TCREUR_Public/081021.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 21, 2008, Vol. 9, No. 209

                            Headlines

A U S T R I A

FED LLC: Claims Registration Period Ends November 4
RENOVIERUNGSSERVICE BGG: Claims Registration Ends November 4
TAXI K.L.L.: Claims Registration Period Ends November 4


G E R M A N Y

ABIB VERWALTUNGS: Claims Registration Period Ends Oct. 27
BAUCLASSIC GMBH: Claims Registration Period Ends Oct. 26
BAU-STUDIO GMBH: Creditors' Meeting Slated for November 6
CHILEHAUS HAMBURG: Claims Registration Period Ends October 27
FRUEHTAU CREATIVE: Claims Registration Period Ends October 27

HEBA-BAU: Claims Registration Period Ends October 27
KABTRONIK GMBH: Claims Registration Period Ends October 27
LEAR CORP: S&P Cuts Corp. Credit to 'B' on Weak Sales & Cash Flow
PLANQLB GMBH: Claims Registration Period Ends October 27
RETAIL STORES: Creditors' Meeting Slated for Oct. 27

SIAM GESELLSCHAFT: Claims Registration Period Ends Oct. 24


I R E L A N D

LANDSOWNE MORTGAGE: S&P Puts Class B2 Notes BB+ Rating on WatchNeg
MAGNOLIA FINANCE: Fitch Junks Ratings on Two Classes of Notes


I T A L Y

CIRENE FINANCE: S&P Retains BB-Rated Class E Notes on Watch Neg.


K A Z A K H S T A N

DELTA OIL: Creditors Must File Claims by November 28
JEZPROM LLP: Claims Deadline Slated for November 26
KAS STROY MARKET: Claims Filing Period Ends November 26
KAZ TEPLO: Creditors' Claims Due on November 26
ROOFING PRODUCTIONS: Claims Registration Ends November 26

SEV KAZ: Creditors Must File Claims by November 28
SPRINT AKTAU: Claims Deadline Slated for November 26


K Y R G Y Z S T A N

KYRGYZ SAMOTSVETY: Creditors Must File Claims by November 14


N E T H E R L A N D S

SIRENS BV: Fitch Cuts Notes Ratings to 'B' on Neg. Price Movements


R U S S I A

ENERGOLES LLC: Creditors Must File Claims by December 3
OKA-MET LLC: Creditors Must File Claims by December 3
RENAISSANCE CAPITAL: S&P Changes Rating Outlook to Negative
RUSSIAN UNIVERSAL: Fitch Affirms Individual Rating at 'D/E'
SITRONICS JSC: Moody's Shifts Outlook on B3 CFR to Negative

STEEL-INVEST LLC: Moscow Bankruptcy Hearing Set December 2
UNIKOM LLC: Primorskiy Bankruptcy Hearing Set December 3
VOLGOGRAD-NEFTE-GAZ-STROY: Creditors Must File Claims by Dec. 3


S P A I N

FTPYME PASTOR 3: S&P Puts BB-Rated Class C Notes on Negative Watch

* SPAIN: Moody's Says Addtn'l Gov't Measures Won't Affect Ratings


S W E D E N

FORD MOTOR: John Bond & Jorma Ollila Leave Board Member Posts


S W I T Z E R L A N D

GIPSKONZEPT LLC: Creditors Must File Proofs of Claim by Oct. 31
GECKO HOLDING: Deadline to File Proofs of Claim Set Nov. 1
GENERAL MOTORS: Starts Looking for Hummer Buyer
GLASAG JSC: Creditors Have Until Nov. 1 to File Claims
HANS FREI: Proofs of Claim Filing Deadline is Nov. 1

HBS-KLIMATECHNIK JSC: Creditors' Proofs of Claim Due by Oct. 31
PLANALT CONSULTING: Nov. 1 Set as Deadline to File Claims
UBS: In Talks With Former Executives Over Compensation Payment


U K R A I N E

AZOVSTAL IRON: S&P Puts B+ Corporate Credit Rating on Watch Neg.
DTEK HOLDINGS: Fitch Puts 'B+' LT Local Currency IDR; Outlook Neg.
GISKON-TRADE: Court Names A. Finko as Insolvency Manager
INDUSTRIAL-BUILDING: Creditors Must File Claims by October 24
INTERPIPE LTD: S&P Places B+ Corp. Credit Rating on Negative Watch

KIEV-INCOME LLC: Creditors Must File Claims by October 22
OKNOPLAST-GROUP LLC: Creditors Must File Claims by October 24
NAFTOGAZ OJSC: Fitch Trims LT Foreign & Local Currency IDRs to 'B'
SPECIAL MOTOR: Creditors Must File Claims by Oct. 24
SYSTEMS AND TECHNICS: Creditors Must File Claims by October 22

TAIG LLC: Creditors Must File Claims by October 22
UKRAINIAN RECONSTRUCTION: Creditors Must File Claims by Oct. 24

* CITY OF KYIV: Fitch Trims LT IDRs to 'B+'; Keeps Neg. Outlook
* UKRAINE: Fitch Cuts IDRs to 'B+'; Keeps Negative Outlook
* UKRAINE: Fitch Cuts Foreign Currency Ratings on Two Companies


U N I T E D   K I N G D O M

AMERICAN INT'L: Sens. Want Halt on Mortgage Law Change Efforts
ALEXANDER RICHARDS: Appoints Liquidators from BDO Stoy Hayward
DEE THAIN: Joint Liquidators Take Over Operations
EXETER BLUE: Fitch Assigns 'BB' Rating on EUR8.5MM Class E Notes
GEMINI ECLIPSE: S&P Cuts Class E Notes Rating to BB; Keeps Watch

INFORMATION ASSURANCE: Brings in Liquidators from Tenon
LANDSBANKI GUERNSEY: To Pay Depositors 30 Pence in the Pound
MAKRITE LTD: M. H. Abdulali Leads Liquidation Procedure
M J L DECORATING: Taps Liquidators from Tenon Recovery
NWLCC LTD: Claims Filing Period Ends October 31

PETER MORRIS: Taps Liquidators from Vantis Business Recovery
SNOWDONIA SECURITIES: S&P Removes Watch on BB-Rated Class D Notes
THEATR GWYNEDD: Goes Into Liquidation
TYKE SHOPFITTERS: Hires Liquidators from Mazars
US ENERGY: Has Until December 5 to Solicit Acceptances of Plan

WINDERMERE VIII: S&P Lowers Rating on Class E Notes to B-/WatchNeg
XL LEISURE: AADB Launches Probe Into BDO's Conduct as Auditors

* Large Companies with Insolvent Balance Sheet


                         *********


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


FED LLC: Claims Registration Period Ends November 4
---------------------------------------------------
Creditors owed money by LLC FED have until Nov. 4, 2008, to file
written proofs of claim to the court-appointed estate
administrator:

         Dr. Bernhard Huber
         Schillerstraße 12
         4020 Linz
         Austria
         Tel: 65 69 69
         Fax: 65 69 69 60
         E-mail: b.huber@hep.co.at

Creditors and other interested parties are encouraged to attend
the creditors' meeting at 9:00 a.m. on Nov. 18, 2008, for the
examination of claims at:

         The Land Court of Linz
         Hall 522
         Linz
         Austria

Headquartered in Linz, Austria, the Debtor declared bankruptcy on
Sept. 17, 2008, (Bankr. Case No. 17 S 37/08b).


RENOVIERUNGSSERVICE BGG: Claims Registration Ends November 4
------------------------------------------------------------
Creditors owed money by LLC Renovierungsservice BGG have until
Nov. 4, 2008, to file written proofs of claim to the court-
appointed estate administrator:

         Mag. Martin Honemann
         Oelzeltgasse 4
         1030 Vienna
         Austria
         Tel: 713 61 92
         Fax: 713 61 92 22
         E-mail: martin.honemann@kosesnik-langer.at

Creditors and other interested parties are encouraged to attend
the creditors' meeting at 10:20 a.m. on Nov. 18, 2008, for the
examination of claims at:

         The Trade Court of Vienna
         Room 1607
         Vienna
         Austria

Headquartered in Vienna, Austria, the Debtor declared bankruptcy
on Sept. 16, 2008, (Bankr. Case No. 28 S 118/08v).


TAXI K.L.L.: Claims Registration Period Ends November 4
-------------------------------------------------------
Creditors owed money by LLC Taxi K.L.L. have until Nov. 4, 2008,
to file written proofs of claim to the court-appointed estate
administrator:

          Mag. Stefan Jahns
         Gonzagagasse 15
         1010 Vienna
         Austria
         Tel: 532 17 11
         Fax: 532 17 11 11
         E-mail: kanzlei@jahns.co.at

Creditors and other interested parties are encouraged to attend
the creditors' meeting at 10:30 a.m. on Nov. 18, 2008, for the
examination of claims at:

         The Trade Court of Vienna
         Room 1607
         Vienna
         Austria

Headquartered in Vienna, Austria, the Debtor declared bankruptcy
on Sept. 17, 2008, (Bankr. Case No. 28 S 120/08p).


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


ABIB VERWALTUNGS: Claims Registration Period Ends Oct. 27
---------------------------------------------------------
Creditors of ABIB Verwaltungs und Anlagenbau GmbH have until
Oct. 27, 2008, to register their claims with court-appointed
insolvency manager Dr. Eike Edo Happe.

Creditors and other interested parties are encouraged to attend
the meeting at 9:00 a.m. on Dec. 8, 2008, at which time the
insolvency manager will present his first report on the insolvency
proceedings.

The meeting of creditors will be held at:

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

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

The insolvency manager can be reached at:

         Dr. Eike Edo Happe
         Stresemannallee 30
         60596 Frankfurt am Main
         Germany
         Tel: 069/74 74 898-0
         Fax: 069/74 74 898-10
         Web site: www.rae-eckert.de

The District Court of Frankfurt (Main) opened bankruptcy
proceedings against ABIB Verwaltungs und Anlagenbau GmbH on
July 29, 2008.  Consequently, all pending proceedings against the
company have been automatically stayed.

The Debtor can be reached at:

         ABIB Verwaltungs und Anlagenbau GmbH
         Attn: Gottfried Mattar, Manager
         Darmstadter Landstr. 50
         60594 Frankfurt am Main
         Germany


BAUCLASSIC GMBH: Claims Registration Period Ends Oct. 26
--------------------------------------------------------
Creditors of BauClassic GmbH have until Oct. 26, 2008, to register
their claims with court-appointed insolvency manager Daniel Bauch.

Creditors and other interested parties are encouraged to attend
the meeting at 9:00 a.m. on Nov. 13, 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 Landshut
         Meeting Hall 8/I
         Maximilianstrasse 22-24
         Landshut
         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:

         Daniel Bauch
         Steinmetzstrasse 10
         85435 Erding
         Germany
         Tel: 08122/22960-83
         Fax: 08122/22960-84

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

The Debtor can be reached at:

         BauClassic GmbH
         Ismaninger Str. 5 a
         85452 Moosinning
         Germany


BAU-STUDIO GMBH: Creditors' Meeting Slated for November 6
---------------------------------------------------------
The court-appointed insolvency manager for Bau-Studio GmbH, Haro
Helms will present his first report on the Company's insolvency
proceedings at a creditors' meeting at 10:15 a.m. on Nov. 6, 2008.

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

         The District Court of Bremen
         Hall 115
         Ostertorstr. 25-31
         28195 Bremen
         Germany

The Court will also verify the claims set out in the insolvency
manager's report at 10:15 a.m. on Dec. 11, 2008, at the same
venue.

Creditors have until Oct. 28, 2008, to register their claims with
the court-appointed insolvency manager.

The insolvency manager can be reached at:

         Haro Helms
         Schillerstr. 10
         28195 Bremen
         Germany
         Tel: 0421/337790
         Fax: 0421/3377933
         E-mail: helms@dr-stankewitz.de
         Website: www.dr-stankewitz.de

The District Court of Bremen opened bankruptcy proceedings against
Bau-Studio GmbH on Sept. 1, 2008.  Consequently, all pending
proceedings against the company have been automatically stayed.

The Debtor can be reached at:

         Bau-Studio GmbH
         Lilienthaler Heerstr. 63
         28357 Bremen
         Germany


CHILEHAUS HAMBURG: Claims Registration Period Ends October 27
-------------------------------------------------------------
Creditors of Chilehaus Hamburg GmbH have until Oct. 27, 2008, to
register their claims with court-appointed insolvency manager
Stefan Denkhaus.

