TCREUR_Public/081003.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

           Friday, October 3, 2008, Vol. 9, No. 197

                            Headlines

A U S T R I A

HAYDNBRAU RESTAURANT: Claims Registration Period Ends October 27
SUTRICH KEG: Claims Registration Period Ends October 20
SUEDWALD-BAU LLC: Claims Registration Period Ends October 20


B E L G I U M

FORTIS NV: May Not Pursue Partnership Agreement With Ping An


F R A N C E

DELPHI CORP: Court OKs Services and Restructuring Deals with GM
DELPHI CORP: Gets Court's Nod to Modify Employee and Union Deals
DOLE FOOD: Inks Letter of Intent to Sell Flowers Division


G E R M A N Y

ABACUS LIEGENSCHAFTEN: Claims Registration Period Ends Oct. 8
ANTEC SOLARPARK: Claims Registration Period Ends Oct. 8
DL GESELLSCHAFT: Claims Registration Period Ends October 10
HYPO REAL: EU Commission Approves German Rescue Aid Package
HYPO REAL: S&P Puts BB-Rated Class F Notes on CreditWatch Negative

INGENIEUR-, PLANUNGS: Claims Registration Period Ends October 10
INTERNATIONAL FOREST: Claims Registration Period Ends October 10
LA CREATION: Claims Registration Period Ends October 10
LASS PROJEKT: Claims Registration Period Ends Oct. 10
MHG GEMEIN: Claims Registration Period Ends October 10

OBERFLACHEN TUNING: Claims Registration Period Ends Oct. 9
ORANGECLUB GMBH: Claims Registration Period Ends October 10
TMT BAUSERVICE: Claims Registration Period Ends Oct. 9
WESTLB AG: EU Commission Opens In-Depth Probe Into State Aid


I R E L A N D

IRELAND: Gov't Moves to Protect EUR400 Billion in Liabilities


I T A L Y

DANA CORP: SEC Seeks Explanation of 2007 Annual Disclosures


K A Z A K H S T A N

BK-BUSINESS SERVICE: Creditors Must File Claims by November 15
ELLA LLP: Claims Deadline Slated for November 15
GLOBAL CONSTRUCTION: Claims Filing Period Ends November 15
KASPY ENERGO: Creditors' Claims Due on November 15
MEGAPOLIS-ST LLP: Claims Registration Ends November 18

MERGEN-2007 LLP: Creditors Must File Claims by November 18
T&G LLP: Claims Deadline Slated for November 18
TECH PROM: Claims Filing Period Ends November 15
VIRSAVIYA LTD: Creditors' Claims Due on November 15


K Y R G Y Z S T A N

EURO TOUR: Creditors Must File Claims by November 12


N E T H E R L A N D S

* Performance of Dutch RMBS Remains Relatively Stable, S&P Reports


R U S S I A

IKS-TERRA LLC: Creditors Must File Claims by October 19
INSTRUMENT-CENTER LLC: Creditors Must File Claims by November 19
ROSLAVLSKIY AUTOMOTIVE: Creditors Must File Claims by Nov. 19
RYUB-TRANS-FLOT LLC: Court Starts Bankruptcy Supervision Process
TRANS-UGOL LLC: Kemerovo Bankruptcy Hearing Set November 10


S W E D E N

FORD MOTOR: Repays US$1.5BB in Debt, Faces 3 Payment Obligations


S W I T Z E R L A N D

ALLTEC HOLDING: Creditors Must File Proofs of Claim by Oct. 18
BIERI + PARTNER: Deadline to File Proofs of Claim Set Oct. 18
CUTWALK LLC: Creditors Have Until DATE to File Claims Oct. 19
GENERAL MOTORS: Delphi Services & Restructuring Deals Approved
HEGDIL LLC: Proofs of Claim Filing Deadline is Oct. 18

MARKUS LEHMANN: Creditors' Proofs of Claim Due by Oct. 17
ONION MANAGEMENT: DATE Set as Deadline to File Claims Oct. 19
PLUMER FINANCIAL: Creditors Must File Proofs of Claim by Oct. 18
TRIDO-UMWELTSCHUTZ JSC: Deadline to File Claims Set Oct. 18


U K R A I N E

PROMINVESTBANK: Moody's Affirms E+ Bank Financial Strength Rating
SIGMA-RESOURCE LLC: Creditors Must File Claims by October 7
TECHNO-SPECIAL SERVICE: Creditors Must File Claims by October 8
TOPGAS-DNIEPROPETROVSK: Creditors Must File Claims by October 7
UKRAINIAN TRANSPORT: Creditors Must File Claims by October 7

VINNER DISTRIBUTION: Creditors Must File Claims by October 7


U N I T E D   K I N G D O M

CHEVIOT FOODS: Goes Into Administration
C.L.E.A.R. PLC: S&P Places 9 Junk Ratings on CreditWatch Negative
COSMETICUS LTD: HSBC Taps PKF as Receivers
HANDLEMAN CO: Shareholders OK Plan of Liquidation & Dissolution
INVERESK PLC: Stopped from Trading on Failure to Publish Report

JG TAYLOR: Brings in Liquidators from Tenon Recovery
MAUREEN O'BRIEN: Goes Into Administration
METRONET RAIL: S&P Raises Underlying Debt Ratings to BB+ From B
ONLINE TRAVEL: Goes Into Administration
POWE CAPITAL: Liquidates Modulus Europe Hedge Fund

PURPLE SAILS: Placed Under Voluntary Liquidation
Q.E.D. MARKETING: Calls in Liquidators from Mazars
QUEBECOR WORLD: Wants Court to Set December 5 as Claims Bar Date
RECALL SECURITY: Joint Liquidators Take Over Operations
SAVIOUR RECRUITMENT: Taps Liquidators from Tenon Recovery

SIXTY UK: Appoints Joint Administrators from Vantis
VICTORIA LODGE: Administrators Seek Buyer
VIRGIN MEDIA: Guilty of Data Breach, ICO Says

* S&P Reviews Public Sector Portfolios in Central/Eastern Europe

* BOOK REVIEW: Working Together: 12 Principles for Achieving


                         *********


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A U S T R I A
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HAYDNBRAU RESTAURANT: Claims Registration Period Ends October 27
----------------------------------------------------------------
Creditors owed money by LLC Haydnbrau Restaurant und Catering have
until Oct. 27, 2008, to file written proofs of claim to the court-
appointed estate administrator:

         Mag. Werner Dax
         Esterhazyplatz 5
         7000 Eisenstadt
         Austria
         Tel: 05/9010-5500
         Fax: 05/9010-5510
         E-mail: guessing@daxundpartner.at

Creditors and other interested parties are encouraged to attend
the creditors' meeting at 10:00 a.m. on Nov. 10, 2008, for the
examination of claims at:

         The Land Court of Eisenstadt
         Meeting Room F
         Eisenstadt
         Austria

Headquartered in Eisenstadt, Austria, the Debtor declared
bankruptcy on Sept. 8, 2008, (Bankr. Case No. 41 S 42/08a).


SUTRICH KEG: Claims Registration Period Ends October 20
-------------------------------------------------------
Creditors owed money by KEG Sutrich have until Oct. 20, 2008, to
file written proofs of claim to the court-appointed estate
administrator:

         Mag. Michael Wagner
         Untere Hauptstraße 104
         7100 Neusiedl/See
         Austria
         Tel: 02167/3503
         Fax: 02167/3503-3
         E-mail: neusiedl@hbw.co.at

Creditors and other interested parties are encouraged to attend
the creditors' meeting at 9:45 a.m. on Nov. 3, 2008, for the
examination of claims at:

         The Land Court of Eisenstadt
         Room F
         Eisenstadt
         Austria

Headquartered in Parndorf, Austria, the Debtor declared bankruptcy
on Sept. 5, 2008, (Bankr. Case No. 41 S 41/08d).


SUEDWALD-BAU LLC: Claims Registration Period Ends October 20
------------------------------------------------------------
Creditors owed money by LLC Suedwald-bau & Transport have until
Oct. 20, 2008, to file written proofs of claim to the court-
appointed estate administrator:

         Dr. Martina Withoff
         Hauptplatz 5
         3910 Zwettl
         Austria
         Tel: 02822/52417
         Fax: 02822/52417-4
         E-mail: dr.withoff@aon.at

Creditors and other interested parties are encouraged to attend
the creditors' meeting at 8:30 a.m. on Nov. 5, 2008, for the
examination of claims at:

         The Land Court of Krems an der Donau
         Hall A
         Second Floor
         Krems an der Donau
         Austria

Headquartered in Gfoehl, Austria, the Debtor declared bankruptcy
on Sept. 5, 2008, (Bankr. Case No. 9 S 53/08d).


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B E L G I U M
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FORTIS NV: May Not Pursue Partnership Agreement With Ping An
------------------------------------------------------------
Fortis NV expects not to be able to complete an asset management
partnership with Ping An Insurance (Group) Co amid severe market
disruption and the ongoing uncertainty in the global capital
markets.

The International Herald Tribune said Fortis had signed an
agreement for Ping An to buy a 50% stake in its asset management
arm, Fortis Investments, for EUR2.15 billion (US$3.39 billion).

Fortis Investments will remain, as at present, 100% owned by
Fortis group.  Fortis Investments has expanded both its investment
capabilities and its operational platforms, successfully
integrating ABN AMRO Asset Management in the second quarter of
2008.

Bloomberg News relates that Ping An, which bought 4.2% of Fortis
in November for EUR1.81 billion, had its biggest two-day drop in
four years in Hong Kong trading this week after warning it may
take further provisions for losses from its holding.  The insurer
booked a CNY10.5 billion (US$1.5 billion) loss on the stake in the
first half, the news agency said.

                       ABN AMRO Stake Sale

Fortis said it has been informed by De Nederlandsche Bank (DNB),
the Dutch central bank, that the decision for approval of the sale
of several ABN AMRO (RFS Holdings) assets to Deutsche Bank will
not be made until further notice, following further review.

As reported in the Troubled Company Reporter-Europe on Oct. 1,
2008, Fortis said it will sell its interest in ABN AMRO (RFS
Holdings) after the Governments of Belgium, the Netherlands and
Luxembourg agreed to inject EUR11.2 billion in the bank.

The sale of Fortis' interest in ABN Amro Bank was part of the
bailout package.

According to Fortis, DNB referred to the exceptional circumstances
on international financial markets, the uncertainty with regard to
the future shareholder in ABN AMRO Bank and the implications of
this uncertainty for all parties involved.

Fortis said the sale of the stake in RFS Holdings will represent
the acquired activities of ABN AMRO, excluding Asset Management
(already transferred in the 2nd quarter of 2008).  The sale, at a
price below the acquisition price of EUR24 billion will lead to an
impairment.  The impairment will not impact total regulatory
capital.  However, a sales price below EUR12 billion would, for
that difference, negatively impact core equity, the bank noted.

The bank, Bloomberg News said, needs more capital after spending
EUR24.2 billion on ABN Amro assets last year, just as the U.S.
subprime-mortgage market started to collapse.

The Wall Street Journal described the transaction as Fortis'
biggest banking deal ever.

Due to the change in strategy, the deteriorated business
environment and the decision to further de-risk the balance sheet,
Fortis said total value adjustments are expected of around EUR5
billion after tax in the third quarter, related to, among others,
the deferred tax assets, goodwill on the separately managed asset
managers and the structured credit portfolio.

Within the CDO origination portfolio, the high grade assets are
anticipated to be written down to 25% and the mezzanine and
warehouse positions to 10%.  On average 78% of the total CDO
origination portfolio is written down.  The remaining net exposure
on the CDO origination portfolio is expected to amount to EUR1.1
billion, subject to approval of the bank's external auditors.  In
addition to the impairments on the CDO origination portfolio,
further impairments are expected to be taken on the remainder of
the structured credit portfolio.

In addition, Fortis will impair EUR 1.2 billion of US deferred tax
assets.

Fortis said all the measures will lead to a core equity for Fortis
of around EUR30 billion, EUR9.5 billion above target.  Fortis Bank
Core Tier 1 ratio is estimated at above 9% (Basel I), well in
excess of regulatory minimum.  The total regulatory capital ratio
of Fortis Bank under Basel II is estimated to be around 13%.

                          Artemis Stake

Separately, Fortis has increased its equity interest in Artemis
Asset Management Limited, a UK-based investment management firm,
from 67.1% to a sole shareholding position.  ABN AMRO Asset
Management had held a majority interest in Artemis since 2002,
which was transferred to Fortis in April 2008.  The step-up
investment was pursuant to a prior contractual arrangement with
Artemis management shareholders.  The cash consideration was
EUR397.2 million (GBP317.2 million).

Fortis said Artemis management remains fully committed to the
business.  Fortis and management are in close dialogue regarding
future strategic options for Fortis's interest in Artemis.

Artemis was established in 1997 as an investment management house
specializing in investments for retail investors.  Clients'
investments are spread across a range of unit trusts, an
investment trust, hedge fund products, venture capital trusts, an
international SICAV as well as segregated institutional
portfolios.  It had assets under management of approximately
EUR18.7 billion (GBP 14.8 billion), as at June 30, 2008.

                       About Fortis N.V.

Headquartered in Brussels, Belgium, Fortis N.V. --
http://www.fortis.com/-- is an international provider of banking
and insurance services to personal, business and institutional
customers.  The Company operates in four core businesses: Retail
Banking, Asset Management and Private Banking, Merchant Banking
and Insurance.  The Company delivers a package of financial
products and services through its own channels and via
intermediaries and other partners.  In May 2007, Fortis N.V.
finalized the acquisition of a 50.45% stake in Pacific Century
Insurance Holdings Limited.  As of June 15, 2007, the Company had
acquired a 98.59% stake in Pacific Century Insurance Holdings
Limited.  In July 2008, the Company sold International Asset
Management Limited (IAM).


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F R A N C E
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DELPHI CORP: Court OKs Services and Restructuring Deals with GM
---------------------------------------------------------------
The U.S. Bankruptcy Court for the Southern District of New York on
Sept. 26, 2008, entered an order approving the amendments to the
Global Services Agreement and the Master Restructuring Agreement
between General Motors Corp. and Delphi Corporation.

A full-text copy of the Amended GSA and MRA is available for free
at http://ResearchArchives.com/t/s?3330

Delphi obtained approval of their new deals with General Motors
after the Official Committee of Unsecured Creditors agreed to
withdraw its objections.

               PBGC, et al., Support New GM Deal

Various parties-in-interest, including the Fiduciary Counselors,
Inc., and the Pension Benefit Guaranty Corp., have conveyed their
support for the amendments to GSA and MRA.

Fiduciary Counselors, Inc., the appointed fiduciary charged to
assure that the Debtors fulfill their obligations with respect to
required contributions to their Hourly-Rate Pension Plan,
believes that the latest amendments would aid the Debtors' exit
from bankruptcy.  FCI filed a proofs of claim on the HRP's behalf
for legally required contributions owed to the HRP.  The Claim
amount through Dec. 31, 2007, was identified as US$2,600,000,000.
FCI has recently conferred with the HRP's actuaries and confirmed
that the amount required to meet the statutory minimum funding
requirements for the HRP as of Sept. 30, 2008, will be in an
amount ranging from US$2,100,000,000 to US$2,300,000,000.

William H. Schorling, Esq., at Buchanan Ingersoll & Rooney PC, in
New York, noted that GM and Delphi have obtained a private letter
ruling from the U.S. Internal Revenue Service that the proposed
414(l) Transfer pursuant to the Amended GSA and MRA will
eliminate Delphi's obligations for all contributions due on or
before Sept. 30, 2008.  Effectuating the 414(l) Transfer will
substantially satisfy HRP's Claim -- HRP will also still have
claims for any unpaid amounts due in the future -- making the
Debtors' emergence from chapter 11 more viable, Mr. Schorling
stated.  He added that implementing the 414(l) Transfer will
avoid application of the provisions of the Pension Protection Act
to the unfunded HRP obligations, again aiding the Debtors' exit
from bankruptcy.  Finally, the 414(l) Transfer, according to
Mr. Schorling, should mitigate the risk that the PBGC would take
steps to terminate the HRP.

Representing the Pension Benefit Guarantee Corporation, John A.
Menke, Esq., avers that the amended GSA and MRA constitute an
overwhelmingly positive solution to some of the Debtors' major
pension obligations and eliminates what might be insurmountable
obstacles to a successful reorganization.  If the 414(l) transfer
occurs by Sept. 29, 2008, major benefits flow to the Debtors,
certain non-Debtor affiliates and the unsecured creditors.
Approval of the new deal, according to Mr. Menke, will relieve
the Debtors of billions of dollars of current liability for
contributions that would otherwise be due to their Hourly Plan
and that would have to be satisfied, probably in Cash lump sum,
before the Debtors could emerge.  Because Delphi's existing
liability for contributions to the hourly Plan will be erased by
the 414(l) Transfer, as soon ass possible after the first
transfer date, the PBGC said it will relinquish more than
US$1,200,000,000 in liens filed against Delphi's foreign non-
Debtor affiliates.

The Official Committee of Equity Shareholders also said it is not
objecting to the new GM/Delphi deal.  However, it reserved its
right to object to the confirmation of any Chapter 11 plan filed
and any modification in the Debtors' Chapter 11 cases.  It sought
to keep its right to object to confirmation of any chapter 11
plan that does not provide appropriate value to existing equity
in exchange for the releases granted in favor of GM.

     Splinter Unions Wary of Fate of Employees and Retirees

The IUOE, IBEW and IAM -- the Splinter Unions -- informed Judge
Drain that they are fully cognizant of the external constraints
of Delphi, and that they do not object to the conceptual
framework underlying the Motion.  However, the Splinter Unions
said they are not yet in a position to assess how the proposed
implementation of the amendments to the GSA and MRA will affect
the employees and retirees represented by the Splinter Unions.

The Splinter Unions say they fully expect the Debtor and GM to
provide the answers they need to be able to negotiate a timely
implementation agreement so that the employees and retirees they
represent are fairly treated.

The Splinter Unions are represented by:

    Barbara S. Mehlsack, Esq.,
    Gorlick Kravitz & Listhaus, P.C.,
    17 State Street
    New York, N.Y. 1004
    bmehlsack@gkllaw.com

                   Parties Object to New Deal

(a) Senior Noteholders

CR Intrinsic Investors, LLC, and Highland Capital Management,
L.P., which collectively hold approximately US$495,000,000 in
principal amount of Delphi senior notes, noted that Debtors are
seeking approval of the "most important and far-reaching
settlement in this case and the fixing of central elements of a
plan of reorganization", on just 10 days' notice, without
providing the most basic information necessary for the Court to
evaluate the claims to be settled, and without any pretense of
adhering to the fundamental protections to which creditors are
entitled in connection with a plan of reorganization.

