TCREUR_Public/061101.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, November 1, 2006, Vol. 7, No. 217

                            Headlines


A U S T R I A

AURATA HANDEL: Vienna Court Orders Business Shutdown
CHRISTIAN TRAAR: Klagenfurt Court Orders Business Closure
GOLFANLAGE SCHLOSS: Creditors to Recover 20% of Claims
SARTOR LLC: Claims Registration Ends November 7
SNM PROJEKTBAU: Creditors' Meeting Slated for November 16


B E L G I U M

HUNTSMAN INT'L: Moody's Assigns LGD6 Rating on Proposed Notes
HUNTSMAN INT'L: S&P Puts B Rating on Proposed Sr. Sub. Notes


B U L G A R I A

KREMIKOVTZI AD: Moody's Junks 7-Year Sec. Guaranteed Bond Issue


F R A N C E

VALASSIS COMMUNICATIONS: Moody's Cuts Sr. Debt Ratings to Ba1


G E R M A N Y

B K W SCHLOSSEREI: Claims Registration Ends November 5
CONCORDIA BAUTRAGER: Claims Registration Ends November 6
GERRY SPORTS: Claims Registration Ends November 8
MBM INTERNATIONALE: Claims Registration Ends November 9
OEZKAYA IMMOBILIEN: Claims Registration Ends November 7

PHOENIX CAPITAL: Claims Registration Ends November 8
PRISMA BAUTRAGERGESELLSCHAFT: Claims Registration Ends Nov. 8
TALK ABOUT: Claims Registration Ends November 7
TISCHLEREI ROLF: Claims Registration Ends November 6
W. ALSBACH: Claims Registration Ends November 9

WCM AG: Lender to Auction Klockner Shares for Debt Repayment
WCM AG: Shuffles Management Board to Avoid Conflict of Interest


I T A L Y

FIAT SPA: Cherry Automobiles to Supply Gas Engines for China
FIAT SPA: Names Alfredo Altavilla as Fiat Powertrain CEO
WCM AG: Lender to Auction Klockner Shares for Debt Repayment
WCM AG: Shuffles Management Board to Avoid Conflict of Interest


K A Z A K H S T A N

ALMATY PROJECT: Creditors Must File Claims by Nov. 26
ALTAIENERGO JSC: Proof of Claim Deadline Slated for Nov. 26
ASTANA FINANCE: Fitch Gives Long-Term BB+ Rating on Eurobond
BAKYT-DENTA LTD: Creditors Must File Claims by Nov. 26
DOS-DOL LLP: South Kazakhstan Court Starts Bankruptcy Procedure

GARANT LLP: Proof of Claim Deadline Slated for Nov. 26
KONYS COMPANY: Aktube Court Opens Bankruptcy Proceedings
MARS CARD: Almaty Court Begins Bankruptcy Proceedings
MOBILSTROYSERVICE LLP: Claims Filing Period Ends Nov. 26
ORNEK LLP: Claims Registration Ends Nov. 26

TALDYKORGANSVYAZSERVICE LLP: Creditors' Claims Due Nov. 26
TURANALEM FINANCE: Fitch Puts BB+ Rating on EUR500-Mln Eurobond


K Y R G Y Z S T A N

AI-PERI LLC: Creditors' Claims Due Dec. 13
JINDUO LLC: Claims Registration Ends Dec. 13


N E T H E R L A N D S

E-MAC PROGRAM: S&P Rates EUR3.2-Mln Class E Notes at BB
MONASTERY 2006-I: Moody's Rates EUR5.2-Mln Class E Notes at Ba2
PYATEROCHKA HOLDING: Renames to X5 Retail Group N.V.


P O L A N D

NETIA SA: Secures Partial Repayment of EUR150MM Credit Facility


R U S S I A

AEROGRAD OJSC: Assets Sale Slated for November 8
ALCO INTERNATIONAL: Court Names S. Prudnikov to Manage Assets
CHOYSKIY DIARY: Court Names S. Kononenko as Insolvency Manager
DALNEVOSTOCHNAYA STOCK: Court Starts Bankruptcy Supervision
LOBVA: Sverdlovsk Court Starts Bankruptcy Supervision Procedure

MURMANSK-STROM: Court Names S. Ryzhkov as Insolvency Manager
NEREKHTA-BREAD: Kostroma Bankruptcy Hearing Slated for Nov. 16
NOMOS CAPITAL: Fitch Assigns Final B- Rating to US$125-MM Notes
PYATEROCHKA HOLDING: Renames to X5 Retail Group N.V.
REVDINSKIY WOODWORKING: Court Starts Bankruptcy Supervision

ROSNEFT OIL: Denies Plans to Raise US$24.5-Bln Loan to Buy Yukos
RUS'-INVEST: Moscow Court Names S. Suvorov as Insolvency Manager
RUSSIAN GOLD: Court Names S. Suvorov as Insolvency Manager
SIBACADEMBANK: Fitch Affirms Issuer Default Rating at B
SKOPIN-AGRO-SNAB: Ryazan Bankruptcy Hearing Slated for Jan. 23

SIB-GAS-PRIBOR: Court Names V. Kravchenko as Insolvency Manager
SOUTHERN TELECOM: Names Ruslan Bulguchev to Head Stavropol Unit
TIMBER MILL 1: Court Starts Bankruptcy Supervision Procedure
TIMBER MILL 34: Court Names A. Shabalin as Insolvency Manager
URAL-MARBLE CJSC: Court Names A. Lavrov as Insolvency Manager

VNESHTORGBANK JSC: Renaming Subsidiaries to VTB Bank
VNESHTORGBANK JSC: Lack of Related Law Hits Promstroybank Merger
YUKOS OIL: Rosneft Denies Plans to Raise US$24.5-Bln Bank Loan


S W I T Z E R L A N D

BOMBARDIER INC.: Fitch Downgrades Issuer Default Rating to BB-


U K R A I N E

KARM LLC: Court Names Yurij Ushach as Insolvency Manager
KARSAN AVTOTRANS: Lviv Court Starts Bankruptcy Supervision
LAN LLC: Court Names Zhmerinka Tax Inspection as Liquidator
LINDA LLC: Court Names E. Golub as Liquidator/Insolvency Manager
MAMADU LLC: Court Names Ludmila Zayikina as Insolvency Manager

MAYAK LLC: Sumi Court Starts Bankruptcy Supervision
REINFORCED METALS: Donetsk Court Starts Bankruptcy Supervision
UKRAINA-SICH: Kyiv Court Starts Bankruptcy Supervision Procedure
UKRMISTSEPROM PLUS: Court Names Andrij Zharikov as Liquidator
VERHOVINA LLC: Zaporizhya Court Starts Bankruptcy Supervision


U N I T E D   K I N G D O M

BETONSPORTS PLC: Interim Second Quarter Report Due on Nov. 5
BOMBARDIER INC.: Fitch Downgrades Issuer Default Rating to BB-
CASTLEGATE 105: Bank of Scotland Names PwC as Receivers
DAMOVO GROUP: Financial Restructuring Cues Moody's to Cut Rating
DAMOVO GROUP: S&P Cuts Rating to D on Coupon Payment Deferral

DESSOUS INT'L: Appoints Liquidators from Wilson Field
DORAN ENGINEERING: Appoints Administrators from RSM Robson
DURA AUTOMOTIVE: S&P Cuts Ratings to D on Chapter 11 Filing
EFFECTIVE GOLF: Brings In Administrators from UHY Hacker Young
EMI GROUP: Martin Bandier Steps Down in EMI Music Positions

EMI GROUP: Revenue Decline Spurs S&P to Lower Ratings to BB
EWER DESIGN: Names Keith Aleric Stevens Liquidator
FEENIX COURIERS: Names Jeremy Nicholas Bleazard as Administrator
FP&S LIMITED: Brings In PwC as Joint Administrators
GANDALF IT: Appoints Martin Henry Linton to Administer Assets

GATE & FENCING: Nominates Liquidator from Mayfields Insolvency
GRAHAM HOLDINGS: Taps Begbies Traynor to Administer Assets
HERTFORDSHIRE LEGAL: Nominates Ninos Koumettou as Liquidator
HILLSIDE MOULDINGS: Creditors Confirm Liquidator's Appointment
ICICI BANK: Moody's Assigns D- Financial Strength Rating

INTERFACE INC: Improving Performance Cues S&P to Lift Rating
JJR MARKETING: Brings In Liquidators from Harrisons
J WILKINSON: Hires TCE Harrison to Liquidate Assets
J WILLARD: Nominates Neville Richard Eckley as Liquidator
KESTREL GREEN: Taps RSM Robson as Joint Administrators

KNOTBOX RETAIL: Stephen M. Rout Leads Liquidation Procedure
LANGUAGE LINE: S&P Assigns B Rating on Proposed Bank Facility
LOUGH JOINERY: Claims Filing Period Ends Nov. 17
LUDGATE FUNDING: S&P Assigns BB Ratings on GBP5-Million Notes
MARK RICHENS: Names Stephen P. J. White Liquidator

MARTRANS TRAILERS: Calls In Liquidator from Haines Watts
MASONLITE LIMITED: Taps Administrators from Smith & Williamson
MET-TRAFFIC LIMITED: Taps Liquidator from Haines Watts
MONEY PARTNERS: Fitch Places BB Rating on GBP14.7-Million Notes
MOSES GATE: Hires Begbies Traynor as Joint Administrators

N ROURKE & SON: Nominates Liquidator from Horsfields
OPTIMUM BUSINESS: Creditors' Claims Due Nov. 24
OTLEY MOTORS: Appoints Begbies Traynor as Joint Administrators
PLANTATION LIGHTING: Claims Registration Ends March 19, 2007
PLYFORM PRODUCTS: Barclays Bank Taps Receivers from Baker Tilly

PROFESSIONAL SOLUTIONS: Hires Liquidator from Sinclair Harris
PYECROFT ENGINEERING: Taps Smith & Williamson as Administrators
R S GILLETT: Liquidator Sets Nov. 30 Claims Bar Date
SCOOTABOUT LIMITED: Appoints Liquidators from Begbies Traynor
SEA CONTAINERS: Employs Young Conaway as Counsel

SEA CONTAINERS: Wants Court to Okay PwC as Investment Banker
SEA CONTAINERS: Taps Kirkland & Ellis as Litigation Counsel
SEA CONTAINERS: Moody's Withdraws Ratings on Chapter 11 Filings
SHAW TAX: Brings In Moore Stephens to Administer Assets
SIBACADEMFINANCE PLC: Fitch Places B Rating on US$1-Bln Notes

SMART MANUFACTURING: Taps Harrisons as Joint Administrators
VNESHTORGBANK JSC: Renaming Subsidiaries to VTB Bank
VNESHTORGBANK JSC: Lack of Related Law Hits Promstroybank Merger
W H SHAW: Brings In Kroll to Administer Assets
WESTLEA FARM: Bank of Scotland Taps PwC as Receivers

                            *********

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A U S T R I A
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AURATA HANDEL: Vienna Court Orders Business Shutdown
----------------------------------------------------
The Trade Court of Vienna entered an order Sept. 12 shutting
down the business of LLC Aurata Handel (FN 253095z).  Court-
appointed property manager Matthias Schmidt 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. Matthias Schmidt
         Dr.Karl Lueger-Ring 12
         1010 Vienna, Austria
         Tel: 5331695
         Fax: 5355686
         E-mail: schmidt@preslmayr.at  

Headquartered in Vienna, Austria, the Debtor declared bankruptcy
on Aug. 29 (Bankr. Case No. 38 S 51/06m).


CHRISTIAN TRAAR: Klagenfurt Court Orders Business Closure
---------------------------------------------------------
The Land Court of Klagenfurt entered an order Sept. 12 closing
the business of LLC Christian Traar Internationale Transporte
(FN 94603y).  Court-appointed property manager Michael Schuller
recommended the business closure after determining that the
Debtor's continuing operations would reduce the value of the
estate.

The property manager can be reached at:

         Dr. Michael Schuller
         10.Oktoberstrasse 2
         9620 Hermagor, Austria
         Tel: 04282/2060
         Fax: 04282/206011
         E-mail: kanzlei.dr.schuller@utanet.at  

Headquartered in Hermagor, Austria, the Debtor declared
bankruptcy on Aug. 21 (Bankr. Case No. 41 S 92/06m).


GOLFANLAGE SCHLOSS: Creditors to Recover 20% of Claims
------------------------------------------------------
The Land Court of St. Poelten will close the bankruptcy case of
LLC Golfanlage Schloss Goldegg (FN 74472v) following the
Debtor's final distribution to its creditors.

Affected creditors will recover 20% of their claim under the
approved final allocation document filed by court-appointed
property manager Georg Thum.

Headquartered in Neidling, Austria, the Debtor declared
bankruptcy on Aug. 8 (Bankr. Case No. 14 S 123/06p).

The property manager can be reached at:

         Dr. Georg Thum
         Josefstrasse 13
         3100 St. Poelten, Austria
         Tel: 02742/72222
         Fax: 02742/72222-10
         E-mail: kanzlei@tws-rae.at


SARTOR LLC: Claims Registration Ends November 7
-----------------------------------------------
Creditors owed money by LLC Sartor (FN 102313k) have until
Nov. 7 to file written proofs of claims to court-appointed
property manager Richard Proksch at:

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

Creditors and other interested parties are encouraged to attend
the creditors' meeting at 12:15 p.m. on Nov. 21 to consider the
adoption of the rule by revision.

The meeting of creditors will be held at:

         The Trade Court of Vienna
         Room 1701
         Vienna, Austria

Headquartered in Vienna, Austria, the Debtor declared bankruptcy
on Sept. 21 (Bankr. Case No. 6 S 81/06p).  Birgit Linder
represents Dr. Proksch in the bankruptcy proceedings.


SNM PROJEKTBAU: Creditors' Meeting Slated for November 16
---------------------------------------------------------
Creditors owed money by LLC SNM Projektbau (FN 229834t) are
encouraged to attend the creditors' meeting at 2:40 p.m. on
Nov. 16 to consider the adoption of the rule by revision and
accountability.

The creditors' meeting will be held at:

         The Land Court of Graz
         Hall L
         Room 230
         2nd Floor
         Graz, Austria

Court-appointed property manager Regina Schedlberger disclosed
that group 2 creditors will recover 7.1% of their claims.  Other
creditors will not receive any quota.

Headquartered in Graz, Austria, the Debtor declared bankruptcy
on Jan. 17 (Bankr. Case No. 25 S 4/05h).  Regina Schedlberger
serves as the court-appointed property manager of the bankrupt
estate.  

The property manager can be reached at:

         Dr. Regina Schedlberger
         Andritzer Reichsstrasse 42
         8045 Graz-Andritz, Austria
         Tel: 0316/695100
         Fax: 0316/6951009
         E-mail: regina.schedlberger@chello.at   


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B E L G I U M
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HUNTSMAN INT'L: Moody's Assigns LGD6 Rating on Proposed Notes
-------------------------------------------------------------
Moody's Investors Service assigned a B3 rating to Huntsman
International LLC's, a wholly owned subsidiary of
Huntsman Corp., proposed US$400 million senior subordinated
notes.  Moody's also assigned Loss Given Default Assessment of
LGD6 to these notes in accordance with its Loss-Given-Default
rating methodology that was initially implemented at the end of
September 2006.  Proceeds from the private offering of the
proposed U.S. dollar and euro denominated notes will be used to
redeem part of the company's outstanding 10 1/8% senior
subordinated notes due 2009.  The corporate family ratings of B1
for both HI and HC were affirmed and the rating outlooks for
both companies remain developing.

New ratings assigned:

Huntsman International LLC

    * Proposed Sr. Sub Notes, US$400 million, due 2013 and 2014:
      B3, LGD6, 91%

The proposed transaction is a modest credit positive for HC
(and HI) as it will reduce the company's interest expense by
redeeming high coupon debt.  The rating outlook
(for both, HC and HI) was changed to developing from positive
in March 2006 after HC's management announced plans to separate
HC's Base Chemicals and Polymer segments from HC's
differentiated segments.  The developing outlook reflects the
possibility of additional transactions, over the medium term, to
further separate the company.  The outlook also reflects that
the ratings may change subject to the development of a more
formal debt structure and financial philosophy (including the
possibility of dividends and incremental acquisitions) for the
remaining businesses to be held at the differentiated segments.

Moody's believes the decision to pursue a split by HC's
management was prompted by ongoing concern over stock price
valuation along with the receipt of an indication of interest
from an outside party, occurring in late 2005, regarding an
acquisition of all of the outstanding stock of HC.  Moody's
continues to believe that objectives for incremental debt
reduction approaching US$1.45 billion by the end of 2007 are
possible.  Upon completion of debt reduction with proceeds of
the proposed sale of Huntsman's European Commodities Business to
SABIC, the ratings outlook may move to positive.

The notching of the proposed senior subordinated notes at B3 and
LGDA of LGD6 take into consideration the unconditional
guarantees, on a subordinated basis, from all of HI's domestic
subsidiaries and certain foreign subsidiaries.  LGDAs 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% - 9%) to LGD6 (loss anticipated to be 90% -
100%).

Huntsman Corp. is a global manufacturer of differentiated and
commodity chemical products.  Huntsman's products are used in a
wide range of applications, including those in the adhesives,
aerospace, automotive, construction products, durable and non-
durable consumer products, electronics, medical, packaging,
paints and coatings, power generation, refining and synthetic
fiber industries.  Huntsman had revenues for the twelve months
ended September 30, 2006 of US$11 billion (after U.K. Base
Chemical and Polymer Divestiture).


HUNTSMAN INT'L: S&P Puts B Rating on Proposed Sr. Sub. Notes
------------------------------------------------------------
Standard & Poor's Ratings Services assigned its 'B' rating to
Huntsman International LLC's proposed senior subordinated notes
due 2014 and 2013.  

The 'B' rating is two notches below the corporate credit rating
to reflect the deeply subordinated position of the noteholders
versus approximately US$3.1 billion of senior and secured debt
obligations in the capital structure as of Sept. 30, 2006.  The
proceeds from the proposed notes, estimated to be US$394
million, will be used to redeem the company's existing 10.125%
senior subordinated notes due 2009, and to pay related fees.  
The ratings on the proposed notes have been placed on
CreditWatch with positive implications.
     
Standard & Poor's revised the CreditWatch implications on all of
our ratings for Salt Lake City, Utah-based chemicals producer
Huntsman Corp., and its affiliate Huntsman International, to
positive from developing on Sept. 29.  This followed the
announcement that Huntsman had signed a definitive agreement
with Saudi Basic Industries Corp., under which SABIC will
acquire Huntsman's European base chemicals and polymers business
for US$700 million in cash (prior to closing adjustments) and
the assumption of approximately US$126 million of pension
liabilities.
      
"If completed as planned, the transaction would be an important
step forward in the transformation of the portfolio toward
greater reliance on differentiated product categories, while
providing meaningful cash for debt reduction," said Standard &
Poor's credit analyst Kyle Loughlin.
     
The CreditWatch indicates that the ratings could be raised
modestly upon completion of the sale, with the corporate credit
rating potentially being raised to 'BB' from 'BB-'.  The
transaction is subject to regulatory approval and expected to
close by the end of 2006.
    
Standard & Poor's expects to resolve the CreditWatch listing
upon completion of the pending sale of the U.K. petrochemical
assets, or if uncertainty related to additional asset sales
remains at that time, upon review of any subsequent
developments.


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B U L G A R I A
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KREMIKOVTZI AD: Moody's Junks 7-Year Sec. Guaranteed Bond Issue
---------------------------------------------------------------
Moody's Investors Service has assigned Caa1 corporate family
ratings to Kremikovtzi AD and Caa1 rating to its 7 year secured
guaranteed bond issued at Bulgaria Steel Finance BV with stable
outlook.  This is the first time rating.

Following its privatization in 1999, Kremikovtzi AD ran into
operational and financial difficulties, accumulated significant
legacy liabilities and had liquidity problems.  In 2005,
Kremikovtzi was acquired by Global Steel Holding Limited group
that indirectly controls 71% in the Company, while Bulgarian
Government retains its 25.3% stake.  The new controlling
shareholder is implementing a turn-around program planned for
2006-2009 and raised a EUR325 million bond to fund the program
and some of the accumulated liabilities.

The assigned Caa1 global corporate family rating reflects the
application of Moody's rating methodology for government-related
issuers and comprises the following inputs:

   -- Baseline credit assessment (BCA) of 17 (on a scale of 1
      to 21, where 1 represents lowest credit risk);

   -- Baa3 foreign currency rating of the Republic of Bulgaria;

   -- Low default dependence between the Company and
      the Republic; and

   -- Low support by the Republic.

The low level of support reflects Moody's view of a very limited
prospect of financial support that may be available to the
bondholders in the event of distress, while the Government is
expected to continue to back GSHL's restructuring effort at
Kremikovtzi.  The assessment of the level of dependency as low
reflects Kremikovtzi's current focus on exports, as well as
sufficient diversification of Bulgaria's revenues and a few
direct financial linkages between the Government and company.  
At the current low level of support and dependency there is no
rating uplift above the BCA.

The BCA of 17 reflects the fundamental weakness of the business
and the fact that Kremikovtzi's ability to service its
obligations depends on the timely implementation and success of
the turn-around program.

The rating reflects:

   -- high risk profile of the financing structure, with
      limited shareholder contribution available at the
      initial stage resulting in a high level of debt
     (while the structure includes a contingent
      capital contribution option in an event
      of underperformance);

   -- significant execution and operational risks and a
      possible need to draw additional funding in an event
      of market downturn or delays with implementation,
      while the investment program and the anticipated
      recovery depend on the cash flow to be generated from
      the existing and new production facilities;

   -- high capital requirements that Kremikovtzi faces in
      the next 5 years;

   -- limited financial flexibility and limited
      liquidity available to the Company at the time of
      the rating;

   -- weak fundamental business position of the Company
      relying on the single operating site and exposure
      to volatility in prices for raw materials and
      flat steel products, as well as growing
      regional competition from low-cost
      better-capitalized steel producers;

   -- substantial legacy contingent liabilities
      currently negotiated with third parties and
      the Government, on-going legal proceedings (including
      an insolvency petition which has been currently
      rejected by the Sofia City Court of first instance),
      as well as limited financial track-record (particularly
      on consolidated basis).

