers a full range of banking and financial services.  It
is Cyprus's leading life and non-life insurer.  It had 114
branches and 2,416 staff in Cyprus at end-2005 and 55 branches
in Greece.


SENSIENT TECHNOLOGIES: Moody's Assigns Loss-Given-Default Rating
----------------------------------------------------------------
In connection with Moody's Investors Service's implementation of
its new Probability-of-Default and Loss-Given-Default rating
methodology for the U.S. Chemicals and Allied Products sector,
the rating agency confirmed its Ba1 Corporate Family Rating for
Sensient Technologies Corp., and its Ba1 rating on the company's
US$150 million 6.50% Notes due April 2009.  Additionally,
Moody's assigned an LGD4 rating to those bonds, suggesting
noteholders will experience a 59% loss in the event of a
default.

Moody's explains that current long-term credit ratings are
opinions about expected credit loss, which incorporate both the
likelihood of default and the expected loss in the event of
default.  The LGD rating methodology will disaggregate these two
key assessments in long-term ratings.  The LGD rating
methodology will also enhance the consistency in our notching
practices across industries and will improve the transparency
and accuracy of our ratings as our research has shown that
credit losses on bank loans have tended to be lower than those
for similarly rated bonds.

Probability-of-default ratings are assigned only to issuers, not
specific debt instruments, and use the standard Moody's alpha-
numeric scale.  They express Moody's opinion of the likelihood
that any entity within a corporate family will default on any of
its debt obligations.

Loss-given-default assessments are assigned to individual rated
debt issues -- loans, bonds, and preferred stock.  Moody's
opinion of expected loss are expressed as a percent of principal
and accrued interest at the resolution of the default, with
assessments ranging from LGD1 (loss anticipated to be 0% to 9%)
to LGD6 (loss anticipated to be 90% to 100%).

Headquartered in Milwaukee, Wisconsin, Sensient Technologies
Corp. -- http://www.sensient-tech.com/-- manufactures and
markets colors, flavors and fragrances.  Sensient also employs
technologies to develop specialty chemicals for inkjet inks,
display imaging systems and other applications.  The company's
principal products include flavors, flavor enhancers and
bionutrients; fragrances and aroma chemicals; dehydrated
vegetables and other food ingredients; natural and synthetic
food colors; cosmetic and pharmaceutical additives; inkjet inks,
technical colors, and specialty dyes and pigments, and chemicals
for laser printing and flat screen displays.  In Europe,
Sensient maintains operations facilities and/or sales offices in
Belgium, Bosnia, Croatia, Cyprus, Czech Republic, Germany,
United Kingdom, France, Estonia,  United Kingdom, Macedonia,
Poland, Romania, Serbia and Montenegro, Turkey, Ukraine, and
Wales.


===========================
C Z E C H   R E P U B L I C
===========================


POLYONE CORP: Moody's Assigns Loss-Given-Default Ratings
--------------------------------------------------------
In connection with Moody's Investors Service's implementation of
its new Probability-of-Default and Loss-Given-Default rating
methodology for the U.S. Chemicals and Allied Products sector,
the rating agency confirmed its B2 Corporate Family Rating for
PolyOne Corp.

Moody's also upgraded its probability-of-default ratings and
assigned loss-given-default ratings on these debts:

                                                   Projected
                        Old POD  New POD  LGD      Loss-Given
   Debt Issue           Rating   Rating   Rating   Default
   ----------           -------  -------  ------   ----------
   US$300 million
   10.625%
   Sr Global Unsec
   Notes
   due 5/2010           B3       B2       LGD4     59%

   US$200 million
   8.875%
   Sr Unsec Notes
   due 5/2012           B3       B2       LGD4     59%

   US$50 million
   7.5%
   Sr Unsec Debentures
   due 12/2015          B3       B2       LGD4     59%

   US$20 million
   7.11%
   Unsec MTN P.S.#3
   due 6/2007           B3       B2       LGD4     59%

   US$10 million
   7.16%
   Unsec MTN P.S.#4
   due 6/2008           B3       B2       LGD4     59%

   US$10 million
   6.89%
   Unsec MTN P.S.#6
   due 9/2008           B3       B2       LGD4     59%

   US$20 million
   6.91%
   Unsec MTN P.S.#7
   due 10/2009          B3       B2       LGD4     59%

   US$20 million
   6.52%
   Unsec MTN P.S.#8
   due 2/2010           B3       B2       LGD4     59%

   US$20 million
   6.58%
   Unsec MTN P.S.#9
   due 2/2011           B3       B2       LGD4     59%

Moody's explains that current long-term credit ratings are
opinions about expected credit loss, which incorporate both the
likelihood of default and the expected loss in the event of
default.  The LGD rating methodology will disaggregate these two
key assessments in long-term ratings.  The LGD rating
methodology will also enhance the consistency in our notching
practices across industries and will improve the transparency
and accuracy of our ratings as our research has shown that
credit losses on bank loans have tended to be lower than those
for similarly rated bonds.

Probability-of-default ratings are assigned only to issuers, not
specific debt instruments, and use the standard Moody's alpha-
numeric scale.  They express Moody's opinion of the likelihood
that any entity within a corporate family will default on any of
its debt obligations.

Loss-given-default assessments are assigned to individual rated
debt issues -- loans, bonds, and preferred stock.  Moody's
opinion of expected loss are expressed as a percent of principal
and accrued interest at the resolution of the default, with
assessments ranging from LGD1 (loss anticipated to be 0% to 9%)
to LGD6 (loss anticipated to be 90% to 100%).

Headquartered in Avon Lake, Ohio, PolyOne Corp. --
http://www.polyone.com/-- is a global compounding and North
American distribution company with operations in thermoplastic
compounds, specialty polyvinyl chloride (PVC) vinyl resins,
specialty polymer formulations, color and additive systems, and
thermoplastic resin distribution, with equity investments in
manufacturers of PVC resin and its intermediates.  The Company
has 53 manufacturing sites and 14 warehouses in North America,
Europe and Asia.  In Europe, PolyOne maintains operations in
Belgium, Czech Republic, Denmark, France, Germany, Hungary,
Italy, Poland, Spain, Sweden, Turkey, and the United Kingdom.


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


PQ CORP: Moody's Assigns Loss-Given-Default Ratings
---------------------------------------------------
In connection with Moody's Investors Service's implementation of
its new Probability-of-Default and Loss-Given-Default rating
methodology for the U.S. Chemicals and Allied Products sector,
the rating agency confirmed its B1 Corporate Family Rating for
PQ Corp.

Moody's also revised and held its probability-of-default ratings
and assigned loss-given-default ratings on these two loans and a
bond issue:

                                                   Projected
                        Old POD  New POD  LGD      Loss-Given
   Debt Issue           Rating   Rating   Rating   Default
   ----------           -------  -------  ------   ----------
   US$365 million
   Gtd Sr
   Sec Term Loan
   due 2012             B1       Ba2      LGD2     26%

   US$275 million
   7.50%
   Gtd Sr Sub Notes
   due 2013             B3       B3       LGD5     84%

   US$100 million
   Gtd Sr
   Sec Credit Facility
   due 2011             B1       Ba2      LGD2     26%

Moody's explains that current long-term credit ratings are
opinions about expected credit loss, which incorporate both the
likelihood of default and the expected loss in the event of
default.  The LGD rating methodology will disaggregate these two
key assessments in long-term ratings.  The LGD rating
methodology will also enhance the consistency in our notching
practices across industries and will improve the transparency
and accuracy of our ratings as our research has shown that
credit losses on bank loans have tended to be lower than those
for similarly rated bonds.

Probability-of-default ratings are assigned only to issuers, not
specific debt instruments, and use the standard Moody's alpha-
numeric scale.  They express Moody's opinion of the likelihood
that any entity within a corporate family will default on any of
its debt obligations.

Loss-given-default assessments are assigned to individual rated
debt issues -- loans, bonds, and preferred stock.  Moody's
opinion of expected loss are expressed as a percent of principal
and accrued interest at the resolution of the default, with
assessments ranging from LGD1 (loss anticipated to be 0% to 9%)
to LGD6 (loss anticipated to be 90% to 100%).

Headquartered in Berwyn, Pennsylvania, PQ Corp. --
http://www.pqcorp.com/ -- manufactures silicate, zeolite, and
other performance materials serving the detergent, pulp and
paper, chemical, petroleum, catalyst, water treatment,
construction, and beverage markets.  It is a global enterprise,
operating in 19 countries on five continents, and along with its
chemical businesses, includes Potters Industries, a wholly owned
subsidiary, which is a leading producer of engineered glass
materials serving the highway safety, polymer additive, metal
finishing, and conductive particle markets.  In Europe, the
company maintains facilities and sales offices in The
Netherlands, France, Germany, Norway, Finland, and Italy.


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


BEARINGPOINT: Solicits Consents from Certain Debenture Holders
--------------------------------------------------------------
BearingPoint Inc. is soliciting consents from the holders of
certain bonds to amend existing agreements governing these
bonds.  Specifically, the company seeks to amend the agreements
and obtain waivers relating to the company's U.S. Securities and
Exchange Commission reporting requirements.  The amendments and
waivers affect the company's:

   -- 2.50% Series A Convertible Subordinated Debentures due
      2024 (CUSIP No. 074002AA4),

   -- 2.75% Series B Convertible Subordinated Debentures due
      2024 (CUSIP No. 074002AB2) (Series B Debentures) and

   -- 5.00% Convertible Senior Subordinated Debentures due 2025
      (CUSIP No. 0074000AE0).

Holders of record as of 5:00 p.m., New York City time, on
Oct. 17, 2006, who validly deliver and do not revoke their
consents will receive a consent fee. The consent solicitation is
expected to expire at 5:00 p.m., New York City time, on
Oct. 26, 2006, unless extended by the company.

Bearingpoint is involved in a dispute with certain holders of
the Series B Debentures who have alleged that the company is in
default under the applicable indenture as result of the
company's failure to timely provide certain periodic SEC reports
to the trustee.  Although the indenture expressly states that
the company provide copies of the annual and quarterly reports
filed with the SEC within 15 days after they are filed with the
SEC, these holders allege that the company is in default because
it has not filed these reports with the SEC on a timely basis.
In addition, the New York State Supreme Court for New York
County recently entered an order finding the company in default
under such indenture.  The company believes that there are
serious errors in the court's ruling and intends to pursue its
rights and remedies in that regard and has filed an appeal.

To resolve the uncertainties created by the court's ruling,
Bearingpoint is seeking consents to proposed amendments of
certain provisions of the indenture governing each series of the
Debentures and a waiver of defaults thereunder, until Oct. 31,
2007.  This includes any default or event of default that may
arise by virtue of the company's failure to file with the
SEC and further to furnish to the trustee and holders of
Debentures, certain reports required to be filed by the company
under the Securities Exchange Act of 1934, as amended. The
company also seeks a rescission of any acceleration related to
the company's failure to file such SEC reports.

The effectiveness of the proposed amendments and waiver and the
payment of the consent fee are subject to the receipt of valid
consents that are not revoked in respect of at least a majority
of the aggregate principal amount outstanding of each series of
the Debentures.  Holders of the Debentures may revoke their
consents at any time before the proposed amendments and waiver
become effective, but upon receipt by the company of the
consents of a majority of the aggregate principal amount
outstanding of each series of the Debentures, the waiver will
become effective and consents may no longer be revoked.
Bearingpoint has the right to waive or amend the terms and
conditions of the offer. The amendment and waiver will also
include the waiver of any and all rights to accelerate the
Debentures that may arise under the indenture as a result of the
failure of another series of Debentures to consent to the
proposed amendments and waiver.  Furthermore, if the company
does not receive the requisite consents from all series of
Debentures, the company will continue to explore all available
options with respect to its debt.

Holders of each series of record as of 5:00 p.m., New York City
time, on Oct. 17, 2006, who validly deliver and do not revoke
their consents will receive an initial consent fee for each
US$1,000 in principal amount of Debentures with respect to which
consents are received equal to the product of US$10.00
multiplied by a fraction, the numerator of which is the
aggregate principal amount of such series of Debentures
outstanding on the expiration date and the denominator of which
is the aggregate principal amount of such series of Debentures
as to which the company received and accepted consents.  If the
company has not filed the Required Reports with the SEC by 5:30
pm, New York City time on Oct. 31, 2007, the company has the
option to pay to these holders an additional US$2.50 for each
US$1,000 in principal amount of such series of Debentures as to
which the company has received and accepted consents, which will
extend the deadline for filing Required Reports for one
additional year.

The Liability Management Group of Citigroup Corporate and
Investment Banking is serving as the solicitation agent for the
consent solicitation.  Questions regarding the consent
solicitation may be directed to:

          The Liability Management Group
          Tel: (800) 558-3745 (toll-free)
               (212) 723-6106.

The information agent for the consent solicitation is Global
Bondholder Services Corporation.  Requests for copies of the
Consent Solicitation Statement and related documents may be
directed to:

         Global Bondholder Services Corp.
         Tel: (866) 857-2200 (toll- free)
              (212) 430-3774

Headquartered in McLean, Virginia, BearingPoint, Inc., (NYSE:
BE) -- http://www.BearingPoint.com/-- provides of management
and technology consulting services to Global 2000 companies and
government organizations in 60 countries worldwide.  The firm
has approximately 17,500 employees, and major practice areas
focusing on the Public Services, Financial Services and
Commercial Services markets.

BearingPoint has global locations in Australia, Austria, Brazil,
China, France, India, Indonesia, Japan, Mexico, Portugal,
Singapore, Thailand, and the United Kingdom, among others.

                         *     *     *

As reported in the TCR-Europe on Oct. 11, Moody's
downgraded and placed these ratings on review for further
possible downgrade:

   * Corporate Family Rating --downgraded to B2 from B1

   * US$250 million series A subordinated convertible bonds due
     2024 --downgraded to B3 from B2

   * US$200 million series B subordinated convertible bonds due
     2024 --downgraded to B3 from B2


BEARINGPOINT: Gets US$69MM Deal to Boost Jordan Competitiveness
---------------------------------------------------------------
BearingPoint Inc. has been awarded a contract by the United
States Agency for International Development or USAID to
implement the Sustainable Achievement of Business Expansion and
Quality program or SABEQ for Jordan.  The purpose of SABEQ is to
spur economic growth and reduce poverty in the country by
increasing the number of jobs available to Jordanians and
enhancing the competitiveness of Jordanian firms, important
steps the Government of Jordan is taking to meet its goal of
increasing economic growth to reduce poverty.  The five-year
contract is estimated at approximately US$69 million.

The SABEQ program is the cornerstone of USAID and Jordan's
economic growth efforts, and is designed to provide a flexible
and integrated set of services in four areas:

   -- Improve financial integrity, oversight and broaden capital
      markets,

   -- Expand trade and investment,

   -- Remove Government of Jordan constraints to achieving
      private sector competitiveness, and

   -- Enhance productivity.

James Horner, the senior vice president of BearingPoint's
Emerging Markets practice, stated, "BearingPoint's extensive
experience in economic governance for a wide range of
international economies will be a tremendous asset to this
project.  Our team looks forward to continuing to work with
USAID and the Government of Jordan on this and other projects."

This is the second recent contract BearingPoint has received
through USAID to work with the Government of Jordan.  Earlier
this year, BearingPoint was awarded a US$14 million contract to
provide technical assistance in the area of fiscal reform, with
a focus on tax policy, tax administration and budget management.

BearingPoint's Emerging Markets practice is active in
approximately 60 nations worldwide, providing management,
economic, and technology consulting services to developed and
developing economies.  Several core areas of expertise within
the Emerging Markets practice include:

   -- Accelerating public sector reform, promoting economic
      growth and improving public services;

   -- Creating an environment to support private sector growth,
      attracting new investment and increasing employment; and

   -- Using information technology to build capacity and enhance
      competitiveness.

Headquartered in McLean, Virginia, BearingPoint, Inc., (NYSE:
BE) -- http://www.BearingPoint.com/-- provides of management
and technology consulting services to Global 2000 companies and
government organizations in 60 countries worldwide.  The firm
has approximately 17,500 employees, and major practice areas
focusing on the Public Services, Financial Services and
Commercial Services markets.

BearingPoint has global locations in Australia, Austria, Brazil,
China, France, India, Indonesia, Japan, Mexico, Portugal,
Singapore, Thailand, and the United Kingdom, among others.

                         *     *     *

As reported in the TCR-Europe on Oct. 11, Moody's
downgraded and placed these ratings on review for further
possible downgrade:

   * Corporate Family Rating --downgraded to B2 from B1

   * US$250 million series A subordinated convertible bonds due
     2024 --downgraded to B3 from B2

   * US$200 million series B subordinated convertible bonds due
     2024 --downgraded to B3 from B2


BEARINGPOINT INC: Names Judy Ethell as Chief Financial Officer
--------------------------------------------------------------
BearingPoint Inc. named Judy Ethell -- a member of its executive
leadership team and the company's Chief Accounting Officer -- as
chief financial officer.  She will report to Harry You, the
company's Chief Executive Officer.

Ms. Ethell will retain her title as Chief Accounting Officer
while Mr. You, who became interim Chief Financial Officeer in
May 2005, will focus solely on his role as Chief Executive
Officer.

As BearingPoint's Executive Vice President and Chief Accounting
Officer over the last 15 months, Ms. Ethell transformed the
finance organization, leading a comprehensive effort to retool
and materially upgrade BearingPoint's accounting, financial
reporting and auditing functions.  Her involvement was crucial
to the completion of the audit of the company's 2004 financial
statements and she is leading the effort to complete the audit
on the 2005 and 2006 financial statements.  Ms. Ethell was also
responsible for developing and implementing new global financial
control, human resource, and client reporting systems.

Mr. You said, "Judy has been instrumental in driving our efforts
to become compliant with our filings, to transform our finance
organization and to create a platform upon which we can deliver
the highest quality service to our global customer base.  I have
worked directly with Judy over the past year and have seen
firsthand her strength leading our corporate finance and
accounting initiatives.  Judy's tremendous contribution to the
finance transformation efforts taking place across BearingPoint
made her the clear choice for the job."

A native of St. Louis, Mo., and a Certified Public Accountant
for 23 years, Ms. Ethell has more than 20 years of professional
experience working with Fortune 500 companies with Sarbanes-
Oxley readiness and testing from a systems, processes and
procedures perspective.  Prior to joining BearingPoint in July
2005, Ethell served as Tax Partner in charge of the St. Louis
office of PricewaterhouseCoopers, LLP, where she was responsible
for managing 120 professionals in all aspects of the business.

Ms. Ethell said, "I am thrilled to continue my efforts under
Harry and work with the BearingPoint management team in this new
role.  Together, we have achieved significant progress in a
short time, and we are now much better positioned for future
success.  I look forward to the opportunities of the new
position."

Headquartered in McLean, Virginia, BearingPoint, Inc., (NYSE:
BE) -- http://www.BearingPoint.com/-- provides of management
and technology consulting services to Global 2000 companies and
government organizations in 60 countries worldwide.  The firm
has approximately 17,500 employees, and major practice areas
focusing on the Public Services, Financial Services and
Commercial Services markets.

BearingPoint has global locations in Australia, Austria, Brazil,
China, France, India, Indonesia, Japan, Mexico, Portugal,
Singapore, Thailand, and the United Kingdom, among others.

                         *     *     *

As reported in the TCR-Europe on Oct. 11, Moody's
downgraded and placed these ratings on review for further
possible downgrade:

   * Corporate Family Rating --downgraded to B2 from B1

   * US$250 million series A subordinated convertible bonds due
     2024 --downgraded to B3 from B2

   * US$200 million series B subordinated convertible bonds due
     2024 --downgraded to B3 from B2


POLYMER GROUP: Finalizes Deal to Buy Spunbond Line in Argentina
---------------------------------------------------------------
Polymer Group Inc. has finalized a contract with Reifenhauser
REICOFIL to purchase a state-of-the-art spunbond line for the
expansion of its Dominion Nonwovens Sudamericana SA facility
near Buenos Aires, Argentina.

The new wide-width, multi-beam line will be a Reifenhauser
REICOFIL 4 spunbond line that will increase the capacity of
Dominion Nonwovens.  The new line comes in response to
customers' needs for its products in the South American region.
Continued growth in the Mercosur trading region is increasing
customer demand for the high-quality materials that Polymer
Group has built a reputation for providing at Dominion
Nonwovens.

Polymer Group will begin construction of the new facility in the
fourth quarter of this year and expects to complete installation
of the line by the end of fiscal year 2007.  This will enable
Dominion Nonwovens to begin producing high-quality fine denier
products for customers that meet the highest standards in the
industry.

William B. Hewitt, Polymer Group's interim chief executive
officer, stated, "Polymer Group's strategy of growing on a
global basis to provide the right products where customers need
them continues to be a focus for our business.  Our strategic
relationship with Reifenhauser REICOFIL has been paramount to
executing that strategy for many years and we are focused on
sustaining the mutually beneficial relationship for many years
to come.  By leveraging the industry leading strengths of each
company, PGI (Polymer Group) will continue to demonstrate its
commitment to its customers and core markets."

Headquartered in Charlotte, North Carolina, Polymer Group, Inc.
-- http://www.polymergroupinc.com/-- is a global, technology-
driven developer, manufacturer and marketer of engineered
materials.  The company has manufacturing offices in Argentina,
China and France, among others.

                        *     *     *

The Troubled Company Reporter - Asia Pacific reports that in
connection with Moody's Investors Service's implementation of
its new Probability-of-Default and Loss-Given-Default rating
methodology for the US Consumer Products, Beverage, Toy, Natural
Product Processors, Packaged Food Processors and Agricultural
Cooperative sectors, the rating agency confirmed its B2
Corporate Family Rating for Polymer Group, Inc.

Additionally, Moody's held its probability-of-default ratings
and assigned loss-given-default ratings on these loans and bond
debt obligations:

                                                   Projected
                        Old POD  New POD  LGD      Loss-Given
   Debt Issue           Rating   Rating   Rating   Default
   ----------           -------  -------  ------   ----------
   US$45 million Sr.
   Secured Revolver
   due 2010             B1       B1       LGD3     33%

   US$410 million Sr.
   Secured Term
   Loan B due 2012      B1       B1       LGD3     33%


UNIFRAX CORP: Moody's Assigns Loss-Given-Default Ratings
--------------------------------------------------------
In connection with Moody's Investors Service's implementation of
its new Probability-of-Default and Loss-Given-Default rating
methodology for the U.S. Chemicals and Allied Products sector,
the rating agency confirmed its B2 Corporate Family Rating for
Unifrax Corp.

Moody's also upgraded its probability-of-default ratings and
assigned loss-given-default ratings on these loans facilities:

                                                   Projected
                        Old POD  New POD  LGD      Loss-Given
   Debt Issue           Rating   Rating   Rating   Default
   ----------           -------  -------  ------   ----------
   US$50 million
   Gtd Sr Sec
   Revolver due 2012    B2       Ba3      LGD2     28%

   US$180 million
   Gtd Sr
   Sec Term Loan B
   due 2013             B2       Ba3      LGD2     28%

Moody's explains that current long-term credit ratings are
opinions about expected credit loss, which incorporate both the
likelihood of default and the expected loss in the event of
default.  The LGD rating methodology will disaggregate these two
key assessments in long-term ratings.  The LGD rating
methodology will also enhance the consistency in our notching
practices across industries and will improve the transparency
and accuracy of our ratings as our research has shown that
credit losses on bank loans have tended to be lower than those
for similarly rated bonds.

Probability-of-default ratings are assigned only to issuers, not
specific debt instruments, and use the standard Moody's alpha-
numeric scale.  They express Moody's opinion of the likelihood
that any entity within a corporate family will default on any of
its debt obligations.

Loss-given-default assessments are assigned to individual rated
debt issues -- loans, bonds, and preferred stock.  Moody's
opinion of expected loss are expressed as a percent of principal
and accrued interest at the resolution of the default, with
assessments ranging from LGD1 (loss anticipated to be 0% to 9%)
to LGD6 (loss anticipated to be 90% to 100%).

Headquartered in Niagara Falls, New York, Unifrax Corp. --
http://www.unifrax.com/-- manufactures heat-resistant ceramic
fibers used primarily as insulation in automotive, commercial,
and industrial applications.  The company's brands include
Fiberfrax, Insulfrax, and Isofrax.  Unifrax maintains sales
offices and manufacturing facilities in Australia, Brazil,
France, Germany, India, the United Kingdom, the United States,
and Venezuela.


VNESHTORGBANK JSC: Might Sell EADS Stake at Profit
--------------------------------------------------
Vneshtorgbank JSC is considering selling its five percent stake
in Franco-German company European Aeronautic Defense and Space
Company Co., RIA Novosti cites Industry and Energy Minister
Viktor Khristenko.

"VTB's deal to buy 5% in EADS is a financial transaction, and
whether it will develop into a strategic one remains to be seen.
Perhaps it will lead to an equally simple financial operation --
the sale of the shares on more profitable terms," Mr. Khristenko
told members of the lower house of the parliament.