CR Intrinsic and Highland consequently asked the Court to deny
Delphi the authority to implement the amended GSA and MRA in
order to prevent the Debtors from entering into sweeping and far-
reaching agreements with GM that would irrevocably impact the
outcome of the chapter 11 cases and in effect dictate the terms
of any plan of reorganization.

Isaac M. Pachulski, Esq., at Stutman, Treister & Glatt P.C., in
Los Angeles, California, averred that Delphi is seeking approval
of what amounts to a sub rosa plan of reorganization, without
providing the kind of disclosure and procedural and substantive
protection to which creditors are entitled in connection with the
confirmation of a plan, and without any creditor vote.  According
to Mr. Pachulski, a sampling of just some of the provisions of
the Amended GSA highlights how pervasively these agreements will
dictate the terms of any plan and the ultimate outcome of the
Chapter 11 cases:

  (1) the Amended GSA includes comprehensive provisions for the
      allowance and treatment of GM's claims under any plan of
      reorganization.  Among other things,

       -- GM agrees to assume certain pension liability which
          is primarily rooted in prepetition services of
          employees who worked for GM at the time of the Delphi
          spin-off in exchange for an administrative claim.  Not
          only does an administrative claim entitle GM to
          priority payment but it also handcuffs the Debtors in
          treating this claim under a plan of reorganization.

       -- the Amended GSA also contemplates that GM would be
          entitled to an unsecured claim in the amount of
          US$2,500,000,000.  While GM would not be entitled to any
          recovery on the GM Unsecured Claim until other
          unsecured creditors receive at least a 20% recovery,
          both the GM Unsecured Claim and GM Admin. Claim would
          be entitled to specified, and special, treatment under
          any plan of reorganization pursuant to the Amended
          GSA.

       -- Distributions on account of the GM Claims are to be
          made by issuing preferred stock to GM which is not
          made available to any other constituent body of the
          Debtors, and the value of which remaining unknown.

  (2) The Amended GSA contemplates that the Debtors and
      their affiliates immediately release substantially all of
      their claims against GM and its affiliates on the
      effective date of the Amended GSA and reaffirm this
      release as of the date that the Debtors emerge from
      chapter 11.  The Amended GSA also requires that any
      future plan of reorganization provide that certain third
      parties, including the Creditors Committee, the Equity
      Committee, the DIP Agent, and the DIP Lenders, among
      others, release GM and its affiliates of substantially all
      of their claims against GM and its affiliates as of the
      Emergence Date.

  (3) The Amended GSA and Amended MRA leave little doubt that
      these agreements are to control and dictate the terms of
      any future plan of reorganization.  Specifically, the
      Amended GSA requires that any Delphi Plan contain
      provisions "clarifying that to the extent of any
      inconsistency between the terms of the Delphi Plan and
      [the Amended GSA] (solely as to the subject matters
      addressed in [the Amended GSA]), the terms of [the Amended
      GSA] will govern."

(b) Indenture Trustee to Senior Notes

Wilmington Trust Company, indenture trustee for US$2,000,000,000
in Delphi senior notes and debentures, asked the Court to deny the
Debtors' motion to implement the amended GSA and MRA.

Edward M. Fox, Esq., at K&L Gates LLP, in New York, said Delphi
is seeking an unauthorized modification of the Debtors' confirmed
Plan of Reorganization, opposing Section 1127 of the Bankruptcy
Code, which not only applies to proposed modifications of actual
plan language, but also to proposed modifications of plan-related
documents, particularly where the documents [were] an integral
part of the reorganization plan and confirmation order.

Pursuant to Section 1127(b), the proponent of a plan or the
reorganized debtor may modify the plan at any time after
confirmation of the plan and before substantial consummation of
the Plan...  The Plan as modified under the this subsection
becomes the Plan only if the circumstances warrant the
modification and the court, after notice and a hearing, confirms
the plan as modified, under Section 1129.

Mr. Fox also related that the GSA and MRA may not be amended
without the approval of the Creditors Committee, as provided for
in Section 12.2 of the Plan.  He added that the Debtors' proposal
to grant a general release to GM at this time is contrary to the
best interests of creditors, particularly since the Debtors may
well need additional assistance and support from GM in order to
consummate a plan of reorganization and emerge from bankruptcy.

(c) Creditors Committee

The Official Committee of Unsecured Creditors also asked the
Court to deny the Motion, citing that the immediate release
granted to GM and the size of the allowed administrative expense
claim to GM violate Section 1127 of the Bankruptcy Code, as the
original GSA and MRA were exhibits to the Debtors' confirmed
Chapter 11 plan.

Robert J. Rosenberg, Esq., at Latham & Watkins LLP, in New York,
said that if the proposed amendments to the GSA and the MRA are
approved, it will provide GM with extra ordinary consideration in
exchange for GM entering into transactions that are tremendously
beneficial to GM on its own.  These agreements represent no less
than the complete abdication by the Debtors of all control over
their destiny, without regard to the consequence to their
unsecured creditors, Mr. Rosenberg explained.

                  Delphi Addresses Objections

John Wm. Butler, Jr., Esq., at Skadden, Arps, Slate, Meagher &
Flom LLP, in Chicago, Illinois, noted that although certain
parties allege that the Debtors are requesting relief that is
not in the best interests of the estates and in breach of their
fiduciary duties, only these parties filed objections that remain
unresolved:

   -- the International Union of Electronic, Electrical,
      Salaried, Machine and Furniture Workers-Communication
      Workers of America and the United Steelworkers of America,
      which are continuing to collectively bargain
      implementation agreements with Delphi which would include
      their consent to Amended GSA and MRA

   -- the official committee of unsecured creditors; Wilmington
      Trust Company, a member of the Creditors Committee; and CR
      Intrinsic and Highland, whose interests are represented by
      both the Creditors Committee and WTC.

The Debtors furnished a chart summarizing their responses to
objections, a copy of which is available for free at
http://ResearchArchives.com/t/s?332f

The Debtors pointed out that their largest union, the United Auto
Workers, is not opposing to the Amended GSA and MRA.  They added
that the Equity Committee, Fiduciary Counselors, the PBGC, and
three unions have conveyed support or no objections.

Contrary to the assertions of the Creditors Committee, the
Amended GSA and MRA are the product of months of intense, arm's-
length bargaining between the Debtors and GM during which the
Debtors clearly considered various alternatives and options to
the Amended GSA and the Amended MRA, Mr. Butler clarified.

Mr. Butler recounted that when Appaloosa Management, L.P., and
the other Plan Investors failed to participate in the April 4,
2008 closing, Delphi's Board of Directors convened the first of
nine meetings that would be held between that date and the
Board's ultimate approval of the Amended GSA and MRA on Sept. 12.
The Debtors also met with the Creditors Committee and held
discussions with GM about a modified plan of reorganization
framework involving a stand-alone plan to be funded internally
through adjustments to the recoveries of GM, general unsecured
creditors, and other stakeholders.  Those discussions concluded
on June 25, when GM informed Delphi that it was not willing to
provide the level of incremental financial support that would
have been necessary to make a standalone plan of reorganization
framework possible under the RPOR as it existed at that time.

Promptly after learning of GM's decision, Delphi began a process
of identifying and assessing a range of specific strategic
alternatives that included POR modifications providing for debt
financing and equity financing through a rights offering
backstopped by creditors or other potential investors.  In
addition, in mid-July 2008, Delphi and GM re-engaged in
constructive discussions that addressed, among other things, the
incremental financial support needed to make the revised POR a
realistic business plan that should attract interest in the
capital markets.  These efforts have resulted in a number of
significant developments since April 2008, all of them
accomplished against the backdrop of deteriorating macroeconomic
and automotive industry conditions and turbulence in the capital
markets, Mr. Butler detailed.

Throughout this process, Delphi's senior leadership acted with
diligence and in accordance with its fiduciary duty to maximize
the business enterprise value of Delphi and its affiliates and
thereby maximize the opportunities for recoveries by the Debtors'
stakeholders.  In doing so, Delphi, according to Mr. Butler,
considered the Creditors Committee's demand that the Debtors play
a high-stakes game of "chicken" with GM up through the 414(l)
Transfer deadline of Sept. 29, 2008, in the hopes that GM would
eventually agree to what the Creditors Committee was really
seeking --- a form of guaranteed recovery for general unsecured
creditors from GM.  Delphi ultimately rejected that approach
because it believed that obtaining GM's commitment to take on an
upsized 414(l) Transfer, assume prompt financial responsibility
for other post-employment benefits, and provide what the Debtors
concluded was the additional required support for the RPOR was,
on balance, more beneficial to the Debtors and their stakeholders
than holding out for more at the risk of losing everything.

Although the Creditors' Panel may not agree with their decisions
for failing to initiate litigation or use other "tools" against
GM, the Debtors believe that their decisions since April 4 are
sound.  Mr. Butler avers that both the timeline of events and the
breadth of support GM is providing through the Amended GSA and
the Amended MRA demonstrate that the Debtors did not "surrender"
or abdicate control of these cases to GM.  The Debtors firmly
believe that the Amended GSA and MRA are in the best interests of
the estates, and that entry into the agreements is fundamentally
necessary for any meaningful recovery to stakeholders.

        Creditors Committee Renews Support for GM/Delphi

Delphi creditors have concurred to proposed amendments to
agreements between the auto-parts maker and its former parent
General Motors Corp., removing one hindrance to Delphi's exit
from bankruptcy after almost three years, Bloomberg News reports.

Judge Drain approved the Amended GSA and MRA after Delphi reached
a deal with the Creditors Committee.  Mr. Butler, Delphi's
counsel, told the Court at the Sept. 25 hearing that the
Creditors Committee tentatively agreed to amendments that would
change how creditors are paid in the company's restructuring as
well as the terms of preferred stock GM would receive under an
amended POR.

The hearing was originally scheduled for Sept. 23, but was
adjourned for two days to allow the Debtors and the Creditors
Committee to reach common ground.

The Creditors Committee's counsel, Robert J. Rosenberg, Esq., at
Latham & Watkins LLP, in New York, confirmed the deal.  "All's
well that ends well," Mr. Rosenberg, after retracting the
Committee's objection to the new GM deals, which would allow
Delphi to exit bankruptcy.

"Today was a major milestone in these Chapter 11 cases,"
Mr. Butler said at the Sept. 25 hearing.

Delphi and the Creditors Committee engaged in negotiations
regarding the Amended GSA and MRA.  Possible scenarios, according
to Reuters, included GM accepting preferred Delphi shares, or
splitting administrative proceeds 50-50 with Delphi's unsecured
creditors.  The Debtors and GM reached a first amendment to the
Amended GSA on Sept. 25, 2008, which added these provisions:

   1. "GUC Percentage" shall mean .2 multiplied by the amount of
      allowed general unsecured claims (exclusive for all
      purposes of this section 1.57(a) of holders of TOPrS
      Claims, as defined in the 2007 Plan) divided by the sum of
      US$2.055 billion and the product of .2 and the amount of
      allowed general unsecured claims.

   2. If any condition for the receipt by GM of the preferred
      stock described in Section 4.04(c) of the GSA is not
      satisfied or waived by GM, holders of general
      unsubordinated unsecured claims (exclusive for all
      purposes of this section 4.04(a) of TOPrS Claims, as
      defined in the 2007 Plan) shall receive 50% of all
      distributions that otherwise would be made to GM on
      account of its administrative expense claims allowed
      pursuant to this Section 4.04(a) to the extent necessary
      for such holders to receive an aggregate distribution,
      exclusive of any value received as a result of
      participation by such holders in any rights offering or
      similar undertaking, on account of their allowed general
      unsubordinated unsecured claims equal in value of up to
      US$300 million.

   3. If all conditions for the receipt by GM of the preferred
      stock described in the preceding sentence are satisfied,
      value equal (at Plan value) to an amount of up to the GUC
      Percentage multiplied by the stated value of the preferred
      stock otherwise distributable to GM under the first
      sentence of this Section 4.04(c) shall be distributed to
      holders of general unsubordinated unsecured claims
      (exclusive for all purposes of this section 4.04(c) of
      holders of TOPrS Claims, as defined in the 2007 Plan) to
      the extent necessary to permit the holders of general
      unsubordinated unsecured claims to receive distributions,
      exclusive of any value received as a result of
      participation by such holders in any rights offering or
      similar undertaking, equal to 20% of their allowed general
      unsubordinated unsecured claims.

   4. Any amendments to the Amended GSA or the Amended MRA that
      are materially adverse to the Debtors' estates shall
      require the consent of the Creditors Committee.

A full-text copy of the First Amendment to the Amended GSA is
available for free at http://ResearchArchives.com/t/s?332e

Delphi also posted a summary of indicative terms for the
preferred stock it will issue to GM pursuant to a POR.  The
summary provides that Shares of Series D Convertible Preferred
Stock, par value US$0.01 per share, with an aggregate initial
stated value of US$2,055,000,000 will be issued to GM.  Delphi may
pay cash to GM to reduce the number of shares issued at a price
equal to the Stated Value per share.  A copy of the Summary is
available for free at http://ResearchArchives.com/t/s?332d

                   About General Motors

Headquartered in Detroit, Michigan, General Motors Corp. (NYSE:
GM) -- http://www.gm.com/-- was founded in 1908.  GM
employs about 266,000 people around the world and manufactures
cars and trucks in 35 countries.  In 2007, nearly 9.37 million GM
cars and trucks were sold globally under the following brands:
Buick, Cadillac, Chevrolet, GMC, GM Daewoo, Holden, HUMMER, Opel,
Pontiac, Saab, Saturn, Vauxhall and Wuling.  GM's OnStar
subsidiary is the industry leader in vehicle safety, security and
information services.

GM Europe is based in Zurich, Switzerland, while General Motors
Latin America, Africa and Middle East is headquartered in
Miramar, Florida.

At June 30, 2008, the company's balance sheet showed total assets
of US$136.0 billion, total liabilities of US$191.6 billion, and
total stockholders' deficit of US$56.9 billion.  For the quarter
ended June 30, 2008, the company reported a net loss of US$15.4
billion over net sales and revenue of US$38.1 billion, compared to
a net income of US$891.0 million over net sales and revenue of
US$46.6 billion for the same period last year.

                      About Delphi Corp.

Based in Troy, Michigan, Delphi Corporation (PINKSHEETS: DPHIQ)
-- http://www.delphi.com/-- is the single supplier of vehicle
electronics, transportation components, integrated systems and
modules, and other electronic technology.  The company's
technology and products are present in more than 75 million
vehicles on the road worldwide.  Delphi has regional
headquarters in Japan, Brazil and France.

The company filed for Chapter 11 protection on Oct. 8, 2005
(Bankr. S.D.N.Y. Lead Case No. 05-44481).  John Wm. Butler Jr.,
Esq., John K. Lyons, Esq., and Ron E. Meisler, Esq., at Skadden,
Arps, Slate, Meagher & Flom LLP, represent the Debtors in their
restructuring efforts.  Robert J. Rosenberg, Esq., Mitchell A.
Seider, Esq., and Mark A. Broude, Esq., at Latham & Watkins LLP,
represent the Official Committee of Unsecured Creditors.  As of
June 30, 2008, the Debtors' balance sheet showed US$9,162,000,000
in total assets and US$23,742,000,000 in total debts.

The Court approved Delphi's First Amended Joint Disclosure
Statement and related solicitation procedures for the
solicitation of votes on the First Amended Plan on Dec. 20,
2007.  The Court confirmed the Debtors' First Amended Plan on
Jan. 25, 2008.  The Plan has not been consummated after a group
led by Appaloosa Management, L.P., backed out from their
proposal to provide US$2,550,000,000 in equity financing to
Delphi.

(Delphi Bankruptcy News, Issue 146; Bankruptcy Creditors' Service
Inc., http://bankrupt.com/newsstand/or 215/945-7000)


DELPHI CORP: Gets Court's Nod to Modify Employee and Union Deals
----------------------------------------------------------------
Judge Robert Drain of the U.S. Bankruptcy Court for the Southern
District of New York overruled all objections and granted the
request of Delphi Corp. to change effective dates of certain
Memorandum of Understanding provisions, and to negotiate the
changes with Delphi's unions.

Delphi may now begin talks with unionized workers on freezing
contributions to existing pension plans.  Judge Drain overruled
an objection by the Official Committee of Unsecured Creditors,
which said turmoil in the auto industry made it a bad time to
create a new benefit plan for senior managers.

The United Steelworkers of America says it is committed to
continued good-faith negotiations to reach a mutually acceptable
implementation agreement in connection with the Delphi's request.

Representing USW, Hanan B. Kolko, Esq., at Meyer, Souzzi, English
& Klein, P.C., informs the Court that the USW is cognizant of the
circumstances giving rise to the Debtors' request.  USW, however,
submitted a limited objection due to the short time which the it
has had to review and evaluate the implementation agreement and
engage in negotiations, and because the negotiations have not yet
resulted in an agreement.

Former Delphi retires who are former General Motors Corp.
executives submitted to the Court their concerns about the impact
the proposed modification of the GSA and MRA would bring to their
retirement and post-retirement benefits.  These retirees are
especially apprehensive that they will be excluded from the
Supplemental Executive Retirement Program, and they ask the Court
for the (i) continuation of their SERP payments or (ii) fairly
determined cash settlement for their benefits.

The Delphi retirees are, among others, David J. Bastin, Allen W.
Besey, Garry J. Brooks, Larry F. Cracaft, Robert L. Fatzinger,
Edward A. Golick, James B. Hegstrom, Weslay Don Helm, Robert P.
Hoffman, John R. Holmes, William M. Jenkins, Michael L. Julius,
Larry D. Kesler, Bruce E. Kirkhan, John F. Lambert, Michael R.
Lippa, Ronald R. Malanga, Terry L. Marquis, Dennis Mead, John R.
Neville, Jacob Pikaart, Jerry Shafer, Francis H. Titzenhaler,
Charles L. Rose, Allan B. Rowley, Patrick J. Straney, Michael K.
Stout, Ronald Turkett, Wyne J. Varady, and Kenneth G. Wingeier.

Dawn M. Eaton, a salaried worker at Delphi, objected to service
costs and aspects of the pension freeze and follow-on plans.  She
pointed out that the (i) service cost for the Motion was
frivolous expense of US$4,000,000, and (ii) the Defined
Contribution Plan should be an administrative expense claim.

         Cred. Committee Supports Pension Plan Freeze

The Debtors noted that they have received only four timely filed
objections out of more than 12,000 parties affected by their
request for authority to modify the hourly and salaried pension
programs.

John Wm. Butler, Jr., Esq., at Skadden, Arps, Slate, Meagher &
Flom LLP, in Chicago, Illinois, had informed the Court that while
the Committee objected to the Motion, it actually concedes its
support for the freezing of the Debtors' pension plans and most
aspects of the follow-on plans.  The Creditors Committee, he
points out, also concedes that the relief requested will save the
estates money, with the save and replacement package saving
millions of dollars per quarter.