Creditors and other interested parties are encouraged to attend
the meeting at 9:00 a.m. on Nov. 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 Hamburg
         Hall B 405
         Fourth Floor Annex
         Civil Justice Bldg.
         Sievkingplatz 1
         20355 Hamburg
         Germany

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

The insolvency manager can be reached at:

         Stefan Denkhaus
         Jungfernstieg 30
         20354 Hamburg
         Germany

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

The Debtor can be reached at:

         Chilehaus Hamburg GmbH
         Fischertwiete 2
         20095 Hamburg
         Germany


FRUEHTAU CREATIVE: Claims Registration Period Ends October 27
-------------------------------------------------------------
Creditors of Fruehtau Creative Communications GmbH have until
Oct. 27, 2008, to register their claims with court-appointed
insolvency manager Knut Thomas Hofheinz.

Creditors and other interested parties are encouraged to attend
the meeting at 9:15 a.m. on Dec. 2, 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 Hannover
         Hall 226
         Second Upper Floor
         Service Bldg.
         Hamburger Allee 26
         30161 Hannover
         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:

         Knut Thomas Hofheinz
         Am Markte 13
         30159 Hannover
         Germany
         Tel: 0511 3577210
         Fax: 0511 35772140

The District Court of Hannover opened bankruptcy proceedings
against Fruehtau Creative Communications GmbH on Sept. 1, 2008.
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be reached at:

         Fruehtau Creative Communications GmbH
         Schiffgraben 11
         30159 Hannover
         Germany


HEBA-BAU: Claims Registration Period Ends October 27
----------------------------------------------------
Creditors of Heba-Bau GmbH have until Oct. 27, 2008, to register
their claims with court-appointed insolvency manager Tobias
Hoefer.

Creditors and other interested parties are encouraged to attend
the meeting at 10:30 a.m. on Nov. 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 Darmstadt
         Hall 4.312
         Fourth Floor
         Building D
         Mathildenplatz 15
         64283 Darmstadt
         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:

         Tobias Hoefer
         Soldnerstr. 2
         68219 Mannheim
         Germany
         Tel: 0621-87708-0
         Fax: 0621-8770820

The District Court of Darmstadt opened bankruptcy proceedings
against Heba-Bau GmbH on Sept. 30, 2008.  Consequently, all
pending proceedings against the company have been automatically
stayed.

The Debtor can be reached at:

         Heba-Bau GmbH
         Edisonstrasse 2
         68519 Viernheim
         Germany


KABTRONIK GMBH: Claims Registration Period Ends October 27
----------------------------------------------------------
Creditors of Kabtronik GmbH have until Oct. 27, 2008, to register
their claims with court-appointed insolvency manager Stephan
Haspel.

Creditors and other interested parties are encouraged to attend
the meeting at 9:30 a.m. on Nov. 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 Landau in der Pfalz
         Hall 223
         Marienring 13
         76829 Landau in der Pfalz
         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:

         Stephan Haspel
         Xylanderstr. 3
         76829 Landau in der Pfalz
         Germany
         Tel: 06341-51020
         Fax: 06341-510229

The District Court of Landau in der Pfalz opened bankruptcy
proceedings against Kabtronik GmbH on Sept. 1, 2008.
Consequently, all pending proceedings against the company have
been automatically stayed.

The Debtor can be reached at:

         Kabtronik GmbH
         Attn:  Borislav Borissov
         Josef-Probst-Str. 9
         76726 Germersheim
         Germany


LEAR CORP: S&P Cuts Corp. Credit to 'B' on Weak Sales & Cash Flow
-----------------------------------------------------------------
Standard & Poor's Ratings Services lowered its ratings on Lear
Corp., including the corporate credit rating, to 'B' from 'B+',
reflecting the prospects for Lear's sales and cash flow to be
weaker than S&P expected in 2009, resulting in credit measures
that are inconsistent with the previous rating.  For the current
rating, S&P now expect adjusted debt to EBITDA to exceed 4.0x but
be less than 5.0x.  At the same time, S&P also lowered the issue-
level rating on Lear's US$1 billion senior secured term loan
facility (US$988 million outstanding) to 'BB-' from 'BB' and
lowered the issue-level rating on Lear's senior unsecured notes to
'B-' from 'B'.  The outlook is negative.

"Falling auto demand in North America and Europe and ongoing
adverse shifts in product mix toward smaller passenger cars in the
U.S. are the main reasons for the downgrade," said Standard &
Poor's credit analyst Lawrence Orlowski.  "We now expect U.S.
light-vehicle sales to be 13 million units in 2009, and light-
vehicle sales in Europe are continuing to weaken.  S&P believes
the weak economy will extend well into 2009 and suppress purchases
of big-ticket items such as autos, so S&P do not expect production
for many of Lear's key SUV and full-size pickup truck platforms to
rebound in the near term," he continued.

Lear recently reduced its 2008 guidance for sales and core
operating earnings by 7% and 20%, respectively.

Lear has a highly leveraged financial risk profile, combined with
a weak business risk position that is dominated by the intense
competitive pressures of the global auto supply industry.  Lear
has a solid market position in the global auto seating supply
sector (79% of revenues) and is a player in the
electrical/electronics auto supply market.

Although Lear has strong positions in the auto seating market and
good growth prospects outside North America, continuing challenges
come from customer concentration.  Its two largest customers, Ford
Motor Co. and General Motors Corp. (excluding the Saab, Volvo,
Jaguar, and Land Rover units), represented about 42% of global
sales in 2007.  Moreover, the prices of raw materials such as
steel, copper, and oil remain volatile, and unexpected price
increases could reduce margins as well.

S&P expects Lear to have sufficient liquidity to meet its cash
obligations during the next year.  Cash balances were US$624
million as of June 28, 2008, and there are no material debt
maturities until 2012. The bulk of Lear's cash needs are in the
U.S., where its free cash flow is weakest and the bulk of its debt
resides.  Still, Lear can move cash balances between certain
countries via intercompany notes and tax-related strategies.

The outlook is negative.  S&P expects the operating environment
for auto suppliers to remain difficult in 2009, and Lear's
leverage and heavy dependence on the U.S. auto manufacturers make
the company especially vulnerable to negative industry
developments.  For the current rating, S&P expects the company's
adjusted debt to EBITDA to stay below 5.0x and funds from
operations to debt to exceed 10%.  To reach the upper end or
higher of our expected debt-to-EBITDA measure, Lear's EBITDA would
have to drop an estimated 40% from the level of the 12 months
ended June 28, 2008, and S&P could lower the rating if such a
scenario seemed likely.

A revision in S&P's outlook to stable in the near term is unlikely
because market conditions will likely continue to deteriorate,
preventing an improvement in credit measures.


PLANQLB GMBH: Claims Registration Period Ends October 27
--------------------------------------------------------
Creditors of PlanQLB GmbH have until Oct. 27, 2008, to register
their claims with court-appointed insolvency manager Karina
Schwarz.

Creditors and other interested parties are encouraged to attend
the meeting at 10:15 a.m. on Nov. 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 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:

         Karina Schwarz
         Klausenerstr. 24
         39112 Magdeburg
         Germany
         Tel: 0391/6286260
         Fax: 0391/6286266
         E-mail: magdeburg@Rechtsanwaelte-Schwarz.de

The District Court of Magdeburg opened bankruptcy proceedings
against PlanQLB GmbH on Sept. 25, 2008.  Consequently, all pending
proceedings against the company have been automatically stayed.

The Debtor can be reached at:

         PlanQLB GmbH
         Halberstadter Strasse 59
         06484 Quedlinburg
         Germany


RETAIL STORES: Creditors' Meeting Slated for Oct. 27
----------------------------------------------------
The court-appointed insolvency manager for RSC Retail Stores
Company Verwaltungs GmbH, Dr. jur. A. Koehler will present his
first report on the Company's insolvency proceedings at a
creditors' meeting at 8:32 a.m. on Oct. 27, 2008.

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

         The District Court of Montabaur
         Hall 106
         First Stock
         Bahnhofstrasse 47
         56410 Montabaur
         Germany
The Court will also verify the claims set out in the insolvency
manager's report at 8:34 a.m. on Dec. 8, 2008, at the same venue.

Creditors have until Nov. 8, 2008, to register their claims with
the court-appointed insolvency manager.

The insolvency manager can be reached at:

         Dr. jur. A. Koehler
         Wilhelmstrasse 42
         65582 Diez
         Germany
         Tel: 06432-64580
         Fax: 06432-645820
         E-mail: verwaltung@koehler-insolvenz.de

The District Court of Montabaur opened bankruptcy proceedings
against RSC Retail Stores Company Verwaltungs GmbH on Aug. 28,
2008.  Consequently, all pending proceedings against the company
have been automatically stayed.

The Debtor can be reached at:

         RSC Retail Stores Company Verwaltungs GmbH
         Attn: Heiner Schafer and Gernot Wiedekind, Managers
         Marktstrasse 20
         65623 Hahnstatten
         Germany


SIAM GESELLSCHAFT: Claims Registration Period Ends Oct. 24
----------------------------------------------------------
Creditors of SIAM Gesellschaft fuer Sicherheitstechnik und
Arbeitsmedizin GmbH have until Oct. 24, 2008, to register their
claims with court-appointed insolvency manager Stephan Ruedlin.

Creditors and other interested parties are encouraged to attend
the meeting at 9:00 a.m. on Dec. 8, 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 Mannheim
         Hall 232
         Second Floor
         Schloss
         68149 Mannheim
         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:

         Stephan Ruedlin
         Friedrichsplatz 15
         68165 Mannheim
         Germany
         Tel: 0621/49098160
         Web site: http://www.kuebler-gbr.de/

The District Court of Mannheim opened bankruptcy proceedings
against SIAM Gesellschaft fuer Sicherheitstechnik und
Arbeitsmedizin GmbH on Sept. 12, 2008.  Consequently, all pending
proceedings against the company have been automatically stayed.

The Debtor can be reached at:

         SIAM Gesellschaft fuer Sicherheitstechnik und
         Arbeitsmedizin GmbH
         Attn: Dr. Karl-Albrecht Reinecke, Manager
         Casterfeldstr. 93
         68199 Mannheim
         Germany


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I R E L A N D
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LANDSOWNE MORTGAGE: S&P Puts Class B2 Notes BB+ Rating on WatchNeg
------------------------------------------------------------------
Standard & Poor's Ratings Services has raised and removed from
CreditWatch with positive implications its credit rating on the
class M1 notes issued by Lansdowne Mortgage Securities No. 1 PLC
(LMS 1).  At the same time, S&P placed on CreditWatch negative its
ratings on the class B1 and B2 notes, while affirming the ratings
on the other classes of notes in this deal.

The rating actions follow a full credit and cash flow analysis of
the most recent loan-level information, particularly taking into
account the current and expected performance of the transaction in
the near term.  The CreditWatch negative placements follow
deterioration in the portfolio quality and the decline in house
prices currently being experienced in Ireland.

Despite experiencing only small losses (0.02%), the rise in 180+
day delinquencies is a cause for concern.  As of the September
2008 investor report, delinquencies in this category rose to
12.56%.  Properties in repossession are currently at 0.64%.

De-leverage of the issuance has, however, had a positive effect
for the class M1 notes, leading the notes to be able to sustain a
higher rating at the 'AA+' level.

S&P will conduct new credit and cash flow runs to resolve the
CreditWatch placements, particularly factoring in any further
portfolio deterioration and movements in house prices.  The
results, together with any effects on the ratings on any of the
notes, will be released in due course.

S&P will also conduct a credit and cash flow review of Lansdowne
Mortgage Securities No. 2 PLC and release the results in due
course.

Lansdowne Mortgage Securities No. 1 PLC:

  -- EUR370 Million Mortgage-Backed Fixed And Floating-Rate Notes

Rating Raised And Removed From CreditWatch Positive:

Class        To             From
-----        --             ----
  M1          AA+        AA/Watch Pos

Ratings Placed On CreditWatch Negative:

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

Ratings Affirmed:

A2           AAA
X            AAA
M2           A+


MAGNOLIA FINANCE: Fitch Junks Ratings on Two Classes of Notes
-------------------------------------------------------------
Fitch Ratings has downgraded Magnolia Finance VI Plc Series 2007-
13, 2007-14, (Cargo III) notes as listed below.  The transactions
are commodities-linked credit obligations referencing 18 diverse
commodities through a portfolio of 100 long and 100 short trigger
swaps with a one-and-a-half-year tenor.

  -- EUR2.54 million Series 2007-13 C1.a notes due January 2009 to
     'CCC' from 'A';

  -- US$3.17 million Series 2007-14 C1.a notes due January 2009 to
     'CCC' from 'A'.

The downgrades follow negative price movements in some reference
commodities since the closing of the transaction.  In particular,
several base metals have seen their prices decline.  Firstly, the
prices of nickel and zinc have fallen to approximately 36% and
43%, respectively, of its closing level.  Nickel underlies 9 long
trigger swaps with trigger levels starting at 46% to 38% of the
closing price.  Its current price is below those triggers.  Zinc
underlies 15 long trigger swaps with trigger levels between 50%
and 36% of the closing price.  Its current price is below eight of
those triggers.