In September, Russian President Vladimir Putin said VTB might
transfer its stake in EADS to United Aircraft Building
Corporation -- a state-controlled group formed to consolidate
major domestic aircraft assets -- if the owners of the aerospace
giant agree to give a larger chunk of Airbus contracts to
Russian manufacturers.  EADS now owns 100% of Airbus after
recently purchasing the 20% stake from BAE Systems for EUR2.75
billion.

As reported in the TCR-Europe on Sept. 14, Vneshtorgbank bought
a 5% stake in EADS for EUR922 million.  The state-owned
Vneshtorgbank, which is holding the shares for the Russian
aerospace industry, has been purchasing shares in the defense
and aerospace contractor for months.

                       About Vneshtorgbank

Headquartered in Moscow, Russia, JSC Vneshtorgbank and its
subsidiaries are a leading Russian commercial banking group,
offering a wide range of banking services and conducting
operations in both Russian and international markets.

As of Dec. 31, 2005, the Group had a network of 151 branches,
including 55 branches of VTB, 42 branches of VTB Retail Services
and 54 branches of Industry and Construction Bank, located in
major Russian regions.  The Group operates through three
subsidiaries located in the CIS (Armenia, Georgia, Ukraine),
seven subsidiaries located in Western Europe (Austria, Cyprus,
Switzerland, Germany, Luxembourg, France) and Great Britain and
through five representative offices located in India, Italy,
China, Byelorussia and Ukraine.

                        *     *     *

As reported in TCR-Europe on July 31, following the recent
upgrade of the Russian sovereign foreign and local currency IDRs
to BBB+ from BBB, Fitch Ratings lifted Vneshtorgbank and
Vnesheconombank ratings at:

Vnesheconombank:

   -- Upgraded to IDR BBB+ from BBB with a Stable Outlook; and
   -- Short-term upgraded to F2 from F3, Support affirmed at 2.

Vneshtorgbank:

   -- Upgraded to foreign currency and local currency IDR BBB+
      from BBB with a Stable Outlook;

   -- Short-term upgraded to F2 from F3;

   -- Individual affirmed at C/D; and

   -- Support affirmed at 2.


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


APO-MEDICS: Claims Registration Ends October 30
-----------------------------------------------
Creditors of apo-medics GmbH have until Oct. 30 to register
their claims with court-appointed provisional administrator
Stefan Meyer.

Creditors and other interested parties are encouraged to attend
the meeting at 9:45 a.m. on Nov. 20 at which time the
administrator will present his first report on the insolvency
proceedings.

The meeting of creditors will be held at:

         The District Court of Bielefeld
         Hall 4065
         4 Floor
         Court Route 6
         33602 Bielefeld, Germany

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

The District Court of Bielefeld opened bankruptcy proceedings
against apo-medics GmbH on Sept. 15.  Consequently, all pending
proceedings against the company have been automatically stayed.

The Debtor can be contacted at:

         apo-medics GmbH
         Siegfriedstr. 24
         32312 Luebbecke, Germany

         Attn: Arne Drekmeier and Christoph Niermann, Managers
         Diebrocker Str. 604
         32051 Herford, Germany

The administrator can be contacted at:

         Stefan Meyer
         Ostertorstr. 7
         32312 Luebbecke, Germany


BENQ CORP: BenQ Mobile Confirms 1,900 Job Cuts in Germany
---------------------------------------------------------
BenQ Mobile GmbH & Co. OHG, the bankrupt German unit of BenQ
Corp., confirmed plans to cut 1,900 jobs of its 3,000-strong
workforce, Deutsche Welle reports.

BenQ Mobile administrator Martin Prager said the cuts would
affect all areas of the business including administration,
marketing, sales and production.  According to the report, 1,100
jobs will be reduced at the company's Kamp Lintfort site and
around 850 jobs in Munich.  Mr. Prager said that the
reorganization would help safeguard the remaining 1,150 jobs at
the insolvent division.

"After three weeks of intensive scrutiny, it's clear that this
is the only chance to save the company as a whole," Mr. Prager
told a news conference last week.

Mr. Prager previously disclosed that the insolvent handset maker
is now working on a new business model that will focus on
research, development and design.  The remaining business would
develop and manufacture mobile phone handsets under license for
other makers, the German daily says.

The company intends to raise a profit by the end of the year in
order to invite investors to rescue the troubled handset maker,
after losing EUR850 million (US$1 billion) in the past 12
months.

As reported in the TCR-Europe on Oct. 10, the IG Metall union in
Germany was investigating the possibility of a legal action,
possibly through a class action, to preserve the jobs of 3,000
BenQ Mobile staff who now stand to lose their jobs after the
company's insolvency filing.

The planned suit is aimed at forcing Siemens to create a EUR200-
million emergency program for the affected workers.

In defense, Siemens spokesman Marc Langendorf said: "So far
we've been the only ones to contribute substantial aid to the
affected employees, without it being legally binding on us to do
so," pointing to a special EUR35-million fund set up for
affected BenQ Mobile's employees.

Headquartered in Taiwan, Republic of China, BenQ Corporation,
Inc. -- http://www.benq.com/-- is principally engaged in
manufacturing, developing and selling of computer peripherals
and telecommunication products.  It is also a major provider of
3G handset, 3G handset, Camera phones, and other products.  BenQ
Mobile GmbH & Co., the company's wholly owned subsidiary,
operates from Munich, Germany.  BenQ Mobile filed for insolvency
in Germany on Sept. 29, with Martin Prager serving as insolvency
manager.  The collapse came a year after Siemens sold the
company to Taiwanese technology group BenQ.  BenQ Mobile has
lost market share against giant competitors.


DWT WASSERTECHNIK: Claims Registration Ends October 30
------------------------------------------------------
Creditors of DWT Wassertechnik GmbH have until Oct. 30 to
register their claims with court-appointed provisional
administrator Juergen Wallner.

Creditors and other interested parties are encouraged to attend
the meeting at 11:15 a.m. on Nov. 27 at which time the
administrator will present his first report on the insolvency
proceedings.

The meeting of creditors will be held at:

         The District Court of Halle-Saalkreis
         Hall 1.043
         Judicial Center
         Thueringer Str. 16
         06112 Halle, Germany

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

The District Court of Halle-Saalkreis opened bankruptcy
proceedings against DWT Wassertechnik GmbH on Sept. 1.
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be contacted at:

         DWT Wassertechnik GmbH
         Doeckritzanger 8a
         06193 Sennewitz, Germany

         Attn: Manfred Worschech, Manager
         Drosselweg 3
         06188 Oppin, Germany

The administrator can be contacted at:

         Dr. Juergen Wallner
         Delitzscher Road 70
         06112 Halle, Germany
         Tel: 0345/614080
         Fax: 0345/6140810


HALLENSER BLUMEN: Claims Registration Ends October 30
-----------------------------------------------------
Creditors of Hallenser Blumen GmbH have until Oct. 30 to
register their claims with court-appointed provisional
administrator Ruediger Weiss.

Creditors and other interested parties are encouraged to attend
the meeting at 11:00 a.m. on Nov. 28 at which time the
administrator will present his first report on the insolvency
proceedings.

The meeting of creditors will be held at:

         The District Court of Halle-Saalkreis
         Hall 1.043
         Judicial Center
         Thueringer Str. 16
         06112 Halle, Germany

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

The District Court of Halle-Saalkreis opened bankruptcy
proceedings against Hallenser Blumen GmbH on Sept. 1.
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be contacted at:

         Hallenser Blumen GmbH
         Attn: Ursula Glade and Burghard Jentzsch, Managers
         Gutsstrasse 4
         06132 Halle, Germany

The administrator can be contacted at:

         Ruediger Weiss
         Delitzscher Road 70
         06112 Halle, Germany
         Tel: 0345/614080
         Fax: 0345/6140810


KABEL DEUTSCHLAND: Aims to Terminate 400 Technical Workers
----------------------------------------------------------
Kabel Deutschland GmbH plans to terminate 400 technical jobs,
Bloomberg reports citing Berliner Zeitung as its source.

Majority of the employees at risk of losing their jobs have the
right to transfer back to Deutsche Telekom AG, Berliner cited an
unidentified spokesman of the company as saying.

The spokesman added that service jobs at the company would not
be affected.

Based in Germany, Kabel Deutschland GmbH --
http://www.kabeldeutschland.com/-- is the largest network Level
three cable television provider in Germany.  For the nine months
ended Dec. 31, 2005, the company generated total revenues of
EUR754 million with EBITDA of EUR308.1 million.

                           *    *    *

As reported in the TCR-Europe on May 15, Moody's Investors
Service affirmed ratings of Kabel Deutschland GmbH at:

   -- corporate family rating at Ba3;
   -- EUR250 million senior notes at B2; and
   -- US$610 million senior notes at B2.

The company carries BB- Issuer Default Rating with Stable
Outlook by Fitch Ratings.  Fitch placed BB+ ratings on Kabel's
EUR1.35 billion secured bank facilities.

Standard & Poors Ratings Services rates the company at B+ long-
term corporate credit rating.  Outlook is Negative.


KARSTADTQUELLE AG: Denies Profit Warning Speculation Report
-----------------------------------------------------------
KarstadtQuelle AG, Essen, rejects speculation on the part of
German business information publisher Platow Brief that
KarstadtQuelle AG is preparing a profits warning.

"This speculation lacks any foundation.  This is evidently an
attempt, based on unfounded rumors, to undermine KarstadtQuelle
AG's share price," Group spokesperson Joerg Howe said.

"We are not preparing a profits warning, on the contrary,
Karstadt's department stores are performing better than the
market and better than planned," Mr. Howe continued.

The KarstadtQuelle spokesperson described Platow Brief's
assertion that the Karstadt department stores had entered into
new discount wars as totally absurd.

"The opposite is true: our improved sales performance in the
department stores has not been generated at the expense of
margins or earnings.  The Platow Brief is acting on totally
incorrect information, this is irresponsible reporting,"
explained Howe.

Mr. Howe confirmed the KarstadtQuelle Group would achieve its
announced earnings targets.

                      About KarstadtQuelle

Headquartered in Essen, Germany, KarstadtQuelle AG --
http://www.karstadtquelle.com/-- operates department stores and
mail order businesses.  It has annual sales of EUR15.5 billion
and employs around 70,000.  The retailer has been suffering from
sluggish consumption and high unemployment rate in Germany.
KarstadtQuelle posted an EBITDA of -EUR428 million in 2004.  The
group is currently restructuring operations by selling off non-
core assets and implementing cost-saving measures.

The group achieved and exceeded its targets for the 2005
financial year.  Group sales, adjusted for the strong impact of
the realignment, were EUR15.45 billion, compared to EUR16.14
billion in the previous year, down 4.2 percent.  Adjusted EBITDA
improved by 5.1 percent to EUR544 million, compared to EUR518
million in the previous year.  In 2005, net financial
liabilities were reduced by a third to EUR3.0 billion (including
Thomas Cook), down from EUR4.5 billion in the previous year.

In the first six months of 2006, adjusted group sales totaled
EUR6.5 billion (2005: EUR6.8 billion).  Adjusted EBITDA declined
to -EUR41.7 million, compared with EUR19.4 million in 2005.  As
of June 30, 2006, net financial liabilities (pro forma) stood at
EUR600 million.


LINZBACH FOTO: Claims Registration Ends October 30
--------------------------------------------------
Creditors of Linzbach Foto-Studios GmbH & Co. have until Oct. 30
to register their claims with court-appointed provisional
administrator Bernd Depping.

Creditors and other interested parties are encouraged to attend
the meeting at 9:10 a.m. on Nov. 20 at which time the
administrator will present his first report on the insolvency
proceedings.

The meeting of creditors will be held at:

         The District Court of Essen
         Hall 293
         2nd Floor
         Principal Establishment
         Gelber Bereich
         Zweigertstr. 52
         45130 Essen, Germany

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

The District Court of Essen opened bankruptcy proceedings
against Linzbach Foto-Studios GmbH & Co. on Sept. 8.
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be contacted at:

         Linzbach Foto-Studios GmbH & Co.
         Attn: Ralph Linzbach, Manager
         Kupferdreher Str. 178
         45257 Essen, Germany

The administrator can be contacted at:

         Bernd Depping
         Alfredstr. 108-112
         45131 Essen, Germany
         Tel: (0201) 879040
         Fax: (0201) 8790412


M&L HANDELSGESELLSCHAFT: Creditors' Meeting Slated for Oct. 30
--------------------------------------------------------------
The court-appointed provisional administrator M&L
Handelsgesellschaft mbH, Bjoern Gehde, will present his first
report on the Company's insolvency proceedings at a creditors'
meeting at 10:50 a.m. on Oct. 30.

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

         The District Court of Charlottenburg
         II. Stock Hall 218
         District Court Place 1
         14057 Berlin, Germany

The Court will also verify the claims set out in the
administrator's report at 10:40 a.m. on Feb. 5, 2007, at the
same venue.

Creditors have until Dec. 6 to register their claims with the
court-appointed provisional administrator.

The District Court of Charlottenburg opened bankruptcy
proceedings against M&L Handelsgesellschaft mbH on Sept. 13.
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be reached at:

         M&L Handelsgesellschaft mbH
         Motzener Str.5
         12277 Berlin, Germany

The administrator can be reached at:

         Dr. Bjoern Gehde
         Goethestr. 85
         10623 Berlin, Germany


MARTINEZ CHOCOLADE: Claims Registration Ends Oct. 30
----------------------------------------------------
Creditors of Martinez Chocolade Deutschland GmbH have until
Oct. 30 to register their claims with court-appointed
provisional administrator Claudia Jansen.

Creditors and other interested parties are encouraged to attend
the meeting at 8:50 a.m. on Dec. 12 at which time the
administrator will present his first report on the insolvency
proceedings.

The meeting of creditors will be held at:

         The District Court of Frankfurt/Main
         Hall 1
         Building F
         Klingerstrasse 20
         60313 Frankfurt/Main, Germany

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

The District Court of Frankfurt/Main opened bankruptcy
proceedings against Martinez Chocolade Deutschland GmbH on
Sept. 1.  Consequently, all pending proceedings against the
company have been automatically stayed.

The Debtor can be contacted at:

         Martinez Chocolade Deutschland GmbH
         Boersenplatz 7-11
         60313 Frankfurt/Main, Germany

         Attn: Eva Lange, Manager
         Kaufunger Road 14
         60486 Frankfurt/Main, Germany

The administrator can be contacted at:

         Claudia Jansen
         Bockenheimer Highway 20
         D-60323 Frankfurt/Main, Germany
         Tel: 069/4272686-5270
         Fax: 069/4272686-5555


MB MATRATZEN: Claims Registration Ends October 30
-------------------------------------------------
The court-appointed provisional administrator MB Matratzen &
Betten Betriebsgesellschaft mbH, Bjoern Gehde, will present his
first report on the Company's insolvency proceedings at a
creditors' meeting at 11:55 a.m. on Oct. 30.

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

         The District Court of Charlottenburg
         II. Stock Hall 218
         District Court Place 1
         14057 Berlin, Germany

The Court will also verify the claims set out in the
administrator's report at 10:45 a.m. on Feb. 5, 2007, at the
same venue.

Creditors have until Oct. 31 to register their claims with the
court-appointed provisional administrator.

The District Court of Charlottenburg opened bankruptcy
proceedings against MB Matratzen & Betten Betriebsgesellschaft
mbH on Dec. 6.  Consequently, all pending proceedings against
the company have been automatically stayed.

The Debtor can be reached at:

         MB Matratzen & Betten Betriebsgesellschaft mbH
         Potsdamer Str. 152
         10783 Berlin, Germany

The administrator can be reached at:

         Dr. Bjoern Gehde
         Goethestr. 85
         10623 Berlin, Germany


P BI DER SPORT: Claims Registration Ends October 30
---------------------------------------------------
Creditors of P Bi der Sport Vertriebs GmbH have until Oct. 30 to
register their claims with court-appointed provisional
administrator Markus Eibofner.

Creditors and other interested parties are encouraged to attend
the meeting at 8:00 a.m. on Nov. 20 at which time the
administrator will present his first report on the insolvency
proceedings.

The meeting of creditors will be held at:

         The District Court of Ludwigsburg
         Hall 2008
         Palace Schuetz
         Schorndorfer Road 28
         Ludwigsburg, Germany

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

The District Court of Ludwigsburg opened bankruptcy proceedings
against P Bi der Sport Vertriebs GmbH on Sept. 13.
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be contacted at:

         P Bi der Sport Vertriebs GmbH
         Attn: Josef Blasing, Manager
         Bahnhofstr. 43
         71272 Renningen, Germany

The administrator can be contacted at:

         Markus Eibofner
         Wilhelmstr. 4
         70182 Stuttgart, Germany


STENGELIN VERWALTUNGS: Claims Registration Ends October 30
----------------------------------------------------------
Creditors of Stengelin Verwaltungs GmbH have until Oct. 30 to
register their claims with court-appointed provisional
administrator Fritz Zanker.

Creditors and other interested parties are encouraged to attend
the meeting at 2:00 p.m. on Nov. 29 at which time the
administrator will present his first report on the insolvency
proceedings.

The meeting of creditors will be held at:

         The District Court of Rottweil
         Room 0.05
         Ground Floor
         Branch Office
         Koernerstr. 29
         Rottweil, Germany

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

The District Court of Rottweil opened bankruptcy proceedings
against Stengelin Verwaltungs GmbH on Sept. 11.  Consequently,
all pending proceedings against the company have been
automatically stayed.

The Debtor can be contacted at:

         Stengelin Verwaltungs GmbH
         Attn: Klaus Waizenegger, Manager
         Donaueschinger Str. 52-56
         78532 Tuttlilngen, Germany

The administrator can be contacted at:

         Fritz Zanker
         Pluta Rechtsanwalts GmbH
         Albstr. 14
         70597 Stuttgart, Germany
         Tel: 0711/769688-0


TYPOSTUDIO GMBH: Claims Registration Ends October 30
----------------------------------------------------
Creditors of Typostudio GmbH have until Oct. 30 to register
their claims with court-appointed provisional administrator
Florian Fuechsl.

Creditors and other interested parties are encouraged to attend
the meeting at 9:40 a.m. on Nov. 20 at which time the
administrator will present his first report on the insolvency
proceedings.

The meeting of creditors will be held at:

         The District Court of Munich
         Meeting Room 102
         Infanteriestr. 5
         Munich, Germany

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

The District Court of Munich opened bankruptcy proceedings
against Typostudio GmbH on Sept. 1.  Consequently, all pending
proceedings against the company have been automatically stayed.

The Debtor can be contacted at:

         Typostudio GmbH
         Ainmmillerstr. 34
         80801 Munich, Germany

The administrator can be contacted at:

         Florian Fuechsl
         Leopoldstr. 139
         80804 Munich, Germany
         Tel: 089/3619300
         Fax: 089/361930199


VEREIN VEREINIGUNG: Creditors' Meeting Slated for October 31
------------------------------------------------------------
The court-appointed provisional administrator Verein Vereinigung
Lange Aktiv Bleiben (LAB) Landesverband Saar e.V., Petra
Gerlach, will present her first report on the Company's
insolvency proceedings at a creditors' meeting at 11:30 a.m. on
Oct. 31.

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

         The District Court of Saarbruecken
         Area Hall 13
         1st Floor
         Branch Office Sulzbach
         Vopeliusstrasse 2
         66280 Sulzbach, Germany

The Court will also verify the claims set out in the
administrator's report at 9:30 a.m. on Dec. 12, at the same
venue.

Creditors have until Nov. 20 to register their claims with the
court-appointed provisional administrator.

The District Court of Saarbruecken opened bankruptcy proceedings
against Verein Vereinigung Lange Aktiv Bleiben (LAB)
Landesverband Saar e.V. on Sept. 15.  Consequently, all pending
proceedings against the company have been automatically stayed.

The Debtor can be reached at:

         Verein Vereinigung Lange Aktiv Bleiben (LAB)
         Landesverband Saar e.V.
         Foersterstrasse 39
         66111 Saarbruecken, Germany

The administrator can be reached at:

         Petra Gerlach
         Kaiserstr. 25a
         66111 Saarbruecken, Germany


VERO VERWALTUNGS: Creditors' Meeting Slated for October 31
----------------------------------------------------------
The court-appointed provisional administrator VERO Verwaltungs
GmbH & Co. Kienhorstpark KG, Petra Hilgers, will present his
first report on the Company's insolvency proceedings at a
creditors' meeting at 9:05 a.m. on Oct. 31.

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

         The District Court of Charlottenburg
         II. Stock Hall 218
         District Court Place 1
         14057 Berlin, Germany

The Court will also verify the claims set out in the
administrator's report at 9:05 a.m. on Feb. 13, at the same
venue.

Creditors have until Dec. 18 to register their claims with the
court-appointed provisional administrator.

The District Court of Charlottenburg opened bankruptcy
proceedings against VERO Verwaltungs GmbH & Co. Kienhorstpark KG
on Sept. 18.  Consequently, all pending proceedings against the
company have been automatically stayed.

The Debtor can be reached at:

         VERO Verwaltungs GmbH & Co. Kienhorstpark KG
         Griegstr.14a
         14193 Berlin, Germany

The administrator can be reached at:

         Dr. Petra Hilgers
         Goethestr. 85
         10623 Berlin, Germany


VITALWATER SYSTEMS: Claims Registration Ends October 30
-------------------------------------------------------
Creditors of Vitalwater Systems Limited have until Oct. 30 to
register their claims with court-appointed provisional
administrator Daniel F. Fritz.

Creditors and other interested parties are encouraged to attend
the meeting at 10:00 a.m. on Nov. 27 at which time the
administrator will present his first report on the insolvency
proceedings.

The meeting of creditors will be held at:

         The District Court of Leipzig
         Room 033
         Leipzig, Germany

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

The District Court of Leipzig opened bankruptcy proceedings
against Vitalwater Systems Limited on Sept. 14.  Consequently,
all pending proceedings against the company have been
automatically stayed.

The Debtor can be contacted at:

         Vitalwater Systems Limited
         Prager Str. 60
         04317 Leipzig, Germany

         Attn: Viola Gnausch, Manager
         Natonekstr. 8
         04155 Leipzig, Germany

The administrator can be contacted at:

         Daniel F. Fritz
         Nonnenstrasse 37
         04229 Leipzig, Germany


=============
H U N G A R Y
=============


OWENS-ILLINOIS: Moody's Assigns Loss-Given-Default Ratings
----------------------------------------------------------
In connection with Moody's Investors Service's implementation of
its new Probability-of-Default and Loss-Given-Default rating
methodology for the non-paper Packaging sector, the rating
agency confirmed its B2 Corporate Family Rating for
Owens-Illinois Inc.

Moody's also revised its probability-of-default ratings and
assigned loss-given-default ratings on these bond issues:

                                                   Projected
                        Old POD  New POD  LGD      Loss-Given
   Debt Issue           Rating   Rating   Rating   Default
   ----------           -------  -------  ------   ----------
   US$900 million
   Sr. Sec.
   First Lien Revolver
   maturing 06/15/2012  B1       Ba2      LGD2      22%

   AUD300 (US$225) million
   Sr. Sec.
   First Lien
   Term Loan A
   due 06/15/2012       B1       Ba2      LGD2      22%

   US$200 million
   Sr. Sec.
   First Lien
   Term Loan B
   due 06/14/2013       B1       Ba2      LGD2      22%

   CAD138 (US$125) million
   Sr. Sec.
   First Lien
   Term Loan C
   due 06/15/2012       B1       Ba2      LGD2      22%

   EUR200 (US$254.4) million
   Term Loan D
   due 6/14/2013        B1       Ba2      LGD2      22%

   U$850 million
   8.875% Sr. Sec.
   First Lien Notes
   due 02/15/2009       B1       Ba2      LGD2      22%

   US$450 million
   7.750% Sr. Sec. Notes
   due 05/15/2011       B1       Ba2      LGD2      22%

   US$625 million
   8.750% Sr. Sec. Notes
   due 11/15/2012       B1       Ba2      LGD2      22%

   US$450 million
   8.250% Sr. Unsec.
   Notes
   due 05/15/2013       B2       B3       LGD4      67%

   EUR225 million
   6.750% Sr. Unsec.
   Notes
   due 12/01/2014       B2       B3       LGD4      67%

   US$400 million
   6.750% Sr. Unsec.
   Notes
   due 12/01/2014       B2       B3       LGD4      67%

   US$250 million
   7.800% Sr. Unsec.
   Notes
   due 05/15/2018       B3       Caa1     LGD5      89%

   US$300 million
   8.100% Sr. Unsec.
   Notes
   due 05/15/2007       B3       Caa1     LGD5      89%

   US$242 million
   7.350% Sr. Unsec.
   Notes
   due 05/15/2008       B3       Caa1     LGD5      89%

   US$238 million
   7.500% Sr. Unsec.
   Debentures
   due 05/15/2010       B3       Caa1     LGD5      89%

Moody's explains that current long-term credit ratings are
opinions about expected credit loss, which incorporate both the
likelihood of default and the expected loss in the event of
default.  The LGD rating methodology will disaggregate these two
key assessments in long-term ratings.  The LGD rating
methodology will also enhance the consistency in our notching
practices across industries and will improve the transparency
and accuracy of our ratings as our research has shown that
credit losses on bank loans have tended to be lower than those
for similarly rated bonds.