Mr. Butler added that the International Union of Electronic,
Electrical, Salaried, Machine and furniture Workers-Communication
Workers of America have raised no substantive issue in its
objection, and the Debtors fulfilled the IUE-CSA's discovery
request.  The Debtors believe there's no need for them to address
the IUE-CWA objection; the Debtors instead request the Court to
strike the IUE-CWA objection to the extent that it is not
withdrawn prior to the hearing.

With regards to the objection asserted by Ms. Eaton, the Debtors
noted that the objection was untimely and assert that the Court
should strike or otherwise overrule that objection about the
objectors concern that the service costs exceeded US$4,000,000.
For the sake of clarification, the Debtors declare that the
service costs were approximately US$400,000.

The Debtors pointed out that the cost is justified by the
millions of dollars in savings that would be achieved if the
Court approves the Motion.

According to Bloomberg News, Mr. Butler said, "[i]t would be
patently unreasonable" to create replacement plans for everyone
except 460 top executives."

                      About Delphi Corp.

Based in Troy, Michigan, Delphi Corporation (PINKSHEETS: DPHIQ)
-- http://www.delphi.com/-- is the single supplier of vehicle
electronics, transportation components, integrated systems and
modules, and other electronic technology.  The company's
technology and products are present in more than 75 million
vehicles on the road worldwide.  Delphi has regional
headquarters in Japan, Brazil and France.

The company filed for Chapter 11 protection on Oct. 8, 2005
(Bankr. S.D.N.Y. Lead Case No. 05-44481).  John Wm. Butler Jr.,
Esq., John K. Lyons, Esq., and Ron E. Meisler, Esq., at Skadden,
Arps, Slate, Meagher & Flom LLP, represent the Debtors in their
restructuring efforts.  Robert J. Rosenberg, Esq., Mitchell A.
Seider, Esq., and Mark A. Broude, Esq., at Latham & Watkins LLP,
represent the Official Committee of Unsecured Creditors.  As of
June 30, 2008, the Debtors' balance sheet showed US$9,162,000,000
in total assets and US$23,742,000,000 in total debts.

The Court approved Delphi's First Amended Joint Disclosure
Statement and related solicitation procedures for the
solicitation of votes on the First Amended Plan on Dec. 20,
2007.  The Court confirmed the Debtors' First Amended Plan on
Jan. 25, 2008.  The Plan has not been consummated after a group
led by Appaloosa Management, L.P., backed out from their
proposal to provide US$2,550,000,000 in equity financing to
Delphi.

(Delphi Bankruptcy News, Issue 146; Bankruptcy Creditors' Service
Inc., http://bankrupt.com/newsstand/or 215/945-7000)


DOLE FOOD: Inks Letter of Intent to Sell Flowers Division
---------------------------------------------------------
Dole Food Company, Inc. disclosed in a Securities and Exchange
Commission the status of pending asset sale transactions.

Dole has signed a binding letter of intent to sell its flowers
division.  The sale of the flowers division is expected to take
place in two or three phases, with closing of at least the first
phase expected to occur in the fourth quarter of 2008.

Dole has signed a definitive purchase and sale agreement to sell
its JP Fresh subsidiary in England and its ripening and
distribution business in France to Compagnie Financiere de
Participations, a company in which Dole holds a non-controlling
40% stake, with closing expected to occur in the fourth quarter of
2008.

When all phases of the flowers transaction are complete, net
proceeds to Dole from the sale of the flowers division, the two
Dole ripening and distribution companies in Europe and some
additional agricultural acreage in California, Hawaii and Mexico
will be approximately US$145 million.

The cash proceeds of these transactions will be used to pay down
Dole's senior secured credit facilities.  These net proceeds of
US$145 million, when added to the US$132 million in asset sales
disclosed in Dole's Second Quarter 2008 Form 10-Q filed on July
29, 2008, will bring the total of asset sales to approximately
US$277 million.

"Dole is pleased to be moving forward with these asset sale
transactions, continuing to execute on our previously announced
plan to sell assets to reduce our debt," said David A. DeLorenzo,
President and CEO of Dole.

                       About Dole Food

Based in Westlake Village, California, Dole Food Company Inc. --
http://www.dole.com/-- is the world's largest producer and
marketer of high-quality fresh fruit, fresh vegetables and fresh-
cut flowers.  Dole markets a growing line of packaged and frozen
foods and is a produce industry leader in nutrition education and
research.

                         *     *     *

As disclosed in the Troubled Company Reporter on April 21, 2008,
Standard & Poor's Ratings Services assigned recovery ratings to
Dole Food Co. Inc.'s unsecured debt issues and raised the issue-
level ratings on this debt.  The issue-level ratings on the
unsecured debt were raised to 'B-' from 'CCC+'.  Recovery ratings
of '4' were assigned to this debt, indicating the expectation of
average (30%-50%) recovery in the event of a payment default.

In addition, Dole Food Company Inc. carries Moody's Investors
Service's Caa1 Senior Unsecured Debt rating assigned on Feb. 25,
2008.  Rating holds to date.


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


ABACUS LIEGENSCHAFTEN: Claims Registration Period Ends Oct. 8
-------------------------------------------------------------
Creditors of Abacus Liegenschaften GmbH have until Oct. 8, 2008,
to register their claims with court-appointed insolvency manager
Joerg Sievers.

Creditors and other interested parties are encouraged to attend
the meeting at 10:10 a.m. on Nov. 5, 2008, at which time the
insolvency manager will present his first report on the insolvency
proceedings.

The meeting of creditors will be held at:

         The District Court of Stralsund
         Hall AE 26
         Ground Floor
         House A
         Bielkenhagen 9
         Stralsund
         Germany

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

The insolvency manager can be reached at:

         Joerg Sievers
         Robert-Blum-Strasse 1
         17489 Greifswald
         Germany

The District Court of Stralsund opened bankruptcy proceedings
against Abacus Liegenschaften GmbH on Sept. 10, 2008.
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be reached at:

         Abacus Liegenschaften GmbH
         Attn: Joachim-Josef Schulz, Manager
         Siedlung Am Wald 21
         18586 Sellin
         Germany


ANTEC SOLARPARK: Claims Registration Period Ends Oct. 8
-------------------------------------------------------
Creditors of ANTEC Solarpark Projektierung GmbH have until
Oct. 8, 2008, to register their claims with court-appointed
insolvency manager Dr. Holger Lessing.

Creditors and other interested parties are encouraged to attend
the meeting at 9:05 a.m. on Nov. 19, 2008, at which time the
insolvency manager will present his first report on the insolvency
proceedings.

The meeting of creditors will be held at:

         The District Court of Frankfurt (Main)
         Hall 2
         Building F
         Klingerstrasse 20
         60313 Frankfurt (Main)
         Germany

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

The insolvency manager can be reached at:

         Dr. Holger Lessing
         Hanauer Landstr. 287-289, D
         60314 Frankfurt (Main)
         Germany
         Tel: 069/15051300
         Fax: 069/15051400

The District Court of Frankfurt (Main) opened bankruptcy
proceedings against ANTEC Solarpark Projektierung GmbH on
July 28, 2008.  Consequently, all pending proceedings against the
company have been automatically stayed.

The Debtor can be reached at:

         ANTEC Solarpark Projektierung GmbH
         Kaiserstr. 11
         60311 Frankfurt (Main)
         Germany


DL GESELLSCHAFT: Claims Registration Period Ends October 10
-----------------------------------------------------------
Creditors of pro DL Gesellschaft fuer Dienstleistungsprojektierung
und -vermarktung mbH have until Oct. 10, 2008, to register their
claims with court-appointed insolvency manager Carlos Claussen pp.

Creditors and other interested parties are encouraged to attend
the meeting at 9:30 a.m. on Nov. 6, 2008, at which time the
insolvency manager will present his first report on the insolvency
proceedings.

The meeting of creditors will be held at:

         The District Court of Hamburg
         Hall B 405
         Fourth Floor Annex
         Civil Justice Bldg.
         Sievkingplatz 1
         20355 Hamburg
         Germany

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

The insolvency manager can be reached at:

         Carlos Claussen pp
         Moenckebergstrasse 31
         20095 Hamburg
         Germany

The District Court of Hamburg opened bankruptcy proceedings
against pro DL Gesellschaft fuer Dienstleistungsprojektierung
und -vermarktung mbH on Aug. 6, 2008.  Consequently, all pending
proceedings against the company have been automatically stayed.

The Debtor can be reached at:

         pro DL Gesellschaft fuer Dienstleistungsprojektierung
         und -vermarktung mbH
         Kuehnehoefe 3a
         22761 Hamburg
         Germany


HYPO REAL: EU Commission Approves German Rescue Aid Package
-----------------------------------------------------------
The European Commission on, Thursday, Oct. 2, 2008, authorized,
under the EC Treaty's rules on state aid, loan guarantees totaling
EUR35 billion that the German Federal Government, together with a
group of German financial institutions, intends to provide for
covering Hypo Real Estate's re-financing needs until April 2009.
The Commission concluded that the measures comply with EU rules on
rescue aid.  The approval of the rescue aid measure has no bearing
on whether any future measures taken by the German authorities to
support a restructuring would be similarly approved.  Any such
measures would have to be assessed on their own merits according
to the rules on restructuring aid to establish whether aid was
involved, and if so whether sufficient compensatory measures to
offset potential distortions of competition were put in place.

EU Competition Commissioner Neelie Kroes said: "This case shows
once again that, with good cooperation from the Member State
concerned, the Commission can move very quickly.  It demonstrates
that state aid control is not part of the problem but part of the
solution for ensuring that measures designed for financial
stability can be implemented with legal certainty.  I look forward
to continue working closely with the German authorities during any
discussions on the future restructuring or liquidation of Hypo
Real Estate Holding AG."

Hypo Real Estate Holding AG (HRE group) has a balance sheet of
EUR400 billion and consists mainly of three German banks –- Hypo
Real Estate Bank AG, Hypo Real Estate Bank International AG and
DEPFA Deutsche Pfandbriefbank AG -– as well the Irish DEPFA plc.
The banks of the HRE group belong to one of the largest issuers of
covered bonds (Pfandbriefe).

By end-September, the group faced a liquidity crisis due to its
short-term refinancing strategy as the crisis of confidence among
banks worsened in mid-September 2008.

With the intention of preserving financial stability, the German
Federal Government together with a group of German financial
institutions intends to provide loan guarantees totaling EUR35
billion, for covering HRE's re-financing needs until April 2009,
via a newly created special purpose vehicle (SPV).  Such a
guarantee is necessary for attracting liquidity from a private
consortium of German financial institutions and for allowing the
SPV to tap additional emergency liquidity lines from the German
Bundesbank.  As collateral, HRE provides a package of securities
and loans with a nominal value of EUR42 billion and the shares of
its subsidiary banks.  Until finalization of this package, an
upfront emergency rescue loan will be provided by a group of
German financial institutions totaling EUR15 billion.

The Commission received details of these measures on
Sept. 30, 2008.  The Commission considers that the guarantee
provided by the Government constitutes state aid.  However, the
aid enables the HRE group to keep afloat for the time needed to
work out a restructuring plan.

These aid measures can therefore be authorized as rescue aid in
line with the EU Guidelines on state aid for rescuing and
restructuring or liquidating firms in difficulty.  Under these
rules, rescue aid must be given in the form of loans or guarantees
lasting no more than six months.  A subsequent restructuring plan
has to include a compatibility analysis for all measures
undertaken including eventual structural measures. If a
restructuring plan were to involve state aid, it would have to be
assessed on its own merits under the rules on restructuring aid.

                        Background

The Hypo Real Estate Bank AG and the Hypo Real Estate Bank
International AG concentrate on national and international
mortgage business.  DEPFA Deutsche Pfandbriefbank AG and DEPFA
bank plc specialized in government and infrastructure financing as
well as capital market activities and asset management for
mortgage products.  DEPFA, which had been taken over by HRE group
in summer 2007, financed its projects via extremely short-term
loans.

By end-September, the HRE group faced a liquidity shortage due to
its short-term refinancing strategy as the crisis of confidence
among banks worsened following Lehman Brothers Holdings filing for
bankruptcy protection.  Interbank lending markets are displaying
signs of intensive strains since the start of the current credit
crisis last summer.  In this environment, the up to EUR35 billion
short-term refinancing needs of DEPFA were too large to bear for
HRE group.

The guarantee –- organized via a newly created SPV with a banking
license -- limits the risk for private banks.  Potential losses of
up to EUR14.2 billion are to be split 60:40 between the private
financial institutions and the German Government, whereas the
maximal private loss is limited to EUR8.5 billion. Losses going
beyond EUR14.2 billion are shouldered by the German Government
alone.  Apart from the guarantee, no government funds are foreseen
for the HRE group.  The guarantee would only come into force, once
the HRE provided collateral becomes insufficient for covering
eventual losses.  The collateral consists of the nominal amount of
EUR42 billion of securities – with a current mark-to-market value
of EUR15 billion – and the shares of HRE's subsidiaries.

                   About Hypo International AG

Hypo Real Estate Bank AG and Hypo Real Estate Bank International
AG, Munich, are leading providers of commercial real estate
financing on an international scale and in Germany.  The banks
offer their services to professional real estate investors,
building societies, and developers as well as closed and open
ended real estate funds globally through 20 offices across Europe,
the Americas and Asia.  The service and product range includes
classical Pfandbrief-based mortgages as well as large-volume
investment banking products.  Both banks are members of Hypo Real
Estate Group.  Following the acquisition of DEPFA Bank plc in
October 2007, the Group has evolved into one of the leading
international financial services providers for commercial real
estate, public sector and infrastructure finance.

                   About Hypo Real Estate Group

Following the acquisition of DEPFA Bank plc in October 2007,
Munich, Germany-based Hypo Real Estate Group –
http://www.hyporealestate.com/-- has evolved into one of the
leading international financial services providers for commercial
real estate lending, public finance and infrastructure finance.
The Group, with total assets of EUR395 billion, 1,900 employees
and offices across Europe, the Americas and Asia, consists of the
non-operational listed Hypo Real Estate Holding AG and operational
entities.  Hypo Real Estate Bank International AG and Hypo Real
Estate Bank AG conduct the international real estate financing
business.  DEPFA and DEPFA Deutsche Pfandbriefbank AG conduct the
public sector and infrastructure finance business.


HYPO REAL: S&P Puts BB-Rated Class F Notes on CreditWatch Negative
------------------------------------------------------------------
Standard & Poor's Ratings Services has lowered its ratings on the
class A1+, A2, B, and C notes issued by Hypo Real Estate Bank AG
(BBB+/Negative/A-2), under the ESTATE Pan-Europe 5 CMBS
transaction.  At the same time, S&P placed the class E and F notes
on CreditWatch with negative implications.  The class D notes are
unaffected by these rating actions.

The rating actions, both the downgrade and the placement on
CreditWatch, follow the lowering of the rating on Hypo Real Estate
Bank to 'BBB+' from 'A-' (on Sept. 29, 2008), and the placement on
CreditWatch negative of all covered bonds issued by Depfa ACS.

The notes were issued in December 2007 by Hypo Real Estate Bank
and were secured against public credit-covered securities issued
by Depfa (the note collateral).  Thus, the rating on the notes
was capped at the rating on the note collateral.

In July 2008, the note collateral for the class A1+ to D notes was
removed with the agreement of all the noteholders, resulting in a
direct credit-link to Hypo Real Estate Bank.

The ratings on the notes reflect S&P's assessment of the default
risk of the underlying reference loans.  At the same time, they
are capped at the rating on Hypo Real Estate Bank due to the
above-mentioned direct credit-link.

The note collateral for classes E and F remains in place.  Thus,
the rating on these notes is still capped at the rating on the
note collateral.  If the rating on the note collateral is lowered
below the rating on the notes, then these ratings on these notes
will also be lowered.

S&P will now consider the implications of the placement of the
Pfandbriefe collateral on CreditWatch negative and the changed
circumstances for Hypo Real Estate Bank, as well as a number of
structural issues that relate to the collateral arrangements on
its current credit opinion of the class E and F notes.

Hypo Real Estate Bank AG

  -- EUR286.25 Floating-Rate Amortizing Credit-Linked Notes
     (ESTATE Pan-Europe 5)

Ratings Lowered:

Class       To             From
-----       --             ----
  A1+       BBB+             A-
  A2        BBB+             A-
  B         BBB+             A-
  C         BBB+             A-

Ratings Placed On CreditWatch Negative:

Class         To             From
-----         --             ----
   E      BBB/Watch Neg       BBB
   F      BB/Watch Neg        BB


INGENIEUR-, PLANUNGS: Claims Registration Period Ends October 10
----------------------------------------------------------------
Creditors of Ingenieur-, Planungs-Baugeneraluebernehmer GmbH have
until Oct. 10, 2008, to register their claims with court-appointed
insolvency manager Rolf Sperling.

Creditors and other interested parties are encouraged to attend
the meeting at 8:15 a.m. on Nov. 6, 2008, at which time the
insolvency manager will present his first report on the insolvency
proceedings.

The meeting of creditors will be held at:

         The District Court of Wolfratshausen
         Meeting Halll 3/I
         Bahnhofstrasse 18
         Wolfratshausen
         Germany

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

The insolvency manager can be reached at:

         Rolf Sperling
         Loisach Ufer 23
         82515 Wolfratshausen
         Germany
         Tel: 08171/99880
         Fax: 08171/998877

The District Court of Wolfratshausen opened bankruptcy proceedings
against Ingenieur-, Planungs-Baugeneraluebernehmer GmbH on Sept.
1, 2008.  Consequently, all pending proceedings against the
company have been automatically stayed.

The Debtor can be reached at:

         Ingenieur-, Planungs-Baugeneraluebernehmer GmbH
         Nordhofstr. 5
         83623 Dietramszell
         Germany


INTERNATIONAL FOREST: Claims Registration Period Ends October 10
----------------------------------------------------------------
Creditors of International forest modelling systems (IFMS) GmbH &
Co. KG have until Oct. 10, 2008, to register their claims with
court-appointed insolvency manager Andreas Rohe.

Creditors and other interested parties are encouraged to attend
the meeting at 1:30 a.m. on Nov. 10, 2008, at which time the
insolvency manager will present his first report on the insolvency
proceedings.

The meeting of creditors will be held at:

         The District Court of Neubrandenburg
         Hall 1
         Fr.-Engels-Ring 15-18
         Neubrandenburg
         Germany

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

The insolvency manager can be reached at:

         Andreas Rohe
         Kamigstr. 2
         17373 Ueckermuende
         Germany

The District Court of Neubrandenburg opened bankruptcy proceedings
against International forest modelling systems (IFMS) GmbH & Co.
KG on Aug. 28, 2008.  Consequently, all pending proceedings
against the company have been automatically stayed.