Secondly, lead has dropped in value to approximately 58% of its
closing level, increasing the risk of breaching further long
triggers on this commodity.  Finally, with only three months
remaining until maturity and prices much nearer to the trigger
levels across many reference commodities, the original protection
against the 14 trigger breaches is insufficient for the previous
ratings.

At closing, the issuer entered into commodities-linked trigger
swaps with the swap counterparty, Credit Suisse International
(CSI, 'AA-'/Outlook Stable/'F1+'), based on the provisions of the
2005 ISDA commodity definitions.  Each trigger swap references a
specific percentage of the closing price level of a single
commodity as specified in the documentation.  The trigger swap
portfolio comprises (i) 100 European-style trigger swaps which the
issuer sold protection to CSI (the long portfolio) and (ii) 100
European-style trigger swaps which the issuer bought protection
from CSI.

Interest on the notes is derived from swap payments made by CSI
under the agreement of the portfolio commodities swap.  Investors
are exposed to the risk of large negative price movements on the
reference commodities.  This risk has been analyzed under the
Fitch Rating Criteria for Commodities-Linked Credit Obligations
dated September 25, 2007.

The ratings address the payment of timely interest and ultimate
repayment of principal by final maturity, according to the
transaction documentation.


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


CIRENE FINANCE: S&P Retains BB-Rated Class E Notes on Watch Neg.
----------------------------------------------------------------
Standard & Poor's Ratings Services has kept its credit ratings on
the notes issued by Cirene Finance S.r.l. on CreditWatch with
negative implications as uncertainty remains regarding the
transaction's Lehman-related swap.

S&P placed the ratings on CreditWatch negative on Sept. 16
following the insolvency of Lehman Brothers Holdings Inc. and
related entities.

The transaction has been confidentially rated since it closed in
2006.  The S&P made the ratings public at the request of the
arranger.

Cirene features a fixed-to-floating rate swap agreement with
Lehman Brothers International (Europe), where Lehman Brothers
Holdings Inc. acts as guarantor.  The CreditWatch placements
reflect the uncertainty surrounding the substitution of the swap
counterparty following Lehman's insolvency, as well as the
liquidation of about EUR9 million of collections invested over the
current collection period in money market funds managed by Lehman
Brothers Liquidity Funds PLC.

Resolution of the CreditWatch negative actions will depend on the
actions by the trustee to replace Lehman as the swap counterparty,
as well as how Lehman Brothers Liquidity Funds will be able to
liquidate its funds.

As far as the actual collection performance is concerned,
cumulative recoveries have been higher than those factored into
S&P's closing cash flow model, at every rating scenario.

The structure of the underlying portfolio has not changed
significantly since closing.  As it matures, the portfolio
continues to be skewed towards relatively recent defaults.  The
distribution by borrower type of the residual open gross book
value (GBV) is broadly in line with that S&P expected at closing.
Finally, in terms of geographical concentration, the open GBV does
not differ significantly from the closing portfolio.

The open GBV as of the latest interest payment date was about
EUR168 million.  Since closing, EUR36.2 million (representing 58%
of the total collections from the transfer date) has been
collected.  The remaining recoveries are related to partial
collections.  By using the average recovery rate recorded on fully
closed positions (72.56%) to extrapolate the GBV connected to
partial collections, the open GBV would be about EUR133 million.

Cirene Finance S.r.l.

  -- EUR79.50 Million Mortgage-Backed Floating-Rate Notes And
     EUR21.93 Million Deferrable-Interest Notes

Ratings Remain On CreditWatch Negative:

Class              Rating
-----              ------
   A            AAA/Watch Neg
   B             AA/Watch Neg
   C              A/Watch Neg
   D            BBB/Watch Neg
   E             BB/Watch Neg

Cirene is a transaction backed by a portfolio of secured and
unsecured nonperforming loans originated by Banca Monte dei Paschi
di Siena SpA.  The outstanding portfolio largely comprises
positions secured by first-ranking mortgages on residential and
commercial/industrial properties.  About 20% of the open gross
book value represents unsecured claims connected to secured
positions included in the portfolio.  The servicer of the
transaction is MPS Gestione Crediti Banca SpA.


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


DELTA OIL: Creditors Must File Claims by November 28
----------------------------------------------------
LLP Delta Oil Consulting & Engineering has declared  liquidation.
Creditors have until Nov. 28, 2008, to submit written proofs of
claims to:

         LLP Delta Oil Consulting & Engineering
         Mahambet Str. 114a-49
         Atyrau
         Kazakhstan
         Tel: 8 701 530 42-02


JEZPROM LLP: Claims Deadline Slated for November 26
---------------------------------------------------
The Specialized Inter-Regional Economic Court of Karaganda has
declared LLP Jezprom insolvent.

Creditors have until Nov. 26, 2008, to submit written proofs of
claims to:

         The Specialized Inter-Regional
         Economic Court of Karaganda
         Jambyl Str. 9
         Karaganda
         Kazakhstan


KAS STROY MARKET: Claims Filing Period Ends November 26
-------------------------------------------------------
LLP Kas Stroy Market has declared liquidation.  Creditors have
until Nov. 26, 2008, to submit written proofs of claims to:

         LLP Kas Stroy Market
         Abai Str. 3-16
         Atyrau
         Kazakhstan
         Tel: 8 (71222) 32-46-45


KAZ TEPLO: Creditors' Claims Due on November 26
-----------------------------------------------
LLP Kaz Teplo Energo Montage has declared liquidation.  Creditors
have until Nov. 26, 2008, to submit written proofs of claims to:

         LLP Kaz Teplo Energo Montage
         Micro District Orbita-1, 10-65
         Karaganda
         Kazakhstan


ROOFING PRODUCTIONS: Claims Registration Ends November 26
---------------------------------------------------------
LLP Roofing Productions Ltd. has declared liquidation.  Creditors
have until Nov. 26, 2008, to submit written proofs of claims to:

         LLP Roofing Productions Ltd.
         Micro District 15, 42-2
         Aktau
         Mangistau
         Kazakhstan


SEV KAZ: Creditors Must File Claims by November 28
--------------------------------------------------
LLP Sev Kaz Energo Service has declared liquidation.  Creditors
have until Nov. 28, 2008, to submit written proofs of claims to:

         LLP Sev Kaz Energo Service
         Zavodskaya Str. 43/1
         Asa
         Jambyl
         Kazakhstan


SPRINT AKTAU: Claims Deadline Slated for November 26
----------------------------------------------------
LLP Sprint Aktau has declared liquidation.  Creditors have until
Nov. 26, 2008, to submit written proofs of claims to:

         LLP Sprint Aktau
         Room 116
         Micro District 8, 39a
         Aktau
         Mangistau
         Kazakhstan
         Tel: 8 (7292) 47-03-04


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


KYRGYZ SAMOTSVETY: Creditors Must File Claims by November 14
------------------------------------------------------------
LLC Firm Kyrgyz Samotsvety has shut down.  Creditors have until
Nov. 14, 2008, to submit written proofs of claim to:

         LLC Firm Kyrgyz Samotsvety
         Baitik Baatyr Str. 126
         Bishkek
         Kyrgyzstan


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


SIRENS BV: Fitch Cuts Notes Ratings to 'B' on Neg. Price Movements
------------------------------------------------------------------
Fitch Ratings has downgraded SIRENS B.V Series 2007-2, (Cargo II)
notes as listed below.  The transactions are commodities-linked
credit obligations referencing 17 diverse commodities through a
portfolio of 100 long and 100 short trigger swaps.

  -- US$70 million class A1.a due 2010 to 'CCC' from 'A-;

  -- AU$9 million class B1.a due 2012 to 'B' from 'AAA';

  -- US$10 million class B1.b due 2012 to 'B' from 'AAA';

  -- US$70 million class B1.c due 2012 to 'B' Outlook Negative
     from 'AA-';

  -- EUR25 million class B1.d due 2012 to 'B' Outlook Negative
     from 'A+' (singe A plus) ;

  -- EUR6.8 million class B1.e due 2012 to 'B' Outlook Negative
     from 'A+' (singe A plus).

The downgrades follow negative price movements in some reference
commodities since the closing of the transaction.  In particular,
several base metals have seen their prices decline.  Firstly,
depending of each class, the price of nickel has fallen to a level
between approximately 25%-29% of its closing level.  Nickel
underlies 15 long trigger swaps with trigger levels starting at
30% to 16% of the closing price.  The current price of nickel is
below two to six of those triggers.  Secondly, zinc and lead have
dropped in value to approximately 43% and 80%, respectively,
increasing the risk of breaching further long triggers on those
commodities.

Finally, with two to three years remaining maturity and prices
much nearer to the trigger levels across many reference
commodities, the original protection for class A1 and class B1
against the 10 and 15 trigger breaches, respectively, is
insufficient for the previous ratings.

At closing, the issuer entered into commodities-linked trigger
swaps with the swap counterparty, Credit Suisse International
(CSI, 'AA-'/Outlook Stable/'F1+'), based on the provisions of the
2005 ISDA commodity definitions.  Each trigger swap references a
specific percentage of the closing price level of a single
commodity as specified in the documentation.  The trigger swap
portfolio comprises (i) 100 European-style trigger swaps which the
issuer sold protection to CSI (the long portfolio) and (ii) 100
European-style trigger swaps which the issuer bought protection
from CSI (the short portfolio).

Interest on the notes is derived from swap payments made by CSI
under the agreement of the portfolio commodities swap.  Investors
are exposed to the risk of large negative price movements on the
reference commodities.  This risk has been analyzed under the
Fitch Rating Criteria for Commodities-Linked Credit Obligations
dated 25 September 2007.

The ratings address the payment of timely interest and ultimate
repayment of principal by final maturity, according to the
transaction documentation.


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


ENERGOLES LLC: Creditors Must File Claims by December 3
-------------------------------------------------------
Creditors of LLC Energoles (Forestry) have until Dec. 3, 2008, to
submit proofs of claims to:

         I. Zhiganshin
         Insolvency Manager
         Office 124
         Chapygina Str. 6P
         197376 St. Petersburg
         Russia

The Arbitration Court of St. Petersburg commenced bankruptcy
proceedings against the company after finding it insolvent.  The
case is docketed under Case No. A56–19047/2008.

The Court is located at:

         The Arbitration Court of St. Petersburg
         Hall 113
         Suvorovskiy Pr. 50/52
         St. Petersburg
         Russia


OKA-MET LLC: Creditors Must File Claims by December 3
-----------------------------------------------------
Creditors of LLC Oka-Met (Waste and Nonferrous Scrap Processing)
(TIN 7727101237) have until Dec. 3, 2008, to submit proofs of
claims to:

         A. Oksamitny
         Insolvency Manager
         Office 100
         Building 2
         Stolovuy Pereulok
         121069 Moscow
         Russia

The Arbitration Court of Moscow commenced bankruptcy proceedings
against the company after finding it insolvent.  The case is
docketed under Case No. A40-2596/08-38-5B.

The Court is located at:

         The Arbitration Court of Moscow
         Building 1
         Novaya Basmannaya Str.13/2
         107078 Moscow
         Russia

The Debtor can be reached at:

         LLC Oka-Met
         Konstantinova Str. 16
         129278 Moscow
         Russia


RENAISSANCE CAPITAL: S&P Changes Rating Outlook to Negative
-----------------------------------------------------------
Standard & Poor's Ratings Services has revised the outlook on its
long-term counterparty rating on Russia-based Commercial Bank
Renaissance Capital (CBRC) to negative from stable.  At the same
time, the 'B-' long-term and 'C' short-term counterparty credit
ratings were affirmed.  The Russia national scale rating was
lowered to 'ruBBB-' from 'ruBBB'.

"The outlook revision reflects our growing concerns about the
impact on CBRC of the difficult operating environment in Russia,
which is, in particular, placing pressure on banks' liquidity and
asset quality," said S&P's credit analyst Elena Romanova.

Given CBRC's short-term refinancing needs and focus on generically
risky consumer finance, the bank is likely to become more
vulnerable to the increasingly volatile climate and may become
more reliant on group support.  In addition, there is a
possibility of a lower level of group support due to the
increasing level of macroeconomic stress.  Such funding and
operational support, though not factored into the rating, has been
a crucial factor in the bank's business sustainability in recent
years.

The ratings reflect the bank's weak funding base, high reliance on
funding support from shareholders, weak internal capital-
generating capacity, and heavy reliance on shareholder capital
injections.  They take into account CBRC's short track record of
generating positive profits, increasing credit risks, and much
tighter funding possibilities.  Positive rating factors include
financial and operational support from shareholders, progress in
building market share, and adequate capitalization.

