TCREUR_Public/081007.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

           Tuesday, October 7, 2008, Vol. 9, No. 199

                            Headlines

A U S T R I A

BAUREIN POLAT: Claims Registration Period Ends October 20
BIODIESEL PRODUKTION: Claims Registration Period Ends October 20
SCHUH UND SPORT: Claims Registration Period Ends October 13
TECHNOSERVICE LLC: Claims Registration Period Ends October 20


B E L G I U M

DEXIA SA: Says HRE-Related Credit Risks Have Very Limited Impact
DEXIA: CEO Will Not Ask for End-Of-Contract Indemnities
FORTIS NV: Sells Banking and Belgian Insurance Businesses
FORTIS NV: Dutch Gov't. Wants Full Control of Bank's Operations
FORTIS NV: Original Rescue Plan Gets Regulators' Provisional OK

TEKNI-PLEX INC: Fails to File Annual Report By Deadline
TEKNI-PLEX INC: Inks Consent and Waiver Deal with Lenders


F R A N C E

CHESAPEAKE CORP: Sees Likely Default on Loan Facility Covenant


G E R M A N Y

AGROTRANSLOGISTIK GMBH: Claims Registration Period Ends Oct. 9
AUTOMOTIVE & INDUSTRIAL: Creditors' Meeting Set October 14
H & G MONTAGESERVICE: Claims Registration Period Ends Oct. 10
H + R SERVICE: Claims Registration Period Ends Oct. 10
HKM GMBH: Claims Registration Period Ends October 10

HYPO REAL: Chief Executive and Chairman to Step Down
INTERNET & INFORMATION: Claims Registration Period Ends Oct. 9
MANULOGS MANUFACTURING: Claims Registration Period Ends Oct. 9
MAXDATA COMPUTER: Claims Registration Period Ends October 9
PREMIERE AG: Shares Plunge on Expected Loss and CEO Resignation

SPORT-UND FREIZEITANLAGE: Claims Registration Ends October 13
TAWE DESIGN: Claims Registration Period Ends Oct. 10
TELESERVICE MEDIA: Claims Registration Period Ends Oct. 10
TYPOSTUDIO SIEGFRIED: Claims Registration Period Ends October 13
VI HOLDING: Claims Registration Period Ends October 10


K A Z A K H S T A N

AMAN STROY: Creditors Must File Claims by November 21
BUSINESS GARANT: Claims Deadline Slated for November 21
GRUNDFOS PUMPEN: Claims Filing Period Ends November 21
JELKUAR-2000 LLP: Creditors' Claims Due on November 21
LIMON LLP: Claims Registration Ends November 21

MTS-KOMEK-AGRO LLP: Creditors Must File Claims by November 21
RUBI STAR: Claims Deadline Slated for November 21
SAUYR-SAIHAN LTD: Claims Filing Period Ends November 21
SERVICE UNIVERSAL: Creditors' Claims Due on November 21
STAT OIL: Claims Registration Ends November 21


K Y R G Y Z S T A N

MEDIO-PRO LLC: Creditors Must File Claims by November 12


L U X E M B O U R G

EUROPROP: Fitch Affirms 'BB' Rating on EUR6.6MM Class F Notes


N E T H E R L A N D S

TRONOX INCORPORATED: Extends ABN Receivables Pact to October 31


R U S S I A

CHERNOVTSY ENTERPRISE: Creditors Must File Claims by October 9
KAMIANSKOYE LLC: Creditors Must File Claims by October 10
ORBITA LLC: Creditors Must File Claims by October 9
SPECIAL ELIT: Creditors Must File Claims by October 11
STEPOVOYE: Creditors Must File Claims by October 10

TRANSMACHINE OJSC: Creditors Must File Claims by October 11
URALTRANSBANK: Fitch Affirms Individual Rating at 'D'
VINNICA REGIONAL: Creditors Must File Claims by October 9
ZEMLIA LLC: Creditors Must File Claims by October 9


S P A I N

AYT UNICAJA: Fitch Rates EUR20.1MM Series D Notes at 'BB-'
IM CAJA: Fitch Holds 'CCC' Rating on Class E Notes; Outlook Stable
MARTINSA FADESA: Claims Filing Deadline Extended to October 25


S W I T Z E R L A N D

DA VERTRIEB: Creditors Must File Proofs of Claim by Nov. 3
H. BOSCH VERTRIEB: Deadline to File Proofs of Claim Set Oct. 31
IZT JSC: Creditors Have Until Oct. 31 to File Claims
NL NEONLIGHT: Proofs of Claim Filing Deadline is Nov. 1
PACIFIC CORPORATE: Creditors' Proofs of Claim Due by Nov. 6

R. GYGER MONTAGE: Nov. 4 Set as Deadline to File Claims
SITEKNOWHOW LLC: Creditors Must File Proofs of Claim by Nov. 8
TAOS JSC: Deadline to File Proofs of Claim Set Nov. 21


U K R A I N E

BANK NADRA: Moody's Changes Rating on E+ BFSR to Stable
CHERNOVTSY ENTERPRISE: Creditors Must File Claims by October 9
KAMIANSKOYE LLC: Creditors Must File Claims by October 10
INDEX-BANK: Moody's Changes Outlook on E+ BFSR to Stable
ORBITA LLC: Creditors Must File Claims by October 9

SPECIAL ELIT: Creditors Must File Claims by October 11
STEPOVOYE: Creditors Must File Claims by October 10
TRANSMACHINE OJSC: Creditors Must File Claims by October 11
VINNICA REGIONAL: Creditors Must File Claims by October 9
ZEMLIA LLC: Creditors Must File Claims by October 9


U N I T E D   K I N G D O M

AMERICAN INTERNATIONAL: To Sell 50% Interest in London Airport
AMERICAN INT'L: To Refocus as Worldwide Property & Casualty Co.
AMERICAN INT'L: Recent Ratings Won't Affect RMBS Certs., S&P Says
BRADFORD & BINGLEY: EU Commission Approves State Bailout
BRADFORD & BINGLEY: Investors Want Slot in Board

BRADFORD & BINGLEY: Fitch Holds Ratings on 46 UK RMBS Tranches
DIOMED HOLDINGS: Pays US$1.1MM of Accrued Loan Interest and Fees
HERITAGE LOFTS: Brings in Liquidators from Moore Stephens
LADBROKES PLC: Moody's Puts Ba2 Rating on Review for Downgrade
LEHMAN BROTHERS: Nomura to Expand European Fixed Income Division

LEHMAN: Europe & Mid-East Banking Biz Buyout to Close Oct. 13
MARTIN FISHER: Appoints Steven Draine as Liquidator
MONEY PARTNERS 1: S&P Puts BB+\Rated Class B2 Notes on Watch Neg.
MONEY PARTNERS 3: S&P Places Class B2a and B2b Notes on Watch Neg.
MONEY PARTNERS 4: S&P Puts BB-Rated Class B2 Notes on Watch Neg.

MONO SCREEN: Calls in Liquidators from Baker Tilly
ROSEBYS GROUP: Gets 45 Expressions of Interest; Closes 10 Outlets
RUACH PLAY: Taps Liquidators from Tenon Recovery
TARAQUE LTD: Claims Filing Period Ends Jan. 31, 2009
TEN ESTATES: Appoints Liquidators from Mazars

TAYLOR WIMPEY: Fitch Cuts Long-Term Issuer Default Ratings to 'B'
US ENERGY: Wants Until February 18 to Solicit Plan Acceptances

* UNITED KINGDOM: Three Mortgage Lenders Lift Borrowing Rates
* European IPOs in Freefall in Q3 2008, a Pwc Survey Says
* Pwc Sees Market Volatility as Impetus for More Transparency

* Large Companies with Insolvent Balance Sheet


                         *********


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


BAUREIN POLAT: Claims Registration Period Ends October 20
---------------------------------------------------------
Creditors owed money by KG Baurein Polat have until Oct. 20, 2008,
to file written proofs of claim to the court-appointed estate
administrator:

         Dr. Marisa Schamesberger
         Hofgasse 6/III
         8010 Graz
         Austria
         Tel: 0316/842184
         Fax: 0316/842184-8
         E-mail: kanzlei@ra-hofgasse6.com

Creditors and other interested parties are encouraged to attend
the creditors' meeting at 2:10 p.m. on Nov. 6, 2008, for the
examination of claims at:

         The Graz Land Court
         Room 230
         Second Floor
         Hall L
         Graz
         Austria

Headquartered in Graz, Austria, the Debtor declared bankruptcy on
Sept. 15, 2008, (Bankr. Case No. 25 S 76/08a).


BIODIESEL PRODUKTION: Claims Registration Period Ends October 20
----------------------------------------------------------------
Creditors owed money by LLC Biodiesel Produktion have until
Oct. 20, 2008, to file written proofs of claim to the court-
appointed estate administrator:

         Dr. Elisabeth Hrastnik
         Hauptplatz 11
         Atrium Top 16 A
         7400 Oberwart
         Austria
         Tel: 03352/31375
         Fax: 03352/ 31375-16
         E-mail: dr.hrastnik@utanet.at

Creditors and other interested parties are encouraged to attend
the creditors' meeting at 11:40 a.m. on Nov. 3, 2008, for the
examination of claims at:

         The Land Court of Eisenstadt
         Hall F
         Eisenstadt
         Austria

Headquartered in Guessing, Austria, the Debtor declared bankruptcy
on Sept. 10, 2008, (Bankr. Case No. 41 S 39/08k).


SCHUH UND SPORT: Claims Registration Period Ends October 13
-----------------------------------------------------------
Creditors owed money by LLC Schuh und Sport Frankl have until
Oct. 13, 2008, to file written proofs of claim to the court-
appointed estate administrator:

         Dr. Christian Puswald
         Unterer Platz 11
         9300 St. Veit/Glan
         Austria
         Tel: 04212/2040
         Fax: 04212/28122
         E-mail: office@kleinszig-puswald.at

Creditors and other interested parties are encouraged to attend
the creditors' meeting at 11:00 a.m. on Oct. 20, 2008, for the
examination of claims at:

         The Land Court of Klagenfurt
         Room 225
         Second Floor
         Klagenfurt
         Austria

Headquartered in Treibach, Austria, the Debtor declared bankruptcy
on Sept. 17, 2008, (Bankr. Case No. 41 S 97/08z).


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

         Mag. Gunter Huainigg
         Dr. Franz Palla-Gasse 21
         9020 Klagenfurt
         Austria
         Tel: 0463/599 399, 512 889
         Fax: 0463/599399-15
         E-mail: office@hdp-law.com

Creditors and other interested parties are encouraged to attend
the creditors' meeting at 9:00 a.m. on Oct. 27, 2008, for the
examination of claims at:

         The Land Court of Klagenfurt
         Room 225
         Second Floor
         Klagenfurt
         Austria

Headquartered in Klagenfurt, Austria, the Debtor declared
bankruptcy on Sept. 18, 2008, (Bankr. Case No. 41 S 98/08x).


=============
B E L G I U M
=============


DEXIA SA: Says HRE-Related Credit Risks Have Very Limited Impact
----------------------------------------------------------------
Dexia's Board of Directors met on Sunday, Oct. 5, to receive an
update on the Group's situation following the various events which
occurred in the banking and financial industry last week,
particularly its capital increase announced on Tuesday,
Sept. 30, and effectively realized on Friday, Oct. 3.

The Board of Directors also took the opportunity to review the
Group's liquidity situation and, given the additional measures
taken by the Dexia Group during the past week and the positive
developments observed recently, it considered the Group to be in a
position to deal with the deteriorating conditions observed on the
financial markets.

Following rumors regarding possible adverse consequences for Dexia
of the current difficulties faced by Hypo Real Estate (HRE), Dexia
affirms that credit risks related to HRE would have a very limited
impact on the Group's solvency.  Dexia's capital increase
announced on Sept. 30 precisely took into account, amongst other
things, potential negative impacts that could
arise from the overall deterioration in the creditworthiness of
some banking counterparties.

As reported in the Troubled Company Reporter-Europe on Thursday,
Oct. 2, the Governments of Belgium, France and Luxembourg, and
existing shareholders agreed to inject a total of EUR6.4 billion
in Dexia.  Specifically, Belgium will invest EUR3 billion and
France will invest EUR3 billion in exchange for additional shares
in the bank at US$9.90 per share.  Luxembourg meanwhile will
invest EUR376 million in newly-issued convertible bonds.

Dexia expects its Tier 1 capital ratio at the end of September
2008, before the capital increase, to be above 10%.

According to The Wall Street Journal, Dexia has a profitable core
municipal loans business but is exposed to the troubled U.S.
housing market through its smaller U.S. bond insurance arm FSA.
As mortgage defaults have multiplied, worries over the insurer's
ability to meet its obligations have grown, WSJ says.

Dexia said its US$5 billion unsecured liquidity line granted to
FSA's Financial Products asset management subsidiary would be
converted into an equally sized repo facility while economic
losses at FSA's Financial Products asset management subsidiary
exceeding the US$316 million recognized at the end of June 2008
would be compensated by capital injections into this subsidiary
not exceeding US$500 million.

On Sept. 18, Dexia said its Lehman-related losses was around
EUR350 million.

                       About Dexia SA

Dexia SA -- http://www.dexia.com/-- is a Belgian bank specialized
in retail banking and local public finance.  The Bank offers a
range of banking services for individual customers, small and
medium-sized enterprises and institutional clients.  It has four
divisions: Asset Management, Personal Financial Services, Treasury
and Financial Markets, and Investor Services.  The Asset
Management division offers products ranging from traditional and
alternative funds to socially responsible investments.  The
Personal Financial Services segment focuses on banking and
insurance products, including both life and non-life insurance
products.  Through its Treasury and Financial Markets division,
Dexia is present in the capital markets and provides support to
the entire Group.  The Investor Services segment offers various
services to shareholders, such as fund and pension administration.
Through its subsidiaries, Dexia SA is active in over 30 countries,
including Belgium, Luxembourg, Slovakia, Turkey, France, Australia
and Japan.


DEXIA: CEO Will Not Ask for End-Of-Contract Indemnities
-------------------------------------------------------
Axel Miller, Chief Executive Officer of Dexia, said "Following my
decision to resign as Chief Executive Officer, I have also decided
that I will not ask for payment of any end-of-contract
indemnities.  I shall leave it to the Board of Directors, at the
end of the work with which they have entrusted me, to determine
all matters relating to my actions within the Dexia Group."

As reported in the Troubled Company Reporter-Europe, drawing
conclusions from the current financial crisis and its impact on
the Dexia Group, Pierre Richard, Chairman of the Board of
Directors of Dexia, and Axel Miller, Chief Executive Officer
and Chairman of the Management Board of Dexia, tendered their
resignation Tuesday, Sept. 30, to the Board of Directors.  The
Board accepted their resignations and asked Messrs Richard and
Miller to continue to look after the daily management until their
successors have been appointed.

                      About Dexia SA

Dexia SA -- http://www.dexia.com/-- is a Belgian bank specialized
in retail banking and local public finance.  The Bank offers a
range of banking services for individual customers, small and
medium-sized enterprises and institutional clients.  It has four
divisions: Asset Management, Personal Financial Services, Treasury
and Financial Markets, and Investor Services.  The Asset
Management division offers products ranging from traditional and
alternative funds to socially responsible investments.  The
Personal Financial Services segment focuses on banking and
insurance products, including both life and non-life insurance
products.  Through its Treasury and Financial Markets division,
Dexia is present in the capital markets and provides support to
the entire Group.  The Investor Services segment offers various
services to shareholders, such as fund and pension administration.
Through its subsidiaries, Dexia SA is active in over 30 countries,
including Belgium, Luxembourg, Slovakia, Turkey, France, Australia
and Japan.


FORTIS NV: Sells Banking and Belgian Insurance Businesses
---------------------------------------------------------
Fortis has announced that the Belgian government has acquired the
remaining share (50% + one share) of Fortis Bank SA/NV.  The
Belgian government has reached an agreement with BNP Paribas on
the subsequent transfer of a majority interest in Fortis Bank
SA/NV.  Furthermore, Fortis has announced that BNP Paribas will
acquire 100% of Fortis Insurance Belgium.  The Fortis Board of
Directors has approved these transactions.

"As a result of this transaction, the Fortis Group is exiting the
banking business and the Belgian insurance business," comments
Fortis CEO Filip Dierckx.  "Given the extremely difficult market
environment, the integration of Fortis Bank and Fortis Insurance
Belgium into a truly leading European financial company is in the
best interest of all stakeholders."

Details of the transaction

   * On Oct. 6, 2008, the Belgian state has bought the remaining
     50% + one share of Fortis Bank from Fortis SA/NV for a
     total consideration of EUR4.7 billion in cash;

   * A portfolio of structured products with fair value of
     EUR10.4 billion is transferred by Fortis Bank to a
     separately managed entity jointly owned by the Fortis Group
     (66%), the Belgian State (24%) and BNP Paribas (10%).

   * The Belgian government has reached an agreement with BNP
     Paribas on the subsequent transfer of 75% of Fortis Bank
     SA/NV; the Belgian State will continue to own the remaining
     25% of the company.

   * BNP Paribas will acquire 100% of Fortis Insurance Belgium
     for a total consideration of EUR5.73 billion in cash,
     subject to final closing adjustment.

Impact of the transactions of Oct. 3 and 5 on Fortis Group:

   1. The proceeds from the sale, announced on Oct. 3, 2008,
      of the Dutch activities to the Dutch State for EUR16.8
      billion have been allocated as follows:

      * EUR12.8 billion received for the Dutch banking
        activities (including ABN AMRO) remains within Fortis
        Bank;

      * EUR4 billion received for the Dutch insurance activities
        goes to the Fortis Group

   2. The EUR4.7 billion proceeds in cash from the sale of the
      remaining 50% + one share of Fortis Bank to the Belgian
      State goes to the Fortis Group

   3. The EUR5.73 billion proceeds in cash from the sale of 100%
      of Fortis Insurance Belgium to BNP Paribas will go to the
      Fortis Group.

After these transactions, the assets of Fortis Group will consist
of a 100% participation in Fortis Insurance International NV
(first half 2008 net profit of EUR102 million; insurance
activities: the 100% owned activities in the U.K., France and Hong
Kong, and joint-ventures in Luxembourg, Portugal, China, Malaysia,
India and Thailand), the 66% participation in the Structured
Credit Portfolio entity mentioned above and cash.

Citing the Wall Street Journal, the TCR-Europe reported major
European bank Fortis NV was bailed out by a trio of governments
after its shares slumped on Sept. 25 followed by another 20%
decline the next day, amid concerns about the company's solvency.
Particularly, investors are concerned the firm would struggle to
raise the EUR8.3 billion (US$12.1 billion) it's seeking to bolster
reserves, Bloomberg News relates.

According to WSJ, the Netherlands, Belgium and Luxembourg agreed
to inject EUR11.2 billion (US$16.37 billion) into Fortis on
Sept. 28 after France's BNP Paribas SA and Dutch financial firm
ING Groep NV walked away from talks to acquire the company.  As
part of that package, Fortis will sell its interest in ABN Amro
Bank while Maurice Lippens will resign as chairman of Fortis's
board, the same report says.

The bank, Bloomberg News notes, needs more capital after spending
EUR24.2 billion on ABN Amro Holding NV assets last year, just as
the U.S. subprime-mortgage market started to collapse.  WSJ
describes the transaction as Fortis' biggest banking deal ever.
Next year, WSJ says, Fortis is expected to take possession of
ABN's private-client unit and Dutch operations, pending Dutch
regulatory approval.  Those assets currently reside in a holding
company set up to facilitate the ABN-Amro purchase, WSJ adds.

Fortis, whose shares are down 71% this year, replaced its
interim chief executive, Herman Verwilst, after he tried
unsuccessfully to reassure investors that the bank remains on
sound footing, WSJ relates.  The bank then named Filip Dierckx,
currently head of the Belgian-Dutch company's banking unit, as its
new CEO, the WSJ report says.

                        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).


FORTIS NV: Dutch Gov't. Wants Full Control of Bank's Operations
---------------------------------------------------------------
The Dutch government intends to spend EUR16.8 billion
(GBP13.1 billion) to fully control all of Fortis N.V.'s banking
and insurance group's operations on its side of the border, The
Financial Times writes.

FT notes that the Dutch move marks the effective nationalization
of retail bank ABN Amro a year after it was taken over in a
EUR71 billion hostile break-up bid.  It also represents a setback
to hopes for a co-ordinated pan-European response to the financial
crisis.  Weeks earlier, seven European governments bailed out
their local banks and Ireland guaranteed the debts and deposits of
its six largest lenders.

Wouter Bos, Dutch finance minister, said the government took the
decision after the original state-backed rescue of Fortis had
failed to stabilize the bank.  That deal saw the Netherlands,
Belgium and Luxembourg each buy 49% of Fortis's local banking
subsidiaries for a combined EUR11.2 billion.

Yves Leterme, Belgian prime minister, said the cash injection from
the Dutch into Fortis gave it "renewed vigor," FT relates.
However, bankers said the EUR16.8 billion price tag was as much as
EUR10 billion below the fair market value for Fortis.  Belgium
will purchase 49% of Fortis's Belgian banking subsidiary for
EUR4.7 billion, while Luxembourg will also complete its purchase.
Unlike Belgium, the Dutch government had not yet formally handed
over the EUR4 billion under the original bail-out plan, FT says.

The Dutch government said it would privatize the Fortis and ABN
Amro operations after calm returned to the markets.  Under the
deal that covers 720 offices and 45,000 employees, the Dutch
government will take over Fortis's share of a joint venture with
Royal Bank of Scotland and Santander of Spain.  Santander
acquired ABN Amro last year.

Fortis had been due to take full ownership of ABN Amro's Dutch
retail and private banking assets next year, FT notes.  RBS
welcomed the "clarity" the deal gives to staff and customers of
ABN Amro.

                        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).


FORTIS NV: Original Rescue Plan Gets Regulators' Provisional OK
---------------------------------------------------------------
EU regulators have provisionally approved an original three-
country bailout package for Fortis N.V., Agence France-Presse
cited Jonathan Todd, spokesman for EU Competition Commissioner
Neelie Kroes as saying on September 5.  The initial deal is
swiftly being superseded.

Belgium made the biggest contribution, taking a 49% stake in the
Belgian arm of the company, Fortis Bank NV/SA, for EUR4.7 billion,
according to AFP.  The Dutch government took a 49% stake in the
Dutch arm, Fortis Bank Nederland Holding, for EUR4.0 billion.