The Debtor can be reached at:

         International forest modelling systems (IFMS) GmbH &
         Co. KG
         Franzfelde 31
         17309 Pasewalk
         Germany


LA CREATION: Claims Registration Period Ends October 10
-------------------------------------------------------
Creditors of La Creation Gastronomie GmbH have until Oct. 10,
2008, to register their claims with court-appointed insolvency
manager Bernd Klose.

Creditors and other interested parties are encouraged to attend
the meeting at 9:00 a.m. on Nov. 24, 2008, at which time the
insolvency manager will present his first report on the insolvency
proceedings.

The meeting of creditors will be held at:

         The District Court Bad Homburg v.d. Hoehe
         Room 302
         Third Floor
         Auf der Steinkaut 10-12
         61352 Bad Homburg v.d. Hoehe
         Germany

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

The insolvency manager can be reached at:

         Bernd Klose
         Am Houiller Platz 4D
         61381 Friedrichsdorf/Ts.
         Germany
         Tel: 06172/7317-0
         Fax: 06172/731717

The District Court of Bad Homburg v.d. Hoehe opened bankruptcy
proceedings against La Creation Gastronomie GmbH on Sept. 1, 2008.
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be reached at:

         La Creation Gastronomie GmbH
         Industriestrasse 1
         61352 Bad Homburg
         Germany


LASS PROJEKT: Claims Registration Period Ends Oct. 10
-----------------------------------------------------
Creditors of Lass Projekt GmbH have until Oct. 10, 2008, to
register their claims with court-appointed insolvency manager
Dr. Joern-H. Meyn.

Creditors and other interested parties are encouraged to attend
the meeting at 9:35 a.m. on Nov. 7, 2008, at which time the
insolvency manager will present his first report on the insolvency
proceedings.

The meeting of creditors will be held at:

         The District Court of Hamburg
         Meeting Hall B 405
         Fourth Floor
         Sievkingplatz 1
         20355 Hamburg
         Germany

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

The insolvency manager can be reached at:

         Dr. Joern-H. Meyn
         Herrengraben 31
         20459 Hamburg
         Germany

The District Court of Hamburg opened bankruptcy proceedings
against Lass Projekt GmbH on Aug. 21, 2008.  Consequently, all
pending proceedings against the company have been automatically
stayed.

The Debtor can be reached at:

         Lass Projekt GmbH
         Attn: Jan Kube, Manager
         Alsenstrasse 27
         22769 Hamburg
         Germany


MHG GEMEIN: Claims Registration Period Ends October 10
------------------------------------------------------
Creditors of MHG Gemein Logistik GmbH have until Oct. 10, 2008, to
register their claims with court-appointed insolvency manager
Thomas Steger.

Creditors and other interested parties are encouraged to attend
the meeting at 10:00 a.m. on Oct. 24, 2008, at which time the
insolvency manager will present his first report on the insolvency
proceedings.

The meeting of creditors will be held at:

         The District Court of Bad Neuenahr-Ahrweiler
         Hall 4
         Wilhelmstrasse 55-57
         53474 Bad Neuenahr-Ahrweiler
         Germany

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

The insolvency manager can be reached at:

         Thomas Steger
         Koelnstr. 135
         53757 St. Augustin
         Germany
         Tel: 02241-90600
         Fax: 02241-90 6090
         E-mail: kanzlei@kalker-fahnster.de

The District Court of Bad Neuenahr-Ahrweiler opened bankruptcy
proceedings against MHG Gemein Logistik GmbH on Sept. 8, 2008.
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be reached at:

         MHG Gemein Logistik GmbH
         Koelner Str. 50
         53489 Sinzig
         Germany


OBERFLACHEN TUNING: Claims Registration Period Ends Oct. 9
----------------------------------------------------------
Creditors of OTE Oberflachen Tuning Europa GmbH have until
Oct. 9, 2008, to register their claims with court-appointed
insolvency manager Dr. Wilhelm Wessel.

Creditors and other interested parties are encouraged to attend
the meeting at 9:15 a.m. on Oct. 30, 2008, at which time the
insolvency manager will present his first report on the insolvency
proceedings.

The meeting of creditors will be held at:

         The District Court of Luebeck
         Hall E3
         Am Burgfeld 7
         23568 Luebeck
         Germany

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

The insolvency manager can be reached at:

         Dr. Wilhelm Wessel
         Roeckstr. 1
         23568 Luebeck
         Germany

The District Court of Luebeck opened bankruptcy proceedings
against OTE Oberflachen Tuning Europa GmbH on Aug. 26, 2008.
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be reached at:

         OTE Oberflachen Tuning Europa GmbH
         Attn: Marc Winkler, Manager
         Am Flugplatz 4/85
         23560 Luebeck
         Germany


ORANGECLUB GMBH: Claims Registration Period Ends October 10
-----------------------------------------------------------
Creditors of OrangeClub GmbH Neubrandenburg have until Oct. 10,
2008, to register their claims with court-appointed insolvency
manager Martin Stritz.

Creditors and other interested parties are encouraged to attend
the meeting at 1:15 p.m. on Nov. 10, 2008, at which time the
insolvency manager will present his first report on the insolvency
proceedings.

The meeting of creditors will be held at:

         The District Court of Neubrandenburg
         Hall 1
         Fr.-Engels-Ring 15-18
         Neubrandenburg
         Germany

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

The insolvency manager can be reached at:

         Martin Stritz
         Steinstrasse 26
         19053 Schwerin
         Germany

The District Court of Neubrandenburg opened bankruptcy proceedings
against OrangeClub GmbH Neubrandenburg on Aug. 26, 2008.
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be reached at:

         OrangeClub GmbH Neubrandenburg
         Woldegker Strasse 27
         17033 Neubrandenburg
         Germany


TMT BAUSERVICE: Claims Registration Period Ends Oct. 9
------------------------------------------------------
Creditors of TMT Bauservice GmbH have until Oct. 9, 2008, to
register their claims with court-appointed insolvency manager Dr.
Stefanie Kuche.

Creditors and other interested parties are encouraged to attend
the meeting at 10:10 a.m. on Oct. 30, 2008, at which time the
insolvency manager will present his first report on the insolvency
proceedings.

The meeting of creditors will be held at:

         The District Court of Hameln
         Hall 106
         Zehnthof 1
         31785 Hameln
         Germany

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

The insolvency manager can be reached at:

         Dr. Stefanie Kuche
         c/o RA. Dr. Eckert
         Ger.-Fach Nr. 83
         Arthur-Menge-Ufer 5
         30169 Hannover
         Germany
         Tel: 0511/26094450
         Fax: 0511/26094451
         E-mail: eckert-Hannover@rae-eckert.de
         Web site: www.rae-eckert.de

The District Court of Hameln opened bankruptcy proceedings against
TMT Bauservice GmbH on Aug. 7, 2008.  Consequently, all pending
proceedings against the company have been automatically stayed.

The Debtor can be reached at:

         TMT Bauservice GmbH
         Attn: Ewald Bauscher, Manager
         Normannische Strasse 26 b
         30952 Ronnenberg
         Germany


WESTLB AG: EU Commission Opens In-Depth Probe Into State Aid
------------------------------------------------------------
The European Commission, on Wednesday, Oct. 1, 2008, opened under
EC Treaty state aid rules an in-depth investigation into state
support measures in favor of the German bank WestLB.  This is a
first step towards finding a viable long-term solution, in close
contact with the German authorities.  As a consequence of
investments in US sub-prime markets, WestLB ran into financial
difficulties.  In February 2008, the owners of the bank, i.e. the
Land of North Rhine Westphalia (NRW) and the savings banks
associations, provided a risk shield of EUR5 billion that was
authorized by the Commission as temporary rescue aid on
April 30, 2008.  As this measure continues to be necessary for the
bank to overcome its difficulties, Germany has notified a
restructuring plan.  The opening of an investigation is common for
state interventions of this magnitude and will ensure legal
certainty for the companies concerned.  It also gives interested
parties the possibility to submit their comments.  It does not
prejudge the outcome of the procedure.

Competition Commissioner Neelie Kroes said: "An in-depth
investigation provides a good opportunity for discussing the plan
submitted in August in greater detail and finding a solution to
ensure the long-term viability of West-LB.  I am confident that,
with the full commitment of all parties concerned, a sustainable
solution can be found."

WestLB AG is a European commercial bank based in North Rhine-
Westphalia, Germany's largest federal state.  With total assets of
EUR285.3 billion as at Dec. 31, 2006, it is a major German
financial services provider.  As one of the seven independent
German Landesbanken, it acts as a central bank for savings banks
in NRW and Brandenburg, and as an internationally operating
commercial bank it acts as their link to global financial markets.

On Feb. 8, 2008, the State of North Rhine-Westphalia set up a risk
shield for WestLB to protect it against the volatility of its
EUR23 billion structured investment portfolio, because of
difficulties arising from the subprime crisis in financial
markets.  The Commission concluded on April 30, 2008 that the risk
shield constitutes state aid, but that the aid was in line with
the EU rules on rescue aid because strict conditions ensure that
the aid is limited in time and reversible.

In line with the Commission's decision on the rescue aid, Germany
notified on Aug. 8, 2008 a restructuring plan for WestLB,
including a prolongation of the risk shield.  This notification
temporarily extends the legality of the risk shield until the
Commission has finalized its assessment of the restructuring plan.
The detailed investigation will evaluate whether the envisaged
restructuring is capable of restoring the long-term viability of
the bank, whether state support is limited to the minimum
necessary, and whether compensatory measures should be put in
place to minimize potential distortions of competition created by
the aid.

The opening of a formal investigation procedure does not prejudge
whether the measures concerned are in line with the EU state aid
rules.  It is a necessary step to ensure legal certainty for the
aid beneficiaries and their business partners and provides an
opportunity to improve the state aid measures.

                   Response of WestLB

WestLB disclosed that within the framework of the proceedings, the
owners and Managing Board of the Bank will continue their
constructive and ongoing dialogue with the Commission regarding
the restructuring plan submitted at the beginning of August.

In the discussions with the Commission, WestLB said it is
confident that –- also in the light of the current situation in
the financial markets -- there will be a comprehensive solution
for WestLB which also ensures the future viability of the Bank.

                       About WestLB

Hearquartered in Duesseldorf, Germany, WestLB AG (DAX:WESTLB)
-- http://www.westlb.com/-- provides financial advisory,
lending, structured finance, project finance, capital markets
and private equity products, asset management, transaction
services and real estate finance to institutions.

In the United States, certain securities, trading, brokerage and
advisory services are provided by WestLB AG's wholly owned
subsidiary WestLB Securities Inc., a registered broker-dealer
and member of the NASD and SIPC.

WestLB's shareholders are the two savings banks associations in
NRW (25.15% each), two regional associations (0.52% each), the
state of NRW (17.47%) and NRW.BANK (31.18%), which is owned by
NRW (64.7%) and two regional associations (35.3%).

                         *     *     *

West LB AG continues to carry Fitch's 'F' Individual Rating.
The rating was previously at 'D/E' and was downgraded by Fitch
to its current level in January 2008.


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


IRELAND: Gov't Moves to Protect EUR400 Billion in Liabilities
-------------------------------------------------------------
Ireland's government unveiled September 30 a guarantee arrangement
to safeguard the deposits and debts at six financial institutions
to ease short-term funding amid turmoil in the financial markets,
The Financial Times reports.

According to FT, the scheme guarantees an estimated EUR400 billion
(GBP315 billion, US$567 billion) of liabilities including retail,
commercial and inter-bank deposits.  This guarantee, which expires
in September 2010, adds to the already existing deposit insurance
scheme of up to EUR100,000.

The FT says the scheme will guarantee deposits in Allied Irish
Banks, Bank of Ireland, Anglo Irish Bank, Irish Life and
Permanent, Irish Nationwide Building Society and the Educational
Building Society.

The move, the FT relates, was made a day after Irish banks
suffered their biggest one-day fall in share price for two
decades.  On September 29, Anglo Irish Bank plunged 45% while
Irish Life and Permanent, the bancassurer and the Republic's
largest mortgage provider, fell 34%.  Allied Irish Banks weakened
nearly 16% and Bank of Ireland lost 15%.

Governments in Europe are now taking active role in keeping its
financial institutions from collapsing.

As reported in the Troubled Company Reporter-Europe on Oct. 2,
2008, the Governments of Belgium, France and Luxembourg agreed to
inject a total of EUR6.4 billion in Dexia SA.  The firm is exposed
to the troubled U.S. housing market through its smaller U.S. bond
insurance arm FSA.  According to The Wall Street Journal, Dexia
has a profitable core municipal loans business, however, as
mortgage defaults have multiplied, worries over the insurer's
ability to meet its obligations have grown.  On September 18,
Dexia said its Lehman-related losses was around EUR350 million.

The move to save Dexia came just two days after Belgium, the
Netherlands and Luxembourg agreed to pump EUR11.2 billion into
another Belgian bank, Fortis NV.
Fortis, Bloomberg News said, needs more capital after spending
EUR24.2 billion on ABN AMRO (RFS Holdings) assets last year, just
as the U.S. subprime-mortgage market started to collapse.


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


DANA CORP: SEC Seeks Explanation of 2007 Annual Disclosures
-----------------------------------------------------------
The U.S. Securities and Exchange Commission has asked Dana
Holding Corporation to revise certain documents filed in
connection with the company's Form 10-K for the year ended
Dec. 31, 2007, filed with the SEC on March 14, 2008.

The SEC, through a letter, asked Dana to provide information for
the SEC "to better understand the disclosure" contained in the
Form 10-K, the Management's Discussion and Analysis of Financial
Condition and Results of Operation, and the Results of Operations
Summary.  The request, the SEC said is "to assist Dana in its
compliance with the applicable disclosure requirements and
enhance the overall disclosure of the filing."

Specifically, the SEC asked Dana to, among other things:

  (1) provide, and revise future filings to include, a
      substantive reason unique to Dana as to why investors will
      find the non-GAAP financial measure useful;

  (2) provide a separate discussion of cost of sales results;

  (3) explain, and revise its notes to the financial statements
      to disclose, how Dana determined or calculated the
      US$2,267,000,000 additional paid in capital that resulted
      from the issuance of new equity in connection with the
      company's emergence from Chapter 11;

  (4) revise the notes to its financial statements to include
      discloses of these matters:

         * disclosure of the significant assumptions used in the
           discounted cash flow analysis including expected
           changes in cash flows from those indicated by Dana's
           current operations, number of years for which cash
           flows were projected, discount rates and other
           significant assumptions used in Dana's analysis,
           including how any terminal value was calculated or
           determined;

         * disclosure of results of the valuation based on
           multiples of peer group companies and explain how the
           results of the analysis were combined or blended with
           the results of the discounted cash flow analysis to
           arrive at the total enterprise value of
           US$3,563,000,000;

         * explanation of the nature and amounts of the
           adjustments that were made to the enterprise value of
           US$3,563,000,000 to determine the value of
           US$2,267,000,000 attributed to the interests of the
           common shareholders;

  (5) explain and revise its disclosure to indicate how Dana
      value the share of the 71 million shares of Dana stocks
      issued and distributed to holders of allowed unsecured
      claims and explain how Dana valued and accounted for the
      issuance of 27 million additional shares issued and set
      aside for distribution to holders of allowed unsecured
      non-priority claims in Class B under Dana's confirmed Plan
      of Reorganization;

  (6) provide details and revise its notes to explain how the
      US$948,000,000 cash increase as a result of reorganization
      adjustments was calculated or determined;

  (7) explain and revise the notes to disclosure the nature of
      the US$254,000,000 fair value adjustment to the deferred
      employee benefits and other non-current liabilities;

  (  revise the notes to the reorganized consolidated balance
      sheet to include an allocation of the total reorganization
      value to the net assets of the business;

  (9) explain in the notes to the reorganized consolidated
      balance sheet the nature of the US$35,000,000 adjustment
      made to notes payable and explain how this adjustment was
      calculated or determined; and

(10) revise its disclosure to state all significant assumptions
      used by the valuation consultants or management in
      determining the valuation amounts.

A full-text copy of the Letter is available for free at
http://bankrupt.com/misc/july1Letter.pdf

In response as to, among others, the calculation of the
discounted cash flows, Dana said the basis for the discounted
cash flows were the projections published in the Plan.  The five-
year estimates, Dana added, included projected changes associated
with our reorganization initiatives, anticipated changes in
general market conditions, including variations in market regions
and known new business gains and losses, as well as other factors
considered by Dana management.  Dana told the SEC that it
completed the DCF analysis by operating segment in late 2007
using discount rates ranging from 10.5% to 11.5% based on a
capital asset pricing model which utilized weighted average cost
of capital relative to certain ASG and HVSG reference peer group
companies.

For its DCF valuation, Dana said it utilized the average of two
DCF methodologies to derive the enterprise value of Dana:

  (1) EBITDA Multiple Method -- The sum of the present values of
      the unlevered free cash flows was added to the present
      value of the terminal value of the reorganized Dana,
      computed using EBITDA exit multiples by segment based in
      part on the range of multiples calculated by using a
      comparable public company methodology, to arrive at an
      implied enterprise value for Dana's operating assets
      (excluding cash).

  (2) Perpetuity Growth Method -- The sum of the present values
      of the unlevered free cash flows was added to the present
      value of the terminal value of Dana, which was computed
      using the perpetuity growth method based in part on
      industry growth prospects and our business plans, to
      arrive at an implied enterprise value for Dana's operating
      assets (excluding cash).

Dana added that it also utilized a comparable companies
methodology, which identified a group of publicly traded
companies whose businesses and operating characteristics were
similar to those of Dana as a whole, or similar to significant
portions of Dana's operations, and evaluated various operating
metrics, growth characteristics and valuation multiples for each
of the companies in the group.  Dana then developed a range of
valuation multiples to apply to its projections to derive a range
of implied enterprise values for Dana.  The multiples ranged from
3.8 to 9.0 depending on the comparable companies.

A full-text copy of Dana's Response is available for free at
http://ResearchArchives.com/t/s?32e6

Not satisfied with some of Dana's responses, the SEC, in a second
letter, summoned Dana to, among others, include disclosure of the
EBITDA exit multiples used in the EBITDA Multiple Method and
identify sensitive assumptions for which there is a reasonable
possibility of the occurrence of a variation that would have
significantly affected the measurement value, and assumptions
about anticipated conditions that are expected to be different
from current conditions.

A full-text copy of the Second Letter is available for free at
http://bankrupt.com/misc/july29Letter.pdf

Dana, in further response, said the amendments, revisions,
further disclosures, and explanations will be reflected in their
next quarterly financial report.