The ratings reflect CBRC's stand-alone creditworthiness and do not
contain additional notches for shareholder support.  CBRC is
ultimately indirectly controlled by the shareholders of
Renaissance Holding Management Ltd. (not rated).

The negative outlook reflects the potential negative impact of the
currently difficult operating environment and macroeconomic
factors on CBRC's financial performance, in particular, weaker
asset quality and profitability.


RUSSIAN UNIVERSAL: Fitch Affirms Individual Rating at 'D/E'
-----------------------------------------------------------
Fitch Ratings has revised the Outlook of Russian Universal Bank to
Negative from Stable and affirmed its ratings.

The Negative Outlook reflects Fitch's concerns over the weakened
liquidity position of the bank.  Liquid assets have contracted to
a small 11% of total assets, based on management accounts of 14
October, from 44% at end-2007.  While these still provide
relatively healthy coverage (22%) of customer funding in
aggregate, Fitch notes that the latter is highly dependent on one
client, which accounts for 47% of the total; almost half of this
customer's funds are on current account.

Fitch has received assurances from the bank's management that the
balances of this customer should not contract significantly in the
next few months; however, the tighter liquidity position and
greater vulnerability to customer outflows warrant a Negative
Outlook, in the agency's view.  Overall, customer accounts (almost
all from corporate clients) are the main source of funds for the
bank (98% of total liabilities), are highly concentrated and have
been volatile in amount.

The ratings also reflect the very small size of the bank and its
limited franchise, as well as risks associated with high
concentrations in the loan book.  However, they also consider
Rusuniversal's sound profitability, good asset quality, moderate
risk appetite outside the core defense sector to which the bank
lends and strong capitalization.

The ratings could be downgraded if the liquidity position comes
under further pressure.  The Outlook could revert to Stable,
however, if the bank manages to strengthen its liquidity position
and funding profile.

Rusuniversal is a small-sized Russian bank and has been operating
since 1996 as a captive bank, primarily serving defense sector
corporates.  The bank is owned by the bank's top management and
managers of some of its corporate customers.

Rating actions:
  -- Long-term IDR: affirmed at 'B-'; Outlook revised to Negative
     from Stable

  -- Short-term IDR: affirmed at 'B'

  -- Individual: affirmed at 'D/E'

  -- Support: affirmed at '5'

  -- National Long-term: affirmed at 'BB-(rus)'; Outlook revised
     to Negative from Stable

  -- Support Rating Floor: affirmed at 'No Floor'.


SITRONICS JSC: Moody's Shifts Outlook on B3 CFR to Negative
-----------------------------------------------------------
Moody's Investors Service changed the outlook on the B3 corporate
family rating of Sitronics JSC, a 64.4% owned subsidiary of
Sistema JSFC (Ba3 on Review for Downgrade) to negative from
stable.  The change in the outlook has been prompted by placement
of its parent Sistema's ratings on review for downgrade.

The action reflects Moody's assessment that Sitronics' standalone
business profile is further weakening in the face of challenging
economic conditions, coupled with the company's exposure to the
highly competitive and capital-intensive technology sector.  In
addition to the potential refinancing and liquidity challenges in
the short to medium term, Moody's expects the company's cash flow
to be impacted by higher financing costs.  Moody's also notes that
the contemplated reduction in capital investment in the coming
months may potentially undermine the company's business model
relying on technological advancement.

The change in outlook also reflects some concern over the
weakening broader operating environment of some of Sistema's - its
lead shareholder- operations where Moody's is undertaking a review
given that a degree of support and interdependence exists between
Sistema and its various holdings and operations such as Sitronics.

The B3 rating incorporates Moody's expectation that Sistema will
continue to provide financial, operational and managerial support
to Sitronics and take actions to reengineer its business model and
capital structure for better competitive fit in the technological
environment.

Downgrade of Sitronics's ratings could occur if (1) Business and
liquidity profile were to continue to weaken and/or (2) Moody's
assessment of Sistema's willingness and capacity to provide
support were to change.

Headquartered in Moscow, Sitronics JSC, is a diversified group of
vertically integrated technology companies with operations in
Russia and the CIS region, and a presence in Eastern Europe, the
Middle East and Africa (EEMEA).  The company reported US$1.620
billion in revenue and US$101.1 million in negative operating
income before depreciation and amortization (OIBDA) on a
consolidated basis in 2007 (US$70.8 negative OIBDA adjusted for
management stock options), and US$926.8 million in revenue, US$46
million in OIBDA and US$0.1million in operating cash flow in 1H
2008.  Sitronics comprises three core business divisions, namely
Telecommunications Solutions, IT Solutions and Microelectronic
Solutions.


STEEL-INVEST LLC: Moscow Bankruptcy Hearing Set December 2
----------------------------------------------------------
The Arbitration Court of Moscow will convene at 10:00 a.m. on
Dec. 2, 2008, to hear bankruptcy supervision procedure on LLC
Steel-Invest.  The case is docketed under Case No. A40–30792/
08–36-82B .

The Temporary Insolvency Manager is:

         Yu. Rudenko
         Ilyinka Str. 5/2
         109012 Moscow
         Russia

The Court is located at:

         The Arbitration Court of Moscow
         Building 1
         Novaya Basmannaya Str.13/2
         107078 Moscow
         Russia

The Debtor can be reached at:

         LLC Steel-Invest
         Building 1/58
         Partiynuy Pereulok 1
         115093 Moscow
         Russia


UNIKOM LLC: Primorskiy Bankruptcy Hearing Set December 3
--------------------------------------------------------
The Arbitration Court of Primorskiy will convene on Dec. 3, 2008
to hear external management bankruptcy procedure on LLC
Unikom.  The case is docketed  under Case No. A51-15759/
2006 11-350/16.

The External Insolvency Manager is:

         V.Skovyra
         Apt. 77
         Nerchinskaya Str. 46
         690106 Vladivostok
         Russia

The Debtor can be reached at:

         LLC Unikom
         Prospect 50 let Oktyabrya 298
         692443 Dalnegorsk
         Russia


VOLGOGRAD-NEFTE-GAZ-STROY: Creditors Must File Claims by Dec. 3
---------------------------------------------------------------
Creditors of LLC Volgograd-Nefte-Gaz-Stroy Car Fleet have until
Dec. 3, 2008, to submit proofs of claims to:

         Ye. Slushkin
         Insolvency Manager
         Post User Box 1034
         400105 Volgograd
         Russia

The Arbitration Court of Volgogradskaya commenced bankruptcy
proceedings against the company after finding it insolvent.  The
case is docketed under Case No. A12-4680/08-S64 .

The Debtor can be reached at:

         LLC Volgograd-Nefte-Gaz-Stroy Car Fleet
         Proezd Neftyanikov 2
         400075 Volgograd
         Russia


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


FTPYME PASTOR 3: S&P Puts BB-Rated Class C Notes on Negative Watch
------------------------------------------------------------------
Standard & Poor's Ratings Services has placed on CreditWatch with
negative implications its credit ratings on the junior notes
issued by EdT FTPYME PASTOR 3, FONDO DE TITULIZACION DE ACTIVOS;
GC FTPYME PASTOR 4 Fondo de Titulizacion de Activos, and TDA,
Empresas Pastor 5, Fondo de Titulizacion de Activos.  All the
other ratings in these transactions are unaffected.

The CreditWatch placements follow an initial analysis of the
performance of these deals.  Current collateral performance has
highlighted factors that have increased the possibility of
negative rating actions for the junior classes.

The deals are backed by portfolios of loans to Spanish small-to-
midsize enterprises (SMEs) originated by Banco Pastor, S.A.  Banca
Pastor is also bank account provider and swap counterparty for
these transactions.  The CreditWatch placements are not, however,
related to the recent downgrade of Banco Pastor on Oct. 3, 2008.
S&P will, though, monitor the impact of Banco Pastor's downgrade
on these notes.

EdT FTPYME PASTOR 3 closed in December 2005.  At the end of August
2008, loans in arrears greater than 90 days were 5.99% of the
outstanding balance of the pool.  The current credit support
provided by the cash reserve to the junior class C notes is 8.93%
of the outstanding balance of the notes.

The transaction has accumulated only 0.14% of defaults over the
original balance of the notes and it was able to generate enough
cash flow to provide note amortization for these amounts by
applying an artificial write-off mechanism.  However, since the
beginning of this year S&P notes a steeper increase of arrears and
it believes that a continuation of this growth rate and a
sufficient rollover into default may cause credit support levels
to be insufficient to maintain current ratings.

Beyond that, the pool shows other concerning factors, such as the
high concentration of top 10 borrowers that count for 17.11% of
the total pool and the significant weight of loans granted to the
real estate sector, amounting to 48.35% of the pool.

GC FTPYME PASTOR 4 closed in November 2006.  By the end of
September 2008, loans in arrears greater than 90 days were 4.98%
(of which 1.63% are loans in arrears for 90 days exactly) of the
outstanding pool balance.  The lower classes receive credit
support from the cash reserve amounting to 3.59% of the
outstanding note balance.  If a relevant amount of the delinquent
loans roll over into default, the credit support levels may be
insufficient to maintain current ratings.  Indeed, recently
delinquent loans over 90 days increased substantially and S&P is
concerned that the continuation of this trend into defaults could
put pressure on the structure.

TDA, Empresas Pastor 5 closed in December 2007.  In August 2008,
loans in arrears greater than 90 days were 1.52% of the
outstanding pool balance and the cash reserve's credit support is
4.04% of the outstanding note balance.  S&P notes that the
delinquency rate at this early stage is higher than the level
registered by similar funds after the same number of periods since
their closing dates.  So, despite the low seasoning of the
transaction it believes that under the current scenario the rating
on the junior class C notes could be pressurized by the high
delinquency rate.

S&P will conduct a deeper analysis of these trends and the general
impact of the current Spanish economic environment, and will
update and run its credit and cash flow analyses.  This will allow
us to ascertain whether credit enhancement levels for the classes
on CreditWatch are sufficient to support the ratings at any new
modeled default level.

Ratings Placed On CreditWatch Negative:

EdT FTPYME PASTOR 3, FONDO DE TITULIZACION DE ACTIVOS

  -- EUR520 Million Floating-Rate Notes

Class         To              From
-----         --              ----
   C       BB/Watch Neg         BB

GC FTPYME PASTOR 4 Fondo de Titulizacion de Activos

  -- EUR630 Million Asset-Backed Floating-Rate Notes

Class         To              From
----------------------------------
   C       A/Watch Neg           A
   D       BBB/Watch Neg        BBB
   E       BB/Watch Neg         BB

TDA, Empresas Pastor 5, Fondo de Titulizacion de Activos

  -- EUR550 Million Asset-Backed Floating-Rate Notes And EUR18.7
     Million Floating-Rate Notes

Class         To              From
-----         --              ----
   C       BB/Watch Neg         BB


* SPAIN: Moody's Says Addtn'l Gov't Measures Won't Affect Ratings
-----------------------------------------------------------------
Moody's Investors Service commented on the new additional set of
measures to support the Spanish financial system announced by the
Spanish Government this week, in accordance with the coordinated
Eurozone plan communicated on October 12.  This new agreement
follows Spain's announcement last week of the creation of a EUR30
billion - EUR50 billion emergency fund to provide liquidity to the
financial system and the increase to EUR100,000 of the bank
deposit guarantee to be provided by the Deposit Guarantee Fund
(Fondo de Garantia de Depositos).

Moody's understands that the new measures detailed in the Royal
Decree Law 7/2008 October 13 comprise these elements:

   -- The approval of up to EUR100 billion worth of state
      guarantees for new financing made since October 14,
      2008, by credit entities based in Spain. The Royal
      Decree specifies that the funding instruments that
      will be covered are commercial paper and bonds traded
      in the official secondary markets in Spain, but also
      mentions the possibility of extending the guarantee
      to other instruments such as interbank deposits.
      The maximum maturity of the above-mentioned
      instruments is limited to five years and the granting
      of state guarantees will be finalized on December 31,
      2009.

   -- The authorization, on an exceptional basis and until
      December 31, 2009, for the Ministry of Economy and
      Finance to acquire instruments issued by credit
      institutions based in Spain in order to strengthen
      these institutions' equity.  The instruments mentioned
      by the Decree Law include preferred shares and
      participation certificates.

On the same day of the publication of the above-mentioned Royal
Decree Law, the Spanish government also published a Royal-Decree
Law 6/2008 October 10, which sheds more light on the functioning
of the EUR30 billion - EUR50 billion emergency fund announced last
week.  Additionally, this Royal Decree Law states that the
"healthy assets" bought by the emergency fund will be at market
prices, and defines as "healthy assets" those financial
instruments that are issued by credit entities and securitization
funds and are backed by loans granted to individuals, corporates
and non-financial entities.  In its introduction, the Royal Decree
Law specifies that assets acquired by the fund should be domestic
and that the fund will favor the acquisition of assets backed by
loans granted after October 7, 2008, in order to ensure lending
activity to individuals and corporates.