Moody's also takes into account:

   -- Kremikovtzi improving domestic market share;

   -- expected improvement in cost efficiency and
      profitability resulting from the turn-around program;

   -- better management under the new ownership; and

   -- involvement of the Bulgarian state as a stakeholder
      in Kremikovtzi providing some support in resolving
      legacy issues and preparing the viability plan to
      be approved by the EU.

The bond is issued by Bulgaria Steel Finance BV, an "orphan"
special purpose vehicle of the operating company, and benefits
from unconditional irrevocable guarantee issued by Kremikovtzi
AD.  The bond is secured with pledge of assets and pledge of
100% of shares in Finmetals Holdings AD, a financial
intermediary holding 71% in Kremikovtzi AD and wholly owned by
Global Steel Holding Limited, as well as 71% of shares in
Kremikovtzi AD (subject to existing distraint order).

Moody's notes that the shares in Kremikovtzi AD may only be
pledged once the distraint order is lifted.  While the rating
agency understands that the Company and its controlling
shareholder continue to discuss the release of the order with
the government agencies, one potential risk is that Finmetals
Holdings AD may loose its shareholding in Kremikovtzi AD; such
development would constitute an event of default under the
indentures and a change of control event; but, at this stage, is
viewed as unlikely.  Moody's considers the value of the security
(including pledge of accounts, assets and shares) to be
insufficient to cover the principal amount raised under the
notes.

Stable outlook assigned to the rating reflects Moody's view that
the new owner is committed to the restructuring.  The rating
agency notes, however, that there are some delays with
implementation of the initial plan for 2006.  The stable outlook
also reflects the expectation that the Company will continue to
improve its liquidity.

Kremikovtzi AD is a single-site steel producer in Bulgaria.
Kremikovtzi revenues in 2005 were BGN853 million
(EUR438 million) and EBITDA was negative BGN92 million
(EUR47 million).


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VALASSIS COMMUNICATIONS: Moody's Cuts Sr. Debt Ratings to Ba1
-------------------------------------------------------------
Moody's Investors Service downgraded Valassis Communications,
Inc.'s senior unsecured note ratings to Ba1 from Baa3.  Moody's
also assigned a Ba1 Corporate Family Rating, Ba1 Probability of
Default Rating, and LGD4 loss given default assessments to
Valassis' debt securities.  The ratings remain on review for
downgrade.

Downgrades:

Issuer: Valassis Communications, Inc.

    * Senior Unsecured Regular Bond/Debenture, to Ba1 from Baa3

Assignments:

Issuer: Valassis Communications, Inc.

    * Corporate Family Rating, Ba1

    * Probability of Default Rating, Ba1

    * Senior Unsecured Regular Bond/Debenture loss given
      default assessment, LGD4-56

The downgrade reflects Moody's belief that deterioration in the
company's earnings due to significant downward pressure on
free-standing insert pricing into 2007 and customer
consolidation in the neighborhood targeting segment, and the
company's focus on shareholder value-enhancement initiatives, as
demonstrated by the pursuit of the leveraging ADVO acquisition,
will lead to a more aggressive leverage profile.

In Moody's opinion, Valassis' modest size and the competitive
profile of its business dictate a commitment to a very
conservative capital structure to maintain an investment grade
rating.  The company's current leverage, even without the ADVO
transaction (debt-to-EBITDA for 2006 about 2.5 x incorporating
Moody's standard adjustments), no longer supports the Baa3
rating.  Further, there can be no assurance that Valassis will
not seek to increase its risk profile to boost returns to
shareholders if the ADVO transaction is terminated.

The ratings remain on review for downgrade pending the outcome
of the litigation related to the ADVO acquisition.  Consummation
of the ADVO acquisition at the US$37 per share price set forth
in the July 5th, 2006 merger agreement would likely result in a
multi-notch downgrade of the CFR.

Valassis Communications, Inc. headquartered in Livonia,
Michigan, offers a wide range of promotional and advertising
products including newspaper advertising and inserts, sampling,
direct mail, targeted marketing, coupon clearing and consulting
and analytic services.


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G E R M A N Y
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B K W SCHLOSSEREI: Claims Registration Ends November 5
------------------------------------------------------
Creditors of B K W Schlosserei GmbH have until Nov. 5 to
register their claims with court-appointed provisional
administrator Heinrich C. Friedhoff.

Creditors and other interested parties are encouraged to attend
the meeting at 9:30 a.m. on Dec. 6 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 Cologne
         Meeting Room 142
         1st Floor
         Luxemburger Road 101
         50939 Cologne, 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 Cologne opened bankruptcy proceedings
against B K W Schlosserei GmbH on Sept. 5.  Consequently, all
pending proceedings against the company have been automatically
stayed.

The Debtor can be contacted at:

         B K W Schlosserei GmbH
         Attn: Manfred Werner Bornheim and
         Olaf Kruff Stolberg, Managers
         Willi-Messerschmitt-Str. 21
         50126 Bergheim, Germany

The administrator can be contacted at:

         Heinrich C. Friedhoff
         Bismarckstr. 27-29
         50762 Cologne, Germany
         

CONCORDIA BAUTRAGER: Claims Registration Ends November 6
--------------------------------------------------------
Creditors of Concordia Bautrager GmbH & Co.
Kommanditgesellschaft have until Nov. 6 to register their claims
with court-appointed provisional administrator Christoph
Niering.

Creditors and other interested parties are encouraged to attend
the meeting at 10:00 a.m. on Dec. 4 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 Cologne
         Meeting Room 1240
         12th Floor
         Luxemburger Road 101
         50939 Cologne, 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 Cologne opened bankruptcy proceedings
against Concordia Bautrager GmbH & Co. Kommanditgesellschaft on
Sept. 6.  Consequently, all pending proceedings against the
company have been automatically stayed.

The Debtor can be contacted at:

         Concordia Bautrager GmbH & Co. Kommanditgesellschaft
         Oppenheimstr. 9
         50668 Cologne, Germany

         Attn: Dr. Rainer C. Kahrmann, Manager
         Ground Floor Flat
         38 Wilton Cres
         GBR-SW1X8RX London/Great Britain

The administrator can be contacted at:

         Dr. Christoph Niering
         Brabanter Str. 2
         50674 Cologne, Germany
         

GERRY SPORTS: Claims Registration Ends November 8
-------------------------------------------------
Creditors of GERRY SPORTS Fashion + Sportartikel Vertriebs GmbH
have until Nov. 8 to register their claims with court-appointed
provisional administrator Sebastian Henneke.

Creditors and other interested parties are encouraged to attend
the meeting at 8:40 a.m. on Dec. 8 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 Dortmund
         Hall 3.201
         2nd Floor
         Court Place 1
         44135 Dortmund, 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 Dortmund opened bankruptcy proceedings
against GERRY SPORTS Fashion + Sportartikel Vertriebs GmbH on
Sept. 8.  Consequently, all pending proceedings against the
company have been automatically stayed.

The Debtor can be contacted at:

         GERRY SPORTS Fashion + Sportartikel Vertriebs GmbH
         Kleyer Way 3-10
         44149 Dortmund, Germany

The administrator can be contacted at:

         Dr. Sebastian Henneke
         Hansastrasse 61
         44137 Dortmund, Germany
         

MBM INTERNATIONALE: Claims Registration Ends November 9
-------------------------------------------------------
Creditors of MBM Internationale Spedition GmbH have until Nov. 9
to register their claims with court-appointed provisional
administrator Jochen Schnake.

Creditors and other interested parties are encouraged to attend
the meeting at 9:15 a.m. on Nov. 30 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 MBM Internationale Spedition GmbH on Sept. 6.  
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be contacted at:

         MBM Internationale Spedition GmbH
         Attn: Peter Riesen, Manager
         Broenninghauser Str. 33
         33729 Bielefeld, Germany

The administrator can be contacted at:

         Jochen Schnake
         Ravensberger Str. 11 u. 12
         33824 Werther, Germany


OEZKAYA IMMOBILIEN: Claims Registration Ends November 7
-------------------------------------------------------
Creditors of Oezkaya Immobilien GmbH & Co. KG have until Nov. 7
to register their claims with court-appointed provisional
administrator Andreas Stratenwerth.

Creditors and other interested parties are encouraged to attend
the meeting at 9:30 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 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 Oezkaya Immobilien GmbH & Co. KG on Sept. 12.  
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be contacted at:

         Oezkaya Immobilien GmbH & Co. KG
         Attn: Ahmet and Mehmet Oezkaya, Managers
         Moenichhusen 89
         32549 Bad Oeynhausen, Germany

The administrator can be contacted at:

         Andreas Stratenwerth
         Lemgoer Str. 4
         33604 Bielefeld, Germany


PHOENIX CAPITAL: Claims Registration Ends November 8
----------------------------------------------------
Creditors of Phoenix Capital-Management AG have until Nov. 8 to
register their claims with court-appointed provisional
administrator Jan Markus Plathner.

Creditors and other interested parties are encouraged to attend
the meeting at 10:00 a.m. on Nov. 22 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 Friedberg
         Hall 20a
         District Court Building
         Homburger Road 18
         61169 Friedberg (Hessen), 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 Friedberg opened bankruptcy proceedings
against Phoenix Capital-Management AG on Aug. 31.  Consequently,
all pending proceedings against the company have been
automatically stayed.

The Debtor can be contacted at:

         Phoenix Capital-Management AG
         Waldstrasse 13a
         63674 Altenstadt, Germany

         Attn: Harald R. Alber, Manager
         Hainstrasse 46
         61118 Bad Vilbel, Germany

The administrator can be contacted at:

         Dr. Jan Markus Plathner
         Lyoner Road 14
         60528 Frankfurt am Main, Germany
         Tel: 069/962334-0
         Fax: 069/962334-22
         E-mail: m.plathner@brinkmann-partner.de
         

PRISMA BAUTRAGERGESELLSCHAFT: Claims Registration Ends Nov. 8
-------------------------------------------------------------
Creditors of Prisma Bautragergesellschaft mbH have until Nov. 8
to register their claims with court-appointed provisional
administrator Jan Markus Plathner.

Creditors and other interested parties are encouraged to attend
the meeting at 10:30 a.m. on Nov. 22 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 Friedberg
         Hall 20a
         District Court Building
         Homburger Road 18
         61169 Friedberg (Hessen), 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 Friedberg opened bankruptcy proceedings
against Prisma Bautragergesellschaft mbH on Sept. 8.  
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be contacted at:

         Prisma Bautragergesellschaft mbH
         Attn: Bernd Felgner, Manager
         Kurstrasse 16
         61231 Bad Nauheim, Germany

The administrator can be contacted at:

         Dr. Jan Markus Plathner
         Lyoner Road 14
         60528 Frankfurt am Main, Germany
         Tel: 069/962334-0
         Fax: 069/962334-22
         E-mail: m.plathner@brinkmann-partner.de


TALK ABOUT: Claims Registration Ends November 7
-----------------------------------------------
Creditors of talk about communications GmbH have until Nov. 7 to
register their claims with court-appointed provisional
administrator Stephan Fluck.

Creditors and other interested parties are encouraged to attend
the meeting at 9:30 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 Wiesbaden
         E 36 a
         3rd Floor
         Building E
         Moritzstrasse 5
         Hinterhaus
         65185 Wiesbaden, 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 Wiesbaden opened bankruptcy proceedings
against talk about communications GmbH on Sept. 1.  
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be contacted at:

         talk about communications GmbH
         Grohenstueck 13b
         65396 Walluf, Germany

         Attn: Ralf Albert Hamm, Manager
         Pater-Cyrill-Weg 25
         65366 Geisenheim, Germany

The administrator can be contacted at:

         Stephan Fluck
         Aarstrasse 1
         65195 Wiesbaden, Germany
         Tel: 0611/170160
         Fax: 0611/170150
         E-mail: info@ra-fluck.de
         

TISCHLEREI ROLF: Claims Registration Ends November 6
----------------------------------------------------
Creditors of Tischlerei Rolf und Britta Klindworth GmbH & Co. KG
have until Nov. 6 to register their claims with court-appointed
provisional administrator Andreas Kienast.

Creditors and other interested parties are encouraged to attend
the meeting at 10:30 a.m. on Dec. 5 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 Tostedt
         Area CE.02
         Linden 23
         21255 Tostedt, 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 Tostedt opened bankruptcy proceedings
against Tischlerei Rolf und Britta Klindworth GmbH & Co. KG on
Sept. 7.  Consequently, all pending proceedings against the
company have been automatically stayed.

The Debtor can be contacted at:

         Tischlerei Rolf und Britta Klindworth GmbH & Co. KG
         Industriestr. 34
         21640 Horneburg, Germany

         Attn: Britta Klindworth, Manager
         Stuck 21a
         21640 Horneburg, Germany

The administrator can be contacted at:

         Andreas Kienast
         Johnsallee 7
         20148 Hamburg, Germany
         Tel: 040/808065920
         Fax: 040/808065999
         

W. ALSBACH: Claims Registration Ends November 9
-----------------------------------------------
Creditors of W. Alsbach GmbH have until Nov. 9 to register their
claims with court-appointed provisional administrator Ulrich
Zerrath.

Creditors and other interested parties are encouraged to attend
the meeting at 9:00 a.m. on Nov. 30 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 Muenster
         Meeting Room 112 B
         1st Floor
         Gerichtsstr. 2-6
         48149 Muenster, 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 Muenster opened bankruptcy proceedings
against W. Alsbach GmbH on Sept. 1.  Consequently, all pending
proceedings against the company have been automatically stayed.

The Debtor can be contacted at:

         W. Alsbach GmbH
         Attn: Werner Alsbach, Manager
         Aspastrasse 6
         59394 Nordkirchen, Germany

The administrator can be contacted at:

         Ulrich Zerrath
         Lange Wanne 57
         45665 Recklinghausen, Germany


WCM AG: Lender to Auction Klockner Shares for Debt Repayment
------------------------------------------------------------
WCM Beteiligungs- und Grundbesitz AG will sell its majority
stake in German machinery maker Klockner-Werke AG after failing
to repay a EUR170 million loan provided by HSH Nordbank AG, Die
Welt says.

On Oct. 18, HSH notified WCM that it was calling in the loan
extended to the investment.  HSH warned WCM that it would
auction off the latter's collateral shares in Klockner if the
company fails to repay by Oct. 25.  

WCM had requested for the postponement of the cancellation of
the loan until Jan. 31, 2007, but HSH rejected the proposal.  
HSH, Die Welt reports, now owns WCM's shares in Klockner and
hospital operator Maternus.  

HSH has yet to set the auction date, but a large number of
private equity funds, including U.S. investment firm Cerberus,
have already expressed interest in participating.  Once the
shares are sold, WCM would no longer have any operating
activities.

                       About the Company

Headquartered in Frankfurt, Germany, WCM Beteiligungs- und
Grundbesitz-AG -- http://www.wcm.de/-- holds equity interests  
in other real estate investment, management, and development
companies, as well as in the nursing homes and a packaging
maker.  The group owns 80% of Klockner-Werke AG, which also
operates in Austria, Czech Republic, Denmark, France, United
Kingdom, Italy, Netherlands, Spain, Switzerland, Australia,
Brazil, India, Japan, Mexico, Russian Federation, Singapore, and
the U.S.A.

WCM has been posting consecutive annual net losses since 2002:
EUR849 million in 2002; EUR315 million in 2003; EUR163 million
in 2004; and EUR44 million in 2005.


WCM AG: Shuffles Management Board to Avoid Conflict of Interest
----------------------------------------------------------------
WCM AG implemented a change in its Management Board on Oct. 26,
2006.

Separating the dual mandates that exist within WCM and its
Klockner subsidiary has been under consideration for several
months.  The Management Board reported this and other items in
its speech to the Annual General Meeting on Aug. 8, 2006.

The compulsory separation of mandates has arisen from the need
to safeguard the interests of both companies and to avoid
potential conflicts of interest.

Effective Oct. 26, 2006, action appropriate to this need has
been taken.  Both members of the Management Board, Mr. Flach and
Mr. Reisgen, resigned from their office at WCM and are now
focusing fully on their duties as members of the Management
Board of Klockner-Werke AG.

Supervisory Board appointed Karl-Ernst Schweikert as the new
member of the Management Board.  Mr. Schweikert has been known
for many years for his work on its Management Board and the
Supervisory Board

                       About the Company

Headquartered in Frankfurt, Germany, WCM Beteiligungs- und
Grundbesitz-AG -- http://www.wcm.de/-- holds equity interests  
in other real estate investment, management, and development
companies, as well as in the nursing homes and a packaging
maker.  The group owns 80% of Klockner-Werke AG, which also
operates in Austria, Czech Republic, Denmark, France, United
Kingdom, Italy, Netherlands, Spain, Switzerland, Australia,
Brazil, India, Japan, Mexico, Russian Federation, Singapore, and
the U.S.A.

WCM has been posting consecutive annual net losses since 2002:
EUR849 million in 2002; EUR315 million in 2003; EUR163 million
in 2004; and EUR44 million in 2005.


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


FIAT SPA: Cherry Automobiles to Supply Gas Engines for China
------------------------------------------------------------
Fiat S.p.A.'s Fiat Auto and Chery Automobiles signed Oct. 31 a
Memorandum of Understanding, which calls for Chery Automobiles
to 1.6 and 1.8-liter gasoline engines for application in Fiat
cars to be produced in China and outside China.  

The two companies expect an annual supply exceeding 100,000
engines and are engaged to sign the definitive supply agreement
before year-end.

"The agreement with Chery will give us the opportunity to
further increase the competitiveness of our product range on the
international markets.  Chery is a young and modern company with
a solid technical background and I am glad to welcome this
further step in our strategy of targeted alliances.  In the
relation with Chery we see the potential for the wider
cooperation both in powertrains and eventually, in other
automotive sectors," Sergio Marchionne, Fiat and Fiat Auto CEO
disclosed.

"Fiat is a world famous auto company with a long history.  The
successful cooperation between Chery and Fiat Auto shows Fiat's
confidence and trust in Chery, and it is also an important step
taking by Chery.  The prospect of our cooperation is very
promising," Yin Tongyao, President and General Manager of Chery
Automobiles expressed.

Headquartered in Wuhu, China, Chery Automobile Co. Ltd. --
http://www.chery.cn/-- specializes in the production and  
operation of automobiles and auto components.  Chery has
developed complete product lines, and the company's own R&D
projects have enabled the development and production of
vehicles, engines, gearboxes and other core components.  The
present production capacity for whole vehicle and gearbox is
respectively at 400,000 and 300,000 units per year.  In 2005,
Chery achieved a sales volume of 189,100 cars with a total
increase rate of 118%, and exported 18,000 cars overseas,
ranking No.1 in the export of domestically made cars.

Headquartered in Turin, Italy, Fiat S.p.A. --
http://www.fiatgroup.com/-- is one of the largest industrial  
groups in Italy and the fourth largest European-based automobile
manufacturer, with revenues of EUR33.4 billion in the first nine
months of 2005.  Fiat's creditors include Banca Intesa, Banca
Monte dei Paschi di Siena, Banca Nazionale del Lavoro,
Capitalia, Sanpaolo IMI, and UniCredito Italiano.

                          *     *     *

As reported in the TCR-Europe on Oct. 4, Fitch Ratings affirmed
Fiat S.p.A.'s Issuer Default and senior unsecured ratings at BB-
and Short-term rating at B.  This follows Fiat's exercise of its
call option to buy back 29% of Ferrari's capital from a
consortium led by Mediobanca.  Fitch said the Outlook is
Positive.

On Aug. 8, Standard & Poor's Ratings Services raised its long-
term corporate credit rating on Fiat S.p.A. to 'BB' from 'BB-'.   
At the same time, Standard & Poor's affirmed its 'B' short-term
rating on Fiat.  S&P said the outlook is stable.

"The upgrade reflects Fiat's strong debt reduction achievements,
positive trends in the auto sector, and improvements in the
group's profitability and cash generation," said Standard &
Poor's credit analyst Nicolas Baudouin.

On Aug. 7, Fitch Ratings changed Fiat S.p.A.'s Outlook to
Positive from Stable.  Its Issuer Default rating and senior
unsecured rating are affirmed at BB-.  The Short-term rating is
affirmed at B. Around EUR6 billion of debt is affected by this
rating action.

The Outlook change is underpinned by the consistent improvement
of the group's financial profile, the pick-up in Fiat Auto's
market shares and earnings since late 2005 and positive
expectations for the CNH and Iveco divisions.


FIAT SPA: Names Alfredo Altavilla as Fiat Powertrain CEO
--------------------------------------------------------
Fiat S.p.A. disclosed new appointments at the Fiat Group
effective today.

Tuerk Otomobil Fabrikasi A.S. Chief Executive Officer
Alfredo Altavilla was appointed CEO of Fiat Powertrain
Technologies to replace Domenico Bordone.  Mr. Altavilla will
join the Group Executive Council and he will continue to be in
charge of industrial alliances in the automobiles sector.

Ali Aydin Pandir will be the new Chief Executive Officer of
TOFAS.  Pandir previously worked at General Motors where he held
posts of responsibility in various countries.

Paolo Martinelli, current Head of the Racing Engine Department
of Ferrari, will take on responsibility for the Gasoline Engine
Development Department of FPT.

Mario Mairano will be in charge of the Ferrari Human Resources
and General Secretary Department, which is currently being
established.  Mairano will temporarily continue to be in charge
of Fiat Group Human Resources.

Fiat thanked Domenico Bordone, who leaves the Group on his
request, for his important contribution over the many years
spent with the Group and wishes him all the best for his future
endeavors.

Headquartered in Turin, Italy, Fiat S.p.A. --
http://www.fiatgroup.com/-- is one of the largest industrial  
groups in Italy and the fourth largest European-based automobile
manufacturer, with revenues of EUR33.4 billion in the first nine
months of 2005.  Fiat's creditors include Banca Intesa, Banca
Monte dei Paschi di Siena, Banca Nazionale del Lavoro,
Capitalia, Sanpaolo IMI, and UniCredito Italiano.