Last Friday, the Dutch government disclosed plans to take over
all of Fortis's Dutch arm.  However, this operation, Mr. Todd
said, may not need any EU approval, AFP relates.  He said that a
country taking 100% share of Fortis doesn't need EU permission
saying the countries are free to nationalize or privatize
entities.

The Netherlands government said last Friday it would nationalize
the Dutch activities of Fortis in a EUR16.8 billion (US$23.5
billion) deal to ease pressures from the global financial crisis.

                       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).


TEKNI-PLEX INC: Fails to File Annual Report By Deadline
-------------------------------------------------------
Tekni-Plex, Inc. disclosed in a Securities and Exchange Commission
filing that it was not be able to timely file its annual report on
Form 10-K for the year ended June 27, 2008, by the prescribed due
date of Sept. 25, 2008.

Tekni-Plex had initiated an internal investigation regarding its
financial records.  Its Board of Directors continued to conduct
this inquiry, however, the investigation is not yet complete and
the Company cannot predict at this time whether the investigation
will conclude that adjustments to financial statements for any
period covered by the report are necessary.  To the extent that
such adjustments are determined to be necessary, the adjustments
could be material.

The investigation is ongoing and the Company cannot estimate at
this time when the investigation of the relevant issues will
conclude.  The Company intends to file the Form 10-K as soon as
reasonably practicable after the Board's investigation of the
relevant issues has concluded.

                    About Tekni-Plex Inc.

Based in Coppell, Texas, Tekni-Plex Inc. --
http://www.tekni-plex.com/-- manufactures packaging, packaging
products and materials as well as tubing products.  The company
primarily serves the food, healthcare and consumer markets.  It
has built leadership positions in its core markets, and focuses on
vertically integrated production of highly specialized products.
Tekni-Plex has operations in the United States, Europe, China,
Argentina and Canada.

Within Europe, Tekni-Plex has three manufacturing locations:

    * Aalst, Belgium
    * Milano, Italy
    * Belfast, Northern Ireland

Within Tekni-Plex Europe N.V., the Belgian plant, the company
operates four different product brands: Action Technology, Tekni-
Films, Tri-Seal and Natvar.

Tekni-Plex Inc.'s consolidated balance sheet at March 28, 2008,
showed US$620.1 million in total assets and US$1.05 billion in
total liabilities, resulting in a US$427.0 million total
stockholders' deficit.

                           *    *    *

As reported in the Troubled Company Reporter on Dec. 27, 2007,
Moody's Investors Service downgraded the Corporate Family Ratings
of Tekni-Plex Inc. to Caa3 from Caa1.


TEKNI-PLEX INC: Inks Consent and Waiver Deal with Lenders
---------------------------------------------------------
Tekni-Plex Inc. disclosed in a Securities and Exchange Commission
filing that on Sept. 25, 2008, it entered into a Consent and
Waiver under its Amended and Restated Credit Agreement among the
Company, the lenders and issuers party, Citicorp USA, Inc. as
Administrative Agent, and General Electric Capital Corporation as
Syndication Agent.

The Consent and Waiver provides for, among other things, a waiver
through Oct. 31, 2008 of:

  -- events of default arising by reason of the Company's
     noncompliance with a covenant requiring delivery by
     Sept. 26, 2008 of audited financial statements and related
     compliance certificates for fiscal year ended June 27, 2008;

  -- events of default in respect of certain representations and
     warranties for previously delivered financial information
     that may have been incorrect in a material respect, which
     events of default may arise if the Company restates
     financial statements for prior account periods as a result
     of the Company's ongoing investigation of alleged
     irregularities with respect to accounting for inventory and
     accounts receivable; and

  -- certain conditions precedent to extensions of credit to
     permit the Company to borrow during the period from
     Sept. 26, 2008, through Oct. 31, 2008, notwithstanding the
     events of default.

                    About Tekni-Plex Inc.

Based in Coppell, Texas, Tekni-Plex Inc. --
http://www.tekni-plex.com/-- manufactures packaging, packaging
products and materials as well as tubing products.  The company
primarily serves the food, healthcare and consumer markets.  It
has built leadership positions in its core markets, and focuses on
vertically integrated production of highly specialized products.
Tekni-Plex has operations in the United States, Europe, China,
Argentina and Canada.

Within Europe, Tekni-Plex has three manufacturing locations:

    * Aalst, Belgium
    * Milano, Italy
    * Belfast, Northern Ireland

Within Tekni-Plex Europe N.V., the Belgian plant, the company
operates four different product brands: Action Technology, Tekni-
Films, Tri-Seal and Natvar.

Tekni-Plex Inc.'s consolidated balance sheet at March 28, 2008,
showed US$620.1 million in total assets and US$1.05 billion in
total liabilities, resulting in a US$427.0 million total
stockholders'
deficit.

                           *    *    *

As reported in the Troubled Company Reporter on Dec. 27, 2007,
Moody's Investors Service downgraded the Corporate Family Ratings
of Tekni-Plex Inc. to Caa3 from Caa1.


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


CHESAPEAKE CORP: Sees Likely Default on Loan Facility Covenant
-------------------------------------------------------------
Chesapeake Corporation disclosed that it made progress on its
ongoing efforts to address the upcoming maturity of its bank
credit facility and its general liquidity needs.

The holders of more than 70% of the principal amount of the
corporation's 10-3/8% Sterling-denominated senior subordinated
notes due in 2011 and its 7% euro-denominated senior subordinated
notes due in 2014 have formed an ad hoc committee and retained
Houlihan Lokey as their financial advisor.  The corporation has
been engaged in constructive discussions with the ad hoc committee
and its advisor about financial restructuring alternatives that
the corporation expects would, if consummated, address the
corporation's short-term and long-term financing, capital
structure and operational needs.  The alternatives being
discussed include potential transactions involving a substantial
reduction in the corporation's leverage that would result in
substantial dilution or a reduction of the value of the
corporation's current common stock to nominal or no value.
Discussions with the ad hoc committee and its financial advisor
are ongoing, but there can be no assurance that an agreement will
be reached.

"We are encouraged by the significant progress with our financial
restructuring plan, particularly with the discussions we have had
with the holders of the senior subordinated debt and their
advisor," Andrew J. Kohut, Chesapeake's president and chief
executive officer, said.

The lenders on the corporation's US$250 million Senior Secured
Credit Facility have agreed to an amendment to the Credit
Facility which includes a waiver of compliance with certain
financial condition covenants of the credit facility through
Oct. 31, 2008.  The amendment waives any potential event of
default for failure to meet the financial condition covenants for
the third fiscal quarter of the corporation, which ended
Sept. 28, 2008, until Oct. 31, 2008.

Based on current projections, the corporation does not expect to
be in compliance with the financial covenants of the Senior
Secured Credit Facility as of the end of the waiver period on
Oct. 31, 2008.  While the corporation intends to attempt to
resolve compliance issues with the covenants by replacing or
amending the Senior Secured Credit Facility or obtaining waivers
from the corporation's lenders, there can be no assurance that
these alternatives will be successful on or before Oct. 31,
2008.

Failure to comply with the covenants would be an event of default
under the Senior Secured Credit Facility.  If an event were to
occur, the lenders under the Senior Secured Credit Facility could
require immediate payment of all amounts outstanding under the
Senior Secured Credit Facility and terminate their commitments to
lend under the Senior Secured Credit Facility and, pursuant to
cross-default provisions in many of the instruments that govern
other outstanding indebtedness, immediate payment of our other
outstanding indebtedness could be required, all of which would
likely have a material adverse effect on the business, results of
operations and financial condition of the corporation.

                  About Chesapeake Corporation

Headquartered in Richmond, Virginia, Chesapeake Corporation
(NYSE: CSK) -- http://www.cskcorp.com/-- is a supplier of
specialty paperboard packaging products in Europe and an
international supplier of plastic packaging products to niche
end-use markets.  Chesapeake has 47 locations in France,
Ireland, United Kingdom, North America, China, HongKong, among
others and employs approximately 5,500 people.

                        *     *     *

As disclosed in the Troubled Company Reporter on Aug. 11, 2008,
Moody's Investors Service downgraded Chesapeake Corporation's
Corporate Family Rating to Caa2 from B2 and its Probability of
Default Rating to Caa2 from B3.  Concurrently, Moody's downgraded
the company's senior unsecured revenue bonds to Caa3 from B3 and
senior subordinated notes to Caa3 from Caa1.  All credit ratings
remain on review for possible downgrade.

Standard & Poor's Ratings Services lowered its ratings on
Chesapeake Corp.  The corporate credit rating was lowered to
'CCC+' from 'B'.  The ratings remain on CreditWatch, where they
were placed on July 2, 2008, with negative implications.


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


AGROTRANSLOGISTIK GMBH: Claims Registration Period Ends Oct. 9
--------------------------------------------------------------
Creditors of ATL - Agrotranslogistik GmbH have until
Oct. 9, 2008, to register their claims with court-appointed
insolvency manager Dr. Mark Zeuner.

Creditors and other interested parties are encouraged to attend
the meeting at 11:00 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 Rostock
         Hall 330
         Zochstrasse 18057
         Rostock
         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. Mark Zeuner
         John-Brinckman-Str. 9
         18055 Rostock
         Germany

The District Court of Rostock opened bankruptcy proceedings
against ATL - Agrotranslogistik GmbH on Aug. 28, 2008.
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be reached at:

         ATL - Agrotranslogistik GmbH
         Attn: Udo Rabenhorst, Manager
         18184 Roggentin
         Konrad-Zuse-Strasse 1a
         Germany


AUTOMOTIVE & INDUSTRIAL: Creditors' Meeting Set October 14
----------------------------------------------------------
The court-appointed insolvency manager for Automotive & Industrial
Components GmbH, Frank Hanselmann will present his first report on
the Company's insolvency proceedings at a creditors' meeting at
9:30 a.m. on Oct. 14, 2008.

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

         The District Court of Wuerzburg
         Meeting Hall 2
         Second Stock
         Virchowstr. 14
         Wuerzburg
         Germany

The Court will also verify the claims set out in the insolvency
manager's report at 9:30 a.m. on Jan. 20, 2009, at the same venue.

Creditors have until Nov. 30, 2008, to register their claims with
the court-appointed insolvency manager.

The insolvency manager can be reached at:

         Frank Hanselmann
         Heinestr. 7b
         97070 Wuerzburg
         Germany
         Tel: 0931/359 800

The District Court of Wuerzburg opened bankruptcy proceedings
against Automotive & Industrial Components GmbH on Sept. 1, 2008.
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be reached at:

         Automotive & Industrial Components GmbH
         Heinz-Paulisch-Str. 5
         97816 Lohr a.Main
         Germany


H & G MONTAGESERVICE: Claims Registration Period Ends Oct. 10
-------------------------------------------------------------
Creditors of H & G Montageservice GmbH have until Oct. 10, 2008,
to register their claims with court-appointed insolvency manager
Berthold Brinkmann.

Creditors and other interested parties are encouraged to attend
the meeting at 1:00 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:

         Berthold Brinkmann
         Freiligrath Strasse 1
         18055 Rostock
         Germany

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

The Debtor can be reached at:

         H & G Montageservice GmbH
         Attn: Bettina Humpert, Manager
         Puchower Chaussee 32
         17217 Penzlin
         Germany


H + R SERVICE: Claims Registration Period Ends Oct. 10
------------------------------------------------------
Creditors of H + R Service GmbH have until Oct. 10, 2008, to
register their claims with court-appointed insolvency manager
Peter Staroselski.

Creditors and other interested parties are encouraged to attend
the meeting at 10:30 a.m. on Nov. 21, 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 Betzdorf
         Hall 109
         First Floor
         Friedrichstrasse 17
         57518 Betzdorf
         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:

         Peter Staroselski
         Godesberger Allee 125-127
         53175 Bonn
         Germany
         Tel: 0228/81000-0
         Fax: 0228/81000-820

The District Court of Betzdorf opened bankruptcy proceedings
against H + R Service GmbH on Sept. 4, 2008.  Consequently, all
pending proceedings against the company have been automatically
stayed.

The Debtor can be reached at:

         H + R Service GmbH
         Attn: Guenther Rau, Manager
         Rheinstrasse 10
         57638 Neitersen
         Germany


HKM GMBH: Claims Registration Period Ends October 10
----------------------------------------------------
Creditors of HKM GmbH have until Oct. 10, 2008, to register their
claims with court-appointed insolvency manager Helmut Neudeck.

Creditors and other interested parties are encouraged to attend
the meeting at 9:00 a.m. on Nov. 11, 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 Passau
         Meeting Hall 6
         Ground Floor
         Schustergasse 4
         Passau
         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:

         Helmut Neudeck
         Berger Str. 1A
         94060 Pocking
         Germany
         Tel: 08531/978400
         Fax: 08531/9784010

The District Court of Passau opened bankruptcy proceedings against
HKM GmbH on Sept. 4, 2008.  Consequently, all pending proceedings
against the company have been automatically stayed.

The Debtor can be reached at:

         HKM GmbH
         Hartkirchner Str. 18
         94060 Pocking
         Germany


HYPO REAL: Chief Executive and Chairman to Step Down
----------------------------------------------------
Hypo Real Estate Group chief executive Georg Funke is expected to
resign with days following the Berlin government's bailout of the
bank with the help of the financial sector, Reuters reports,
citing two financial sources close to the matter.

HRE chairman Kurt Viermetz is also expected to quit his post,
according to the sources.

As reported in the Troubled Company Reporter-Europe on
Oct. 6, 2008, the finance sector will grant HRE an additional
secured credit line of EUR15 billion in addition to the
EUR35 billion already offered jointly by the German Government and
finance sector.  This increase became necessary as a result of the
intensification of the financial crisis during the past week.  The
Government is providing a guarantee of up to
EUR35 billion.

                  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.


INTERNET & INFORMATION: Claims Registration Period Ends Oct. 9
--------------------------------------------------------------
Creditors of Internet & Information Technology Services
International 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 9:25 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
         Room 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 Internet & Information Technology Services International
GmbH on Aug. 27.  Consequently, all pending proceedings against
the company have been automatically stayed.

The Debtor can be reached at:

         Internet & Information Technology Services
         International GmbH
         Attn: Stefan Rosehr, manager
         Hafenstrasse 33
         23568 Luebeck
         Germany


MANULOGS MANUFACTURING: Claims Registration Period Ends Oct. 9
--------------------------------------------------------------
Creditors of MANULOGS Manufacturing and Logistic Services GmbH
have until Oct. 9, 2008, to register their claims with court-
appointed insolvency manager Dr. Winfried Andres.

Creditors and other interested parties are encouraged to attend
the meeting at 10:30 a.m. on Oct. 27, 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 Essen
         Meeting Hall 101
         Zweigertstr. 52
         45130 Essen
         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. Winfried Andres
         Heinrich-Held-Str. 16
         45133 Essen
         Germany

The District Court of Essen opened bankruptcy proceedings against
MANULOGS Manufacturing and Logistic Services GmbH  on Sept. 1,
2008.  Consequently, all pending proceedings against the company
have been automatically stayed.

The Debtor can be reached at:

         MANULOGS Manufacturing and Logistic Services GmbH
         Attn: Ralf Coenen, Manager
         Carlo-Schmid-Str. 12
         52146 Wuerselen
         Germany


MAXDATA COMPUTER: Claims Registration Period Ends October 9
-----------------------------------------------------------
Creditors of MAXDATA Computer GmbH have until Oct. 9, 2008, to
register their claims with court-appointed insolvency manager
Dr. Winfried Andres.

Creditors and other interested parties are encouraged to attend
the meeting at 10:15 a.m. on Oct. 27, 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 Essen
         Meeting Hall 101
         Zweigertstr. 52
         45130 Essen
         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. Winfried Andres
         Heinrich-Held-Str. 16
         45133 Essen
         Germany

The District Court of Essen opened bankruptcy proceedings against
MAXDATA Computer GmbH on Sept. 1, 2008.  Consequently, all pending
proceedings against the company have been automatically stayed.

The Debtor can be reached at:

         MAXDATA Computer GmbH
         Attn: Thomas Stiegler, Manager
         Elbestr. 12 - 16
         45768 Marl
         Germany


PREMIERE AG: Shares Plunge on Expected Loss and CEO Resignation
---------------------------------------------------------------
Premiere AG shares fell 50% or EUR4.67 to EUR4.60 in Frankfurt
trading on October 3 after forecasting a 2008 loss and saying its
chief financial officer quit, Bloomberg News' Rudy Ruitenberg
writes.

In a statement, Premiere said its EBITDA result for full year 2008
is expected to be a loss in the range of EUR40 million to EUR70
million.  This expected result excludes a possible one-time gain
from further sales of broadcast rights to the 2010 World Cup.

As a result of the EBITDA outlook, Premiere has commenced
discussions with its banks regarding a restructuring of debt
facilities and is confident to reach an agreement.

Mark Williams, CEO of Premiere AG, said:  "We are conducting a
thorough review of operations and are confident that this will
result in a new strategic direction supported by a financially
sound business plan for the future growth and profitability of
Premiere."

Premiere has adopted a classification of subscribers in line with
that used by other successful pay TV companies.  Using this
classification at the end of Sept. 30, 2008, Premiere had a total
of 2,411k direct customers, comprising 2,293k monthly subscribers
to at least one of Premiere's channel packages and 118k customers
who purchased pay-per-view and other ad hoc-services on a prepaid
basis via the Premiere Flex range of products.  The 2,293k monthly
subscribers include residential, sportsbars and hotel rooms.

The 2,411k direct customers had an average program revenue per
user (ARPU) per month of approximately EUR 24 during Q3 2008.

In addition to the 2,411k direct customers, Premiere had 704k
wholesale subscribers at the end of Q3, comprising 493k via
Unitymedia and the balance via UPC Austria, LIWEST, Teleclub and
T-Home.

A number of 940k which would have been included using the previous
subscriber classification has been excluded.  Of these 606k have
been excluded because they relate only to agreements with business
partners and have not yet resulted in subscriber activations.  A
further 334k subscribers still holding a Premiere smartcard have
been excluded because their subscription agreement has been
terminated and they are not currently paying for services.

Premiere will announce its results for the third quarter 2008 on
Nov. 13, 2008.

                CFO Alexander Teschner Steps Down

Meanwhile, Alexander Teschner, CFO of Premiere, has asked the
Supervisory Board for release from his office.  The Supervisory
Board has accepted his resignation with immediate effect.  Mark
Williams, CEO of Premiere, will take over the CFO responsibilities
whilst a search for a replacement is conducted.

Mr. Williams replaced Michael Bornicke as CEO after Mr. Bornicke
resigned last month.  Mr. Bornicke cited "personal reasons" for
his resignation.

Mike Esterl and Aaron O. Patrick of The Wall Street Journal relate
that Premiere has struggled since losing its hold on broadcasting
rights to Germany's soccer league.  According to the WSJ
reporters, the pay-TV company also is competing with more than two
dozen free TV channels in Germany, including several state
broadcasters that enjoy public financing while an economic
slowdown and rising inflation also are making German consumers
more cautious.

Headquartered in Unterfoehring, Germany, Premiere AG --
http://info.premiere.de/-- operates a subscription television
network in Germany and Austria.  Its network is available via
satellite and cable.  The company's service offers channels to
cater for all audiences, including themed channels dedicated to
broadcasting feature films, live sporting events, foreign language
content and children's programming, among others.  A variety of
subscription packages are available for customers interested in
subscribing to certain or all channels within Premiere's
portfolio. One of Premiere's core competencies is Pay-Per-View
television.  Its Premiere Direkt channel broadcasts, sporting
events and adult entertainment, which can be ordered by telephone,
short message service (SMS) text message or over the Internet.  In
addition, the company offers Internet live streaming, including
sport and film/series.  The company also markets advertising space
and promotional opportunities.


SPORT-UND FREIZEITANLAGE: Claims Registration Ends October 13
-------------------------------------------------------------
Creditors of Sport- und Freizeitanlage Wolmirstedt
Grundstuecksgesellschaft GbR mbH have until Oct. 13, 2008, to
register their claims with court-appointed insolvency manager
Andre Loeffler.

Creditors and other interested parties are encouraged to attend
the meeting at 10:00 a.m. on Nov. 12, 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 Magdeburg
         Hall D
         Insolvency Department
         Liebknechtstrasse 65-91
         39110 Magdeburg
         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:

         Andre Loeffler
         Klewitzstr. 15
         39112 Magdeburg
         Germany
         Tel: 0391/7324630 o. 39
         Fax: 0391/7324633
         E-mil: magdeburg@loeffler-insolvenzverwalter.de

The District Court of Magdeburg opened bankruptcy proceedings
against Sport- und Freizeitanlage Wolmirstedt
Grundstuecksgesellschaft GbR mbH on Aug. 18, 2008.  Consequently,
all pending proceedings against the company have been
automatically stayed.

The Debtor can be reached at:

         Sport- und Freizeitanlage Wolmirstedt
         Grundstuecksgesellschaft GbR mbH
         Halberstadter Str. 162
         39112 Magdeburg
         Germany


TAWE DESIGN: Claims Registration Period Ends Oct. 10
----------------------------------------------------
Creditors of tawe Design + Messen Gesellschaft fuer Event Concept
international mbH 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 9:00 a.m. on Nov. 18, 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 Munich
         Meeting Hall 102
         Infanteriestr. 5
         80097 Munich
         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: 08171/9988-0
         Fax: 08171/9988-77

The District Court of Munich opened bankruptcy proceedings against
tawe Design + Messen Gesellschaft fuer Event Concept international
mbH on Aug. 5, 2008.  Consequently, all pending proceedings
against the company have been automatically stayed.

The Debtor can be reached at:

         tawe Design + Messen Gesellschaft fuer
         Event Concept international mbH
         Attn: Adalbert Werzinger, Manager
         Sommerstr. 30
         81543 Munich
         Germany


TELESERVICE MEDIA: Claims Registration Period Ends Oct. 10
----------------------------------------------------------
Creditors of Teleservice media GmbH have until Oct. 10, 2008, to
register their claims with court-appointed insolvency manager
Christian Langhoff.

Creditors and other interested parties are encouraged to attend
the meeting at 1:45 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:

         Christian Langhoff
         Carl Heydemann Ring 55
         18437 Stralsund
         Germany

The District Court of Neubrandenburg opened bankruptcy proceedings
against Teleservice media GmbH on Sept. 1, 2008.  Consequently,
all pending proceedings against the company have been
automatically stayed.

The Debtor can be reached at:

         Teleservice media GmbH
         Blumenstr. 23
         17309 Pasewalk
         Germany


TYPOSTUDIO SIEGFRIED: Claims Registration Period Ends October 13
----------------------------------------------------------------
Creditors of Typostudio Siegfried Leske GmbH have until Oct. 13,
2008, to register their claims with court-appointed insolvency
manager Thomas Penczek.