Probability-of-default ratings are assigned only to issuers, not
specific debt instruments, and use the standard Moody's alpha-
numeric scale.  They express Moody's opinion of the likelihood
that any entity within a corporate family will default on any of
its debt obligations.

Loss-given-default assessments are assigned to individual rated
debt issues -- loans, bonds, and preferred stock.  Moody's
opinion of expected loss are expressed as a percent of principal
and accrued interest at the resolution of the default, with
assessments ranging from LGD1 (loss anticipated to be 0% to 9%)
to LGD6 (loss anticipated to be 90% to 100%).

Headquartered in Perrysburg, Ohio, Owens-Illinois Inc. --
http://www.o-i.com/-- is the largest manufacturer of glass
containers in the world, with leading positions in Europe, North
America, Asia Pacific and South America.  The Company's
principal product lines in the glass containers product segment
are glass containers for the food and beverage industries.  Its
principal product lines in the Plastics Packaging product
segment include healthcare containers, closures and prescription
containers.  In Europe, Owens maintains operations in Czech
Republic, Estonia, Finland, France, Germany, Hungary, Italy, and
Poland.


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


AFFILIATED COMPUTER: Extends SmartPA Operation for Drug Program
---------------------------------------------------------------
Affiliated Computer Services, Inc., has signed a two-year,
estimated US$4.8 million extension to its contract to continue
conducting clinical editing and pharmacy prior authorizations
with its SmartPA tool for the Texas Health and Human Services
Commission or HHSC Vendor Drug Program.

The HHSC Vendor Drug Program provides prescription drugs for the
Texas Medicaid, Children's Health Insurance Program or CHIP,
Children with Special Healthcare Needs, and Kidney Health Care
programs.

Affiliated Computer has supported the Texas HHSC Vendor Drug
prior authorization program since its inception and is
consistently recognized as meeting and exceeding the State's
legislative mandate for cost savings.  Affiliated Computer's
SmartPA, introduced into this program in 2004, is a clinical
editing and pharmacy prior authorization program that delivers
pharmaceutical cost containment, efficient pharmacy benefit
administration, and continued access to quality medications.
Unlike other prior authorization programs, this program uses a
clinical rules system, in conjunction with drug and medical
claims data, to help pharmacists determine the appropriateness
of dispensing certain medications to Medicaid patients.  The
system also uses information from healthcare providers, when
required, to determine if specific medications should be
dispensed.

SmartPA streamlines the prior authorization process for all
stakeholders -- physicians, pharmacists, recipients, and payors
-- and it adjudicates prior authorization requests online in
real time.  Prescriptions that meet a pre-defined set of
clinical and fiscal criteria are approved in seconds.

The SmartPA program results in substantial savings in
administrative costs compared with traditional prior
authorization programs.  Savings result from the lower volume of
call center use.  Lower call center volume yielded considerable
administrative savings for the Texas Medicaid and CHIP programs.
In addition, SmartPA leads to major time savings for patients,
physicians, and pharmacists, who would otherwise have to contact
call centers, reprocess prescriptions, or experience delays in
therapy.

John Crysler, the managing director of Affiliated Computer
Services Government Healthcare Solutions said, "SmartPA is a
revolutionary tool that saves valuable time for physicians and
pharmacists, while creating prescription drug cost savings and
quality improvement.  We are proud that the Texas Health and
Human Services Commission turned to Affiliated Computer for its
pharmacy prior authorization needs."

Headquartered in Dallas, Texas, Affiliated Computer Services,
Inc., (NYSE: ACS) -- http://www.acs-inc.com/-- provides
business process outsourcing and information technology
solutions to commercial and government clients.  The company has
global operations in Brazil, China, Dominican Republic, India,
Guatemala, Ireland, Philippines, Poland and Singapore.

                           *     *     *

As reported in the TCR-Europe on Oct. 4, Moody's Investors
Service placed the Ba2 ratings of Affiliated Computer Services
on review for possible downgrade.  The review for downgrade was
prompted by the company's ongoing independent investigation into
historical stock option practices, which has resulted in the
company's delay in filing its 10-K for its fiscal year ended
June 2006.  The company has received certain waivers from credit
facility lenders through Dec. 31 related to the options matter.

The review will examine the company's access to internal and
external sources of liquidity as well as the prospects for
filing the June 10-K and subsequent financial statements with
the SEC by Dec. 31.  As part of this review, Moody's will assess
the company's acquisition plans and contract commitments.  If
the company becomes current in the filing of its financial
statements by Dec. 31 and any restatement is unlikely to result
in a material cash outflow, the ratings will likely be confirmed
at Ba2.

Ratings Placed on Review for Possible Downgrade:

    * Ba2 Senior Secured Term Loan Rating
    * Ba2 Senior Secured Revolving Credit Facility Rating
    * Ba2 Senior Notes Rating (US$500 Million due 2010 and 2015)
    * Ba2 Corporate Family Rating

At the same time, Standard & Poor's Ratings Services lowered its
corporate credit rating and senior secured ratings on Dallas,
Texas-based Affiliated Computer Services, Inc. to 'B+' from
'BB'.  The ratings remain on CreditWatch with negative
implications where they were placed on Jan. 27, 2006.

Fitch Ratings assigned its BB issuer default rating, BB senior
secured revolving bank credit facility rating, BB senior secured
term loan rating, and BB senior notes rating on Affiliated
Computer Services, Inc.  Fitch said the rating outlook is
negative.


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


ALITALIA SPA: Carries More Passenger & Cargo in September
---------------------------------------------------------
Alitalia S.p.A. confirmed an overall positive performance
despite strikes affected the passenger network in September.

Traffic, measured in Revenue Passenger Kilometers, increased
0.4% despite the fact that the capacity, measured in Available
Seat Kilometres, decreased by 0.9%. The load factor grew 1.0
percentage point reaching 78.3%.

Alitalia carried 2.2 million passengers, slightly down (-0.9%)
compared to the previous year.

September 2006 increase in traffic also showed an increase,
against last year, in the revenues of each network sector
(domestic, international and intercontinental).

Detailed comparisons with September 2005:

   -- Domestic Passenger Network: load factor increased by 2.4
      percentage points to 67.4%, while traffic was up 0.1%
      compared to last year.

   -- International Passenger Network: the number of passengers
      carried was up by 0.8%. With a capacity increase of 0.8%
      load factor was 75.1%.

   -- Intercontinental Passenger Network: long haul traffic
      sharply recovered vs. the previous months trend (up 2.6%).
      Load factor reaching 84.7%, up 1.2 percentage points
      against last year.

                        Cargo Operations

In September, Cargo, measured in Revenue Ton Kilometers,
increased by 24.1%. Overall load factor slightly decreased by
0.8 percentage points to 59.9%.

                         About Alitalia

Headquartered in Rome, Italy, Alitalia S.p.A. --
http://www.alitalia.it/-- generates around EUR4.8 billion in
annual revenue and employs more than 11,000 people.  Alitalia
flies to about 80 destinations in more than 60 countries from
hubs in Rome and Milan and operates a fleet of about 185
aircraft.  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 registered EUR93
million in net profits in 2002 after a EUR1.4 billion capital
injection.  The carrier booked consecutive annual net losses of
EUR520 million in 2003, EUR813 million in 2004, and EUR168
million in 2005.


FEDERAL-MOGUL: Wants to Recapitalize Non-Debtor Subsidiaries
------------------------------------------------------------
Federal-Mogul Corporation and its debtor-affiliates ask the U.S.
Bankruptcy Court for the District of Delaware to approve the
recapitalization of Federal-Mogul, S.A., and Federal-Mogul
Holding Italy S.r.L., to provide the entities with necessary
adjustments to their balance sheets to maintain their status as
going concerns.

The Restructuring Entities are wholly owned non-debtor
subsidiaries of Debtor FM International, LLC, and make up the
bulk of operations of Federal-Mogul Corp. and its worldwide
family of companies in France and Italy.

By improving the balance sheets of the Restructuring Entities
through elimination of large debts currently on their books, the
Recapitalizations will restore confidence in the Restructuring
Entities' outside business partners; suppliers currently
refusing to extend credit terms; and customers who have been
withholding new business and threatening to re-source production
if the Restructuring Entities do not improve their financial
situations, James E. O'Neill, Esq., at Pachulski, Stang, Ziehl,
Young, Jones & Weintraub LLP, in Wilmington, Delaware, explains.

Mr. O'Neill notes that the recapitalizations will have an
economically neutral impact on the Debtor's overall net worth
and will not involve the actual movement of any of the Debtors'
cash.  Nevertheless, the interests of certain Debtors are
implicated by the Recapitalizations.

                        Restructured Notes

A financial restructuring of F-M France and F-M Italy outside of
any formal reorganization proceedings in either of those
countries has been considered desirable by the Debtor for some
time, Mr. O'Neill relates.  Treatment of certain restructured
notes, which comprise the largest liabilities of both F-M France
and F-M Italy, has figured prominently in those plans.

The Restructured Notes were created between 1998 and 2001 to
fund transfers of certain businesses within the Debtor following
its acquisition of T&N Limited and its subsidiaries in 1998.
Specifically, three sets of intercompany notes were issued to
T&N and its indirect subsidiaries as part of the integration of
the T&N businesses into the Debtor:

   (1) the August 1998 French Notes totaling $294.7 million and
       a third note issued by F-M France in June 1999, which are
       the subject of the French Recap, and an additional note
       for $26.25 million;

   (2) a $139.5 million intercompany loan note issued in May
       2001, a portion of which is intended to be the subject of
       the Italian Recap; and

   (3) two notes of Federal-Mogul Holding Deutschland GmbH, a
       non-Debtor subsidiary, in the original aggregate amount
       of approximately $467 million, both of which were issued
       in July 1998.

Until the end of 2005, disagreements between the Debtors and
certain T&N administrators concerning the overall terms of the
U.K. restructuring prevented the Debtors from including the
Restructured Notes as part of any consensual restructuring of F-
M France and F-M Italy.  The administrators of the U.K. Debtors'
cases, who considered the Intercompany Notes to be among the
easily saleable assets of the U.K. Debtors, began to market the
Intercompany Notes for sale in mid-2005 and entered into an
agreement to sell the Intercompany Notes to a third party in
August 2005.

Subsequently, the Administrators, the Debtor, T&N, and the co-
proponents of the Debtors' Plan of Reorganization and other
parties entered into a global settlement of outstanding issues
concerning the U.K. Debtors' restructuring.  Under the U.K.
Global Settlement, the Debtors could make an offer to acquire
the Intercompany Notes by paying the Administrators an amount
equal to the difference between:

   -- the cash then held by the Administrators; and

   -- the amount considered by the Administrators as necessary
      to fund company voluntary arrangements and schemes of
      arrangement for the U.K. Debtors to allow them to emerge
      from the U.K. proceedings.

In late December 2005, the Debtor and Federal-Mogul (Continental
European Operations) Limited, a wholly owned non- Debtor
subsidiary of Federal-Mogul, acquired the Intercompany Notes.
The French Notes were transferred to the Debtor, and the Italian
and German Notes were transferred to F-M CEO.

                   F-M France Recapitalization

F-M France serves as the holding company for several French
Federal-Mogul operations, consisting of 10 manufacturing
facilities and an after-market distribution center.  The French
Subs supply pistons, rings, engine bearings and bushings,
sintered parts, friction material for brakes, and sealing
products.  French Original Equipment Manufacturer customers,
including Renault and PSA Peugot-Citroen, also require the
French Subs to serve as their primary contact for sales,
engineering and customer service on behalf of all Federal-
Mogul's European operations.

Mr. O'Neill states that F-M France has made annual interest
payments of $21.25 million as required by the French Acquisition
Notes.  Meanwhile, F-M France only receives, on average, up to
$5 million in annual dividends from the French Subs.  As a
result, it has been experiencing on-going losses of up to $15
million per year since 1998, Mr. O'Neill relates.

In addition, the French Subs' operating results forced F-M
France to depreciate the $383.75 million book value of its
investment in the French Subs by $207.5 million to approximately
$176.25 million over the last eight years.

The proposed Recapitalization of F-M France involves the
exchange for equity in F-M France of approximately 84% of the
$268.45 million owed under two intercompany loan notes by F-M
France to the Debtor.

Specifically, Mr. O'Neill explains that the $225.3 million owed
under the French Notes to the Debtor, plus $12.29 million
relating to interest accrued under the French Notes through
September 2006, will be exchanged for a 100% equity stake in F-M
France.

In conjunction with the exchange of part of the French Notes,
F-M International's equity interest in F-M France will be
canceled.  The cancellation is supported by valuations conducted
by Jefferies & Company, Inc., the financial advisor for the
Official Committee of Unsecured Creditors, showing that the
equity in F-M France currently has no value.

The French Recap must be completed by December 2006 to avoid the
possibility of a statutory liquidation under French law.

The French Recap will strengthen F-M France's balance sheet
enabling it to obtain financing from third parties and improve
its debt-to-equity ratio from a negative ratio to a positive one
of less than one.  In addition, the improvement of F-M France's
financial position will remove a statutory bar to the entity
being able to deduct, for French tax purposes, the amount of
interest payable on the remaining French Acquisition Notes in
2007, which will confer a near-term financial benefit of
approximately $9 million to F-M France.

                          Italian Recap

F-M Italy serves as the holding company for Federal-Mogul
Operations Italy S.r.L.  F-M Italy's sister companies --
Federal-Mogul Ignition S.r.L. and Federal-Mogul Filtration
Products S.r.L. -- primarily produce ignition products and
wipers.

The Debtor's Italian operations consist of eight manufacturing
facilities and after-market distribution center.  The primary
OEM customers are Fiat/Iveco, with additional sales to companies
like BMW, Audi and Renault.  The F-M Ignition Italy and F-M
Filtration businesses are dependent on the Debtor's other non-
Italian entities for technology, distribution and support.

According to Mr. O'Neill, the proposed restructuring of F-M
Italy's current capital structure contemplates the exchange of
50% of the Italian Note for 100% of shares in F-M Italy followed
by its two-step consolidation with F-M Ignition Italy, F-M
Filtration Products S.r.L., and F-M Operations Italy.

Immediately before the consolidation, the Italian Note will be
transferred by F-M CEO to a newly formed U.S. limited liability
company in return for an indirect equity interest in F-M LLC.
In addition, 50% of the Italian Note will be exchanged for a
100% equity interest in FM Italy.

As with the French Recap, the existing equity interest in F-M
Italy will be canceled.  The cancellation is supported by the
valuation conducted by Jefferies showing that the equity in F-M
Italy has currently no value.

Mr. O'Neill explains that the subsequent consolidation of the
F-M Italian Entities, to be consummated in accordance with
Italian law, will involve two mergers resulting in all of the
Debtor's Italian operations being merged into F-M Italy:

   (i) F-M Ignition Italy and its wholly owned subsidiary,
       F-M Filtration, will be merged into F-M Italy; and

  (ii) F-M Operations Italy, a wholly owned subsidiary of F-M
       Italy, will then merge into F-M Italy.

The current shareholders of F-M Ignition Italy, each of whom is
a direct or indirect subsidiary of the Debtor, are:

   * Debtor F-M International, with a 51.79% current interest;

   * Debtor Federal-Mogul Ignition Company, with an 18.93%
     interest; and

   * non-Debtor Federal-Mogul Netherlands BV, which is currently
     wholly owned by F-M Ignition U.S., with a 29.28% interest.

To facilitate the consolidation of the Debtor's Italian
operations and to streamline the resulting ownership structure,
F-M International and F-M Ignition U.S. will indirectly transfer
their interests in F-M Ignition Italy and F-M Netherlands to F-M
LLC via a newly formed non-Debtor Federal-Mogul Dutch entity.
In exchange, F-M International and F-M Ignition U.S. will
receive commensurate equity holdings in F-M Dutch NewCo, which
holdings together with that of the Debtor will constitute 100%
of the equity in F-M Dutch NewCo.

As a result of the consolidation of the F-M Italian Entities,
F-M International and F-M Ignition U.S. will be granted indirect
equity interests in the reconstituted F-M Italy proportionate to
the value of their current holdings in F-M Ignition Italy,
adjusted to reflect the fact that:

   (x) those new equity interests will be in F-M Italy, a
       consolidated entity encompassing three businesses as a
       result of the Italian Recap;

   (y) the intended partial exchange of part of the Italian Note
       for equity; and

   (z) any changes in valuations of the F-M Italian Entities at
       the time the consolidation is consummated.

The Debtors also want the Italian Recap completed before the end
of 2006 to comply with Italian law and preserve certain tax
benefits.  Otherwise, among other things, statutory auditors
will be unable to give F-M Italy a going-concern opinion for
2006 that could conceivably result in F-M Italy's compulsory
liquidation under Italian law.

Headquartered in Southfield, Michigan, Federal-Mogul Corporation
-- http://www.federal-mogul.com/-- is an automotive parts
company with worldwide revenue of some $6 billion.  The Company
filed for chapter 11 protection on Oct. 1, 2001 (Bankr. Del.
Case No. 01-10582).  Lawrence J. Nyhan Esq., James F. Conlan
Esq., and Kevin T. Lantry Esq., at Sidley Austin Brown & Wood,
and Laura Davis Jones Esq., at Pachulski, Stang, Ziehl, Young,
Jones & Weintraub, P.C., represent the Debtors in their
restructuring efforts.  When the Debtors filed for protection
from their creditors, they listed $10.15 billion in assets and
$8.86 billion in liabilities.  Federal-Mogul Corp.'s U.K.
affiliate, Turner & Newall, is based at Dudley Hill, Bradford.
Peter D. Wolfson, Esq., at Sonnenschein Nath & Rosenthal; and
Charlene D. Davis, Esq., Ashley B. Stitzer, Esq., and Eric M.
Sutty, Esq., at The Bayard Firm represent the Official Committee
of Unsecured Creditors.  (Federal-Mogul Bankruptcy News, Issue
No. 114; Bankruptcy Creditors' Service Inc.,
http://bankrupt.com/newsstand/or 215/945-7000)


ROCKWOOD SPECIALTIES: Moody's Assigns Loss-Given-Default Ratings
----------------------------------------------------------------
In connection with Moody's Investors Service's implementation of
its new Probability-of-Default and Loss-Given-Default rating
methodology for the U.S. Chemicals and Allied Products sector,
the rating agency confirmed its B1 Corporate Family Rating for
Rockwood Specialties Group Inc.

Moody's also revised or held its probability-of-default ratings
and assigned loss-given-default ratings on these loans and bond
debt obligations:

                                                   Projected
                        Old POD  New POD  LGD      Loss-Given
   Debt Issue           Rating   Rating   Rating   Default
   ----------           -------  -------  ------   ----------
   EUR37.2 million
   (US$47.5 million)
   Gtd Sr Sec
   Credit Facility
   Tranche A-1 Term Loan
   due July 30, 2011    B1       Ba2      LGD2     27%

   EUR1.6 million
   (US$2 million)
   Gtd Sr Sec
   Credit Facility
   Tranche A-2
   Term Loan
   due July 30, 2011    B1       Ba2      LGD2    27%

   US$1134 million
   Gtd Sr
   Sec Credit Facility
   Tranche E
   Term Loan
   due July 30, 2012    B1       Ba2      LGD2    27%

   EUR272.1 million
  (US$347.9 million)
   Gtd Sr Sec
   Credit Facility
   Tranche F
   Term Loan
   due July 30, 2012    B1       Ba2      LGD2    27%

   US$250 million
   Gtd Sr Sec
   Revolving
   Credit Facility
   due July 30, 2010    B1       Ba2      LGD2    27%

   US$273 million
   10.625%
   Gtd Sr Sub Notes
   due 2011             B3       B3       LGD5    81%

   US$200 million
   7.500%
   Gtd Sr Sub Notes
   due 2014             B3       B3       LGD5    81%

   EUR375 million
  (US$480.1 million)
   7.625% Gtd Sr Sub
   Notes
   due 2014             B3       B3       LGD5    81%

Moody's explains that current long-term credit ratings are
opinions about expected credit loss, which incorporate both the
likelihood of default and the expected loss in the event of
default.  The LGD rating methodology will disaggregate these two
key assessments in long-term ratings.  The LGD rating
methodology will also enhance the consistency in our notching
practices across industries and will improve the transparency
and accuracy of our ratings as our research has shown that
credit losses on bank loans have tended to be lower than those
for similarly rated bonds.

Probability-of-default ratings are assigned only to issuers, not
specific debt instruments, and use the standard Moody's alpha-
numeric scale.  They express Moody's opinion of the likelihood
that any entity within a corporate family will default on any of
its debt obligations.

Loss-given-default assessments are assigned to individual rated
debt issues -- loans, bonds, and preferred stock.  Moody's
opinion of expected loss are expressed as a percent of principal
and accrued interest at the resolution of the default, with
assessments ranging from LGD1 (loss anticipated to be 0% to 9%)
to LGD6 (loss anticipated to be 90% to 100%).

Headquartered in Princeton, New Jersey, Rockwood Specialties
Group Inc. -- http://www.rockwoodspecialties.com/ -- is a
global developer, manufacturer and marketer of advanced, value-
added specialty chemicals and materials.  Its products primarily
consist of inorganic chemicals and solutions, and engineered
materials.  Rockwood manufactures its products in over 99
manufacturing facilities in 25 countries, and sells its products
and provides services to more than 60,000 customers.  In Europe,
Rockwood maintains operations in Germany, France, and Italy.


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


AINUR LLP: Pavlodar Court Opens Bankruptcy Proceedings
------------------------------------------------------
The Specialized Inter-Regional Economic Court of Pavlodar Region
commenced bankruptcy proceedings against LLP Ainur on June 7.


ALEMBEK LLP: Creditors Must File Claims by Nov. 17
--------------------------------------------------
The Tax Committee of Almaty Region entered an order placing
LLP Alembek (RNN 531400041346) into compulsory liquidation.

Creditors have until Nov. 17 to submit written proofs of claim
to:

         LLP Alembek
         Room 208
         Jangusurov Str. 113a
         Taldykorgan
         Almaty Region
         Kazakhstan
         Tel: 8 (32822) 24-19-77


ATYRAUSTROYSERVICE LLP: Creditors' Claims Due Nov. 17
-----------------------------------------------------
LLP Construction Company Atyraustroyservice has declared
insolvency.

Creditors have until Nov. 17 to submit written proofs of claim
to:

         LLP Atyraustroyservice
         Moskovskyi Ave. 5
         Atyrau
         Atyrau Region
         Kazakhstan
         Tel: 8 (3122) 20-39-69


BORODULIHA-STROYSERVICE: Claims Registration Ends Nov. 17
---------------------------------------------------------
LLP Construction Company Boroduliha-Stroyservice has declared
insolvency.  Creditors have until Nov. 17 to submit written
proofs of claim to:

         LLP Boroduliha-Stroyservice
         Krupskaya Str. 156
         Boroduliha
         Borodulih District
         East Kazakhstan Region
         Kazakhstan
         Tel: 8 (32351) 2-24-60


DAKAR EKIBASTUZ: Pavlodar Court Begins Bankruptcy Proceedings
-------------------------------------------------------------
The Specialized Inter-Regional Economic Court of Pavlodar Region
commenced bankruptcy proceedings against LLP Dakar-Ekibastuz on
June 7.


ENERGIYA TRADING: Proof of Claim Deadline Slated for Nov. 17
------------------------------------------------------------
LLP Energy Trading Energiya Trading has declared insolvency.
Creditors have until Nov. 17 to submit written proofs of claim
to:

         LLP Energiya Trading
         Rozybakiev Str. 247
         Almaty, Kazakhstan


LENSTROYINVEST LLP: Claims Filing Period Ends Nov. 17
-----------------------------------------------------
The Specialized Inter-Regional Economic Court of East Kazakhstan
Region declared LLP Construction Company Lenstroyinvest
insolvent on Aug. 23.  Subsequently, bankruptcy proceedings were
introduced at the company.

Creditors have until Nov. 17 to submit written proofs of claim
to:

         LLP Lenstroyinvest
         Lenin Ave. 40-41
         Ust-Kamenogorsk
         East Kazakhstan Region
         Kazakhstan
         Tel: 8 (3232) 47-61-94


LGS MAKTA: South Kazakhstan Court Starts Bankruptcy Procedure
-------------------------------------------------------------
The Specialized Inter-Regional Economic Court of South
Kazakhstan Region commenced bankruptcy proceedings against
LLP LGS Makta Agro.


NUREKE LLP: Creditors' Claims Due Nov. 17
-----------------------------------------
The Specialized Inter-Regional Economic Court of East Kazakhstan
Region declared LLP Nureke insolvent on Aug. 23.  Subsequently,
bankruptcy proceedings were introduced at the company.

Creditors have until Nov. 17 to submit written proofs of claim
to:

         LLP Nureke
         Lenin Ave. 40-41
         Ust-Kamenogorsk
         East Kazakhstan Region
         Kazakhstan
         Tel: 8 (3232) 47-61-94


V MIRE: Creditors Must File Claims by Nov. 17
---------------------------------------------
The Tax Committee of Almaty Region entered an order placing
LLP V Mire Okon (RNN 090400210507) into compulsory liquidation.