                        *     *     *

As reported in the TCR-Europe on Oct. 4, Fitch Ratings affirmed
Fiat S.p.A.'s Issuer Default and senior unsecured ratings at BB-
and Short-term rating at B.  This follows Fiat's exercise of its
call option to buy back 29% of Ferrari's capital from a
consortium led by Mediobanca.  Fitch said the Outlook is
Positive.

On Aug. 8, Standard & Poor's Ratings Services raised its long-
term corporate credit rating on Fiat S.p.A. to 'BB' from 'BB-'.   
At the same time, Standard & Poor's affirmed its 'B' short-term
rating on Fiat.  S&P said the outlook is stable.

"The upgrade reflects Fiat's strong debt reduction achievements,
positive trends in the auto sector, and improvements in the
group's profitability and cash generation," said Standard &
Poor's credit analyst Nicolas Baudouin.

On Aug. 7, Fitch Ratings changed Fiat S.p.A.'s Outlook to
Positive from Stable.  Its Issuer Default rating and senior
unsecured rating are affirmed at BB-.  The Short-term rating is
affirmed at B. Around EUR6 billion of debt is affected by this
rating action.

The Outlook change is underpinned by the consistent improvement
of the group's financial profile, the pick-up in Fiat Auto's
market shares and earnings since late 2005 and positive
expectations for the CNH and Iveco divisions.


WCM AG: Lender to Auction Klockner Shares for Debt Repayment
------------------------------------------------------------
WCM Beteiligungs- und Grundbesitz AG will sell its majority
stake in German machinery maker Klockner-Werke AG after failing
to repay a EUR170 million loan provided by HSH Nordbank AG, Die
Welt says.

On Oct. 18, HSH notified WCM that it was calling in the loan
extended to the investment.  HSH warned WCM that it would
auction off the latter's collateral shares in Klockner if the
company fails to repay by Oct. 25.  

WCM had requested for the postponement of the cancellation of
the loan until Jan. 31, 2007, but HSH rejected the proposal.  
HSH, Die Welt reports, now owns WCM's shares in Klockner and
hospital operator Maternus.  

HSH has yet to set the auction date, but a large number of
private equity funds, including U.S. investment firm Cerberus,
have already expressed interest in participating.  Once the
shares are sold, WCM would no longer have any operating
activities.

                       About the Company

Headquartered in Frankfurt, Germany, WCM Beteiligungs- und
Grundbesitz-AG -- http://www.wcm.de/-- holds equity interests  
in other real estate investment, management, and development
companies, as well as in the nursing homes and a packaging
maker.  The group owns 80% of Klockner-Werke AG, which also
operates in Austria, Czech Republic, Denmark, France, United
Kingdom, Italy, Netherlands, Spain, Switzerland, Australia,
Brazil, India, Japan, Mexico, Russian Federation, Singapore, and
the U.S.A.

WCM has been posting consecutive annual net losses since 2002:
EUR849 million in 2002; EUR315 million in 2003; EUR163 million
in 2004; and EUR44 million in 2005.


WCM AG: Shuffles Management Board to Avoid Conflict of Interest
----------------------------------------------------------------
WCM AG implemented a change in its Management Board on Oct. 26,
2006.

Separating the dual mandates that exist within WCM and its
Klockner subsidiary has been under consideration for several
months.  The Management Board reported this and other items in
its speech to the Annual General Meeting on Aug. 8, 2006.

The compulsory separation of mandates has arisen from the need
to safeguard the interests of both companies and to avoid
potential conflicts of interest.

Effective Oct. 26, 2006, action appropriate to this need has
been taken.  Both members of the Management Board, Mr. Flach and
Mr. Reisgen, resigned from their office at WCM and are now
focusing fully on their duties as members of the Management
Board of Klockner-Werke AG.

Supervisory Board appointed Karl-Ernst Schweikert as the new
member of the Management Board.  Mr. Schweikert has been known
for many years for his work on its Management Board and the
Supervisory Board

                       About the Company

Headquartered in Frankfurt, Germany, WCM Beteiligungs- und
Grundbesitz-AG -- http://www.wcm.de/-- holds equity interests  
in other real estate investment, management, and development
companies, as well as in the nursing homes and a packaging
maker.  The group owns 80% of Klockner-Werke AG, which also
operates in Austria, Czech Republic, Denmark, France, United
Kingdom, Italy, Netherlands, Spain, Switzerland, Australia,
Brazil, India, Japan, Mexico, Russian Federation, Singapore, and
the U.S.A.

WCM has been posting consecutive annual net losses since 2002:
EUR849 million in 2002; EUR315 million in 2003; EUR163 million
in 2004; and EUR44 million in 2005.


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


ALMATY PROJECT: Creditors Must File Claims by Nov. 26
-----------------------------------------------------
LLP Almaty Project Engineering has declared insolvency.  
Creditors have until Nov. 26 to submit written proofs of claim
to:

         LLP Almaty Project Engineering
         Ozturka/Manas Str. 2/67- 19
         Almaty, Kazakhstan


ALTAIENERGO JSC: Proof of Claim Deadline Slated for Nov. 26
-----------------------------------------------------------
The Specialized Inter-Regional Economic Court of East Kazakhstan
Region declared JSC Altaienergo insolvent on Aug. 29.  
Subsequently, bankruptcy proceedings were introduced at the
company.

Creditors have until Nov. 26 to submit written proofs of claim
to:

         JSC Altaienergo
         Myzy Str. 2/1-214
         Ust-Kamenogorsk
         East Kazakhstan Region
         Kazakhstan
         Tel: 8 (3232) 24-34-77


ASTANA FINANCE: Fitch Gives Long-Term BB+ Rating on Eurobond
------------------------------------------------------------
Fitch Ratings assigned Astana Finance B.V.'s upcoming eurobond
due 2011 an expected BB+ Long-term rating.  The bond will be
guaranteed unconditionally and irrevocably by JSC Astana Finance
and AF's subsidiary, JSC Leasing Company Astana-Finance.

The final rating of the eurobond is contingent upon receipt of
final documentation conforming materially to information already
received.  Fitch has been informed that JSC Leasing Company
Astana-Finance is to be added as second guarantor to AFBV's
outstanding US$125 million eurobond due 2009
(ISIN:XS0244275797), rated BB+ and guaranteed by AF.

The terms and conditions of AFBV's new notes state that the
guarantors' obligations under their guarantees will rank at
least equally in right of payment with all their other
respective present and future unsecured and unsubordinated
obligations, save those preferred by relevant laws.

The guarantors are required to keep a number of financial and
non-financial covenants.  There is a cross default clause and
investors have a put option in the event that AF's Issuer
Default rating or the rating of the notes be withdrawn or
downgraded by at least two notches as a result of a merger or
asset sale, or should the municipality of Astana's stake in AF
fall below 25%.

AF's Issuer Default rating, Short-term B and Support 3 ratings
reflect Fitch's opinion that there is a moderate likelihood that
support would be made available to it from the municipality of
Astana or potentially the Kazakhstani sovereign, should support
be required.

The municipality of Astana has been supportive of AF to date in
terms of equity injections, subsidized funding, first refusal on
investments etc.  A letter of comfort from the municipality of
Astana will be included in the eurobond prospectus.

However, the municipality of Astana itself has relatively
limited funds specifically set aside that might be used to
support AF.  Consequently, sovereign support could be necessary,
should more significant support be needed by AF than can be
diverted at short notice from other municipal resources.

Given, among other factors, the moral obligation the comfort
letter creates on the country's flagship capital city to support
AF, Fitch views there also to be a moderate probability that
support might flow through from the Kazakhstani sovereign.

Any movement in AF's IDR would reflect a change in our opinion
regarding the propensity or ability of the municipality of
Astana and/or the Kazakhstani sovereign to provide timely
support to AF.

AF's Individual rating of D/E reflects its small size,
potentially volatile profitability, substantial concentrations
and low capitalization targets.  Its loan book is very
concentrated, both by individual name and on the agriculture and
construction/real estate sectors.  While asset quality has been
adequate to date, the loan book has been growing fast, so
impaired loans could rise as loans season.

AF was created in 1997 by the municipality of Astana to
facilitate development finance for Astana, the rapidly growing
new capital of Kazakhstan and for the surrounding Akmola region.
It has since also diversified geographically and into certain
aspects of investment banking.  AF is 25.5%-owned by the
municipality of Astana.


BAKYT-DENTA LTD: Creditors Must File Claims by Nov. 26
------------------------------------------------------
The Specialized Inter-Regional Economic Court of Akmola Region
declared LLP Bakyt-Denta Ltd. insolvent on Sept. 1.

Creditors have until Nov. 26 to submit written proofs of claim
to:

         LLP Bakyt-Denta Ltd.
         Auelbekov Str. 139a-228
         Kokshetau
         Akmola Region
         Kazakhstan
         Tel: 8 (3162) 25-79-32


DOS-DOL LLP: South Kazakhstan Court Starts Bankruptcy Procedure
---------------------------------------------------------------
The Specialized Inter-Regional Economic Court of South
Kazakhstan Region commenced bankruptcy proceedings against
LLP Dos-Dol.

LLP Dos-Dol is located at:

         Momysh-uly Str. 27
         Shymkent
         South Kazakhstan Region
         Kazakhstan


GARANT LLP: Proof of Claim Deadline Slated for Nov. 26
------------------------------------------------------
The Specialized Inter-Regional Economic Court of Mangistau
Region declared LLP Garant insolvent on Sept. 1.  Subsequently,
bankruptcy proceedings were introduced at the company.

Creditors have until Nov. 26 to submit written proofs of claim
to:

         LLP Garant
         Aktau, 27-67-7
         Mangistau Region
         Kazakhstan
         Tel/Fax: 8 (3292) 41-00-42


KONYS COMPANY: Aktube Court Opens Bankruptcy Proceedings
--------------------------------------------------------
The Specialized Inter-Regional Economic Court of Aktube Region
commenced bankruptcy proceedings against LLP Company Konys on
Sept. 19.


MARS CARD: Almaty Court Begins Bankruptcy Proceedings
-----------------------------------------------------
The Specialized Inter-Regional Economic Court of Almaty
commenced bankruptcy proceedings against LLP Firm Mars Card
Holding Proms (RNN 600700533505) on Sept. 15.


MOBILSTROYSERVICE LLP: Claims Filing Period Ends Nov. 26
--------------------------------------------------------
LLP Mobilstroyservice has declared insolvency.  Creditors have
until Nov. 26 to submit written proofs of claim to:

         LLP Mobilstroyservice
         Micro District Tolkyn 3
         Atyrau
         Atyrau Region
         Kazakhstan


ORNEK LLP: Claims Registration Ends Nov. 26
-------------------------------------------
The Specialized Inter-Regional Economic Court of Akmola Region
declared LLP Ornek insolvent on Aug. 15.

Creditors have until Nov. 26 to submit written proofs of claim
to:

         LLP Ornek
         Auelbekov Str. 139a-228
         Kokshetau
         Akmola Region
         Kazakhstan
         Tel: 8 (3162) 25-79-32


TALDYKORGANSVYAZSERVICE LLP: Creditors' Claims Due Nov. 26
----------------------------------------------------------
The Specialized Inter-Regional Economic Court of Almaty Region
declared LLP Taldykorgan Connection Service
Taldykorgansvyazservice declared insolvent on Sept. 6.

Creditors have until Nov. 26 to submit written proofs of claim
to:

         LLP Taldykorgansvyazservice
         Ormanov Str. 49-65
         Taldykorgan
         Almaty Region
         Kazakhstan
         Tel: 8 (32822) 21-28-02
              8 (70155) 8-34-19


TURANALEM FINANCE: Fitch Puts BB+ Rating on EUR500-Mln Eurobond
---------------------------------------------------------------
Fitch Ratings assigned TuranAlem Finance B.V.'s EUR500 million
6.25% eurobond issue due September 2011 a final Long-term BB+
rating.  The issue is guaranteed by Kazakhstan's Bank TuranAlem,
rated foreign currency Issuer Default BB+/Stable, local currency
Issuer Default BBB-/Stable, Short-term foreign currency B,
Short-term local currency F3, Individual C/D, and Support 3.

The issue was made within the framework of BTA's and TAF's
US$3 billion global medium-term note program, rated Long-term
BB+ for senior unsecured foreign currency notes with maturities
in excess of one year and Short-term B for senior unsecured
foreign currency notes with maturities of less than one year.

BTA was the second largest commercial bank in Kazakhstan by IFRS
assets at end-2005, and has top three positions in all major
market segments.  The bank's common stock is owned primarily by
a number of Kazakh investors.


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


AI-PERI LLC: Creditors' Claims Due Dec. 13
------------------------------------------
LLC Manufacturing-Commercial Firm Proizvodstvenno-Kommercheskaya
Firma Ai-Peri has declared insolvency.

Creditors have until Dec. 13 to submit written proofs of claim
to:

         LLC Ai-Peri
         Kalinin Str. 105
         Karakol
         Issyk-Kul Region
         Kyrgyzstan


JINDUO LLC: Claims Registration Ends Dec. 13
--------------------------------------------
LLC Jinduo has declared insolvency.  Creditors have until
Dec. 13 to submit written proofs of claim to:

         LLC Jinduo
         Fere Str. 33
         Bishkek, Kyrgyzstan


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


E-MAC PROGRAM: S&P Rates EUR3.2-Mln Class E Notes at BB
-------------------------------------------------------
Standard & Poor's Ratings Services assigned its preliminary
credit ratings to the residential mortgage-backed floating-rate
notes to be issued by E-MAC Program B.V. Compartment NL
2006-III.
  
The collateral for this transaction comprises mortgage loans to
individuals in The Netherlands.  The originators are GMAC RFC
Nederland B.V., Quion 20 B.V., and Atlas Funding B.V.
  
This is the first transaction under the new multi-issuance
program "E-MAC Program B.V." established by GMAC RFC Nederland.
This program was set up for regular issuance of Dutch RMBS.  For
each transaction, the notes will be issued in segregated
compartments only, this being NL 2006-III.
    
All mortgage loans in the pool will be first-ranking, or,
first- and sequentially lower-ranking, and a cash reserve of
0.4% will be funded at closing.

                       Ratings List
        E-MAC Program B.V. Compartment NL 2006-III
        EUR803.2 Million Residential Mortgage-Backed
                 Floating-Rate Notes
  
                          Prelim.        Prelim.
           Class          rating         amount (Mil. EUR)
           -----          ------         ------  
           A1             AAA            151.2
           A2             AAA            604.8
           B              AA             21.6
           C              A              12.0
           D              BBB            10.4
           E (1)          BB             3.2
  
   (1) The proceeds of the class E notes will be used to
       fund the reserve fund.  These notes provide
       credit enhancement in the capital structure, rather
       than in the form of class subordination.


MONASTERY 2006-I: Moody's Rates EUR5.2-Mln Class E Notes at Ba2
---------------------------------------------------------------
Moody's Investors Service assigned definitive long-term credit
ratings to these Notes to be issued by Monastery 2006-I B.V.:

   -- EUR140,000,000 Senior Class A1 Mortgage-Backed Notes
      due 2044: Aaa;

   -- EUR663,600,000 Senior Class A2 Mortgage-Backed Notes
      due 2044: Aaa;

   -- EUR28,000,000 Mezzanine Class B Mortgage-Backed Notes
      due 2044: Aa2;

   -- EUR28,700,000 Mezzanine Class C Mortgage-Backed Notes
      due 2044: A2;

   -- EUR9,500,000 Junior Class D Notes due 2044: Baa3; and

   -- EUR5,200,000 Subordinated Class E Notes due 2044: Ba2.

Class E is not backed by mortgage principal, but excess margin
from the interest payments from the mortgage loans.

                  Transaction Structure

Monastery 2006-I is the third securitization transaction backed
by residential mortgages originated by DSB Bank N.V. the renamed
former DSB Groep N.V.

A new feature in this transaction in comparison to the two
previous RMBS transactions of DSB is the application of the new
Dutch law (in effect since Oct. 1, 2004).  Under this new Dutch
law the perfection of legal title to the loan receivables may be
achieved without notifying each individual borrower but through
the registration of a Deed of Assignment with either a Dutch
notary or the Dutch tax authorities.  The originator will
transfer the loans using this silent assignment.

The Issuer will finance the acquisition of the mortgage loan
portfolio with funds to be raised through the issuance of notes.
The total initial purchase price of the mortgage loan
receivables will be equal to the net proceeds received from the
issue of the rated classes of Notes, excluding the Class E
Notes.  The Reserve Fund will be partially financed from the
issuance of the Class E Notes; the remaining balance will be
funded out of available excess spread until the target level of
1.25% of the pool balance is reached.

Any repayments received under the mortgage loans will be used to
redeem the notes on a sequential basis in order of seniority
starting with the Class A1 Notes up to the first optional
redemption date.  On and after the first optional redemption
date in May 2012, all Notes will redeem on a pro-rata and pari
passu basis subject to certain target amortization criteria,
which must be met:

   -- The subordination below Class A Notes is 2.5 times
      the initial subordination;

   -- The Reserve Fund must be at its target level;

   -- No debit balance on any Principal Deficiency Ledger;

   -- No outstanding drawings on the liquidity facility; and

   -- Arrears over 60 days must be less than 1.5% of the
      current outstanding balance of Notes.

To the extent any of these criteria are not met, the
amortization will revert back to a sequential redemption
structure.

Any Excess Margin available in the transaction after all other
obligations, including interest payments on Class E notes and
replenishment of the Reserve Fund, have been met in full, will
be used to redeem the Class E Notes until fully redeemed.

The Issuer may also at its option redeem all Notes outstanding
at the First Optional Redemption Date or on any payment date
thereafter.  An interest rate step up mechanism is used to
create an incentive for the issuer to redeem all of the notes on
the optional redemption date at their outstanding principal
balance.  While reviewing this transaction, Moody's has not
taken into account such redemption given the optional nature
thereof.

The Issuer is a special purpose vehicle incorporated under the
laws of the Netherlands with limited liability as a "besloten
vennootschap met beperkte aansprakelijkheid" (B.V.).  The shares
of the Issuer are owned by a foundation established under the
laws of the Netherlands: Stichting Administratiekantoor
Monastery.

              Strengths of the Transaction

   -- the excess spread of 0.5% p.a. in the
      transaction guaranteed via the interest rate swap
      provided by a counterparty rated in compliance
      with Moody's criteria;

   -- the availability of a reserve fund with a target level
      of 1.25% of the notes' initial balance partially funded
      at closing through the issue of the Class E notes
     (0.6%) and further sourced by available excess spread;

   -- protection against losses to senior notes
      through subordination of more junior notes;

   -- the liquidity facility provided by a counterparty rated
      in compliance with Moody's criteria equal to 3.5% of
      the balance of the Notes;

   -- availability of a committed back-up servicer
      (Stater Nederland B.V.);

   -- the transaction does not involve a replenishment period;

   -- none of the pool debtors is self-employed;

   -- the originator provided "months current" data;

   -- the pool is regionally well diversified; and

   -- comparatively low set-off risk.

                   Weaknesses and Mitigants

   -- securitization is a major funding source for
      the originator and hence the pool has limited
      seasoning;

The inherent higher risk is reflected in Moody's analysis but
also by the generally good performance of outstanding
transactions and by fact that DSB began originating mortgages
for third parties in 1996 and consumer loans since 1991.

   -- originator and servicer, DSB Bank N.V., is not rated; and

The uncertainty regarding its credit standing is mitigated by
its nature as regulated entity, its operational capabilities as
servicer and the availability of a back-up servicer.

   -- the underlying mortgage pool has a relatively high LTFV.  

The associated risk and the therefore necessary credit
enhancement have been reflected in the pool analysis and the
cash flow modeling.  The ratings assigned reflect the resulting
expected loss of each tranche.

The ratings address the expected loss posed to investors by the
legal final maturity of the notes.  In Moody's opinion, the
structure allows for timely payment of interest and ultimate
payment of principal with respect to the Notes by the legal
final maturity.  Moody's ratings address only the credit risks
associated with the transaction.  Other non-credit risks have
not been addressed, but may have a significant effect on yield
to investors.

Moody's assigned provisional ratings to these notes on Oct. 3.

Moody's will monitor this transaction on an ongoing basis.


PYATEROCHKA HOLDING: Renames to X5 Retail Group N.V.
----------------------------------------------------
Pyaterochka Holding N.V. will be known as X5 Retail Group N.V.

The new name of the Group reflects the changes that have taken
place in the Company following the merger of Pyaterochka and
Perekriostok retail chains in May 2006 to create a clear leader
of the Russian food retail sector.  This has also been reflected
in the company's new logo -- a sign representing the Roman
letter X, symbolizing multiplication, growth and crossroad, and
the historical number 5.

"Following the merger of Russia's leading retail chains, The
Company entered a new stage in its development which required a
new, modern and dynamic name for the Group reflecting its
ambitious strategic objective to become the main consolidator of
the Russian fragmented food retail market, national champion of
the sector able to compete with multinational companies," Lev
Khasis, Group CEO, commented.

                   About Pyaterochka Holding

Headquartered in the Netherlands, Pyaterochka Holding N.V.  --
http://www.5chka.com/-- operates a large store network largely  
covering the Moscow region and St. Petersburg but also has a
good presence in other Russian regions through its franchise
operations.  The company has recently acquired two of its
successful regional franchise operations -- in Yekaterinburg and
Chelyabinsk.  Pyaterochka's 2004 net revenues were US$1.1
billion.  The company has reported unaudited net revenues of
US$1.4 billion for 2005.

                          *     *     *

As reported in the TCR-Europe on Aug. 29, Moody's Investors
Service downgraded the corporate family rating of Pyaterochka
Holding N.V. to B1 from Ba3.  Moody's said the outlook for the
rating is stable.  

Standard & Poor's Services affirmed its 'BB-' long-term
corporate credit rating on Pyaterochka Holding N.V., the owner
of Russia's largest grocery retail network.  At the same time,
Standard & Poor's affirmed its 'BB-' long-term corporate credit
and 'ruAA-' Russia national scale on Pyaterochka's guaranteed
operating subsidiary OOO Agrotorg.