Creditors and other interested parties are encouraged to attend
the meeting at 9:30 a.m. on Nov. 3, 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 Nordenham
         Hall III
         Bahnhofstrasse 56
         26954 Nordenham
         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 Penczek
         Martinistrasse 3
         28195 Bremen
         Germany
         Tel: 0421/3387222
         Fax: 0421/6201475

The District Court of Nordenham opened bankruptcy proceedings
against Typostudio Siegfried Leske GmbH on Aug. 12, 2008.
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be reached at:

         Typostudio Siegfried Leske GmbH
         An der Loyer Bake 1
         26939 Ovelgoenne
         Germany


VI HOLDING: Claims Registration Period Ends October 10
------------------------------------------------------
Creditors of VI Holding GmbH have until Oct. 10, 2008, to register
their claims with court-appointed insolvency manager Dr. Thomas
Wazlawik.

Creditors and other interested parties are encouraged to attend
the meeting at 11:00 a.m. on Nov. 11, 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 Passau
         Meeting Hall 6
         Ground Floor
         Schustergasse 4
         Passau
         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. Thomas Wazlawik
         Luragogasse 5
         94032 Passau
         Germany
         Tel: 0851/490548-0
         Fax: 0851/490548-9

The District Court of Passau opened bankruptcy proceedings against
VI Holding GmbH on Sept. 15, 2008.  Consequently, all pending
proceedings against the company have been automatically stayed.

The Debtor can be reached at:

         VI Holding GmbH
         Nibelungenstr. 8
         94036 Passau
         Germany


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


AMAN STROY: Creditors Must File Claims by November 21
-----------------------------------------------------
LLP Construction Company Aman Stroy Service+ has gone into
liquidation.

Creditors have until Nov. 21, 2008, to submit written proofs of
claims to:

         LLP Construction Company
         Aman Stroy Service+
         Kommunalnaya Str. 1
         Almaty
         Kazakhstan


BUSINESS GARANT: Claims Deadline Slated for November 21
-------------------------------------------------------
LLP Business Garant Inc. has gone into liquidation.  Creditors
have until Nov. 21, 2008, to submit written proofs of claims to:

         LLP Business Garant Inc.
         Micro District Orbita-3, 43-50
         Almaty
         Kazakhstan


GRUNDFOS PUMPEN: Claims Filing Period Ends November 21
------------------------------------------------------
Almaty Branch of Company Grundfos Pumpen Fertrib Ges Mbh has gone
into liquidation.  Creditors have until Nov. 21, 2008, to submit
written proofs of claims to:

         Almaty Branch of Company
         Grundfos Pumpen Fertrib Ges Mbh
         Kyzy Jybek Str. 7
         Kok-Tube
         Almaty
         Kazakhstan
         Tel: 8 (7272) 27-98-55
              8 (7272) 27-98-56


JELKUAR-2000 LLP: Creditors' Claims Due on November 21
------------------------------------------------------
The Specialized Inter-Regional Economic Court of Kostanai has
declared LLP Jelkuar-2000 insolvent.

Creditors have until Nov. 21, 2008, to submit written proofs of
claims to:

         The Specialized Inter-Regional
         Economic Court of Kostanai
         Gogol Str. 177a
         Kostanai
         Kazakhstan
         Tel: Kostanai region,


LIMON LLP: Claims Registration Ends November 21
-----------------------------------------------
The Specialized Inter-Regional Economic Court of West Kazakhstan
has declared LLP Limon insolvent.

Creditors have until Nov. 21, 2008, to submit written proofs of
claims to:

         The Specialized Inter-Regional
         Economic Court of West Kazakhstan
         Kurmangazy Str. 112/1
         Uralsk
         West Kazakhstan
         Kazakhstan
         Tel: 8 (7112) 54-77-12


MTS-KOMEK-AGRO LLP: Creditors Must File Claims by November 21
-------------------------------------------------------------
The Tax Committee of Almaty has ordered the compulsory liquidation
of LLP MTS-Komek-Agro (RNN 092000211198).

Creditors have until Nov. 21, 2008, to submit written proofs of
claims to:

         The Tax Committee of Almaty
         Room 312
         Jansugurov Str. 113a
         Taldykorgan
         Almaty
         Kazakhstan
         Tel: 8 (3282) 24-34-21


RUBI STAR: Claims Deadline Slated for November 21
-------------------------------------------------
LLP Rubi Star Industrial Co. has gone into liquidation.  Creditors
have until Nov. 21, 2008, to submit written proofs of claims to:

         LLP Rubi Star Industrial Co.
         Sain Str. 8-94
         Almaty
         Kazakhstan
         Tel: 8 777 293 23-15


SAUYR-SAIHAN LTD: Claims Filing Period Ends November 21
-------------------------------------------------------
The Tax Committee of Almaty has ordered the compulsory liquidation
of LLP Sauyr-Saihan (RNN 092000210970).

Creditors have until Nov. 21, 2008, to submit written proofs of
claims to:

         The Tax Committee of Almaty
         Room 312
         Jansugurov Str. 113a
         Taldykorgan
         Almaty
         Kazakhstan
         Tel: 8 (3282) 24-34-21


SERVICE UNIVERSAL: Creditors' Claims Due on November 21
-------------------------------------------------------
LLP Service Universal Ltd. has gone into liquidation.  Creditors
have until Nov. 21, 2008, to submit written proofs of claims to:

         LLP Service Universal Ltd
         Sain Str. 8-94
         Almaty
         Kazakhstan
         Tel: 8 777 293 23-15


STAT OIL: Claims Registration Ends November 21
----------------------------------------------
LLP Stat Oil has gone into liquidation.  Creditors have until Nov.
21, 2008, to submit written proofs of claims to:

         LLP Stat Oil
         Shevchenko Str. 11
         Aksukent
         Sairamsky
         South Kazakhstan
         Kazakhstan


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


MEDIO-PRO LLC: Creditors Must File Claims by November 12
--------------------------------------------------------
LLC Medio-Pro has shut down. Creditors have until Nov. 12, 2008.
to submit written proofs of claim.

Inquiries can be addressed to (0-773) 00-55-95.


===================
L U X E M B O U R G
===================


EUROPROP: Fitch Affirms 'BB' Rating on EUR6.6MM Class F Notes
-------------------------------------------------------------
Fitch Ratings has affirmed EuroProp (EMC-VI) S.A. commercial
mortgage-backed notes due April 2017, as:

  -- EUR374.9 million Class A (XS0301901657):
     affirmed at 'AAA'; Outlook Stable

  -- EUR30 million Class B (XS0301902622):
     affirmed at 'AA'; Outlook Stable

  -- EUR35 million Class C (XS0301903356):
     affirmed at 'A'; Outlook Stable

  -- EUR30 million Class D (XS0301903513):
     affirmed at 'BBB'; Outlook Stable

  -- EUR4 million Class E (XS0301903943):
     affirmed at 'BBB'; Outlook Stable

  -- EUR6.6 million Class F (XS0301904248):
     affirmed at 'BB'; Outlook Stable

Loan-by-loan performance, exit debt yields and the resulting
implications for the borrowers' ability to repay their loans upon
maturity were the focus of the analysis.

The interest coverage ratios are healthy and there are no
performance issues.  Loans where performance has deteriorated are
the Epic Horse (5.6%) loan, Henderson 1 (Oberursel) loan (1.6%)
and Project Ash (1.8%).  The Epic Horse (5.6%) is backed by three
residential portfolios in Germany and has seen its ICR decline to
1.83x in July 2008 from 1.92x at closing.  On the Henderson 1
(Oberursel) loan backed by an office complex in Germany, the ICR
has decreased to 1.53x in July 2008 from 2.12x at closing.

The decline is triggered through a decrease in rental value due to
lease expirations and rental arrears.  Considering that the loan's
ICR remains strong, this does not represent an immediate risk.
The Ash loan, which is secured by multi-family buildings in
Germany, is the loan with the highest loan-to-value of 89.4% and
the shortest maturity, in October 2011.  Its ICR has decreased,
due to higher expenses, to 1.34x in July 2008.  However, the EDY
based on NOI is comfortable at 9.65%, mitigating the refinance
risk.

On the Tshuva loan (4.1%), a decrease in ICR is expected in the
near future following the notice given by City of Cologne; the
latter makes up around 30% of total rental income.  However, it is
expected that the ICR would remain comfortably above the ICR
covenant of 1.25x.  The borrower is currently considering various
options regarding the refurbishment and redevelopment of the
vacant units.

Overall, the transaction performance has been broadly stable, with
the ICR and debt service coverage ratio increasing to 1.95x in
July 2008 from 1.89x at closing and to 1.66x from 1.62x,
respectively.  Further, scheduled amortization has reduced the LTV
to 72.2% from 73.8%.  In addition, the structure features a Class
R ranking at the bottom of the waterfall, which captures excess
spread and can be offset against potential losses.

The issuer and the borrower under the Signac, Gutperle, Bonn, and
Ash loans have entered into various swap transactions with
Citibank, N.A., London Branch.  Citibank's 'AA-'/'F1+' were placed
on Rating Watch Negative on 1 October 2008.  If Citibank were to
be downgraded below 'A'/'F1', it would have 30 days to either
transfer its obligations to a third party with the required
ratings, obtain a guarantee from a third party with the required
ratings or post collateral.  The resolution of the rating watch
and the possible consequences for the transaction will be
continuously screened by Fitch.

The current pool consists of 18 loans secured by 125 properties in
Germany and France.  The total balance was EUR484.4 at the end of
the collection period, July 30, 2008.


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


TRONOX INCORPORATED: Extends ABN Receivables Pact to October 31
---------------------------------------------------------------
Tronox Incorporated disclosed in a Securities and Exchange
Commission filing that on Sept. 18, 2008, the Company and its
subsidiary Tronox Worldwide LLC entered into a Second Amendment
to Receivables Sale Agreement to the Receivables Sale Agreement
dated as of Sept. 26, 2007.  Amendment No. 2 revised the term
"Scheduled Termination Date" in the Agreement to extend the date
from Sept. 24, 2008 to Oct. 31, 2008.

The Company executed an accounts receivable securitization program
in September 2007 with an initial term of one year.  Financing
under the program could be extended for an additional two years in
the form of a securitization or a secured borrowing as determined
by the sponsoring institution, ABN AMRO Bank N.V..  Under the
Program, all receivables owned by the company's U.S. subsidiaries
-- transferor subsidiaries -- are sold on a recurring basis by the
Company to Tronox Funding LLC, a wholly owned special purpose
subsidiary of the company.  Funding, in turn, sells to either
Amsterdam Funding, an asset-backed multi-seller commercial paper
conduit sponsored by ABN, or to ABN directly, an undivided
percentage ownership interest in the pool of receivables Funding
acquires from the transferor subsidiaries.  At June 30, 2008, the
balance in receivables sold by the transferor subsidiaries to
Funding totaled US$109.3 million, of which US$59.7 million was
sold to Amsterdam in the form of the purchased participation
interest, resulting in a subordinated retained interest held by
Funding with a fair value of US$48.9 million.

The receivables sale agreement contains cross default provisions
with the company's debt agreements.  In June 2008, the Company
obtained a waiver under the agreement which, due to a default
under the company's Credit Agreement at May 31, 2008, would have
otherwise prevented Funding from purchasing additional receivables
from the transferor subsidiaries.  In July 2008, the receivables
sale agreement was amended resulting in the elimination of the
two-year extension option and reducing the program size to US$75.0
million.  Extension of the program beyond the expiration of the
initial term in September 2008 will be allowed only upon consent
of ABN.  In the event that ABN elects not to extend financing
beyond the initial term, the program will enter into a termination
phase.  During this phase, all collections on receivables owned by
Funding will be remitted to ABN up to the outstanding amount of
ABN's purchased participating interest along with any outstanding
fees.  If the program is not extended, there would be no further
sales of receivables under the program and cash flows from
operations would decrease compared to periods where the current
program is ongoing.

The Company and Tronox Worldwide entered into the amendment in
connection with its evaluation of strategic options for its
businesses.  There is no assurance that the Company and Tronox
Worldwide will be able to obtain additional amendments or waivers
to the Agreement.

For the three month and six month periods ended June 30, 2008, the
Company incurred losses in connection with the sale of receivables
under the Program of US$1.4 million and US$3.1 million,
respectively, along with interest income accreted on the
collections of receivables of US$0.7 million and US$1.6 million,
respectively.  The net of both items for the three month and six
month periods ended June 30, 2008, was US$0.7 million and US$1.5
million, respectively, representing the net expense associated
with the Company's securitization program for the applicable
periods.

A copy of the amendment to the Second Amendment to Receivables
Sale Agreement to the Receivables Sale Agreement is available free
of charge at http://researcharchives.com/t/s?332c

                          About Tronox

Headquartered in Oklahoma City, Tronox Incorporated (NYSE:TRX) --
http://www.tronox.com/-- is a producer and marketer of titanium
dioxide pigment.  Titanium dioxide pigment is an inorganic white
pigment used in paint, coatings, plastics, paper and many other
everyday products. The company's five pigment plants, which are
located in the United States, Australia, Germany and the
Netherlands, supply performance products to approximately 1,100
customers in 100 countries. In addition, Tronox produces
electrolytic products, including sodium chlorate, electrolytic
manganese dioxide, boron trichloride, elemental boron and lithium
manganese oxide.

As reported by the Troubled Company Reporter on August 27, 2008,
Tronox said in a regulatory filing that it is evaluating all
strategic options for the company, including mitigation of
environmental liabilities and capital restructuring.  Tronox
said it has experienced significant losses for the year ended
December 31, 2007, and the six months ended June 30, 2008, and has
generated negative cash flows from operations in the current year.
Tronox said that if it continues to experience negative impacts on
its operations, it may need to seek relief under Chapter 11 of the
United States Bankruptcy Code to allow the company to, among other
things, restructure its capital structure and reorganize its
business, including its environmental legacy issues.

The company has US$1.7 billion in total assets, including US$703.5
million in current assets, as at June 30.  The company has
US$937.8 million in current debts and US$336.9 million in total
noncurrent debts.

Tronox has retained the investment banking firm Rothschild Inc. to
further assist the company in evaluating strategic options for the
business.

On May 22, 2008, the company announced an involuntary work force
reduction program as part of its ongoing efforts to reduce costs.
As a result of the program, the company's U.S. work force was
reduced by 31 employees. An additional 38 positions that were
vacant prior to the work force reduction will not be filled. There
were no costs associated with the elimination of vacant positions.
The program was substantially completed as of June 30, 2008.

On Aug. 28, 2008, the Company was notified by the New York Stock
Exchange that it is not in compliance with the NYSE's continued
listing standard regarding the average closing price of its Class
B Common Stock.  The Company said it has not decided on what
action, if any, it will take with respect to its failure to
satisfy NYSE listing standards.  If the Company fails to cure its
listing deficiencies, the NYSE will commence suspension and
delisting procedures.

The Company expects, but there is no assurance, that the shares
will begin trading over the counter.  An OTC security is
considered to be any equity security that is not listed on NYSE,
NASDAQ or Amex.  The OTC Bulletin Board is an electronic quotation
system that displays quotes from broker dealers on many OTC
securities.

The TCR said on Sept. 18 that Tronox has been sued by the U.S.
Government to recover costs related to hazardous substances at or
from the Federal Creosoting Superfund site located in the borough
of Manville, Somerset County, New Jersey.  According to the
complaint, as of June 15, 2008, the government has incurred at
least US$280 million in unreimbursed response costs related to the
cleanup.

Moody's Investors Service has downgraded affiliate Tronox
Worldwide LLC's Corporate Family Rating to Caa3 from Caa2, and the
Probability of Default Rating was lowered to Ca from Caa3.  In
addition, Moody's has downgraded the company's secured revolver
and term loan to B2 from B1 and its unsecured notes to Ca from
Caa3.  Standard & Poor's Ratings Services has lowered its ratings
on Tronox, including its corporate credit rating to 'CCC-' from
'CCC+'.


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


CHERNOVTSY ENTERPRISE: Creditors Must File Claims by October 9
--------------------------------------------------------------
Creditors of OJSC Chernovtsy Enterprise on Agricultural and
Chemistry Works Performance Regional Agricultural Chemistry (code
EDRPOU 20104463) have until Oct. 9, 2008, to submit proofs of
claim to:

         Mr. Boyko Oleg
         Liquidator
         Kozitsky Str. 46
         Vinnica
         Ukraine
         Tel: 57-54-73

The Economic Court of Vinnica commenced bankruptcy proceedings
against the company after finding it insolvent on Aug. 21, 2008.
The case is docketed as 5/183-08.

         The Economic Court of Vinnica
         Hmelnickiy Str. 7
         21036 Vinnica
         Ukraine

The Debtor can be reached at:

         OJSC Chernovtsy Enterprise on Agricultural and
         Chemistry Works Performance Regional Agricultural
         Chemistry
         Chernovtsy
         24100 Vinnica
         Ukraine


KAMIANSKOYE LLC: Creditors Must File Claims by October 10
---------------------------------------------------------
Creditors of Agricultural LLC Kamianskoye (code EDRPOU 31299902)
have until Oct. 10, 2008, to submit proofs of claim to:

         Mr. Pertsov Eduard
         Temporary Insolvency Manager
         Komsomolsky Avenue 28/94
         83000 Donetsk
         Ukraine

The Economic Court of Donetsk commenced bankruptcy supervision
procedure on the company on Aug. 28, 2008.  The case is docketed
as 42/94B.

         The Economic Court of Donetsk
         Artema Str. 157
         83048 Donetsk
         Ukraine

The Debtor can be reached at:

         Agricultural LLC Kamianskoye
         Lenin Str. 1
         Spartak
         Yasinovatsky District
         86000 Donetsk


ORBITA LLC: Creditors Must File Claims by October 9
---------------------------------------------------
Creditors of Agricultural LLC Orbita (code EDRPOU 30450519) have
until Oct. 9, 2008, to submit proofs of claim to:

         Mrs. Deynegina Victoriya
         Liquidator
         Ap. 13
         Soviet Str. 59a
         91055 Lugansk
         Ukraine

The Economic Court of Lugansk commenced bankruptcy proceedings
against the company after finding it insolvent on April 3, 2008.
The case is docketed as 12/547b.

         The Economic Court of Lugansk
         Geroiv VVV Square 3a
         91000 Lugansk
         Ukraine

The Debtor can be reached at:

         Agricultural LLC Orbita
         Svetloye
         Starobelsky District
         92710 Lugansk


SPECIAL ELIT: Creditors Must File Claims by October 11
------------------------------------------------------
Creditors of LLC Special Elit Assembly (code EDRPOU 31522898) have
until Oct. 11, 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 July 25, 2008.
The case is docketed as 16/284/07.

The Debtor can be reached at:

         LLC Special Elit Assembly
         Troleybusnaya Str. 34
         Zaporozhje
         Ukraine


STEPOVOYE: Creditors Must File Claims by October 10
---------------------------------------------------
Creditors of Agricultural Enterprise Agricultural Firm Stepovoye
(code EDRPOU 33429453) have until Oct. 10, 2008, to submit proofs
of claim to:

         The Economic Court of Nikolaev
         Admiralskaya Str. 22
         54009 Nikolaev
         Ukraine

The Economic Court of Nikolaev commenced bankruptcy proceedings
against the company after finding it insolvent on Aug. 21, 2008.
The case is docketed as 14/305/08.


TRANSMACHINE OJSC: Creditors Must File Claims by October 11
-----------------------------------------------------------
Creditors of OJSC Transmachine (code EDRPOU 31399438) have until
Oct. 11, 2008, to submit proofs of claim to:

         Bobrov Denis
         Temporary Insolvency Manager
         Ap. 78
         Zvenigorodskaya Str. 6
         69093 Zaporozhye
         Ukraine
         Tel: 8(097)792-45-45

The Economic Court of Donetsk commenced bankruptcy supervision
procedure on the company on July 25, 2008.  The case is docketed
as 5/107B.

The Debtor can be reached at:

         OJSC Transmachine
         Gurov Avenue 2
         83055 Donetsk
         Ukraine


URALTRANSBANK: Fitch Affirms Individual Rating at 'D'
-------------------------------------------- --------
Fitch Ratings has affirmed Russia-based Uraltransbank's Long-term
Issuer Default Rating at 'B-', Short-term IDR at 'B', National
Long-term rating at 'BB+(rus)', Individual rating at 'D' , Support
rating at '5' and Support Rating Floor at 'No Floor'.  The
Outlooks for the Long-term IDR and National Long-term rating are
Stable.

UTB's ratings reflect its small size by international standards,
modest diversification of the funding base and limited access to
additional capital.  The ratings also consider UTB's growing
franchise in its home region and respectable bottom-line
performance.  Loan portfolio quality remains acceptable, despite
some increase in overdue retail exposures and write-offs.  Funding
has been stable in recent weeks and a significant cash cushion
exists to absorb any moderate deposit outflow.

Upside potential is limited in the near-term given current risks
in the operating environment, however UTB's own credit profile
could benefit from further franchise growth and diversification of
funding.  Downward pressure could arise from a marked
deterioration in loan quality, leading to considerable pressure on
the bank's capital adequacy.

UTB is a small but well-recognized bank in the Sverdlovsk region.
It is majority-owned by Valery Zavodov, who is also Chairman of
the Management Board.  The EBRD has owned a blocking stake of 25%
plus one share since December 2004.


VINNICA REGIONAL: Creditors Must File Claims by October 9
---------------------------------------------------------
Creditors of OJSC Vinnica Regional Enterprise on Agricultural and
Chemistry Works Performance Regional Agricultural Chemistry (code
EDRPOU 05487432) have until Oct. 9, 2008, to submit proofs of
claim to:

         Mrs. Androsova Victoriya
         Liquidator
         Yangel Str. 17/112
         49089 Dnipropetrovsk
         Ukraine
         Tel: 8(056)792-59-10

The Economic Court of Dnipropetrovsk commenced bankruptcy
proceedings against the company after finding it insolvent on Aug.
28, 2008.  The case is docketed as B 26/173-08.