Creditors have until Nov. 17 to submit written proofs of claim
to:

         LLP V Mire Okon
         Room 208
         Jangusurov Str. 113a
         Taldykorgan
         Almaty Region
         Kazakhstan
         Tel: 8 (32822) 24-19-77


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


KYRGYZKURULUSH OJSC: Public Auction Scheduled for Oct. 30
---------------------------------------------------------
The bidding organizer and insolvency manager of the OJSC Joint
Stock Company Kyrgyzkurulush will auction the company's
properties to the public without limitation of minimal price at
10:00 a.m. on Oct. 30 at:

         OJSC Joint Stock Company Kyrgyzkurulush
         Motornaya Str. 2a
         Osh, Kyrgyzstan

The asset for sale is the property complex of the company's
woodworking shop which include:

   -- lot 1: office with outhouse for a total starting price of
      KGS123,000; and

   -- lot 2: woodworking shop, buildings and
      constructions, workshops, sheds,
      fire-fighting implements, transformer substation
      and fences, woodworking equipment-57 units for a total
      starting price of KGS9,709,808.

Interested bidders have until 2:00 p.m. on Oct. 27 to deposit an
amount equivalent to 10% of the starting price to:

         Settlement Account No. 1231101690000101
         Joint-Stock Commercial Bank AsiaUniversalBank
         MFO 330107772

or to the cashier of OJSC Joint Stock Company Kyrgyzkurulush.

Participants may submit their bids to:

         OJSC Joint Stock Company Kyrgyzkurulush
         Motornaya Str. 2a
         L. Tolstoy Str. 20 or Osh
         Bishkek, Kyrgyzstan
         Tel: (0-502) 62-70-71
              (+996 312) 64-55-46


===========
L A T V I A
===========


LATVIJAS KRAJBANKA: Moody's Assigns D Financial Strength Rating
---------------------------------------------------------------
Moody's Investors Service assigned local currency and foreign
currency deposit ratings of Ba3/Not-Prime and a financial
strength rating of D- to Latvijas Krajbanka.  The ratings carry
a stable outlook.

Latvijas Krajbanka provides banking services to private
individuals as well as business clients.  Services include:
lending, deposit-taking, payment cards, insurance and pension
products.  Lithuania's AB bankas Snoras has a 83.01% stake in
Latvijas Krajbanka.

According to Moody's, the Ba3/NP/D- ratings reflect, on the one
hand, Latvijas Krajbanka's fairly resilient market share
(currently amounting to ca. 2.22% by total assets) and the
improvements in the bank's profitability but also the potential
for interest income to become more susceptible to margin
pressure over time.

Moody's also notes the competitive challenges facing the bank
owing to the presence of larger foreign-owned players in Latvia,
which are in a position to benefit from the commercial scale and
expertise of their respective backers.  Additionally, if
competitive pressures lead to further interest margin erosion
with a consequent impact upon the bank's profitability, Latvijas
Krajbanka's ability to achieve a material improvement in its
efficiency indicators will be necessarily limited.

Latvijas Krajbanka's supervisory board exclusively comprises
Conversgroup/Snoras Bank employees and is therefore not
independent of Snoras Bank, its largest single shareholder.  In
evaluating board effectiveness, Moody's assesses whether
directors can independently influence key policies in terms of
strategy, risk management, management succession and
compensation, amongst others.  Consequently, Moody's will
closely follow Latvijas Krajbanka's progress in this area.

The bank's loan portfolio is primarily domestically oriented and
has evidenced improvements in credit quality indicators in
recent years.  Moreover, the absolute level of write-offs is
negligible.  Nevertheless, the institution is exposed to the
Latvian real estate market.

Similar to other banks operating in the Baltic region, the
credit standing of Latvijas Krajbanka is also influenced by the
less mature operating environment in Latvia.  Concerns are
mitigated by the fact that the majority of loans (approx. 95%)
are secured (primarily on property and to a lesser extent on
commercial pledges), loan growth has been less aggressive
compared with peers and the classification and provisioning of
non-performing loans have improved.  Borrowers are reviewed
annually.  In Moody's view, capitalization levels are relatively
modest owing to credit portfolio concentration risks, in
particular as regards real estate.

Latvijas Krajbanka's deposit base (which accounted for ca. 88%
of funding requirements in 2005) is characterized by a
preponderance of retail resident deposits.  Consequently, the
institution is less vulnerable to the threat of external shocks
than banks that have a more corporate (and less granular) or
non-resident deposit base.  In Moody's opinion, Latvijas
Krajbanka should be in a position to take advantage of
developments within the Latvian economy as well as the growing
confidence in the country's banking system, particularly in
light of EU accession.

From an ALM perspective, the bank plans to address the maturity
gap between its assets and liabilities by raising longer-term
funding in the form of residential mortgage covered bonds and
Eurobonds.  ALM currency mismatch is not particularly
substantial.  Latvijas Krajbanka maintains good liquidity
levels, reflected by its liquidity ratio of 46% as at
June 30, 2006, which is above the minimum regulatory requirement
of 30%.  Market risk is low reflected in part by the small size
of the bank's securities portfolio in addition to the fact that
trading activities are mainly client-driven.

Headquartered in Riga, Latvia, Latvijas Krajbanka's total assets
amounted to LVL267.5 million (EUR383.6 million) as at
June 30, 2006.


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


WELLMAN INC: Moody's Assigns Loss-Given-Default Ratings
-------------------------------------------------------
In connection with Moody's Investors Service's implementation of
its new Probability-of-Default and Loss-Given-Default rating
methodology for the U.S. Chemicals and Allied Products sector,
the rating agency confirmed its B2 Corporate Family Rating for
Wellman Inc.

Moody's upgraded its probability-of-default ratings and assigned
loss-given-default ratings on these loans facilities:

                                                   Projected
                        Old POD  New POD  LGD      Loss-Given
   Debt Issue           Rating   Rating   Rating   Default
   ----------           -------  -------  ------   ----------
   US$185 million
   Gtd First Lien
   Term Loan
   due 2009             B1       Ba3      LGD2     29%

   US$265 million
   Gtd Second Lien
   Term Loan
   due 2010             B2       B3       LGD5    76%

Moody's explains that current long-term credit ratings are
opinions about expected credit loss, which incorporate both the
likelihood of default and the expected loss in the event of
default.  The LGD rating methodology will disaggregate these two
key assessments in long-term ratings.  The LGD rating
methodology will also enhance the consistency in our notching
practices across industries and will improve the transparency
and accuracy of our ratings as our research has shown that
credit losses on bank loans have tended to be lower than those
for similarly rated bonds.

Probability-of-default ratings are assigned only to issuers, not
specific debt instruments, and use the standard Moody's alpha-
numeric scale.  They express Moody's opinion of the likelihood
that any entity within a corporate family will default on any of
its debt obligations.

Loss-given-default assessments are assigned to individual rated
debt issues -- loans, bonds, and preferred stock.  Moody's
opinion of expected loss are expressed as a percent of principal
and accrued interest at the resolution of the default, with
assessments ranging from LGD1 (loss anticipated to be 0% to 9%)
to LGD6 (loss anticipated to be 90% to 100%).

Headquartered in Fort Mill, South Carolina, Wellman Inc. --
http://www.wellmaninc.com/-- manufactures and markets
PermaClear brand polyethylene terephthalate (PET) packaging
resins, Fortrel brand polyester staple fibers and EcoLon
engineering resins.  The Company also recycles plastics, with
the capacity to reclaim almost 3 billion PET bottles and
containers annually, around the globe.  Wellman has recycling
facilities in the United States, Ireland, The Netherlands and
France.


===========
N O R W A Y
===========


AKER KVAERNER: Inks NOK130-Million Supply Deal with Rashpetco
-------------------------------------------------------------
Rashid Petroleum Company has awarded Aker Kvaerner A.S.A. a
contract to supply five umbilicals to the Rosetta Phase 3 gas
development in the Rosetta Concession, offshore Nile Delta,
Egypt.

The contract is valued at NOK130 million.  Work has already
started on the steel tube umbilicals totaling approximately 43
kilometers in length to be manufactured at Aker Kvaerner
Subsea's facility in Moss, Norway.  Delivery of the umbilicals
is scheduled for the third quarter of 2007.

"This contract builds on our growing activity in the region and
our position as the market leader in subsea steel tube
umbilicals," Raymond Carlsen, EVP Aker Kvaerner Subsea, said.

Rashid Petroleum Company is a public-private joint venture
operated by Great Britain-based oil and gas major BG Group,
which together with its sister company Burullus Gas Company,
operates a network of 34 offshore natural gas wells.  The
company is the largest upstream natural gas operator in Egypt
overseeing over 40% of the nation's daily gas production.
Together with BG Group, the Egyptian Natural Gas Holding Company
(EGAS) and Edison of Italy are shareholders in Rashid Petroleum
Company.

                      About Aker Kvaerner

Headquartered in Lysaker, Norway, Aker Kvaerner ASA --
http://www.akerkvaerner.com/-- through its subsidiaries and
affiliates, is a leading global provider of engineering and
construction services, technology products and integrated
solutions.

The Aker Kvaerner group is organized into two principal business
streams, namely Oil & Gas and E&C, each consisting of a number
of separate legal entities.

                        *     *     *

As reported in TCR-Europe on April 26, Moody's Investors Service
upgraded the of Aker Kvaerner Oil & Gas Group and Aker
Kvaerner AS, primarily to reflect the sustainable strong
recovery in profitability and cash flow generation of the ring-
fenced oil and gas group over the past two years, coupled with
the clear reduction in senior debt, repaid from internally
generated funds.

Ratings affected:

Aker Kvaerner Oil & Gas Group AS

   -- Corporate family rating: upgraded to Ba1 from Ba3

Aker Kvaerner AS

   -- Rating of the second priority lien notes due 2011:
      upgraded to Ba1 from Ba3.

Moody's said the outlook on all ratings is stable.


===========
P O L A N D
===========


OMNOVA SOLUTIONS: Moody's Assigns Loss-Given-Default Ratings
------------------------------------------------------------
In connection with Moody's Investors Service's implementation of
its new Probability-of-Default and Loss-Given-Default rating
methodology for the U.S. Chemicals and Allied Products sector,
the rating agency confirmed its B2 Corporate Family Rating for
OMNOVA Solutions Inc.

Moody's also revised its probability-of-default ratings and
assigned loss-given-default ratings on these loan and bond debt
obligations:

                                                   Projected
                        Old POD  New POD  LGD      Loss-Given
   Debt Issue           Rating   Rating   Rating   Default
   ----------           -------  -------  ------   ----------
   US$100 million
   Sr Sec
   Revolving
   Credit Facility
   due 2009             B1       Ba2      LGD2     21%

   US$165mm
   11.25% Sr Sec Notes
   due 2010             B2       B3       LGD4     64%

Moody's explains that current long-term credit ratings are
opinions about expected credit loss, which incorporate both the
likelihood of default and the expected loss in the event of
default.  The LGD rating methodology will disaggregate these two
key assessments in long-term ratings.  The LGD rating
methodology will also enhance the consistency in our notching
practices across industries and will improve the transparency
and accuracy of our ratings as our research has shown that
credit losses on bank loans have tended to be lower than those
for similarly rated bonds.

Probability-of-default ratings are assigned only to issuers, not
specific debt instruments, and use the standard Moody's alpha-
numeric scale.  They express Moody's opinion of the likelihood
that any entity within a corporate family will default on any of
its debt obligations.

Loss-given-default assessments are assigned to individual rated
debt issues -- loans, bonds, and preferred stock.  Moody's
opinion of expected loss are expressed as a percent of principal
and accrued interest at the resolution of the default, with
assessments ranging from LGD1 (loss anticipated to be 0% to 9%)
to LGD6 (loss anticipated to be 90% to 100%).

Headquartered in Fairlawn, Ohio, OMNOVA Solutions Inc. --
http://www.omnova.com/-- manufactures emulsion polymers and
specialty chemicals, decorative and functional surfaces and
single-ply roofing systems for a variety of commercial,
industrial and residential end uses.  OMNOVA operates in three
business segments: Performance Chemicals, Decorative Products
and Building Products.  It utilizes 15 manufacturing,
development and design facilities in North America, Europe and
Asia to service its broad customer base.  In Europe, the company
maintains operations in France, United Kingdom, and Poland.


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


ANTEL CJSC: Kaluga Court Names B. Yun as Insolvency Manager
-----------------------------------------------------------
The Arbitration Court of Kaluga Region appointed Mr. B. Yun as
Insolvency Manager for CJSC Factory of Building Constructions
Antel.  He can be reached at:

         B. Yun
         Orlovskiy Per. 5
         129110 Moscow Region
         Russia

The Court commenced bankruptcy proceedings against the company
after finding it insolvent.  The case is docketed under Case No.
A23-5587/05B-10-115.

The Arbitration Court of Kaluga Region is located at:

         Staryj Torg Square 4
         Kaluga Region
         Russia

The Debtor can be reached at:

         CJSC Factory of Building Constructions Antel
         Balabanovo
         Borovskiy Region
         Kaluga Region
         Russia


DOLGORUKOVSKIY BAKERY: Court Names V. Khlusov to Manage Assets
--------------------------------------------------------------
The Arbitration Court of Lipetsk Region appointed Mr. V. Khlusov
as Insolvency Manager for LLC Dolgorukovskiy Bakery (TIN
4806002650).  He can be reached at:

         V. Khlusov
         Dovato
         398024 Lipetsk Region
         Russia

The Court commenced bankruptcy proceedings against the company
after finding it insolvent.  The case is docketed under Case No.
A36-1034/2006.

The Arbitration Court of Lipetsk Region is located at:

         Skorokhodova Str. 2
         398019 Lipetsk Region
         Russia

The Debtor can be reached at:

         LLC Dolgorukovskiy Bakery
         Sadovaya Str. 8
         Dolgorukovo
         399510 Lipetsk Region
         Russia


EDUS CJSC: Omsk Court Names A. Lyasman as Insolvency Manager
------------------------------------------------------------
The Arbitration Court of Omsk Region appointed Ms. A. Lyasman as
Insolvency Manager for CJSC Edus.  She can be reached at:

         A. Lyasman
         Kuybysheva Str. 81-103
         644010 Omsk-10
         Russia

The Court commenced bankruptcy proceedings against the company
after finding it insolvent.  The case is docketed under Case No.
A46-9602/2006.

The Debtor can be reached at:

         CJSC Edus
         Neftezavodskaya Str. 14
         644029 Omsk Region
         Russia


ELSHANSKOYE REPAIR: Bankruptcy Hearing Slated for Dec. 26
---------------------------------------------------------
The Arbitration Court of Orenburg Region will convene at 10:30
a.m. on Dec. 26 to hear the bankruptcy supervision procedure on
OJSC Elshanskoye Repair Technical Enterprise.  The case is
docketed under Case No. A43-20104/2006-33-199.

The Temporary Insolvency Manager is:

         O. Fillipova
         Rodimtseva Str. 1-112
         460052 Orenburg Region
         Russia

The Arbitration Court of Orenburg Region is located at:

         9th January Str. 64
         460046 Orenburg Region
         Russia

The Debtor can be reached at:

         OJSC Elshanskoye Repair Technical Enterprise
         Zavodskaya Str. 1
         Sol-Iletsk
         461500 Orenburg Region
         Russia


GAZPROMBANK: Parent Support Prompts S&P to Lift Rating to BB+
-------------------------------------------------------------
Standard & Poor's Ratings Services raised its long-term
counterparty credit rating on Russia-based Gazprombank to 'BB+'
from 'BB', and its Russia national scale rating to 'ruAA+' from
'ruAA'.  At the same time, the 'B' short-term counterparty
credit rating was affirmed.  The outlook is stable.

The rating action on Gazprombank is driven by its strengthening
commercial profile, and closer ties to its parent OAO Gazprom.
Gazprombank's projected US$1.28 billion new capital increase
from Gazprom in late 2006 is a positive development that
illustrates Gazprom's commitment to the bank.

"We regard Gazprombank to be a strategically important
subsidiary of Gazprom, and consider that Gazprom is able and
committed to provide the necessary assistance to Gazprombank to
support its expansion, but also in a distress scenario," said
Standard & Poor's credit analyst Elena Romanova.

"The stable outlook mirrors that on Gazprom, and reflects
Standard & Poor's expectation that Gazprom will retain control
over the bank, and will continue to support it if needed," added
Ms. Romanova.

Gazprombank's creditworthiness is constrained by its own
financial profile weaknesses, and the high economic and industry
risks in Russia.

Rating factors that could have a positive impact are:

   -- the scope and profitability of Gazprombank's
      commercial business,

   -- higher diversification of good quality assets
      and revenues,

   -- higher transparency regarding complex transactions,
      and

   -- improved recurrent profitability.


GOLDEN TELECOM: To Start US$10-Mln Moscow Wi-Fi Service in 2007
---------------------------------------------------------------
Golden Telecom, Inc., will pour in US$10 million in investment
to build a broadband wireless Internet network in Moscow, RIA
Novosti cites Chief Executive Jean-Pierre Vandromme as saying.

Golden Telecom will begin providing Wi-Fi services in Moscow on
Jan. 15, 2007, Mr. Vandromme said, adding that the group plans
to capture 15-20% of the city's Wi-Fi market.  Golden Telecom
plans to charge not more than US$50 a month per subscriber for
its Wi-Fi services.

Mr. Vandromme estimates that by around 2011, Wi-Fi users in
Moscow will number around 2.5 million, of which 400,000 will be
Golden Telecom clients.

                      About Golden Telecom

Golden Telecom, Inc. -- http://www.goldentelecom.com/-- is a
leading facilities- based provider of integrated
telecommunications and Internet services in major population
centers throughout Russia and other countries of the
Commonwealth of Independent States.  The Company offers voice,
data and Internet services to corporations, operators and
consumers using its overlay network in major cities including
Moscow, Kiev, St. Petersburg, Nizhniy Novgorod, Samara,
Kaliningrad, Krasnoyarsk, Alma-Ata, and Tashkent, and via
intercity fiber optic and satellite-based networks, including
approximately 287 combined access points in Russia and other
countries of the CIS.  The Company offers cellular communication
services in Kiev and Odessa, Ukraine.

                          *     *     *

As reported in the TCR-Europe on Oct. 16, Standard & Poor's
Ratings Services raised its long-term corporate credit rating on
Golden Telecom Inc., to 'BB' from 'BB-', reflecting the
company's strengthened business profile and prudent financial
risk management.  S&P said the outlook is stable.

"The upgrade reflects the company's strengthened business
profile, with strong market shares and a leading consolidator
position in Russia's corporate fixed-line market," said Standard
& Poor's credit analyst Lorenzo Sliusarev.


HEAVY-ENGINEERING-INVEST-SERVICE: A. Astakhov to Manage Assets
--------------------------------------------------------------
The Arbitration Court of Krasnoyarsk Region appointed Mr. A.
Astakhov as Insolvency Manager for CJSC Heavy-Engineering-
Invest-Service.  He can be reached at:

         A. Astakhov
         Post User Box 12676
         660021 Krasnoyarsk Region
         Russia

The Court commenced bankruptcy proceedings against the company
after finding it insolvent.  The case is docketed under Case No.
A33-5454/2006.

The Arbitration Court of Krasnoyarsk Region is located at:

         Lenina Str. 143
         660021 Krasnoyarsk Region
         Russia

The Debtor can be reached at:

         CJSC Heavy-Engineering-Invest-Service
         Sportkompleks
         Prombaza
         Krasnoyarsk Region
         Russia


KALININSKOYE CJSC: Court Names N. Ushanov as Insolvency Manager
---------------------------------------------------------------
The Arbitration Court of Rostov Region appointed Mr. N. Ushanov
as Insolvency Manager for CJSC Kalininskoye.  He can be reached
at:

         N. Ushanov
         Office 15
         Krasnoarmeyskaya Str. 208
         344010 Rostov-na-Donu
         Russia

The Court commenced bankruptcy proceedings against the company
after finding it insolvent.  The case is docketed under Case No.
A53-2811/06-S2-30.

The Arbitration Court of Rostov Region is located at:

         Stanislavskogo Str. 8a
         344008 Rostov-na-Donu
         Russia

The Debtor can be reached at:

         CJSC Kalininskoye
         Savelyevskiy
         Volgodonskiy Region
         Rostov Region
         Russia


KOMANDOR: Orel Court Names D. Kutlin as Insolvency Manager
----------------------------------------------------------
The Arbitration Court of Orel Region appointed Mr. D. Kutlin as
Insolvency Manager for CJSC Investment Company Komandor.  He can
be reached at:

         D. Kutlin
         Office 607
         Mikhaylovskoye Shosse 137
         Orel Region
         Russia

The Court commenced bankruptcy proceedings against the company
after finding it insolvent.  The case is docketed under Case No.
A48-3792/06-16b.

The Arbitration Court of Orel Region is located at:

         Gorkogo Str. 42
         302000 Orel Region
         Russia

The Debtor can be reached at:

         CJSC Investment Company Komandor
         Gorkogo Str. 45
         Orel Region
         Russia


LAR-RUSINVEST: Moscow Bankruptcy Hearing Slated for Dec. 28
-----------------------------------------------------------
The Arbitration Court of Moscow Region will convene on Dec. 28
to hear the bankruptcy supervision procedure on OJSC Lar-
Rusinvest.  The case is docketed under Case No. A41-K2-18755/06.

The Temporary Insolvency Manager is:

         Y. Deev
         Post User 10
         121614 Moscow Region
         Russia

The Arbitration Court of Moscow is located at:

         Novaya Basmannaya Str. 10
         Moscow Region
         Russia

The Debtor can be reached at:

         OJSC Lar-Rusinvest
         Rechnaya Str. 8
         Krasnogorsk-7
         143400 Moscow Region
         Russia


MOLODOTUDSKIY FLAX: Tver Court Starts Bankruptcy Supervision
------------------------------------------------------------
The Arbitration Court of Tver Region commenced bankruptcy
supervision procedure on LLC Molodotudskiy Flax Combine.
The case is docketed under Case No. A66-1649/2006.

The Temporary Insolvency Manager is:

         A. Nekhina
         Office 37
         Building 2
         Korovinskoye Shosse 10
         127486 Moscow Region
         Russia
         Tel: (495) 514-0492

The Arbitration Court of Tver Region is located at:

         Room 7
         Sovetskaya Str. 23b
         Tver Region
         Russia

The Debtor can be reached at:

         LLC Molodotudskiy Flax Combine
         Naberezhnaya Str
         Molodoy Tud
         Oleninskiy Region
         172412 Tver Region
         Russia


NOVODEREVENSKIY AGRO-SNAB: A. Nikolskiy to Manage Assets
--------------------------------------------------------
The Arbitration Court of Ryazan Region appointed Mr. A.
Nikolskiy as Insolvency Manager for OJSC Novoderevenskiy Agro-
Snab.  He can be reached at:

         A. Nikolskiy
         Tsuryupy Str. 22-1-101
         117418 Moscow Region
         Russia

The Court commenced bankruptcy proceedings against the company
after finding it insolvent.  The case is docketed under Case No.
A54-2804/2006.

The Arbitration Court of Ryazan Region is located at:

         Pochtovaya Str. 43/44
         Ryazan Region
         Russia

The Debtor can be reached at:

          OJSC Novoderevenskiy Agro-Snab
          Ryazan Region
          Russia


OIL-GAS-INVEST: Court Names A. Kiselev as Insolvency Manager
------------------------------------------------------------
The Arbitration Court of Khanty-Mansiyskiy Autonomous Region
appointed Mr. A. Kiselev as Insolvency Manager for CJSC Oil-Gas-
Invest.  He can be reached at:

         A. Kiselev
         Bezverkhova Str. 5
         Surgut
         628400 Tyumen Region
         Russia

The Court commenced bankruptcy proceedings against the company
after finding it insolvent.  The case is docketed under Case No.
A75-6268/2006.

The Arbitration Court of Khanty-Mansiyskiy Autonomous Region is
located at:

         Lenina Str. 54/1
         Khanty-Mansiysk Autonomous Region
         Russia

The Debtor can be reached at:

         CJSC Oil-Gas-Invest
         Kuzmina Str. 26-100
         Megion
         Khanty-Mansiyskiy Autonomous Region
         Russia


TIMBER MILL: Court Names S. Gavryutina as Insolvency Manager
------------------------------------------------------------
The Arbitration Court of Ulyanovsk Region appointed Ms. S.
Gavryutina as Insolvency Manager for LLC Timber Mill.  She can
be reached at:

         S. Gavryutina
         Office 37
         Krymova Str. 12
         432071 Ulyanovsk Region
         Russia

The Court commenced bankruptcy proceedings against the company
after finding it insolvent.  The case is docketed under Case No.
A72-4919/06-20/79-B.