"In line with Moody's previous commentary issued on October 9,
2008, the rating agency views these proposals as positive in the
current environment and believes they will help to restore
confidence in the financial system.  However, Moody's also
confirms that it does not anticipate wholesale rating changes for
rated banks as these already benefit from external support to
varying degrees," explains Maria Cabanyes, Senior Vice President
in Moody's Financial Institutions Group.  In this context, rating
actions (positive or negative) will continue to be influenced by
the underlying credit and franchise fundamentals in line with
Moody's established bank rating methodology, and will anticipate
franchise strength following the scaling-back of these support
programs once the financial crisis abates.

Moreover, Moody's notes that, although the proposed government
measures should help to ease the pressure on current liquidity
constrains, Spanish banks are also experiencing a very rapid
deterioration in asset quality driven (i) by their exposure to the
real estate and construction sectors, which are undergoing a more
pronounced and rapid correction than initially anticipated; and
(ii) by an increasing decline in households' debt-servicing
capacity as a result of both rising interest rates, growing
unemployment, in some instances, aggressive growth strategies.
Although Spanish banks display a relatively high risk-absorption
capacity as a result of excess provisioning, Moody's notes that
excess coverage is nevertheless rapidly declining and the
fundamental credit trends in the system remain negative -- and
these factors underpin the likelihood of further downward rating
adjustments.

The exception will be bank obligations for which a clear
substitution of risk will be made by the government for that of
the bank, as in the case of explicit guarantees.  In such cases,
Moody's is anticipated to de-link the risk assessment from the
bank and apply the appropriate government rating to the specific
obligations, upon detailed review of the guarantee terms.

                       Moody's Perspective

Last week, Moody's published a Special Comment, entitled
"Assessing the Rating Implications for Banks of the Current Market
Turmoil and Governmental Interventions to Support Their Banking
Systems", which explains how Moody's manages bank ratings
following the provision of governmental support.

                      Banking System Outlook

The outlook for the Spanish banking system as a whole is negative,
reflecting Moody's expectations of the fundamental credit
conditions in the Spanish banking system over the next 12 to 18
months.

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

FORD MOTOR: John Bond & Jorma Ollila Leave Board Member Posts
-------------------------------------------------------------
Matthew Dolan at The Wall Street Journal reports that Sir John R.
H. Bond and Jorma Ollila resigned as Ford Motor Co. board members
on Friday.

Messrs. Bond and Ollila have significant responsibilities within
their own companies in Europe and each has recently added new
responsibilities in advising governmental entities during these
difficult economic times.  Messrs. Bond and Ollila told the Board
of Directors that they couldn't devote the additional time and
international travel that would be required of them as the company
responds to the unprecedented external environment and rapidly
changing auto industry.

In addition to his board duties, Mr. Bond served as a member of
the Finance Committee of the Ford Motor board and served as a
consultant and senior advisor to the Executive Chairman, William
Clay Ford, Jr.  Mr. Bond's formal paid consultancy arrangement
with the company also terminates on Oct. 17, 2008, although Mr.
Bond may continue to act as an advisor to Mr. Ford on an informal,
unpaid basis.  Mr. Ollila served as a member of the Audit
Committee and the Nominating and Governance Committee of the
board.

According to WSJ, Messrs. Bond and Ollila won't be immediately
replaced and the board will now have 11 members.

The resignations had nothing to do with any disagreement over the
management or direction of the the company, and were not related
to the Don Leclair's retirement as chief financial officer, WSJ
relates, citing a Ford Motor spokesperson Mark Truby.  The report
quoted Mr. Truby as saying, "Ford's board remains very strong,
independent and experienced.  Our board members are fully engaged
in directing the company at this important time."

                   About Ford Motor Co.

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

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

                         *     *     *

As reported in the Troubled Company Reporter on Oct. 10, 2008,
Fitch Ratings downgraded the Issuer Default Rating of Ford Motor
Company and Ford Motor Credit Company by one notch to 'CCC' from
'B-'.

As reported in the Trouble Company Reporter on Oct. 17, 2008,
Standard & Poor's Ratings Services placed the CCC ratings on nine
Ford Motor Co.-related transactions on CreditWatch with negative
implications.


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


GIPSKONZEPT LLC: Creditors Must File Proofs of Claim by Oct. 31
---------------------------------------------------------------
Creditors owed money by LLC Gipskonzept are requested to file
their proofs of claim by Oct. 31, 2008, to:

         Rosenfeldweg 32
         9000 St. Gallen
         Switzerland

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


GECKO HOLDING: Deadline to File Proofs of Claim Set Nov. 1
----------------------------------------------------------
Creditors owed money by LLC Gecko Holding are requested to file
their proofs of claim by Nov. 1, 2008, to:

         JSC Grivo
         Bahnhofstrasse 94
         8001 Zurich
         Switzerland

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


GENERAL MOTORS: Starts Looking for Hummer Buyer
-----------------------------------------------
John D. Stoll and Jeff Bennett at The Wall Street Journal report
that General Motors Corp. has started formal talks with potential
buyers for its Hummer sport-utility-vehicle division.

GM has begun sending out a sale prospectus for Hummer, WSJ says,
citing a Hummer spokesperson.  According to the report, Hummer's
CEO Jim Taylor will lead the negotiations with interested parties.

WSJ relates that the Hummer sale would bring some cash to GM,
which is losing money, partly due to its continual restructuring
effort in North America.  Analysts say that GM could run short of
cash within 12 months.  GM is considering acquiring Chrysler.  The
report states that the Hummer and Chrysler deals are part of an
initiative for GM to avoid a potential liquidity crunch in 2009.

According to WSJ, GM started selling Hummer in June, when GM's
board of directors launched a strategic review of the brand as
demend for SUVs collapsed.  WSJ relates that Hummer sales dropped
as high gasoline prices and a rocky U.S. economy pressured
consumers.  The report says that GM, at first, said that it was
open to some options for Hummer, including an overhaul of its line
of models.  In recent months, some Hummer dealers had to stop
operations due to a 47% drop in the brand's sales in 2007, the
report states.  Edmunds.com says that dealers sold fewer than 10
Hummers per month and offered US$9,251 in sales incentives per
vehicle sold.

                    About General Motors

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

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


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


GLASAG JSC: Creditors Have Until Nov. 1 to File Claims
------------------------------------------------------
Creditors owed money by JSC Glasag are requested to file their
proofs of claim by Nov. 1, 2008, to:

         Freiburgstrasse 49
         2503 Biel/Bienne
         Switzerland

The company is currently undergoing liquidation in Biel/Bienne.
The decision about liquidation was accepted at an extraordinary
shareholders' meeting held on Aug. 11, 2008.


HANS FREI: Proofs of Claim Filing Deadline is Nov. 1
----------------------------------------------------
Creditors owed money by JSC Hans Frei, Holzhandel are requested to
file their proofs of claim by Nov. 1, 2008, to:

         Stockenmattstrasse 52
         2552 Orpund
         Switzerland

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


HBS-KLIMATECHNIK JSC: Creditors' Proofs of Claim Due by Oct. 31
---------------------------------------------------------------
Creditors owed money by JSC HBS-Klimatechnik are requested to file
their proofs of claim by Oct. 31, 2008, to:

         JSC Trevisca
         Zugerstrasse 74
         6340 Baar
         Switzerland

The company is currently undergoing liquidation in Baar.  The
decision about liquidation was accepted at an extraordinary
shareholders' meeting held on Nov. 13, 2007.


PLANALT CONSULTING: Nov. 1 Set as Deadline to File Claims
---------------------------------------------------------
Creditors owed money by LLC Planalt Consulting are requested to
file their proofs of claim by Nov. 1, 2008, to:

         Christian Alt
         Beatengasse 5
         4123 Allschwil
         Switzerland

The company is currently undergoing liquidation in Allschwil.  The
decision about liquidation was accepted at an extraordinary
shareholders' meeting held on July 24, 2008.


UBS: In Talks With Former Executives Over Compensation Payment
--------------------------------------------------------------
UBS AG is in talks with former executives about paying back some
compensation after the Swiss government stepped in to assume
US$600 billion in toxic assets from the bank, Katharina Bart at
Dow Jones reports, citing a spokesman for the bank.   The
statement comes amid criticism over big salaries for bankers.

The talks, according to the spokesman, were mainly "morally and
ethically based," although he refused to reveal who the bank is
talking with, the report says.

UBS, the report relates, pledged to trim management compensation
as part of the Swiss government intervention.  However no specific
limits were set, the report notes.

UBS spokesman Christoph Meier disclosed the bank's new chairman
Peter Kurer didn't earn a bonus in 2007 and  will not this year
either in addition to his two million Swiss francs base salary,
the report states.

Meanwhile, the interim finance minister late Friday said she was
"unsettled" to hear UBS isn't ruling out paying double-digit
million bonuses, the report adds.

As reported in the TCR-Europe on Oct. 17, 2008, the Swiss National
Bank and UBS unveiled a comprehensive solution to materially de-
risk and reduce UBS' balance sheet.

          Up to US$60 Billion in Assets to
           be Transferred to New entity,
          Fully Owned and Controlled by SNB

Based on an agreement with the SNB, UBS will transfer up to
US$60 billion of assets to a newly created fund entity.  UBS will
capitalize the fund with equity of up to US$6 billion.

The SNB will finance the fund with a loan of up to US$54 billion,
secured on the assets of the fund.  At the time it grants the
loan, the SNB will take over control and ownership of the entity
by purchasing the equity for a nominal price of
US$1.  The loan will be non-recourse to UBS, assuming no change of
control of UBS and will be priced at LIBOR plus 250 basis points.
It will mature in eight years, but the maturity may be extended to
10 or 12 years.

The US$6 billion equity will absorb any potential realized losses
up to this amount.

The purpose of the fund is to ensure an orderly financing and
liquidation of securities that are currently illiquid as well as
other assets from UBS' balance sheet over the long-term.

The assets transferred into the fund include around US$31 billion
(as per valuation at September 30, 2008) of primarily cash
securities, previously disclosed in these categories:

    * US sub-prime

    * US Alt-A

    * US prime

    * US commercial real estate and mortgage-backed securities

    * US student loan auction rate certificates and other
      securities backed by student loans

    * US reference-linked note program (RLN) (1)

At completion of the transaction, UBS' net exposure in these risk
categories will be reduced to nearly zero (compared to
US$44.2 billion on June 30, 2008), with residual long positions
held by UBS in these asset classes hedged through existing short
positions, including credit protection embedded in the RLN
programs.

UBS will also transfer additional, mainly non-US debt instruments
with a total net value of US$18 billion to the fund  -- a wide
range of securities backed by a variety of asset classes.  The
inclusion of these positions follows UBS' decision to downsize its
securitization business and provides a better diversification of
the fund's portfolio.

The transfer of the US$49 billion of assets will take place over
the coming months, during fourth quarter 2008 or first quarter
2009, but will be priced at valuations as of September 30, 2008.
These prices will be verified by independent third parties and
potential differences will be recorded in the bank's income
statement.

UBS will have the right to transfer up to an additional
US$9 billion of assets into the fund at a later stage.  These
include up to US$5 billion of student loan auction rate securities
the bank may buy back from clients as part of the recent
settlements and up to US$3.5 billion of positions which may become
unhedged in the event of commutation of the credit protection
contracts with one or more monoline insurers.

UBS will act as the investment manager of the fund, overseen by a
board controlled by the SNB.  The oversight board will approve
specified matters including certain major transactions and changes
in investment guidelines.  It will also be empowered to change the
investment manager.

As part of this transaction, UBS has been granted the option to
buy back the equity of the entity, once the loan is fully repaid,
by paying the SNB US$1 billion plus 50% of the amount by which the
equity value at the time of exercise exceeds that amount.  Any
remaining equity up to US$1 billion will go to the SNB and UBS
will participate in 50% of the equity value exceeding US$1
billion.  The option will be carried on UBS' balance sheet at its
fair value.

If -- over the life of the transaction -- the fund equity declines
in value, the SNB will be able to participate in some manner in
the appreciation of the UBS share price.  The arrangement will be
based on no more than 100 million UBS shares and will be further
defined early next year.

The transaction will result in a significant reduction in UBS'
risk-weighted assets and its balance sheet total.  The impact of
the transaction and related capital measures will be shown in the
fourth quarter results separately from the operating performance.
On a preliminary basis, UBS estimates that the transaction will
result in a charge against earnings of approximately CHF4 billion.
These impacts would produce a year-end Tier 1 ratio of
approximately 11.5%, before any other fourth quarter effects.