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

The Debtor can be reached at:

         OJSC Vinnica Regional Enterprise on Agricultural and
         Chemistry Works Performance Regional Agricultural
         Chemistry
         Pushkin Avenue 57/1
         49000 Dnipropetrovsk
         Ukraine


ZEMLIA LLC: Creditors Must File Claims by October 9
---------------------------------------------------
Creditors of LLC Zemlia (code EDRPOU 03740329)have until Oct. 9,
2008, to submit proofs of claim to:

         Mr. Kudrin Anatoly
         Liquidator
         P.O. Box 354
         Pavlograd
         51402 Dnipropetrovsk
         Ukraine
         Tel: 8(0563)26-70-35

The Economic Court of Dnipropetrovsk commenced bankruptcy
proceedings against the company after finding it insolvent on Aug.
12, 2008. The case is docketed as B 15/245-06.

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

The Debtor can be reached at:

         LLC Zemlia
         Stashkov Str. 50
         Mezhovaya
         Dnipropetrovsk
         Ukraine


=========
S P A I N
=========


AYT UNICAJA: Fitch Rates EUR20.1MM Series D Notes at 'BB-'
----------------------------------------------------------
Fitch Ratings has assigned ratings to AyT UNICAJA FINANCIACION 1
Fondo de Titulizacion de Activos' asset-backed securities notes
totalling EUR910m due in January 2028 as:

  -- EUR785.3 million Series A: 'AAA'; Outlook Stable
  -- EUR63.7 million Series B: 'A'; Outlook Stable
  -- EUR40.9 million Series C: 'BBB-'; Outlook Stable
  -- EUR20.1 million Series D: 'BB-'; Outlook Stable

The transaction is a true-sale securitization of a pool of
consumer and auto loans originated in Spain by Montes de Piedad y
Caja de Ahorros de Ronda, Cadiz, Almeria, Malaga y Antequera
(Unicaja, rated 'A+'/Outlook Stable/'F1').

The ratings are based on the quality of the collateral, the
available credit enhancement, Unicaja's underwriting and servicing
capabilities, the integrity of the transaction's legal and
financial structures, and Ahorro y Titulizacion S.G.F.T, S.A's
administrative capabilities.

Initial CE for the Class A to D notes is provided by subordination
and a reserve fund, which has been fully funded at closing, using
a subordinated loan.

The ratings address the payment of interest on the notes according
to the terms and conditions of the documentation, subject to a
deferral trigger on the Class B, Class C and Class D, as well as
the repayment of principal at legal final maturity.  Should the
deferral trigger on the Class B, C and D notes be hit, interest on
these notes will be deferred in the priority of payments.  In this
instance, interest payments might not be received for a period of
time, but will be received by legal final maturity.


IM CAJA: Fitch Holds 'CCC' Rating on Class E Notes; Outlook Stable
------------------------------------------------------------------
Fitch Ratings has affirmed five tranches of the IM Caja Laboral 1
RMBS transaction and revised the Outlook on its Class B notes to
Positive from Stable.  The remaining Outlooks remain Stable.

The rating actions are:

  -- Class A (ISIN ES 0347565006): affirmed at 'AAA'; Outlook
     Stable

  -- Class B (ISIN ES 0347565014): affirmed at 'AA'; Outlook
     revised to Positive from Stable

  -- Class C (ISIN ES 0347565022): affirmed at 'A+'; Outlook
     Stable

  -- Class D (ISIN ES 0347565030): affirmed at 'BBB+'; Outlook
     Stable

  -- Class E (ISIN ES 0347565048): affirmed at 'CCC'; Outlook
     Stable

The rating affirmations follow a satisfactory performance review.
The transaction closed in December 2006 with 0.14% of loans in
arrears of more than three months, reflecting what Fitch considers
to be excellent performance that is significantly below the
Spanish three month plus arrears index.  Consistent with the low
arrears, defaults, defined as delinquent loans of more than 12
months, are 0.04% as of the 20th month of seasoning.

The change of Outlook to Positive from Stable on the Class B notes
reflects that, in addition to the transaction's good performance,
it pays sequential which has enabled the credit enhancement of
this class to grow significantly.

At closing, the weighted average original loan to value of the
transaction was 74% with a high loan seasoning of 46.6 months,
partly explaining the good performance.  This transaction is a
securitization of first ranking Spanish residential mortgage loans
originated and serviced by Caja Laboral Popular.  The mortgage
pool displays a high geographical concentration in the Basque
region where Caja Laboral has a strong franchise.

In reviewing these transactions Fitch used its credit-cover
multiple methodology to assess the level of credit support
available to each class of notes.

Rating Outlooks for European structured finance tranches provide
forward-looking information to the market.  An Outlook indicates
the likely direction of any rating change over a one- to two-year
period.


MARTINSA FADESA: Claims Filing Deadline Extended to October 25
--------------------------------------------------------------
The deadline for creditors to register their claims against
Martinsa Fadesa SA has been extended to Oct. 25, 2008, as a result
of lobbying by Spain's Association of Users of Banks, Savings
Banks, and Insurers (Adicae), Spanish Property Insight
reported on October 3 (as posted at Kyero.com).

According to the report, the extension has been confirmed by the
administrators, and announced at the official website for
Martinsa-Fadesa's insolvency proceedings.  The move, the report
relates, is intended to give creditors living outside Spain,
especially in the UK and Portugal, a better understanding of the
situation, and more time to register their claims.

For further information, visit --
http://administracionconcursalmartinsafadesa.es/-- or call +34
902 627 925 (Spanish speaking).

Separately, Reuters reports that Martinsa Fadesa posted a net loss
of EUR174.8 million (US$242.2 million) for the first half of this
year while revenues fell 35 percent to EUR189.9 million in the
first half from EUR291 million a year earlier.

As reported in the Troubled Company Reporter-Europe on July 17,
2008, Martinsa Fadesa filed for opening of administration
procedures at the Mercantile Court of La Coruna after it failed to
a secure a EUR150 million loan -- a requirement for its EUR4
billion debt refinancing agreement with creditor banks.

The Mercantile Court of La Coruna has named Antonia Magdaleno; the
Comision Nacional del Mercado de Valores named Angel Martin Torres
of KPMG; and creditor-bank Bankinter S.A. named Antonio Moreno
Rodriguez as administrators.

The property group attributed its financial troubles to "clear
recession that the Spanish economy is suffering at the moment".

Headquartered in Corunna, Spain, Martinsa Fadesa SA --
http://www.martinsafadesa.com/-- develops residential and
commercial property projects, including hotels, shopping centers
and golf courses, as well as industrial projects, among others.
The company also operates in Portugal, Romania, Hungary,
Ireland, France, Bulgaria, Mexico, the Dominican Republic, the
Czech Republic, Slovakia, and Poland.


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


DA VERTRIEB: Creditors Must File Proofs of Claim by Nov. 3
----------------------------------------------------------
Creditors owed money by LLC DA Vertrieb are requested to file
their proofs of claim by Nov. 3, 2008, to:

         Huseyin Dagdas
         Looslistrasse 81
         3027 Bern
         Switzerland

The company is currently undergoing liquidation in Bern.  The
decision about liquidation was accepted at an extraordinary
shareholders' meeting held on Aug. 19, 2008.


H. BOSCH VERTRIEB: Deadline to File Proofs of Claim Set Oct. 31
---------------------------------------------------------------
Creditors owed money by JSC H. BOsch Vertrieb are requested to
file their proofs of claim by Oct. 31, 2008, to:

         Zollstrasse 3
         9434 Au
         Switzerland

The company is currently undergoing liquidation in Au SG.  The
decision about liquidation was accepted at an extraordinary
shareholders' meeting held on Aug. 21, 2007.


IZT JSC: Creditors Have Until Oct. 31 to File Claims
----------------------------------------------------
Creditors owed money by JSC IZT (IFT) are requested to file their
proofs of claim by Oct. 31, 2008, to:

         Bahnhofstr. 8
         9434 Au
         Switzerland

The company is currently undergoing liquidation in Au SG.  The
decision about liquidation was accepted at an extraordinary
shareholders' meeting held on Aug. 8, 2007.


NL NEONLIGHT: Proofs of Claim Filing Deadline is Nov. 1
-------------------------------------------------------
Creditors owed money by LLC NL Neonlight are requested to file
their proofs of claim by Nov. 1, 2008, to:

         Martin Hofstetter
         Ringstrasse 15
         8107 Buchs
         Switzerland

The company is currently undergoing liquidation in Spreitenbach.
The decision about liquidation was accepted at an extraordinary
shareholders' meeting held on Nov. 14, 2007.


PACIFIC CORPORATE: Creditors' Proofs of Claim Due by Nov. 6
-----------------------------------------------------------
Creditors owed money by LLC Pacific Corporate Group Europe are
requested to file their proofs of claim by Nov. 6, 2008, to:

         JSC Bellerive Financial Services
         Dufourstrasse 101
         Mail Box: 8034
         Zurich
         Switzerland

The company is currently undergoing liquidation in Zurich.  The
decision about liquidation was accepted at an extraordinary
shareholders' meeting held on July 7, 2008.


R. GYGER MONTAGE: Nov. 4 Set as Deadline to File Claims
-------------------------------------------------------
Creditors owed money by LLC R. Gyger Montage are requested to file
their proofs of claim by Nov. 4, 2008, to:

         Rolf Gyger
         Fabrikstrasse 3
         8340 Hinwil
         Switzerland

The company is currently undergoing liquidation in Hinwil.  The
decision about liquidation was accepted at an extraordinary
shareholders' meeting held on July 25, 2008.


SITEKNOWHOW LLC: Creditors Must File Proofs of Claim by Nov. 8
--------------------------------------------------------------
Creditors owed money by LLC SiteKnowHow are requested to file
their proofs of claim by Nov. 8, 2008, to:

         JSC Bellerive Financial Services
         Dufourstrasse 101
         Mail Box: 8034
         Zurich

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


TAOS JSC: Deadline to File Proofs of Claim Set Nov. 21
------------------------------------------------------
Creditors owed money by SC TAOS are requested to file their proofs
of claim by Nov. 21, 2008, to:

         Trust Company Bitzer Treuhand
         Gewerbestrasse 6
         6330 Cham
         Switzerland

The company is currently undergoing liquidation in Zurich.  The
decision about liquidation was accepted at an extraordinary
shareholders' meeting held on July 2, 2008.


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


BANK NADRA: Moody's Changes Rating on E+ BFSR to Stable
-------------------------------------------------------
Moody's Investors Service has changed the outlook on Bank Nadra's
Ba3 long-term global local currency deposit rating, Ba3 long-term
foreign currency debt rating and E+ bank financial strength rating
(BFSR) to stable from positive.  The outlook on the B2 foreign
currency bank deposit rating remains positive, being constrained
by the foreign currency deposit ceiling for Ukraine, which also
carries a positive outlook.  Moody's has also affirmed the bank's
Not Prime short-term ratings and its Aa1.ua National Scale Rating.

The previous positive outlook on Nadra's ratings, which was
assigned in May 2007, reflected Moody's view that the bank was
strongly positioned in its rating category, indicating a high
probability of migration to the next higher rating category,
subject to further strengthening of its key rating drivers, namely
(i) further strengthening of its franchise, (ii) significant
reduction in market risk appetite, (iii) reduction in single-name
loan concentration, (iv) improvements in recurring profitability
and (v) maintenance of adequate asset quality.

However, the recent developments in the Ukrainian banking sector
are likely to exert negative pressure on Nadra's funding profile
and liquidity position, financial fundamentals and capitalization,
thus making the upgrade of its ratings unlikely in the medium
term.  In addition, the bank's market risk appetite remains
significant, as evidenced by the significant volume of the bank's
holdings in Ukrainian investment funds, thus representing an
additional constraint to the bank's ratings.

Headquartered in Kiev, Ukraine, Bank Nadra reported audited IFRS
consolidated total assets of US$3.7 billion at December 31, 2007,
and net profit of US$74.1 million for 2007.


CHERNOVTSY ENTERPRISE: Creditors Must File Claims by October 9
--------------------------------------------------------------
Creditors of OJSC Chernovtsy Enterprise on Agricultural and
Chemistry Works Performance Regional Agricultural Chemistry (code
EDRPOU 20104463) have until Oct. 9, 2008, to submit proofs of
claim to:

         Mr. Boyko Oleg
         Liquidator
         Kozitsky Str. 46
         Vinnica
         Ukraine
         Tel: 57-54-73

The Economic Court of Vinnica commenced bankruptcy proceedings
against the company after finding it insolvent on Aug. 21, 2008.
The case is docketed as 5/183-08.

         The Economic Court of Vinnica
         Hmelnickiy Str. 7
         21036 Vinnica
         Ukraine

The Debtor can be reached at:

         OJSC Chernovtsy Enterprise on Agricultural and
         Chemistry Works Performance Regional Agricultural
         Chemistry
         Chernovtsy
         24100 Vinnica
         Ukraine


KAMIANSKOYE LLC: Creditors Must File Claims by October 10
---------------------------------------------------------
Creditors of Agricultural LLC Kamianskoye (code EDRPOU 31299902)
have until Oct. 10, 2008, to submit proofs of claim to:

         Mr. Pertsov Eduard
         Temporary Insolvency Manager
         Komsomolsky Avenue 28/94
         83000 Donetsk
         Ukraine

The Economic Court of Donetsk commenced bankruptcy supervision
procedure on the company on Aug. 28, 2008.  The case is docketed
as 42/94B.

         The Economic Court of Donetsk
         Artema Str. 157
         83048 Donetsk
         Ukraine

The Debtor can be reached at:

         Agricultural LLC Kamianskoye
         Lenin Str. 1
         Spartak
         Yasinovatsky District
         86000 Donetsk


INDEX-BANK: Moody's Changes Outlook on E+ BFSR to Stable
--------------------------------------------------------
Moody's Investors Service has changed the outlook on Index-Bank's
E+ bank financial strength rating (BFSR) to stable from positive.
At the same time, Moody's has affirmed the bank's Baa3 local
currency and B2 foreign currency deposit ratings, as well as its
Aaa.ua national scale rating.  The outlook on the Baa3 local
currency deposit rating remains stable, whereas the outlook on the
B2 foreign currency deposit rating is positive due to the positive
outlook on the Ukraine country ceiling, which constrains this
rating.

The rating action reflects Moody's revised expectations regarding
the potential negative impact of the weakening economic conditions
in Ukraine on the bank's financial strength.  "Moody's believes
that the lack of funding in the country as a result of the global
credit crisis is likely to have an adverse effect on Index-Bank's
borrowers and weaken the quality of the bank's loan book," says
Armen Dallakyan, a Moody's Banking Analyst.  Moody's also expects
that the volume of funding that Index-Bank receives from both
external and internal sources could reduce its business growth and
franchise development.

In Moody's opinion, these probable negative medium-term
developments outweigh the bank's improvements in risk management
and financial performance upon its acquisition by Credit Agricole.
"As a result, the medium-term upside potential for the bank's
ratings is limited and no longer justifies the positive outlook on
the BFSR," says Mr. Dallakyan.

The rating agency further cautions that any material weakening of
the bank's asset quality or liquidity position, or a significant
decline in capital adequacy, could prompt Moody's to take further
negative rating actions.

Headquartered in Kiev, Ukraine, Index-Bank reported total assets
of US$600 million and a net income of US$24.7 million, including a
subsidy of US$55 million from its parent, Credit Agricole S.A.
(Aa1/B, ratings on review for possible downgrade).  Index-Bank is
one of Credit Agricole's two fully owned subsidiaries, the other
being Calyon Bank Ukraine (Baa1/D, stable outlook).


ORBITA LLC: Creditors Must File Claims by October 9
---------------------------------------------------
Creditors of Agricultural LLC Orbita (code EDRPOU 30450519) have
until Oct. 9, 2008, to submit proofs of claim to:

         Mrs. Deynegina Victoriya
         Liquidator
         Ap. 13
         Soviet Str. 59a
         91055 Lugansk
         Ukraine

The Economic Court of Lugansk commenced bankruptcy proceedings
against the company after finding it insolvent on April 3, 2008.
The case is docketed as 12/547b.

         The Economic Court of Lugansk
         Geroiv VVV Square 3a
         91000 Lugansk
         Ukraine

The Debtor can be reached at:

         Agricultural LLC Orbita
         Svetloye
         Starobelsky District
         92710 Lugansk


SPECIAL ELIT: Creditors Must File Claims by October 11
------------------------------------------------------
Creditors of LLC Special Elit Assembly (code EDRPOU 31522898) have
until Oct. 11, 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 July 25, 2008.
The case is docketed as 16/284/07.

The Debtor can be reached at:

         LLC Special Elit Assembly
         Troleybusnaya Str. 34
         Zaporozhje
         Ukraine


STEPOVOYE: Creditors Must File Claims by October 10
---------------------------------------------------
Creditors of Agricultural Enterprise Agricultural Firm Stepovoye
(code EDRPOU 33429453) have until Oct. 10, 2008, to submit proofs
of claim to:

         The Economic Court of Nikolaev
         Admiralskaya Str. 22
         54009 Nikolaev
         Ukraine

The Economic Court of Nikolaev commenced bankruptcy proceedings
against the company after finding it insolvent on Aug. 21, 2008.
The case is docketed as 14/305/08.


TRANSMACHINE OJSC: Creditors Must File Claims by October 11
-----------------------------------------------------------
Creditors of OJSC Transmachine (code EDRPOU 31399438) have until
Oct. 11, 2008, to submit proofs of claim to:

         Bobrov Denis
         Temporary Insolvency Manager
         Ap. 78
         Zvenigorodskaya Str. 6
         69093 Zaporozhye
         Ukraine
         Tel: 8(097)792-45-45

The Economic Court of Donetsk commenced bankruptcy supervision
procedure on the company on July 25, 2008.  The case is docketed
as 5/107B.

The Debtor can be reached at:

         OJSC Transmachine
         Gurov Avenue 2
         83055 Donetsk
         Ukraine


VINNICA REGIONAL: Creditors Must File Claims by October 9
---------------------------------------------------------
Creditors of OJSC Vinnica Regional Enterprise on Agricultural and
Chemistry Works Performance Regional Agricultural Chemistry (code
EDRPOU 05487432) have until Oct. 9, 2008, to submit proofs of
claim to:

         Mrs. Androsova Victoriya
         Liquidator
         Yangel Str. 17/112
         49089 Dnipropetrovsk
         Ukraine
         Tel: 8(056)792-59-10

The Economic Court of Dnipropetrovsk commenced bankruptcy
proceedings against the company after finding it insolvent on Aug.
28, 2008.  The case is docketed as B 26/173-08.

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

The Debtor can be reached at:

         OJSC Vinnica Regional Enterprise on Agricultural and
         Chemistry Works Performance Regional Agricultural
         Chemistry
         Pushkin Avenue 57/1
         49000 Dnipropetrovsk
         Ukraine


ZEMLIA LLC: Creditors Must File Claims by October 9
---------------------------------------------------
Creditors of LLC Zemlia (code EDRPOU 03740329)have until Oct. 9,
2008, to submit proofs of claim to:

         Mr. Kudrin Anatoly
         Liquidator
         P.O. Box 354
         Pavlograd
         51402 Dnipropetrovsk
         Ukraine
         Tel: 8(0563)26-70-35

The Economic Court of Dnipropetrovsk commenced bankruptcy
proceedings against the company after finding it insolvent on Aug.
12, 2008. The case is docketed as B 15/245-06.

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

The Debtor can be reached at:

         LLC Zemlia
         Stashkov Str. 50
         Mezhovaya
         Dnipropetrovsk
         Ukraine


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


AMERICAN INTERNATIONAL: To Sell 50% Interest in London Airport
--------------------------------------------------------------
Various reports said that Global Infrastructure Partners has
entered into a definitive agreement to acquire American
Internation Group Inc.-Financial Products' 50% interest in London
City Airport.  The transaction is expected to close in October
2008.

This acquisition will bring GIP's ownership interest in London
City Airport to 100%.

Reports reveal that AIG is selling businesses to repay an
US$85 billion loan.

               About Global Infrastructure Partners

Global Infrastructure Partners (GIP) is a private-equity fund
created by Credit Suisse Group AG and General Electric Co.  It is
an independent fund that invests worldwide in infrastructure
assets in both OECD and select emerging market countries.  GIP
targets investments in single assets, and portfolios of assets and
companies in power and utilities, natural resources
infrastructure, air transport infrastructure, ports, rail, water
distribution and treatment, and waste management. GIP has offices
in New York, London and Hong Kong and Operational Headquarters in
Stamford, Connecticut.

               About American International Group

Based in New York City, American International Group Inc. --
http://www.aig.com/-- (NYSE: AIG) is an international insurance
and financial services organization, with operations in more than
130 countries and jurisdictions.  The company is engaged through
subsidiaries in General Insurance, Life Insurance & Retirement
Services, Financial Services and Asset Management.

The company's British headquarters are located on Fenchurch Street
in London, continental Europe operations are based in La Defense,
Paris, and its Asian HQ is in Hong Kong.  AIG owns Ocean Finance,
a United Kingdom based company providing home owner loans,
mortgages and remortgages.  AIG operates in the UK with the brands
AIG UK, AIG Life and AIG Direct.  It has about 3,000 employees,
and sponsors the Manchester United football club.  In response to
redemption demands, AIG Life (UK) suspended redemptions of its AIG
Premier Bond money market fund on Sept. 19, 2008, in order to
provide an orderly withdrawal of assets.

The Federal Reserve Bank of New York has extended to AIG a
revolving credit facility up to US$85 billion.  AIG's borrowings
under the revolving credit facility will bear interest, for each
day, at a rate per annum equal to three-month Libor plus 8.50%.
The revolving credit facility will have a 24-month term and will
be secured by a pledge of assets of AIG and various subsidiaries.
The revolving credit facility will contain affirmative and
negative covenants, including a covenant to pay down the facility
with the proceeds of asset sales.

The summary of terms also provides for a 79.9% equity interest in
AIG.  The corporate approvals and formalities necessary to create
this equity interest will depend upon its form.

In a statement, the company said "AIG is a solid company with over
US$1 trillion in assets and substantial equity, but it has been
recently experiencing serious liquidity issues."

Standard & Poor's Ratings Services has revised the CreditWatch
status of most of its ratings on the AIG group of companies --
including its 'A-' long-term counterparty credit ratings on
American International Group Inc. and International Lease Finance
Corp. and the 'A+' counterparty credit and financial strength
ratings on most of AIG's insurance operating subsidiaries -- to
CreditWatch developing from CreditWatch negative.

Fitch Ratings revised its Rating Watch on American International
Group, Inc. to Evolving from Negative.  Fitch viewed this
transaction as a favorable development that alleviates significant
near-term liquidity concerns.

The Troubled Company Reporter reported on Sept. 19, 2008, that
that Edward Liddy replaced Robert Willumstad as AIG's CEO.