The Debtor can be reached at:

         LLC Timber Mill
         Glotovka
         Inzenskiy Region
         Ulyanovsk Region
         Russia


TIMBER TRANSPORT: Perm Bankruptcy Hearing Slated for Jan. 22
------------------------------------------------------------
The Arbitration Court of Perm Region will convene at 10:00 a.m.
on Jan. 22, 2007, to hear the bankruptcy supervision procedure
on LLC Timber Transport Company.  The case is docketed under
Case No. A50-14587/2006-B.

The Temporary Insolvency Manager is:

         A. Kotelnikov
         Office 35
         Mira Str. 45a
         614022 Perm Region
         Russia

The Arbitration Court of Perm Region is located at:

         Lunacharskogo Str. 3
         Perm Region
         Russia

The Debtor can be reached at:

         LLC Timber Transport Company
         Gagarina Str. 27
         Krasnovishersk
         618590 Perm Region
         Russia


TMK OAO: S&P Keeps B+ Rating on CreditWatch Negative After IPO
--------------------------------------------------------------
Standard & Poor's Ratings Services kept its 'B+' long-term
corporate credit rating on Russia-based steel pipe producer
OAO TMK on CreditWatch with negative implications, after TMK's
core shareholder, Dmitriy Pumpyanskiy, increased his stake in
the company to 100% from 67%.

The ratings were originally placed on CreditWatch on Sept. 4
pending clarification of the company's eventual balance sheet
structure.

The parent company, TMK Steel Ltd. (beneficially owned by Mr.
Pumpyanskiy), recently raised a US$780 million loan from TMK as
well as US$470 million in bank debt, which Standard & Poor's
believes it will repay primarily from TMK's dividends or through
a sale of TMK stock.

To finance the loan to TMK Steel, TMK issued a US$300 million
Eurobond in September 2006 and raised US$475 million in bank
debt.  The parent plans to sell about 20% of TMK stock at the
IPO scheduled for early November 2006.

"If the IPO proceeds help to refinance a significant part of
transaction-related debt at the company and parent levels by the
end of 2006, the rating is likely to be affirmed," said Standard
& Poor's credit analyst Elena Anankina.  "Otherwise, the rating
could be lowered, likely by one notch, reflecting higher
leverage and exposure to refinancing risks."


TNK-BP HOLDING: Earns RUR100.7 Bln for January-September 2006
-------------------------------------------------------------
TNK-BP Holding OAO released its financial results for the first
nine months of 2006.

For the first nine months of 2006, the company posted net
profits of RUR110.7 billion, of which RUR72 billion were earned
in the second quarter of the year, when TNK-BP sold its
Udmurtneftegaz shares.

                          About TNK-BP

Headquartered Moscow, Russia, TNK-BP Holding OAO --
http://www.tnk-bp.com/-- operates six refineries in Russia and
Ukraine, and markets products through 2,100 retail service
stations operating under TNK and BP brand.  TNK owns 56.5% of
TNK-BP Holding, and Onako and Sidanco hold 6.8% and 30.9%,
respectively. The other 5.8% belongs to TNK-BP shareholders.

TNK-BP holds a strategic position as the second largest liquids
producer in the Russian intergraded operating environment,
accounting for approximately 18% of Russia's total crude oil
production.
                          *     *     *

Standard & Poor's assigned BB+/Stable foreign currency local
currency ratings to TNK-BP on June 30, 2006.

Moody's assigned Ba2/Positive foreign currency rating to the
company on Jan. 24, 2006.

Fitch assigned BB+/Positive foreign currency rating to TNK-BP on
Feb. 13, 2006, and BB+/Positive local currency rating on Aug.
24, 2005.


TYUSHEVSKIY SPIRIT: Asset Sale Slated for October 31
----------------------------------------------------
LLC Shop of Ready Business Parma, the bidding organizer for OJSC
Tyushevskiy Spirit Distillery, opened a public auction for the
company's properties at 2:00 p.m. on Oct. 31 at:

         Bolshevistskaya Str. 163-313
         Perm Region
         Russia

To participate, bidders have until 5:00 p.m. on Oct. 30 to
deposit an amount equivalent to 10 percent of the starting price
to:

         OJSC TYUSHEVSKIY SPIRIT DISTILLERY (TIN 5943010037)
         Settlement Account 40702810200000001402
         OJSC Kamabank
         Perm Region
         BIK 045773878
         KPP 594301001
         Correspondent Account 30101810900000000878

Bidding documents must be submitted to:

         Bolshevistskaya Str. 163-35
         Perm Region
         Russia
         Tel: (342)236-39-33, 8-912-880-43-14

The Debtor can be reached at:

         LLC Shop of Ready Business Parma
         Bolshevistskaya Str. 163-35
         614068 Perm Region
         Russia
         Tel: (342)236-39-33, 8-912-880-43-14


USEC INC: Restores US$150-Mln Availability to Credit Facility
-------------------------------------------------------------
USEC Inc. and its direct subsidiary, United States Enrichment
Corporation, entered into an amendment to the Amended and
Restated Revolving Credit Agreement with the lenders, JPMorgan
Chase Bank, N.A., as administrative and collateral agent, and
the other financial institutions as "agents".

The Company's revolving credit facility is a US$400 million
asset-based credit facility and borrowings are subject to
limitations based on established percentages of eligible
accounts receivable and inventory.  The revolving credit
facility also contains reserve provisions that reduce the
facility's availability periodically or restrict the use of
borrowings.

The Company said that the amendment modifies the treatment of a
reserve referred to in the credit agreement as the "senior note
reserve" tied to the aggregate amount of proceeds received by
the Company from debt or equity offerings.  Following the
amendment, the reserve will be treated as a reserve against the
Company's eligible inventory, rather than directly reducing
availability.  Which means that reserve will now reduce
available borrowings under the revolving credit facility only at
the time and to the extent that the Company does not have
sufficient eligible inventory and accounts receivable available
to cover the reserve and its other reserves.  The Company's
other reserves currently consist primarily of a reserve for its
future obligations to the Department of Energy with respect to
the turnover of the gaseous diffusion plants to them at the end
of the term of the lease of the facilities.

The Company also disclosed that the senior note reserve had
previously been treated as a reserve against availability.
Which meant that it directly reduced availability under the
revolving credit facility regardless of the amount of its
eligible inventory and other assets.  The effect of the prior
treatment was that, after July 19, 2006, the reserve reduced the
availability under the Company's US$400 million revolving credit
facility by US$150 million.  Availability was approximately
US$214 million as of Sept. 30, 2006 with approximately US$36
million in outstanding letters of credit and no borrowings.  The
amendment restored by US$150 million the credit facility's
current availability.

Proceeds from any future debt or equity offerings, other than
renewals or replacements of existing debt, will continue to
reduce the amount of the senior note reserve, the Company
further disclosed.

A full text-copy of the Amendment may be viewed at no charge at
http://ResearchArchives.com/t/s?13c9

Bethesda, Maryland-based USEC Inc. (NYSE:USU) is a global energy
company that supplies enriched uranium fuel for commercial
nuclear power plants.

                        *     *     *

As reported in the Troubled Company Reporter-Europe on Oct. 19,
Moody's Investors Service confirmed its B1 Corporate Family
Rating for USEC Inc. in connection with the implementation of
its new Probability-of-Default and Loss-Given-Default rating
methodology for the North American Metals & Mining sectors.

As reported in the TCR on June 30, Standard & Poor's Ratings
Services lowered its corporate credit rating on USEC Inc. to 'B-
' from 'B+'.  At the same time, S&P lowered its senior unsecured
rating on USEC's 6.75% senior notes due 2009 to 'CCC' from 'B-'.
S&P said the outlook is negative.

Moody's Investors Service downgraded the senior unsecured debt
rating of USEC Inc. to B2 from Ba3.  Moody's also downgraded the
Corporate Family Rating to B1 from Ba2.


VIKULOVSKIY: Court Names V. Kravchenko as Insolvency Manager
------------------------------------------------------------
The Arbitration Court of Tyumen Region appointed Mr. V.
Kravchenko as Insolvency Manager for CJSC Vikulovskiy
Technological Centre.  He can be reached at:

         V. Kravchenko
         Post User Box 696
         Central Post Office
         Respubliki Str. 56
         625000 Tyumen Region
         Russia

The Court commenced bankruptcy proceedings against the company
after finding it insolvent.  The case is docketed under Case No.
A-70-4499/3-2006.

The Arbitration Court of Tyumen Region is located at:

         Khokhryakova Str. 77
         627000 Tyumen Region
         Russia

The Debtor can be reached at:

         CJSC Vikulovskiy Technological Centre
         Svobody Str. 181
         Vikulovo
         Tyumen Region
         Russia


VNESHTORGBANK JSC: Might Sell EADS Stake at Profit
--------------------------------------------------
Vneshtorgbank JSC is considering selling its five percent stake
in Franco-German company European Aeronautic Defense and Space
Company Co., RIA Novosti cites Industry and Energy Minister
Viktor Khristenko.

"VTB's deal to buy 5% in EADS is a financial transaction, and
whether it will develop into a strategic one remains to be seen.
Perhaps it will lead to an equally simple financial operation --
the sale of the shares on more profitable terms," Mr. Khristenko
told members of the lower house of the parliament.

In September, Russian President Vladimir Putin said VTB might
transfer its stake in EADS to United Aircraft Building
Corporation -- a state-controlled group formed to consolidate
major domestic aircraft assets -- if the owners of the aerospace
giant agree to give a larger chunk of Airbus contracts to
Russian manufacturers.  EADS now owns 100% of Airbus after
recently purchasing the 20% stake from BAE Systems for EUR2.75
billion.

As reported in the TCR-Europe on Sept. 14, Vneshtorgbank bought
a 5% stake in EADS for EUR922 million.  The state-owned
Vneshtorgbank, which is holding the shares for the Russian
aerospace industry, has been purchasing shares in the defense
and aerospace contractor for months.

                       About Vneshtorgbank

Headquartered in Moscow, Russia, JSC Vneshtorgbank and its
subsidiaries are a leading Russian commercial banking group,
offering a wide range of banking services and conducting
operations in both Russian and international markets.

As of Dec. 31, 2005, the Group had a network of 151 branches,
including 55 branches of VTB, 42 branches of VTB Retail Services
and 54 branches of Industry and Construction Bank, located in
major Russian regions.  The Group operates through three
subsidiaries located in the CIS (Armenia, Georgia, Ukraine),
seven subsidiaries located in Western Europe (Austria, Cyprus,
Switzerland, Germany, Luxembourg, France) and Great Britain and
through five representative offices located in India, Italy,
China, Byelorussia and Ukraine.

                        *     *     *

As reported in TCR-Europe on July 31, following the recent
upgrade of the Russian sovereign foreign and local currency IDRs
to BBB+ from BBB, Fitch Ratings lifted Vneshtorgbank and
Vnesheconombank ratings at:

Vnesheconombank:

   -- Upgraded to IDR BBB+ from BBB with a Stable Outlook; and
   -- Short-term upgraded to F2 from F3, Support affirmed at 2.

Vneshtorgbank:

   -- Upgraded to foreign currency and local currency IDR BBB+
      from BBB with a Stable Outlook;

   -- Short-term upgraded to F2 from F3;

   -- Individual affirmed at C/D; and

   -- Support affirmed at 2.


=============================
S L O V A K   R E P U B L I C
=============================


VALEANT PHARMA: Restating Results Due to Stock Option Errors
------------------------------------------------------------
Valeant Pharmaceuticals International's board of directors has
concluded that as a result of errors in the company's accounting
for stock options, financial statements for certain prior
periods will need to be restated.

The company has received a request from the U.S. Securities and
Exchange Commission for data on its stock option granting
practices since January 1, 2000, as part of an informal inquiry.
The company initiated a review of its option grants and
continues to cooperate with the SEC inquiry.  The company's
board of directors appointed a special committee of independent
directors which is directing the review of options practices
with the assistance of outside legal counsel.

The special committee has reported preliminary results of its
review to the finance and audit committee and the board of
directors, including its determination that, with respect to
broad-based grants in 1997 and subsequent years, the company
should have used different measurement dates for the purpose of
computing compensation expense for those stock option grants.
Because the special committee has not completed its review, the
company has not yet determined the magnitude of the restatement
or what other periods may ultimately be affected.  However,
based on the review of the grants described above, the board of
directors has determined that the company's financial statements
for and after 1997 should no longer be relied upon.

The option accounting errors are due to an incorrect application
of the measurement date of option grants according to the
provisions of Accounting Principles Board Opinion No. 25,
"Accounting for Stock Issued to Employees."  The company notes
that the majority of errors in accounting for options pertain to
those granted prior to the change in board and management in
mid-2002.  Errors also were noted in accounting for certain
options granted to employees since the change of the board and
management, but none of the errors related to options granted to
the current chief executive officer or chief financial officer
of the company.

               Third Quarter Results Out on Nov. 2

The company also said that it will announce financial results
for the 2006 third quarter on Nov. 2.  Because of the pending
restatement, these results will be preliminary and will, among
other things, exclude the impact of any additional options
expense until the company completes its review.  In addition,
the company will not be able to provide results for the year-to-
date period ended September 30, 2006, or comparative financial
results for the quarter or year-to-date periods in the prior
year when it announces results on Nov. 2.

In addition, the company does not expect to file its Form 10-Q
for the quarter ended September 30, 2006 by the due date.  The
failure of the company to remain current in its periodic
reporting obligations could have material adverse consequences
for the company.  These adverse consequences could include
compliance issues under the information reporting requirements
of the company's outstanding convertible and high-yield notes,
which if not timely cured could result in the acceleration of
the amounts outstanding under those notes.

Headquartered in Costa Mesa, California, Valeant Pharmaceuticals
International -- http://www.valeant.com/-- is a global
specialty pharmaceutical company that develops, manufactures and
markets a broad range of pharmaceutical products primarily in
the areas of neurology, infectious disease and dermatology.  In
Europe, the company has commercial offices in Belarus, Czech
Republic, France, Germany, Hungary, Italy, The Netherlands,
Poland, Russia, Slovak Republic, Spain, Turkey, Ukraine, and the
United Kingdom.

                        *     *     *

As reported in the TCR-Europe on Sept. 27, Moody's Investors
Service confirmed its B1 Corporate Family Rating for Valeant
Pharmaceuticals International, and its Ba3 rating on the
company's US$300 million issue of 7% senior unsecured notes due
2011 in connection with Moody's Investors Service's
implementation of its new Probability-of-Default and Loss-Given-
Default rating methodology for the U.S. pharmaceutical sector.

Additionally, Moody's assigned an LGD3 rating to those
bonds, suggesting noteholders will experience a 39% loss in the
event of a default.


VALEANT PHARMA: Moody's Reviews Ratings on Restatement Concerns
---------------------------------------------------------------
Moody's Investors Service placed the ratings of Valeant
Pharmaceuticals International (B1 corporate family rating) under
review for possible downgrade.  This rating action follows the
company's announcement that it will restate certain financial
statements as a result of accounting errors related to
accounting for stock options.

The rating review is prompted primarily by concerns that failure
to file timely financial statements with the SEC could lead to
an acceleration of debt maturities.  According to the indentures
governing US$300 million of Valeant's senior notes, US$240
million of 3% convertible notes and US$240 million of 4%
convertible notes, failure to file timely SEC reports
constitutes a covenant violation.  If the trustee or holders of
25% of the respective series of notes or convertibles declare a
default, Valeant must cure the violation within 60 days or the
debt becomes immediately due.

Secondary concerns include the company's cash flow relative to
debt, which has remained somewhat weak for Moody's B1 corporate
family rating, and delays in the expected timeline for
Viramidine regulatory filings following VISER1 data published in
March 2006 and VISER2 data published in September 2006.  Moody's
rating outlook on Valeant has been negative since March 23.

Moody's rating review will focus on:

   -- the ability of the company to meet the filing
      requirements specified in the indentures;

   -- the nature and extent of the restatement, as well as
      the disclosures of any weaknesses in internal
      controls over financial reporting; and

   -- the company's ability to improve free cash flow over
      the near term through growth in product sales and
      cost restructuring activities while continuing to
      invest in Viramidine clinical trials.

Ratings placed under review for possible downgrade:

Valeant Pharmaceuticals International

    * B1 corporate family rating

    * Ba3 senior unsecured notes of US$300 million due 2011
     (LGD3, 39%)

    * Ba3 probability of default rating

Moody's does not rate Valeant's 3% convertible subordinated
notes of US$240 million due 2010 or its 4% convertible
subordinated notes of US$240 million due 2013.

Headquartered in Costa Mesa, California, Valeant Pharmaceuticals
International [NYSE: VRX] is a global specialty pharmaceutical
company with US$823 million of 2005 revenues.


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


BOMBARDIER INC.: Launches Tender Offers for Outstanding Notes
-------------------------------------------------------------
Bombardier Inc. and Bombardier Capital Funding LP launched
tender offers for any and all of the outstanding EUR500 million
6.125% Notes due 2007 issued in Europe by Bombardier Capital
Funding LP and a principal amount to be determined of the EUR500
million 5.75% Notes due 2008 issued in Europe by Bombardier Inc.

The minimum target amount of the tender offers is EUR500 million
with the exact aggregate repurchase amount to be announced on
Nov. 14 following the expiration date of the tender offers on
Nov. 13.

Settlement is expected on Nov. 17.  Details on the terms,
conditions and restrictions relating to the tender offers are
contained in the Invitation Memorandum dated Oct. 23.  The
tender offers are not open to U.S. persons or persons located or
resident in the United States or Italy.

The purpose of the tender offers is to take advantage of current
favorable conditions in the debt capital markets and to extend
the Bombardier's debt maturity profile by refinancing the 2007
Notes and the 2008 Notes with longer maturity securities.  The
tender offers are conditional upon completion of and will be
funded with a portion of the proceeds of a proposed new issue of
notes by Bombardier Inc., which is expected to be launched in
the near future.

Bombardier Inc. expects to complete the issue of notes prior to
the settlement of the tender offers, subject to market
conditions.  The new issue will not be registered under the
securities laws of any jurisdiction and cannot be offered or
sold in any jurisdiction without registration or an applicable
exemption for registration requirements.

Deutsche Bank is acting as sole Dealer Manager in connection
with the tender offers.

                        About Bombardier

Headquartered in Valcourt, Quebec, Bombardier Inc. (TSX: BBD) --
http://www.bombardier.com/-- manufactures innovative
transportation solutions, from regional aircraft and business
jets to rail transportation equipment.  The company is a global
corporation.  In Europe, it maintains operations in Northern
Ireland, United Kingdom, Germany, Switzerland, Sweden, and
Austria.  Its revenues for the fiscal year ended Jan. 31, 2006
were US$14.7 billion and its shares are traded in the Toronto
Stock Exchange.

Bombardier Inc.'s 6.3% Notes due 2014 carry Moody's Investor
Service's Ba2 rating and Standard & Poors' and Fitch Ratings' BB
ratings.


BOMBARDIER INC.: Fitch Puts BB Default Rating on Watch Negative
---------------------------------------------------------------
Fitch Ratings placed the debt and Issuer Default Ratings for
both Bombardier Inc. and Bombardier Capital Inc. on Rating Watch
Negative.  The existing ratings are:

Bombardier Inc.

   -- IDR BB;
   -- Senior unsecured debt BB;
   -- Bank facilities BB; and
   -- Preferred stock B+.

Bombardier Capital Inc.

   -- IDR BB; and
   -- Senior unsecured debt BB.

These ratings cover approximately US$4.2 billion of outstanding
debt and preferred stock.  Due to the existence of a support
agreement and demonstrated support by the parent, BC's ratings
are linked to those of BI.

The Rating Watch is based on concerns about potential changes in
Bombardier's financial strategy, which has been focused on debt
reduction.  The tender offer announced indicates that the
company will retire little debt over the next two fiscal years.

In addition, Fitch is concerned that some or all of the debt
reduction accomplished in the current fiscal year could be
offset by new debt issuance.  The company intends to fund the
tender with a portion of an upcoming bond issue.

The Rating Watch will be resolved when it becomes clear what
amount of debt Bombardier plans to issue in the near term, and
Fitch expects to resolve the Rating Watch within the next
several weeks.  Fitch believes that any downgrade will most
likely be limited to one notch.

Factors supporting the ratings include the company's cash
position, diversification, large backlog at Bombardier
Transportation, leading market positions, the health of the
business jet and turboprop markets, and BT's successful
restructuring.

Concerns include the variability of free cash flow due to order
flow at BT and Bombardier Aerospace; continued low margins and
free cash flow; business jet market cyclicality; the sizable
pension plan deficit; the impact of exchange rate volatility on
financial results and planning; and various RJ concerns,
including low backlog, weak orders, uncertainty regarding
development of new aircraft models, the future of the 50-seat RJ
segment, and contingent obligations related to past aircraft
sales.


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


AGRONIK: Kyiv Court Starts Bankruptcy Supervision
-------------------------------------------------
The Economic Court of Kyiv Region commenced bankruptcy
supervision procedure on LLC Agronik (code EDRPOU 32499116).
The case is docketed under Case No. 274-2 b-2006.

The Temporary Insolvency Manager is:

         Olena Zolotoverh
         Bila Tserkva,
         50-richya Peremogi Boulevard 125/135
         09100 Kyiv Region
         Ukraine

The Economic Court of Kyiv Region is located at:

         B. Hmelnitskij Boulevard 44-B
         01030 Kyiv Region
         Ukraine

The Debtor can be reached at:

         LLC Agronik
         Chkalov Str. 17
         Brovari
         07400 Kyiv Region
         Ukraine


BANK FORUM: Moody's Assigns B2 Rating on US$100-Million Notes
-------------------------------------------------------------
Moody's Investors Service Inc. assigned a rating of B2 (positive
outlook) to US$100 million Loan Participation Notes due in
October 2009 issued by, but without recourse to, Standard Bank
Plc for the sole purpose of financing a loan to Bank Forum
(Ukraine).

Moody's notes that the B2 rating assigned to the Notes is based
on the fundamental credit quality of the underlying obligor,
Forum bank, rated at B2/NP/E+ (positive outlook on local
currency long-term bank deposit rating), and does not factor in
any support from the bank's shareholders or the Ukrainian
financial authorities.

The bank's obligations under the loan received from Standard
Bank Plc will rank at least pari passu in right of payment with
all other unsecured and subordinated obligations of Bank Forum,
except as otherwise provided by mandatory provisions of
applicable Ukrainian law, and there is no interest deferral
clause in the loan agreement.

Moody's notes that Ukraine is in general a country with
individual depositor preference, which may reduce the recovery
rates for the bondholders, especially if such deposits were to
represent a sizeable proportion of the bank's liabilities in the
event of liquidation.

According to the terms and conditions of the loan agreement,
Bank Forum must maintain on a consolidated basis (reported under
IFRS) a minimum total capital adequacy ratio of at least 11% as
well as comply with the National Bank of Ukraine capital
regulations and with a number of other covenants such as
negative pledge, limitations on mergers and disposals, and
transactions with affiliates.

The rating agency notes that, while the likelihood of any of the
above-mentioned covenants being triggered is relatively low, any
such occurrence could potentially have adverse liquidity
implications for the bank and, if accompanied at that time by
deterioration in the bank's credit standing, might exert
additional downward pressure on its ratings.

Headquartered in Kyiv, Ukraine, Bank Forum reported consolidated
total assets of UAH3.7 billion (US$0.73 billion) - in accordance
with IFRS - as at Dec. 31, 2005.


BANK FORUM: Fitch Assigns Final B- Rating to US$100-Mln Notes
-------------------------------------------------------------
Fitch Ratings assigned Standard Bank PLC's US$100 million 10%
issue of limited recourse loan participation notes due 2009
final ratings of Recovery RR4 and Long-term B-.

The notes are to be used solely for financing a loan to Ukraine-
based Bank Forum, which is rated Issuer Default B-, Short-term
B, Individual D/E, and Support 5.  The Outlook on the IDR is
Stable.

According to National Bank of Ukraine, Forum was the 12th
largest Ukrainian bank by assets at end-June 2006.  Forum's
principal activities are corporate banking, with a focus on
small and medium-sized companies and retail banking.  The bank
is majority-owned by Leonid Yurushev, a local businessman, and
the members of his family.


BANK FINANCE: Moody's Rates Loan Participation Notes at B2
----------------------------------------------------------
Moody's Investors Service Inc. assigned a rating of B2 to the
Loan Participation Notes to be issued on a limited recourse
basis by a Dutch-based special purpose vehicle Finance & Credit
Ukraine B.V. for the sole purpose of funding a loan from Moscow
Narodny Bank Limited (Baa2/Prime-2/D+) to Ukrainian Bank Finance
and Credit Ltd. (B2/Not-Prime/E+).  The volume and the tenor of
the issue have yet to be determined.  The outlook for the rating
is stable.

Moody's B2 long-term foreign currency debt rating is based on
the fundamental credit quality of Bank Finance and Credit as an
underlying borrower.  The loan to the bank, which is the only
source of repayment for the notes, will rank at least pari passu
with the claims of all of Bank Finance and Credit's other
unsecured creditors save those whose claims are preferred by any
bankruptcy, insolvency, liquidation or similar laws of general
application.