The 'ruAA-' Russia national scale on the senior unsecured and
senior secured debt issued by related entity Pyaterochka Finance
have also been affirmed.

All were removed from CreditWatch with negative implications,
where they had been placed on April 12, following Pyaterochka's
announced acquisition of Russia's leading supermarket chain
Perekrestok.  S&P said the outlook is negative.


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


NETIA SA: Secures Partial Repayment of EUR150MM Credit Facility
---------------------------------------------------------------
Netia S.A. concluded Oct. 31 a number of agreement partially
securing the repayment of the credit facility of EUR150 million
granted to P4 Spolka z ograniczona odpowiedzialnoscia, Netia's
related entity, by China Development Bank, acting as the
Mandated Lead Arranger and BPH SA, as the Facility Agent and
Security Agent, under the Facility Agreement dated
Oct. 31, 2006.

The Facility agreement provides for a ten-year amortizing term
Facility with a three-year availability period.  The funds will
be used by P4 for the purchase of core equipment for its UMTS
network from Huawei, including the acquisition of transmitter
construction sites and related network construction costs.

In order to facilitate the conclusion of part of the vendor
financing package assumed in P4's original business plans, P4's
shareholders, Netia and Novator, provided certain undertakings
and separate guarantees in direct proportion to their
shareholdings in P4.  

Accordingly, Netia concluded:

    * Under the Share Retention Agreement, Netia provided a
      guarantee to a maximum amount of EUR27 million.  The
      guarantee covers the repayment of 30% of the outstanding
      amounts under one of the tranches of the Facility to be
      applied towards the acquisition of transmitter and core
      network construction sites, and the costs of related civil
      works investments in P4's UMTS network, increased by
      interest and costs.  Furthermore, Netia is obliged to
      ensure that the P4 equity stake currently held by the
      Netia group shall not be disposed of before Aug. 23, 2008.  
      Thereafter, the current shareholders of P4 may not reduce
      their combined holdings below 50% of P4's share capital
      without the prior consent of China Development Bank.

    * Under the Equity Contribution Agreement, Netia and Novator
      One L.P. agreed to ensure that during the scheduled
      Facility repayment period, P4's share capital will be
      increased or the shareholders will grant subordinated
      loans to P4 pro rata to their respective shareholdings in
      P4 to ensure that P4 can meet its obligations up to a
      maximum committed amount of EUR300 million.  The total
      outstanding amount of committed contributions still to be
      made by Netia will not exceed EUR51 million as at the
      agreement execution date.

    * Under the Subordination Agreement, Netia agreed to
      subordinate all of its, and the Netia group's, financial
      receivables due from P4, including any subordinated
      shareholders loans, by giving priority to the receivables
      due under the Facility granted to P4.  The subordination
      does not affect commercial agreements concluded with P4
      and other agreements, once accepted by the creditors on a
      case-by-case basis.  Netia had no such receivables subject
      to subordination as at the date of entering into this
      agreement.

    * Under the Agreement for the Registered and Financial
      Pledges on Shares, Netia Mobile Sp. z o.o. (P4's
      shareholder), established a registered and a financial
      pledge in favor of the Security Agent on its entire equity       
      stake in P4 to secure P4's obligations under the Facility.  

At the same time, under a separate Agreement on Change of
Priority of the Pledges, Netia Mobile Sp. z o.o. agreed that the
registered pledge established in its favor by Telecom Poland
S.a.r.l. on P4's shares in connection with the conclusion of
P4's Shareholders' Agreement be subordinated to the registered
and financial pledges established by Telecom Poland S.a.r.l. on
the same date in favor of the Security Agent to secure P4's
obligations under the Facility.  

Netia's liabilities under the agreements referred to above may
exceed 10% of the value of Netia's current equity.  
Consequently, the agreements are classified as material
agreements.

Headquartered in Warsaw, Poland, Netia S.A. (WSE: NET)
(B+/Stable/) -- http://netia.pl/-- is an alternative fixed-line  
telecommunications operator in Poland.  It operates on the basis
of its own, state-of-the-art fiber-optic backbone network that
connects the largest Polish cities as well as its local access
networks.  Netia provides a broad range of telecommunications
services, including voice, data and network wholesale services.


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


AEROGRAD OJSC: Assets Sale Slated for November 8
------------------------------------------------
LLC Tura Yust, the bidding organizer for OJSC Aerograd, opened a
public auction for the firm's properties at 3:00 p.m. on Nov. 8
at:

         LLC Tura Yust
         5th floor
         Krasina Str. 7a
         625003 Tyumen Region
         Russia

To participate, bidders have until 4:00 p.m. on Nov. 6 to
deposit an amount equivalent to 20 percent of the starting price
to:

         OJSC AEROGRAD (TIN 8609000241, KPP 860901001)
         Zapsibkombank
         OJSC Salekhard
         Settlement Account 40702810300050000455
         Correspondent Account 30101810600000000727
         BIK 047182727

Bidding documents must be submitted to:

         LLC Tura Yust
         5th floor
         Krasina Str. 7a
         625003 Tyumen Region
         Russia

The Debtor can be reached at:

         OJSC Aerograd
         Raduzhnyj Airport
         628460 Khanty-Mansiyskiy Autonomous Region
         Russia


ALCO INTERNATIONAL: Court Names S. Prudnikov to Manage Assets
-------------------------------------------------------------
The Arbitration Court of Moscow appointed Mr. S. Prudnikov as
Insolvency Manager for CJSC Alco International.  He can be
reached at:

         S. Prudnikov
         Post User Box 98
         214031 Smolensk-31
         Russia

The Court commenced bankruptcy proceedings against the company
after finding it insolvent.  The case is docketed under Case No.
A40-37242/06-73-621B.

The Arbitration Court of Moscow is located at:

         Novaya Basmannaya Str. 10
         Moscow Region
         Russia

The Debtor can be reached at:

         CJSC Alco International
         Vorontsovo Pole Str. 2/1
         109028 Moscow Region
         Russia


CHOYSKIY DIARY: Court Names S. Kononenko as Insolvency Manager
--------------------------------------------------------------
The Arbitration Court of Altay Republic appointed Mr. S.
Kononenko as Insolvency Manager for LLC Choyskiy Diary.  He can
be reached at:

         S. Kononenko
         Kirova Str. 62-2
         Borovikha
         Pervomayskiy Region
         658044 Altay Region
         Russia

The Court commenced bankruptcy proceedings against the company
after finding it insolvent.  The case is docketed under Case No.
A02-536/2006.

The Debtor can be reached at:

         LLC Choyskiy Diary
         Pushkina Str. 21
         Choya
         Choyskiy Region
         Altay Republic
         Russia


DALNEVOSTOCHNAYA STOCK: Court Starts Bankruptcy Supervision
-----------------------------------------------------------
The Arbitration Court of Amur Region commenced bankruptcy
supervision procedure on OJSC Dalnevostochnaya Stock Insurance
Company Amur (TIN/KPP 2801016197/280001001).  The case is
docketed under Case No. A04-3320/06-7/216 B.

The Temporary Insolvency Manager is:

         M. Fedyaev
         A. Zhivova Str. 6
         123100 Moscow Region
         Russia

The Debtor can be reached at:

         OJSC Dalnevostochnaya Stock Insurance Company Amur
         Pushkina Str. 40
         Blagoveshensk
         675002 Amur Region
         Russia


LOBVA: Sverdlovsk Court Starts Bankruptcy Supervision Procedure
---------------------------------------------------------------
The Arbitration Court of Sverdlovsk Region commenced bankruptcy
supervision procedure on LLC Timber Industry Combine Lobva.  The
case is docketed under Case No. A60-19739/06-S11.

The Temporary Insolvency Manager is:

         K. Zelyutin
         Post User Box 366
         620015 Ekaterinburg Region
         Russia

The Arbitration Court of Sverdlovsk Region is located at:

         Lenina Pr. 34
         620151 Ekaterinburg Region
         Russia  

The Debtor can be reached at:

         LLC Timber Industry Combine Lobva
         Zavodslaya Str. 4
         Lobva
         Novolyalinskiy Region
         624420 Sverdlovsk Region
         Russia


MURMANSK-STROM: Court Names S. Ryzhkov as Insolvency Manager
------------------------------------------------------------
The Arbitration Court of Murmansk Region appointed Mr. S.
Ryzhkov as Insolvency Manager for OJSC Murmansk-Strom.  He can
be reached at:

         S. Ryzhkov
         Office 719
         Knipovicha Str.  23
         183039 Murmansk Region
         Russia

The Court commenced bankruptcy proceedings against the company
after finding it insolvent.  The case is docketed under Case No.
A42-4543/2006.

The Arbitration Court of Murmansk Region is located at:

         Knipovicha Str. 20
         Murmansk Region
         Russia

The Debtor can be reached at:

         OJSC Murmansk-Strom
         S. Perovskoj Str. 25/26
         Murmansk Region
         Russia


NEREKHTA-BREAD: Kostroma Bankruptcy Hearing Slated for Nov. 16
--------------------------------------------------------------
The Arbitration Court of Kostroma Region will convene on Nov. 16
to hear the bankruptcy supervision procedure on OJSC Nerekhta-
Bread.  The case is docketed under Case No. A31-4869/2006-12.

The Temporary Insolvency Manager is:

         V. Vasechkin
         Svobody Square 1
         Nerekhta
         157800 Kostroma Region
         Russia

The Debtor can be reached at:

         OJSC Nerekhta-Bread
         Nerekhta
         157500 Kostroma Region
         Russia


NOMOS CAPITAL: Fitch Assigns Final B- Rating to US$125-MM Notes
---------------------------------------------------------------
Fitch Ratings assigned NOMOS Capital S.A.'s US$125 million issue
of 9.25% limited recourse loan participation notes with a 10-
year maturity a final Long-term B- rating and a final Recovery
Rating RR6.  

The notes are to be used solely for financing a subordinated
loan to Russia's NOMOS Bank, rated Issuer Default B+/Stable,
Short-term B, Support 5, Individual D, and National Long-term A-
/Stable.

NOMOS Capital S.A. will only pay noteholders amounts, if any,
received from NOMOS under the subordinated loan agreement.  

NOMOS is ranked among the 20 largest Russian banks by total
assets.  It is primarily a corporate bank, but is also active in
precious metals and securities trading and is developing retail
banking to a limited extent.


PYATEROCHKA HOLDING: Renames to X5 Retail Group N.V.
----------------------------------------------------
Pyaterochka Holding N.V. will be known as X5 Retail Group N.V.

The new name of the Group reflects the changes that have taken
place in the Company following the merger of Pyaterochka and
Perekriostok retails chains in May 2006 to create a clear leader
of the Russian food retail sector. This has also been reflected
in the company's new logo -- a sign representing the Roman
letter X, symbolizing multiplication, growth and crossroad, and
the historical number 5.

"Following the merger of Russia's leading retail chains, The
Company entered a new stage in its development which required a
new, modern and dynamic name for the Group reflecting its
ambitious strategic objective to become the main consolidator of
the Russian fragmented food retail market, national champion of
the sector able to compete with multinational companies," Lev
Khasis, Group CEO, commented.

                   About Pyaterochka Holding

Headquartered in the Netherlands, Pyaterochka Holding N.V.  --
http://www.5chka.com/-- operates a large store network largely   
covering the Moscow region and St. Petersburg but also has a
good presence in other Russian regions through its franchise
operations.  The company has recently acquired two of its
successful regional franchise operations -- in Yekaterinburg and
Chelyabinsk.  Pyaterochka's 2004 net revenues were US$1.1
billion.  The company has reported unaudited net revenues of
US$1.4 billion for 2005.

                          *     *     *

As reported in the TCR-Europe on Aug. 29, Moody's Investors
Service downgraded the corporate family rating of Pyaterochka
Holding N.V. to B1 from Ba3.  Moody's said the outlook for the
rating is stable.  

Standard & Poor's Services affirmed its 'BB-' long-term
corporate credit rating on Pyaterochka Holding N.V., the owner
of Russia's largest grocery retail network.  At the same time,
Standard & Poor's affirmed its 'BB-' long-term corporate credit
and 'ruAA-' Russia national scale on Pyaterochka's guaranteed
operating subsidiary OOO Agrotorg.

The 'ruAA-' Russia national scale on the senior unsecured and
senior secured debt issued by related entity Pyaterochka Finance
have also been affirmed.

All were removed from CreditWatch with negative implications,
where they had been placed on April 12, following Pyaterochka's
announced acquisition of Russia's leading supermarket chain
Perekrestok.  S&P said the outlook is negative.


REVDINSKIY WOODWORKING: Court Starts Bankruptcy Supervision
-----------------------------------------------------------
The Arbitration Court of Sverdlovsk Region commenced bankruptcy
supervision procedure on CJSC Revdinskiy Woodworking Plant.  The
case is docketed under Case No. A60-18242/2006-S11.

The Temporary Insolvency Manager is:

         V. Maksimov
         Post User Box 58
         620076 Ekaterinburg Region
         Russia

The Arbitration Court of Sverdlovsk Region is located at:

         Lenina Pr. 34
         620151 Ekaterinburg Region
         Russia  

The Debtor can be reached at:

         CJSC Revdinskiy Woodworking Plant
         Nakhimova Str. 1
         Revda
         Sverdlovsk Region
         Russia


ROSNEFT OIL: Denies Plans to Raise US$24.5-Bln Loan to Buy Yukos
----------------------------------------------------------------
OAO Rosneft Oil Co. denies reports that it may raise a US$24.5
billion loan from seven western banks with a view to acquiring
bankrupt OAO Yukos Oil Co., RosBusinessConsulting says.

Rosneft told RBC that its board of directors has not convened on
the matter and that it does not plan to discuss it any time
soon.

According to Kommersant Daily last month, Rosneft has reportedly
approached its Western creditor banks, which include Deutsche
Bank, to organize between US$15 billion and US$20 billion in
loans, which will be used to purchase Yukos' assets to be sold
at auction by August 2007.   Russian market sources said that
the banks, which lent US$7.5 billion to ROsneft in 2005,
include:

         -- ABN Amro
         -- Barclays Capital
         -- Dresdner Kleinwort
         -- JP Morgan
         -- Morgan Stanley.

Rosneft First Vice President Nikolai Borisenko confirmed its
interest in Yukos assets saying that the company will have to
resort to loans for the acquisition.  According to Kommersant,
MDM-bank analyst Andrey Gromadin estimated the assets to be
worth about US$20 billion-US$23 billion; Alfa-bank analyst
Konstantin Batunin estimates them at around US$15 billion.

As reported in the TCR-Europe on Sept. 19, Rosneft Vice
President Peter O'Brian said the company might buy some assets
from Yukos to optimize the balance between oil refining and
production.  He said that the company had no plans to purchase
assets abroad, but indicated plans to swap some assets for oil
refineries in China.  The company, however, was ready to
consider purchasing oil assets in the Bashkortostan Republic if
the move proved to be economically expedient.

                         About Yukos

Headquartered in Moscow, Yukos Oil -- http://yukos.com/-- is an    
open joint stock company existing under the laws of the Russian
Federation.  Yukos is involved in energy industry substantially
through its ownership of its various subsidiaries, which own or
are otherwise entitled to enjoy certain rights to oil and gas
production, refining and marketing assets.

The Company filed for Chapter 11 protection Dec. 14, 2004
(Bankr. S.D. Tex. Case No. 04-47742), but the case was dismissed
on Feb. 24, 2005, by the Hon. Letitia Z. Clark.  A few days
later, the Government sold its main production unit Yugansk, to
a little-known firm Baikalfinansgroup for US$9.35 billion, as
payment for US$27.5 billion in tax arrears for 2000- 2003.
Yugansk eventually was bought by state-owned Rosneft, which is
now claiming more than US$12 billion from Yukos.

On March 10, a 14-bank consortium led by Societe Generale filed
a bankruptcy suit in the Moscow Arbitration Court in an attempt
to recover the remainder of a US$1 billion debt under
outstanding loan agreements.  The banks, however, sold the claim
to Rosneft, prompting the Court to replace them with the state-
owned oil company as plaintiff.

On April 13, court-appointed external manager Eduard Rebgun
filed a chapter 15 petition in the U.S. Bankruptcy Court for the
Southern District of New York (Bankr. S.D.N.Y. Case No. 06-
0775), in an attempt to halt the sale of Yukos' 53.7% ownership
interest in Lithuanian AB Mazeikiu Nafta.

On May 26, Yukos signed a US$1.49 billion Share Sale and
Purchase Agreement with PKN Orlen S.A., Poland's largest oil
refiner, for its Mazeikiu ownership stake.  The move was made a
day after the Manhattan Court lifted an order barring Yukos from
selling its controlling stake in the Lithuanian oil refinery.

On Aug. 1, the Hon. Pavel Markov of the Moscow Arbitration Court
upheld creditors' vote to liquidate OAO Yukos Oil Co. and
declared what was once Russia's biggest oil firm bankrupt.  The
expected court ruling paves the way for the company's
liquidation and auction.

                         About Rosneft

Headquartered in Moscow, Russia, OAO Rosneft --
http://www.rosneft.ru/eng-- produces and markets petroleum   
products.  The Company explores for, extracts, refines and
markets oil and natural gas.  Rosneft produces oil in Western
Siberia, Sakhalin, the North Caucasus and the Arctic regions of
Russia.

                        *     *     *

Standard & Poor's assigned BB ratings to Rosneft's long-term and
local foreign issuer credit in 2006, while Fitch assigned BB+
ratings to the Company's foreign currency and local currency
long-term debt in 2005.


RUS'-INVEST: Moscow Court Names S. Suvorov as Insolvency Manager
----------------------------------------------------------------
The Arbitration Court of Moscow appointed Mr. S. Suvorov as
Insolvency Manager for CJSC Investment Company Rus'-Invest.  He
can be reached at:

         S. Suvorov
         Post User Box 183
         127018 Moscow Region
         Russia

The Court commenced bankruptcy proceedings against the company
after finding it insolvent.  The case is docketed under Case No.
A40-15392/06-101-57B.

The Arbitration Court of Moscow is located at:

         Novaya Basmannaya Str. 10
         Moscow Region
         Russia

The Debtor can be reached at:

         CJSC Investment Company Rus'-Invest
         Building 1
         Entuziastov Shosse 76/1
         Moscow Region
         Russia


RUSSIAN GOLD: Court Names S. Suvorov as Insolvency Manager
----------------------------------------------------------
The Arbitration Court of Moscow Region appointed Mr. S. Suvorov
as Insolvency Manager for CJSC Russian Gold.  He can be reached
at:

         S. Suvorov
         Post User Box 183
         127018 Moscow Region
         Russia

The Court commenced bankruptcy proceedings against the company
after finding it insolvent.  The case is docketed under Case No.
A40-44718/06-103-803B.

The Arbitration Court of Moscow is located at:

         Novaya Basmannaya Str. 10
         Moscow Region
         Russia

The Debtor can be reached at:

         CJSC Russian Gold
         Krymskiy Val Str. 8
         117049 Moscow Region
         Russia


SIBACADEMBANK: Fitch Affirms Issuer Default Rating at B
-------------------------------------------------------
Fitch Ratings affirmed Russia-based Sibacadembank's ratings at
Issuer Default B with a Stable Outlook, Short-term B, Individual
D, and Support 5.  Also, Fitch assigned expected ratings of
Recovery RR4 and Long-term B to SAB's upcoming senior unsecured
eurobond issue.

SAB's ratings reflect the credit and operational risks arising
from the bank's very rapid ongoing and planned loan growth,
modest capitalization and reliance on capital markets access to
fund further capital increases, as well as the relatively high-
risk Russian operating environment.  At the same time, the
ratings also consider the bank's strong regional franchise,
continued sound asset quality and performance and low market
risk appetite.

SAB's planned merger with the smaller Uralvneshtorgbank in 2006
or Q107 should result in a further strengthening and
geographical diversification of the franchise, while also
increasing scale and offering opportunities for efficiency
gains.  UVTB has common shareholders with SAB and a broadly
similar business model, and has also recorded high loan growth
rates and good profit margins.

Asset quality is somewhat weaker at UVTB than at SAB, reflecting
the higher proportion of more risky unsecured retail lending at
the former.  The merged bank will be called URSA-Bank.

Upward pressure on SAB's ratings could result from a
strengthening of capitalization or a slowdown in loan growth,
although Fitch regards the latter as unlikely in the near term.
A further strengthening of the bank's franchise, an extension of
the track record of acceptable asset quality and improvements in
the Russian operating environment could also contribute to an
upgrade.

A deterioration of asset quality in the context of the current
very rapid growth, possibly coupled with impaired access to
international markets for both capital and liability funding
purposes, is viewed by Fitch as the most likely source of
potential downward pressure on the ratings.

SAB is one of the leading banks in the Siberian Federal District
and ranked 31st in Russia by total assets at end-H106.  Business
of both banks is focused on lending to local retail customers
and small and medium-sized enterprises.  

Three individuals together hold a majority stake in the voting
stock of SAB, and will also have a majority stake in the merged
URSA-Bank.  The EBRD currently has a blocking 25% stake in SAB,
and the EBRD and Germany's DEG are expected to hold a combined
stake of at least 25% in URSA-Bank from April 2007.


SKOPIN-AGRO-SNAB: Ryazan Bankruptcy Hearing Slated for Jan. 23
--------------------------------------------------------------
The Arbitration Court of Ryazan Region will convene at noon on
Jan. 23, 2007, to hear the bankruptcy supervision procedure on
OJSC Skopin-Agro-Snab.  The case is docketed under Case No.
A54-3452/2006-S20.

The Temporary Insolvency Manager is:

         L. Androsov
         Post User Box 269
         390039 Ryazan Region
         Russia

The Arbitration Court of Ryazan Region is located at:

         Pochtovaya Str. 43/44
         Ryazan Region
         Russia

The Debtor can be reached at:

         OJSC Skopin-Agro-Snab
         Skopin
         391830 Ryazan Region
         Russia


SIB-GAS-PRIBOR: Court Names V. Kravchenko as Insolvency Manager
---------------------------------------------------------------
The Arbitration Court of Tyumen Region appointed Mr. V.
Kravchenko as Insolvency Manager for CJSC Sib-Gas-Pribor.  He
can be reached at:

         V. Kravchenko
         Office 242
         Melnikayte Str. 106
         625026 Tyumen Region
         Russia

The Court commenced bankruptcy proceedings against the company
after finding it insolvent.  The case is docketed under Case No.
A70-2300/3-2006.