                           *     *     *

In a U.S. Securities and Exchange Commission filing dated Aug. 6,
2008, AIG reported a net loss for the second quarter of 2008 of
US$5.36 billion compared to 2007 second quarter net income of
US$4.28 billion.  Second quarter 2008 adjusted net loss was
US$1.32 billion, compared to adjusted net income of US$4.63
billion for the second quarter of 2007.  The continuation of the
weak U.S. housing market and disruption in the credit markets, as
well as global equity market volatility, had a substantial adverse
effect on AIG's results in the second quarter.

Net loss for the first six months of 2008 was US$13.16 billion,
compared to net income of US$8.41 billion in the first six months
of 2007.  Adjusted net loss for the first six months of 2008 was
US$4.88 billion, compared to adjusted net income of US$9.02
billion in the first six months of 2007.


AMERICAN INT'L: To Refocus as Worldwide Property & Casualty Co.
---------------------------------------------------------------
American International Group, Inc., said it will refocus the
company on its core property and casualty insurance businesses,
generate sufficient liquidity to repay the outstanding balance of
its loan from the Federal Reserve Bank of New York and address its
capital structure.  AIG had drawn $61 billion on the Federal
Reserve Bank of New York credit facility as of Sept. 30, 2008.

AIG will retain its U.S. property and casualty and foreign general
insurance businesses, and to retain a continuing ownership
interest in its foreign life insurance operations.  AIG's
worldwide property and casualty businesses generated approximately
US$40 billion in revenues in 2007.  The company is exploring
divestiture opportunities for its remaining high-quality
businesses and assets.  AIG is also actively at work on a number
of alternatives for its Financial Products business and its
securities lending program.

AIG's Chairperson and Chief Executive Officer Edward M. Liddy
said, "We are refocusing on our traditional strengths in property
and casualty underwriting.  We have a number of remarkable
businesses with leading market positions and significant
competitive advantages that could not be recreated today.  To
realize our objective, we will sell a number of extraordinary
businesses that are proving to be highly attractive to buyers.  We
have already been contacted by numerous strong, stable parties,
and we expect that buyers will recognize the value of these
properties, be a good strategic fit and offer the greatest
potential for growth, profitability, and continuing opportunities
for employees.  Our goal is to emerge from this process as a
smaller but more nimble company that is solidly profitable and has
good long-term growth prospects."

AIG's global coordinators for the divestiture program are The
Blackstone Group and J.P. Morgan.

Lavonne Kuykendall at Dow Jones Newswires reports that AIG set out
a list of companies it will sell to pay the money back and retain
enough capital to go forward.  According to the report, AIG will
sell, preferably in one deal, its U.S. life, retirement and
pensions businesses. AIG's non-insurance businesses are also on
the market, the report says.

Dow Jones relates that Mr. Liddy said he would welcome "pre-
emptive" offers, particularly from "brand-name operations with
strong ratings and balance sheets" and a clear ability to close
the sale.

According to Dow Jones, Mr. Liddy said that AIG has drawn around
US$61 billion of the Fed's US$85 billion credit line so far, and
will need more.  Citing Mr. Liddy, Dow Jones states that about
US$54 billion of the loan has was used in collateral calls on its
troubled derivatives business, which has reported US$26 billion in
market value losses since the fourth quarter of 2007, while the
rest of the money was used in other liquidity needs amid an
"unprecedented" freezing of credit markets.

AIG will avoid "franchise erosion" from having clients and key
employees leave the company, and Mr. Liddy said that a transparent
sales process will help, Dow Jones reports.

Based in New York City, American International Group Inc. --
http://www.aig.com/-- (NYSE: AIG) is an international insurance
and financial services organization, with operations in more than
130 countries and jurisdictions.  The company is engaged through
subsidiaries in General Insurance, Life Insurance & Retirement
Services, Financial Services and Asset Management.

The company's British headquarters are located on Fenchurch Street
in London, continental Europe operations are based in La Defense,
Paris, and its Asian HQ is in Hong Kong.  AIG owns Ocean Finance,
a United Kingdom based company providing home owner loans,
mortgages and remortgages.  AIG operates in the UK with the brands
AIG UK, AIG Life and AIG Direct.  It has about 3,000 employees,
and sponsors the Manchester United football club.  In response to
redemption demands, AIG Life (UK) suspended redemptions of its AIG
Premier Bond money market fund on Sept. 19, 2008, in order to
provide an orderly withdrawal of assets.

              US$85,000,000,000 Federal Reserve Loan

The Federal Reserve Bank of New York extended to AIG a revolving
credit facility up to US$85 billion.  AIG's borrowings under the
revolving credit facility will bear interest, for each day, at a
rate per annum equal to three-month Libor plus 8.50%.  The
revolving credit facility will have a 24-month term and will be
secured by a pledge of assets of AIG and various subsidiaries.

The Credit Facility provides for a 79.9% equity interest in AIG.
The Credit Facility provides for an initial gross commitment fee
of 2% of the total Credit Facility on the closing date.  AIG, in a
regulatory filing with the Securities and Exchange Commission,
said it will pay a commitment fee on undrawn amounts at the rate
of 8.5% per annum.  Interest and the commitment fees are generally
payable through an increase in the outstanding balance under the
Credit Facility.  Borrowings under the Credit Facility are
conditioned on the NY Fed being reasonably satisfied with, among
other things, AIG's corporate governance.

AIG is required to repay the Credit Facility from, among other
things, the proceeds of certain asset sales and issuances of debt
or equity securities.  These mandatory repayments permanently
reduce the amount available to be borrowed under the Credit
Facility.

The Credit Facility contains customary affirmative and negative
covenants, including a requirement to maintain a minimum amount of
liquidity and a requirement to use reasonable efforts to cause the
composition of the Board of Directors of AIG to be satisfactory to
the trust within 10 days after the
establishment of the trust.

Under the agreement, AIG will issue a new series of perpetual,
non-redeemable Convertible Participating Serial Preferred Stock to
a trust that will hold the Preferred Stock for the benefit of the
United States Treasury.

The Preferred Stock will, from issuance:

  -- be entitled to participate in any dividends paid on the
     common stock, with the payments attributable to the
     Preferred Stock being approximately, but not in excess
     of, 79.9% of the aggregate dividends paid on AIG's common
     stock, treating the Preferred Stock as if converted; and

  -- vote with AIG's common stock on all matters submitted to
     AIG's shareholders, and will hold approximately, but not
     in excess of, 79.9% of the aggregate voting power of the
     common stock, treating the Preferred Stock as if
     converted.

The Preferred Stock will remain outstanding even if the Credit
Facility is repaid in full or otherwise terminates.

Pursuant to the Credit Facility, AIG is required to hold a special
shareholders meeting to amend its restated certificate of
incorporation to increase its share capitalization and to lower
the par value of its common stock to permit the conversion of the
Preferred Stock into common stock.  Once this
amendment is effective, the Preferred Stock will be convertible at
any time into 79.9% of the shares of common stock outstanding at
the time of issuance.

AIG is required to enter into a customary registration rights
agreement that will permit the NY Fed to require AIG to register
the Preferred Stock and the underlying common
stock under the Securities Act of 1933.

The Credit Facility will be secured by a pledge of the capital
stock and assets of certain of AIG's subsidiaries, subject to
exclusions for certain property the pledge of which is not
permitted by AIG debt instruments, as well as exclusions of assets
of regulated subsidiaries, assets of foreign subsidiaries and
assets of special purpose vehicles.

Copy of the Credit Agreement is available free of charge at:

              http://researcharchives.com/t/s?331e

Copy of the Pledge Agreement is available free of charge at:

              http://researcharchives.com/t/s?331f

In a statement, the company said "AIG is a solid company with over
US$1 trillion in assets and substantial equity, but it has been
recently experiencing serious liquidity issues."

Standard & Poor's Ratings Services has revised the CreditWatch
status of most of its ratings on the AIG group of companies --
including its 'A-' long-term counterparty credit ratings on
American International Group Inc. and International Lease Finance
Corp. and the 'A+' counterparty credit and financial strength
ratings on most of AIG's insurance operating subsidiaries -- to
CreditWatch developing from CreditWatch negative.

Fitch Ratings revised its Rating Watch on American International
Group, Inc. to Evolving from Negative.  Fitch viewed this
transaction as a favorable development that alleviates significant
near-term liquidity concerns.

The Troubled Company Reporter reported on Sept. 19, 2008 that that
Edward Liddy replaced Robert Willumstad as AIG's CEO.

                    *     *     *

In a U.S. Securities and Exchange Commission filing dated
Aug. 6, 2008, AIG reported a net loss for the second quarter of
2008 of US$5.36 billion compared to 2007 second quarter net income
of US$4.28 billion.  Second quarter 2008 adjusted net loss was
US$1.32 billion, compared to adjusted net income of US$4.63
billion for the second quarter of 2007.  The continuation of the
weak U.S. housing market and disruption in the credit markets, as
well as global equity market volatility, had a substantial adverse
effect on AIG's results in the second quarter.

Net loss for the first six months of 2008 was US$13.16 billion,
compared to net income of US$8.41 billion in the first six months
of 2007.  Adjusted net loss for the first six months of 2008 was
US$4.88 billion, compared to adjusted net income of US$9.02
billion in the first six months of 2007.


AMERICAN INT'L: Recent Ratings Won't Affect RMBS Certs., S&P Says
-----------------------------------------------------------------
Standard & Poor's Ratings Services said its recent rating actions
on American International Group Inc. (AIG; A-/Watch Dev/A-1) and
its related subsidiaries do not affect the current ratings on the
certificates from the U.S. RMBS transactions listed below.  While
AIG or its subsidiaries provide various forms of mortgage
insurance, including residential mortgage pool insurance and deep
mortgage insurance, after analyzing all other forms of credit
enhancement these transactions have, S&P believes that the deals
have sufficient credit enhancement to support the current ratings
on their own, without accounting for any insurance claim cash
flows from the AIG-related policies.

The Federal Reserve Bank of New York offered AIG an US$85 billion
secured loan facility which S&P believes will likely affect the
new rating on AIG; however, at present, S&P does not anticipate
that any updated AIG rating will affect the ratings on the U.S.
RMBS transactions listed below.  Notwithstanding the above, if
performance variables for the U.S. RMBS transactions were to
deteriorate further, the assigned ratings could come under
pressure.  Standard & Poor's will continue to monitor its ratings
on all classes related to AIG and its subsidiaries due to the
aforementioned mortgage insurance policies and take rating actions
as appropriate.

Outstanding Ratings

Citibank N.A. New York, NY
Series     1986- S

Class      CUSIP         Rating
-----      -----         ------
A          172905AZ4     AA

Citibank N.A. New York, NY
Series     1987- D

Class      CUSIP         Rating
-----      -----         ------
A          172905BJ9     AA

Citicorp Mortgage Securities Inc.
Series     1988- 11

Class      CUSIP         Rating
-----      -----         ------
A-1        172921CE6     AA

CWABS Asset-Backed Certificates Trust 2005-AB4
Series     2005-AB4

Class      CUSIP         Rating
-----      -----         ------
1-A        126670KJ6     AAA
2-A-1      126670KK3     AAA
2-A-3      126670KM9     AAA
2-A-4      126670KN7     AAA
A-R        126670LA4     AAA
M-1        126670KP2     AA+/Watch Neg
M-2        126670KQ0     AA+/Watch Neg
M-3        126670KR8     AA/Watch Neg
M-4        126670KS6     AA-/Watch Neg
M-5        126670KT4     A+/Watch Neg
M-6        126670KU1     A-/Watch Neg
M-7        126670KV9     BBB-/Watch Neg
M-8        126670KW7     B+/Watch Neg

CWABS Asset-Backed Certificates Trust 2006-20
Series 2006-20

Class      CUSIP         Rating
-----      -----         ------
1-A        12667HAA9     BB
2-A-1      12667HAB7     AAA
2-A-2      12667HAC5     AAA
2-A-3      12667HAD3     BBB
2-A-4      12667HAE1     BB
M-1        12667HAF8     B
M-2        12667HAG6     B-
M-3        12667HAH4     B-
M-4        12667HAJ0     CCC
M-5        12667HAK7     CCC
M-6        12667HAL5     CCC
M-7        12667HAM3     CCC
M-8        12667HAN1     CC
M-9        12667HAP6     CC
B          12667HAQ4     CC

CWABS Inc.
Series 2002-S1

Class      CUSIP         Rating
-----      -----         ------
A-4        126671PU4     AAA
A-5        126671PV2     AAA
A-IO       126671PW0     AAA
M-1        126671PP5     AA
M-2        126671PQ3     A

CWABS Inc.
Series 2002-S2

Class      CUSIP         Rating
-----      -----         ------
A-5        126671QN9     AAA
A-IO       126671QP4     AAA
M-1        126671QQ2     AA
M-2        126671QR0     A

CWABS Inc.
Series 2002-S4

Class      CUSIP         Rating
-----      -----         ------
A-5        126671UD6     AAA
A-IO       126671UE4     AAA
M-1        126671UF1     AA
M-2        126671UG9     A
B          126671UH7     A

CWABS Inc.
Series 2003-3

Class      CUSIP         Rating
-----      -----         ------
1-A-5      126671C95     AAA
1-A-6      126671D29     AAA
2-A-2      126671D45     AAA
3-A        126671D52     AAA
M-1        126671D60     AA+
M-2        126671D78     AA+
M-3        126671D86     AA+
M-4        126671D94     AA
M-5        126671E28     A+
M-6        126671E36     A-

CWABS Inc.
Series 2004-S1

Class      CUSIP         Rating
-----      -----         ------
A-2        126673TC6     AAA
A-3        126673TD4     AAA
A-IO       126673TE2     AAA
M-1        126673TF9     AA
M-2        126673TG7     A
M-3        126673TQ5     A-

CWHEQ Revolving Home Equity Loan Trust Series 2006-C
Series 2006-C

Class      CUSIP         Rating
-----      -----         ------
1-A        126685DH6     AA
2-A        126685DJ2     AA

DLJ Mortgage Acceptance Corp.
Series 1993-19
Class      CUSIP         Rating
-----      -----         ------
A-P        23321PGE2     AAA
S-1        23321PFW3     AAA
A-7        23321PGD4     AAA
M          23321PGF9     AAA
B-1        23321PGG7     AAA

FNT Mortgage-Backed Pass-Through Certificates Series FNT 2001-4
Series 2001-4

Class      CUSIP         Rating
-----      -----         ------
I-A-1      22540WCP3     AAA
D-A-P      22540WFV7     AAA
III-A-X    22540WEN6     AAA
IV-A-X     22540WEP1     AAA
C-A-X      22540WEQ9     AAA
C-B-1      22540WEU0     AAA
C-B-2      22540WEV8     AAA
C-B-3      22540WEW6     AA+
IV-A-1     22540WED8     AAA
IV-A-2     22540WEE6     AAA
IV-A-3     22540WFT2     AAA
V-A-1      22540WEF3     AAA
V-A-2      22540WEG1     AAA

Prudential Securities Secured Financing Corp.
Series 1992- 1

Class      CUSIP         Rating
-----      -----         ------
A-1        74436JAL1     AAA

Ryland Mortgage Securities Corp.
Series 1991-15

Class      CUSIP         Rating
-----      -----         ------
B          783766GV4     AAA

Ryland Mortgage Securities Corp.
Series 1991-16

Class      CUSIP         Rating
-----      -----         ------
B          783766GY8     AAA
I          783766GZ5     AAA

Ryland Mortgage Securities Corp.
Series 1991-17

Class      CUSIP         Rating
-----      -----         ------
B          783766HB7     AAA

Ryland Mortgage Securities Corp.
Series 1991-19

Class      CUSIP         Rating
-----      -----         ------
B          783766HF8     AAA

Ryland Mortgage Securities Corp.
Series 1992- 4

Class      CUSIP         Rating
-----      -----         ------
B          783766JT6     AA+

Ryland Mortgage Securities Corp.
Series 1992-1FBS

Class      CUSIP         Rating
-----      -----         ------
G          783766KJ6     AAA
R          783766KM9     AAA
RL         783766KN7     AAA
M          783766KL1     AAA
F          783766KK3     AAA

Salomon Brothers Mortgage Securities VII Inc.
Series 1993- 9

Class      CUSIP         Rating
-----      -----         ------
A-2        79548KJE9     AAA
B-1        79548KJF6     AAA
B-2        79548KJG4     AAA
B-3        79548KJH2     AA
B-4        79548KJJ8     BBB+
B-5        79548KJK5     B

Structured Asset Securities Corp.
Series 2003-S2

Class      CUSIP         Rating
-----      -----         ------
M1-A       86359BBL4     AA
M1-F       86359BBM2     AA
M2-A       86359BBN0     A
M2-F       86359BBP5     A
M3         86359BBQ3     A-

Structured Asset Securities Corp.
Series 2004-S2

Class      CUSIP         Rating
-----      -----         ------
A-SIO      86359BSR3     AAA
M4         86359BSV4     A-
M5         86359BSW2     BBB+
M6         86359BSX0     B
M7         86359BSY8     CCC

Structured Asset Securities Corp.
Series 2004-S3

Class      CUSIP         Rating
-----      -----         ------
M1         86359BB67     AA+
M2         86359BB75     AA
M3         86359BB83     BBB
M4         86359BB91     BB
M5         86359BC25     B
M6         86359BC33     CCC
M7         86359BC41     CC

Structured Mortgage Asset Residential Trust, Series 93-3
Series 1993- 3

Class      CUSIP         Rating
-----      -----         ------
CK         863573SP7     AAA
CL         863573SQ5     AAA
CX         863573SR3     AAA
CY         863573SW2     AAA
G          863573SC6     AAA

Structured Mortgage Asset Residential Trust, Series 93-4
Series 1993- 4

Class      CUSIP         Rating
-----      -----         ------
AF         8635739A1     AAA
AX         863573TC5     AAA
AY         863573TB7     AAA
R-1        863573TE1     AAA
G          863573TG6     AAA

Structured Mortgage Asset Residential Trust, Series 93-5
Series 1993- 5

Class      CUSIP         Rating
-----      -----         ------
CJ         863573TT8     AAA
CX         863573TW1     AAA
G          863573TH4     AAA

Travelers Mortgage Services Inc.
Series 1989- 1

Class      CUSIP         Rating
-----      -----         ------
1A         89419KAY9     AA


BRADFORD & BINGLEY: EU Commission Approves State Bailout
--------------------------------------------------------
The European Commission on Oct. 1, 2008, approved a rescue plan
for Bradford & Bingley Plc as part of its efforts to limit
contagion from the financial crisis, according to various reports.
The approval was made less than 24 hours after the U.K. government
to the Commission that the rescue of B&B complied with the EU
rules.

As reported by the Troubled Company Reporter-Europe on Oct. 1,
2008, the Chancellor of the Exchequer confirmed that, following
advice from the Governor of the Bank of England and the Chairman
of the Financial Services Authority, HM Treasury has put in place,
with immediate effect, guarantee arrangements to safeguard certain
wholesale borrowings, and derivative transactions of and wholesale
deposits with, Bradford & Bingley plc existing as at midnight on
Sept. 28, 2008.

The Chancellor said arrangements will be put in place to ensure
that Bradford & Bingley will pay an appropriate fee for the
provision of these arrangements in order to ensure it does not
receive a commercial advantage.

Coverage of the guarantee arrangements include all unsubordinated
borrowings from and wholesale deposits with Bradford & Bingley
made by Bradford & Bingley International Limited (Bradford &
Bingley’s Isle of Man subsidiary), and any other unsubordinated
debt due from Bradford & Bingley to Bradford & Bingley
International Limited, in each case in existence at the relevant
time.

                    About Bradford & Bingley

Headquartered in Bingley, United Kingdom, Bradford & Bingley plc
-- http://www.bbg.co.uk/-- offers residential mortgages, and
focus on a range of areas providing mortgages for individuals.
It focuses on its savings business and provides a range of
savings products through 197 branches and network of 140 third-
party branch-type agents, by phone, post and Online.

                          *     *     *

As reported by the Troubled Company Reporter on Oct. 1, 2008,
Moody's Investors Service announced that it has put on review for
possible upgrade the Baa3 senior unsecured debt and deposits of
Bradford & Bingley plc.  The short-term ratings of P-3 were also
placed on review for possible upgrade.  At the same time, the
bank's subordinated and junior subordinated debt ratings were
downgraded to Ca from their respective Ba3 and B1 ratings with a
negative outlook; the preference shares were downgraded to C from
B2.  The Bank Financial Strength Rating (BFSR) of D was withdrawn.

The TCR-Europe reported on on Sept. 25, 2008, that Fitch Ratings
downgraded UK-based Bradford and Bingley's ratings to Long-term
Issuer Default 'BBB-' from 'BBB+', Short-term IDR 'F3' from 'F2',
and Individual 'D' from 'C'.  Its Support rating has been upgraded
to '2' from '3' resulting in an upgrade of the Support Rating
Floor to 'BBB-' from 'BB+'.  In line with Fitch's standard
notching policy for hybrid and subordinated instruments, the
ratings for these instruments of B&B have been downgraded to 'B+'
from 'BBB-' and 'BB+' from 'BBB', respectively.  All ratings with
the exception of the Individual rating have been placed on Rating
Watch Evolving.  Separately, Fitch has placed B&B's 'AAA'-rated
covered bonds on Rating Watch Negative.

The TCR-Europe reported on Sept. 2, 2008, that Standard & Poor's
Ratings Services said that its short-term counterparty credit
rating on Bradford & Bingley PLC (B&B; --/Watch Neg/A-2) is
unchanged following the announcement of a first-half loss of GBP17
million.  The current rating incorporates one notch of external
support and remains on CreditWatch with negative implications.


BRADFORD & BINGLEY: Investors Want Slot in Board
------------------------------------------------
Bradford & Bingley Plc investors demand board seat in compensation
fight to recover from the firm's collapse, the Telegraph U.K.
reports.  B&B shareholders want their interests protected by
stepping in to rescue the buy-to-let lender's GBP400 million
rights issue earlier this year.  The institutional investors
Standard Life, Legal & General, M&G and Insight sub-underwrote
B&B's cash call by GBP150 million.

The investors hope to secure what is left of the bank's
GBP1.5 billion in shareholder equity, equivalent to about GBP100 a
share, after it is run-off or sold, the Telegraph says.  Some
investors believe there ought to be several hundred million pounds
of equity left.

The GBP1.5 billion shareholder equity and another GBP1.5 billion
of subordinated debt are the only buffers before the taxpayer gets
hit, according to the report.  However, the government has placed
further protection that will see much of the state's liability
offloaded onto the industry.