The underlying loan agreement contains a standard set of
covenants such as negative pledge, limitations on mergers,
disposals, transactions with affiliates and restricted payments.
The rating agency notes that, while the likelihood of any of the
above covenants being triggered is relatively low, if such were
to occur, it could potentially have adverse liquidity
implications for the bank and might exert severe downward
pressure on its ratings.

Moody's cautions that the transaction also has an embedded
rating trigger whereby the notes will become payable if during
the three months after the occurrence of any reorganization,
corporate reconstruction or change of control of Bank Finance
and Credit, its ratings are downgraded by one or more notches or
are placed on review for possible downgrade.  If the
noteholders' put option were to be exercised, this could result
in the need to repay a sizeable obligation, thus putting a
burden on the bank's financial resources.

Headquartered in Kyiv, Ukraine, Bank Finance and Credit reported
total audited assets of US$1.05 billion under IFRS as of
June 30, 2006.


BIRKIVSKE: Court Names Yurij Teleshun as Insolvency Manager
-----------------------------------------------------------
The Economic Court of Poltava Region appointed Yurij Teleshun as
Liquidator/Insolvency Manager for OJSC Birkivske (code EDRPOU
00845737).

The Court commenced bankruptcy proceedings against the company
after finding it insolvent on Sept. 12.  The case is docketed
under Case No. 7/79-7/14-18/119.

The Economic Court of Poltava Region is located at:

         Zigina Str. 1
         36000 Poltava Region
         Ukraine

The Debtor can be reached at:

         OJSC Birkivske
         Birki
         Veliko Bagachanskij District
         Poltava Region
         Ukraine


DNIPROELEKTROKOMPLEKT: Mikita Nikitenko to Liquidate Assets
-----------------------------------------------------------
The Economic Court of Zaporizhya Region appointed Mikita
Nikitenko as Liquidator/Insolvency Manager for LLC
Dniproelektrokomplekt (code EDRPOU 32881061).

The Court commenced bankruptcy proceedings against the company
after finding it insolvent on Sept. 14.  The case is docketed
under Case No. 25/151/06.

The Economic Court of Zaporizhya Region is located at:

         Shaumyana Str. 4
         69001 Zaporizhya Region
         Ukraine

The Debtor can be reached at:

         LLC Dniproelektrokomplekt
         Portova Str. 2
         69006 Zaporizhya Region
         Ukraine


FENIKS 666: Court Names Oleg Bilera appointed as Liquidator
-----------------------------------------------------------
The Economic Court of Cherkassy Region appointed Oleg Bilera
appointed as Liquidator/Insolvency Manager for LLC Feniks 666
(code EDRPOU 22795069).

The Court commenced bankruptcy proceedings against the company
after finding it insolvent on July 24.  The case is docketed
under Case No. 01/3602.

The Economic Court of Cherkassy Region is located at:

         Shevchenko Avenue 307
         18005 Cherkassy Region
         Ukraine

The Debtor can be reached at:

         LLC Feniks 666
         Vatutine, Chervonij lane, 2/1
         20250 Cherkassy Region
         Ukraine


FREE PISTON: Harkiv Court Starts Bankruptcy Supervision
-------------------------------------------------------
The Economic Court of Harkiv Region commenced bankruptcy
supervision procedure on JSC Free Piston Engines Experimental-
Constructing Bureau (code EDRPOU 23149584).  The case is
docketed under Case No. B-39/102-06.

The Temporary Insolvency Manager is:

         M. Sorokin
         Dobrolubov Str. 18/184
         Harkiv Region
         Ukraine

The Economic Court of Harkiv Region is located at:

         Derzhprom 8th Entrance
         Svobodi Square 5
         61022 Harkiv Region
         Ukraine

The Debtor can be reached at:

         JSC Free Piston Engines
         Experimental-Constructing Bureau
         Dmitro Pozharskij Str. 2
         Frunzenskij District
         61046 Harkiv Region
         Ukraine


GOLDEN TELECOM: To Start US$10-Mln Moscow Wi-Fi Service in 2007
---------------------------------------------------------------
Golden Telecom, Inc., will pour in US$10 million in investment
to build a broadband wireless Internet network in Moscow, RIA
Novosti cites Chief Executive Jean-Pierre Vandromme as saying.

Golden Telecom will begin providing Wi-Fi services in Moscow on
Jan. 15, 2007, Mr. Vandromme said, adding that the group plans
to capture 15-20% of the city's Wi-Fi market.  Golden Telecom
plans to charge not more than US$50 a month per subscriber for
its Wi-Fi services.

Mr. Vandromme estimates that by around 2011, Wi-Fi users in
Moscow will number around 2.5 million, of which 400,000 will be
Golden Telecom clients.

                      About Golden Telecom

Golden Telecom, Inc. -- http://www.goldentelecom.com/-- is a
leading facilities- based provider of integrated
telecommunications and Internet services in major population
centers throughout Russia and other countries of the
Commonwealth of Independent States.  The Company offers voice,
data and Internet services to corporations, operators and
consumers using its overlay network in major cities including
Moscow, Kiev, St. Petersburg, Nizhniy Novgorod, Samara,
Kaliningrad, Krasnoyarsk, Alma-Ata, and Tashkent, and via
intercity fiber optic and satellite-based networks, including
approximately 287 combined access points in Russia and other
countries of the CIS.  The Company offers cellular communication
services in Kiev and Odessa, Ukraine.

                          *     *     *

As reported in the TCR-Europe on Oct. 16, Standard & Poor's
Ratings Services raised its long-term corporate credit rating on
Golden Telecom Inc., to 'BB' from 'BB-', reflecting the
company's strengthened business profile and prudent financial
risk management.  S&P said the outlook is stable.

"The upgrade reflects the company's strengthened business
profile, with strong market shares and a leading consolidator
position in Russia's corporate fixed-line market," said Standard
& Poor's credit analyst Lorenzo Sliusarev.


KREMENCHUK METAL: Court Names Stepan Bonchak as Liquidator
----------------------------------------------------------
The Economic Court of Poltava Region appointed Stepan Bonchak as
Liquidator/Insolvency Manager for Enterprise Kremenchuk Metal
Constructions Plant (code EDRPOU 01412325).

The Court commenced bankruptcy proceedings against the company
after finding it insolvent on Sept. 14.  The case is docketed
under Case No. 7/27.

The Economic Court of Poltava Region is located at:

         Zigina Str. 1
         36000 Poltava Region
         Ukraine

The Debtor can be reached at:

         Enterprise Kremenchuk Metal Constructions Plant
         Galuzevij Lane 30
         Kremenchuk
         39600 Poltava Region
         Ukraine


TEHSPECSERVICE: Zaporizhya Court Starts Bankruptcy Supervision
--------------------------------------------------------------
The Economic Court of Zaporizhya Region commenced bankruptcy
supervision procedure on LLC Tehspecservice (code EDRPOU
32474882).  The case is docketed under Case No. 25/158/06.

The Temporary Insolvency Manager is:

         O. Potapov
         Energodar, a/b 118
         71500 Zaporizhya Region
         Ukraine

The Economic Court of Zaporizhya Region is located at:

         Shaumyana Str. 4
         69001 Zaporizhya Region
         Ukraine

The Debtor can be reached at:

         LLC Tehspecservice
         Lenska Str. 19
         Zaporizhya Region
         Ukraine


TNK-BP HOLDING: Earns RUR100.7 Bln for January-September 2006
-------------------------------------------------------------
TNK-BP Holding OAO released its financial results for the first
nine months of 2006.

For the first nine months of 2006, the company posted net
profits of RUR110.7 billion, of which RUR72 billion were earned
in the second quarter of the year, when TNK-BP sold its
Udmurtneftegaz shares.

                          About TNK-BP

Headquartered Moscow, Russia, TNK-BP Holding OAO --
http://www.tnk-bp.com/-- operates six refineries in Russia and
Ukraine, and markets products through 2,100 retail service
stations operating under TNK and BP brand.  TNK owns 56.5% of
TNK-BP Holding, and Onako and Sidanco hold 6.8% and 30.9%,
respectively. The other 5.8% belongs to TNK-BP shareholders.

TNK-BP holds a strategic position as the second largest liquids
producer in the Russian intergraded operating environment,
accounting for approximately 18% of Russia's total crude oil
production.
                          *     *     *

Standard & Poor's assigned BB+/Stable foreign currency local
currency ratings to TNK-BP on June 30, 2006.

Moody's assigned Ba2/Positive foreign currency rating to the
company on Jan. 24, 2006.

Fitch assigned BB+/Positive foreign currency rating to TNK-BP on
Feb. 13, 2006, and BB+/Positive local currency rating on
Aug. 24, 2005.


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


14 ECCLESTON: Creditors' Meeting Slated for November 2
------------------------------------------------------
Creditors of 14 Eccleston Place Management Company Ltd. (Company
Number 04566034) will meet at 11:00 a.m. on Nov. 2 at:

         Smith & Williamson Ltd.
         25 Moorgate
         London EC2R 6AY
         United Kingdom

Creditors who want to be represented at the meeting may appoint
proxies.  Proxy forms must be submitted together with written
debt claims at noon on Oct. 31 at:

         Anthony Cliff Spicer
         Joint Administrator
         BDO Stoy Hayward
         Smith & Williamson Ltd.
         25 Moorgate
         London EC2R 6AY
         United Kingdom
         Tel: 020 7637 5377
         Fax: 020 7631 0741

Smith & Williamson -- http://www.smith.williamson.co.uk/-- is
an independent professional and financial services group
employing over 1,200 people.  It is the leading provider of
investment management, financial advisory and accountancy
services to private clients, professional practices, mid to
large corporates and non-profit organizations.


BEARINGPOINT: Solicits Consents from Certain Debenture Holders
--------------------------------------------------------------
BearingPoint Inc. is soliciting consents from the holders of
certain bonds to amend existing agreements governing these
bonds.  Specifically, the company seeks to amend the agreements
and obtain waivers relating to the company's Securities and
Exchange Commission reporting requirements.  The amendments and
waivers affect the company's:

   -- 2.50% Series A Convertible Subordinated Debentures due
      2024 (CUSIP No. 074002AA4),

   -- 2.75% Series B Convertible Subordinated Debentures due
      2024 (CUSIP No. 074002AB2) (Series B Debentures) and

   -- 5.00% Convertible Senior Subordinated Debentures due 2025
      (CUSIP No. 0074000AE0).

Holders of record as of 5:00 p.m., New York City time, on
Oct. 17, 2006, who validly deliver and do not revoke their
consents will receive a consent fee. The consent solicitation is
expected to expire at 5:00 p.m., New York City time, on
Oct. 26, 2006, unless extended by the company.

Bearingpoint is involved in a dispute with certain holders of
the Series B Debentures who have alleged that the company is in
default under the applicable indenture as result of the
company's failure to timely provide certain periodic SEC reports
to the trustee.  Although the indenture expressly states that
the company provide copies of the annual and quarterly reports
filed with the SEC within 15 days after they are filed with the
SEC, these holders allege that the company is in default because
it has not filed these reports with the SEC on a timely basis.
In addition, the New York State Supreme Court for New York
County recently entered an order finding the company in default
under such indenture.  The company believes that there are
serious errors in the court's ruling and intends to pursue its
rights and remedies in that regard and has filed an appeal.

To resolve the uncertainties created by the court's ruling,
Bearingpoint is seeking consents to proposed amendments of
certain provisions of the indenture governing each series of the
Debentures and a waiver of defaults thereunder, until Oct. 31,
2007.  This includes any default or event of default that may
arise by virtue of the company's failure to file with the
SEC and further to furnish to the trustee and holders of
Debentures, certain reports required to be filed by the company
under the Securities Exchange Act of 1934, as amended. The
company also seeks a rescission of any acceleration related to
the company's failure to file such SEC reports.

The effectiveness of the proposed amendments and waiver and the
payment of the consent fee are subject to the receipt of valid
consents that are not revoked in respect of at least a majority
of the aggregate principal amount outstanding of each series of
the Debentures.  Holders of the Debentures may revoke their
consents at any time before the proposed amendments and waiver
become effective, but upon receipt by the company of the
consents of a majority of the aggregate principal amount
outstanding of each series of the Debentures, the waiver will
become effective and consents may no longer be revoked.
Bearingpoint has the right to waive or amend the terms and
conditions of the offer. The amendment and waiver will also
include the waiver of any and all rights to accelerate the
Debentures that may arise under the indenture as a result of the
failure of another series of Debentures to consent to the
proposed amendments and waiver.  Furthermore, if the company
does not receive the requisite consents from all series of
Debentures, the company will continue to explore all available
options with respect to its debt.

Holders of each series of record as of 5:00 p.m., New York City
time, on Oct. 17, 2006, who validly deliver and do not revoke
their consents will receive an initial consent fee for each
US$1,000 in principal amount of Debentures with respect to which
consents are received equal to the product of US$10.00
multiplied by a fraction, the numerator of which is the
aggregate principal amount of such series of Debentures
outstanding on the expiration date and the denominator of which
is the aggregate principal amount of such series of Debentures
as to which the company received and accepted consents.  If the
company has not filed the Required Reports with the SEC by 5:30
pm, New York City time on Oct. 31, 2007, the company has the
option to pay to these holders an additional US$2.50 for each
US$1,000 in principal amount of such series of Debentures as to
which the company has received and accepted consents, which will
extend the deadline for filing Required Reports for one
additional year.

The Liability Management Group of Citigroup Corporate and
Investment Banking is serving as the solicitation agent for the
consent solicitation.  Questions regarding the consent
solicitation may be directed to:

          The Liability Management Group
          Tel: (800) 558-3745 (toll-free)
               (212) 723-6106.

The information agent for the consent solicitation is Global
Bondholder Services Corporation.  Requests for copies of the
Consent Solicitation Statement and related documents may be
directed to:

         Global Bondholder Services Corp.
         Tel: (866) 857-2200 (toll- free)
              (212) 430-3774

Headquartered in McLean, Virginia, BearingPoint, Inc., (NYSE:
BE) -- http://www.BearingPoint.com/-- provides of management
and technology consulting services to Global 2000 companies and
government organizations in 60 countries worldwide.  The firm
has approximately 17,500 employees, and major practice areas
focusing on the Public Services, Financial Services and
Commercial Services markets.

BearingPoint has global locations in Australia, Austria, Brazil,
China, France, India, Indonesia, Japan, Mexico, Portugal,
Singapore, Thailand, and the United Kingdom, among others.

                         *     *     *

As reported in the TCR-Europe on Oct. 11, Moody's
downgraded and placed these ratings on review for further
possible downgrade:

   * Corporate Family Rating --downgraded to B2 from B1

   * US$250 million series A subordinated convertible bonds due
     2024 --downgraded to B3 from B2

   * US$200 million series B subordinated convertible bonds due
     2024 --downgraded to B3 from B2


BEARINGPOINT: Gets US$69MM Deal to Boost Jordan Competitiveness
---------------------------------------------------------------
BearingPoint Inc. has been awarded a contract by the United
States Agency for International Development or USAID to
implement the Sustainable Achievement of Business Expansion and
Quality program or SABEQ for Jordan.  The purpose of SABEQ is to
spur economic growth and reduce poverty in the country by
increasing the number of jobs available to Jordanians and
enhancing the competitiveness of Jordanian firms, important
steps the Government of Jordan is taking to meet its goal of
increasing economic growth to reduce poverty.  The five-year
contract is estimated at approximately US$69 million.

The SABEQ program is the cornerstone of USAID and Jordan's
economic growth efforts, and is designed to provide a flexible
and integrated set of services in four areas:

   -- Improve financial integrity, oversight and broaden capital
      markets,

   -- Expand trade and investment,

   -- Remove Government of Jordan constraints to achieving
      private sector competitiveness, and

   -- Enhance productivity.

James Horner, the senior vice president of BearingPoint's
Emerging Markets practice, stated, "BearingPoint's extensive
experience in economic governance for a wide range of
international economies will be a tremendous asset to this
project.  Our team looks forward to continuing to work with
USAID and the Government of Jordan on this and other projects."

This is the second recent contract BearingPoint has received
through USAID to work with the Government of Jordan.  Earlier
this year, BearingPoint was awarded a US$14 million contract to
provide technical assistance in the area of fiscal reform, with
a focus on tax policy, tax administration and budget management.

BearingPoint's Emerging Markets practice is active in
approximately 60 nations worldwide, providing management,
economic, and technology consulting services to developed and
developing economies.  Several core areas of expertise within
the Emerging Markets practice include:

   -- Accelerating public sector reform, promoting economic
      growth and improving public services;

   -- Creating an environment to support private sector growth,
      attracting new investment and increasing employment; and

   -- Using information technology to build capacity and enhance
      competitiveness.

Headquartered in McLean, Virginia, BearingPoint, Inc., (NYSE:
BE) -- http://www.BearingPoint.com/-- provides of management
and technology consulting services to Global 2000 companies and
government organizations in 60 countries worldwide.  The firm
has approximately 17,500 employees, and major practice areas
focusing on the Public Services, Financial Services and
Commercial Services markets.

BearingPoint has global locations in Australia, Austria, Brazil,
China, France, India, Indonesia, Japan, Mexico, Portugal,
Singapore, Thailand, and the United Kingdom, among others.

                         *     *     *

As reported in the TCR-Europe on Oct. 11, Moody's
downgraded and placed these ratings on review for further
possible downgrade:

   * Corporate Family Rating --downgraded to B2 from B1

   * US$250 million series A subordinated convertible bonds due
     2024 --downgraded to B3 from B2

   * US$200 million series B subordinated convertible bonds due
     2024 --downgraded to B3 from B2


BEARINGPOINT INC: Names Judy Ethell as Chief Financial Officer
--------------------------------------------------------------
BearingPoint Inc. named Judy Ethell -- a member of its executive
leadership team and the company's Chief Accounting Officer -- as
chief financial officer.  She will report to Harry You, the
company's Chief Executive Officer.

Ms. Ethell will retain her title as Chief Accounting Officer
while Mr. You, who became interim Chief Financial Officeer in
May 2005, will focus solely on his role as Chief Executive
Officer.

As BearingPoint's Executive Vice President and Chief Accounting
Officer over the last 15 months, Ms. Ethell transformed the
finance organization, leading a comprehensive effort to retool
and materially upgrade BearingPoint's accounting, financial
reporting and auditing functions.  Her involvement was crucial
to the completion of the audit of the company's 2004 financial
statements and she is leading the effort to complete the audit
on the 2005 and 2006 financial statements.  Ms. Ethell was also
responsible for developing and implementing new global financial
control, human resource, and client reporting systems.

Mr. You said, "Judy has been instrumental in driving our efforts
to become compliant with our filings, to transform our finance
organization and to create a platform upon which we can deliver
the highest quality service to our global customer base.  I have
worked directly with Judy over the past year and have seen
firsthand her strength leading our corporate finance and
accounting initiatives.  Judy's tremendous contribution to the
finance transformation efforts taking place across BearingPoint
made her the clear choice for the job."

A native of St. Louis, Mo., and a Certified Public Accountant
for 23 years, Ms. Ethell has more than 20 years of professional
experience working with Fortune 500 companies with Sarbanes-
Oxley readiness and testing from a systems, processes and
procedures perspective.  Prior to joining BearingPoint in July
2005, Ethell served as Tax Partner in charge of the St. Louis
office of PricewaterhouseCoopers, LLP, where she was responsible
for managing 120 professionals in all aspects of the business.

Ms. Ethell said, "I am thrilled to continue my efforts under
Harry and work with the BearingPoint management team in this new
role.  Together, we have achieved significant progress in a
short time, and we are now much better positioned for future
success.  I look forward to the opportunities of the new
position."

Headquartered in McLean, Virginia, BearingPoint, Inc., (NYSE:
BE) -- http://www.BearingPoint.com/-- provides of management
and technology consulting services to Global 2000 companies and
government organizations in 60 countries worldwide.  The firm
has approximately 17,500 employees, and major practice areas
focusing on the Public Services, Financial Services and
Commercial Services markets.

BearingPoint has global locations in Australia, Austria, Brazil,
China, France, India, Indonesia, Japan, Mexico, Portugal,
Singapore, Thailand, and the United Kingdom, among others.

                         *     *     *

As reported in the TCR-Europe on Oct. 11, Moody's
downgraded and placed these ratings on review for further
possible downgrade:

   * Corporate Family Rating --downgraded to B2 from B1

   * US$250 million series A subordinated convertible bonds due
     2024 --downgraded to B3 from B2

   * US$200 million series B subordinated convertible bonds due
     2024 --downgraded to B3 from B2


BOMBARDIER INC.: Launches Tender Offers for Outstanding Notes
-------------------------------------------------------------
Bombardier Inc. and Bombardier Capital Funding LP launched
tender offers for any and all of the outstanding EUR500 million
6.125% Notes due 2007 issued in Europe by Bombardier Capital
Funding LP and a principal amount to be determined of the EUR500
million 5.75% Notes due 2008 issued in Europe by Bombardier Inc.

The minimum target amount of the tender offers is EUR500 million
with the exact aggregate repurchase amount to be announced on
Nov. 14 following the expiration date of the tender offers on
Nov. 13.

Settlement is expected on Nov. 17.  Details on the terms,
conditions and restrictions relating to the tender offers are
contained in the Invitation Memorandum dated Oct. 23.  The
tender offers are not open to U.S. persons or persons located or
resident in the United States or Italy.

The purpose of the tender offers is to take advantage of current
favorable conditions in the debt capital markets and to extend
the Bombardier's debt maturity profile by refinancing the 2007
Notes and the 2008 Notes with longer maturity securities.  The
tender offers are conditional upon completion of and will be
funded with a portion of the proceeds of a proposed new issue of
notes by Bombardier Inc., which is expected to be launched in
the near future.

Bombardier Inc. expects to complete the issue of notes prior to
the settlement of the tender offers, subject to market
conditions.  The new issue will not be registered under the
securities laws of any jurisdiction and cannot be offered or
sold in any jurisdiction without registration or an applicable
exemption for registration requirements.

Deutsche Bank is acting as sole Dealer Manager in connection
with the tender offers.

                        About Bombardier

Headquartered in Valcourt, Quebec, Bombardier Inc. (TSX: BBD) --
http://www.bombardier.com/-- manufactures innovative
transportation solutions, from regional aircraft and business
jets to rail transportation equipment.  The company is a global
corporation.  In Europe, it maintains operations in Northern
Ireland, United Kingdom, Germany, Switzerland, Sweden, and
Austria.  Its revenues for the fiscal year ended Jan. 31, 2006
were US$14.7 billion and its shares are traded in the Toronto
Stock Exchange.

Bombardier Inc.'s 6.3% Notes due 2014 carry Moody's Investor
Service's Ba2 rating and Standard & Poors' and Fitch Ratings' BB
ratings.


BOMBARDIER INC.: Fitch Puts BB Default Rating on Watch Negative
---------------------------------------------------------------
Fitch Ratings placed the debt and Issuer Default Ratings for
both Bombardier Inc. and Bombardier Capital Inc. on Rating Watch
Negative.  The existing ratings are:

Bombardier Inc.

   -- IDR BB;
   -- Senior unsecured debt BB;
   -- Bank facilities BB; and
   -- Preferred stock B+.

Bombardier Capital Inc.

   -- IDR BB; and
   -- Senior unsecured debt BB.

These ratings cover approximately US$4.2 billion of outstanding
debt and preferred stock.  Due to the existence of a support
agreement and demonstrated support by the parent, BC's ratings
are linked to those of BI.

The Rating Watch is based on concerns about potential changes in
Bombardier's financial strategy, which has been focused on debt
reduction.  The tender offer announced indicates that the
company will retire little debt over the next two fiscal years.

In addition, Fitch is concerned that some or all of the debt
reduction accomplished in the current fiscal year could be
offset by new debt issuance.  The company intends to fund the
tender with a portion of an upcoming bond issue.

The Rating Watch will be resolved when it becomes clear what
amount of debt Bombardier plans to issue in the near term, and
Fitch expects to resolve the Rating Watch within the next
several weeks.  Fitch believes that any downgrade will most
likely be limited to one notch.

Factors supporting the ratings include the company's cash
position, diversification, large backlog at Bombardier
Transportation, leading market positions, the health of the
business jet and turboprop markets, and BT's successful
restructuring.

Concerns include the variability of free cash flow due to order
flow at BT and Bombardier Aerospace; continued low margins and
free cash flow; business jet market cyclicality; the sizable
pension plan deficit; the impact of exchange rate volatility on
financial results and planning; and various RJ concerns,
including low backlog, weak orders, uncertainty regarding
development of new aircraft models, the future of the 50-seat RJ
segment, and contingent obligations related to past aircraft
sales.


CENTREX COMPUTING: Brings In Administrators from Menzies
--------------------------------------------------------
Paul John Clark and Jason James Godefroy of Menzies Corporate
Restructuring were appointed joint administrators of Centrex
Computing Solutions Ltd. (Company Number 05657080) on Oct. 10.

Headquartered in London, Menzies Corporate Restructuring --
http://www.menzies.co.uk/-- is a member of Moores Rowland
International, an association of independent accounting firms
throughout the world with some 20,800 partners and staff,
operating from 628 offices in 92 countries.