                 UBS to Raise CHF6 Billion
               of New Capital to Fund Entity

UBS will raise CHF6 billion of new capital in the form of
mandatory convertible notes (MCN).  This will allow the bank to
retain a strong Tier 1 capital ratio, even after providing the
equity to the newly established entity.  The MCN has been fully
placed with the Swiss Confederation.  The Swiss Confederation
reserves the right to reduce part or all of its investment by
transferring the MCN to third party investors.

The MCN issue is subject to approval by UBS shareholders who will
vote on the creation of the required conditional capital
underlying the MCN at an extraordinary general meeting (EGM) to be
held in late November 2008.  The MCN will count as Tier 1 capital
for BIS capital adequacy purposes following EGM approval.
Issuance of the MCN is expected to take place five business days
after the EGM.

The MCN will pay a coupon of 12.5% until conversion into UBS
registered shares, which must take place no later than 30 months
after issuance.

The MCN will have a minimum conversion price corresponding to the
reference price and a maximum conversion price set at 117% of the
reference price.

The reference price of the MCN will be determined as the lower of:

    * the volume-weighted average price (VWAP) of UBS shares on
      SWX Europe on the trading day preceding this announcement
     (CHF20.24 on 15 October 2008), and

    * the average of the daily VWAP on each of the three trading
      days ending on the day before the EGM.

However, in no case will the reference price be less than
CHF18.21, or 90% of the VWAP of October 15, 2008.

Upon conversion of the MCN, the Swiss Confederation will hold
approximately 9.3% of UBS's share capital, on the basis of
currently outstanding shares and assuming conversion of the
mandatory convertible notes issued in March 2008.

                          About UBS AG

Based in Zurich, Switzerland, UBS AG -- http://www.ubs.com/--
is a global provider of financial services for wealthy clients.
UBS's financial businesses are organized on a worldwide basis
into three Business Groups and the Corporate Center.  Global
Wealth Management & Business Banking consists of three segments:
Wealth Management International & Switzerland, Wealth Management
US and Business Banking Switzerland.  The Business Groups
Investment Bank and Global Asset Management constitute one
segment each.  The Industrial Holdings segment holds all
industrial operations controlled by the Group.  Global Asset
Management provides investment products and services to
institutional investors and wholesale intermediaries around the
globe.  The Investment Bank operates globally as a client-driven
investment banking and securities firm.  The Industrial Holdings
segment comprises the non-financial businesses of UBS, including
the private equity business, which primarily invests UBS and
third-party funds in unlisted companies.

                         *     *     *

As reported in the Troubled Company Reporter-Europe on July 8,
2008, Moody's Investors Service downgraded to B- from B the
financial strength rating (BFSR) of UBS AG.  The rating outlook is
stable.

For second quarter of 2008, UBS reported a Group net loss
attributable to shareholders of CHF358 million.

As reported in the Troubled Company Reporter-Europe on Oct. 6,
2008, UBS said it will reposition its Investment Bank following a
detailed review of the strategy by the Chairman and CEO of the
Investment Bank, Jerker Johansson, members of the Group
Executive Committee and the UBS Board of Directors.  According to
UBS, the Investment Bank will re-prioritize its business portfolio
to preserve its core strengths and client franchises across
Equities, IBD and FICC, while downsizing or exiting certain
business activities.  The Investment Bank will reduce net
headcount by an additional 2,000, bringing staffing levels to
approximately 17,000 by year-end, a reduction of around 6,000
since the peak in third quarter 2007.  Reductions will be
predominantly targeted to businesses being exited or downsized in
order to protect and sustain core client franchises.


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


AZOVSTAL IRON: S&P Puts B+ Corporate Credit Rating on Watch Neg.
----------------------------------------------------------------
Standard & Poor's Ratings Services has placed its 'B+' long-term
corporate credit rating on Ukrainian steel producer JSC Azovstal
Iron and Steel Works on CreditWatch with negative implications,
following the similar action on Ukraine (foreign currency B+/Watch
Neg/B, local currency BB-/Watch Neg/B, Ukraine national scale
uaAA/Watch Neg/--).  S&P also placed the 'B' long-term rating on
the company's senior unsecured debt on CreditWatch negative.  The
recovery rating is unchanged at '5', indicating S&P's expectation
of modest (10%-30%) recovery for senior noteholders in the event
of a payment default.

"The CreditWatch placement reflects our concerns over the impact
that the deteriorating economic situation in Ukraine and
difficulties in the country's financial sector may have on
Azovstal's credit quality, and notably on its liquidity and
ability to refinance debt" said S&P's credit analyst Andrey
Nikolaev.

Azovstal's already-weak liquidity, which reflects that of parent
company Metinvest B.V., may further deteriorate as the company's
access to financing weakens.  Although the share of domestic sales
in Azovstal's revenue is less than 30%, the company is exposed to
Ukraine's country risks, because it depends on local railways,
ports, and electricity grids, and to some extent, Ukraine's
banking system.  S&P is also concerned about the rapidly
deteriorating conditions in the steel market, which have already
led to a decrease in the steel output of several Ukrainian
producers and have cut demand in the domestic market and in some
of the key export markets, for example, the Middle East.

The ratings continue to reflect Azovstal's stand-alone credit
quality as well expected ongoing and extraordinary support from
its financially stronger parent company Metinvest B.V., which
controls 97% of Azovstal's shares.

The rating is also constrained by the company's position as a
commodity player in a cyclical industry and its aged asset base
that requires large capital expenditures.

These risks are tempered by Azovstal's high share of exports (more
than 70% of sales), access to low-cost resources in Ukraine, and
vertical integration in iron ore, coke, and scrap at the parent
level.

S&P will resolve the CreditWatch listing following the resolution
of that on Ukraine -- likely in the next several weeks.  S&P will
need to analyze to what extent the deteriorating economic
situation in Ukraine and financial-sector difficulties in Ukraine
and globally will affect Azovstal's credit quality, which is
mostly export oriented, but depends on the country's
infrastructure and to some extent on its financial system, as well
as the willingness of international lenders vis-a-vis Ukrainian
borrowers.  Finally, S&P will also need to review the developments
in Azovstal's liquidity position.

"We believe that the rating on Azovstal is unlikely to end up
higher than the eventual foreign currency sovereign rating," said
Mr. Nikolaev.


DTEK HOLDINGS: Fitch Puts 'B+' LT Local Currency IDR; Outlook Neg.
------------------------------------------------------------------
Fitch Ratings has revised the Outlook on DTEK Holdings Limited's
Long-term foreign currency Issuer Default rating of 'B+' to
Negative from Positive.  This rating is now constrained by
Ukraine's Negative sovereign outlook.

Fitch has also assigned DTEK a Long-term local currency IDR of
'B+' with a Positive Outlook.  DTEK's foreign currency Short-term
IDR is affirmed at 'B'.  The company's National Long-term rating
is affirmed at 'AA-(ukr)' on a Positive Outlook, and the National
Senior Unsecured rating for the company's UAH500m bond due 2011 is
affirmed at 'AA-(ukr)'.

The Negative Outlook for DTEK's Long-term foreign currency IDR
follows the sovereign downgrade of Ukraine's Long-term foreign
currency IDR to 'B+' from 'BB-', on concerns that the risk of a
financial crisis in Ukraine involving a substantial depreciation
of the currency is significant and rising.  Ukraine's Outlook
remains Negative.

DTEK's Long-term foreign currency IDR Negative Outlook reflects
its significant exposure to exchange rate risk, as the majority of
its debt is denominated in US$, while the company has marginal
foreign currency revenue.  The company does not have a currency
hedging program although it has stated that it has sufficient
foreign currency in off-shore accounts to repay a US$100 million
loan facility due next week.  The company's next significant USD-
denominated maturity is in June 2009.  In the intervening months
current financial market volatility in the Ukraine could subside,
especially if an IMF support program, currently being negotiated,
is successful in supporting the hryvnia.

Fitch has assigned a Long-term local currency IDR of 'B+' with a
Positive Outlook to reflect the strength of the company's business
profile within the context of the Ukrainian economy and its
ability to meet local currency obligations.  As a power generator,
DTEK supplies an essentially commodity and is the best performing
power company in Ukraine.  It is also fully vertically integrated
and supplies its power plants from the company's own coal mines.


GISKON-TRADE: Court Names A. Finko as Insolvency Manager
--------------------------------------------------------
The Economic Court of Donetsk appointed A. Finko as Insolvency
Manager for Industrial Enterprise Giskon-Trade (code EDRPOU
34423866).  He can be reached at:

         A. Finko
         Ovrazhnaya Str. 29
         Donetsk
         Ukraine

The Court commenced bankruptcy proceedings against the company
after finding it insolvent on Sept. 9, 2008.  The case is docketed
as 42/106B.

The Court is located at:

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

The Debtor can be reached at:

         Industrial Enterprise Giskon-Trade
         Leninsky Avenue 4A
         83000 Donetsk
         Ukraine


INDUSTRIAL-BUILDING: Creditors Must File Claims by October 24
-------------------------------------------------------------
Creditors of OJSC Industrial-Building Company (code EDRPOU
32828173) have until Oct. 24, 2008, to submit proofs of claim to:

         Sergey Shkuro
         Liquidator
         P.O. Box 190
         01030 Kiev
         Ukraine

The Economic Court of Kiev commenced bankruptcy proceedings
against the company after finding it insolvent on March 28, 2008.
The case is docketed as 43/267.

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

The Debtor can be reached at:

         OJSC Industrial-Building Company
         Perspektivnaya Str. 9/11
         Kiev
         Ukraine


INTERPIPE LTD: S&P Places B+ Corp. Credit Rating on Negative Watch
------------------------------------------------------------------
Standard & Poor's Ratings Services has placed its 'B+' long-term
corporate credit rating on Ukrainian steel pipe producer Interpipe
Ltd. on CreditWatch with negative implications, reflecting the
recent CreditWatch action on Ukraine and the company's potentially
weak liquidity position.

At the same time, the 'B' long-term rating on the company's senior
unsecured debt was also placed on CreditWatch with negative
implications, as was its 'uaA' Ukrainian national scale rating.
The recovery ratings remain unchanged.

The sovereign credit rating on Ukraine (foreign currency B+/Watch
Neg/B, local currency BB-/Watch Neg/B, Ukraine national scale
uaAA/Watch Neg/--) was placed on CreditWatch negative on Oct. 15,
2008, reflecting the impact of a deteriorating economic situation
and associated exchange-rate depreciation on the country's
financial sector asset quality, especially in light of its high
level of private sector foreign currency borrowing, equivalent to
35% of GDP.

"We believe the group's liquidity position to be somewhat weak, in
light of uncertainty over refinancing its high short-term debt,
amidst a challenging bank environment not only in Ukraine, but
also in Europe and other areas," said S&P's credit analyst Lucas
Sevenin.  While the group has access to long-term bank lines,
which should allow it to fund its large ongoing investment
project, liquidity weaknesses include:

  -- High short-term debt of around US$350 million;

  -- Limited cash balances as of end-September; and

  -- Major negative working capital outflows in first-half 2008,
     continuing the negative trend of 2007 and 2006.

To assess liquidity, S&P will also be looking at the level of
support from Interpipe's core banks.

Before resolving the CreditWatch status, S&P will also assess:

  -- The group's ability to maintain satisfactory profitability
     and pricing power, although the oil and gas industry – which
     is one of the key end-markets for steel pipes -- should be
     less affected than the steel production industry.  The
     decline in steel prices will also have a positive impact,
     reducing Interpipe's raw material costs.

  -- High inflation in Ukraine and rising energy costs, pushing up
     related manufacturing costs.

S&P expects to resolve the CreditWatch status shortly after the
resolution of that on Ukraine (expected within one month).

"A downgrade is possible, but will depend on the rating action on
the sovereign, our views on the deteriorated country and operating
environment, as well as on the group's ability to manage liquidity
and bank support," said Mr. Sevenin.

S&P will also assess to what extent Interpipe's export-focused
activities mitigate any of the aforementioned heightened risks.


KIEV-INCOME LLC: Creditors Must File Claims by October 22
---------------------------------------------------------
Creditors of LLC Kiev-Income (code EDRPOU 23170466) have until
Oct. 22, 2008, to submit proofs of claim to:

         The Economic Court of Kiev
         Komintern Str. 16
         01032 Kiev
         Ukraine

The Economic Court of Kiev commenced bankruptcy proceedings
against the company after finding it insolvent on Aug. 27, 2008.
The case is docketed as B 11/215-08.