However, the Telegraph says the government is likely to claim the
equity as a cost of nationalization in return for taxpayers
providing GBP15 billion of guarantees and GBP18 billion of funding
to the bank, even if GBP14 billion is ultimately being covered by
the banking industry.

The Telegraph quotes a Treasury spokesman as saying that no
decision has yet been made.  Investors await the decision of an
independent valuer to decide the compensation arrangement.

The Government is expected to publish its draft bill on banking
reform early this month, based on the report.  The bill will
reconfirm the government's plans to raise the deposit savings
guarantee from GBP35,000 to GBP50,000.

Lawyers, according to the report, warned that concerns about other
changes to the creditor hierarchy could increase bank funding
costs to uncompetitive levels.

                    About Bradford & Bingley

Headquartered in Bingley, United Kingdom, Bradford & Bingley plc
-- http://www.bbg.co.uk/-- offers residential mortgages, and
focus on a range of areas providing mortgages for individuals.
It focuses on its savings business and provides a range of
savings products through 197 branches and network of 140 third-
party branch-type agents, by phone, post and Online.

                          *     *     *

As reported by the Troubled Company Reporter on Oct. 1, 2008,
Moody's Investors Service announced that it has put on review for
possible upgrade the Baa3 senior unsecured debt and deposits of
Bradford & Bingley plc.  The short-term ratings of P-3 were also
placed on review for possible upgrade.  At the same time, the
bank's subordinated and junior subordinated debt ratings were
downgraded to Ca from their respective Ba3 and B1 ratings with a
negative outlook; the preference shares were downgraded to C from
B2.  The Bank Financial Strength Rating (BFSR) of D was withdrawn.

The TCR-Europe reported on on Sept. 25, 2008, that Fitch Ratings
downgraded UK-based Bradford and Bingley's ratings to Long-term
Issuer Default 'BBB-' from 'BBB+', Short-term IDR 'F3' from 'F2',
and Individual 'D' from 'C'.  Its Support rating has been upgraded
to '2' from '3' resulting in an upgrade of the Support Rating
Floor to 'BBB-' from 'BB+'.  In line with Fitch's standard
notching policy for hybrid and subordinated instruments, the
ratings for these instruments of B&B have been downgraded to 'B+'
from 'BBB-' and 'BB+' from 'BBB', respectively.  All ratings with
the exception of the Individual rating have been placed on Rating
Watch Evolving.  Separately, Fitch has placed B&B's 'AAA'-rated
covered bonds on Rating Watch Negative.

The TCR-Europe reported on Sept. 2, 2008, that Standard & Poor's
Ratings Services said that its short-term counterparty credit
rating on Bradford & Bingley PLC (B&B; --/Watch Neg/A-2) is
unchanged following the announcement of a first-half loss of GBP17
million.  The current rating incorporates one notch of external
support and remains on CreditWatch with negative implications.


BRADFORD & BINGLEY: Fitch Holds Ratings on 46 UK RMBS Tranches
--------------------------------------------------------------
Fitch Ratings has affirmed 46 UK RMBS tranches issued from the
Funding 1 beneficiary of Bradford and Bingley's Aire Valley Master
Trust Programme as listed below.

This affirmation follows the HM Treasury's announcement on 29
September to take parts of B&B into public ownership and the
subsequent upgrade of B&B's Long-term Issuer Default Ratings to
'A-' from 'BBB-' and Short-term IDR to 'F1+' from 'F3'.

Despite the recent upgrade, B&B's Long-term IDR still does not
conform with Fitch's swap counterparty criteria which expects the
basis swap provider to maintain Long- and Short-term IDRs of at
least 'A' and 'F1', respectively.  Consequently, the requirement
to post collateral under the swap agreement remains.  However, B&B
has confirmed that HM Treasury's guarantees on the bank's
outstanding derivative contracts cover the basis swap agreement
with Aire Valley, thus adding comfort that B&B will satisfy their
swap payment obligations.

"Following a review of B&B and an evaluation of B&B's swap
exposure to its existing RMBS and covered bond programs, Fitch is
satisfied that, the ratings are at present not affected by the
swap counterparty exposure," says Alastair Bigley, Director in
Fitch's Structured Finance team.

Fitch views positively the increased financial strength of B&B as
result of the transfer of B&B's shares into public ownership;
however, there are concerns about B&B's ability to substitute
loans into Aire Valley given the Treasury's intentions to wind-
down the remainder of B&B.  The potential lack of substitution of
new loans into Aire Valley is likely to affect the non-asset
trigger, specifically, the conditions on the minimum trust size
where B&B undertakes to offer new loans to the trust to maintain
the trust size at GBP11.5 billion until September 2009 and GBP10.7
billion until March 2013.  As at September 2008 the trust size was
GBP12.87 billion, and although prepayment rates for the Aire
Valley Master Trust are slowing, there remains a possibility the
trust size will fall below GBP11.5 billion before September 2009,
thus causing a non-asset trigger event.

A non-asset trigger event would result in all principal repayments
from the trust being paid to the funding companies, resulting in
Funding 1 paying down the outstanding notes on a sequential pass-
through basis in the order of their seniority, with the class A
noteholders being paid in order of their legal final maturity
dates.

Fitch understands the servicing of the assets will continue
unchanged in the short term.  However, HM Treasury has not
provided details on the timeframe of the planned wind-down of the
remaining B&B business units or their intentions to service
securitized assets, so there remains uncertainty over the role of
B&B as servicer in the medium- to long-term.

Credit performance of the underlying mortgage collateral of the
Aire Valley trust has seen deterioration recently.  As of the last
investor report for September 2008, mortgages that were at 90 days
past their due date comprised some 2.31% of the current collateral
balance.  This compares with the average value for the Fitch UK
Prime Index, which currently stands at 1.05% for 90 days past due.
Recently, UK mortgage lenders have been tightening their criteria
on buy-to-let lending or withdrawing their BTL mortgage products
altogether.

This, combined with the current increased pricing of BTL products
in the market, may leave some borrowers with no option but to stay
with their current lender at the reversionary rate.  A borrower
not remortgaging their loan at the end of the teaser period would
suffer increased interest costs on the mortgage loan, which would
be difficult to pass to their tenants in the current climate;
consequently, arrears performance in Aire Valley is expected to
deteriorate.

Fitch will continue to closely monitor B&B's swap exposure and any
events likely to influence the bank's ratings.  The agency will
make further commentary and take appropriate rating action with
respect to the notes issued by Aire Valley as events warrant.

The rating actions are:

Aire Valley Mortgages 2004-1 plc:
  -- Series 3 Class A1 (ISIN XS0201883328): affirmed at 'AAA';
     Outlook Stable

  -- Series 3 Class A2 (ISIN XS0201883674): affirmed at 'AAA';
     Outlook Stable

  -- Series 3 Class B1 (ISIN XS0201883914): affirmed at 'AA';
     Outlook Stable

  -- Series 3 Class B2 (ISIN XS0201884300): affirmed at 'AA';
     Outlook Stable

  -- Series 3 Class C1 (ISIN XS0201884649): affirmed at 'BBB';
     Outlook Stable

  -- Series 3 Class C2 (ISIN XS0201885026): affirmed at 'BBB';
     Outlook Stable

  -- Series 3 Class D1 (ISIN XS0201885455): affirmed at 'BB';
     Outlook Stable

  -- Series 3 Class D2 (ISIN XS0202219258): affirmed at 'BB';
     Outlook Stable

Aire Valley Mortgages 2005-1 plc:
  -- Series 2 Class A1 (ISIN XS0217567766): affirmed at 'AAA';
     Outlook Stable

  -- Series 2 Class A2 (ISIN XS0217568061): affirmed at 'AAA';
     Outlook Stable

  -- Series 2 Class A3 (ISIN XS0217568145): affirmed at 'AAA';
     Outlook Stable

  -- Series 2 Class B1 (ISIN XS0217568491): affirmed at 'AA';
     Outlook Stable

  -- Series 2 Class B2 (ISIN XS0217568814): affirmed at 'AA';
     Outlook Stable

  -- Series 2 Class C2 (ISIN XS0217569119): affirmed at 'BBB';
     Outlook Stable

Aire Valley Mortgages 2006-1 plc:
  -- Series 1 Class A (ISIN XS0264186585): affirmed at 'AAA';
     Outlook Stable

  -- Series 1 Class B1 (ISIN XS0264187393): affirmed at 'AA';
     Outlook Stable

  -- Series 1 Class B2 (ISIN XS0264191742): affirmed at 'AA';
     Outlook Stable

  -- Series 1 Class B3 (ISIN XS0264194258): affirmed at 'AA';
     Outlook Stable

  -- Series 1 Class C2 (ISIN XS0264192716): affirmed at 'BBB';
     Outlook Stable

  -- Series 2 Class A1 (ISIN XS0264192989): affirmed at 'AAA';
     Outlook Stable

  -- Series 2 Class A2 (ISIN XS0264197517): affirmed at 'AAA';
     Outlook Stable

  -- Series 2 Class A3 (ISIN XS0264197780): affirmed at 'AAA';
     Outlook Stable

  -- Series 2 Class B2 (ISIN XS0264193284): affirmed at 'AA';
     Outlook Stable

  -- Series 2 Class B3 (ISIN XS0264197863): affirmed at 'AA';
     Outlook Stable

  -- Series 2 Class C2 (ISIN XS0264193797): affirmed at 'BBB';
     Outlook Stable

Aire Valley Mortgages 2007-1 plc:
  -- Series 1 Class A1 (ISIN XS0298402883): affirmed at
     'AAA'/'F1+'; Outlook Stable

  -- Series 1 Class A2 (ISIN XS0298403691): affirmed at 'AAA';
     Outlook Stable

  -- Series 1 Class A3 (ISIN XS0298409466): affirmed at 'AAA';
     Outlook Stable

  -- Series 1 Class B (ISIN XS0298410126): affirmed at 'AA';
     Outlook Stable

  -- Series 1 Class C (ISIN XS0298410555): affirmed at 'BBB';
     Outlook Stables

  -- Series 2 Class A1 (ISIN XS0298411017): affirmed at 'AAA';
     Outlook Stable

  -- Series 2 Class A2 (ISIN XS0298412841): affirmed at 'AAA';
     Outlook Stable

  -- Series 2 Class A3 (ISIN XS0298413229): affirmed at 'AAA';
     Outlook Stable

  -- Series 2 Class B (ISIN XS0298413658): affirmed at 'AA';
     Outlook Stable

  -- Series 2 Class C (ISIN XS0298415273): affirmed at 'BBB';
     Outlook Stable

Aire Valley Mortgages 2007-2 plc:
  -- Series 1 Class A1 (ISIN XS0329886526): affirmed at 'AAA';
     Outlook Stable

  -- Series 1 Class A2 (ISIN XS0329904956): affirmed at 'AAA';
     Outlook Stable

  -- Series 1 Class A3 (ISIN XS0329905508): affirmed at 'AAA';
     Outlook Stable

  -- Series 1 Class B (ISIN XS0329906225): affirmed at 'AA';
     Outlook Stable

  -- Series 1 Class C (ISIN XS0329907116): affirmed at 'BBB';
     Outlook Stable

Aire Valley Mortgages 2008-1 plc:
  -- Series 1 Class A1 (ISIN XS0378258833): affirmed at 'AAA';
     Outlook Stable

  -- Series 1 Class A2 (ISIN XS0378263163): affirmed at 'AAA';
     Outlook Stable

  -- Series 2 Class A1 (ISIN XS0378266000): affirmed at 'AAA';
     Outlook Stable

  -- Series 2 Class A2 (ISIN XS0378268717): affirmed at 'AAA';
     Outlook Stable

  -- Series 2 Class C (ISIN XS0378269871): affirmed at 'BBB';
     Outlook Stable

  -- Series 2 Class D (ISIN XS0378270887): affirmed at 'BB';
     Outlook Stable


DIOMED HOLDINGS: Pays US$1.1MM of Accrued Loan Interest and Fees
----------------------------------------------------------------
Hercules Technology Growth Capital, Inc., disclosed that in
addition to the full repayment of US$6.0 million of principal
received in April 2008, it has received a payment of US$1.1
million for accrued interest and loan fees on the company's debt
financing to Diomed Holdings Inc.  The internal rate of return on
Diomed Holdings Inc., is expected to exceed 60% with this payment.

"We are pleased that we were able to get full repayment of the
loan principal plus accrued interest and fees," said Manuel A.
Henriquez, co-founder, chairman and chief executive officer of
Hercules.  "Since inception, Hercules had adhered to a strict
selection and monitoring process.  We actively work with the
management and the financial sponsors of each company throughout
the life of the investment.  As a result, even when our portfolio
companies have been in distressed situations, we have succeeded at
receiving principal payments."

Diomed entered into a settlement agreement with AngioDynamics in
April 2008 for the purpose of resolving the patent infringement
lawsuit between the companies originally filed in January 2004.
As a result of the settlement over varicose vein laser treatment
technology, AngioDynamics agreed to pay US$7.0 million to Diomed.
Of the US$7.0 million settlement proceeds, US$6.0 million was used
to repay the outstanding loan principal balance to Hercules.
An additional US$1.1 million for accrued interest and other loan
fees was received at the end of September 2008 per a settlement
order approved by the United States Court of Bankruptcy for the
District of Massachusetts.

                     About Diomed Holdings

Based in Andover, Massachussetts, Diomed Holdings Inc. (AMEX:
DIO) -- http://www.evlt.com/and  http://www.diomedinc.com/--
develops and commercializes minimal and micro-invasive medical
procedures that use its proprietary laser technologies and
disposable products.  Diomed's EVLT(R) laser vein ablation
procedure is used in varicose vein treatments.  Diomed also
provides photodynamic therapy for use in cancer treatments, and
dental and general surgical applications.  Diomed Holdings has
no assets other than its 100% ownership in Diomed Inc., its
operating unit.  Diomed, Inc., owns 100% of Diomed Ltd. in the
United Kingdom and Diolaser Mexico SA de CV in Mexico.  The
company also has an affiliate in Asia through Diomed Hong Kong.

The company and its affiliate, Diomed Inc., filed for Chapter 11
protection on March 14, 2008 (Bankr. D. Mass. Case Nos. 08-40750
and 08-40749).  Douglas R. Gooding, Esq., at Choate Hall &
Stewart LLP, is the Debtor's local counsel and McGuireWoods LLP
is its general counsel.  Goulston & Storrs P.C. is counsel to
the Official Committee of Unsecured Creditors.  The company's
schedules show total assets of US$19,936,479 and total liabilities
of US$14,743,485.

In connection with the Chapter 11 filings, Diomed Ltd. filed for
Administration under the laws of the United Kingdom in the
Cambridge County Court.  Steven Mark Law of Ensors was named as
administrator.


HERITAGE LOFTS: Brings in Liquidators from Moore Stephens
---------------------------------------------------------
Steven Draine and David Rolph of Moore Stephens LLP were appointed
joint liquidators of Heritage Lofts & Extensions Ltd. on Sept. 23,
2008, for the creditors' voluntary winding-up proceeding.

The company can be reached at:

         Heritage Lofts & Extensions Ltd.
         c/o Moore Stephens LLP
         3-5 Rickmansworth Road
         Watford
         Hertfordshire
         WD18 0GX
         England


LADBROKES PLC: Moody's Puts Ba2 Rating on Review for Downgrade
--------------------------------------------------------------
Moody's Investors Service has placed the Ba2 corporate family
rating and senior unsecured debt ratings of Ladbrokes plc and
Ladbrokes Group Finance plc on review for possible downgrade.

The rating action reflects the legacy risk that arises from the
company's material contingent liabilities from guarantees given to
third parties over the lease liabilities of subsidiaries in the
disposed hotel division.  Moody's notes that, although the fair
value of these commitments as recognized in the company's accounts
amounts to only GBP10 million, the net present value of the lease
obligations is GBP636 million.  However, more positively Moody's
notes that there is a counter-guarantee given by Hilton Hotels
Corporation (not rated) for any payments made by Ladbrokes under
these guarantees.

Moody's cautions that, while it remains very unlikely that all
these lease liabilities would fall on Ladbrokes, they nevertheless
represent an additional exposure that could increase the company's
liabilities without enhancing its cash flows.  Nonetheless, the
rating agency recognizes that, in the case of a non-payment of
rents by any of the individual hotels, the risk of Ladbrokes
becoming liable for the lease commitments for their entire tenor
is remote, considering the ability of landlords generally to lease
out properties again over time.

Moody's rating review will focus on: (i) assessing Ladbrokes'
exposure to these lease commitments and the likelihood of their
being exercised, (ii) the impact of the lease liabilities on the
company's debt protection metrics and business profile considering
the current economic environment and the volatile nature of the
hotel business, and (iii) the expected evolution of cash-flow and
credit metrics in the current downturn.

As Moody's has previously stated, for Ladbrokes' corporate family
rating to remain Ba2 with a stable outlook, this would require net
debt to EBITDA not to materially exceed 4 times and retained cash
flow to net debt to remain at least at 10% on a sustainable basis.

The rating agency expects that the impact of any 'shading' of the
ratings resulting from the exposure to the third-party lease
liabilities would be moderate, and therefore any downgrade is
anticipated to be limited to one notch.

Headquartered in the UK, Ladbrokes is the world's largest
bookmaker by number of stores and the leading operator of betting
and gaming brands, notably in the UK, one of the largest markets
for gambling.  The company is also one of the leading providers of
telephone betting and online betting and gaming services.  In
2007, Ladbrokes generated around GBP1 billion of gross win.


LEHMAN BROTHERS: Nomura to Expand European Fixed Income Division
----------------------------------------------------------------
Nomura Holdings Inc. said it intends to enhance the scale of its
European fixed income division by hiring more than 150 former
Lehman Brothers staff.  The hires are in the flow and solutions
businesses and will strengthen and add to Nomura's existing
credit, interest rates and foreign exchange businesses.  The fixed
income businesses will continue to report to Zenji Nakamura,
global head of fixed income.

"The topography of our industry is being transformed and as a
result our business models need to change.  We have attracted
people in businesses who will provide immediate synergies of scale
and scope, and have been identified as key to the evolution of our
fixed income business," said Akira Maruyama, chief executive
officer of global markets at Nomura Holdings.

"This has been a very dynamic time for Nomura in Europe.  We have
acted decisively and with speed.  The people who are coming on
board are known for their world class capabilities and I am
confident they will add tremendous value to our existing
operations," said Sadeq Sayeed, Chief Executive of the acquired
businesses in Europe.

The new teams will reinforce Nomura's international strategy of
building a major presence in targeted fixed income markets and
strengthen Nomura's unique ability to harness flows of capital and
deliver Asia to the world.

The move follows the company's purchase of Lehman Brothers' Asian
operations and its European and Middle Eastern investment banking
and equities businesses.

                      About Nomura Holdings

Nomura Holdings Inc. -- http://www.nomura.com/--  is a
securities and investment banking firm in Japan and has
worldwide operations.  Nomura is a holding company.  The
services it provides include trading, underwriting, and offering
securities, asset management services, and others.  As of
March 31, 2008, it operated offices in about 30 countries and
regions, including Japan, the United States, the United Kingdom,
Singapore and Hong Kong through its subsidiaries.  The company's
customers include individuals, corporations, financial
institutions, governments and governmental agencies.  Nomura
operates in five business divisions: domestic retail, global
markets, global investment banking, global merchant banking and
asset management.   In February, 2007, Nomura acquired Instinet
Incorporated.

                      About Lehman Brothers

Lehman Brothers Holdings Inc. -- http://www.lehman.com-- is the
fourth largest investment bank in the United States.  For more
than 150 years, Lehman Brothers has been a leader in the global
financial markets by serving the financial needs of corporations,
governmental units, institutional clients and individuals
worldwide.  Through its team of more than 25,000 employees, Lehman
Brothers offers a full array of financial services in equity and
fixed income sales, trading and research, investment banking,
asset management, private investment management and private
equity.  Its worldwide headquarters in New York and regional
headquarters in London and Tokyo are complemented by a network of
offices in North America, Europe, the Middle East, Latin America
and the Asia Pacific region.  The firm, through predecessor
entities, was founded in 1850.

Lehman filed for chapter 11 bankruptcy Sept. 15, 2008 (Bankr.
S.D.N.Y. Case No. 08-13555).  Lehman's bankruptcy petition listed
US$639 billion in assets and US$613 billion in debts, effectively
making the firm's bankruptcy filing the largest in U.S. history.
The September 15 Chapter 11 filing by Lehman Brothers Holdings,
Inc., does not include any of its subsidiaries.

Subsidiary LB 745 LLC, submitted a Chapter 11 petition on
September 16 (Case No. 08-13600).

The Debtors' bankruptcy cases are handled by Judge James M. Peck.
Harvey R. Miller, Esq., Richard P. Krasnow, Esq., Lori R. Fife,
Esq., Shai Y. Waisman, Esq., and Jacqueline Marcus, Esq., at Weil,
Gotshal & Manges, LLP, in New York, represent Lehman.  Epiq
Bankruptcy Solutions serves as claims and noticing agent.

Barclays Bank Plc has agreed, subject to U.S. Court and relevant
regulatory approvals, to acquire Lehman Brothers' North American
investment banking and capital markets operations and supporting
infrastructure for US$1.75 billion.

             International Operations Collapse

Lehman Brothers International (Europe), the principal UK trading
company in the Lehman group, was placed into administration,
together with Lehman Brothers Ltd, LB Holdings PLC and LB UK RE
Holdings Ltd.  These are currently the only UK incorporated
companies in administration.  Tony Lomas, Steven Pearson, Dan
Schwarzmann and Mike Jervis, partners at PricewaterhouseCoopers
LLP, have been appointed as joint administrators to Lehman
Brothers International (Europe) on Sept. 15, 2008.  The joint
administrators have been appointed to wind down the business.

Lehman Brothers Japan Inc. and Lehman Brothers Holdings Japan Inc.
filed for bankruptcy in the Tokyo District Court on September 16.
The two units of Lehman Brothers Holdings, Inc., which has filed
for bankruptcy protection in the U.S. Bankruptcy Court for the
Southern District of New York, have combined liabilities of JPY4
trillion -- US$38 billion).  Lehman Brothers Japan Inc. reported
about JPY3.4 trillion (US$33 billion) in liabilities in its
petition.  Akio Katsuragi, a former Morgan Stanley executive, runs
Lehman's Japan units.