Centrex Computing Solutions Ltd. can be reached at:

         Brocks Cottage
         Felton
         Morpeth
         Northumberland NE65 9EL
         United Kingdom
         Tel: 01670 786 192


COINVISION DIRECT: Appoints Liquidator from Griffin & King
----------------------------------------------------------
Timothy Frank Corfield of Griffin & King was appointed
Liquidator of Coinvision Direct Limited (t/a Videovision) on
Oct. 11 for the creditors' voluntary winding-up procedure.

The company can be reached at:

         Coinvision Direct Limited
         39 Rookery Street
         Wolverhampton
         West Midlands WV111UN
         United Kingdom
         Tel: 01902 307 838
         Fax: 01902 865 390


COLLINS & AIKMAN: Halts Plastic Parts Shipments to Ford
-------------------------------------------------------
Collins & Aikman Corp., an auto parts supplier operating under
bankruptcy court protection, stopped shipping carpet, instrument
panels and other plastic parts to Ford Motor Co.'s plant in
Hermosillo, Mexico, when the two firms got into a pricing
dispute, the Associated Press reports.

According to AP, Ford Motor was forced to shut down for one
shift assembly lines that create Ford Fusion, Mercury Milan and
Lincoln MKZ midsize cars.

Paul Wood, Ford Motor's spokesperson, told AP that the company
had to close down work on a shift that started at 11 p.m. on
Friday last week and ended at 6 a.m. on Saturday.  Parts
shipments resumed for the next shift, and production was resumed
after Ford Motor gave Collins & Aikman the price increase it
demanded.

The shutdown occurred though Ford Motor had reached agreement
with Collins & Aikman on about 90% of the disagreement,
including the price raise, AP says, citing Mr. Wood.

A spokesperson of Ford Motor told AP that the stoppage of the
deliveries irreparably harmed the company's relationship with
Collins & Aikman.

The halt in the deliveries was an "unprecedented conduct" for a
supplier, AP says, citing Ford Motor.

AP underscores that the delivery stoppage emphasizes the tension
between parts manufacturers and automakers as the Big Three
continue to press suppliers for cost reductions in the face of
intense competition from Asian car firms.

The report says that the stoppage of the deliveries also cost
Ford Motor some 400 vehicles.

Ford Motor, however, told AP that it will be able to make up the
400 vehicles at the Hermosillo plant.

Paul Macher -- the chief executive officer of Collins & Aikman
-- and Mary Ann Wright, the firm's vice president of engineering
and design, are former Ford Motor executives.

Mr. Macher and Ms. Wright should know the impact of the decision
to cease shipments to Ford Motor, AP says, citing Mr. Wood.

Mr. Wood told AP, "Given their decades of auto industry
experience and their decades of experience at Ford, they know
full well what happens to a relationship when a supplier
disrupts a customer's production or even threatens to do so."

Collins & Aikman hopes to continue supplying parts for Ford
Motor, AP notes, citing David Youngman, the spokesperson of
Collins & Aikman.

Mr. Youngman told AP, "We value our long-standing relationship
with Ford and look forward to building upon our relationship in
the future, once this issue is behind us."

Mr. Youngman said that losing Ford Motor's business amounts to
about 25% of Collins & Aikman's production, AP states.

                      About Ford Motor

Headquartered in Dearborn, Michigan, Ford Motor Company --
http://www.ford.com/-- manufactures and distributes automobiles
in 200 markets across six continents.  With more than 324,000
employees worldwide, the company's core and affiliated
automotive brands include Aston Martin, Ford, Jaguar, Land
Rover, Lincoln, Mazda, Mercury and Volvo.  Its automotive-
related services include Ford Motor Credit Company and The Hertz
Corporation.

                   About Collins & Aikman

Headquartered in Troy, Michigan, Collins & Aikman Corporation
-- http://www.collinsaikman.com/-- is a global leader in
cockpit modules and automotive floor and acoustic systems and is
a leading supplier of instrument panels, automotive fabric,
plastic-based trim, and convertible top systems.  The Company
has a workforce of approximately 23,000 and a network of more
than 100 technical centers, sales offices and manufacturing
sites in 17 countries throughout the world.  The Company and its
debtor-affiliates filed for chapter 11 protection on May 17,
2005 (Bankr. E.D. Mich. Case No. 05-55927).  Richard M. Cieri,
Esq., at Kirkland & Ellis LLP, represents C&A in its
restructuring.  Lazard Freres & Co., LLC, provides the Debtor
with investment banking services.  Michael S. Stammer, Esq., at
Akin Gump Strauss Hauer & Feld LLP, represents the Official
Committee of Unsecured Creditors Committee.  When the Debtors
filed for protection from their creditors, they listed
$3,196,700,000 in total assets and $2,856,600,000 in total
debts.


CORUS GROUP: Proposed Acquisition Cues Moody's to Review Ratings
----------------------------------------------------------------
Moody's Investors Service placed all ratings of Corus Group plc
under review with direction uncertain following the
recommendation of the board of Corus Group in favor of the
proposed acquisition of the entire capital of Corus Group by
Tata Steel Limited.

Moody's understands that Tata Steel U.K., a wholly owned
acquisition vehicle of Tata Steel Limited, raised GBP1.8 billion
in cash from its parent and GBP3.5 billion in senior and
subordinated debt to fund share acquisition and refinance some
of the existing debt of Corus group.

The forthcoming review will focus on:

   (a) the evolving capital structure supporting
       the acquisition, including the level of recourse
       that lenders to Tata Steel U.K. will require from
       Corus group and Tata Steel Limited;

   (b) assessment of the evolving fundamental
       credit characteristics of the combined business;

   (c) new shareholders' plans and business strategy for
       Corus Group, as well as

   (d) medium term operating and financial outlook.

Additional factors being considered include:

   -- the financial and economic rationale underpinning
      the acquisition,

   -- integration risks and possible synergies,

   -- the new company's consolidated position in its markets,
      as well as

   -- financial policy of the new shareholders.

If the bondholders exercised the put option or the bonds were
tendered for above par as part of a refinancing, Moody's is
likely to withdraw the ratings for the bonds.  Similarly, a
refinancing of the rated bank loans would also result in a
likely withdrawal of the ratings for the credit facilities.  At
that juncture, Moody's remaining rating at Corus Group will be
the corporate family rating.

Ratings affected:

Corus Group plc

    * Ba2 Corporate Family Rating;

    * Ba1 Rating on EUR800 million Secured
      Bank Facilities maturing July 2008;

    * B1 Rating on EUR800 million Unsecured Notes due 2011; and

    * B1 Rating on GBP200 million in Unsecured Notes due 2008.

Moody's last rating action on Corus was the upgrade to
Ba2/Ba1/B1 on May 8.

Corus Group plc is headquartered in London and was created
through the merger of British Steel plc and Koninklijke
Hoogovens NV.  The group is among the world's largest steel
producers and generated annual sales of GBP10,140 million and an
operating profit of GBP1,027 million in 2005.


ELLANGEE LIMITED: Taps Liquidators from Rothman Pantall & Co.
-------------------------------------------------------------
Robert Derek Smailes and Stephen Blandford Ryman of Rothman
Pantall & Co. were appointed Joint Liquidators of Ellangee
Limited (formerly Offerusual Limited) on Oct. 12 for the
creditors' voluntary winding-up procedure.

The company can be reached at:

         Ellangee Limited
         Larkfield Trading Estate
         New Hythe Lane
         Larkfield
         Aylesford
         Kent ME206SW
         United Kingdom
         Tel: 01622 710 493
         Fax: 01622 715 758


EUROFIT INTERIORS: Names Claire L. Dwyer Liquidator
---------------------------------------------------
Claire L. Dwyer was appointed Liquidator of Eurofit Interiors
Limited on Oct. 12 for the creditors' voluntary winding-up
procedure.

Headquartered in Mirfield, United Kingdom, Eurofit Interiors
Limited manufactures kitchen furniture.


EUROSAIL 2006-3NC: S&P Puts Low-B Ratings to GBP13.1-Mln Notes
--------------------------------------------------------------
Standard & Poor's Ratings Services assigned its preliminary
credit ratings to the GBP510 million (equivalent) 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 to be issued by
Eurosail 2006-3NC PLC, a special purpose entity.

At closing, Eurosail 2006-3NC will issue the notes and use part
of the proceeds to acquire the loan pool from the originators,
Southern Pacific Mortgage Ltd. and Southern Pacific Personal
Loans Ltd.  This loan pool comprises first- and second-ranking
mortgages on properties in England and Wales, and standard
securities on properties in Scotland.

The provisional mortgage pool consists of 8,896 nonconforming
mortgages, representing an aggregate principal balance of
approximately GBP537.08 million.  The notes will benefit from
collections for principal and interest on the underlying
mortgage pool.

Eurosail 2006-3NC is the third transaction under the Eurosail
program.  The transaction features an interest rate cap
agreement to hedge against rising LIBOR, a discount margin
reserve to partially hedge against the risk associated with
reduced rates of interest payable on discounted loans, and a
bullet-cap reserve fund.  A fixed/floating swap will be in place
to hedge against certain interest rate mismatches.

Unlike previous Eurosail transactions, the transaction will have
a detachable A coupon which will reference a notional value
equal to the outstanding principal balance of all the class A
notes.

                         Ratings List
                    Eurosail 2006-3NC PLC
GBP510 Million (Equivalent) 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

                                       Prelim.
                         Prelim.       amount
          Class          rating        (Mil. GBP equiv.)(1)
          -----          ------        --------------------
          A1a            AAA            TBD
          A1b            AAA            TBD
          A1c            AAA            158.100
          A2a            AAA            TBD
          A2b            AAA            TBD
          A2c            AAA            111.180
          A3a            AAA            TBD
          A3b            AAA            TBD
          A3c(2)         AAA            165.750
          A3c DACs(2)    AAA            N/A
          B1a            AA             TBD
          B1b            AA             TBD
          B1c            AA             32.640
          C1a            A+             TBD
          C1b            A+             TBD
          C1c            A+             23.205
          D1a            BBB            TBD
          D1b            BBB            TBD
          D1c            BBB            15.045
          DTc            BBB            10.455
          E1c            BB             4.080
          ETc            BB-            7.905
          FTc(3)         B              1.173

   (1) The exact split between the classes at each rating
       level is yet to be determined.  Some of the notes
       issued in this transaction may be denominated
       in U.S. dollars and euros.

   (2) Detachable A3c coupons for the class A3c notes.

   (3) The class FTc notes are deferrable interest notes.
       When there is no available revenue, interest will
       accrue on the FTc ledger.

       TBD-To be determined.

       N/A-Not applicable.


FEDERAL-MOGUL: Wants to Recapitalize Non-Debtor Subsidiaries
------------------------------------------------------------
Federal-Mogul Corporation and its debtor-affiliates ask the U.S.
Bankruptcy Court for the District of Delaware to approve the
recapitalization of Federal-Mogul, S.A., and Federal-Mogul
Holding Italy S.r.L., to provide the entities with necessary
adjustments to their balance sheets to maintain their status as
going concerns.

The Restructuring Entities are wholly owned non-debtor
subsidiaries of Debtor FM International, LLC, and make up the
bulk of operations of Federal-Mogul Corp. and its worldwide
family of companies in France and Italy.

By improving the balance sheets of the Restructuring Entities
through elimination of large debts currently on their books, the
Recapitalizations will restore confidence in the Restructuring
Entities' outside business partners; suppliers currently
refusing to extend credit terms; and customers who have been
withholding new business and threatening to re-source production
if the Restructuring Entities do not improve their financial
situations, James E. O'Neill, Esq., at Pachulski, Stang, Ziehl,
Young, Jones & Weintraub LLP, in Wilmington, Delaware, explains.

Mr. O'Neill notes that the recapitalizations will have an
economically neutral impact on the Debtor's overall net worth
and will not involve the actual movement of any of the Debtors'
cash.  Nevertheless, the interests of certain Debtors are
implicated by the Recapitalizations.

                        Restructured Notes

A financial restructuring of F-M France and F-M Italy outside of
any formal reorganization proceedings in either of those
countries has been considered desirable by the Debtor for some
time, Mr. O'Neill relates.  Treatment of certain restructured
notes, which comprise the largest liabilities of both F-M France
and F-M Italy, has figured prominently in those plans.

The Restructured Notes were created between 1998 and 2001 to
fund transfers of certain businesses within the Debtor following
its acquisition of T&N Limited and its subsidiaries in 1998.
Specifically, three sets of intercompany notes were issued to
T&N and its indirect subsidiaries as part of the integration of
the T&N businesses into the Debtor:

   (1) the August 1998 French Notes totaling $294.7 million and
       a third note issued by F-M France in June 1999, which are
       the subject of the French Recap, and an additional note
       for $26.25 million;

   (2) a $139.5 million intercompany loan note issued in May
       2001, a portion of which is intended to be the subject of
       the Italian Recap; and

   (3) two notes of Federal-Mogul Holding Deutschland GmbH, a
       non-Debtor subsidiary, in the original aggregate amount
       of approximately $467 million, both of which were issued
       in July 1998.

Until the end of 2005, disagreements between the Debtors and
certain T&N administrators concerning the overall terms of the
U.K. restructuring prevented the Debtors from including the
Restructured Notes as part of any consensual restructuring of F-
M France and F-M Italy.  The administrators of the U.K. Debtors'
cases, who considered the Intercompany Notes to be among the
easily saleable assets of the U.K. Debtors, began to market the
Intercompany Notes for sale in mid-2005 and entered into an
agreement to sell the Intercompany Notes to a third party in
August 2005.

Subsequently, the Administrators, the Debtor, T&N, and the co-
proponents of the Debtors' Plan of Reorganization and other
parties entered into a global settlement of outstanding issues
concerning the U.K. Debtors' restructuring.  Under the U.K.
Global Settlement, the Debtors could make an offer to acquire
the Intercompany Notes by paying the Administrators an amount
equal to the difference between:

   -- the cash then held by the Administrators; and

   -- the amount considered by the Administrators as necessary
      to fund company voluntary arrangements and schemes of
      arrangement for the U.K. Debtors to allow them to emerge
      from the U.K. proceedings.

In late December 2005, the Debtor and Federal-Mogul (Continental
European Operations) Limited, a wholly owned non- Debtor
subsidiary of Federal-Mogul, acquired the Intercompany Notes.
The French Notes were transferred to the Debtor, and the Italian
and German Notes were transferred to F-M CEO.

                   F-M France Recapitalization

F-M France serves as the holding company for several French
Federal-Mogul operations, consisting of 10 manufacturing
facilities and an after-market distribution center.  The French
Subs supply pistons, rings, engine bearings and bushings,
sintered parts, friction material for brakes, and sealing
products.  French Original Equipment Manufacturer customers,
including Renault and PSA Peugot-Citroen, also require the
French Subs to serve as their primary contact for sales,
engineering and customer service on behalf of all Federal-
Mogul's European operations.

Mr. O'Neill states that F-M France has made annual interest
payments of $21.25 million as required by the French Acquisition
Notes.  Meanwhile, F-M France only receives, on average, up to
$5 million in annual dividends from the French Subs.  As a
result, it has been experiencing on-going losses of up to $15
million per year since 1998, Mr. O'Neill relates.

In addition, the French Subs' operating results forced F-M
France to depreciate the $383.75 million book value of its
investment in the French Subs by $207.5 million to approximately
$176.25 million over the last eight years.

The proposed Recapitalization of F-M France involves the
exchange for equity in F-M France of approximately 84% of the
$268.45 million owed under two intercompany loan notes by F-M
France to the Debtor.

Specifically, Mr. O'Neill explains that the $225.3 million owed
under the French Notes to the Debtor, plus $12.29 million
relating to interest accrued under the French Notes through
September 2006, will be exchanged for a 100% equity stake in F-M
France.

In conjunction with the exchange of part of the French Notes,
F-M International's equity interest in F-M France will be
canceled.  The cancellation is supported by valuations conducted
by Jefferies & Company, Inc., the financial advisor for the
Official Committee of Unsecured Creditors, showing that the
equity in F-M France currently has no value.

The French Recap must be completed by December 2006 to avoid the
possibility of a statutory liquidation under French law.

The French Recap will strengthen F-M France's balance sheet
enabling it to obtain financing from third parties and improve
its debt-to-equity ratio from a negative ratio to a positive one
of less than one.  In addition, the improvement of F-M France's
financial position will remove a statutory bar to the entity
being able to deduct, for French tax purposes, the amount of
interest payable on the remaining French Acquisition Notes in
2007, which will confer a near-term financial benefit of
approximately $9 million to F-M France.

                          Italian Recap

F-M Italy serves as the holding company for Federal-Mogul
Operations Italy S.r.L.  F-M Italy's sister companies --
Federal-Mogul Ignition S.r.L. and Federal-Mogul Filtration
Products S.r.L. -- primarily produce ignition products and
wipers.

The Debtor's Italian operations consist of eight manufacturing
facilities and after-market distribution center.  The primary
OEM customers are Fiat/Iveco, with additional sales to companies
like BMW, Audi and Renault.  The F-M Ignition Italy and F-M
Filtration businesses are dependent on the Debtor's other non-
Italian entities for technology, distribution and support.

According to Mr. O'Neill, the proposed restructuring of F-M
Italy's current capital structure contemplates the exchange of
50% of the Italian Note for 100% of shares in F-M Italy followed
by its two-step consolidation with F-M Ignition Italy, F-M
Filtration Products S.r.L., and F-M Operations Italy.

Immediately before the consolidation, the Italian Note will be
transferred by F-M CEO to a newly formed U.S. limited liability
company in return for an indirect equity interest in F-M LLC.
In addition, 50% of the Italian Note will be exchanged for a
100% equity interest in FM Italy.

As with the French Recap, the existing equity interest in F-M
Italy will be canceled.  The cancellation is supported by the
valuation conducted by Jefferies showing that the equity in F-M
Italy has currently no value.

Mr. O'Neill explains that the subsequent consolidation of the
F-M Italian Entities, to be consummated in accordance with
Italian law, will involve two mergers resulting in all of the
Debtor's Italian operations being merged into F-M Italy:

   (i) F-M Ignition Italy and its wholly owned subsidiary,
       F-M Filtration, will be merged into F-M Italy; and

  (ii) F-M Operations Italy, a wholly owned subsidiary of F-M
       Italy, will then merge into F-M Italy.

The current shareholders of F-M Ignition Italy, each of whom is
a direct or indirect subsidiary of the Debtor, are:

   * Debtor F-M International, with a 51.79% current interest;

   * Debtor Federal-Mogul Ignition Company, with an 18.93%
     interest; and

   * non-Debtor Federal-Mogul Netherlands BV, which is currently
     wholly owned by F-M Ignition U.S., with a 29.28% interest.

To facilitate the consolidation of the Debtor's Italian
operations and to streamline the resulting ownership structure,
F-M International and F-M Ignition U.S. will indirectly transfer
their interests in F-M Ignition Italy and F-M Netherlands to F-M
LLC via a newly formed non-Debtor Federal-Mogul Dutch entity.
In exchange, F-M International and F-M Ignition U.S. will
receive commensurate equity holdings in F-M Dutch NewCo, which
holdings together with that of the Debtor will constitute 100%
of the equity in F-M Dutch NewCo.

As a result of the consolidation of the F-M Italian Entities,
F-M International and F-M Ignition U.S. will be granted indirect
equity interests in the reconstituted F-M Italy proportionate to
the value of their current holdings in F-M Ignition Italy,
adjusted to reflect the fact that:

   (x) those new equity interests will be in F-M Italy, a
       consolidated entity encompassing three businesses as a
       result of the Italian Recap;

   (y) the intended partial exchange of part of the Italian Note
       for equity; and

   (z) any changes in valuations of the F-M Italian Entities at
       the time the consolidation is consummated.

The Debtors also want the Italian Recap completed before the end
of 2006 to comply with Italian law and preserve certain tax
benefits.  Otherwise, among other things, statutory auditors
will be unable to give F-M Italy a going-concern opinion for
2006 that could conceivably result in F-M Italy's compulsory
liquidation under Italian law.

Headquartered in Southfield, Michigan, Federal-Mogul Corporation
-- http://www.federal-mogul.com/-- is an automotive parts
company with worldwide revenue of some $6 billion.  The Company
filed for chapter 11 protection on Oct. 1, 2001 (Bankr. Del.
Case No. 01-10582).  Lawrence J. Nyhan Esq., James F. Conlan
Esq., and Kevin T. Lantry Esq., at Sidley Austin Brown & Wood,
and Laura Davis Jones Esq., at Pachulski, Stang, Ziehl, Young,
Jones & Weintraub, P.C., represent the Debtors in their
restructuring efforts.  When the Debtors filed for protection
from their creditors, they listed $10.15 billion in assets and
$8.86 billion in liabilities.  Federal-Mogul Corp.'s U.K.
affiliate, Turner & Newall, is based at Dudley Hill, Bradford.
Peter D. Wolfson, Esq., at Sonnenschein Nath & Rosenthal; and
Charlene D. Davis, Esq., Ashley B. Stitzer, Esq., and Eric M.
Sutty, Esq., at The Bayard Firm represent the Official Committee
of Unsecured Creditors.  (Federal-Mogul Bankruptcy News, Issue
No. 114; Bankruptcy Creditors' Service Inc.,
http://bankrupt.com/newsstand/or 215/945-7000)


FIXED INCOME: Moody's Places Rating Under Review & May Downgrade
----------------------------------------------------------------
Moody's Investors Service placed under review for possible
downgrade the Oval Series 2 notes issued by Fixed Income Diamond
Collection Plc:

   -- EUR5,000,000 Fixed Income Diamond Collection Plc
      Oval Series 2 Credit-Linked Notes due 2009,
      currently rated Ba1.

This review is the result of negative credit migration in the
reference portfolio.


FORD MOTOR: Lenders Could Get Plants as Loan Security
-----------------------------------------------------
Ford Motor Co. may offer its factories as security to lenders as
it considers other steps to bolster the company's liquidity,
Bernard Simon of the Financial Times reports.

"Clearly, liquidity is a high priority for us," Ford CEO Alan
Mulally said Monday.

Ford, which operates about 105 plants worldwide including joint
ventures, reported a US$5.8 billion net loss for the third
quarter 2006, compared with a US$284 million net loss in the
same quarter last year.  The latest losses include Ford Europe's
third-quarter pre-tax loss of US$13 million, compared with a
pre-tax loss of US$55 million during the 2005 period.

The company's Premier Automotive Group operations, which handle
all of Ford's European brands, also reported a pre-tax loss of
US$593 million for the third quarter, compared with a pre-tax
loss of US$108 million for the same period in 2005.  The decline
was explained by adverse cost performance, primarily reflecting
adjustments to Jaguar and Land Rover warranty accruals and lower
volume at all operations, excluding Aston Martin.

"These results are unacceptable," Mr. Mulally was quoted by FT
as saying.  "We are committed to dealing decisively with the
fundamental business reality that customer demand is shifting to
smaller, more efficient vehicles."

As reported in the TCR-Europe yesterday, Ford has disclosed of
plans to restate certain financial results from 2001 to the
second quarter of 2006 to correct the accounting for certain
derivative transactions under the Statement of Financial
Accounting Standards 133, Accounting for Derivative Instruments
and Hedging Activities.  The preliminary third-quarter results
do not reflect these corrections.

                        About Ford Motor

Headquartered in Dearborn, Michigan, Ford Motor Company --
http://www.ford.com/-- manufactures and distributes automobiles
in 200 markets across six continents.  With more than 324,000
employees worldwide, the company's core and affiliated
automotive brands include Aston Martin, Ford, Jaguar, Land
Rover, Lincoln, Mazda, Mercury and Volvo.  Its automotive-
related services include Ford Motor Credit Company and The Hertz
Corporation.

                        *     *     *

As reported in the Troubled Company Reporter on Aug. 22, 2006,
Dominion Bond Rating Service placed long-term debt rating of
Ford Motor Company Under Review with Negative Implications
following announcement that Ford will sharply reduce its North
American vehicle production in 2006.  DBRS lowered on July 21,
2006, Ford Motor Company's long-term debt rating to B from BB,
and lowered its short-term debt rating to R-3 middle from R-3
high.  DBRS also lowered Ford Motor Credit Company's long-term
debt rating to BB(low) from BB, and confirmed Ford Credit's
short-term debt rating at R-3(high).

Fitch Ratings also downgraded the Issuer Default Rating of Ford
Motor Company and Ford Motor Credit Company to 'B' from 'B+'.
Fitch also lowered the Ford's senior unsecured rating to
'B+/RR3' from 'BB-/RR3' and Ford Credit's senior unsecured
rating to 'BB-/RR2' from 'BB/RR2'.  The Rating Outlook remains
Negative.

Standard & Poor's Ratings Services also placed its 'B+' long-
term and 'B-2' short-term ratings on Ford Motor Co., Ford Motor
Credit Co., and related entities on CreditWatch with negative
implications.