The Arbitration Court of Tyumen Region is located at:

         Khokhryakova Str. 77
         627000 Tyumen Region
         Russia

The Debtor can be reached at:

         JSC Sib-Gas-Pribor
         Velizhanskiy Trakt 6km
         625059 Tyumen Region
         Russia


SOUTHERN TELECOM: Names Ruslan Bulguchev to Head Stavropol Unit
---------------------------------------------------------------
The Board of Directors of Southern Telecommunications Company
PJSC and General Director Alexander Andreev appointed Ruslan
Bulguchev, former Deputy Director General of UTK for regional
policy in the sphere of telecommunications, as Deputy Director
General- Director of the Stavropol branch.

Mr. Bulguchev was born in 1960 in the town of Pavlodar of the
Kazakh Republic.  He has been working in the telecommunications
sector since 1975.  He graduated from the Moscow Technical
University of Communications and Informatics with a diploma of
telecommunications engineer.

In 1997-2005, Mr. Bulguchev was the Chairman of the State
Communications Committee of the Ingush Republic, General
Director of FGUP Directorate of Communications of the Ingush
Republic. In November 2005 he was appointed Deputy Director
General of UTK PJSC for regional policy in the sphere of
telecommunications.

At the post, Mr. Bulguchev replaced Alexander Roitblat who had
died in the automobile accident.

Deputy Director General of Svyazinvest OJSC Stanislav Panchenko
and General Director of "UTK" PJSC Alexander Andreev presented
the new appointed director at the meeting with top executives
and trade-union bosses of the branch.

The management believes that the main task of the work
collective remains the retaining and strengthening of UTK's
positions in the Stavropol Kray.  Necessity of high interaction
with regional authorities to solve social problems and to
realize priority national projects was emphasized.  Existing
resources conservation and deployment of new communication
technologies and services will ensure the branch's financial
results growth and increase in tax proceeds to regional and
local budgets.

Capacity of the telephone network of the Stavropol branch of
"UTK" PJSC exceeds 670,000 lines. During the nine months of 2006
the branch transferred 344 million rubles of taxes to all kinds
of budgets, 121 million rubles of them -- to regional and local
budgets.

                       About the Company

Headquartered in Krasnodar, Russia, Southern Telecommunications
Co. -- http://www.stcompany.ru/-- provides local, long-
distance, and cellular telephone, paging and telegraph services.

                        *     *     *

As reported in the TCR-Europe on Oct. 30, Standard & Poor's
Ratings Services raised its long-term corporate credit rating on
Russia-based fixed-line telecommunications operator Southern
Telecommunications Co. (OJSC) to 'B-' from 'CCC+', in light of
the company's improving financial risk profile.  S&P said the
outlook is stable.
     
At the same time, Standard & Poor's raised its long-term Russia
national scale rating on STC to 'ruBBB' from 'ruBB'.  STC is the
incumbent fixed-line telecoms operator in the southern region of
Russia.
     
Southern Telecommunications carries Moody's Investors' Service's
Caa1 issuer rating and B3 long-term corporate family rating
since 2004.  


TIMBER MILL 1: Court Starts Bankruptcy Supervision Procedure
------------------------------------------------------------
The Arbitration Court of Sverdlovsk Region commenced bankruptcy
supervision procedure on LLC Timber Mill 1.  The case is
docketed under Case No. A60-15713/2006-S11.

The Temporary Insolvency Manager is:

         P. Podporin
         Belinskogo Str. 34.211
         GSP-573
         620219 Ekaterinburg Region
         Russia

The Arbitration Court of Sverdlovsk Region is located at:

         Lenina Pr. 34
         620151 Ekaterinburg Region
         Russia  

The Debtor can be reached at:

         LLC Timber Mill 1
         Zavodskaya Str. 1-a
         Chernoyarka
         624970 Sverdlovsk Region
         Russia


TIMBER MILL 34: Court Names A. Shabalin as Insolvency Manager
-------------------------------------------------------------
The Arbitration Court of Arkhangelsk Region appointed Mr. A.
Shabalin as Insolvency Manager for OJSC Timber Mill 34.  He can
be reached at:

         A. Shabalin
         Post User Box 181
         163000 Arkhangelsk Region
         Russia

The Court commenced bankruptcy proceedings against the company
after finding it insolvent.  The case is docketed under Case No.
A05-10060/05-21.

The Arbitration Court of Arkhangelsk Region is located at:

         Loginova Str. 17
         163069 Arkhangelsk Region
         Russia

The Debtor can be reached at:

         OJSC Timber Mill 34
         Mankevicha Str. 13
         Onega
         Arkhangelsk Region
         Russia


URAL-MARBLE CJSC: Court Names A. Lavrov as Insolvency Manager
-------------------------------------------------------------
The Arbitration Court of Chelyabinsk Region appointed Mr.
Chelyabinsk as Insolvency Manager for CJSC Ural-Marble (TIN
7415022981).  He can be reached at:

         A. Lavrov
         Post User Box 2234
         Zlatoust
         456208 Chelyabinsk Region
         Russia

The Court commenced bankruptcy proceedings against the company
after finding it insolvent.  The case is docketed under Case No.
A76-15870/06-60-156.

The Arbitration Court of Chelyabinsk Region is located at:

         Vorovskogo Str. 2
         454091 Chelyabinsk Region
         Russia

The Debtor can be reached at:

         CJSC Ural-Marble
         Turgoyakskoye Shosse
         Miass
         456382 Chelyabinsk Region
         Russia


VNESHTORGBANK JSC: Renaming Subsidiaries to VTB Bank
----------------------------------------------------
Vneshtorgbank JSC will re-brand all its local and foreign units
to VTB Bank to enhance the bank's international recognition,
Kommersant reports.

All of the company's subsidiaries will carry the "VTB Bank"
brand and the base country.  The group's German unit, Ost-West
Handelsbank, has been renamed to VTB Bank AG Europe.

The re-branding will also affect the company's units in:

   -- Armenia, Georgia, Ukraine and Cyprus (Russian Commercial
      Bank, Cyprus),

   -- Switzerland (Russian Commercial Bank, Zurich),

   -- France (BCEN-Eurobank), and

   -- Austria (Donau Bank).

The company's London unit, Moscow Narodny Bank, would be renamed
to VTB Bank Europe without indicating a definite country.

The renaming, however, will not include its Georgian unit, which
name will be spelled in Roman.

The company decided to re-brand Vneshtorgbank to VTB Bank since
the former is hardly pronounceable for foreign investors.

Swiss Interbrand handled VTB's rebranding for US$2 million.

                       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.

                        *     *     *

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.


VNESHTORGBANK JSC: Lack of Related Law Hits Promstroybank Merger
----------------------------------------------------------------
Shareholders of Vneshtorgbank JSC failed to vote over the
company's merger with Industry & Construction Bank of St.
Petersburg (Promstroybank), CBonds says.

According to unofficial reports cited by Cbonds, the merger, is
hampered by the absence of pertinent presidential law, which
would allow the company to dilute the state share in its
capital.

Vneshtorgbank is one of the Russian strategic enterprises that
need Presidential legislation before making crucial decisions.

Vneshtorgbank currently owns 75% plus three shares of
Promstroybank.  The company has rise in operating volumes and
profit in the first half of 2006 to its acquisition of
Promstroybank.  The regional bank's shareholders has already
approved of a takeover by VTB.

As reported in the TCR-Europe on Oct. 27, once a decision for
takeover is reached, Vneshtorgbank will apply for approval from
the Russian government.

Headquartered in St. Petersburg, Russia, Industry and
Construction Bank -- http://www.icbank.ru/-- engages in  
universal banking with a special franchise in corporate finance
and investment banking.

                       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.

                        *     *     *

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.


YUKOS OIL: Rosneft Denies Plans to Raise US$24.5-Bln Bank Loan
--------------------------------------------------------------
OAO Rosneft Oil Co. denies reports that it may raise a US$24.5
billion loan from seven western banks with a view to acquiring
bankrupt OAO Yukos Oil Co., RosBusinessConsulting says.

Rosneft told RBC that its board of directors has not convened on
the matter and that it does not plan to discuss it any time
soon.

According to Kommersant Daily last month, Rosneft has reportedly
approached its Western creditor banks, which include Deutsche
Bank, to organize between US$15 billion and US$20 billion in
loans, which will be used to purchase Yukos' assets to be sold
at auction by August 2007.   Russian market sources said that
the banks, which lent US$7.5 billion to ROsneft in 2005,
include:

         -- ABN Amro
         -- Barclays Capital
         -- Dresdner Kleinwort
         -- JP Morgan
         -- Morgan Stanley.

Rosneft First Vice President Nikolai Borisenko confirmed its
interest in Yukos assets saying that the company will have to
resort to loans for the acquisition.  According to Kommersant,
MDM-bank analyst Andrey Gromadin estimated the assets to be
worth about US$20 billion-US$23 billion; Alfa-bank analyst
Konstantin Batunin estimates them at around US$15 billion.

As reported in the TCR-Europe on Sept. 19, Rosneft Vice
President Peter O'Brian said the company might buy some assets
from Yukos to optimize the balance between oil refining and
production.  He said that the company had no plans to purchase
assets abroad, but indicated plans to swap some assets for oil
refineries in China.  The company, however, was ready to
consider purchasing oil assets in the Bashkortostan Republic if
the move proved to be economically expedient.

                        About Rosneft

Headquartered in Moscow, Russia, OAO Rosneft --
http://www.rosneft.ru/eng-- produces and markets petroleum   
products.  The Company explores for, extracts, refines and
markets oil and natural gas.  Rosneft produces oil in Western
Siberia, Sakhalin, the North Caucasus and the Arctic regions of
Russia.

                         About Yukos

Headquartered in Moscow, Yukos Oil -- http://yukos.com/-- is an    
open joint stock company existing under the laws of the Russian
Federation.  Yukos is involved in energy industry substantially
through its ownership of its various subsidiaries, which own or
are otherwise entitled to enjoy certain rights to oil and gas
production, refining and marketing assets.

The Company filed for Chapter 11 protection Dec. 14, 2004
(Bankr. S.D. Tex. Case No. 04-47742), but the case was dismissed
on Feb. 24, 2005, by the Hon. Letitia Z. Clark.  A few days
later, the Government sold its main production unit Yugansk, to
a little-known firm Baikalfinansgroup for US$9.35 billion, as
payment for US$27.5 billion in tax arrears for 2000- 2003.
Yugansk eventually was bought by state-owned Rosneft, which is
now claiming more than US$12 billion from Yukos.

On March 10, a 14-bank consortium led by Societe Generale filed
a bankruptcy suit in the Moscow Arbitration Court in an attempt
to recover the remainder of a US$1 billion debt under
outstanding loan agreements.  The banks, however, sold the claim
to Rosneft, prompting the Court to replace them with the state-
owned oil company as plaintiff.

On April 13, court-appointed external manager Eduard Rebgun
filed a chapter 15 petition in the U.S. Bankruptcy Court for the
Southern District of New York (Bankr. S.D.N.Y. Case No. 06-
0775), in an attempt to halt the sale of Yukos' 53.7% ownership
interest in Lithuanian AB Mazeikiu Nafta.

On May 26, Yukos signed a US$1.49 billion Share Sale and
Purchase Agreement with PKN Orlen S.A., Poland's largest oil
refiner, for its Mazeikiu ownership stake.  The move was made a
day after the Manhattan Court lifted an order barring Yukos from
selling its controlling stake in the Lithuanian oil refinery.

On Aug. 1, the Hon. Pavel Markov of the Moscow Arbitration Court
upheld creditors' vote to liquidate OAO Yukos Oil Co. and
declared what was once Russia's biggest oil firm bankrupt.  The
expected court ruling paves the way for the company's
liquidation and auction.


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


BOMBARDIER INC.: Fitch Downgrades Issuer Default Rating to BB-
--------------------------------------------------------------
Fitch Ratings downgraded the debt and Issuer Default Ratings for
both Bombardier Inc. and Bombardier Capital Inc.:

Bombardier Inc.

   -- IDR to BB- from BB;
   -- Senior unsecured debt to BB- from BB;
   -- Credit facilities to BB- from BB; and
   -- Preferred stock to B from B+.

Bombardier Capital Inc.

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

The ratings are removed from Rating Watch Negative, where they
were placed on Oct. 23 over concerns about potential changes in
Bombardier's financial strategy.  The Rating Outlook is Stable.

Fitch also expects to assign a BB- rating to Bombardier's
proposed EUR1.8 billion issuance of senior unsecured bonds.  The
rating actions listed above are based on the expectation that
Bombardier will complete the bond issuance, a related tender
offer, and the proposed new letter of credit facility as
described in materials distributed by the company.

These ratings cover outstanding debt and preferred stock
totaling approximately US$4.2 billion, which could rise to more
than US$5.0 billion after the pending tender offer and bond
issuance are completed.  Due to the existence of a support
agreement and demonstrated support by the parent, BC's ratings
are linked to those of BI.

The downgrade is based on what Fitch considers to be a change in
Bombardier's financial strategy, which had included plans for
significant debt reduction.  Fitch's previous ratings had
incorporated expectations for debt reduction in fiscal 2007, and
possibly in fiscals 2008 and 2009.

Bombardier recently announced three financial transactions which
will offset most of the approximately US$1 billion of debt
reduction achieved so far in fiscal 2007 and will likely defer
additional debt reduction to beyond fiscal 2009.  

The transactions extend debt maturities, resolve some possible
covenant pressures in fiscal 2008 and lower Bombardier's LC
fees.  However, Fitch believes that the transactions will result
in Bombardier having higher leverage that is in line with the
new rating level.

Pro forma for the financial transactions, Fitch estimates that
fiscal 2007 consolidated gross leverage will be in the 4.6x-4.9x
range.  Fitch estimates that consolidated net leverage will be
in the 2.6x-2.9x range, although Fitch estimates that net
leverage will be higher for most of fiscal 2008 due to
Bombardier's seasonal working capital needs.  After the
financial transactions, all debt will be located at BI with the
exception of BC's GBP300 million issue due in May 2009 and
untendered bonds, if any.

The net leverage estimates assume US$1.8 billion-US$2.2 billion
of unrestricted cash balances at the end of F2007.  Bombardier
will also have approximately US$1.0 billion of restricted cash
balances related to the new LC facility.  

These restricted cash balances are not available for liquidity
purposes or for the benefit of unsecured bondholders.  
Bombardier's unrestricted cash balances will be the company's
sole source of liquidity because the new LC facility is not
available on a revolving credit basis.

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

Concerns include the variability of free cash flow due to order
flow at BT and Bombardier Aerospace; continued low margins and
free cash flow; the levels of consolidated gross debt compared
to EBITDA 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
regional jet concerns, including weak orders, uncertainty
regarding development of new aircraft models, and contingent
obligations related to past aircraft sales.

Previously, Fitch calculated BI's credit metrics on a
deconsolidated basis accounting for BC as an equity investment.
This methodology was used for several reasons: consistency with
the way other industrial companies with sizable finance
subsidiaries are evaluated in the credit markets; the size of
BC's operations and the amount of BC's outstanding debt; the
fact that BC's debt was neither an obligation of BI nor
guaranteed by BI; and the calculation of BI's covenants, which
excluded BC.

Going forward Fitch will calculate Bombardier's credit metrics
on a consolidated basis, for the following reasons.  BC's assets
and pro forma debt have declined substantially in the past
several years.  In addition, Bombardier's covenants will be
calculated on a consolidated basis for the new LC facility.
Finally, Bombardier revised some of its financial reporting
earlier this year, and it now reports only consolidated
financial results.


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


KARM LLC: Court Names Yurij Ushach as Insolvency Manager
--------------------------------------------------------
The Economic Court of Chernigiv Region appointed Yurij Ushach as
Liquidator/Insolvency Manager for LLC Karm (code EDRPOU
14227010).  

The Court commenced bankruptcy proceedings against the company
after finding it insolvent on Sept. 12.  The case is docketed
under Case No. 4/283 B.

The Economic Court of Chernigiv Region is located at:

         Miru Avenue 20
         14000 Chernigiv Region
         Ukraine

The Debtor can be reached at:

         LLC Karm
         Nosivskij shlyah Str. 19a
         Nizhin
         Chernigiv Region
         Ukraine


KARSAN AVTOTRANS: Lviv Court Starts Bankruptcy Supervision
----------------------------------------------------------
The Economic Court of Lviv Region commenced bankruptcy
supervision procedure on LLC Karsan Avtotrans (code EDRPOU
31979428).  The case is docketed under Case No. 6/150-8/233.

The Temporary Insolvency Manager is:

         Igor Bolyak
         Strimka Str. 4/8
         79019 Lviv Region
         Ukraine

The Economic Court of Lviv Region is located at:

         Lichakivska Str. 81
         79010 Lviv Region
         Ukraine

The Debtor can be reached at:

         LLC Karsan Avtotrans
         Brativ Lisikiv Str. 1A
         Borislav
         Lviv Region
         Ukraine


LAN LLC: Court Names Zhmerinka Tax Inspection as Liquidator
-----------------------------------------------------------
The Economic Court of Vinnitsya Region appointed Zhmerinka
Regional State Tax Inspection as Liquidator for Agricultural LLC
Lan (code EDRPOU 03729761).

The Court commenced bankruptcy proceedings against the company
after finding it insolvent on Sept. 7.  The case is docketed
under Case No. 5/247-06.

The Economic Court of Vinnitsya Region is located at:

         Hmelnitske Shose 7
         21036 Vinnitsya Region
         Ukraine

The Debtor can be reached at:

         Agricultural LLC Lan
         Kopistirin.
         Shargorodskij District
         Vinnitsya Region
         Ukraine


LINDA LLC: Court Names E. Golub as Liquidator/Insolvency Manager
----------------------------------------------------------------
The Economic Court of Donetsk Region appointed Mr. E. Golub as
Liquidator/Insolvency Manager for LLC LINDA (code EDRPOU
962215).

The Court commenced bankruptcy proceedings against the company
after finding it insolvent on Aug. 30.  The case is docketed
under Case No. 27/139 B.

The Economic Court of Donetsk Region is located at:

         Artema Str. 157
         83048 Donetsk Region
         Ukraine

The Debtor can be reached at:

         LLC Linda
         Azizbekov Str. 51/2
         83108 Donetsk Region
         Ukraine


MAMADU LLC: Court Names Ludmila Zayikina as Insolvency Manager
--------------------------------------------------------------
The Economic Court of Kyiv Region appointed Ludmila Zayikina as
Liquidator/Insolvency Manager for LLC Creative Association
Mamadu (code EDRPOU 30637580).

The Court commenced bankruptcy proceedings against the company
after finding it insolvent on Sept. 15.  The case is docketed
under Case No. 43/631.

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 Creative Association Mamadu
         Ivan Shevtsov Str. 1
         03113 Kyiv Region
         Ukraine


MAYAK LLC: Sumi Court Starts Bankruptcy Supervision
---------------------------------------------------
The Economic Court of Sumi Region commenced bankruptcy
supervision procedure on LLC Mayak (code EDRPOU 30880582).  The
case is docketed under Case No. 8/385-06.

The Temporary Insolvency Manager is:

         Andrij Savochka
         Office 39
         Sumsko-Kiyivskih divizij Str. 20
         40024 Sumi Region
         Ukraine

The Economic Court of Sumi Region is located at:

         Shevchenko Avenue 18/1
         40030 Sumi Region
         Ukraine

The Debtor can be reached at:

         LLC Mayak
         Gagarin Str. 17
         Verhnya Sagarivka
         Burinskij District
         Sumi Region
         Ukraine


REINFORCED METALS: Donetsk Court Starts Bankruptcy Supervision
--------------------------------------------------------------
The Economic Court of Donetsk Region commenced bankruptcy
supervision procedure on OJSC Reinforced Metals and Concrete
Products and Constructions (code EDRPOU 00168544) on Aug. 18.
The case is docketed under Case No. 5/134 B.

The Temporary Insolvency Manager is:

         M. Kondratyeva
         Gorkij Str. 34
         83086 Donetsk Region
         Ukraine         

The Economic Court of Donetsk Region is located at:

         Artema Str. 157
         83048 Donetsk Region
         Ukraine

The Debtor can be reached at:

         OJSC Reinforced Metals and Concrete Products
         and Constructions                  
         Repin Str.
         Makiyivka
         86129 Donetsk Region
         Ukraine


UKRAINA-SICH: Kyiv Court Starts Bankruptcy Supervision Procedure
----------------------------------------------------------------
The Economic Court of Kyiv Region commenced bankruptcy
supervision procedure on Agricultural LLC Ukraina-Sich (code
EDRPOU 05384133).  The case is docketed under Case No. 253.

The Temporary Insolvency Manager is:

         D. Zheronkin
         Sumska Str. 2
         Paskivshina
         Zgurivskij District
         07630 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:

         Agricultural LLC Ukraina-Sich
         Sumska Str. 2
         Paskivshina
         Zgurivskij District
         07630 Kyiv Region
         Ukraine


UKRMISTSEPROM PLUS: Court Names Andrij Zharikov as Liquidator
-------------------------------------------------------------
The Economic Court of Kyiv Region appointed Andrij Zharikov as
Liquidator/Insolvency Manager for LLC Ukrmistseprom Plus (code
EDRPOU 23578569).  

The Court commenced bankruptcy proceedings against the company
after finding it insolvent on Sept. 15.  The case is docketed
under Case No. 43/630.

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 Ukrmistseprom Plus
         Borispilska Str. 15
         02093 Kyiv Region
         Ukraine


VERHOVINA LLC: Zaporizhya Court Starts Bankruptcy Supervision
-------------------------------------------------------------
The Economic Court of Zaporizhya Region commenced bankruptcy
supervision procedure on LLC Verhovina (code EDRPOU 30708111) on
Aug. 10.  The case is docketed under Case No. 16/59/06.