Lehman Brothers Asia Limited, Lehman Brothers Securities Asia
Limited and Lehman Brothers Futures Asia Limited have suspended
its operations with immediate effect, including ceasing to trade
on the Hong Kong Securities Exchange and Hong Kong Futures
Exchange, until further notice.  The Asian units' asset management
company, Lehman Brothers Asset Management Limited, will continue
to operate on a business as usual basis.  A further notice
concerning the retail structured products issued by or arranged by
any Lehman Brothers group company will be issued as soon as
possible, a press statement said.


LEHMAN: Europe & Mid-East Banking Biz Buyout to Close Oct. 13
-------------------------------------------------------------
Nomura Holdings Inc. said the conditions to closing the
acquisition of Lehman Brothers' investment banking and equities
businesses in Europe and the Middle East had been met.  The deal
will become legally effective on Oct. 13, 2008.

The transaction represents a significant step for Nomura in its
strategy to accelerate growth across international markets and
follows the company's acquisition of Lehman Brothers' Asian
franchise last week.

Nomura also announced that the vast majority of the top bankers
from the businesses acquired in Europe and the Middle East have
accepted positions with Nomura.  Lehman Brothers' equities and
investment banking businesses in Europe and the Middle East
employed around 2500 staff, of whom a significant proportion are
expected to be retained.

"This transaction, achieved in a very short period of time, is
transformational for Nomura.  We've moved with speed to bring it
to a close so that business can be resumed without delay," said
Sadeq Sayeed, Chief Executive of the acquired businesses in Europe
and the Middle East.

"By securing the support of all the staff who have agreed to join,
we have generated significant momentum in our efforts to get the
businesses up and running under the Nomura name.  We look forward
to working alongside them to build a world class business."

                      About Nomura Holdings

Nomura Holdings Inc. -- http://www.nomura.com/--  is a
securities and investment banking firm in Japan and has
worldwide operations.  Nomura is a holding company.  The
services it provides include trading, underwriting, and offering
securities, asset management services, and others.  As of
March 31, 2008, it operated offices in about 30 countries and
regions, including Japan, the United States, the United Kingdom,
Singapore and Hong Kong through its subsidiaries.  The company's
customers include individuals, corporations, financial
institutions, governments and governmental agencies.  Nomura
operates in five business divisions: domestic retail, global
markets, global investment banking, global merchant banking and
asset management.   In February, 2007, Nomura acquired Instinet
Incorporated.

                      About Lehman Brothers

Lehman Brothers Holdings Inc. -- http://www.lehman.com-- is the
fourth largest investment bank in the United States.  For more
than 150 years, Lehman Brothers has been a leader in the global
financial markets by serving the financial needs of corporations,
governmental units, institutional clients and individuals
worldwide.  Through its team of more than 25,000 employees, Lehman
Brothers offers a full array of financial services in equity and
fixed income sales, trading and research, investment banking,
asset management, private investment management and private
equity.  Its worldwide headquarters in New York and regional
headquarters in London and Tokyo are complemented by a network of
offices in North America, Europe, the Middle East, Latin America
and the Asia Pacific region.  The firm, through predecessor
entities, was founded in 1850.

Lehman filed for chapter 11 bankruptcy Sept. 15, 2008 (Bankr.
S.D.N.Y. Case No. 08-13555).  Lehman's bankruptcy petition listed
US$639 billion in assets and US$613 billion in debts, effectively
making the firm's bankruptcy filing the largest in U.S. history.
The September 15 Chapter 11 filing by Lehman Brothers Holdings,
Inc., does not include any of its subsidiaries.

Subsidiary LB 745 LLC, submitted a Chapter 11 petition on
September 16 (Case No. 08-13600).

The Debtors' bankruptcy cases are handled by Judge James M. Peck.
Harvey R. Miller, Esq., Richard P. Krasnow, Esq., Lori R. Fife,
Esq., Shai Y. Waisman, Esq., and Jacqueline Marcus, Esq., at Weil,
Gotshal & Manges, LLP, in New York, represent Lehman.  Epiq
Bankruptcy Solutions serves as claims and noticing agent.

Barclays Bank Plc has agreed, subject to U.S. Court and relevant
regulatory approvals, to acquire Lehman Brothers' North American
investment banking and capital markets operations and supporting
infrastructure for US$1.75 billion.

             International Operations Collapse

Lehman Brothers International (Europe), the principal UK trading
company in the Lehman group, was placed into administration,
together with Lehman Brothers Ltd, LB Holdings PLC and LB UK RE
Holdings Ltd.  These are currently the only UK incorporated
companies in administration.  Tony Lomas, Steven Pearson, Dan
Schwarzmann and Mike Jervis, partners at PricewaterhouseCoopers
LLP, have been appointed as joint administrators to Lehman
Brothers International (Europe) on Sept. 15, 2008.  The joint
administrators have been appointed to wind down the business.

Lehman Brothers Japan Inc. and Lehman Brothers Holdings Japan Inc.
filed for bankruptcy in the Tokyo District Court on September 16.
The two units of Lehman Brothers Holdings, Inc., which has filed
for bankruptcy protection in the U.S. Bankruptcy Court for the
Southern District of New York, have combined liabilities of JPY4
trillion -- US$38 billion).  Lehman Brothers Japan Inc. reported
about JPY3.4 trillion (US$33 billion) in liabilities in its
petition.  Akio Katsuragi, a former Morgan Stanley executive, runs
Lehman's Japan units.

Lehman Brothers Asia Limited, Lehman Brothers Securities Asia
Limited and Lehman Brothers Futures Asia Limited have suspended
its operations with immediate effect, including ceasing to trade
on the Hong Kong Securities Exchange and Hong Kong Futures
Exchange, until further notice.  The Asian units' asset management
company, Lehman Brothers Asset Management Limited, will continue
to operate on a business as usual basis.  A further notice
concerning the retail structured products issued by or arranged by
any Lehman Brothers group company will be issued as soon as
possible, a press statement said.


MARTIN FISHER: Appoints Steven Draine as Liquidator
---------------------------------------------------
Steven Draine of Moore Stephens LLP was appointed liquidator of
Martin Fisher Ltd. on Sept. 22, 2008, for the creditors' voluntary
winding-up procedure.

The company can be reached at:

         Martin Fisher Ltd.
         c/o Moore Stephens LLP
         3-5 Rickmansworth Road
         Watford
         Hertfordshire
         WD18 0GX
         England


MONEY PARTNERS 1: S&P Puts BB+\Rated Class B2 Notes on Watch Neg.
-----------------------------------------------------------------
Standard & Poor's Ratings Services has placed on CreditWatch with
negative implications its credit ratings on the class B1 and B2
notes issued by Money Partners Securities 1 PLC (MPS1), the class
M2a, M2b, B1a, B1b, B2a, and B2b notes issued by Money Partners
Securities 3 PLC (MPS3), and the class M2a, M2b, B1a, B1b, and B2
notes issued by Money Partners Securities 4 PLC (MPS4).  All other
notes in these transactions are unaffected by these CreditWatch
placements.

The CreditWatch placements follow an initial review of the most
recent transaction information that S&P received.

This analysis showed that the likelihood of downgrade has
increased for all the classes listed below.  All three
transactions saw reserve fund draws on the September payment date.
Losses have increased for all transactions, with MPS1 and MPS3
also seeing a sharp rise in loss severity.  Losses in the period
have increased to 0.35% from 0.16% for MPS1, to 0.34% from 0.25%
for MPS3, and to 0.33% from 0.22% for MPS4.  The weighted-average
loss severity has also increased for each transaction this period,
to 27.6% from 21% for MPS1, to 42.9% from 27.9% for MPS3, and to
37.1% from 36.1% for MPS4.

All three transactions are also exhibiting high delinquencies.
Total delinquencies for MPS1 are currently at 42.21%.  According
to S&P's nonconforming index report ("U.K. Nonconforming RMBS
Index Report Q2 2008 – Mortgage Market Pressures Push
Delinquencies to Record Levels"), total delinquencies at this
stage in a transaction's life have averaged about 25.89%.  Total
delinquencies for MPS3 are currently at 32.02%, compared with
25.01% for S&P's nonconforming index at the same transaction
seasoning, and total delinquencies for MPS4 are currently at
33.36%, compared with 24.34% for its index.

With house prices likely to continue falling in the coming months,
S&P expects to see higher losses in all U.K. residential mortgage-
backed securities (RMBS) transactions.  This will place pressure
on excess spread, leading to the possibility of further reserve
fund draws and a decrease in credit enhancement.

S&P will continue to monitor the performance of these transactions
using the most recent loan-level data for full credit and cash
flow analyses.  The results of S&P's analyses, together with any
effects on the ratings on any of the notes, will be released
within three months of this press release.

Money Partners Securities 2 PLC is not included in these rating
actions.  S&P is waiting on the most recent information and will
review the performance and take any action if required.

The notes, issued in August 2005, May 2006, and November 2006,
are backed by portfolios of first and second-ranking nonconforming
residential mortgages secured over owner-occupied properties in
England, Wales, and Scotland.

Ratings Placed On CreditWatch With Negative Implications:

Money Partners Securities 1 PLC

  -- EUR255 Million, GBP199.8 Million, And US$60 Million Mortgage-
     Backed Floating-Rate Notes

Class           To                  From
-----           --                  ----
  B1        BBB/Watch Neg            BBB
  B2        BB+/Watch Neg            BB+


MONEY PARTNERS 3: S&P Places Class B2a and B2b Notes on Watch Neg.
------------------------------------------------------------------
Standard & Poor's Ratings Services has placed on CreditWatch with
negative implications its credit ratings on the class B1 and B2
notes issued by Money Partners Securities 1 PLC (MPS1), the class
M2a, M2b, B1a, B1b, B2a, and B2b notes issued by Money Partners
Securities 3 PLC (MPS3), and the class M2a, M2b, B1a, B1b, and B2
notes issued by Money Partners Securities 4 PLC (MPS4).  All other
notes in these transactions are unaffected by these CreditWatch
placements.

The CreditWatch placements follow an initial review of the most
recent transaction information that S&P received.

This analysis showed that the likelihood of downgrade has
increased for all the classes listed below.  All three
transactions saw reserve fund draws on the September payment date.
Losses have increased for all transactions, with MPS1 and MPS3
also seeing a sharp rise in loss severity.  Losses in the period
have increased to 0.35% from 0.16% for MPS1, to 0.34% from 0.25%
for MPS3, and to 0.33% from 0.22% for MPS4.  The weighted-average
loss severity has also increased for each transaction this period,
to 27.6% from 21% for MPS1, to 42.9% from 27.9% for MPS3, and to
37.1% from 36.1% for MPS4.

All three transactions are also exhibiting high delinquencies.
Total delinquencies for MPS1 are currently at 42.21%.  According
to S&P's nonconforming index report ("U.K. Nonconforming RMBS
Index Report Q2 2008 – Mortgage Market Pressures Push
Delinquencies to Record Levels"), total delinquencies at this
stage in a transaction's life have averaged about 25.89%.  Total
delinquencies for MPS3 are currently at 32.02%, compared with
25.01% for S&P's nonconforming index at the same transaction
seasoning, and total delinquencies for MPS4 are currently at
33.36%, compared with 24.34% for its index.

With house prices likely to continue falling in the coming months,
S&P expects to see higher losses in all U.K. residential mortgage-
backed securities (RMBS) transactions.  This will place pressure
on excess spread, leading to the possibility of further reserve
fund draws and a decrease in credit enhancement.

S&P will continue to monitor the performance of these transactions
using the most recent loan-level data for full credit and cash
flow analyses.  The results of S&P's analyses, together with any
effects on the ratings on any of the notes, will be released
within three months of this press release.

Money Partners Securities 2 PLC is not included in these rating
actions.  S&P is waiting on the most recent information and will
review the performance and take any action if required.

The notes, issued in August 2005, May 2006, and November 2006,
are backed by portfolios of first and second-ranking nonconforming
residential mortgages secured over owner-occupied properties in
England, Wales, and Scotland.

Ratings Placed On CreditWatch With Negative Implications:

Money Partners Securities 3 PLC

  -- GBP382.95 Million, EUR298 Million, And US$50 Million
     Mortgage-Backed Floating-Rate Notes

Class           To                  From
-----           --                  ----
  M2a       A-/Watch Neg              A-
  M2b       A-/Watch Neg              A-
  B1a       BBB/Watch Neg            BBB
  B1b       BBB/Watch Neg            BBB
  B2a       BB/Watch Neg              BB
  B2b       BB/Watch Neg              BB


MONEY PARTNERS 4: S&P Puts BB-Rated Class B2 Notes on Watch Neg.
---------------------------------------------------------------
Standard & Poor's Ratings Services has placed on CreditWatch with
negative implications its credit ratings on the class B1 and B2
notes issued by Money Partners Securities 1 PLC (MPS1), the class
M2a, M2b, B1a, B1b, B2a, and B2b notes issued by Money Partners
Securities 3 PLC (MPS3), and the class M2a, M2b, B1a, B1b, and B2
notes issued by Money Partners Securities 4 PLC (MPS4).  All other
notes in these transactions are unaffected by these CreditWatch
placements.

The CreditWatch placements follow an initial review of the most
recent transaction information that S&P received.

This analysis showed that the likelihood of downgrade has
increased for all the classes listed below.  All three
transactions saw reserve fund draws on the September payment date.
Losses have increased for all transactions, with MPS1 and MPS3
also seeing a sharp rise in loss severity.  Losses in the period
have increased to 0.35% from 0.16% for MPS1, to 0.34% from 0.25%
for MPS3, and to 0.33% from 0.22% for MPS4.  The weighted-average
loss severity has also increased for each transaction this period,
to 27.6% from 21% for MPS1, to 42.9% from 27.9% for MPS3, and to
37.1% from 36.1% for MPS4.

All three transactions are also exhibiting high delinquencies.
Total delinquencies for MPS1 are currently at 42.21%.  According
to S&P's nonconforming index report ("U.K. Nonconforming RMBS
Index Report Q2 2008 – Mortgage Market Pressures Push
Delinquencies to Record Levels"), total delinquencies at this
stage in a transaction's life have averaged about 25.89%.  Total
delinquencies for MPS3 are currently at 32.02%, compared with
25.01% for S&P's nonconforming index at the same transaction
seasoning, and total delinquencies for MPS4 are currently at
33.36%, compared with 24.34% for its index.

With house prices likely to continue falling in the coming months,
S&P expects to see higher losses in all U.K. residential mortgage-
backed securities (RMBS) transactions.  This will place pressure
on excess spread, leading to the possibility of further reserve
fund draws and a decrease in credit enhancement.

S&P will continue to monitor the performance of these transactions
using the most recent loan-level data for full credit and cash
flow analyses.  The results of S&P's analyses, together with any
effects on the ratings on any of the notes, will be released
within three months of this press release.

Money Partners Securities 2 PLC is not included in these rating
actions.  S&P is waiting on the most recent information and will
review the performance and take any action if required.

The notes, issued in August 2005, May 2006, and November 2006,
are backed by portfolios of first and second-ranking nonconforming
residential mortgages secured over owner-occupied properties in
England, Wales, and Scotland.

Ratings Placed On CreditWatch With Negative Implications:

Money Partners Securities 4 PLC

  -- GBP351.75 Million And EUR388.95 Million Mortgage-Backed
     Floating-Rate Notes

Class           To                  From
-----           --                  ----
  M2a       A-/Watch Neg              A-
  M2b       A-/Watch Neg              A-
  B1a       BBB/Watch Neg            BBB
  B1b       BBB/Watch Neg            BBB
  B2        BB/Watch Neg              BB


MONO SCREEN: Calls in Liquidators from Baker Tilly
--------------------------------------------------
Susan Maund and Andrew White of Baker Tilly Restructuring and
Recovery LLP were appointed joint liquidators of Mono Screen
P.O.S. Ltd. on Sept. 23, 2008, for the creditors' voluntary
winding-up  proceeding.

The company can be reached at:

         Mono Screen P.O.S. Ltd.
         c/o Baker Tilly Restructuring and Recovery LLP
         International House
         Queens Road
         Brighton
         BN1 3XE
         England


ROSEBYS GROUP: Gets 45 Expressions of Interest; Closes 10 Outlets
-----------------------------------------------------------------
The Joint Administrators of the Rosebys group of companies
confirmed that they have received 45 expressions of interest in
the business to date and are liaising with interested parties.

However, they have closed 10 of the home textile retail chain's
outlets, making 60 people redundant.

This follows 32 redundancies that were made from head office and
merchandising positions on Tuesday.

Howard Smith, Joint Administrator and KPMG Restructuring Associate
Partner, said: "There has been significant interest in this
business though a deliverable deal has not yet proved possible.
We continue to seek offers for the whole or any part of the
business and are in discussions with a number of interested
parties.

"Closing some of the poorer performing outlets has been
unavoidable to ensure trading remains at profitable levels."

The outlets that were closed on Thursday, Oct. 2, include:
Glasgow, Sauchiehall Street, Glasgow Forge, Dunstable, Basildon,
Swindon, Brighton, Wood Green, Sutton Coldfield, Oldham and
Leicester.

The staff were made redundant on Friday, Oct. 3.

As reported in the Troubled Company Reporter-Europe, the brand
name of Rosebys has been sold to its Indian parent GHCL.

Rosebys appointed joint administrators from KPMG on Sept. 25.

Howard Smith, joint administrator at KPMG, said Rosebys
experienced difficult trading conditions, resulting to continuing
losses.  He noted the company has been unable to refinance.

                    About KPMG LLP (UK)

KPMG LLP (UK) -- http://kpmg.co.uk/-- provides professional
services including audit, tax, financial and risk advisory.  KPMG
in the UK has over 10,000 partners and staff working in 22 offices
and is part of a strong global network of members firms. As part
of KPMG Europe it has merged with its German and Swiss firms,
making it the largest integrated accounting firm in Europe.

                        About Rosebys

Based in Yorkshire, Rosebys is a textiles retailer.  The company
has an annual turnover of GBP100 million.  It employs 2,000 staff.


RUACH PLAY: Taps Liquidators from Tenon Recovery
------------------------------------------------
Nigel Ian Fox and Alexander Kinninmonth of Tenon Recovery were
appointed joint liquidators of Ruach Play Ltd. (t/a ABC Magazine
Dorset) on Sept. 22, 2008, for the creditors' voluntary winding-up
proceeding.

The company can be reached at:

        Ruach Play Ltd.
        c/o Tenon Recovery
        Highfield Court
        Tollgate
        Chandlers Ford
        Eastleigh
        Hampshire
        SO53 3TZ
        England


TARAQUE LTD: Claims Filing Period Ends Jan. 31, 2009
----------------------------------------------------
Creditors of Taraque Ltd. have until Jan. 31, 2009, to send their
full forenames and surnames, addresses and descriptions, full
particulars of their debts or claims, and the names and addresses
of their solicitors (if any), to:

         M. H. Abdulali
         Liquidator
         Moore Stephens
         6 Ridge House
         Ridgehouse Drive
         Festival Park
         Stoke on Trent
         ST1 5TL
         England


M. H. Abdulali of Moore Stephens was appointed liquidator of the
company on Sept. 23, 2008, for the creditors' voluntary winding-up
procedure.


TEN ESTATES: Appoints Liquidators from Mazars
---------------------------------------------
Alistair Steven Wood and Simon David Chandler of Mazars LLP were
appointed joint liquidators of Ten Estates & Developments Ltd. on
Sept. 19, 2008, for the creditors' voluntary winding-up
proceeding.

The company can be reached at:

         Ten Estates & Developments Ltd.
         Almswood House
         93 High Street
         Evesham
         Worcestershire
         England


TAYLOR WIMPEY: Fitch Cuts Long-Term Issuer Default Ratings to 'B'
-----------------------------------------------------------------
Fitch Ratings has downgraded Taylor Wimpey plc's Long-term Issuer
Default and senior unsecured ratings to 'B' from 'BB-' and
maintained them on Rating Watch Negative.  Its Short-term IDR at
'B' is now also on RWN.  Fitch has also assigned a Recovery Rating
of 'RR4' to TW's senior unsecured debt instruments.

The rating action follows TW's announcement that its eurobond
creditors will now be part of the covenant re-negotiation process,
in addition to bank and US private placement creditors, who have
been in negotiations with TW since August 2008.  According to the
company, the existing re-negotiation process is now likely to be
extended as a result of the inclusion of eurobond creditors.  A
resolution is now not likely until early 2009.

The ratings downgrade reflects the heightened default risk now
facing TW due to the now narrow time gap between the expected
completion of covenant re-negotiations and the next covenant test
date in February 2009.  TW has previously flagged that it may
breach covenants at this test date.  The downgrade also reflects
the likely increased complexity of negotiations now that three
different creditor groups are involved.  In itself this may reduce
the probability of a successful covenant re-negotiation.  Fitch
believes that this re-negotiation process is progressively moving
towards a work-out scenario.

The RWN status reflects the continued uncertainty regarding the
outcome of the negotiations.  Fitch will continue to monitor
developments, and should there not be a favorable resolution as
the February covenant test date approaches, the agency is likely
to downgrade TW's ratings further.  Any future downgrade could be
by more than one notch.


US ENERGY: Wants Until February 18 to Solicit Plan Acceptances
--------------------------------------------------------------
U.S. Energy Systems, Inc., and its debtor-affiliates ask the
United States Bankruptcy Court for the Southern District of New
York to further extend their exclusive period to solicit
acceptances of their Chapter 11 plan from Oct. 21, 2008, to Feb.
18, 2009.

A hearing is set for Oct. 14, 2008, at 10:00 a.m., to consider the
Debtors' motion.  Objections, if any, are due Oct. 9, 2008, at
4:00 p.m.

The Debtors' chief executive officer Richard J. Augustine said the
Debtors filed on Aug. 22, 2008, separate Chapter 11 plans for U.S.
Energy Overseas Investments LLC and GBGH LLC.  The Debtors
submitted to the Court a joint liquidating plan of reorganization
for USEO while a plan of reorganization for GBGH, Mr. Augustine
says.  According to Bloomberg News, explanatory disclosure
statements have not been filed.

Under the USEO plan, a liquidation trust will be formed and any
remaining assets -- including any proceeds from USEY's sale of
100% of the common stock of USEB and any residual ownership
interest in GBGH -- will be transferred into the trust for
liquidation and the subsequent distribution of net liquidation
proceeds to USEY equity holders.  GBGH plan includes, among other
things (i) the restructuring of GBGH's first lien debt through
issuance of a restructure first lien note, (ii) the execution of a
rights offering for the raising of at least US$10 million of new
equity in GBGH, and (iii) the issuance of new warrants convertible
into equity interests in GBGH at to be established strike prices.

The Debtors say that they do not have sufficient time to (i) make
final amendments to the Chapter 11 plans before the solicitation
process expires on Oct. 22, 2008, and (ii) obtain approval of
disclosure statements regarding the Chapter 11 plans.