As reported in the Troubled Company Reporter on July 24, 2006,
Moody's Investors Service lowered the Corporate Family and
senior unsecured ratings of Ford Motor Company to B2 from Ba3
and the senior unsecured rating of Ford Motor Credit Company to
Ba3 from Ba2.  The Speculative Grade Liquidity rating of Ford
has been confirmed at SGL-1, indicating very good liquidity over
the coming 12-month period.  The outlook for the ratings is
negative.


FORD MOTOR: Moody's Says Weak 3Q Results Affirms Downgrade
----------------------------------------------------------
Moody's Investors Service said that Ford's very weak third
quarter performance, with automotive operations generating a
pre-tax loss of US$1.8 billion and a negative operating cash
flow of US$3 billion, was consistent with the expectations which
led to the September 19 downgrade of the company's long-term
rating to B3.

"Ford's rating at B3 anticipated further weakness in financial
results as indicated by the company's need to accelerate its
restructuring initiatives.  Nevertheless, Ford's outlook remains
negative," said Bruce Clark, senior vice president and lead auto
industry analyst at Moody's

"The key to Ford's Way Forward restructuring plan is to reduce
capacity by buying out 25,000 to 30,000 hourly employees and to
shift its product line toward cars and more fuel efficient
vehicles," Clark said

"The problem is that the financial benefits of the program don't
begin to kick in until 2009," he added.  "This means that even
if things go according to plan, Ford will likely burn through a
significant amount of cash during 2006 and 2007.  The rate of
cash consumption could improve in 2008, but cash flow could
still be negative in that year."

At September 30, Ford had over US$23 billion in cash and
equivalents.  However, Ford needs several billion in cash to run
its day-to-day operations.  Consequently, the amount of funds
currently available to cover operating losses and restructuring
requirements is sizable, but it is not the full US$23 billion to
which Ford has access.

"If Ford hits its cost reduction, market share and new product
introduction objectives, the company's cash resources should be
adequate to cover uses through 2007," Clark said.  "But, things
could start to get tight in 2008 if operating cash flow is still
negative.  In fact, the company's liquidity position could
become stressed prior to 2008 if the operating environment is
more difficult than planned.  This could happen if the economy
slows, if there is any kind of work stoppage associated with the
2007 UAW negotiations, or if the already weak financial position
of the supplier base erodes further."

The significant level of cash consumption that Ford will face
during 2007 and 2008, and the potential strain that this will
place on the company's liquidity contributed to Moody's
September downgrade of Ford's Speculative Grade Liquidity rating
to SGL-3 from SGL-1.

Ford has announced its decision to consider accessing the
secured debt market in order to bolster its cash position.

"Given the extended time frame of the Way Forward restructuring
plan and the level of cash that may be required through 2008, it
will be important for Ford to increase its cash position in
order to provide an adequate liquidity cushion," Clark said.
"If Ford can't boost its liquidity through accessing the secured
debt market, through asset sales or through some other strategic
alternatives, there could be further pressure on its long-term
and SGL ratings."

Should Ford issue secured debt for the purpose of building
liquidity, there would likely be no adverse impact on the
company's B3 corporate family rating.  However, consistent with
the analytic framework contained in Moody's "Probability of
Default and Loss Given Default Methodology" dated August 2006,
the rating of any secured borrowings by Ford would likely be one
or more notches higher than the B3 corporate family rating.  In
contrast, the rating of the company's unsecured obligations
would be subject to a downgrade from current levels.

Ford has announced that it will have to restate its quarterly
and annual financials back to 2001 due to errors in the
application of "the short-cut method" promulgated under
Statement of Financial Accounting Standard (SFAS) 133 in
connection with the accounting for certain hedging transactions.
As a result, Ford expects earnings for 2002 to improve
materially; the impact on years 2003 through 2006 has not yet
been assessed.  The company also anticipates that there will be
no cash impact and that the necessary restatements for all years
will be made in time to permit a timely filing of its third
quarter 10Q.

In a March 2006 Special Comment on SFAS 133 (Was the "Short-cut
Method" Worth it In the End?) Moody's noted that many recent
restatements by other companies arising from SFAS 133 reflect
technical misinterpretations of the accounting rules, which do
not alter the economic substance of the transactions.

On the matter of Ford's restatement Clark said, "Moody's
wouldn't view Ford's restatement as a negative credit event as
long as the company's auditors make no determination of a
Material Weakness with respect to Ford's ongoing hedge
accounting, there is no delay in the filing of the company's
financial statements, and no other accounting issues arise in
conjunction with this restatement."


FORD MOTOR: S&P Puts Unsecured Debt Issue Ratings on Watch Neg.
---------------------------------------------------------------
Standard & Poor's Ratings Services placed its 'B' senior
unsecured debt issue ratings on Ford Motor Co. on CreditWatch
with negative implications.  At the same time, Standard & Poor's
affirmed all other ratings on Ford, Ford Motor Credit Co., and
related entities, except the rating on Ford Motor Co. Capital
Trust II 6.5% cumulative convertible trust preferred securities,
which was lowered to 'CCC-' from 'CCC.'

The CreditWatch placement of the automaker's unsecured issues
reflects the potential for unsecured creditors to be
disadvantaged if Ford were to incur a material amount of secured
borrowings.  Ford announced [Mon]day that it is considering a
range of measures to help it fund operating losses and
restructuring plans while preserving cash and short-term VEBA
trust balances at or near current levels of about US$20 billion.
The Ford announcement said these measures could include the
negotiation of secured credit facilities.

If this occurs, "The rating on Ford's senior unsecured debt
could be lowered by up to two notches below the corporate credit
rating ('B')," said Standard & Poor's credit analyst Robert
Schulz, "reflecting the unsecured debt's disadvantaged recovery
prospects in the event of a bankruptcy by Ford."
S&P will monitor ongoing developments and resolve the
CreditWatch once Ford's financing plans have been finalized.

The downgrade of Ford's Capital Trust II 6.5% cumulative
convertible trust preferred securities reflects our view that,
in the wake of Ford's recent elimination of its common stock
dividend, the risk of a payment deferral by Ford on its trust
preferred securities is heightened, as the company seeks to
conserve liquidity in light of ongoing negative cash flows.
Ford itself has not indicated any intention to defer dividends
on its trust preferred securities.  S&P would view such a
deferral as a default on the issue, under our rating
definitions.

Separately, the ratings on Ford and related entities are not
immediately affected by the company's announcement that it will
delay release of financial statements for the third quarter of
2006 and restate results dating back to 2001.  The restatements
are required because accounting for certain derivatives used to
hedge interest rate risk at Ford Credit did not comply with
Statement of Financial Accounting Standards No. 133 on
derivatives and hedging activities.  Actual cash flow or the
risk-management economics of the derivative transactions are not
affected by the restatements, and S&P does not expect the delay
or restatements to adversely affect Ford's or Ford Credit's
access to their unsecured bank credit lines.

However, the rating agency would reassess its views if the
accounting restatement process were to uncover additional issues
or raise broader concerns about the strength of Ford's internal
controls or risk-management practices, if additional
restatements result in a prolonged financial reporting delay, or
if liquidity were to be adversely affected.

Ford's third-quarter financial results, excluding the effect of
the restatements, showed further deterioration in automotive
results, which we expect to continue through the end of 2006.
North American operations reported a US$2 billion loss in the
latest quarter, excluding US$3.7 billion in special items,
compared with a loss of US$1.2 billion in the third quarter of
2005.


FORD MOTOR: Fitch Puts B+/RR3 Sr. Unsec. Debt on Watch Negative
---------------------------------------------------------------
Fitch Ratings placed Ford Motor Company's B+/RR3 senior
unsecured debt on Rating Watch Negative reflecting Ford's intent
to raise secured financing that would impair the position of
unsecured debtholders.

Under Fitch's recovery rating scenario it was estimated that
unsecured holders would recover approximately 68% in a
bankruptcy scenario, equating to a Recovery Rating of RR3 (50-
70% recovery).

Fitch will review the size, structure and collateral of the
secured financing facility to determine the effect on
outstanding unsecured debt.  Fitch's Issuer Default Ratings of B
for both Ford and Ford Motor Credit Company are unaffected at
this time, but could be reviewed if accounting issues prevent
the timely filing of third quarter financial statements.

Secured financing will serve to boost Ford's liquidity and
provide incremental resources and time to continue its extended
restructuring program.  Negative cash flow from operating
losses, restructuring costs and working capital outflows in 2006
is expected to exceed US$8 billion.

Continuing market share and revenue declines in 2007, and the
delayed effect of the employee reduction programs indicates that
cash outflow could be at a similar level in 2007.  Given the
very large working capital financing requirements in North
America, as well as tax-disadvantaged overseas cash holdings,
Fitch believes that consolidated cash holdings below US$15
billion could raise the level of concern among suppliers and
customers.

At the end of the third quarter total cash, marketable
securities, loaned securities, and short-term VEBA was
approximately US$23.6 billion.

Stabilization of Ford's revenue performance in 2007 is unlikely,
given production cutbacks, a slowing economy, enhanced
competition in the critical pickup segment, and lack of new
impact products.  Ford has shown some progress in the passenger
car market, but this progress will not be sufficient to offset
the steep declines in volume and profitability from mid-size and
large SUV's, and pickups.

Near-term improvement in operating results will need to be
driven largely by reductions in Ford's cost structure, which is
expected to occur gradually, but steadily throughout 2007.  A
decline in commodity prices could benefit margin performance
over the long-term, but is expected to provide little relief
well into 2007.

Severely stressed conditions in the supply base provide little
opportunity to reduce supplier costs, but instead present the
potential for higher costs, financial support, and supply-chain
disruptions.  Ford continues to spend aggressively on employee
buyout programs, although the completion of the hourly buyout
program will extend to the third quarter of 2007, deferring full
realization of the cost savings.

Ford's relatively young workforce will make buyouts a more
expensive proposition than at General Motors, but could also
result in a better mix of employees that would exit without
retiree pension and health care benefits.  A successful buyout
program would also accelerate the restructuring, re-sourcing and
closure of facilities at uncompetitive ACH facilities.  Longer-
term, the re-opening of the UAW contract in September 2007 will
represent a critical event in establishing Ford's ability to
establish a long-term, competitive cost structure.

Asset sales are expected to be limited, and challenging to
complete.  Recently announced intentions to sell Aston-Martin
and APCO, would provide modest proceeds to apply to
restructuring efforts.

Fitch places the following debt on Rating Watch Negative:

Ford

   -- Senior unsecured B+/RR3.

The following ratings are unaffected by Fitch's action and
currently maintain a Negative Rating Outlook:

Ford

   -- Issuer Default Rating B.

Ford Credit

   -- Issuer Default Rating B.


HEMPSTED DOMESTIC: Appoints Hazlewoods to Administer Assets
-----------------------------------------------------------
Philip John Gorman and Peter Richard James Frost of Hazlewoods
LLP were appointed joint administrators of Hempsted Domestic
Appliances Ltd. (Company Number 04240623) on Oct. 6

Hazlewoods -- http://www.hazlewoods.co.uk/-- offers a service
that sets it apart from other chartered accountancy firms.   It
is highly qualified and experienced staff provides the greatest
level of professionalism in all areas of business advice,
accountancy, financial planning and tax.  The firm employs 150
staff.

Hempsted Domestic Appliances Ltd. can be reached at:

         Hemmingsdale Road
         Hempsted
         Gloucester
         Gloucestershire GL2 5HN
         United Kingdom
         Tel: 01452 506 171


HERTZ CORP: IPO Filing Spurs S&P to Keep Ratings on Watch Neg.
-------------------------------------------------------------
Standard & Poor's Ratings Services stated that its ratings on
Hertz Corp., including the 'BB-' corporate credit rating, remain
on CreditWatch with negative implications, where they were
placed on June 26.

The initial CreditWatch placement was based on potential
incremental debt at Hertz, the sole operating entity of Hertz
Global Holdings Inc., to fund a dividend of approximately
US$1 billion to its shareholders just six months after the
company's acquisition; this was completed on June 30, 2006.

"[Mon]day's CreditWatch update follows the filing by Hertz
Global Holdings, the indirect parent company of Hertz, of an
amended S-1 for an IPO, proceeds of which would be used to pay
off the US$1 billion loan to fund the June 30, 2006, dividend,
and to fund yet another dividend to Hertz's shareholders," said
Standard & Poor's credit analyst Betsy Snyder.

Standard & Poor's will review the progress of the IPO and, if
successful, its effect on Hertz's financial profile, to resolve
the CreditWatch.  The resolution of the CreditWatch will also
incorporate an assessment of the company's more aggressive than
expected financial policy, as evidenced by the large dividend
payouts to its shareholders.

The ratings on Park, Ridge, N.J.-based Hertz Corp. reflect a
weakened financial profile after the successful completion of
its US$14 billion acquisition, reduced financial flexibility,
and the price-competitive nature of on-airport car rentals and
equipment rentals.  Ratings also incorporate the company's
position as the largest global car rental company and the strong
cash flow its businesses generate.

Hertz was acquired from Ford Motor Co. by Clayton, Dubilier &
Rice Inc., The Carlyle Group, and Merrill Lynch Global Private
Equity in December 2005.  The acquisition, which added over
US$2 billion of debt to Hertz's balance sheet, has resulted in
an increase in its borrowing costs, and credit ratios have
weakened from previous relatively healthy levels.  In addition,
the company's historically strong financial flexibility has
declined somewhat, with around two-thirds of its tangible assets
now secured, compared to around 10% previously.

Hertz, the largest global car rental company, participates
primarily in the on-airport segment of the car rental industry.
This segment, which generates approximately 69% of Hertz's
consolidated revenues, is heavily reliant on airline traffic.
Demand tends to be cyclical, and can also be affected by global
events such as wars, terrorism, and disease outbreaks.
Hertz has also grown its off-airport business (12% of
consolidated revenues), the segment of the car rental business
that is less cyclical and more profitable, but which is
dominated by 'A-' rated Enterprise Rent-A-Car Co.  Through its
Hertz Equipment Rental Corp. subsidiary (HERC, 18% of
consolidated revenues), Hertz also operates one of the larger
industrial and construction equipment renters in the U.S., along
with some European locations.


JTR ASCOT: Names William Antony Batty as Administrator
------------------------------------------------------
William Antony Batty of Antony Batty & Co. was named
administrator of JTR Ascot Ltd. (Company Number 04852860) (t/a
Marrakesh) on Oct. 9.

The administrator can be reached at:

         William Antony Batty
         Antony Batty & Co.
         3 Field Court
         Grays Inn
         London WC1R 5EF
         United Kingdom
         Tel: 020 7831 1234
         Fax: 020 7430 2727
         E-mail: antonybatty@hotmail.com

JTR Ascot Ltd. can be reached at:

         52 Swordsmans Road
         Deepcut
         Camberley
         Surrey GU16 6GF
         United Kingdom
         Tel: 01424 210 600


LYNXS SHREDDER: Names Joint Administrators from Hart Shaw
---------------------------------------------------------
Andrew J. Maybery and Christopher J. Brown of Hart Shaw LLP were
appointed joint administrators of Lynxs Shredder Technology Ltd.
(Company Number 3352543) on July 7.

The administrators can be reached at:

         Andrew J. Maybery and Christopher J. Brown
         Hart Shaw LLP
         Europa Link
         Sheffield Business Park
         Sheffield S9 1XU
         United Kingdom
         Tel: 0114 251 8850 or 01709 362001
         Fax: 0114 251 8851 or 01709 368590
         E-mails: chris.brown@hartshaw.co.uk
                  andrew.maybery@hartshaw.co.uk

Lynxs Shredder Technology Ltd. can be reached at:

         Unit 1 Chatsworth Technology Park
         Dunston Road
         Whittington Moor
         Chesterfield
         Derbyshire S41 8XA
         United Kingdom
         Tel: 01246 268 235
         Fax: 01246 235 336


MANSARD MORTGAGES: S&P Assigns BB Rating on GBP20-Mln Notes
-----------------------------------------------------------
Standard & Poor's Ratings Services said that preliminary credit
ratings have been assigned to the mortgage-backed floating-rate
notes to be issued by Mansard Mortgages 2006-1 PLC, a special
purpose entity.

The collateral comprises a pool of first-ranking mortgages
secured over freehold and leasehold residential properties in
England and Wales.  The originator and servicer is Rooftop
Mortgages Ltd.

This transaction does not include detachable coupons, nor does
it include mortgage early redemption charges (MERCs).  MERC
receipts, when received, flow directly into the available
revenue fund.

                       Ratings List
               Mansard Mortgages 2006-1 PLC
      GBP500 Million Mortgage-Backed Floating-Rate Notes

                          Prelim.        Prelim.
           Class          rating         amount (Mil. GBP)
           -----          ------         ------
           A1a            AAA             157.5
           A2a            AAA             217.5
           M1a            AA               65.0
           M2a            A                27.5
           B1a            BBB              12.5
           B2a            BB               20.0


MEDA PLASTICS: Nominates Timothy Frank Corfield as Liquidator
-------------------------------------------------------------
Timothy Frank Corfield of Griffin & King was nominated
Liquidator of Meda Plastics Limited on Oct. 12 for the
creditors' voluntary winding-up proceeding.

The company can be reached at:

         Meda Plastics Limited
         Unit 23
         Siddons Factory Estate
         Howard Street
         Hilltop
         West Bromwich
         West Midlands B70 0SU
         United Kingdom
         Tel: 0121 502 0463
         Fax: 0121 505 3248


MILLENNIUM VALETING: Hires Liquidator from Clarke Bell
------------------------------------------------------
John Paul Bell of Clarke Bell was appointed Liquidator of
Millennium Valeting Limited on Sept. 27 for the creditors'
voluntary winding-up proceeding.

The company can be reached at:

         Millennium Valeting Limited
         39 Fleetwood Close
         Great Sankey
         Warrington
         Cheshire WA5 2US
         United Kingdom
         Tel: 01925 729 400


MIRACON LIMITED: Nominates Liquidator from Griffin & King
---------------------------------------------------------
Timothy Frank Corfield of Griffin & King was nominated
Liquidator of Miracon Limited on Oct. 11 for the creditors'
voluntary winding-up proceeding.

Headquartered in Solihull, United Kingdom, Miracon Limited --
http://www.miracon.com/-- manufactures conveyors and elevators
for all industries.


MV COMPONENTS: Creditors Confirm Liquidator's Appointment
---------------------------------------------------------
Creditors of MV Components Limited (formerly Midland Veneered
Components Ltd and Midland Veneer Components Ltd.) confirmed
Oct. 13 the appointment of Martin Williamson of DSi Services as
the company's Liquidator.

Headquartered in Halesowen,  United Kingdom, MV Components
Limited -- http://www.mvc-uk.com/-- manufactures laminated
veneered furniture and architectural interiors.


NORTHERN INDUSTRIAL: Creditors' Meeting Slated for October 31
-------------------------------------------------------------
Creditors of Northern Industrial Roofing Limited (Company Number
02446083) will meet at noon on Oct. 31 at:

         DTE Leonard Curtis
         DTE House
         Hollins Mount
         Bury BL9 8AT
         United Kingdom

Creditors who want to be represented at the meeting may appoint
proxies.  Proxy forms must be submitted together with written
debt claims at noon on Oct. 30 at:

         J. M. Titley and A. Poxon
         Joint Administrators
         DTE Leonard Curtis
         DTE House
         Hollins Mount
         Bury BL9 8AT
         United Kingdom
         Tel: 0161 767 1200
         Fax: 0161 767 1201

DTE Leonard Curtis -- http://www.dtegroup.com/-- offers tax
consultancy, company secretarial services, corporate finance,
corporate recovery, turnaround, forensic accounting, financial
services and insurance & risk management.


RAVENS TRAILERS: Chris Williams Leads Liquidation Procedure
-----------------------------------------------------------
Chris Williams of McTear Williams & Wood was appointed
Liquidator of Ravens Trailers Limited on Oct. 10 for the
creditors' voluntary winding-up procedure.

The company can be reached at:

         Ravens Trailers Limited
         Unit 3
         Progress Way
         Mid Suffolk Business Park
         Eye
         Suffolk IP237HU
         United Kingdom
         Tel: 01379 870 087


SEA CONTAINERS: May Give Up GNER in May 2007
--------------------------------------------
Sea Containers Ltd. will walk away from its wholly owned non-
debtor subsidiary, Great North Eastern Railway Ltd., in
May 2007, if it won't obtain more favorable franchise terms, The
Sunday Times reports.

GNER operates high-speed passenger trains between London and
Scotland along the East Coast main line of Britain under a
franchise agreement with the British Government since
April 1996.

Robert D. MacKenzie, president and chief executive officer of
Sea Containers, told The Sunday Times although GNER is
profitable, it cannot "cope with the GBP1.3 billion premium that
it had to pay to the Treasury under the franchise agreement."
What's more, GNER's performance bond nearly doubles on May 1
from GBP15.3 million to GBP28.7 million, Dominic O'Connell of
The Sunday Times writes.

According to Mr. O'Connell, Britain's Department for Transport
has rejected suggestions it will renegotiate the franchise.

GNER currently operates a fleet of 41 train sets totaling 463
cars and locomotives covering approximately 920 route miles and
52 stations, and in 2005 achieved 16,700,000 passenger journeys.

As previously reported, Sea Containers Ltd. and its
subsidiaries, Sea Containers Services, Ltd., and Sea Containers
Caribbean, Inc., filed voluntary petitions for reorganization
under Chapter 11 of the U.S. Bankruptcy Code in the United
States Bankruptcy Court for the District of Delaware.

On October 16, 2006, the Company initiated a complementary
proceeding in Bermuda to facilitate the Chapter 11 Filing.

                    About Sea Containers Ltd.

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).
Robert S. Brady, Esq., at Young, Conaway, Stargatt & Taylor
represents the Debtors in their restructuring efforts.  When the
Debtors filed for protection from their creditors, they reported
US$1.7 billion in total assets and US$1.6 billion in total
debts.


VECTA CORP.: Appoints Joint Administrators from KPMG
----------------------------------------------------
Richard John Hill and David John Crawshaw of KPMG LLP were
appointed joint administrators of Vecta Corp. Ltd. (Company
Number 04404481) on Oct. 10.

KPMG -- http://www.kpmg.co.uk/-- in the U.K. is part of a
strong global network of member firms with 9,500 partners and
staff working in 22 offices across the U.K. providing audit, tax
and advisory services.

Vecta Corp. Ltd. can be reached at:

         Vecta House
         Oxford Science Park
         Edmund Halley Road
         Oxford
         Oxfordshire OX4 4GB
         United Kingdom
         Tel: 01865 381700


* Moody's Reports LGD Assessments' Overall Impact on Ratings
------------------------------------------------------------
Application of Moody's new loss-given-default (LGD) methodology
has led to rating changes in line with expectations, Moody's
Investors Service says in a new report.  During the September
rollout of the methodology, Moody's applied its loss-given-
default (LGD) methodology to over 1,000 US- and Canadian-based
speculative-grade companies comprising more than 3,000 rated
debt instruments across 40 different industrial sectors.

The overall impact of these LGD assessments on ratings has been:

    * Ratings on the instruments rose on average +0.54
      rating notches, with 45% of the instruments
      being upgraded, 8% being downgraded, and 47% seeing
      no rating change.

    * As expected, upgrades were more common among
      secured classes of debt, with 67% of first lien
      debt instruments being upgraded and ratings on
      average increased a single rating notch.

    * Only 23% of senior unsecured debt instruments,
      in contrast, were upgraded, while 61% saw their
      ratings unchanged and 16% were downgraded.

    * In terms of key rating transitions, Moody's saw 57
      of 1,733, or 3% of single-B instruments being
      downgraded into Caa; 68 of 368, or 18%, of Caa
      ratings being upgraded into single-B; 207 of 633,
      or 33% of B1 rated instruments being upgraded
      into Ba3; and 32 of 224 or 14% of Ba1-rated
      debt instruments being upgraded into investment-grade.

    * At 14, there were minimal two-notch downgrades, and
      there were no three-notch downgrades.

Russell Solomon, Sr. Vice President, said that "Moody's
developed its LGD methodology in response to research
demonstrating that losses for loans were lower than that for
equivalently rated bonds, as well as in response to strong
market interest in the disaggregation of ratings into their two
components: probability of default and severity of loss".

Moody's began applying the LGD methodology to all new issuers on
September 6 and began transitioning the ratings of existing
companies and their debt instruments to the methodology on
September 18.  The new Moody's report is on the assessments
published in the period September 18 -- 29.

Kevin Cassidy, Vice President/Senior Analyst said that "Moody's
will publish a second study looking at the rating changes by
industrial sector".

Called "Summary LGD Results: Flash report," this Moody's Special
Comment can be found at moodys.com\lgd as can all other reports
on loss-given-default assessments and probability-of-default
ratings.

                           *********

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/books/to 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.  Jazel Laureno, Julybien Atadero, Carmel Zamesa
Paderog, Joy Agravante, and Zora Jayda Zerrudo Sala, Editors.

Copyright 2006.  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$575 per half-year,
delivered via e-mail.  Additional e-mail subscriptions for
members of the same firm for the term of the initial
subscription or balance thereof are US$25 each. For subscription
information, contact Christopher Beard at 240/629-3300.


                 * * * End of Transmission * * *