The Temporary Insolvency Manager is:

         Mr. V. Pyantkovskij
         Artem Str. 67/56
         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 Verhovina
         Lazurne
         Melitopol District
         Zaporizhya Region
         Ukraine


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


BETONSPORTS PLC: Interim Second Quarter Report Due on Nov. 5
------------------------------------------------------------
BetOnSports PLC has until Nov. 5 to file its interim report with
the London Stock Exchange without incurring into sanctions, a
manager of the AIM told TheOnlineWire.com Aug. 24.

According to the report, the company's current status requires
its directors to publish the company's second quarter 2006
results in order to avoid a possible default.

On July 18, the company suspended stock trading at the LSE's
Alternative Investments Market after a U.S. court banned the
company from taking bets from customers residing in the U.S.  
According to a 22-count indictment against BetonSports founder
Gary Kaplan and Chief Executive Officer David Carruthers,
unsealed by the Justice Department on July 17, the company in
2003 had 100,000 active players who placed 33 million wagers
worth US$1.6 billion through the company's Web sites.  Charges
include racketeering, mail fraud and facilitation of gambling
across state and national boundaries.

BetonSports is an online gaming company publicly trading on the
London Stock Exchange, but has no operations in the United
Kingdom.  Around 80% of the company's business operates in the
United States, where sports betting is illegal except in the
State of Nevada.  The group also has operations in Asia,
Argentina and Mexico.


BOMBARDIER INC.: Fitch Downgrades Issuer Default Rating to BB-
--------------------------------------------------------------
Fitch Ratings downgraded the debt and Issuer Default Ratings for
both Bombardier Inc. and Bombardier Capital Inc.:

Bombardier Inc.

   -- IDR to BB- from BB;
   -- Senior unsecured debt to BB- from BB;
   -- Credit facilities to BB- from BB; and
   -- Preferred stock to B from B+.

Bombardier Capital Inc.

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

The ratings are removed from Rating Watch Negative, where they
were placed on Oct. 23 over concerns about potential changes in
Bombardier's financial strategy.  The Rating Outlook is Stable.

Fitch also expects to assign a BB- rating to Bombardier's
proposed EUR1.8 billion issuance of senior unsecured bonds.  The
rating actions listed above are based on the expectation that
Bombardier will complete the bond issuance, a related tender
offer, and the proposed new letter of credit facility as
described in materials distributed by the company.

These ratings cover outstanding debt and preferred stock
totaling approximately US$4.2 billion, which could rise to more
than US$5.0 billion after the pending tender offer and bond
issuance are completed.  Due to the existence of a support
agreement and demonstrated support by the parent, BC's ratings
are linked to those of BI.

The downgrade is based on what Fitch considers to be a change in
Bombardier's financial strategy, which had included plans for
significant debt reduction.  Fitch's previous ratings had
incorporated expectations for debt reduction in fiscal 2007, and
possibly in fiscals 2008 and 2009.

Bombardier recently announced three financial transactions which
will offset most of the approximately US$1 billion of debt
reduction achieved so far in fiscal 2007 and will likely defer
additional debt reduction to beyond fiscal 2009.  

The transactions extend debt maturities, resolve some possible
covenant pressures in fiscal 2008 and lower Bombardier's LC
fees.  However, Fitch believes that the transactions will result
in Bombardier having higher leverage that is in line with the
new rating level.

Pro forma for the financial transactions, Fitch estimates that
fiscal 2007 consolidated gross leverage will be in the 4.6x-4.9x
range.  Fitch estimates that consolidated net leverage will be
in the 2.6x-2.9x range, although Fitch estimates that net
leverage will be higher for most of fiscal 2008 due to
Bombardier's seasonal working capital needs.  After the
financial transactions, all debt will be located at BI with the
exception of BC's GBP300 million issue due in May 2009 and
untendered bonds, if any.

The net leverage estimates assume US$1.8 billion-US$2.2 billion
of unrestricted cash balances at the end of F2007.  Bombardier
will also have approximately US$1.0 billion of restricted cash
balances related to the new LC facility.  

These restricted cash balances are not available for liquidity
purposes or for the benefit of unsecured bondholders.  
Bombardier's unrestricted cash balances will be the company's
sole source of liquidity because the new LC facility is not
available on a revolving credit basis.

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

Concerns include the variability of free cash flow due to order
flow at BT and Bombardier Aerospace; continued low margins and
free cash flow; the levels of consolidated gross debt compared
to EBITDA 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
regional jet concerns, including weak orders, uncertainty
regarding development of new aircraft models, and contingent
obligations related to past aircraft sales.

Previously, Fitch calculated BI's credit metrics on a
deconsolidated basis accounting for BC as an equity investment.
This methodology was used for several reasons: consistency with
the way other industrial companies with sizable finance
subsidiaries are evaluated in the credit markets; the size of
BC's operations and the amount of BC's outstanding debt; the
fact that BC's debt was neither an obligation of BI nor
guaranteed by BI; and the calculation of BI's covenants, which
excluded BC.

Going forward Fitch will calculate Bombardier's credit metrics
on a consolidated basis, for the following reasons.  BC's assets
and pro forma debt have declined substantially in the past
several years.  In addition, Bombardier's covenants will be
calculated on a consolidated basis for the new LC facility.
Finally, Bombardier revised some of its financial reporting
earlier this year, and it now reports only consolidated
financial results.


CASTLEGATE 105: Bank of Scotland Names PwC as Receivers
-------------------------------------------------------
Bank of Scotland appointed on Oct. 13 Colin Michael Trevethyn
Haig, Anthony Victor Lomas, Robert Nicholas Lewis and David
Christian Chubb of PricewaterhouseCoopers LLP joint
administrative receivers of:

   -- Castlegate 105 Ltd. (Company Number 03689365),
   -- Display Marketing Group Ltd. (Company Number 03466113),
   -- European Home Retail PLC (Company Number 01782133),
   -- Kleeneze Distribution Ltd. (Company Number 02766100),
   -- Kleeneze Enterprises Ltd. (Company Number 01977831),
   -- Kleeneze Europe Ltd. (Company Number 04056693),
   -- Kleeneze Home Shopping Ltd. (Company Number 02764674),
   -- Kleeneze Services Ltd. (Company Number 03689360),
   -- EHR 2 LTD. (Company Number 03069078), and
   -- Macpreb Trustees Ltd. (Company Number 03525705).

PricewaterhouseCoopers LLP -- http://www.pwcglobal.com/--  
provides auditing services, accounting advice, tax compliance
and consulting, financial consulting and advisory services to
clients in a variety of industries.  

Castlegate 105 Ltd., Display Marketing Group Ltd., European Home
Retail PLC, Kleeneze Distribution Ltd., Kleeneze Enterprises
Ltd., Kleeneze Europe Ltd., Kleeneze Home Shopping Ltd.,
Kleeneze Services Ltd., EHR 2 LTD., and Macpreb Trustees Ltd.
can be reached at:

         Plumtree Court
         London EC4A 4HT
         Tel: [44] (20) 7583 5000
         Fax: [44] (20) 7822 4652


DAMOVO GROUP: Financial Restructuring Cues Moody's to Cut Rating
----------------------------------------------------------------
Moody's Investors Service downgraded the corporate family rating
of Damovo Group S.A. to Caa3 from Caa1 following the non-payment
of a semi-annual interest coupon due on Oct. 30 on the company's
2012 senior notes and the announcement of its intention to
undertake a financial restructure.  Moody's has concurrently
downgraded the rating on the senior notes, which are issued at
Damovo III SA to Ca from Caa2.  The outlook is negative.  The
rating actions conclude a review initiated on Oct. 16.

Damovo announced that appointed advisors have commenced
discussions with stakeholders to undertake a financial
reorganization.  The company reported that the restructuring
proposal under consideration will reduce the interest burden for
the group.  Damovo and its advisers concluded that the company's
interests were best served by preserving cash reserves and
deferring the interest payment due.

Moody's classifies this missed payment as a default.  However,
the agency notes that an event of default is not triggered under
the note's indenture until the payment default continues for at
least 30 days.

According to Moody's, this deferral indicates further
deterioration in the company's liquidity position.  Even if the
interest payment is made within the 30 day grace period the
company will still need to address its underlying business and
financial risks and Moody's considers that note holders will
remain vulnerable to non-payment in the near term.  Should a
restructuring occur, it is Moody's expectation that it will
result in recovery for note holders of materially less than par.

Ratings also continue to reflect the high amount of non-recourse
factoring of accounts receivable, which totaled EUR350.2 million
as reported at 31 July 2006.  This debt ranks ahead of the notes
and would limit recovery for note holders in a workout scenario.

Notes benefit from security in the form of pledges over the
shares of the issuer's subsidiaries and other collateral
including Italian receivables not already factored.  However,
Moody's opinion is that Damovo's balance sheet provides low
recovery protection.  Tangible assets largely comprise accounts
receivable and cash and these can be quickly absorbed in a
workout situation.  Damovo operates across 10 countries and
variations in the ranking of items such as pension obligations
and trade claims could also weaken recovery rates.  The company
has historically been loss making with variable year on year
EBITDA and Moody's believes this complicates recovery estimates
using a going concern basis.

The negative outlook for ratings reflects uncertainty
surrounding implications for note holders.  If the proposed
restructure indicates a low recovery rate for note holders then
ratings will be further downgraded.

Rating actions:

Damovo Group S.A.
    
    * corporate family rating, downgraded to Caa3 from Caa1

Damovo III S.A.

    * rating on senior secured notes, downgraded to Ca
      from Caa2.

Headquartered in Glasgow, Scotland, Damovo is a provider of
information and communications technology (ICT) and services to
public service organizations and larger private sector
companies.  For the twelve months to July 31, 2006, the company
reported revenues of EUR483 million.


DAMOVO GROUP: S&P Cuts Rating to D on Coupon Payment Deferral
-------------------------------------------------------------
Standard & Poor's Ratings Services lowered to 'D' from 'CCC+'
its long-term corporate credit rating on U.K.-based
telecommunications services provider Damovo Group S.A.

At the same time, the long-term rating on subsidiary Damovo III
S.A.'s EUR350 million senior secured notes was lowered to 'D'
from 'CCC-'.  The '4' recovery rating on Damovo III S.A.'s notes
remains on CreditWatch with negative implications, where it was
placed on Oct. 12.  The '4' recovery rating indicates our
expectation of marginal (25%-50%) recovery of principal for
senior secured noteholders in the event of a payment default.
     
The downgrades follow Damovo's announcement that the company
will defer its EUR18.9 million semi-annual coupon payment due on
Oct. 30 under the senior secured notes.  Damovo is currently
conducting restructuring discussions with its various
stakeholders, including bondholders and shareholders.
     
"Although the bond indenture includes a 30-day grace period to
complete the payment, we do not have enough assurances that
Damovo will be able to make the payment or that a restructure
would not entail significant capital losses for noteholders,"
said Standard & Poor's credit analyst Patrice Cochelin.


DESSOUS INT'L: Appoints Liquidators from Wilson Field
-----------------------------------------------------
Lisa Hogg and Claire Foster of Wilson Field were appointed Joint
Liquidators of Dessous International Limited on Oct. 16 for the
creditors' voluntary winding-up procedure.

Headquartered in Nottingham, England Dessous International
Limited manufactures and wholesales lingerie and hosiery.


DORAN ENGINEERING: Appoints Administrators from RSM Robson
----------------------------------------------------------
Gerald Clifford Smith and Dominic James Christie-Brown of RSM
Robson Rhodes LLP were appointed joint administrators of Doran
Engineering Co. Ltd. (Company Number 01621920) and Doran
Engineering Co. (Holdings) Ltd. (Company Number 05010799) on
Oct. 13.

RSM Robson Rhodes LLP -- http://www.robsonrhodes.co.uk/--  
provides a wide range of auditing, assurance, advisory and
compliance services for both private and public sectors.  The
firm is a member of the RSM International, the world's sixth
largest international organization of accountants and business
advisers.

Doran Engineering Co. Ltd. can be reached at:

         Units 51-52
         Planetary Industrial Estate
         Planetary Road
         Willenhall
         West Midlands WV13 3XW
         United Kingdom
         Tel: 01902 866000  


DURA AUTOMOTIVE: S&P Cuts Ratings to D on Chapter 11 Filing
-----------------------------------------------------------
Standard & Poor's Ratings Services lowered Dura Automotive
Systems Inc.'s senior secured and subordinated debt ratings to
'D' from 'CC' following the company's announcement that it and
its U.S. and Canadian subsidiaries had filed for Chapter 11
bankruptcy protection.  In addition, these ratings were removed
from CreditWatch with negative implications.
     
At the same time, the '1' recovery rating on the secured debt
was affirmed and then withdrawn.  The corporate credit rating on
Dura and the rating on Dura Operating Corp.'s US$400 million
senior notes were already 'D' following the company's failure to
make an interest payment earlier this month.
    
Well-known challenges cited by the company in its bankruptcy
filing included production cuts by major U.S. automakers and
escalating costs of raw materials.  Dura indicated that its
operations outside the U.S. and Canada, which in total account
for about 51% of revenues, were not part of the filing.
Dura has arranged a US$300 million DIP loan.
     
Rochester Hills, Mich.-based Dura, a manufacturer of automotive
and recreational vehicle components, has total debt of about
US$1.2 billion.


EFFECTIVE GOLF: Brings In Administrators from UHY Hacker Young
--------------------------------------------------------------
Andrew Andronikou and Peter Kubik of UHY Hacker Young were
appointed joint administrators of Effective Golf Ltd. (Company
Number 05014691) on Oct. 13.

The administrators can be reached at:

         Andrew Andronikou and Peter Kubik
         UHY Hacker Young
         St. Alphage House
         2 Fore Street
         London EC2Y 5DH
         United Kingdom
         Tel: 020 7216 4600

Effective Golf Ltd. can be reached at:

         Wandon End House
         Wandon End
         Luton
         Bedfordshire LU2 8NX
         United Kingdom
         Fax: 020 7638 2159


EMI GROUP: Martin Bandier Steps Down in EMI Music Positions
-----------------------------------------------------------
Martin Bandier has resigned as chairman and joint CEO of EMI
Music Publishing.

As disclosed in January 2005, Roger Faxon, who is currently
president and joint CEO of EMI Music Publishing, will succeed
Bandier as sole CEO of EMI Music Publishing on April 1, 2007.

"Over the last 17 years, Marty Bandier has led the development
of EMI Music Publishing into a world-leading force," Eric
Nicoli, chairman of EMI Group, said.  "Roger Faxon and his
highly talented management team will drive this outstanding
business to new heights in the years ahead."

Mr. Bandier said: "It is very satisfying to be leaving the
company in such a strong position.  It's a good moment to pass
the torch.  I wish EMI and Roger all the best for a bright
future."

Mr. Bandier's contract with EMI runs until April 2007 when he
will leave the company.

People familiar with the matter told Ethan Smith of The Wall
Street Journal that Mr. Bandier has been contemplating his
resignation for at least a couple of months now.  They said that
the collapse of merger talks between EMI Group and Warner Music
Group Corp. partly contributed to Mr. Bandier's dissatisfaction,
the Journal relates.  

                            About EMI

Headquartered in London, United Kingdom, EMI Group PLC --
http://www.emigroup.com/-- is the world's largest independent  
music company, operating directly in 50 countries and with
licensees in a further 20.  The group employs over 6,600 people.
Revenues in 2005 were near EUR2 billion and operating profit
generated was over EUR225 million.

At March 31, 2006, EMI Group's consolidated balance sheet
revealed GBP1.817 billion in total assets, GBP2.544 billion in
total liabilities and GBP726.6 million in shareholders' deficit.

                        *     *     *

As reported in the TCR-Europe on Oct. 24, Moody's Investors
Service downgraded EMI Group plc's senior debt and guaranteed
debt ratings to Ba2 from Ba1.  At the same time Moody's assigned
a Ba2 Corporate Family Rating to EMI.  The downgrade is based on
Moody's expectation that EMI's debt protection measurements will
not improve near-term to a level commensurate with the Ba1
rating category.  Moody's said the rating outlook is now stable.


EMI GROUP: Revenue Decline Spurs S&P to Lower Ratings to BB
-----------------------------------------------------------
Standard & Poor's Rating Services lowered to 'BB' from 'BB+' its
long-term corporate and senior unsecured ratings on U.K.-based
music producer and distributor EMI Group PLC, following an
annual review.  The outlook is negative.

"The rating action reflects our concerns about EMI's ability to
rapidly improve debt measures, which remain tight for the rating
category," said Standard & Poor's credit analyst Patrice
Cochelin.

Worldwide recorded music revenues were down by 4% in first-half
2006.  Falling sales of recorded music in physical formats
(notably CDs, which still represent about 80% of industry sales)
and physical and digital piracy remain the industry's main
challenges, despite strong growth in digital music sales (11% of
industry revenues in first-half 2006).

EMI has about 13% of the global recorded music market.  A
comparatively weak release schedule pushed recorded music
revenues down by 4%.  Although Standard & Poor's expects the
company's strong second-half release schedule and a less
challenging comparison to support year-on-year revenue growth in
the balance of the financial year, the rating agency expects
continued weakness in EMI's full-year discretionary cash flow
generation after restructuring (GBP60 million) and dividends
(about GBP64 million).


EWER DESIGN: Names Keith Aleric Stevens Liquidator
--------------------------------------------------
Keith Aleric Stevens of Wilkins Kennedy was appointed Liquidator
of Ewer Design Limited on Oct. 17 for the creditors' voluntary
winding-up procedure.

Headquartered in London, United Kingdom, Ewer Design Limited --
http://www.ewerdesign.com/-- offers garden design and  
maintenance services.  The company also installs lighting and
irrigation.


FEENIX COURIERS: Names Jeremy Nicholas Bleazard as Administrator
----------------------------------------------------------------
Jeremy Nicholas Bleazard of XL Business Solutions Ltd. was named
administrator of Feenix Couriers Ltd. (Company Number 03001453)
on Oct. 16.

The administrator can be reached at:

         Jeremy Nicholas Bleazard
         XL Business Solutions Limited
         1st Floor
         2-4 Market Street
         Cleckheaton BD19 5AJ
         United Kingdom
         Tel: 01274 870101
         E-mail: enquiries@xlbs.co.uk
                 jbleazard@xlbs.co.uk

Feenix Couriers Ltd. can be reached at:

         c/o Lishman Sidwell Campbell & Price
         Marlborough Ho
         Manningham La
         Bradford
         West Yorkshire BD8 7LD
         United Kingdom
         Fax: 01274 870606


FP&S LIMITED: Brings In PwC as Joint Administrators
---------------------------------------------------
Stephen Mark Oldfield and Stephen Andrew Ellis of
PricewaterhouseCoopers LLP were appointed joint administrators
of FP&S Ltd. (Company Number 05218825) on Oct. 16.

PricewaterhouseCoopers LLP -- http://www.pwcglobal.com/--  
provides auditing services, accounting advice, tax compliance
and consulting, financial consulting and advisory services to
clients in a variety of industries.  

FP&S Ltd. can be reached at:

         Brierly Place 160-162
         New London Road
         Chelmsford
         Essex CM2 0AP
         United Kingdom
         Tel: 01362 851 691


GANDALF IT: Appoints Martin Henry Linton to Administer Assets
-------------------------------------------------------------
Martin Henry Linton of Leigh & Co. was appointed administrator
of Gandalf IT Ltd. (Company Number 4939153) on Oct. 6.

The administrator can be reached at:

         Martin Henry Linton
         Leigh & Co.
         Brentmead House
         Britannia Road
         London, N12 9RU
         United Kingdom
         Tel: 020 8446 6767  

Gandalf IT Ltd. can be reached at:

         Gainsborough House
         2 Sheen Road
         Richmond
         Surrey TW9 1AE
         United Kingdom
         Tel: 020 8973 2400
         Fax: 020 8973 2402


GATE & FENCING: Nominates Liquidator from Mayfields Insolvency
--------------------------------------------------------------
Paul John Webb of Mayfields Insolvency Practitioners was
nominated Liquidator of Gate & Fencing Fabrications Limited on
Oct. 17 for the creditors' voluntary winding-up procedure.

The company can be reached at:

         Gate & Fencing Fabrications Limited
         Sams La
         West Bromwich
         West Midlands B70 7ED
         United Kingdom
         Tel: 012 1525 2386
         Fax: 0121 525 8538


GRAHAM HOLDINGS: Taps Begbies Traynor to Administer Assets
----------------------------------------------------------
D. F. Wilson and J. N. R. Pitts of Begbies Traynor were
appointed joint administrators of Graham Holdings Ltd. (Company
Number 04415228) on Oct. 16.

Begbies Traynor -- http://www.begbies.com/-- assists companies,  
creditors, financial institutions and individuals on all aspects
of financial restructuring and corporate recovery.  

Graham Holdings Ltd. can be reached at:

         Elizabeth House 13-19
         Queen Street
         Leeds
         West Yorkshire LS1 2TW
         United Kingdom
         Tel: 0113 237 5560
         Fax: 0113 237 5561


HERTFORDSHIRE LEGAL: Nominates Ninos Koumettou as Liquidator
------------------------------------------------------------
Ninos Koumettou of AlexanderLawsonJacobs was nominated
Liquidator of Hertfordshire Legal Services Ltd. (formerly The
Will Bureau Ltd.) on Oct. 17 for the creditors' voluntary
winding-up procedure.

The company can be reached at:

         Hertfordshire Legal Services Ltd.
         435 Green Lanes
         Haringey
         London N4 1HA
         United Kingdom
         Tel: 020 8341 9704
         Fax: 020 8340 9714


HILLSIDE MOULDINGS: Creditors Confirm Liquidator's Appointment
--------------------------------------------------------------
Creditors of Hillside Mouldings (Hereford) Limited confirmed on
Oct. 19 the appointment of Neil Francis Hickling of Smith &
Williamson Limited as the company's Liquidator.

Headquartered in Hereford, United Kingdom, Hillside Mouldings
(Hereford) Limited manufactures plastic injection molding.