The Debtor can be reached at:

         LLC Kiev-Income
         Lenin Str. 82
         Gostomel
         08290 Kiev


OKNOPLAST-GROUP LLC: Creditors Must File Claims by October 24
-------------------------------------------------------------
Creditors of LLC Oknoplast-Group (code EDRPOU 32306365) have until
Oct. 24, 2008, to submit proofs of claim to:

         Sergey Shkuro
         Liquidator
         P.O. Box 190
         01030 Kiev
         Ukraine

The Economic Court of Kiev commenced bankruptcy proceedings
against the company after finding it insolvent on May 20, 2008.
The case is docketed as 44/1-b.

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

The Debtor can be reached at:

         LLC Oknoplast-Group
         Vizvoliteley Str. 3
         Kiev
         Ukraine


NAFTOGAZ OJSC: Fitch Trims LT Foreign & Local Currency IDRs to 'B'
------------------------------------------------------------------
Fitch Ratings has downgraded OJSC Naftogaz of Ukraine's Long-term
local and foreign currency Issuer Default ratings to 'B' from
'B+'.  This follows the downgrade of Ukraine's sovereign Long-term
local and foreign currency IDRs to 'B+' from 'BB-'.  The IDRs of
Naftogaz remain on RWN.  The senior unsecured rating on the
company's US$500 million eurobond maturing in 2009 is also
downgraded to 'B+' from 'BB-', and its Recovery rating of 'RR4' is
affirmed.

Fitch is maintaining Naftogaz's IDRs on RWN because the company is
currently in technical default of its US$500 million eurobond due
to non-publication of its FY07 financial statements.
Additionally, the company has not yet been able to arrange
financing for winter gas storage purchases; the prospective gas
price agreement between Ukraine and Russia could lead to a
significant rise in gas import prices to Ukraine in 2009; and
Fitch believes the current level of government subsidization is
inadequate to fully compensate the company for losses in its
residential sales business.

The RWN will be reviewed once the bondholders conduct a vote,
which is expected before the end of the year.  If bondholders
again vote for a default waiver as was the case in October 2007,
then the RWN could be resolved by subsequent financial disclosure.
Any further rating action will depend on an assessment of the
company's business and financial conditions once the
abovementioned issues are resolved.

The 'RR4' on Naftogaz's US$500 million eurobond reflects Fitch's
expectation of average recovery in the event of default.  The
senior unsecured 'B+' rating of the eurobond is one notch above
the company's IDRs and in line with the sovereign IDR, reflecting
a state budget provision to guarantee Naftogaz's existing debt
held by non-residents.

Recovery ratings in certain emerging markets such as Ukraine are
currently capped by Fitch at 'RR4' due to factors such as
uncertainties surrounding these countries' legal regimes being
supportive of creditor rights.


SPECIAL MOTOR: Creditors Must File Claims by Oct. 24
----------------------------------------------------
Creditors of OJSC Motorcar Enterprise Special Motor Transport
(code EDRPOU 32827489) have until Oct. 24, 2008, to submit proofs
of claim to:

         Sergey Shkuro
         Liquidator
         P.O. Box 190
         01030 Kiev
         Ukraine

The Economic Court of Kiev commenced bankruptcy proceedings
against the company after finding it insolvent on Aug. 4, 2008.
The case is docketed as 44/70-b.

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

The Debtor can be reached at:

         OJSC Motorcar Enterprise Special Motor Transport
         Perspektivnaya Str. 9/11
         Kiev
         Ukraine


SYSTEMS AND TECHNICS: Creditors Must File Claims by October 22
--------------------------------------------------------------
Creditors of LLC Joint Ukrainian-German Enterprise Systems and
Technics of Agrarian Crops (code EDRPOU 32034664) have until
Oct. 22, 2008, to submit proofs of claim to:

         The Economic Court of Kiev
         Komintern Str. 16
         01032 Kiev
         Ukraine

The Economic Court of Kiev commenced bankruptcy proceedings
against the company after finding it insolvent on Aug. 27, 2008.
The case is docketed as B 11/217-08.

The Debtor can be reached at:

         LLC Joint Ukrainian-German Enterprise Systems and
         Technics of Agrarian Crops
         Avtoshliakhova Str. 1-A
         Gostomel
         08290 Kiev
         Ukraine


TAIG LLC: Creditors Must File Claims by October 22
--------------------------------------------------
Creditors of LLC Taig (code EDRPOU 32362750) have until Oct. 22,
2008, to submit proofs of claim to:

         The Economic Court of Kiev
         Komintern Str. 16
         01032 Kiev
         Ukraine

The Economic Court of Kiev commenced bankruptcy proceedings
against the company after finding it insolvent on Aug. 27, 2008.
The case is docketed as B 11/216-08.

The Debtor can be reached at:

         LLC Taig
         Vodoprovodnaya Str. 34
         Bucha
         08290 Kiev
         Ukraine


UKRAINIAN RECONSTRUCTION: Creditors Must File Claims by Oct. 24
---------------------------------------------------------------
Creditors of OJSC Ukrainian Reconstruction (code EDRPOU 32827473)
have until Oct. 24, 2008, to submit proofs of claim to:

         Sergey Shkuro
         Liquidator
         P.O. Box 190
         01030 Kiev
         Ukraine

The Economic Court of Kiev commenced bankruptcy proceedings
against the company after finding it insolvent on Aug. 22, 2008.
The case is docketed as 44/65-b.

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

The Debtor can be reached at:

         OJSC Ukrainian Reconstruction
         Kikvidze Str. 41
         Kiev
         Ukraine


* CITY OF KYIV: Fitch Trims LT IDRs to 'B+'; Keeps Neg. Outlook
---------------------------------------------------------------
Fitch Ratings has downgraded Ukraine's City of Kyiv to Long-term
foreign and local currency ratings 'B+' from 'BB-'.  Its Short
term foreign currency rating is affirmed at 'B'.  The Outlooks for
the Long-term ratings remain Negative.  The action affects
outstanding bonds issued by the city.

Fitch also revised the Outlooks on Ukraine's City of Odessa and
City of Kharkov to Negative from Stable.  Their Long-term foreign
and local currency ratings are affirmed at 'B+' and Short term
foreign currency ratings at 'B'.

The rating actions follow the downgrade of Ukraine's Long-term
foreign and local currency Issuer Default Ratings to 'B+' from
'BB-' due to a significant and rising risk of financial crisis in
Ukraine involving a large depreciation of the currency, stress in
the banking system and significant damage to Ukraine's real
economy.  The Outlooks on the sovereign ratings remain Negative.


* UKRAINE: Fitch Cuts IDRs to 'B+'; Keeps Negative Outlook
----------------------------------------------------------
Fitch Ratings has downgraded Ukraine's Long-term foreign and local
currency Issuer Default Ratings to 'B+', from 'BB-'.  The Outlooks
on both IDR remain Negative.  The agency has also downgraded the
Country Ceiling to 'B+' from 'BB-'.  The Short-term foreign
currency IDR is affirmed at 'B'.

"The downgrade reflects Fitch's concern that the risk of a
financial crisis in Ukraine involving a large depreciation of the
currency, further stress in the banking system and significant
damage to Ukraine's real economy is significant and rising.  Such
a scenario would damage the sovereign's balance sheet.
Nevertheless, Fitch believes risks to Ukraine's ability to meet
its sovereign obligations remain low in the near term owing to the
sovereign's modest refinancing needs," said Andrew Colquhoun,
Director in Fitch's Sovereigns Group.

Ukraine has officially requested assistance from the IMF and a
Fund team is currently in Kyiv.  Fitch would view a sizable and
appropriately-designed IMF program as a positive factor, although
the agency awaits precise details before drawing firm conclusions.
However, depositor confidence in the banking system may remain
shaky and the economy will face a difficult adjustment even if a
program is arranged, extending Ukraine's exposure to financial
instability.

On October 13, Fitch signaled rising concerns over the health of
Ukraine's banking system amid a sharp tightening in liquidity
conditions and some deposit withdrawals from the system following
the failure of sixth-largest bank Prominvest.  Fitch is
unconvinced that the raft of emergency support measures announced
by the central bank, including stepped-up liquidity provision and
a ban on early redemption of term deposits, will be adequate to
shore up depositor confidence and forestall further banking-system
stress.  New central bank rules restricting loan growth threaten
to exacerbate a slowdown in the economy, which could hit banks'
asset quality relatively soon.

A relatively high share of FX-denominated lending (51% at end-
August) exposes the financial system to risks from enhanced
currency volatility.  Ukraine's currency, the hryvnia, fell to 5.6
against the US$ by October 8, down 10% on the month, before
climbing back to around 5.2-5.3 on intervention by the central
bank.  The UAH is likely to stay under pressure from a widening
current account deficit, which Fitch projects at around 7% of GDP
in 2008, versus 4.2% in 2007.  Falling steel prices will intensify
a terms-of-trade shock originating in a likely strong increase in
Ukraine's gas import price next year.

Strong borrowing by the private sector took Ukraine's gross
external debt to US$100 billion by end-June 2008, including US$28
billion of private-sector short-term debt.  Hard numbers on
private-sector external debt maturities for 2009 are not
available, but Fitch estimates these could be around US$19 billion
for longer-term borrowing.  With many private-sector borrowers
likely to find it hard to refinance their maturing external
borrowing, the sovereign may be forced to provide resources from
official reserves, which are also needed to shore up confidence in
the exchange rate.

Fitch continues to draw comfort from Ukraine's moderate sovereign
refinancing needs for 2009 of US$2.5 billion, of which US$0.9
billion are domestic and US$1.6bn are external (including a US$0.5
billion eurobond maturity in May), compared with the latest
disclosure for official reserves of US$37.5 billion on October 9.
The country's low general government debt/GDP ratio of 10% for
end-2007 is well below the 'BB' median of 34% (and the 'B' median
of 33%).  However, worsening economic prospects and requirements
for official support to the economy could erode Ukraine's fiscal
strength in the medium term.


* UKRAINE: Fitch Cuts Foreign Currency Ratings on Two Companies
---------------------------------------------------------------
Fitch Ratings has downgraded two Ukrainian companies' foreign
currency ratings, revised the foreign currency Outlook on three
others and affirmed the ratings of six companies following the
Sovereign downgrade of the Ukraine to 'B+'/Negative Outlook, and
in view of current and/or prospective liquidity constraints facing
these companies.

Ukranian companies whose foreign currency ratings have been
downgraded are:

Metinvest B.V. (Metinvest)

  -- Long-term foreign currency IDR: downgraded to 'B+' from
     'BB-'.  The Outlook remains Negative.  This rating is
     constrained by the Ukrainian sovereign rating.

  -- LT local currency IDR is affirmed at 'BB-'.  The Outlook
     remains Stable.

  -- Short-term FC IDR: affirmed at 'B'.

  -- National LT rating is upgraded to 'AA+(ukr)' from 'AA'(ukr)
     with Stable Outlook, due to a recalibration of Fitch's
     National Ukrainian scale.

  -- National ST rating: affirmed at 'F1+'(ukr).

OJSC Naftogaz of Ukraine
  -- LT FC IDR: downgraded to 'B' from 'B+' and remains on Rating
     Watch Negative

  -- LT LC IDR: downgraded to 'B' from 'B+' and remains on Rating
     Watch Negative

  -- The FC senior unsecured rating on the company's US$500m
     eurobond dated 2009 is downgraded to 'B+' from 'BB-'.
     Recovery rating of 'RR4' is affirmed.

Ukranian companies whose FC IDR outlooks have been revised and
ratings affirmed are:

  -- Corporation Industrial Union of Donbass LT FC IDR: affirmed
     at 'B+'.  The Outlook is revised to Negative from Stable.
     This rating's outlook is constrained by the Ukrainian
     sovereign rating's outlook.

  -- ST FC IDR: affirmed at 'B'

DTEK Holding Limited

  -- LT FC IDR: affirmed at 'B+'.  The Outlook is revised to
     Negative from Positive.  This rating's outlook is constrained
     by the Ukrainian sovereign rating's outlook.

  -- ST FC IDR: affirmed at 'B'

  -- Fitch has assigned a LT LC IDR at 'B+' with Positive Outlook

  -- National LT rating: affirmed at 'AA-(ukr)' with Positive
     Outlook

  -- National Senior Unsecured rating on a UAH500m bond affirmed
     at 'AA-(ukr)'

Interpipe Limited (Interpipe)

  -- LT FC IDR: affirmed at 'B+'.  The Outlook is revised to
     Negative from Stable.  This rating's outlook is constrained
     by the Ukrainian sovereign rating's outlook.

  -- FC Senior Unsecured: affirmed at 'B+' with a Recovery Rating
     of 'RR4'

  -- ST FC IDR: affirmed at 'B'

Ukranian companies whose ratings and have been affirmed are:

OJSC Myronivsky Hliboproduct

  -- LT FC IDR: affirmed at 'B' with Stable Outlook

  -- LT LC IDR: affirmed at 'B' with Stable Outlook

  -- FC Senior Unsecured rating of 'B', RR4 with Stable Outlook
     has been affirmed.