Dana explained that its compromise total enterprise value is
US$3,563,000,000, which represents the amount of resources
available for the satisfaction of post-petition liabilities and
allowed claims, as negotiated between the Debtors and their
creditors.  This value, Dana said, along with other terms of the
Plan, was determined only after extensive arms-length
negotiations with the claimholders.  Dana developed its view of
what the value should be based on expected future cash flows of
the business after emergence from Chapter 11, discounted at rates
reflecting perceived business and financial risks.  This
valuation and a valuation using market value multiples for peer
companies were blended to arrive at the compromise valuation,
according to Dana.

A full-text of Dana's Second Response is available for free at
http://ResearchArchives.com/t/s?32e7

In a third letter, the SEC told Dana that it completed its review
of Dana's Form 10-K and has no further comments.  A full-text
copy of the Third Letter is available for free at
http://bankrupt.com/misc/aug7Letter.pdf

                          About DANA

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

Dana has facilities in China in the Asia-Pacific, Argentina in
the Latin-American regions and Italy in Europe.

The company and its affiliates filed for chapter 11 protection
on March 3, 2006 (Bankr. S.D.N.Y. Case No. 06-10354).  As of
June 30, 2008, the Debtors listed US$7,482,000,000 in total debts,
resulting in US$2,979,000,000 in total shareholders' deficit.

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

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

The Debtors filed their Joint Plan of Reorganization on
Aug. 31, 2007.  On Oct. 23, 2007, the Court approved the
adequacy of the Disclosure Statement explaining their Plan.
Judge Burton Lifland of the U.S. Bankruptcy Court for the
Southern District of New York entered an order confirming the
Third Amended Joint Plan of Reorganization of the Debtors on
Dec. 26, 2007.

The Debtors' Third Amended Joint Plan of Reorganization was deemed
effective as of Jan. 31, 2008.  Dana Corp., starting on
the Plan Effective Date, operated as Dana Holding Corporation.

(Dana Corporation Bankruptcy News, Issue No. 82; Bankruptcy
Creditors' Service Inc., http://bankrupt.com/newsstand/
or 215/945-7000)


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


BK-BUSINESS SERVICE: Creditors Must File Claims by November 15
--------------------------------------------------------------
The Specialized Inter-Regional Economic Court of Kyzylorda region
LLP BK-Business Service insolvent.

Creditors have until Nov. 15, 2008, to submit written proofs of
claims to:

         The Specialized Inter-Regional
         Economic Court of Kyzylorda
         Jahayev Str. 71
         Kyzylorda
         Kazakhstan
         Tel: 8 (7242) 27-15-73
              8 (7242) 25-82-54
              8 705 722 69-78
              8 705 950 24-27


ELLA LLP: Claims Deadline Slated for November 15
------------------------------------------------
The Specialized Inter-Regional Economic Court of Kyzylorda has
declared LLP ELLA insolvent.

Creditors have until Nov. 15, 2008, to submit written proofs of
claims to:

         The Specialized Inter-Regional
         Economic Court of Kyzylorda
         Jahayev Str. 71
         Kyzylorda
         Kazakhstan
         Tel: 8 (7242) 27-23-65


GLOBAL CONSTRUCTION: Claims Filing Period Ends November 15
----------------------------------------------------------
LLP Construction Company Global Construction has declared
liquidation.  Creditors have until Nov. 15, 2008, to submit
written proofs of claims to:

         LLP Construction Company Global Construction
         Micro District 29, 7-26
         Aktau
         Mangistau
         Kazakhstan


KASPY ENERGO: Creditors' Claims Due on November 15
--------------------------------------------------
LLP Kaspy Energo Complect has gone into liquidation.  Creditors
have until Nov. 15, 2008, to submit written proofs of claims to:

         LLP Kaspy Energo Complect
         Semipalatiskaya Str. 1/2
         Atyrau
         Kazakhstan


MEGAPOLIS-ST LLP: Claims Registration Ends November 18
------------------------------------------------------
The Specialized Inter-Regional Economic Court of Akmola has
declared LLP Megapolis-ST insolvent.

Creditors have until Nov. 18, 2008, to submit written proofs of
claims to:

         The Specialized Inter-Regional
         Economic Court of Akmola
         Momyshuly Str. 17
         Astrahanka
         Astrahansky District
         Akmola
         Kazakhstan


MERGEN-2007 LLP: Creditors Must File Claims by November 18
----------------------------------------------------------
The Specialized Inter-Regional Economic Court of Akmola has
declared LLP Mergen-2007 insolvent.

Creditors have until Nov. 18, 2008, to submit written proofs of
claims to:

         The Specialized Inter-Regional
         Economic Court of Akmola
         Yaglinsy Str. 53
         Makinsk
         Bulandynsky
         Akmola
         Kazakhstan


T&G LLP: Claims Deadline Slated for November 18
-----------------------------------------------
The Specialized Inter-Regional Economic Court of Atyrau has
declared LLP T&G insolvent.

Creditors have until Nov. 18, 2008, to submit written proofs of
claims to:

         The Specialized Inter-Regional
         Economic Court of Atyrau
         Third Floor
         Abai Str. 10a
         Atyrau
         Kazakhstan


TECH PROM: Claims Filing Period Ends November 15
------------------------------------------------
LLP Tech Prom Impex has gone into liquidation.  Creditors have
until Nov. 15, 2008, to submit written proofs of claims to:

         LLP Tech Prom Impex
         Satpayev Str. 90
         Bostandyksky District
         050046, Almaty
         Kazakhstan


VIRSAVIYA LTD: Creditors' Claims Due on November 15
---------------------------------------------------
The Tax Committee of Almaty has ordered the compulsory liquidation
of LLP Virsaviya Ltd. (RNN 091700211168).  Creditors have until
Nov. 15, 2008, to submit written proofs of claims to:

         The Tax Committee of Almaty
         Room 312
         Jansugurov Str. 113a
         Taldykorgan
         Almaty
         Kazakhstan
         Tel: 8 (3282) 24-53-10


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


EURO TOUR: Creditors Must File Claims by November 12
----------------------------------------------------
LLC Euro Tour has shut down.  Creditors have until Nov. 12, 2008,
to submit written proofs of claim to:

         LLC Euro Tour
         Manas Ave. 40
         Bishkek
         Kyrgyzstan
         Tel: (+996 312) 90-06-74


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


* Performance of Dutch RMBS Remains Relatively Stable, S&P Reports
------------------------------------------------------------------
Standard & Poor's Ratings Services' Dutch RMBS delinquency index
increased slightly in the second quarter to 1.15% from 1.13% in
the first quarter; however, the performance of the Dutch
residential mortgage-backed securities (RMBS) sector remained
relatively stable, according to a report published by S&P.

In addition, despite seeing some increases in the second quarter,
losses remain negligible and have been covered by excess spread
in all the outstanding transactions that S&P rates in the Dutch
RMBS market.

The prepayment index decreased to 7.46% from 9.25%, which is
likely due to lenders tightening criteria and an increase in the
take-up of longer-dated fixed-rate loans.

One Dutch RMBS transaction has been issued since S&P published
its last Dutch index report.  Issuance in 2008 to date represents
just 10% of total issuance in 2007.  The outstanding balance of
notes rated by us has also declined for the second consecutive
quarter, now standing at GBP52.96 billion (as of June 2008), down
from GBP53.50 billion in the first quarter of 2008.


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


IKS-TERRA LLC: Creditors Must File Claims by October 19
-------------------------------------------------------
Creditors of LLC Iks-Terra (Construction Operations) have until
Oct. 19, 2008, to submit proofs of claims to:

         I. Vushegorodtsev
         Temporary Insolvency Manager
         Post User Box 7
         394019 Voronezh
         Russia

The Arbitration Court of Voronezhskaya will convene at 10:30
a.m. on Dec. 10, 2008, to hear bankruptcy supervision procedure.
The case is docketed under Case No. A14-4109-2008/29/27b.

The Court is located at:

         The Arbitration Court of Voronezhskaya
         Office 602
         Srednemoskovskaya Str.77
         Voronezh
         Russia

The Debtor can be reached at:

         LLC Iks-Terra
         Belinskogo Str.19
         394035 Voronezh
         Russia


INSTRUMENT-CENTER LLC: Creditors Must File Claims by November 19
----------------------------------------------------------------
Creditors of LLC Instrument-Center (Tooling Industry) have until
Nov. 19, 2008, to submit proofs of claims to:

         A. Dudkin
         Insolvency Manager
         Khirosimy Str. 1/194
         400050 Volgograd
         Russia

The Arbitration Court of Volgogradskaya commenced bankruptcy
proceedings against the company after finding it insolvent.  The
case is docketed under Case No. A12-3781/08-s27.

The Debtor can be reached at:

         LLC Instrument-Center
         Apt.1
         Karla Marksa Str. 8
         Volzhskiy
         Volgogradskaya
         Russia


ROSLAVLSKIY AUTOMOTIVE: Creditors Must File Claims by Nov. 19
-------------------------------------------------------------
Creditors of CJSC Roslavlskiy Automotive Plant (TIN 6725009435)
have until Nov. 19, 2008, to submit proofs of claims to:

         S. Fetisov
         Insolvency Manager
         Zhukova Str.55
         Gumrak
         400122 Volgograd
         Russia

The Arbitration Court of Volgograd commenced bankruptcy
proceedings against the company after finding it insolvent.  The
case is docketed under Case No. A12-13082/08-S50.

The Debtor can be reached at:

         CJSC Roslavlskiy Automotive Plant
         Zemlyanskogo Str.7
         Volgograd
         Russia


RYUB-TRANS-FLOT LLC: Court Starts Bankruptcy Supervision Process
----------------------------------------------------------------
The Arbitration Court of Khabarovskiy commenced bankruptcy
supervision procedure on LLC Ryub-Trans-Flot (Fishing
Industry).  The case is docketed under Case No. A73-8401/
2008-38.

The Temporary Insolvency Manager is:

         A. Lishay
         Post User Box 69/34
         680018 Khabarovsk-18
         Russia

The Debtor can be reached at:

         LLC Ryub-Trans-Flot
         Portovuy proezd 10
         Lososina
         Sovetsko-Gavanskiy
         Khabarovskiy
         Russia


TRANS-UGOL LLC: Kemerovo Bankruptcy Hearing Set November 10
-----------------------------------------------------------
The Arbitration Court of Kemerovo will convene on Nov. 10,
2008, to hear bankruptcy supervision procedure on LLC Trans-Ugol.
The case is docketed  under Case No. A27-6679/08-4.

The Temporary Insolvency Manager is:

         D. Borisyuk
         Post User Box 945
         650000 Kemerovo
         Russia

The Court is located at:

         The Arbitration Court of Kemerovo
         Krasnaya Str. 8
         Kemerovo
         Russia

The Debtor can be reached at:

         LLC Trans-Ugol
         Vesennyaya Str.6
         Sosnovka
         Kemerovskaya
         Russia


===========
S W E D E N
===========


FORD MOTOR: Repays US$1.5BB in Debt, Faces 3 Payment Obligations
--------------------------------------------------------------
Jeff Green at Bloomberg News reports that Ford Motor Co. said it
repaid US$1.5 billion in debt that was due Oct. 1, 2008.

As reported in the Troubled Company Reporter on Oct. 1, 2008,
analysts said that Ford Motor might repay the debt without tapping
a US$11.5 billion revolving credit line, which it secured as part
of its 2006 restructuring.  The US$1.5 billion debt includes:

    -- US$1 billion in five-year, unsecured bonds at the Ford
       Motor Credit Co. consumer-finance unit, which has a
       coupon interest rate of 5.625%, and was part of a
       September 2003 sale of US$3 billion in 5- and 10-year
       notes; and

    -- US$500 million in 12-year notes at Ford, which was "sold
       in 1996 and has an interest rate of 7.25%."

Bloomberg News relates that Ford Motor spokesperson Bill Collins
said in an interview that the payments were made in a "routine
transaction."

"It means they paid with cash.  If they had tapped their revolver,
they would have had to file something because it's material, and
we would know if they had come to market for new debt," Bloomberg
quoted Morgan Keegan & Co. fixed-income analyst Pete Hastings as
saying.

Bloomberg News states that Standard & Poor's credit analyst Robert
Schulz said in an interview, "They have sufficient cash and
liquidity for this transaction."

According to data obtained from Bloomberg, Ford Motor faces three
more major payment obligations:

  -- US$4.3 billion due on Jan. 12, 2009;
  -- US$1.5 billion due on May 22, 2009; and
  -- US$5.0 billion due on Oct. 28, 2009

            Government's US$25 Billion Bailout Loans

Heidi M. Moore at The Wall Street Journal relates that President
George W. Bush signed on Sept. 30, 2008, a
US$25 billion in bailout loans to help automakers produce more
fuel-efficient vehicles.  According to Ms. Moore, automakers can
secure the loans at about half the going market rate.  Ford Motor,
along with Chrysler LLC and General Motors won't have to repay the
loans for five years, Ms. Moore states.

According to Mike Ramsey and Alan Ohnsman at Bloomberg News, Ford
Motor's car and truck sales dropped 35% to 120,788 in September
2008, compared to 184,612 in September 2007, as tighter credit
scared off consumers.

Alex Ortolani at Bloomberg News relates that Ford Motor it told
its 2,000 suppliers to understand "what they're doing inside their
operations that could be funded" and figure out what programs
would make them eligible for part of the US$25 billion loans.

According to Bloomberg News, Ford Motor sees the loans as a chance
to strengthen a supply base that has suffered this year due to low
auto sales, high raw-material costs, and a tight credit market.

                     About Ford Motor Co.

Headquartered in Dearborn, Michigan, Ford Motor Co. (NYSE: F) --
http://www.ford.com/-- manufactures or distributes automobiles in
200 markets across six continents.  With about 260,000 employees
and about 100 plants worldwide, the company's core and affiliated
automotive brands include Ford, Jaguar, Land Rover, Lincoln,
Mercury, Volvo, Aston Martin, and Mazda.  The company provides
financial services through Ford Motor Credit Company.

The company has operations in Japan in the Asia Pacific region. In
Europe, the company maintains a presence in Sweden, and the United
Kingdom.  The company also distributes its brands in various
Latin-American regions, including Argentina and Brazil.

                         *     *     *

As reported in the Troubled Company Reporter on Aug. 5, 2008,
Fitch Ratings has downgraded the issuer default rating of Ford
Motor Company and Ford Motor Credit Company LLC to 'B-' from 'B'.
The Rating Outlook remains Negative.  The downgrade reflects: the
further deterioration in Ford's U.S. sales as a result of economic
conditions, an adverse product mix and the most recent jump in gas
prices; portfolio deterioration at Ford Credit and heightened
concern regarding economic access to capital to support financing
requirements; and escalating commodity costs that will remain a
significant offset to cost reduction efforts.


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


ALLTEC HOLDING: Creditors Must File Proofs of Claim by Oct. 18
--------------------------------------------------------------
Creditors owed money by JSC AllTec Holding are requested to file
their proofs of claim by Oct. 18, 2008, to:

         Thomas Keel
         JSC Keel + Partner
         Neugasse 48/Oberer Graben 15
         9001 St. Gallen
         Switzerland

The company is currently undergoing liquidation in Zurich.  The
decision about liquidation was accepted at an extraordinary
shareholders' meeting held on Aug. 26, 2008.


BIERI + PARTNER: Deadline to File Proofs of Claim Set Oct. 18
-------------------------------------------------------------
Creditors owed money by JSC Bieri + partner Treuhand- u. Revisions
are requested to file their proofs of claim by
Oct. 18, 2008, to:

         JSC OBT
         Finance Management
         Rorschacher Strasse 63
         9004 St. Gallen
         Switzerland

The company is currently undergoing liquidation in Bern.  The
decision about liquidation was accepted at an extraordinary
shareholders' meeting held on Bern.


CUTWALK LLC: Creditors Have Until DATE to File Claims Oct. 19
-------------------------------------------------------------
Creditors owed money by LLC cutwalk are requested to file their
proofs of claim by Oct. 19, 2008, to:

         Mellingerstr. 207
         Tafernhof, 5405 Baden-Dattwil
         Switzerland

The company is currently undergoing liquidation in Ormalingen.
The decision about liquidation was accepted at an extraordinary
shareholders' meeting held on Sept. 1, 200.


GENERAL MOTORS: Delphi Services & Restructuring Deals Approved
--------------------------------------------------------------
The U.S. Bankruptcy Court for the Southern District of New York on
Sept. 26, 2008, entered an order approving the amendments to the
Global Services Agreement and the Master Restructuring Agreement
between General Motors Corp. and Delphi Corporation.

A full-text copy of the Amended GSA and MRA is available for free
at http://ResearchArchives.com/t/s?3330

Delphi obtained approval of their new deals with General Motors
after the Official Committee of Unsecured Creditors agreed to
withdraw its objections.

               PBGC, et al., Support New GM Deal

Various parties-in-interest, including the Fiduciary Counselors,
Inc., and the Pension Benefit Guaranty Corp., have conveyed their
support for the amendments to GSA and MRA.

Fiduciary Counselors, Inc., the appointed fiduciary charged to
assure that the Debtors fulfill their obligations with respect to
required contributions to their Hourly-Rate Pension Plan,
believes that the latest amendments would aid the Debtors' exit
from bankruptcy.  FCI filed a proofs of claim on the HRP's behalf
for legally required contributions owed to the HRP.  The Claim
amount through Dec. 31, 2007, was identified as US$2,600,000,000.
FCI has recently conferred with the HRP's actuaries and confirmed
that the amount required to meet the statutory minimum funding
requirements for the HRP as of Sept. 30, 2008, will be in an
amount ranging from US$2,100,000,000 to US$2,300,000,000.

William H. Schorling, Esq., at Buchanan Ingersoll & Rooney PC, in
New York, noted that GM and Delphi have obtained a private letter
ruling from the U.S. Internal Revenue Service that the proposed
414(l) Transfer pursuant to the Amended GSA and MRA will
eliminate Delphi's obligations for all contributions due on or
before Sept. 30, 2008.  Effectuating the 414(l) Transfer will
substantially satisfy HRP's Claim -- HRP will also still have
claims for any unpaid amounts due in the future -- making the
Debtors' emergence from chapter 11 more viable, Mr. Schorling
stated.  He added that implementing the 414(l) Transfer will
avoid application of the provisions of the Pension Protection Act
to the unfunded HRP obligations, again aiding the Debtors' exit
from bankruptcy.  Finally, the 414(l) Transfer, according to
Mr. Schorling, should mitigate the risk that the PBGC would take
steps to terminate the HRP.