                      U.K. Plant Shutdown

On Aug. 23, 2008, the Knapton Plant, a 42MW natural gas-fired
electricity generating plant in the United Kingdom, was shut down
to perform scheduled maintenance and gas flows from the plant were
as well shut down in order to preserve gas reserves.  Upon the
completion of the scheduled maintenance work five days later,
attempts to restart the gas flows from the plan failed.  Ground
water that overtook the natural gas in the plant's reservoir was
blamed for the malfunction.

As a result, the inability to obtain gas production, electricity
production at the plant has been reduced to two to four hours per
day.  This will remain the case until new wells are drilled.  The
current business plan includes the drilling of new wells in early
2009.

According to the Debtors, these operational difficulties have
changed the short-term economics of the Chapter 11 Plans and
required additional time on the part of potential equity investors
to consider amendments to the Chapter 11 Plans, which the Debtors
are in the midst of negotiating.

A full-text copy U.S. Energy and U.S. Energy Overseas' Chapter 11
plan is available for free at http://ResearchArchives.com/t/s?3162

A full-text copy of GBGH's Chapter 11 plan is available for free
at http://ResearchArchives.com/t/s?3163

                      About U.S. Energy

Based in Avon, Connecticut, U.S. Energy Systems, Inc., (Pink
Sheets: USEY) --  http://www.usenergysystems.com/-- owns green
power and clean energy and resources.  USEY owns and operates
energy projects in the United States and United Kingdom that
generate electricity, thermal energy and gas production.

The company filed for Chapter 11 protection on Jan. 9, 2008 (Bank.
S.D. N.Y. Case No. 08-10054).  Subsequently, 34 affiliates filed
separate Chapter 11 petitions.  Peter S. Partee, Esq., at
Hunton & Williams LLP, represents the Debtor in its restructuring
efforts.  Jefferies & Company, Inc., serves as the company's
financial advisor.  The Debtor selected Epiq Bankruptcy Solutions
LLC as noticing, claims and balloting agent.

The Official Committee of Unsecured Creditors has yet to be
appointed in these cases by the U.S. Trustee for Region 2.  When
the Debtors filed for protection from their creditors, they listed
total assets of US$258,200,000 and total debts of US$175,300,000.


* UNITED KINGDOM: Three Mortgage Lenders Lift Borrowing Rates
-------------------------------------------------------------
Three of Britain's mortgage lenders, HSBC, Woolwich and the
Internet and telephone bank First Direct added to the pressure on
an already weak housing market when they raised mortgage rates by
more than a quarter-point, The Guardian reported Sept. 26 2008.
The moves reflected the growing strains in wholesale markets since
the collapse of Lehman Brothers Holdings Inc.

Banks, according to the Guardian, are hoarding cash and are
reluctant to lend to each other.  Hence, the gap between the Bank
of England's official bank rate and the three-month sterling Libor
rate -- one of the keys to borrowing costs -- widened to a level
not seen since the start of the credit crunch over a year ago.
The euro and dollar Libor rates also rose sharply.

The Guardian said that the Bank of England has pegged its rate at
5% since April, but three-month sterling Libor -- what banks
charge each other to borrow -- rose to 6.27% sometime late
September.  In the five years before money markets first froze up
in August 2007, the average spread between bank rate and three-
month Libor was less than 0.2 of a point.

Libor rates, which affect tracker mortgages, have risen by about
half a percentage point, while two-year swap rates, on which
fixed-rate deals are based, have increased from 5.18% last week to
5.56%, according to the Guardian.

As cited by the Guardian, Graham Turner, of GFC Economics, said
"The fallout from the failure of Lehman Brothers continues to
leave its mark" driving Libor rates up to new levels.

Nick Parsons, head of analysis at NAB Capital, observed that "The
gap between bank rate and three-month sterling Libor is higher
than it has been at any time since before the collapse of Northern
Rock a year ago," the report said.

The Guardian wrote that HSBC said it was increasing its fixed-rate
deals for borrowers with just a 10% deposit by 0.3 of a point,
while cutting fixed-rate loans by 0.2 of a point for those putting
down a 25% deposit.  The bank added that it was reducing
arrangement fees for people borrowing 90% of their home's value
from GBP799 to GBP499, while fees for people taking out a 75% loan
would be GBP999.

The Woolwich is increasing its fixed-rate mortgage deals by up to
0.35 of a point, while tracker ones are rising by 0.05 of a point,
the Guardian continued.  The move leaves a three-year fixed rate
loan for a borrower with a 40% deposit who pays a GBP995
arrangement fee at 5.89%, while someone with a 10% deposit will
have to pay 6.99%.

First Direct increased its two-year fixed-rate loans by up to 0.3
of a point, meaning its current market-leading deal of 4.99%,
which comes with fees of GBP1,998, rises to 5.19%, the report
added.


* European IPOs in Freefall in Q3 2008, a Pwc Survey Says
---------------------------------------------------------
European IPO activity went into freefall in the July to September
quarter of 2008, buffeted by the worldwide loss of confidence in
the capital markets, according to the findings of the latest
PricewaterhouseCoopers IPO Watch Europe survey.  The survey, which
tracks the volume and value of Initial Public Offerings on
Europe's main stock exchanges, showed that in the third quarter,
the total offering value of IPOs on the European markets was
EUR1,635 million, massively down on the EUR12,624 million raised
in the third quarter of 2007.  The fall in the total offering
value was due to the decline in the number of IPOs and the average
money raised due to fewer large transactions.  The biggest IPO of
the quarter, raising EUR444 million, was that of Commercial Bank
of Qatar compared with the listing of Tognum AG, raising EUR1,800
million, which was the largest IPO in the same quarter last year.

In volume terms there were just 69 IPOs, a major decline from the
183 recorded in the same three months of 2007.  The average amount
of new money raised also dropped to EUR33 million in the third
quarter of 2008 from EUR80 million in the same quarter of 2007;
also well down from EUR82 million in the second quarter of 2008.
The volume of IPOs also fell compared with the disappointing
second quarter of 2008 which saw 133 listings.

London remained the largest market in terms of offering value,
raising EUR945 million through 19 IPOs.  The two largest IPOs of
the quarter were on the Main Market in London.  The largest was by
Commercial Bank of Qatar, raising EUR444 million, which was
followed by that of investment company Global Mena Financial
Assets Limited, which raised EUR318 million.  The third largest
IPO was by Caja de Ahorros del Mediterraneo, a Spanish-based bank,
raising EUR292 million on Spain's BME; the fourth largest was by
Germany1 Acquisitions Ltd, a Dutch investment company, which
raised EUR250 million from listing on NYSE Euronext; and the fifth
was by Resaca Exploitation Inc, an oil and gas exploitation
company headquartered in the US which raised EUR67
million on London's AIM market.

Richard Weaver, partner in Capital Markets Group,
PricewaterhouseCoopers LLP, said: "Even by the standards of what
is traditionally a very quiet period, IPO market activity over the
last three months has been highly subdued.  All European markets
have been adversely affected by the volatility in the financial
markets, with money raised representing only one sixth of that
raised in the same quarter of 2007.  Despite the global financial
crisis and overall unfavorable climate, the top five IPOs of the
quarter are dominated by banks and investment companies."

Tom Troubridge, head of Capital Markets Group,
PricewaterhouseCoopers LLP, added: "Market conditions are likely
to remain depressed until well into next year as investors remain
wary of the highly uncertain financial environment.  Many
companies that might be considering a float are remaining on the
sidelines as they await more positive signs of recovery in the
equity markets.  The earliest we are likely to see the IPO market
reopening is in the second quarter of 2009."

                    International IPOs

The European markets have continued to attract non-European
companies which represent a greater proportion of IPO activity
than in previous years.  The money raised by non-European
companies (choosing London, Luxembourg, NYSE Euronext and Oslo as
their destination) represented just over half the total raised on
the European exchanges in Q3 of 2008, compared with a little over
a fifth in the same quarter of 2007.  There were 22 IPOs by non-
European companies in the quarter raising a total of EUR944
million, a fall in both volume and value terms from the same
quarter a year ago when 24 international IPOs raised EUR2,652
million.

The Main Market in London attracted four non-European IPO's
raising a total of EUR764 million, of which the majority related
to the largest two IPOs this quarter being the Commercial Bank of
Qatar, a Global Depositary Receipts (GDR) offering worth EUR444
million, and the Kuwaiti private equity fund Global Mena Financial
Assets Limited EUR318 million.  AIM attracted eight non-European
IPOs raising EUR106 million, including Resaca Exploitation Inc, a
US-based oil and gas company which raised EUR67 million and The
Family Shariah Fund Limited, a Cayman Islands-based investment
company, which raised EUR20 million.

Luxembourg had five GDR IPOs, raising EUR69 million, all of which
were from India.  This enabled it to buck the trend somewhat as it
represented an increase in both volume and money raised compared
with the same quarter of 2007 which saw just two IPOs raising EUR9
million.

NYSE Euronext attracted four non-European IPOs including one on
each on its NYSE Euronext (previously called Eurolist) and
Alternext markets and two on its Marche Libre market.  The
Alternext listing was a Chinese utilities company which raised
EUR5 million.  The two listings on the Marche Libre market raised
less than EUR1 million in aggregate and the listing on the NYSE
Euronext did not raise any money.  Norway's Oslo Børs exchange
attracted a US telecommunications company which did not raise any
funds.

                      The European Exchanges

Three of the largest IPOs by value were hosted by London and
consequently the other markets lagged well behind London in terms
of offering value.  Activity on London's AIM market was also very
subdued compared with the same quarter in 2007; just 10 IPOs
raised EUR108 million in the third quarter while 56 IPOs in the
same three months of 2007 raised EUR2,736 million.

Spain's BME was the second largest exchange by money raised in the
third quarter of 2008, as a result of a single large IPO, that of
Caja de Ahorros del Mediterraneo, which raised EUR292 million.
BME had no IPOs in the third quarter of 2007 or in the second
quarter of 2008.

NYSE Euronext was the third largest by money raised and the
largest by volume, with 20 IPOs raising EUR260 million.  The
majority of the money raised was attributable to the IPO of a
Dutch special purpose acquisition company (an investment vehicle
set up to raise money form the public in order to acquire existing
companies), Germany1 Acquisition Ltd, which raised EUR250 million.
Otherwise the exchange followed the downward trend his quarter as
overall activity fell compared with the third quarter last year
when it saw 34 IPOs raising EUR1,969 million.

Of the other European exchanges, the Swiss exchange SWX hosted two
IPOs raising just EUR12 million, the Oslo exchanges, Børs and
Axess, together also hosted two IPOs this quarter raising EUR19
million.  The offering value on both exchanges was well down on
last year's third quarter.  The Warsaw Stock Exchange hosted 13
IPOs raising EUR14 million, again a big decline in both volume and
value compared to Q3 2007 when 31 IPOs raised EUR402 million.  The
Borsa Italiana hosted two IPOs raising EUR9m, whereas in the same
quarter of 2007 the Italian exchange saw nine IPOs raising EUR938
million.

The Deutsche Börse hosted only two IPOs on its Entry Standard
market in the second quarter of 2008, neither of which raised any
funds.  In the third quarter last year it hosted 13 IPOs raising
EUR2,319 million.  Neither Austria's Wiener Börse nor the Athens
Stock exchange had any IPO activity this quarter.

                        US Exchanges

The US exchanges also followed the trend and saw a significant
decline in IPO activity with 12 IPOs raising EUR1,210 million (44
IPOs raised EUR8,402 million in the third quarter of 2007) 73%
down in volume and 86% down in offering value.  Volume and
offering value also declined compared with the second quarter of
2008 when there were 17 IPOs raising EUR3,447 million.  The US
attracted five international IPOs raising EUR408 million,
including three from China, and one each from Korea and Singapore
in the current quarter.

                About PricewaterhouseCoopers LLP

PricewaterhouseCoopers LLP -- http://www.pwc.co.uk/-- provides
industry-focused assurance, tax and advisory services.  It has
more than 16,000 partners and staff in offices around the UK.


* Pwc Sees Market Volatility as Impetus for More Transparency
-------------------------------------------------------------
PricewaterhouseCoopers on Monday, Oct. 6, 2008, released its sixth
annual global hedge fund whitepaper which reviews and summarizes
the regulation, taxation and distribution of hedge funds around
the world.

The paper titled, "Operational Risk: an alternative challenge",
considers that investor and regulatory pressure will cause the
industry to be more transparent about its operational controls
with investors.

Graham Phillips, European hedge fund practice leader,
PricewaterhouseCoopers, said: "Market volatility will cause
investors to ask whether they have enough knowledge and comfort
over the operational risks and controls at the hedge fund manager
complex responsible for their investment.  This does not mean that
the hedge fund manager has to make public the intricacies of the
fund's investment strategies, but it does mean that the
operational control environment must be sufficiently robust to
withstand proper scrutiny."

"In last year's report, we predicted that the institutional money
flowing into the industry would act as an impetus for more
transparency and more robust control frameworks.  It has been
interesting to see the industry voluntarily producing its own best
practice standards as it has done in the UK and as is currently
being proposed in the US.

"It remains to be seen whether adherence to this self-
certification framework of standards will meet both investors' and
regulators' oversight and monitoring requirements."

"Institutional investors in particular, with their attendant
fiduciary responsibilities, will be drawing on the recently
published UK Hedge Fund Standards and the equivalent US
President's Working Group best practices, to assess and benchmark
whether there is an appropriate control framework in place and
whether this can be demonstrated.  Where institutional investors
perceive deficiencies, either in policies, procedures and
controls, or in demonstrating that a control framework exists and
operates effectively, it is logical that such investors will ask
for the deficiencies to be rectified.  In fact, we expect to see
many more requests of hedge fund managers to provide formal
Reports on Controls, in the same way as traditional asset managers
have provided to their institutional investors for many years."

Robert Mellor, UK financial services tax leader,
PricewaterhouseCoopers LLP, added: "Recent regulation, US
congressional inquiries and pressure to adopt governance
standards, have all increasingly challenged investors to consider
and understand the tax issues associated with their underlying
investment.  Funds in many territories are voluntarily adapting to
the standards of FIN48, one of the most significant developments
on the tax scene.

"Managing tax liabilities will move center stage as increasingly
fiscally-challenged tax regimes focus more and more on cross-
border capital flows.  Withholdings taxes, beneficial ownership,
substance and permanent establishment risk are all weapons in the
armory of tax-seeking fiscal authorities from the developed world
to emerging economies."

"From an investor's perspective, tax leakage at the portfolio
level will become ever more relevant as investment performance
flattens.  If you save 50 bhps by better tax management then this
can flow straight to the profit line."

               About PricewaterhouseCoopers LLP

PricewaterhouseCoopers LLP -- http://www.pwc.co.uk/-- provides
industry-focused assurance, tax and advisory services.  It has
more than 16,000 partners and staff in offices around the UK.


* Large Companies with Insolvent Balance Sheet
----------------------------------------------
                                Shareholders    Total   Working
                                    Equity      Assets   Capital
                          Ticker    (US$MM)    (US$MM)   (US$MM)
                          ------ -----------  -------   --------

AUSTRIA
-------
Libro AG                            (111)         174     (182)


BELGIUM
-------
Sabena S.A.                          (86)       2,215     (297)


CZECH REPUBLIC
--------------
Ceskomoravska Kolben &
   Danek Praha Holding               (89)         192   (2,186)
Setuza A.S.                          (55)         145   (1,120)


DENMARK
-------
Elite Shipping                       (28)         101       19

FRANCE
------
Banque Nationale
   de Paris Guyane        BNPG       (41)         352      N.A.
BSN Glasspack                       (101)       1,151      179
Charbo De France                  (3,872)       4,738   (2,868)
Euro Computer System                (110)         682      377
Grande Paroisse S.A.                (927)         629      330
Immob Hoteliere                      (67)         301      (13)
Matussiere et Forest S.A. MTF        (78)         294      (28)
Pagesjaunes GRP           PAJ     (3,023)       1,377     (311)
Pneumatiques Kleber S.A.             (34)         480      139
SDR Picardie                        (135)         413      N.A.
Soderag                               (3)         404      N.A.
Sofal S.A.                          (305)       6,619      N.A.
Spie-Batignolles                     (16)       5,281       75
Selcodis S.A.             SPVX        (9)         134      (26)
Trouvay Cauvin                        (0)         134       10
Usines Chausson                      (23)         249       35


GERMANY
-------
Alno AG                   ANO        (21)         340      (61)
Babcock Borsig            BBX      (1608)         137   (1,309)
CBB Holding AG            COB        (43)         905      N.A.
Cinemaxx AG               MXC        (38)         178      (32)
Dortmunder
   Actien-Brauerei        DABG       (13)         118      (29)
EM.TV AG                  EV4G.BE    (22)         849       15
F.A. Guenther & Son AG    GUSG       (10)         111      N.A.
Kabel Deutschland                 (1,199)       2,280     (306)
Kaufring AG               KAUG       (19)         151      (51)
Maternus Kliniken AG      MAK.F      (13)         190      (68)
Nordsee AG                            (8)         195      (31)
Primacom AG               PRC         (5)         662      (47)
Schaltbau Hold            SLT         (3)         240       14
SinnLeffers AG            WHGG        (4)         454     (145)
Spar Handels- AG          SPAG      (442)       1,433     (234)
TA Triumph-Adler          TWN        (72)         462      (53)

GREECE
------
Petzetakis-PFC            PETZP       (8)         263      (98)
Radio A.Korassidis        KORA      (101)         181     (139)
   Commercial

HUNGARY
-------
Exbus PLC                 EXBUS     (30)         118    (5,162)

ICELAND
-------
Decode Genetics Inc.      DCGN     (146)         156       48

IRELAND
-------
Elan Corp PLC             ELN      (388)       1,599       484
Waterford Wed Ut          WTFU     (145)         897       208


ITALY
-----
A.S. Roma S.p.A.          ASR        (12)         188      (49)
Binda S.p.A.              BND        (11)         129      (20)
Cirio Finanziaria S.p.A.            (422)       1,583     (396)
Gruppo Coin S.p.A.        GC        (154)         801      (50)
Compagnia Italia          ICT       (138)         527     (235)
Credito Fondiario
   e Industriale S.p.A.             (200)       4,218      N.A.
Finpart S.p.A.                      (152)         732     (322)
I Viaggi del
   Ventaglio S.p.A.       VVE        (64)         529      (88)
Lazio S.p.A.              SSL        (32)         254      (33)
Olcese S.p.A.             OLCI.MI    (13)         180      (64)
Parmalat Finanziaria
   S.p.A.                        (18,419)       4,121  (12,481)
Snia S.p.A.               SN         (12)         447       21
Technodiffusione
   Italia S.p.A.          TDIFF.PK   (90)         152      (24)


NETHERLANDS
-----------
Baan Company N.V.         BAAN        (8)         610       46
United Pan-Euro Air       UPC     (5,266)       5,180   (8,730)


NORWAY
------
Interoil Exploration      IOX         (9)         205      (11)
Petroleum-Geo Services    PGO        (32)       2,963   (5,250)


POLAND
------
Vista Altan               VAFK       (15)          174      (4)


ROMANIA
-------
Oltchim RM Valce          OLT         (7)         673     (417)
Rafo Onesti               RAF       (430)         353   (1,510)


RUSSIA
------
East Siberia Brd          VSNK       (79)         107     (278)
Omskij Kauchu             OMKA        (4)         125   (1,794)
OAO Samaraneftegas                  (332)         892  (16,942)
Vimpel Ship               SOVP       (93)         281     (420)
Zil Auto                  ZILLP     (178)         425  (10,597)


SPAIN
-----
Altos Hornos de
   Vizcaya S.A.           AHV       (116)       1,283     (278)
Santana Motor S.A.       LRSA        (46)         223       41


SWITZERLAND
-----------
Fortune Management                   (85)         348      (37)


TURKEY
------
Nergis Holding                       (24)         125       26
Yasarbank                           (948)         623      N.A.


UKRAINE
-------
Dniprooblenergo           DNON       (51)         433   (1,010)
Donetskoblenergo          DOON      (341)         573   (2,365)


UNITED KINGDOM
--------------
Abbott Mead Vickers                   (2)         168      (16)
Alldays Plc                         (120)         252     (202)
Amey Plc                  AMY        (49)         932      (47)
Atkins (WS) Plc           ATK       (150)       1,390       62
Bagleys Investment                  (247)       1,094     (126)
BCH Group Plc             BCH         (6)         188      (44)
Blenheim Group            BEH       (153)         198      (34)
Booker Plc                BKRUY      (60)       1,298       (8)
Bradstock Group           BDK         (2)         269        5
Brent Walker Group        BWL     (1,774)         867   (1,157)
British Energy Ltd                (5,823)       4,921      290
British Energy Plc        BGY     (5,823)       4,921      434
British Nuclear
   Fuels Plc                      (4,248)      40,326      977
Carlisle Group                       (12)         204       15
Compass Group             CPG       (668)       2,972     (298)
Dowson Holding            DWN        (18)         226       31
Dignity Plc               DTY         (9)         648       35
Easybroker PLC                        (1)         287       (1)
Easynet Group             ESY.L      (45)         323       38
Electrical and Music
   Industries Group       EMI     (2,266)       2,950     (296)
Evans Healthcare                     (86)         239     (144)
Global Green Tech Group             (156)         408      (18)
Imperial Chemical
   Industries Plc         ICI       (370)       8,393        2
Ladbrokes Plc             LAD       (894)       2,139     (356)
Lambert Fenchurch Group               (1)       1,827        3
Legal & Gen. Fin.                     (7)       3,576     (522)
M 2003 Plc                        (2,204)       7,205     (756)
Misys Plc                 MSY         (7)       1,123     (131)
Mytravel Group            MT.L      (380)       1,818     (488)
New Star Asset                      (418)         368       10
Next Plc                            (156)       3,224      (63)
Norbain Finance                      (10)         280      (10)
Orange Plc                ORNGF     (594)       2,902        7
Rank Group Plc                       (26)       1,209      (88)
Regus Plc                            (46)         367      (60)
Saatchi & Saatchi         SSI       (119)         705      (41)
SFI Group                 SUF       (108)         178     (162)
Skyepharma PLC            SKP       (117)         212       11
Spirit Group                         (75)         365      (56)
Telewest
   Communications Plc     TLWT    (3,702)       7,581   (5,631)
Trio Finance              TRIO       (14)         592      N.A.
Wincanton Plc             WIN        (27)       1,451      (78)


                            *********

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.


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