ICICI BANK: Moody's Assigns D- Financial Strength Rating
--------------------------------------------------------
Moody's Investors Service assigned first time foreign currency
bank deposit ratings of Baa1/Prime-2 and a D- bank financial
strength rating to ICICI Bank UK Ltd.  The outlooks on all
ratings are stable.

The Baa1/P-2 long- and short-term bank deposit ratings of
ICICI Bank UK Ltd. are the result of joint probabilities of
default that are incorporated into ICICI Bank UK Ltd.'s bank
deposit ratings.

These include

    a) the extremely high level of expected support from
       ICICI Bank Ltd. (rated Ba2 for foreign currency
       bank deposits, Baa2 for foreign currency debt and C-
       for bank financial strength),

    b) the likelihood of a moratorium on debt in
       India, reflected by the Baa2 foreign currency
       debt ceiling, and

    c) Moody's opinion on the likelihood of support from
       ICICI Bank Ltd. being caught up in any moratorium put
       in place by the Indian financial authorities.

ICICI Bank UK Ltd. is the largest operation outside India of the
ICICI group and is an integral part of the group's international
strategy and shares the same name and brand.  Moody's also
believes that the Reserve Bank of India may also be forthcoming
in case of need given the possible reputational damage to the
parent bank and any potential systemic risks for the Indian
banking system.

The D- bank financial strength rating reflects the banks
improving financial fundamentals, as well as the relatively
undeveloped franchise within the U.K. and its good positioning
to benefit from increasing Indian investment into the U.K.  The
bank operates through a two-pronged retail strategy in the U.K.
with a full suite of banking products being offered, primarily
to the Indian community, through a small branch network, and a
deposit product that is offered through the Internet.  The
corporate banking business is centered on providing services to
Indian corporates who are investing in the U.K. including M&A
advice, FX business and syndicating Indian paper.

The banks financial fundamentals are solid with good levels of
profitability (recurring earning power reached almost 1.5% in
the year to end-March 2006), good efficiency, and good levels of
capitalisation.  Asset quality is excellent, reflecting the
relative unseasoning of the portfolio as well the conservative
criteria that the bank has in place, although the bank does have
high lending concentrations.

Based in London, England, ICICI Bank UK Ltd. had total assets of
USD3.4 billion (EUR2.7 billion) at end-September 2006.


INTERFACE INC: Improving Performance Cues S&P to Lift Rating
------------------------------------------------------------
Standard & Poor's Ratings Services raised its ratings on
Atlanta, Ga.-based carpet manufacturer Interface Inc.  The
corporate credit rating was raised to 'B' from 'B-', and the
rating outlook is positive.  Total debt outstanding at
Oct. 1, 2006, was about US$441 million.
      
"The upgrade follows our review of Interface and incorporates
the company's improving operating performance and credit
metrics, as well as the recovery of the corporate office market,
which accounts for a significant amount of Interface's
revenues," said Standard & Poor's credit analyst Susan H. Ding.

In addition to robust demand in the office sector, Interface's
operations benefited from its strategy to diversify its revenue
base into other end markets, including the educational,
government, and health care sectors.  The company also intends
to continue its focus on carpet tiles, which is the fastest
growing segment of the carpet market and has been the main
driver of increased revenues for Interface.
     
While the company remains highly dependent on the corporate
sector, it is diversifying its concentration in that segment and
has realized some success in expanding to the healthcare,
education, and government sectors.  Interface is also expanding
its carpet tile sales into the residential market.  
Standard & Poor's expects it will take some time before this
segment becomes a revenue and profit contributor.
     
Standard & Poor's also recognizes that Interface has made
considerable efforts to reduce operating expenses and to
rationalize capacity in all of its business segments.  Although
revenue trends and margins are better, rising petroleum-based
raw material costs continue to be a rating concern.  For the 12
months ended Oct. 1, 2006, revenues improved by about 9% from
the prior-year period, and the operating margin (before
depreciation and amortization) also improved, to 12.7% from
12.3%, despite higher operating and raw material costs.


JJR MARKETING: Brings In Liquidators from Harrisons
---------------------------------------------------
P. R. Boyle and J. C. Sallabank of Harrisons were appointed
Joint Liquidators of JJR Marketing Communications Ltd. on
Oct. 20 for the creditors' voluntary winding-up procedure.

The company can be reached at:

         JJR Marketing Communications Ltd.
         2-6 Easthampstead Road
         Wokingham
         Berkshire RG40 2EG
         United Kingdom
         Tel: 0118 977 1366   


J WILKINSON: Hires TCE Harrison to Liquidate Assets
---------------------------------------------------
TCE Harrison of Tom Harrison Insolvency Services was appointed
Liquidator of J Wilkinson Brickwork Limited on Oct. 18 for the
creditors' voluntary winding-up proceeding.

The company can be reached at:

         J Wilkinson Brickwork Limited
         50 Winding Way
         Leeds LS177RQ
         United Kingdom
         Tel: 011 3267 4810


J WILLARD: Nominates Neville Richard Eckley as Liquidator
---------------------------------------------------------
Neville Richard Eckley was nominated Liquidator of J Willard &
Son Limited on Oct. 17 for the creditors' voluntary winding-up
proceeding.

Headquartered in Wallington, United Kingdom, J Willard & Son
Limited provides plastering services.


KESTREL GREEN: Taps RSM Robson as Joint Administrators
------------------------------------------------------
Gerald Clifford Smith and Dominic James Christie-Brown of RSM
Robson Rhodes LLP were appointed joint administrators of Kestrel
Green Ltd. (Company Number 01623633) on Oct. 13.

RSM Robson Rhodes LLP -- http://www.robsonrhodes.co.uk/--  
provides a wide range of auditing, assurance, advisory and
compliance services for both private and public sectors.  The
firm is a member of the RSM International, the world's sixth
largest international organization of accountants and business
advisers.

Kestrel Green Ltd. can be reached at:

         Unit 51-52
         Planetary Industrial Estate
         Planetary Road
         Willenhall
         West Midlands WV13 3XW
         United Kingdom
         Tel: 01902 866 000
         Fax: 01902 866 222


KNOTBOX RETAIL: Stephen M. Rout Leads Liquidation Procedure
-----------------------------------------------------------
Stephen M. Rout of Stephen M. Rout & Company was appointed
Liquidator of Knotbox (Retail) Limited on Oct. 17 for the
creditors' voluntary winding-up proceeding.

Headquartered in Stamford, United Kingdom, Knotbox (Retail)
Limited designs, manufactures and retails furniture.


LANGUAGE LINE: S&P Assigns B Rating on Proposed Bank Facility
-------------------------------------------------------------
Standard & Poor's Ratings Services assigned its 'B' bank loan
and '2' recovery rating to Language Line Inc.'s proposed amended
and restated US$280 million senior secured bank facility.  The
secured bank loan rating is 'B', with a recovery rating of '2',
indicating expectations of a substantial (80%-100%) recovery of
principal in the event of a payment default.
    
At the same time, Standard & Poor's affirmed its ratings on
Language Line Holdings Inc., including its 'B' corporate credit
rating, and on its Language Line Inc. operating subsidiary.  The
outlook on all ratings is negative.
      
"When the transaction is completed, Standard & Poor's presently
expects to revise its outlook on the company to stable from
negative, reflecting improving operating performance, slightly
reduced debt leverage, and enhanced liquidity," said Standard &
Poor's credit analyst Hal F. Diamond.
     
Monterey, Calif.-based Language Line Holdings had total debt of
US$477 million as of Sept. 30, 2006.
     
The ratings reflect Language Line's high debt leverage and the
price-competitive nature of the over-the-phone interpretation
market.  These concerns are only partially mitigated by the
company's strong position in the outsourced OPI market,
favorable demographic trends, and good discretionary cash flow.
     
Standard & Poor's expects to revise the negative outlook on the
ratings to stable from negative when the amendment is completed.
An outlook revision to positive is not anticipated for the
foreseeable future because of the sharp increase in cash
interest payments commencing in 2009.  On the other hand, a
noticeable decline in average revenue per billed minute without
commensurate increases in billed minutes could prompt a revision
of the outlook back to negative, especially if the company does
not continue to reduce leverage.


LOUGH JOINERY: Claims Filing Period Ends Nov. 17
------------------------------------------------
Creditors of Lough Joinery Ltd. have until Nov. 17 to send in
their full names, their addresses and descriptions, full
particulars of their debts or claims, and the names and
addresses of their Solicitors (if any) to appointed Liquidator
Stephen P. J. White at:

         White & Co.
         20 Cornhill
         Lincoln LN5 7HB
         United Kingdom

The company can be reached at:

         Lough Joinery Ltd.
         16 Crofton Drive
         Lincoln
         Lincolnshire LN3 4NR
         United Kingdom
         Tel: 01522 541 090
         Fax: 01522 514 140


LUDGATE FUNDING: S&P Assigns BB Ratings on GBP5-Million Notes
-------------------------------------------------------------
Standard & Poor's Ratings Services assigned its preliminary
credit ratings to the GBP375 million (equivalent) mortgage-
backed floating-rate notes series 2006-FF1 to be issued by
Ludgate Funding PLC.  At the same time, Ludgate Funding will
issue GBP2.8 million of excess spread rated notes.
  
The collateral for this transaction comprises a pool of first-
ranking mortgages secured over freehold and leasehold,
owner-occupied, and "buy-to-let" (29.47%) properties in the U.K.
  
Freedom Funding Ltd. originated the mortgage loans.  Freedom
Funding was established in May 2004.  In July 2006, Merrill
Lynch International Bank, its current ultimate parent, acquired
100% of the shares of Freedom Funding.  Freedom Funding lends
primarily to prime borrowers with a focus on self-certified
borrowers and the buy-to-let sector.  A small portion of its
business is focused on borrowers with light adverse credit
history, including borrowers with previous bankruptcies or
individual voluntary arrangements, county court judgments, and
arrears.  
  
This is Freedom Lending's first securitization of a portfolio of
mortgages using the Ludgate Funding mortgage asset-backed MTN
program.  
  
The proceeds of the class S notes will be used to fund the
initial cash reserve, and to meet the issuer's costs and
expenses in relation to the notes.
  
Standard & Poor's expects to rate the notes on a segregated
basis, that is, the rating on each series will be independent
from the rating on each previous and subsequent series.  This is
the first series to be issued.
  
                      Ratings List
                  Ludgate Funding PLC
       GBP375.0 Million (Equivalent) Mortgage-Backed
              And GBP2.8 Million (Equivalent)
      Excess Spread Floating-Rate Notes Series 2006-FF1
  
                         Prelim.        Prelim.
          Class          rating         amount (Mil. GBP equiv.)
          -----          ------         ------  
          A1             AAA            114.35
          A2             AAA            233.95
          B              AA              12.00
          C              A                7.65
          D              BBB              4.80
          E              BB               2.25
          S(1)           BB               2.80
          MERCs          AAA               N/A
  
   (1) The cash reserve fund will be funded at closing by
       using part of the issuance proceeds from the
       class S notes.  The class S notes will be repaid
       through excess spread.

       N/A-Not applicable.  


MARK RICHENS: Names Stephen P. J. White Liquidator
--------------------------------------------------
Stephen P. J. White was appointed Liquidator of Mark Richens
Architectural Salvage and Reclamations Limited on July 31 for
the creditors' voluntary winding-up proceeding.

The company can be reached at:

         Mark Richens Architectural Salvage and
         Reclamations Limited
         Long Acres
         Swinderby Road
         Collingham
         Newark
         Nottinghamshire NG237NX
         United Kingdom
         Tel: 01636 893 930


MARTRANS TRAILERS: Calls In Liquidator from Haines Watts
--------------------------------------------------------
Timothy Calverley of Haines Watts was appointed Liquidator of
Martrans Trailers Limited (formerly Martrans Limited) on Oct. 19
for the creditors' voluntary winding-up proceeding.

Headquartered in Gainsborough, United Kingdom, Martrans Trailers
Limited -- http://martranstrailers.com/-- designs and  
manufactures a range of trailers for the road transport industry
such as drawbar, SDU and tipping trailers.  


MASONLITE LIMITED: Taps Administrators from Smith & Williamson
--------------------------------------------------------------
Gregory Andrew and Stephen John Tancock of Smith & Williamson
Ltd. were appointed joint administrators of Masonlite Ltd.
(Company Number 570959) on Oct. 18.

Smith & Williamson -- http://www.smith.williamson.co.uk/--  
provides investment management, financial advisory and
accountancy services to private clients, professional practices,
mid to large corporates and non-profit organizations.

Masonlite Ltd. can be reached at:

         36 Second Avenue
         Chatham
         Kent ME4 5AX
         United Kingdom
         Tel: 01634 812 751
         Fax: 01634 811 883


MET-TRAFFIC LIMITED: Taps Liquidator from Haines Watts
------------------------------------------------------
Andrew Appleyard of Haines Watts was appointed Liquidator of
Met-Traffic Limited on Oct. 16 for the creditors' voluntary
winding-up procedure.

The company can be reached at:

         Met-Traffic Limited
         Unit 18
         Hamilton Road
         Sutton In Ashfield
         Nottinghamshire NG175LD
         United Kingdom
         Tel: 01623 514 440
         Fax: 01623 514 040


MONEY PARTNERS: Fitch Places BB Rating on GBP14.7-Million Notes
---------------------------------------------------------------
Fitch Ratings placed expected ratings to Money Partners
Securities 4 Plc GBP600 million-equivalent mortgage-backed
floating-rate notes:

   -- GBP-equivalent 496.50 million Class A1: AAA;
   -- A1 detachable coupons: AAA;
   -- GBP-equivalent 46.2 million Class M1 notes due 2039: AA;
   -- GBP-equivalent 27 million Class M2 notes due 2039: A;
   -- GBP-equivalent 15.6 Mln. Class B1 notes due 2039: BBB; and
   -- GBP-equivalent 14.7 million Class B2 notes due 2039: BB.

The final ratings are contingent upon receipt of final documents
conforming to information already received and satisfactory
legal opinion.

The collateral underlying the notes in this transaction consists
of Money Partners Holdings and Kensington Mortgages Limited
originations.

The expected ratings are based on the quality of the collateral,
available credit enhancement, the underwriting criteria of MPH
and KML, the primary servicing capabilities of Homeloan
Management Ltd. and the special servicing capabilities
Kensington Mortgages Ltd. and the sound legal structure of the
transaction.

Credit enhancement for the Class A1 notes totals 18.6% and will
be provided by the subordination of the Class M1, Class M2 Class
B1, Class B2 and an initial reserve fund of representing an
initial reserve fund of 1.35% of the initial issue size.  The
reserve fund is expected to increase to a target amount of
GBP12.6 million, funded from available excess spread.

To determine appropriate credit enhancement levels, Fitch
analyzed the collateral using its U.K. Residential Mortgage
Default Model III.  The agency also modeled cash flows using the
results of the default model with structural stresses including
various prepayment and interest rate scenarios.

The cash flow tests showed that each Class of notes could
withstand loan losses at a level corresponding to the related
stress scenario without incurring any principal loss or interest
shortfall and can retire principal by legal final maturity.


MOSES GATE: Hires Begbies Traynor as Joint Administrators
---------------------------------------------------------
D. Bailey and Kevin Coates of Begbies Traynor were appointed
joint administrators of Moses Gate Welding Works Ltd. (Company
Number 00975115) on Oct. 18.

Headquartered in Manchester, United Kingdom, Begbies Traynor --
http://www.begbies.com/-- assists companies, creditors,  
financial institutions and individuals on all aspects of
financial restructuring and corporate recovery.  

Moses Gate Welding Works Ltd. can be reached at:

         Unit 7
         Fishbrook Industrial Estate
         Stoneclough Road
         Kearsley
         Bolton
         Lancashire BL4 8EJ
         United Kingdom
         Tel: 01204 572 657
         Fax: 01204 862 421


N ROURKE & SON: Nominates Liquidator from Horsfields
----------------------------------------------------
John Hendrik Chadwick Lee of Horsfields was nominated Liquidator
of N Rourke & Son (Engineering) Limited on Oct. 11 for the
creditors' voluntary winding-up procedure.

Headquartered in Manchester, United Kingdom, N Rourke & Son
(Engineering) Limited -- http://www.nrourke.co.uk/-- undertakes  
all types of fabrication work including pipework, dust and fume
extraction systems, silo, structural steel, sheet metal work,
bulk storage tans, process vessels and bunded oil storage tanks.
The company also provides a wide range of decorative wrought
iron products such as gates, fences and railings.


OPTIMUM BUSINESS: Creditors' Claims Due Nov. 24
-----------------------------------------------
Creditors of Optimum Business Supplies Limited have until
Nov. 24 to prove their debts by sending written statements of
the amount they claim to be due to them from the Company to
appointed Joint Liquidators Peter James Hughes-Holland and
Frank Wessely at:

         Vantis
         81 Station Road
         Marlow
         Buckinghamshire SL7 1NS
         United Kingdom

The company can be reached at:

         Optimum Business Supplies Limited
         1 Crownfield
         Wycombe Road
         Saunderton
         Princes Risborough
         Buckinghamshire HP279NR
         United Kingdom
         Tel: 018 4427 4427
         Fax: 01844 344533
         Web: http://www.optibiz.co.uk/


OTLEY MOTORS: Appoints Begbies Traynor as Joint Administrators
--------------------------------------------------------------
D. F. Wilson and J. N. R. Pitts of Begbies Traynor were
appointed joint administrators of Otley Motors Ltd. (Company
Number 03428916) on Oct. 16.

Begbies Traynor -- http://www.begbies.com/-- assists companies,  
creditors, financial institutions and individuals on all aspects
of financial restructuring and corporate recovery.  

Otley Motors Ltd. can be reached at:

         Cross Green
         Otley
         West Yorkshire LS21 1HE
         United Kingdom
         Tel: 01943 465 222
         Fax: 01943 850 632


PLANTATION LIGHTING: Claims Registration Ends March 19, 2007
------------------------------------------------------------
Creditors of Plantation Lighting Limited (formerly Korpush
Limited) have until March 19, 2007, to send in full particulars
of their debts or claims, and the names and addresses of their
Solicitors (if any) to appointed Liquidator Michael F. McCarthy
at:

         Walletts Insolvency Services
         2-6 Adventure Place
         Hanley
         Stoke-on-Trent ST1 3AF
         United Kingdom

Headquartered in Rugeley, United Kingdom, Plantation Lighting
Limited manufactures household lamps and light shades.


PLYFORM PRODUCTS: Barclays Bank Taps Receivers from Baker Tilly
---------------------------------------------------------------
Barclays Bank PLC appointed Andrew Martin Sheridan and Matthew
Richard Meadley Wild of Baker Tilly joint administrative
receivers of Plyform Products Ltd. (Company Number 02578333) on
Oct. 17.

Baker Tilly -- http://www.bakertilly.co.uk/-- provides auditing  
and other services for mid-cap and smaller publicly listed
companies and private companies, particularly those expanding
into new foreign markets.  Services include business and
financial planning, tax-related services, corporate finance,
litigation support, turnaround services, and technology
consulting.

Headquartered in Westbury, England, Plyform Products Ltd.
manufactures pre-formed plywood and veneer laminated shapes.


PROFESSIONAL SOLUTIONS: Hires Liquidator from Sinclair Harris
-------------------------------------------------------------
Jonathan Sinclair of Sinclair Harris was appointed Liquidator of
Professional Solutions U.K. Limited on Oct. 10 for the
creditors' voluntary winding-up procedure.

Headquartered in London, United Kingdom, Professional Solutions
U.K. Limited -- http://www.prosolutionsuk.co.uk/-- offers  
vehicle matching and advertising services.


PYECROFT ENGINEERING: Taps Smith & Williamson as Administrators
---------------------------------------------------------------
Roger Tulloch and Robert Horton of Smith & Williamson Ltd. were
appointed joint administrators of Pyecroft Engineering Ltd.
(Company Number 05095180) on Oct. 17.

Headquartered in Guildford, United Kingdom, Smith & Williamson -
- http://www.smith.williamson.co.uk/-- provides investment  
management, financial advisory and accountancy services to
private clients, professional practices, mid to large corporates
and non-profit organizations.

Pyecroft Engineering Ltd. can be reached at:

         Basin Road North
         Portslade
         Brighton
         East Sussex BN41 1WA
         United Kingdom
         Tel: 012 7341 5558
         Fax: 012 7342 3545


R S GILLETT: Liquidator Sets Nov. 30 Claims Bar Date
----------------------------------------------------
Creditors of R S Gillett Ltd. have until Nov. 30 to send their
names and addresses, with particulars of their debts or claims,
together with particulars of their Solicitors (if any) to
appointed Liquidator Graham Geoffrey King at:

         Kings
         23 Porters Wood
         St. Albans
         Hertfordshire AL30 6PQ
         United Kingdom

Headquartered in London, England, RS Gillett retails and
installs car audio and mobile phones.


SCOOTABOUT LIMITED: Appoints Liquidators from Begbies Traynor
-------------------------------------------------------------
D. F. Wilson and J. N. R. Pitts of Begbies Traynor were
appointed Joint Liquidators of Scootabout Limited on Oct. 12 for
the creditors' voluntary winding-up procedure.

Headquartered in Leeds, United Kingdom, Scootabout Limited --
http://www.scootabout.net/-- is the only authorized dealer of  
Peugeot scooters in Leeds.  Scootabout stocks an extensive range
of Peugeot, Sym, Malaguti and Vulcan scooters, along with a wide
range of accessories.  The company also offers scooter
servicing.


SEA CONTAINERS: Employs Young Conaway as Counsel
------------------------------------------------
Sea Containers Ltd. and its debtor-affiliates asked the U.S.
Bankruptcy Court for the District of Delaware permission to
employ Young Conaway Stargatt & Taylor, LLP, as their counsel,
nunc pro tunc to Oct. 15.

Edwin S. Hetherington, vice president, general counsel and
secretary of Sea Containers, Ltd., states that the Debtors want
Young Conaway as their counsel because the firm has extensive
experience and knowledge in the field of debtors' and creditors'
rights and business reorganizations under Chapter 11 of the
Bankruptcy Code.