Representing the Pension Benefit Guarantee Corporation, John A.
Menke, Esq., avers that the amended GSA and MRA constitute an
overwhelmingly positive solution to some of the Debtors' major
pension obligations and eliminates what might be insurmountable
obstacles to a successful reorganization.  If the 414(l) transfer
occurs by Sept. 29, 2008, major benefits flow to the Debtors,
certain non-Debtor affiliates and the unsecured creditors.
Approval of the new deal, according to Mr. Menke, will relieve
the Debtors of billions of dollars of current liability for
contributions that would otherwise be due to their Hourly Plan
and that would have to be satisfied, probably in Cash lump sum,
before the Debtors could emerge.  Because Delphi's existing
liability for contributions to the hourly Plan will be erased by
the 414(l) Transfer, as soon ass possible after the first
transfer date, the PBGC said it will relinquish more than
US$1,200,000,000 in liens filed against Delphi's foreign non-
Debtor affiliates.

The Official Committee of Equity Shareholders also said it is not
objecting to the new GM/Delphi deal.  However, it reserved its
right to object to the confirmation of any Chapter 11 plan filed
and any modification in the Debtors' Chapter 11 cases.  It sought
to keep its right to object to confirmation of any chapter 11
plan that does not provide appropriate value to existing equity
in exchange for the releases granted in favor of GM.

     Splinter Unions Wary of Fate of Employees and Retirees

The IUOE, IBEW and IAM -- the Splinter Unions -- informed Judge
Drain that they are fully cognizant of the external constraints
of Delphi, and that they do not object to the conceptual
framework underlying the Motion.  However, the Splinter Unions
said they are not yet in a position to assess how the proposed
implementation of the amendments to the GSA and MRA will affect
the employees and retirees represented by the Splinter Unions.

The Splinter Unions say they fully expect the Debtor and GM to
provide the answers they need to be able to negotiate a timely
implementation agreement so that the employees and retirees they
represent are fairly treated.

The Splinter Unions are represented by:

    Barbara S. Mehlsack, Esq.,
    Gorlick Kravitz & Listhaus, P.C.,
    17 State Street
    New York, N.Y. 1004
    bmehlsack@gkllaw.com

                   Parties Object to New Deal

(a) Senior Noteholders

CR Intrinsic Investors, LLC, and Highland Capital Management,
L.P., which collectively hold approximately US$495,000,000 in
principal amount of Delphi senior notes, noted that Debtors are
seeking approval of the "most important and far-reaching
settlement in this case and the fixing of central elements of a
plan of reorganization", on just 10 days' notice, without
providing the most basic information necessary for the Court to
evaluate the claims to be settled, and without any pretense of
adhering to the fundamental protections to which creditors are
entitled in connection with a plan of reorganization.

CR Intrinsic and Highland consequently asked the Court to deny
Delphi the authority to implement the amended GSA and MRA in
order to prevent the Debtors from entering into sweeping and far-
reaching agreements with GM that would irrevocably impact the
outcome of the chapter 11 cases and in effect dictate the terms
of any plan of reorganization.

Isaac M. Pachulski, Esq., at Stutman, Treister & Glatt P.C., in
Los Angeles, California, averred that Delphi is seeking approval
of what amounts to a sub rosa plan of reorganization, without
providing the kind of disclosure and procedural and substantive
protection to which creditors are entitled in connection with the
confirmation of a plan, and without any creditor vote.  According
to Mr. Pachulski, a sampling of just some of the provisions of
the Amended GSA highlights how pervasively these agreements will
dictate the terms of any plan and the ultimate outcome of the
Chapter 11 cases:

  (1) the Amended GSA includes comprehensive provisions for the
      allowance and treatment of GM's claims under any plan of
      reorganization.  Among other things,

       -- GM agrees to assume certain pension liability which
          is primarily rooted in prepetition services of
          employees who worked for GM at the time of the Delphi
          spin-off in exchange for an administrative claim.  Not
          only does an administrative claim entitle GM to
          priority payment but it also handcuffs the Debtors in
          treating this claim under a plan of reorganization.

       -- the Amended GSA also contemplates that GM would be
          entitled to an unsecured claim in the amount of
          US$2,500,000,000.  While GM would not be entitled to any
          recovery on the GM Unsecured Claim until other
          unsecured creditors receive at least a 20% recovery,
          both the GM Unsecured Claim and GM Admin. Claim would
          be entitled to specified, and special, treatment under
          any plan of reorganization pursuant to the Amended
          GSA.

       -- Distributions on account of the GM Claims are to be
          made by issuing preferred stock to GM which is not
          made available to any other constituent body of the
          Debtors, and the value of which remaining unknown.

  (2) The Amended GSA contemplates that the Debtors and
      their affiliates immediately release substantially all of
      their claims against GM and its affiliates on the
      effective date of the Amended GSA and reaffirm this
      release as of the date that the Debtors emerge from
      chapter 11.  The Amended GSA also requires that any
      future plan of reorganization provide that certain third
      parties, including the Creditors Committee, the Equity
      Committee, the DIP Agent, and the DIP Lenders, among
      others, release GM and its affiliates of substantially all
      of their claims against GM and its affiliates as of the
      Emergence Date.

  (3) The Amended GSA and Amended MRA leave little doubt that
      these agreements are to control and dictate the terms of
      any future plan of reorganization.  Specifically, the
      Amended GSA requires that any Delphi Plan contain
      provisions "clarifying that to the extent of any
      inconsistency between the terms of the Delphi Plan and
      [the Amended GSA] (solely as to the subject matters
      addressed in [the Amended GSA]), the terms of [the Amended
      GSA] will govern."

(b) Indenture Trustee to Senior Notes

Wilmington Trust Company, indenture trustee for US$2,000,000,000
in Delphi senior notes and debentures, asked the Court to deny the
Debtors' motion to implement the amended GSA and MRA.

Edward M. Fox, Esq., at K&L Gates LLP, in New York, said Delphi
is seeking an unauthorized modification of the Debtors' confirmed
Plan of Reorganization, opposing Section 1127 of the Bankruptcy
Code, which not only applies to proposed modifications of actual
plan language, but also to proposed modifications of plan-related
documents, particularly where the documents [were] an integral
part of the reorganization plan and confirmation order.

Pursuant to Section 1127(b), the proponent of a plan or the
reorganized debtor may modify the plan at any time after
confirmation of the plan and before substantial consummation of
the Plan...  The Plan as modified under the this subsection
becomes the Plan only if the circumstances warrant the
modification and the court, after notice and a hearing, confirms
the plan as modified, under Section 1129.

Mr. Fox also related that the GSA and MRA may not be amended
without the approval of the Creditors Committee, as provided for
in Section 12.2 of the Plan.  He added that the Debtors' proposal
to grant a general release to GM at this time is contrary to the
best interests of creditors, particularly since the Debtors may
well need additional assistance and support from GM in order to
consummate a plan of reorganization and emerge from bankruptcy.

(c) Creditors Committee

The Official Committee of Unsecured Creditors also asked the
Court to deny the Motion, citing that the immediate release
granted to GM and the size of the allowed administrative expense
claim to GM violate Section 1127 of the Bankruptcy Code, as the
original GSA and MRA were exhibits to the Debtors' confirmed
Chapter 11 plan.

Robert J. Rosenberg, Esq., at Latham & Watkins LLP, in New York,
said that if the proposed amendments to the GSA and the MRA are
approved, it will provide GM with extra ordinary consideration in
exchange for GM entering into transactions that are tremendously
beneficial to GM on its own.  These agreements represent no less
than the complete abdication by the Debtors of all control over
their destiny, without regard to the consequence to their
unsecured creditors, Mr. Rosenberg explained.

                  Delphi Addresses Objections

John Wm. Butler, Jr., Esq., at Skadden, Arps, Slate, Meagher &
Flom LLP, in Chicago, Illinois, noted that although certain
parties allege that the Debtors are requesting relief that is
not in the best interests of the estates and in breach of their
fiduciary duties, only these parties filed objections that remain
unresolved:

   -- the International Union of Electronic, Electrical,
      Salaried, Machine and Furniture Workers-Communication
      Workers of America and the United Steelworkers of America,
      which are continuing to collectively bargain
      implementation agreements with Delphi which would include
      their consent to Amended GSA and MRA

   -- the official committee of unsecured creditors; Wilmington
      Trust Company, a member of the Creditors Committee; and CR
      Intrinsic and Highland, whose interests are represented by
      both the Creditors Committee and WTC.

The Debtors furnished a chart summarizing their responses to
objections, a copy of which is available for free at
http://ResearchArchives.com/t/s?332f

The Debtors pointed out that their largest union, the United Auto
Workers, is not opposing to the Amended GSA and MRA.  They added
that the Equity Committee, Fiduciary Counselors, the PBGC, and
three unions have conveyed support or no objections.

Contrary to the assertions of the Creditors Committee, the
Amended GSA and MRA are the product of months of intense, arm's-
length bargaining between the Debtors and GM during which the
Debtors clearly considered various alternatives and options to
the Amended GSA and the Amended MRA, Mr. Butler clarified.

Mr. Butler recounted that when Appaloosa Management, L.P., and
the other Plan Investors failed to participate in the April 4,
2008 closing, Delphi's Board of Directors convened the first of
nine meetings that would be held between that date and the
Board's ultimate approval of the Amended GSA and MRA on Sept. 12.
The Debtors also met with the Creditors Committee and held
discussions with GM about a modified plan of reorganization
framework involving a stand-alone plan to be funded internally
through adjustments to the recoveries of GM, general unsecured
creditors, and other stakeholders.  Those discussions concluded
on June 25, when GM informed Delphi that it was not willing to
provide the level of incremental financial support that would
have been necessary to make a standalone plan of reorganization
framework possible under the RPOR as it existed at that time.

Promptly after learning of GM's decision, Delphi began a process
of identifying and assessing a range of specific strategic
alternatives that included POR modifications providing for debt
financing and equity financing through a rights offering
backstopped by creditors or other potential investors.  In
addition, in mid-July 2008, Delphi and GM re-engaged in
constructive discussions that addressed, among other things, the
incremental financial support needed to make the revised POR a
realistic business plan that should attract interest in the
capital markets.  These efforts have resulted in a number of
significant developments since April 2008, all of them
accomplished against the backdrop of deteriorating macroeconomic
and automotive industry conditions and turbulence in the capital
markets, Mr. Butler detailed.

Throughout this process, Delphi's senior leadership acted with
diligence and in accordance with its fiduciary duty to maximize
the business enterprise value of Delphi and its affiliates and
thereby maximize the opportunities for recoveries by the Debtors'
stakeholders.  In doing so, Delphi, according to Mr. Butler,
considered the Creditors Committee's demand that the Debtors play
a high-stakes game of "chicken" with GM up through the 414(l)
Transfer deadline of Sept. 29, 2008, in the hopes that GM would
eventually agree to what the Creditors Committee was really
seeking --- a form of guaranteed recovery for general unsecured
creditors from GM.  Delphi ultimately rejected that approach
because it believed that obtaining GM's commitment to take on an
upsized 414(l) Transfer, assume prompt financial responsibility
for other post-employment benefits, and provide what the Debtors
concluded was the additional required support for the RPOR was,
on balance, more beneficial to the Debtors and their stakeholders
than holding out for more at the risk of losing everything.

Although the Creditors' Panel may not agree with their decisions
for failing to initiate litigation or use other "tools" against
GM, the Debtors believe that their decisions since April 4 are
sound.  Mr. Butler avers that both the timeline of events and the
breadth of support GM is providing through the Amended GSA and
the Amended MRA demonstrate that the Debtors did not "surrender"
or abdicate control of these cases to GM.  The Debtors firmly
believe that the Amended GSA and MRA are in the best interests of
the estates, and that entry into the agreements is fundamentally
necessary for any meaningful recovery to stakeholders.

        Creditors Committee Renews Support for GM/Delphi

Delphi creditors have concurred to proposed amendments to
agreements between the auto-parts maker and its former parent
General Motors Corp., removing one hindrance to Delphi's exit
from bankruptcy after almost three years, Bloomberg News reports.

Judge Drain approved the Amended GSA and MRA after Delphi reached
a deal with the Creditors Committee.  Mr. Butler, Delphi's
counsel, told the Court at the Sept. 25 hearing that the
Creditors Committee tentatively agreed to amendments that would
change how creditors are paid in the company's restructuring as
well as the terms of preferred stock GM would receive under an
amended POR.

The hearing was originally scheduled for Sept. 23, but was
adjourned for two days to allow the Debtors and the Creditors
Committee to reach common ground.

The Creditors Committee's counsel, Robert J. Rosenberg, Esq., at
Latham & Watkins LLP, in New York, confirmed the deal.  "All's
well that ends well," Mr. Rosenberg, after retracting the
Committee's objection to the new GM deals, which would allow
Delphi to exit bankruptcy.

"Today was a major milestone in these Chapter 11 cases,"
Mr. Butler said at the Sept. 25 hearing.

Delphi and the Creditors Committee engaged in negotiations
regarding the Amended GSA and MRA.  Possible scenarios, according
to Reuters, included GM accepting preferred Delphi shares, or
splitting administrative proceeds 50-50 with Delphi's unsecured
creditors.  The Debtors and GM reached a first amendment to the
Amended GSA on Sept. 25, 2008, which added these provisions:

   1. "GUC Percentage" shall mean .2 multiplied by the amount of
      allowed general unsecured claims (exclusive for all
      purposes of this section 1.57(a) of holders of TOPrS
      Claims, as defined in the 2007 Plan) divided by the sum of
      US$2.055 billion and the product of .2 and the amount of
      allowed general unsecured claims.

   2. If any condition for the receipt by GM of the preferred
      stock described in Section 4.04(c) of the GSA is not
      satisfied or waived by GM, holders of general
      unsubordinated unsecured claims (exclusive for all
      purposes of this section 4.04(a) of TOPrS Claims, as
      defined in the 2007 Plan) shall receive 50% of all
      distributions that otherwise would be made to GM on
      account of its administrative expense claims allowed
      pursuant to this Section 4.04(a) to the extent necessary
      for such holders to receive an aggregate distribution,
      exclusive of any value received as a result of
      participation by such holders in any rights offering or
      similar undertaking, on account of their allowed general
      unsubordinated unsecured claims equal in value of up to
      US$300 million.

   3. If all conditions for the receipt by GM of the preferred
      stock described in the preceding sentence are satisfied,
      value equal (at Plan value) to an amount of up to the GUC
      Percentage multiplied by the stated value of the preferred
      stock otherwise distributable to GM under the first
      sentence of this Section 4.04(c) shall be distributed to
      holders of general unsubordinated unsecured claims
      (exclusive for all purposes of this section 4.04(c) of
      holders of TOPrS Claims, as defined in the 2007 Plan) to
      the extent necessary to permit the holders of general
      unsubordinated unsecured claims to receive distributions,
      exclusive of any value received as a result of
      participation by such holders in any rights offering or
      similar undertaking, equal to 20% of their allowed general
      unsubordinated unsecured claims.

   4. Any amendments to the Amended GSA or the Amended MRA that
      are materially adverse to the Debtors' estates shall
      require the consent of the Creditors Committee.

A full-text copy of the First Amendment to the Amended GSA is
available for free at http://ResearchArchives.com/t/s?332e

Delphi also posted a summary of indicative terms for the
preferred stock it will issue to GM pursuant to a POR.  The
summary provides that Shares of Series D Convertible Preferred
Stock, par value US$0.01 per share, with an aggregate initial
stated value of US$2,055,000,000 will be issued to GM.  Delphi may
pay cash to GM to reduce the number of shares issued at a price
equal to the Stated Value per share.  A copy of the Summary is
available for free at http://ResearchArchives.com/t/s?332d

                      About Delphi Corp.

Based in Troy, Michigan, Delphi Corporation (PINKSHEETS: DPHIQ)
-- http://www.delphi.com/-- is the single supplier of vehicle
electronics, transportation components, integrated systems and
modules, and other electronic technology.  The company's
technology and products are present in more than 75 million
vehicles on the road worldwide.  Delphi has regional
headquarters in Japan, Brazil and France.

The company filed for Chapter 11 protection on Oct. 8, 2005
(Bankr. S.D.N.Y. Lead Case No. 05-44481).  John Wm. Butler Jr.,
Esq., John K. Lyons, Esq., and Ron E. Meisler, Esq., at Skadden,
Arps, Slate, Meagher & Flom LLP, represent the Debtors in their
restructuring efforts.  Robert J. Rosenberg, Esq., Mitchell A.
Seider, Esq., and Mark A. Broude, Esq., at Latham & Watkins LLP,
represent the Official Committee of Unsecured Creditors.  As of
June 30, 2008, the Debtors' balance sheet showed US$9,162,000,000
in total assets and US$23,742,000,000 in total debts.

The Court approved Delphi's First Amended Joint Disclosure
Statement and related solicitation procedures for the
solicitation of votes on the First Amended Plan on Dec. 20,
2007.  The Court confirmed the Debtors' First Amended Plan on
Jan. 25, 2008.  The Plan has not been consummated after a group
led by Appaloosa Management, L.P., backed out from their
proposal to provide US$2,550,000,000 in equity financing to
Delphi.

(Delphi Bankruptcy News, Issue 146; Bankruptcy Creditors' Service
Inc., http://bankrupt.com/newsstand/or 215/945-7000)

                   About General Motors

Headquartered in Detroit, Michigan, General Motors Corp. (NYSE:
GM) -- http://www.gm.com/-- was founded in 1908.  GM
employs about 266,000 people around the world and manufactures
cars and trucks in 35 countries.  In 2007, nearly 9.37 million GM
cars and trucks were sold globally under the following brands:
Buick, Cadillac, Chevrolet, GMC, GM Daewoo, Holden, HUMMER, Opel,
Pontiac, Saab, Saturn, Vauxhall and Wuling.  GM's OnStar
subsidiary is the industry leader in vehicle safety, security and
information services.

GM Europe is based in Zurich, Switzerland, while General Motors
Latin America, Africa and Middle East is headquartered in
Miramar, Florida.

At June 30, 2008, the company's balance sheet showed total assets
of US$136.0 billion, total liabilities of US$191.6 billion, and
total stockholders' deficit of US$56.9 billion.  For the quarter
ended June 30, 2008, the company reported a net loss of US$15.4
billion over net sales and revenue of US$38.1 billion, compared to
a net income of US$891.0 million over net sales and revenue of
US$46.6 billion for the same period last year.


HEGDIL LLC: Proofs of Claim Filing Deadline is Oct. 18
------------------------------------------------------
Creditors owed money by LLC HEGDIL are requested to file their
proofs of claim by Oct. 18, 2008, to:

         Hansjorg Egger
         Lagernstrasse 15
         5430 Wettingen
         Switzerland

The company is currently undergoing liquidation in Wettingen.  The
decision about liquidation was accepted at an extraordinary
shareholders' meeting held on July 3, 2008.


MARKUS LEHMANN: Creditors' Proofs of Claim Due by Oct. 17
---------------------------------------------------------
Creditors owed money by LLC Markus Lehmann Consulting are
requested to file their proofs of claim by Oct. 17, 2008, to:

         Markus Lehmann
         Hardweg 46
         3174 Thorishaus
         Switzerland

The company is currently undergoing liquidation in Bern.  The
decision about liquidation was accepted at an extraordinary
shareholders' meeting held on Sept. 4, 2008.


ONION MANAGEMENT: DATE Set as Deadline to File Claims Oct. 19
-------------------------------------------------------------
Creditors owed money by LLC onion management & quality consultants
are requested to file their proofs of claim by Oct. 19, 2008, to:

         LLC K-Vis
         Mellingerstr. 207
         Tafernhof
         5405 Baden-Dattwil
         Switzerland

The company is currently undergoing liquidation in Ormalingen.
The decision about liquidation was accepted at an extraordinary
shareholders' meeting held on Sept. 1, 2008.


PLUMER FINANCIAL: Creditors Must File Proofs of Claim by Oct. 18
----------------------------------------------------------------
Creditors owed money by LLC Plumer Financial are requested to file
their proofs of claim by Oct. 18, 2008, to:

         Lars-Olaf Timmermann
         Hauptstrasse 54
         8280 Kreuzlingen
         Switzerland

The company is currently undergoing liquidation in Erlen.  The
decision about liquidation was accepted at an extraordinary
shareholders' meeting held on June 27, 2008.


TRIDO-UMWELTSCHUTZ JSC: Deadline to File Claims Set Oct. 18
-----------------------------------------------------------
Creditors owed money by JSC Trido-Umweltschutz are requested to
file their proofs of claim by Oct. 18, 2008, to:

         Anita Bisculm-Zarn
         Mail Box: 49
         7013 Domat/Ems
         Switzerland

The company is currently undergoing liquidation in Domat/Ems.  The
decision about liquidation was accepted at an extraordinary
shareholders' meeting held on Aug. 18, 2008.


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


PROMINVESTBANK: Moody's Affirms E+ Bank Financial Strength Rating
-----------------------------------------------------------------
Moody's Investors Service has placed the Ba2 long-term local
currency deposit rating of Prominvestbank on review for possible
downgrade.  This relates to the lowering of the bank's Baseline
Credit Assessment from B1 to B2.  At the same time, Moody's has
affirmed the B2 foreign currency bank deposit rating, which
remains constrained by the country ceiling, the Aa1.ua National
Scale Rating (NSR) and E+ Bank Financial Strength Rating (BFSR).

"The rating action reflects Moody's concerns that the run on
deposits currently being experienced by the bank may have a
significant negative impact on its franchise, already tight
liquidity position and the funding profile," explains Yaroslav
Sovgyra, VP-Senior Credit Officer at Moody's Moscow office.   The
rating agency notes that the bank's liquidity was recently
supported by a UAH5 billion refinancing facility from the National
Bank of Ukraine, thus indicating a high degree of systemic
support, the expectation of which was already incorporated into
the bank's ratings.  However, the outflow of deposits currently
being experienced by the bank is likely to have a negative long
term impact on the bank's franchise, thus weighing down its stand-
alone Baseline Credit Assessment (BCA) of B2 and, consequently,
the bank's supported deposit ratings.

Moody's notes that its review for possible downgrade will be
concluded once there is more clarity over the impact of the
deposit run on the bank, including the effects on its liquidity
position and the funding base.  Moody's notes that it considers
the bank's liquidity metrics rather tight for the particular
business and funding profile.

Moody's first assigned Ba2/B2/Not-Prime/Aa1.ua/E+ ratings to
Prominvestbank in November 2007. The outlook on foreign currency
bank deposit rating, which is constrained by the country ceiling
for Ukraine, was stable, and the outlook on all other ratings was
also stable.

Headquartered in Kiev, Ukraine, Prominvestbank reported unaudited
consolidated total assets of UAH27.5 billion (US$5.7 billion) and
total equity of UAH 2.8 billion (US$577 million) according to
Ukrainian Accounting Standards at June 30, 2008.


SIGMA-RESOURCE LLC: Creditors Must File Claims by October 7
-----------------------------------------------------------
Creditors of LLC Sigma-Resource (code EDRPOU 34047806) have until
Oct. 7, 2008, to submit proofs of claim to:

         The Economic Court of Kiev
         B. Hmelnitskij Boulevard 44-B
         01030 Kiev
         Ukraine

The Economic Court of Kiev commenced bankruptcy proceedings
against the company after finding it insolvent on Aug. 7, 2008.
The case is docketed as 43/284.

The Debtor can be reached at:

         LLC Sigma-Resource
         Patrice Lumumba Str. 15
         01042 Kiev
         Ukraine


TECHNO-SPECIAL SERVICE: Creditors Must File Claims by October 8
---------------------------------------------------------------
Creditors of LLC Techno-Special Service (code EDRPOU 34713104)
have until Oct. 8, 2008, to submit proofs of claim to:

         The Economic Court of Kharkov
         Derzhprom 8th Entrance
         Svoboda Square 5
         61022 Kharkov
         Ukraine

The Economic Court of Kharkov commenced bankruptcy proceedings
against the company after finding it insolvent on Aug. 27, 2008.
The case is docketed as B-39/79-08.

The Debtor can be reached at:

         LLC Techno-Special Service
         Gagarin Str. 9/9
         Zmiyev
         Kharkov
         Ukraine


TOPGAS-DNIEPROPETROVSK: Creditors Must File Claims by October 7
---------------------------------------------------------------
Creditors of CJSC Topgas Subsidiary Company Topgas-Dniepropetrovsk
(code EDRPOU 30268680) have until Oct. 7, 2008, to submit proofs
of claim to:

         The Economic Court of Dnipropetrovsk
         Kujbishev Str. 1a
         49600 Dnipropetrovsk
         Ukraine

The Economic Court of Dnipropetrovsk commenced bankruptcy
proceedings against the company after finding it insolvent on May
8, 2008.  The case is docketed as B 26/52-08.

The Debtor can be reached at:

         CJSC Topgas Subsidiary Company Topgas-Dniepropetrovsk
         Zhukovsky Str. 23
         49000 Dnipropetrovsk
         Ukraine


UKRAINIAN TRANSPORT: Creditors Must File Claims by October 7
------------------------------------------------------------
Creditors of LLC Ukrainian Transport Company (code EDRPOU
31197180) have until Oct. 7, 2008, to submit proofs of claim to:

         The Economic Court of Zaporozhje
         Shaumiana Str. 4
         69001 Zaporozhje
         Ukraine

The Economic Court of Zaporozhje commenced bankruptcy proceedings
against the company after finding it insolvent on Aug. 20, 2008.
The case is docketed as 16/196/08.

The Debtor can be reached at:

         LLC Ukrainian Transport Company
         Sovkhoznaya Str. 61
         69050 Zaporozhje
         Ukraine


VINNER DISTRIBUTION: Creditors Must File Claims by October 7
------------------------------------------------------------
Creditors of LLC Vinner Distribution (code EDRPOU 33307917) have
until Oct. 7, 2008, to submit proofs of claim to:

         The Economic Court of Kiev
         B. Hmelnitskij Boulevard 44-B
         01030 Kiev
         Ukraine

The Economic Court of Kiev commenced bankruptcy proceedings
against the company after finding it insolvent on Aug. 6, 2008.
The case is docketed as 50/107.

The Debtor can be reached at:

         LLC Vinner Distribution
         Ap. 410
         Degtiarevskaya Str. 48
         04112 Kiev
         Ukraine


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


CHEVIOT FOODS: Goes Into Administration
---------------------------------------
Northumberland based business, Cheviot Foods Ltd., has entered
into administration, with the appointment of Geoff Rowley and Nick
O'Reilly, of Vantis Business Recovery Services, a division of
Vantis, the UK accounting, tax and business advisory group.

Cheviot Foods Ltd. is an independent business, though there are
common shareholders with Prize Food Group.  However, it is a
legally separate entity and there is no trading relationship
between it and Prize Food Group.

The board of directors at Cheviot Foods resolved to place the
company into administration due to cash flow pressures, resulting
from unprecedented inflation of raw materials and energy prices.

Nick O'Reilly, President of the Association of Business Recovery
Professionals, R3 and Vantis BRS Client Partner, comments: "On an
urgent basis Vantis is working with the management team to
continue to trade.  We hope customers, employees and suppliers
will be supportive of our aims to meet customer requirements and
to enter into discussions with interested parties."


C.L.E.A.R. PLC: S&P Places 9 Junk Ratings on CreditWatch Negative
-----------------------------------------------------------------
Standard & Poor's Ratings Services has lowered and placed on
CreditWatch with negative implications its credit ratings on nine
synthetic collateralized debt obligation bonds issued by
C.L.E.A.R. PLC.

The rating actions reflect the recent downgrade of the underlying
collateral, which the issuer purchased using note proceeds in
each transaction.  They do not reflect any changes in the
reference portfolio.

The debt issued by Sigma Finance Corp. makes up the collateral in
these transactions.  On Sept. 30, S&P lowered its issuer credit
and senior debt ratings on Sigma to CCC-/Watch Neg from A/Watch
Neg and withdrew its rating on its commercial paper.  For further
information see "Sigma Finance Corp. Issuer Credit And Senior
Debt Ratings Lowered; CP Rating Withdrawn".

Ratings List:

C.L.E.A.R. PLC

  -- JPY3 Billion Limited-Recourse Secured Credit-Linked
     Variable-Rate Notes Series 32 (Aramis)

            CCC-/Watch Neg       CCC+

  -- US$50 Million Limited-Recourse Secured Credit-Linked
     Variable-Rate Notes Series 37 (Aramis)

            CCC-/Watch Neg       CCC

  -- AU$5 Million Limited-Recourse Secured Credit-Linked
     Variable-Rate Notes Series 40 (Aramis)

            CCC-/Watch Neg       CCC+

  -- AU$19.1 Million Limited-Recourse Secured Credit-Linked
     Step-Up Notes Series 56

            CCC-/Watch Neg       BBB-

  -- AU$4 Million Limited-Recourse Secured Credit-Linked Step-Up
     Notes Series 57

            CCC-/Watch Neg       BBB

  -- US$10 Million Limited-Recourse Secured Credit-Linked Notes
     Series 58

            CCC-/Watch Neg       BBB

  -- JPY1 Billion Limited Recourse Secured Credit-Linked
     Floating-Rate Notes Series 63

            CCC-/Watch Neg       BBB/Watch Neg

  -- JPY1 Billion Limited Recourse Secured Credit-Linked
     Floating-Rate Notes Series 64

            CCC-/Watch Neg       BBB

  -- AU$5 Million Limited-Recourse Secured Credit-Linked
     Variable-Rate Notes Series 69 (Aramis)

            CCC-/Watch Neg       A


COSMETICUS LTD: HSBC Taps PKF as Receivers
------------------------------------------
HSBC Bank plc appointed Philip L. Armstrong and Stephen P. Holgate
of PKF (U.K.) LLP joint administrative receivers of Cosmeticus
Ltd. (Company Number 4235525) on Sept. 12, 2008.

The company can be reached at:

         Cosmeticus Ltd.
         35 The Rise
         Elstree
         Hertfordshire
         WD6 3JR
         England


HANDLEMAN CO: Shareholders OK Plan of Liquidation & Dissolution
---------------------------------------------------------------
Handleman Company's shareholders approved the Company's plan of
liquidation and dissolution and also re-elected Eugene Miller and
Adam Sexton as directors of the Company during the Company's
annual meeting of shareholders.

As previously reported, the decision to liquidate and dissolve the
Company came primarily as a result of dramatic changes in the
music industry, the Company's primary source of revenues.  Over
the past several years music sales have declined at double-digit
rates, which had a significant impact on the Company's financial
performance during that period.  As a result, in June 2008
Handleman announced its decision to exit the North American music
business and entered into a definitive agreement pursuant to which
it sold music inventory and selected other assets related to its
Wal-Mart business in the United States to Anderson Merchandisers,
L.P.  Handleman also announced in July 2008 that it sold its
Canadian operations to Anderson and sold its Artist to Market
Distribution unit (A2M) to Eurpac Service, Inc.  In September 2008
Handleman announced that it sold a majority of its assets and
operations in the United Kingdom to a subsidiary of Tesco PLC.

Handleman is continuing to explore opportunities to maximize the
value of its other businesses and how best to maximize the
economic return to its shareholders.  These other businesses are
Crave Entertainment Group, Inc., a leading full-service
distributor of video game software, hardware, and related
accessories and a specialty video game publisher, and REPS LLC, a
national in-store merchandiser.

While the Company believes that a cash distribution is a
possibility, no assurance can be given to investors that any
distribution will occur.  Whether there will be any excess cash
proceeds for distribution to shareholders is subject to a number
of material risks and uncertainties that may prevent any such
distribution from occurring.  The Company will provide information
about future cash distributions, if any, at such time as it
believes that they are reasonably estimable.

Handleman Company -- http://www.handleman.com/-- operates as a
category manager, and distributor of prerecorded music and console
video game hardware, software and accessories to retailers in the
United States, United Kingdom and Canada.  Handleman's other
operations include Crave Entertainment Group, Inc. and REPS LLC.
On June 2, 2008, Handleman announced that it exited the music
business in North America and that it sold a portion of its United
States inventory and its United States music business related to
Wal-Mart Stores, Inc. to Anderson Merchandisers L.P.


INVERESK PLC: Stopped from Trading on Failure to Publish Report
---------------------------------------------------------------
Inveresk plc is not yet in a position to publish its accounts for
the period ended Dec. 31, 2007 until it has obtained satisfactory
banking arrangements.  For the same reasons, it is unable to
announce its interim results.

Under the AIM Rules for Companies, Inveresk is required to
announce its interim results for the six months ended
June 30, 2008 by Sept. 30, 2008, hence the suspension of its
shares from trading.

The Board continues to explore a number of avenues to access
additional capital in order to resolve its funding requirements
and is making good progress in this regard.


JG TAYLOR: Brings in Liquidators from Tenon Recovery
----------------------------------------------------
Christopher Benjamin Barrett and Thomas Dixon of Tenon Recovery
were appointed joint liquidators of JG Taylor Marketing Ltd. on
Sept. 17, 2008, for the creditors' voluntary winding-up
proceeding.

The company can be reached at:

         JG Taylor Marketing Ltd.
         c/o Tenon Recovery
         Clive House
         Clive Street
         Bolton
         BL1 1ET
         England


MAUREEN O'BRIEN: Goes Into Administration
-----------------------------------------
Maureen O'Brien Ltd., trading as Joy, has gone into administration
after being hit by the economic slowdown, Graeme Wearden of
guardian.co.uk reports.  The company brought in administrators
from David Rubin & Partners on September 26.

According to the report, the company, which employs 370 staff, is
due to pay rent for the next three months.

The administrators, the report relates, are currently seeking a
buyer for the business to "preserve the maximum number of jobs and
to ensure the best possible realizations for the company's
creditors".

Maureen O'Brien Ltd. (t/a Joy) is a clothing and homeware chain.
The company runs 28 stores across the UK selling clothes, gifts,
books and cards.  Its clientele includes celebrities Keira
Knightley and Sienna Miller.


METRONET RAIL: S&P Raises Underlying Debt Ratings to BB+ From B
---------------------------------------------------------------
Standard & Poor's has raised to 'BB+' from 'B' its underlying debt
ratings on the GBP165 million index-linked and GBP350 million
fixed-rate bonds due 2032 issued by Metronet Rail BCV Finance PLC
and Metronet Rail SSL Finance PLC.  At the same time, S&P removed
the underlying ratings from CreditWatch with positive
implications, were they were placed on Feb. 19, 2008.  The outlook
on the underlying ratings is developing.  The bonds remain
outstanding.

"Immediately after the upgrade, Standard & Poor's withdrew the
underlying debt ratings upon the Metronet companies' indication
not to maintain a rating engagement on the bonds with Standard &
Poor's following the exercise of the put option under the public-
private partnership contract with London Underground Ltd. on Feb.
5, 2008," said S&P's credit analyst Jonathan Manley.

Simultaneously, S&P affirmed its insured 'AAA' and 'AA' ratings
on the GBP350 million bonds and the GBP165 million bonds pursuant
to bond insurance policies issued by Financial Security Assurance
(U.K.) Ltd. (FSA; AAA/Negative/--) and Ambac Assurance U.K. Ltd.
(Ambac; AA/Negative/--).  The insured debt ratings have a negative
outlook.  The insured debt ratings and outlook reflect the
unconditional and irrevocable guarantees by FSA and Ambac of
payment of scheduled interest and principal on the bonds and will
be revised in line with any changes to the ratings or outlook on
those guarantors.

The upgrade reflects the cash collateralization of GBP1.74 billion
held under an escrow agreement between the relevant monoline
(Ambac or FSA), the bond trustee, and the escrow agent to be used
for the payment of principal and interest on the bonds.  This
resulted from a payment of this amount by Transport for London
(AA/Stable/--) in settlement of the underpinned amount following
the exercise of the put option by the Metronet companies' senior
funders.  This amount, in S&P view, could be sufficient at the
'BB+' level to pay scheduled principal and interest until maturity
or prior call.

The developing outlook reflects the possibility that S&P could
have raised or lowered the underlying debt ratings on the bonds to
reflect the value of the outstanding cash collateral against the
future debt service obligations, depending on the provision and
nature of information not currently available to S&P.

In resolving the developing outlook, S&P would have analyzed,
among other things, factors including: the investment strategy of
FSA and Ambac respectively regarding their element of the GBP1.74
billion cash collateral; the exposure to counterparty risk; the
level of fees and charges incurred in the management of the
collateral; and the performance of the collateral under different
financial and economic sensitivity scenarios, principally
variations of indexation for the index-linked bonds and on
interest rates for the fixed-rate bonds.

For example, under a scenario where the index rate for the index-
linked bonds is higher than expected, the value of the cash
collateral may be lower-than-scheduled debt service.  In such
circumstances, S&P might anticipate that the respective monoline
would undertake an early redemption of the relevant bond at the
point at which the value of the cash collateral was, at least,
equal to the outstanding amount due.

S&P's ratings do not evaluate the payment of any premium, nor do
they entertain the possibility of prepayment.


ONLINE TRAVEL: Goes Into Administration
---------------------------------------
Specialist travel intermediary, Online Travel Group Ltd. has been
placed in administration.  Appointed administrators on Thursday,
Sept. 25, 2008 were Neil Bennett and Michael Healy of Leonard
Curtis who are now in the process of selling these businesses.

The company, originally launched in 1999, had a turnover of GBP7.7
million for the year to March 2007, up GBP2.5 million from the
previous financial year.  Online Travel operated a number of
travel Web sites providing travel insurance, and bookings for
ferry crossings, airport parking, hotels and holidays.