Young Conaway will:

   (a) provide legal advice with respect to the Debtors' powers
       and duties as debtors-in-possession in their continued
       operation of their business and management of their
       properties;

   (b) prepare and pursue confirmation of a plan and approval of
       a disclosure statement;

   (c) prepare on the Debtors' behalf necessary applications,
       motions, answers, orders, reports and other legal papers;

   (d) appear in Court and protect the Debtors' interests before
       the Court; and

   (e) perform all other legal services for the Debtors which
       may be necessary and proper in the Chapter 11
       proceedings.

The Debtors will pay Young Conaway on an hourly basis, plus
reimbursement of actual and necessary expenses and charges
incurred.  The principal attorneys and paralegal designated to
represent the Debtors and their current hourly rates are:

            Robert S. Brady               $515
            Edwin J. Harron               $460
            Edmon L. Morton               $380
            Sean T. Greecher              $270
            Sanjay Bhatnagar              $230
            Thomas Hartzell               $175

The Debtors retained Young Conaway in September 2006 and they
paid the firm a $150,000 retainer in connection with the
planning and preparation of initial documents, payment of
Chapter 11 filing fees, and the proposed postpetition
representation of the Debtors.

Robert S. Brady, Esq., a partner at Young Conaway Stargatt &
Taylor, LLP, assures the Court that his firm holds no interest
adverse to the Debtors, their creditors or any other parties-in-
interest, and it is a "disinterested person," as defined in
Section 101(14) of the Bankruptcy Code.

                      About Sea Containers

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.  (Sea Containers Bankruptcy News, Issue No. 2; Bankruptcy
Creditors' Service, Inc., http://bankrupt.com/newsstand/or  
215/945-7000)


SEA CONTAINERS: Wants Court to Okay PwC as Investment Banker
------------------------------------------------------------
Edwin S. Hetherington, vice president, general counsel and
secretary of Sea Containers Ltd., says the Debtors need the
services of seasoned and experienced restructuring advisors,
investment bankers and accounting and tax financial advisors
that are familiar with the Debtors' businesses and operations,
the Chapter 11 process, and the various issues related to cross-
border insolvency proceedings.

By this application, the Debtors seek the Court's authority to
employ PricewaterhouseCoopers LLP as their restructuring
advisor, investment banker, and accounting and tax advisor, nunc
pro tunc to the Petition Date.

Since January 2006, PwC has provided a wide range of services to
the Debtors, including reviewing the Company's business plan and
banking agreements, advising the Debtors with respect to certain
accounting matters, assisting the Company in refinancing certain
of its indebtedness, and assisting the Company to sell certain
of its businesses.

Under its Restructuring Services, PwC will:

   (a) marshal information to develop an effective draft
       restructuring plan;

   (b) analyze and outline the Debtors' major potential
       financial restructuring options, including analysis of
       the advantages and disadvantages and summary of major
       issues associated with each option;

   (c) consider the restructuring options with the Debtors and
       their other advisors;

   (d) assist the Debtors to consult and negotiate with key
       financial stakeholders, regulators, rating agencies, and
       other parties, including preparing information and
       accompanying the Debtors to meetings and attending
       meetings on the Debtors' behalf;

   (e) refine the proposed restructuring plan and prepare a
       contingency plan;

   (f) assist the Debtors implement the restructuring plan and
       achieve a Restructuring Transaction;

   (g) negotiate interim amendments to existing debt facilities
       and note indentures, pending the negotiation and
       implementation of a final restructuring, assist the
       Debtors to define and negotiate with relevant parties the
       appropriate amendments while they continue to work on
       definitive restructuring agreements; and

   (h) provide other financial advisory services in relation to
       the restructuring, including seeking any regulatory
       approvals.

Under its Accounting and Tax Advisory Services, PwC will:

   (a) assist in the preparation of the Debtors' financial
       information for distribution to creditors and other
       parties-in-interest, including:

          * 13-week rolling cash flow projections;

          * cash receipts and disbursement analysis for
            inclusion in the monthly operating reports;

          * commentary and variance analysis against budgets of
            company-prepared management accounts;

          * revised short-term and medium-term forecasts and
            business plans identifying any key variances from
            earlier submissions as appropriate;

          * analysis of material asset and liability accounts
            and financial analysis of proposed asset sales for
            which Court approval is sought;

   (b) assist with the identification and implementation of
       short-term cash management procedures;

   (c) assist with the identification and cost/benefit
       evaluation of material contracts and leases to enable
       management to assess, whether to renew or discontinue
       them;

   (d) assist in compiling the Schedules of Assets and
       Liabilities and Statements of Financial Affairs, and in
       the analysis of creditor claims by type, entity and
       individual claim;

   (e) assist in the preparation of information and financial
       analysis necessary for a plan of reorganization,
       including but not limited to assistance in the
       preparation of a pro-forma balance sheet, financial
       projections and a liquidation analysis;

   (f) assist in the preparation of financial information to be
       tabled at meetings with potential investors, banks and
       other secured lenders, the Official Committee of
       Unsecured Creditors, the United States Trustee, other
       parties-in-interest, including but not limited to
       financial projections, sensitivity analysis, recovery
       analysis, and other financial information;

   (g) assist in the preparation and maintenance of the Debtors'
       project plan to coordinate the financial restructuring
       with the operational restructuring program;

   (h) provide advice in the development of an appropriate tax
       structure in conjunction with the development of the
       Debtors' proposed restructuring plan:

          * advice on the tax impact of simplifying the
            inter-company loan position;

          * tax impact of the decision to either fund or not
            fund individual group companies;

          * whether a conversion of debt for equity could result
            in change of ownership issues.  This requires
            understanding of both whether there would be a
            change of ownership for tax purposes and the
            potential downside to any change of ownership;

          * whether there are any tax costs associated with the
            disposals any of the container businesses and
            whether any tax planning could enhance the value of    
            the disposals;

          * whether there are any tax costs associated with any
            non-core disposals and whether any tax planning
            could enhance the value of the disposals;

          * withholding tax implications of the proposed
            disposals and refinancing options;

          * the tax impact of transferring assets out of the
            Debtors as part of the restructuring process, should
            this be considered appropriate as a way forward;

          * advice on the tax impact of reorganizing and funding
            the pension deficit;

          * any other points that require tax consideration as
            the more detailed restructuring steps are
            formulated; and

          * general advice to the Debtors on the current tax
            status of the Debtors and Non-Debtor subsidiaries;
            and

   (i) provide advice or testimony on matters arising from PwC's
       work and provide regular updates to the Debtors.

PricewaterhouseCoopers is a multi-national corporate advisory
firm that provides a broad range of corporate advisory services
to its clients including, services pertaining to:

   -- general financial advice;
   -- mergers, acquisitions, and divestitures;
   -- special committee assignments;
   -- capital raising; and
   -- corporate restructurings.

Mr. Hetherington notes PwC has resources and restructuring
expertise in the United Kingdom and other countries throughout
the world.  He adds the firm and its senior professionals have
extensive experience in the reorganization and restructuring of
troubled companies.

PwC will charge a GBP50,000 Restructuring Services monthly fee,
a Degearing Event fee, and a Restructuring Transaction Fee equal
to 1.5% of the total par amount of Restructured Debt.

PwC employees providing restructuring services will keep time
records describing their general daily activities, the identity
of persons performing those activities, and the estimated amount
of time expended on those activities on a daily basis.

The firm will charge the Debtors per hour for Accounting and Tax
Advisory Services:

                 Partner              GBP536
                 Director             GBP442
                 Senior Manager       GBP338
                 Manager              GBP270
                 Executive            GBP212
                 Analyst              GBP130

PwC's accounting and tax professionals will provide a
description of the services rendered and the amount of time
spent on each date, in half-hour increments.

PwC will seek reimbursement for all out-of-pocket expenses,
including reasonable fees and expenses of its counsel, travel
and lodging expenses, word processing charges, messenger and
duplication services, facsimile expenses, and other customary
expenditures incurred.

Before the Petition Date, PwC received approximately
GBP4,400,000 for services rendered and expenses incurred.  PwC
will apply any excess amounts towards fees and expenses that
accrue postpetition.

Steven Pearson, a partner at PricewaterhouseCoopers LLP, assures
the Court that PwC is a "disinterested person" as defined in
Section 101(14) of the Bankruptcy Code, and does not hold or
represent an interest adverse to the Debtors' estates.

                      About Sea Containers

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.  (Sea Containers Bankruptcy News, Issue No. 2; Bankruptcy
Creditors' Service, Inc., http://bankrupt.com/newsstand/or  
215/945-7000)


SEA CONTAINERS: Taps Kirkland & Ellis as Litigation Counsel
-----------------------------------------------------------
Sea Containers Ltd. and its debtor-affiliates sought the U.S.
Bankruptcy Court for the District of Delaware's permission to
employ Kirkland & Ellis LLP as their special conflicts
litigation counsel for litigation relating to GE SeaCO SRL, nunc
pro tunc to Oct. 15.

Edwin S. Hetherington, vice president, general counsel and
secretary of Sea Containers Ltd., states that the Debtors want
Kirkland to prosecute or defend litigation or contested matters
involving GE Capital Corporation and some of its subsidiaries
concerning GE SeaCo and other matters adverse to GE.

Mr. Hetherington notes that the Debtors' general reorganization
and bankruptcy counsel, Sidley Austin LLP, represents GE in
matters wholly unrelated to the Debtors and their Chapter 11
cases.

Because Sidley also represents the Debtors in connection with
all operational and substantive aspects of the Chapter 11
proceedings, including with respect to issues raised by GE, the
Debtors want Kirkland to serve as their special conflicts
litigation counsel to the limited extent that underlying
litigation or certain contested matters are commenced by GE or
the Debtors during the pendency of the Chapter 11 proceedings.

Mr. Hetherington assures the Court that Sidley and Kirkland have
discussed Kirkland's role to avoid duplication of work and
expenses.  The two firms will confer on certain matters to
minimize duplicative efforts and billing.

Kirkland's current hourly rates are:

              Attorneys                   $295 - $825
              Paraprofessionals           $115 - $255

The firm will also charge the Debtors for all costs and expenses
incurred, including charges on mails, travels, overtime
expenses, "working meals," and other overhead expenses.

Kirkland received a $100,000 retainer for its prepetition
services.

David L. Eaton, Esq., a partner at Kirkland & Ellis, assures the
Court that his firm does not hold or represent any interests
adverse to the Debtors and their estates.

                      About Sea Containers

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.  (Sea Containers Bankruptcy News, Issue No. 2; Bankruptcy
Creditors' Service, Inc., http://bankrupt.com/newsstand/or  
215/945-7000)


SEA CONTAINERS: Moody's Withdraws Ratings on Chapter 11 Filings
---------------------------------------------------------------
Moody's downgraded all ratings of Sea Containers Ltd., including
the senior unsecured rating to Ca from Caa3.  Moody's will
withdraw all ratings because Sea Containers and two of its
subsidiaries filed to reorganize under Chapter 11 of the U.S.
Bankruptcy Code on Oct. 15.

The downgrades reflect Moody's belief that holders of the
unsecured notes are likely to recognize a meaningful loss upon
the resolution of the bankruptcy proceedings.  Holders of
Sea Containers unsecured notes of US$386 million, and the
company's pension trusts are expected to be the largest
creditors.  Sea Containers is a holding company and its
operating subsidiaries were not included in the bankruptcy
filing.  The senior unsecured notes, however, do not benefit
from upstream guarantees from the operating subsidiaries.

In Moody's view, the value of Sea Containers 50% interest in
GE SeaCo will be a primary contributor of value in any debt
reorganization plan, although there is considerable uncertainty
in value.  Sea Containers has not filed financial statements for
some time (last filed Form 10-Q for the third quarter of 2005);
however, it recently filed the GE SeaCo 2005 annual report
(Form 8-K dated Sept. 26).  

At December 31, 2005, GE SeaCo assets totaled US$1.3 billion,
including US$1.1 billion of marine containers, with total debt
of US$939 million including advances due to the parent
companies.  There have been no recent sales of large marine
container fleets; however, applying the current market multiples
for TAL International Group, Inc., to GE SeaCo's 2005 financial
statements, implies a possible value for Sea Containers
50% interest in the US$100 million to US$200 million range.

Moody's notes that changes in the GE SeaCo container fleet or
lease book subsequent to December 31, 2005, could affect the
value.  Separately, however, General Electric Capital
Corporation, the 50% partner in GE SeaCo, notified Sea
Containers that GECC will exercise its right to purchase Sea
Containers' 50% equity interest at a fair market value not
disclosed.  This notice was made prior to Sea Containers'
bankruptcy filing.  GECC believes a change of control, as
defined by the GE SeaCo Member's Agreement, occurred upon the
resignation of Sea Containers former CEO.  According to Sea
Containers, it will contest GECC's interpretation of the
Members Agreement.

In addition to the senior unsecured notes, Sea Containers is
liable for certain debt obligations of its operating
subsidiaries, including approximately US$60 million of term
loans secured by first lien mortgages on ten vessels.  Some of
these vessels are trading currently while others are laid up.
While the collateral coverage on a loan-by-loan basis is not
clear, Moody's does not anticipate significant residual claims.
While adequate to cover the secured debt, Moody's does not
expect these vessels nor the residual value of the containers
pledged to the recently amended Sea Containers' container
securitization facility to provide significant additional
recovery value relative to the liabilities of Sea Containers.
The remaining unencumbered containers owned by Sea Containers
(valued at US$15 million by the company) might also contribute
if not used as a source of liquidity during the bankruptcy
proceedings.

Debt list:

Sea Containers Ltd.

Ratings downgraded and to be withdrawn:

    * Corporate Family, to Ca from Caa2
    * Senior Unsecured, to Ca from Caa3
    * Issuer Rating, to Ca from Caa3

Sea Containers Ltd. headquartered in Hamilton Bermuda, is the
franchisee-operator of the Great North Eastern Railroad in the
U.K., a lessor of cargo containers to the shipping industry, and
a 50% co-owner of GE SeaCo, a container leasing joint venture
between Sea Containers and General Electric Capital Corp.


SHAW TAX: Brings In Moore Stephens to Administer Assets
-------------------------------------------------------
Mark Elijah Thomas Bowen and Nigel Price of Moore Stephens LLP
were appointed joint administrators of Shaw Tax (London) Ltd.
(Company Number 05226172) on Oct. 12.

Headquartered in Birmingham, United Kingdom, Moore Stephens --
http://www.moorestephens.co.uk-- offers audit, business  
support, corporate finance, corporate recovery, dispute
analysis, financial services, insurance broking, IT consultancy,
pensions audit, risk advisory services, tax and trusts & estates
services.  Its U.K. network comprises over 1,400 partners and
staff.

Shaw Tax (London) Ltd. can be reached at:

         Harborne Court 67-69
         Harborne Road
         Birmingham
         West Midlands B15 3BU
         United Kingdom
         Tel: 0121 233 2557


SIBACADEMFINANCE PLC: Fitch Places B Rating on US$1-Bln Notes
-------------------------------------------------------------
Fitch Ratings placed Sibacademfinance Plc's US$1 billion loan
participation notes issuance program ratings of Long-term B and
Short-term B.  At the same time, Fitch has assigned the upcoming
issue under the program of three-to-five year EUR-denominated
senior unsecured notes expected ratings of Recovery RR4 and
Long-term B.  

The notes are to be used solely for financing a loan to Russia-
based Sibacadembank, which is rated Issuer Default B with a
Stable Outlook, Short-term B, Individual D, and Support 5.  

The final ratings of the issue are contingent upon receipt of
final documentation conforming materially to information already
received.  Fitch also today affirmed SAB's ratings.

Sibacademfinance PLC will only pay noteholders principal and
interest received from SAB under the loan agreement.  It will
charge certain rights and interests to J.P. Morgan Corporate
Trustee Services Limited for the benefit of the noteholders
under a trust deed and the loan agreement.

Its claims under the loan agreement will rank at least equally
with the claims of other senior unsecured creditors of SAB, save
those whose claims are preferred by any bankruptcy, insolvency,
liquidation or similar laws of general application.  

Under Russian law, the claims of retail depositors rank above
those of other senior unsecured creditors.  At end-H106, retail
deposits accounted for 32% of SAB's total liabilities, according
to the bank's IFRS accounts, or 37% of the combined liabilities
of SAB and Uralvneshtorgbank, with which SAB plans to merge in
2006 or Q107.

The senior facility agreement, which defines terms of senior
loans made by Sibacademfinance to SAB under the program,
contains covenants restricting mergers and disposals by SAB and
specifies that transactions between the bank and its affiliates
must be done on market terms, with aggregate loans to affiliates
not to exceed 10% of total loans.  Dividend payments by the bank
and its subsidiaries are limited to 50% of net income for the
reporting period.

The loan agreement also contains a cross default clause, which
is triggered by overdue debt of US$10 million or more, and a
negative pledge clause, which limits securitizations to 15% of
assets.  SAB also covenants to maintain a minimum Basel I total
capital adequacy ratio of 11%.

SAB is one of the leading banks in the Siberian Federal District
and ranked 31st in Russia by total assets at end-H106.  Business
of both banks is focused on lending to local retail customers
and small and medium-sized enterprises.  Three individuals
together hold a majority stake in the voting stock of SAB, and
will also have a majority stake in the merged bank, to be called
URSA-Bank.

The EBRD currently has a blocking 25% stake in SAB, and the EBRD
and Germany's DEG are expected to hold a combined stake of at
least 25% stake in URSA-Bank from April 2007.


SMART MANUFACTURING: Taps Harrisons as Joint Administrators
-----------------------------------------------------------
P. R. Boyle and J. C. Sallabank of Harrisons were appointed
joint administrator of Smart Manufacturing Ltd. (Company Number
02243807) on Oct. 18.

Headquartered in Reading, United Kingdom, Harrisons --
http://www.harrisons.uk.com/-- provides advice and solutions to  
professional advisors who found their clients experiencing
financial difficulties.  Originally trading from offices in
Reading and has added London, Manchester, Bristol and Derby and
has associate offices in Grantham and Stockton on Tees.  

Smart Manufacturing Ltd. can be reached at:

         Clovelly Road Industrial Estate
         Bideford
         Devon EX39 3HN
         United Kingdom
         Tel: 01237 471 977
         Fax: 01237 478 779


VNESHTORGBANK JSC: Renaming Subsidiaries to VTB Bank
----------------------------------------------------
Vneshtorgbank JSC will re-brand all its local and foreign units
to VTB Bank to enhance the bank's international recognition,
Kommersant reports.

All of the company's subsidiaries will carry the "VTB Bank"
brand and the base country.  The group's German unit, Ost-West
Handelsbank, has been renamed to VTB Bank AG Europe.

The re-branding will also affect the company's units in:

   -- Armenia, Georgia, Ukraine and Cyprus (Russian Commercial
      Bank, Cyprus),

   -- Switzerland (Russian Commercial Bank, Zurich),

   -- France (BCEN-Eurobank), and

   -- Austria (Donau Bank).

The company's London unit, Moscow Narodny Bank, would be renamed
to VTB Bank Europe without indicating a definite country.

The renaming, however, will not include its Georgian unit, which
name will be spelled in Roman.

The company decided to re-brand Vneshtorgbank to VTB Bank since
the former is hardly pronounceable for foreign investors.

Swiss Interbrand handled VTB's rebranding for US$2 million.

                       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.

                        *     *     *

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.


VNESHTORGBANK JSC: Lack of Related Law Hits Promstroybank Merger
----------------------------------------------------------------
Shareholders of Vneshtorgbank JSC failed to vote over the
company's merger with Industry & Construction Bank of St.
Petersburg (Promstroybank), CBonds says.

According to unofficial reports cited by Cbonds, the merger, is
hampered by the absence of pertinent presidential law, which
would allow the company to dilute the state share in its
capital.

Vneshtorgbank is one of the Russian strategic enterprises that
need Presidential legislation before making crucial decisions.

Vneshtorgbank currently owns 75% plus three shares of
Promstroybank.  The company has rise in operating volumes and
profit in the first half of 2006 to its acquisition of
Promstroybank.  The regional bank's shareholders has already
approved of a takeover by VTB.

As reported in the TCR-Europe on Oct. 27, once a decision for
takeover is reached, Vneshtorgbank will apply for approval from
the Russian government.

Headquartered in St. Petersburg, Russia, Industry and
Construction Bank -- http://www.icbank.ru/-- engages in  
universal banking with a special franchise in corporate finance
and investment banking.

                       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.

                        *     *     *

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.


W H SHAW: Brings In Kroll to Administer Assets
----------------------------------------------
D. J. Whitehouse and C. P. Holder of Kroll Ltd. were appointed
joint administrators of W H Shaw and Son Ltd. (Company Number
00493829) on Oct. 18.

Headquartered in Leeds, United Kingdom, Kroll Limited --
http://www.krollworldwide.com/-- offers risk-consulting  
services worldwide.  The firm is an operating unit of Marsh &
McLennan Companies, Inc., the global professional services firm.  
Kroll's services include corporate advisory and restructuring,
financial accounting, valuation and litigation, electronic
evidence and data recovery, business intelligence and
investigations, background screening, and security services.

Headquartered in Oldham, United Kingdom, W H Shaw and Son Ltd.
manufactures wooden containers.


WESTLEA FARM: Bank of Scotland Taps PwC as Receivers
----------------------------------------------------
Bank of Scotland appointed Colin Michael Trevethyn Haig, Anthony
Victor Lomas, Robert Nicholas Lewis and David Christian Chubb of
PricewaterhouseCoopers LLP joint administrative receivers of
Talk Turkey Ltd. (Company Number 01509185) and Westlea Farm
Foods Ltd. (Company Number 01871827) on Oct. 13.

Headquartered in London, United Kingdom, PricewaterhouseCoopers
LLP -- http://www.pwcglobal.com/-- provides auditing services,  
accounting advice, tax compliance and consulting, financial
consulting and advisory services to clients in a variety of
industries.  

Westlea Farm Foods Ltd. can be reached at:

         1 Abbey Street
         Birkenhead
         Merseyside CH41 5JG
         United Kingdom
         Tel: 0151 666 1660
         Fax: 0151 647 4172

                           *********

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.


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