"Ferry bookings where passengers have already traveled are largely
unaffected" said administrator Neil Bennett.  "We understand that
forward bookings are mostly being honored by ferry operators under
their agency agreements.  All package holidays, confirmed and not
yet traveled, are being dealt with by Freedom Travel Group to
protect customers' holiday bookings and ensure no disruption to
confirmed holiday plans."

Occupying headquarter offices in Covent Garden, central London,
and with a call center in Leeds, Online Travel employed around 20
staff.  The 16 staff at the call center have been made redundant
by the administrators since their appointment, there are currently
two staff members at the headquarters.

"It is apparent from our brief investigation," says Neil Bennett,
"that the company had run out of options.  We understand that
credit terms had been drastically shortened by key trading
partners, and this, combined with the credit crunch and general
economic downturn, lead to a dramatic cutback in consumer spending
on all but the essentials.  We are currently selling parts of the
business to preserve value where possible."


POWE CAPITAL: Liquidates Modulus Europe Hedge Fund
--------------------------------------------------
Powe Capital Management has opted to liquidate its EUR330 million
(GBP261 million) flagship hedge fund Modulus Europe, resulting to
the loss of 10 jobs, Sean Farrell and Nikhil Kumar write for The
Independent.

The fund, which invests in small and medium-size companies, has
had disappointing performance in the last 14 months, triggering
redemptions, the report discloses.

According to the report, the fund has lost 21% of its value this
year after investors flee to look for more liquid investments due
to the financial turmoil.

"The main problem this year is that fundamental stock picking has
not been rewarded.  The fund's exposure to small and medium-sized
companies really suffered because liquidity in those names was
poor," Powe Capital founder Rory Powe was quoted by the report as
saying.

Powe Capital, the report relates, used "gates" to defer
redemptions in the fund on July 1, Aug. 1 and Sept. 1 to protect
remaining investors from the consequences of paying out all the
redemptions at once but eventually decided to liquidate the fund.

Mr. Powe believes liquidation was the fairest outcome for all
investors, the report notes.

PricewaterhouseCoopers, the liquidator, will distribute 80% of the
fund's holdings to investors in cash.  Meanwhile, Powe Capital
will retain 20% of the most illiquid shares to be disposed of over
time, the report relates.

Mr. Powe declared that while he regretted the need to hold back
20%, it was the best way to liquidate the holdings and that there
would be no management fee, the report states.

Powe Capital's Principia and Tensor funds however would continue
to operate, the report adds.

Powe Capital Management (PCM) LLP -- http://www.powecapital.com/
--  is a fund management company, established in 2002 to manage
assets on behalf of non-private investors.  Having gained
regulatory approval on Feb. 28, 2002 from the FSA, PCM launched
Modulus Europe, its European equity long/short hedge fund on
March 1, March 2002.


PURPLE SAILS: Placed Under Voluntary Liquidation
------------------------------------------------
Purple Sails & Marine Ltd. has been placed under voluntary
liquidation by its directors Greg O'Brien and Jim Hunt, a report
posted on Boating Business site said.  The liquidator, Chris Moore
of KJ Watkin & Co, is seeking a purchaser for the assets of the
business and will also be contacting all known creditors, the
report noted.

According to the report, Mr. O'Brien blamed "lack of trade" for
the company's demise, but said "the internet, mail order and
retail are in liquidation, but Team Purple and Purple Sails are
unaffected."  Team Purple is the Southampton-based corporate
clothing company, while Purple Sails are made in house, the report
said.

Based in United Kingdom, Purple Sails & Marine Ltd. --
http://www.purplemarine.com/-- is an online sailing superstore.


Q.E.D. MARKETING: Calls in Liquidators from Mazars
--------------------------------------------------
Simon David Chandler and Alistair Steven Wood of Mazars LLP were
appointed joint liquidators of Q.E.D. Marketing Ltd. on
Sept. 16, 2008, for the creditors' voluntary winding-up
proceeding.

The company can be reached at:

         Q.E.D. Marketing Ltd.
         c/o Mazars LLP
         Cartwright House
         Tottle Road
         Nottingham
         NG2 1RT
         England


QUEBECOR WORLD: Wants Court to Set December 5 as Claims Bar Date
----------------------------------------------------------------
Quebecor World Inc. and its debtor-affiliates ask the United
States Bankruptcy Court for the Southern District of New York to:

  -- set December 5, 2008, at 5:00 p.m. (Eastern Time) as the
     deadline by which proofs of claim must be filed by the
     Debtors' creditors, including governmental units;

  -- approve the proof of claim form; and

  -- approve the proposed claims procedure.

The Debtors filed their schedules of assets and liabilities and
statements of financial affairs with the Court, and are now
progressing towards the formulation of a plan of reorganization,
Michael J. Canning, Esq., at Arnold & Porter LLP, in New York,
states.  To have a reorganization plan confirmed, it is necessary
for the Debtors to ascertain the nature, extent and scope of the
claims asserted against them, Mr. Canning asserts.

Each person holding a prepetition claim against the Debtors must
file a Proof of Claim before the Bar Date.  The Proof of Claim
must be (i) written in the English language, (ii) signed by the
entity and include supporting documentation, and (iii)
denominated in U.S. currency.  The Proof of Claim must be in the
form substantially similar to the Official Form 10.

Any holder of a claim arising from an unexpired lease or
executory contract of the Debtors which was not assigned by the
Debtors prior to the Petition Date, will file a proof of claim so
as to be actually received by the later of (1) the date provided
by the Court's rejection order; or, if no date is provided, then
30 days after the date of the order; and (2) the Bar Date;
provided, however, that if an Agreement is not rejected prior to
the expiration of the Agreement.

Holders of equity security interests in the Debtors need not file
proofs of interest with respect to the ownership of the equity
interests.

Any individual or entity that is required to file a proof of
claim but that fails to do so by the Bar Date, will be forever
barred from asserting the claim and will be forever discharged
from any and all indebtedness or liability with respect to the
claim.  Moreover, that creditor will neither be permitted to vote
on any plan or plans of the Debtors nor participate in any
distribution in the Debtors' Chapter 11 Cases.

                      About Quebecor World

Based in Montreal, Quebec, Quebecor World Inc. (TSX: IQW) (NYSE:
IQW) -- http://www.quebecorworldinc.com/-- provides market
solutions, including marketing and advertising activities, well
as print solutions to retailers, branded goods companies,
catalogers and to publishers of magazines, books and other
printed media.  It has 127 printing and related facilities
located in North America, Europe, Latin America and Asia.  In
the United States, it has 82 facilities in 30 states, and is
engaged in the printing of books, magazines, directories, retail
inserts, catalogs and direct mail.

The company has operations in Mexico, Brazil, Colombia, Chile,
Peru, Argentina and the British Virgin Islands.

Quebecor World and 53 of its subsidiaries, including those in
Canada, filed a petition under the Companies' Creditors
Arrangement Act before the Superior Court of Quebec, Commercial
Division, in Montreal, Canada, on Jan. 20, 2008.  The Honorable
Justice Robert Mongeon oversees the CCAA case.  Francois-David
Pare, Esq., at Ogilvy Renault, LLP, represents the Company in
the CCAA case.  Ernst & Young Inc. was appointed as Monitor.

On Jan. 21, 2008, Quebecor World (USA) Inc., its U.S.
subsidiary, along with other U.S. affiliates, filed for chapter
11 bankruptcy on Jan. 21, 2008 (Bankr. S.D.N.Y Lead Case No.
08-10152).  Anthony D. Boccanfuso, Esq., at Arnold & Porter LLP
represents the Debtors in their restructuring efforts.   The
Official Committee of Unsecured Creditors is represented by Akin
Gump Strauss Hauer & Feld LLP.

Based in Corby, Northamptonshire, Quebecor World PLC --
http://www.quebecorworldplc.com/-- is the U.K. subsidiary of
Quebecor World Inc. that specializes in web offset magazines,
catalogues and specialty print products for marketing and
advertising campaigns.  The company employs around 290 people.
Quebecor PLC was placed into administration with Ian Best and
David Duggins of Ernst & Young LLP appointed as joint
administrators effective Jan. 28, 2008.

As of June 30, 2008, Quebecor World's unaudited consolidated
balance sheet showed total assets of US$3,412,100,000 total
liabilities of US$4,326,500,000 preferred shares of US$62,000,000
and total shareholders' deficit of US$976,400,000.

(Quebecor World Inc. News, Issue No. 26; Bankruptcy Creditors'
Service Inc., http://bankrupt.com/newsstand/or 215/945-7000)


RECALL SECURITY: Joint Liquidators Take Over Operations
-------------------------------------------------------
Stephen John Adshead and Gregory Andrew Palfrey of Smith &
Williamson Limited were appointed joint liquidators of Recall
Security Ltd. on Sept. 15, 2008, for the creditors' voluntary
winding-up proceeding.

The company can be reached at:

         Recall Security Ltd.
         c/o Smith & Williamson Ltd.
         Imperial House
         18-21 Kings Park Road
         Southampton
         Hampshire
         SO15 2AT
         England


SAVIOUR RECRUITMENT: Taps Liquidators from Tenon Recovery
---------------------------------------------------------
Jeremy Woodside and Christopher Ratten of Tenon Recovery were
appointed joint liquidators of Saviour Recruitment Ltd. (formerly
Croft Recruitment) on Sept. 15, 2008, for the creditors' voluntary
winding-up proceeding.

The company can be reached at:

         Saviour Recruitment Ltd.
         Block B
         Brunswick Square
         Union Street
         Oldham
         OL1 1DE
         England


SIXTY UK: Appoints Joint Administrators from Vantis
---------------------------------------------------
Peter Hollis and Nick O' Reilly, Client Partners at Vantis
Business Recovery Services, a division of Vantis, the UK
accounting, tax and business advisory group, have been appointed
joint administrators to Sixty UK Ltd., the company trading the
Miss Sixty and Energie fashion brands.

The company trades from 12 high street stores and concessions in
major department stores across the country.  Its brands are also
sold through many independent fashion outlets across the UK.

The business is currently operating as normal, with all stores
remaining open and supplies to concessions and independents being
unaffected.  It is hoped arrangements will be reached that will
enable the business to continue into the future.  There have been
no redundancies at either head office or any outlets, and stocks
continue to be replenished.


VICTORIA LODGE: Administrators Seek Buyer
-----------------------------------------
The administrator for Victoria Lodge care home in Coldstream,
Vantis Business Recovery Services , a division of Vantis, the UK
accounting, tax and business advisory group, is seeking a buyer
for the business, after its owners, Nightingale Care Lodge Ltd.,
entered into administration in August this year.

Chris Stevens, Client Partner at Vantis BRS and appointed
administrator, confirms the strategy is to continue to trade the
business, while identifying a buyer to purchase the nursing home
as a going concern.  He says: "The doors at Victoria Lodge are
open.  We are confident we will be able to find a buyer and are
committed to keeping the business trading through administration."

Directors at Nightingale Care Lodge appointed administrators after
the business experienced financial difficulties, forcing it into
insolvency.  Together with Vantis BRS, the management team is keen
to identify a buyer to ensure resident care is uninterrupted and
to safeguard jobs.

Victoria Lodge is one of two care homes owned by Nightingale Care
Lodge currently being managed through administration by Vantis
BRS.


VIRGIN MEDIA: Guilty of Data Breach, ICO Says
---------------------------------------------
The Information Commissioner's Office (ICO) has found Virgin Media
Limited in breach of the Data Protection Act following the loss of
an unencrypted CD containing the personal details of over three
thousand customers.

The ICO was alerted to the data breach earlier this year following
the loss of a compact disc that was passed to Virgin Media by
Carphone Warehouse.  The disc contained the personal details of
individuals interested in opening a Virgin Media account in a
Carphone Warehouse store.

Virgin Media has been ordered to implement a number of security
measures to protect customers' personal information more
effectively.  The company is required, with immediate effect, to
encrypt all portable or mobile devices which store and transmit
personal information.  Any company processing personal information
on behalf of Virgin Media must also use encryption software, a
requirement which must be clearly stated in all contracts.

The ICO has required Virgin Media to sign a formal undertaking to
comply with the principles of the Data Protection Act. Failure to
meet the terms of the undertaking is likely to lead to further
enforcement action by the ICO.

Mick Gorrill, Assistant Commissioner at the ICO, said: "The
Information Commissioner's Office takes all breaches of data
security seriously.  Customers must feel confident that their
personal information will be handled properly by an organization
and, importantly, that their details will not be accessed by a
third party.

"The Data Protection Act clearly states that organizations must
keep personal information secure.  Virgin Media recognizes the
seriousness of this data loss and has agreed to take the immediate
remedial action that we have outlined in order to protect its
customers' personal details."

                    About Virgin Media

Headquartered in London, England, Virgin Media Inc. (fka NTL
Inc.) (NASDAQ: VMED) -- http://virginmedia.com/-- provides
broadband, digital television, telephony, content and
communications services, reaching over 50% of the U.K. homes and
85% of the U.K. businesses.

                          *     *     *

Virgin Media continues to carry a Ba3 corporate family rating from
Moody's Investors Service with negative outlook.

The company still carries a 'B+' long-term corporate credit rating
from Standard & Poor's with positive outlook.

The company also carries Fitch's 'B+' long-term issuer default
rating and 'B' short-term issuer default rating.  Fitch said the
outlook is stable.


* S&P Reviews Public Sector Portfolios in Central/Eastern Europe
----------------------------------------------------------------
Standard & Poor's Ratings Services said that, in light of the
current difficulties in the banking and capital markets, and to
identify entities that may be faced with potential refinancing
risk, it had made a comprehensive review of its entire public
sector portfolio in Central and Eastern Europe.

S&P rates 50 local and regional governments (LRGs) and six
government-related entities (GREs) in the region.  Although S&P
does not have immediate liquidity concerns on most of them, it has
identified four LRGs and three GREs that have larger refinancing
needs than peers.  All affected entities are in Russia (where S&P
rates 27 LRGs and four GREs), where the banking system continues
to be severely tested by the sharp liquidity squeeze and the
massive volatility in global equity markets.  These entities are
exposed to a varying degree of uncertainty on how their debts
maturing before the end of 2008 will be repaid, and S&P therefore
placed them on CreditWatch with negative implications:

-- Klin Rayon (B-/Watch Neg/--);
-- Moscow Oblast (BB/Watch Neg/--) and its GREs:

   * Moscow Regional Investment Trust Co. OJSC (B/Watch Neg/--),
   * Mortgage Corporation of Moscow Region OJSC (B-/Watch Neg/--)
   * Mostransavto (CCC+/Watch Neg/--);

-- City of Omsk (B/Watch Neg/--); and
-- Tomsk Oblast (B+/Watch Neg/--).

"We plan to resolve all these CreditWatch placements as soon as
we obtain more visibility on how the entities will cover their
upcoming refinancing needs and we have more certainty regarding
the availability of resources," said S&P's credit analyst Felix
Ejgel.

S&P contemplates scenarios for resolving the CreditWatch
placements.  If negative market sentiment and risk-aversion
worsens to the extent that an entity will likely be unable to
refinance and service its debt, S&P would consider downgrades of
several notches, eventually reaching 'D' or 'SD'.  However, if an
entity manages to refinance its debt, but this leads to a material
weakening of its operating performance due to higher interest
costs and rising debt service, S&P would still downgrade the LRG
or GRE, but most likely by only one notch.

If the Moscow Oblast GREs are unable to cover their refinancing
needs on their own, and if there is a lack of visibility on the
oblast's willingness and ability to provide sufficient timely
support under these circumstances, the differential between the
ratings on the oblast and those on its related companies could
widen.  The extent of the downgrade on the companies would depend
on the evolution of these two factors.

On the other hand, S&P would affirm the ratings on an entity able
to provide a clear strategy, supported by committed financing, to
ensure the timely repayment of its debt without a significant
increase in funding costs and consecutive deterioration of
financial performance.

Compared with the entities affected, other Russian LRGs have
comparatively higher cash reserves, and lower debt service in the
short term.

Out of the seven Ukrainian LRGs S&P rates, some have no debt at
all, like the Autonomous Republic of Crimea (B+/Stable/--) and the
City of Dnipropetrovsk (B+/Stable/--).  Others have very low debt
service or have reserved cash for all debt service until the end
of the year, like the City of Odessa (B+/Stable/--).  S&P
therefore expects no downside on Ukrainian LRGs in the next few
months.

Similar to Ukrainian entities, the LRGs and GREs S&P rates in
Bulgaria, Turkey, Poland, Czech Republic, Hungary, Croatia, and
Romania have either moderate or no debt maturing by the end of
2008, or higher cash reserves to meet debt service until the end
of the year, like the City of Istanbul (BB-/Negative/--).  As a
result, S&P expects their exposure to refinancing in the next few
months to remain limited and therefore to result in no immediate
credit concerns.


* BOOK REVIEW: Working Together: 12 Principles for Achieving
              Excellence in Managing Projects, Teams, and
              Organizations
------------------------------------------------------------
Author: James P. Lewis
Publisher:  Beard Books
Hardcover:  208 pages
List Price: US$34.95

Own your personal copy at
http://amazon.com/exec/obidos/ASIN/158798279X/internetbankrupt

This intriguing book tells the story of how the the author led in
the restoration of Boeing Commercial Airplanes to a global
industry leading position.

In conjunction with Alan Mulally, President and CEO of Boeing and
developer of his twelve guiding principles of project management,
the "working together" principles and practices were the key to a
successful conclusion of the project creating and selling the
revolutionary Boeing 777.

That project may have been the biggest test of the "working
together" principles and practices, and should be required reading
for all managers and would-be managers.

These principles include such matters as clear performance goals,
an inclusive working environment, and the use of active listening
skills.

The application of these principles to the real world makes for a
book full of practical guidance and enduring managerial tools.


                           *********

Monday's edition of the TCR delivers a list of indicative prices
for bond issues that reportedly trade well below par.  Prices are
obtained by TCR editors from a variety of outside sources during
the prior week we think are reliable.  Those sources may not,
however, be complete or accurate.  The Monday Bond Pricing table
is compiled on the Friday prior to publication.  Prices reported
are not intended to reflect actual trades.  Prices for actual
trades are probably different.  Our objective is to share
information, not make markets in publicly traded securities.
Nothing in the TCR constitutes an offer or solicitation to buy or
sell any security of any kind.  It is likely that some entity
affiliated with a TCR editor holds some position in the issuers'
public debt and equity securities about which we report.

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/booksto 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.  Zora Jayda Zerrudo Sala, Pius Xerxes Tovilla, Joy
Agravante, Melanie Pador, Marie Therese V. Profetana and Peter
A. Chapman, Editors.

Copyright 2008.  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$625 per half-year,
delivered via e-mail.  Additional e-mail subscriptions for members
of the same firm for the term of the initial subscription or
balance thereof are US$25 each. For subscription information,
contact Christopher Beard at 240/629-3300.


                 * * * End of Transmission * * *