  -- National LT rating: affirmed at 'A(ukr)' with Stable Outlook.

CJSC Donetsksteel Iron and Steel Works (Donetsksteel)

  -- LT FC IDR: affirmed at 'B-' with Stable Outlook
  -- LT LC IDR: affirmed at 'B-' with Stable Outlook
  -- ST FC IDR: affirmed at 'B'
  -- ST LC IDR: affirmed at 'B'
  -- National LT rating: affirmed at 'BBB+'(ukr) with Stable
     Outlook.

  -- National ST rating: affirmed at 'F2'(ukr)

OJC Concern Stirol

  -- LT FC IDR: affirmed at 'CCC' with Stable Outlook
  -- ST FC IDR: affirmed at 'B'
  -- The FC senior unsecured rating of 'CCC+' and RR4 on

UkrChemCapital BV's bond is withdrawn as the bond has been repaid
in full.

The rating downgrades for Metinvest and Naftogaz, and FC Outlook
changes for Donbass, Interpipe and DTEK reflect the sovereign
rating action.  Fitch also took into consideration the immediate
liquidity constraints within the Ukrainian banking system which
affect daily liquidity requirements for these companies, as well
as the impact of a slower economic environment for the county and
region.  Fitch also notes that whilst the financial performance of
Metinvest, Donetsksteel and ISD has not been helped by recent
steel commodity price declines, their ratings have not been based
on the companies maintaining their previous peak prices or
volumes.

Many of Fitch-rated corporates have a significant portion of USD-
denominated debt.  Given current market volatility, Fitch has
focused on the companies' immediate debt maturities to January
2009 and has assumed foreign currency-providing banks lending to
Ukrainian companies on short-term facilities may not refinance
those lines.  This means companies without foreign currency
-denominated net revenues will have to rely on a weakened domestic
banking system.

In this regard, over the long-term, MHP is particularly exposed
since it has less USD-denominated receipts than other rated
entities although its key bond maturity is not until 2011.  The
Ukrainian central bank has imposed limitations on banks' ability
to extend assets in most categories above the end-13 October 2008
level.  As a result, any new debt - if available - will be
expensive, in Fitch's view.

The sovereign downgrade reflects Fitch's view that Ukraine faces a
significant and rising risk of a financial crisis involving a
substantial depreciation of the currency.  Such depreciation would
significantly increase corporates' foreign currency-denominated
debt service obligations in local-currency terms.  Companies
without a currency hedging program in place or foreign currency
revenues could face a greater debt burden.


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


AMERICAN INT'L: Sens. Want Halt on Mortgage Law Change Efforts
--------------------------------------------------------------
Elizabeth Williamson at The Wall Street Journal reports that
Senator Dianne Feinstein of California, and Senator Mel Martinez
of Florida asked American International Group Inc. on Friday to
stop using taxpayers money in its effort to diminish the new
federal controls over the mortgage industry.

WSJ relates that after receiving an emergency loan from the
government, in exchange of an 80% stake in the firm, AIG has
continued to lobby states implementing a federal law that subjects
mortgage originators to greater scrutiny.  Under the Secure and
Fair Enforcement for Mortgage Licensing Act of 2008, mortgage
originators must be licensed by the states, and that they must
supply comprehensive background information so regulators can
better track their activities.  WSJ states that bank regulators
have been fighting for the law, saying that if they had been
better able to track mortgage loan originators, they could have
stopped some fraudulent practices that led to AIG's problems.

WSJ reports that AIG, along with Citigroup Inc., and HSBC Holdings
PLC, have engaged in a state-by-state effort to win concessions as
states implement the law, saying that the licensing fees are too
expensive, and that the information required from originators
could lead to privacy violations.  The companies, the report says,
want greater transparency over how the licensing fees are to be
spent by the states.

According to WSJ, Sens. Feinstein and Martinez said in their
letter to AIG Chief Executive Edward Liddy, "We find it
unconscionable that AIG would take advantage of these taxpayer
loans while paying lobbyists to rollback taxpayer protections
against misrepresentations, deception, and fraud in mortgage
lending.  This crisis was stoked, in part, by abusive and
predatory lending practices that were made possible by lax
mortgage industry standards and oversight.  We hope AIG will
immediately cease all efforts to undermine strong licensing and
oversight standards for the mortgage industry."

                 About American International

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 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 the 'A+' counterparty credit
and financial strength ratings on most of AIG's insurance
operating subsidiaries -- to CreditWatch developing from
CreditWatch negative.

S&P raised its ratings on preferred stock of International Lease
Finance Corp. (ILFC; A-/Watch Dev/A-1) to 'BBB' from 'B', and
revised the CreditWatch implications to developing from negative.
All other ILFC ratings remain on CreditWatch with developing
implications.

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.


ALEXANDER RICHARDS: Appoints Liquidators from BDO Stoy Hayward
--------------------------------------------------------------
Graham David Randall and Simon Edward Jex Girling of BDO Stoy
Hayward LLP were appointed joint liquidators of Alexander Richards
(Swindon) Ltd. on Oct. 2, 2008, for the creditors' voluntary
winding-up proceeding.

The company can be reached at:

         Alexander Richards (Swindon) Ltd.
         c/o BDO Stoy Hayward LLP
         One Victoria Street
         Bristol
         BS1 6AA
         England


DEE THAIN: Joint Liquidators Take Over Operations
-------------------------------------------------
P. Atkinson and D. C. Wilson of Vantis Business Recovery Services
were appointed joint liquidators of Dee Thain Ltd. (t/a Saks Hair
and Beauty) on Oct. 6, 2008, for the creditors' voluntary winding-
up proceeding.

The company can be reached at:

         Dee Thain Ltd.
         c/o Vantis Business Recovery Services
         43-45 Butts Green Road
         Hornchurch
         Essex
         RM11 2JX
         England


EXETER BLUE: Fitch Assigns 'BB' Rating on EUR8.5MM Class E Notes
----------------------------------------------------------------
Fitch Ratings has assigned Exeter Blue Limited's EUR125.9 million
floating rate notes due 2025 expected ratings.  The transaction is
a managed securitization of public private partnership/public
finance initiative and project finance loans predominantly located
in western Europe and North America.

  -- EUR31.875 million Class A: 'AAA'; Outlook Stable
  -- EUR31.875 million Class B: 'AA'; Outlook Stable
  -- EUR26.5625 million Class C: 'A'; Outlook Stable
  -- EUR10.625 million Class D: 'BBB'; Outlook Stable
  -- EUR8.5 million Class E: 'BB'; Outlook Stable

The final ratings are contingent on the receipt of final documents
conforming to information already received.

The ratings are based on the credit enhancement available to the
Class A through E notes in the form of subordination, structural
covenants and excess spread.  Although excess spread is used only
to offset principal losses on the subordinated notes (which are
not rated), the Class A through E notes benefit as losses on the
subordinated notes that are offset may partially or fully restore
the original credit enhancement levels.

The ratings also take into account the quality and diversity of
the portfolio of assets.  The closing portfolio has significant
concentration in the PPP/PFI, energy and transport sectors as well
as significant single obligor exposure where the top five obligors
comprise approximately 23% of the portfolio.  The transaction
allows for a replenishment period of four years during which
Lloyds TSB may reference additional assets or increase exposure to
existing assets as a result of amortizations in the initial
portfolio.

The issuer is a company with limited liability, incorporated under
the laws of Jersey.  At closing, the issuer will enter into six
credit default swaps with Lloyds TSB ('AA+' / 'F1+'/Rating Watch
Negative) where Lloyds TSB will buy protection on a reference
portfolio of EUR1,062.5 milion.  Each credit default swap
corresponds to one of five classes of rated notes and the sole
class of subordinated notes, which is unrated.  The notional
amount corresponding to the most senior level of the capital
structure will not be issued and sold to any noteholder, although
it will be considered in making determinations related to the
credit default swaps.  The note issuance proceeds will be held in
a deposit account with Lloyds TSB over which all rated notes will
have a contractual right.

The ratings of the notes address the likelihood that investors
will receive full and timely payments of interest and ultimate
repayment of principal by the legal final maturity date according
to the terms of the notes.


GEMINI ECLIPSE: S&P Cuts Class E Notes Rating to BB; Keeps Watch
----------------------------------------------------------------
Standard & Poor's Ratings Services has lowered and kept on
CreditWatch with negative implications its rating on the class E
notes and has lowered and placed on CreditWatch negative its
rating on the class D notes issued by GEMINI (ECLIPSE 2006-3) PLC.
The ratings on the other classes of notes in this deal remain
unaffected.

On July 3, S&P placed the class E notes on CreditWatch negative
due to its concerns over the loan .

On July 17, a new valuation was reported as GBP958.65 million,
resulting in an LTV ratio for the securitized senior loan of
88.7%.  This caused a breach of the senior loan covenant that is
set at 80%, giving rise to an event of default.  S&P understands
that neither the borrower nor the junior lender cured the default.

Following an event of default under the whole loan, all interest
and principal due to the junior lender is retained in an escrow
account.  If the decision is taken to enforce under the loan, the
amounts credited to the escrow account will first be applied to
repay the senior loan.

On Aug. 18, the loan was transferred to special servicing.
Following the transfer, Barclays Capital Mortgage Servicing Ltd.,
as special servicer, had to obtain a new valuation of the secured
property portfolio.  On Sept. 26, the new valuation was reported
as GBP801.4 million by CB Richard Ellis and King Sturge, resulting
in LTV ratios for the senior loan and the whole loan of 106.1% and
119.4%, respectively. This latest valuation represented a 16.5%
decline on the previous valuation reported in July.

Despite the significant market value decline since closing that
has been driven by increases in cap rates, the portfolio has
performed well.  Occupancy has increased to 95% from 88% at
closing.  Most of the rental guarantees in place at closing have
expired, although the borrower has relet vacant space and
maintained a stable rental income.  This is reflected in the July
2008 senior interest-coverage ratio that was reported as 1.30x—the
same level of coverage as at closing.

There is sufficient cash flow to service the securitized senior
loan, although it is likely to be some time before property values
recover to previous levels.  S&P does not expect enforcement
action to be taken in the near term due to the current unfavorable
market conditions.  However, the risk of ultimate losses on the
downgraded notes has, in S&P's view, increased.

In view of the continuing performance of the secured property
portfolio and strong level of cash flow which allows for the
ongoing service of the securitized senior debt, the ratings on the
other classes of notes are unaffected at this stage.  S&P will,
however, continue to monitor this transaction to understand how
developments affect its credit opinion for these notes.

Gemini (Eclipse 2006-3) PLC:

  -- GBP918.862 Million Commercial Mortgage-Backed Floating-Rate
     Notes

Rating Lowered And Kept On CreditWatch Negative:

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

Rating Lowered And Placed On CreditWatch Negative:

Class        To             From
-----        --             ----
   D      BBB/Watch Neg        A


INFORMATION ASSURANCE: Brings in Liquidators from Tenon
-------------------------------------------------------
Paul W. Ellison and Gareth W. Roberts of Tenon were appointed
joint liquidators of Information Assurance Services Ltd. on
Oct. 7, 2008, for the creditors' voluntary winding-up proceeding.

The company can be reached at:

         Information Assurance Services Ltd.
         c/o Tenon
         Aquarium
         1-7 King Street
         Reading
         Berkshire
         RG1 2AN
         England


LANDSBANKI GUERNSEY: To Pay Depositors 30 Pence in the Pound
------------------------------------------------------------
The Administrators of Landsbanki Guernsey Ltd, on Thursday,
announced a proposal to make a part-payment to depositors
equivalent to 30 pence in the GBP1.

The Bank was placed into administration on October 7,
2008.  As reported in the TCR-Europe, the administration, which
follows the deepening problems of the Icelandic economy and, in
particular, of the Icelandic banking system, is on a temporary
basis until Jan. 6, 2009 or earlier order of the Royal Court.

The affairs, business and property of the Bank are being managed
by the Joint Administrators, Rick Garrard and Lee Manning of
Deloitte, the business advisory firm.

            Proposed Part-Payment to Depositors

Rick Garrard, Joint Administrator, announced: "We are now in a
position to make a part-payment on request to depositors
equivalent to 30 pence in the GBP1 on all deposits as at
October 7, 2008, the date the Bank went into Administration.  We
will provide depositors with details of how to request this
withdrawal or how to transfer the funds to another bank in a
letter to be issued to customers later [Thurs]day.

Those depositors who do not seek to withdraw any or all of the
estimated 30 pence in GBP1 being made available will retain their
entitlement to withdraw monies upon request up to the estimated on
account part-payment of 30 pence in GBP1.  The Joint
Administrators will retain ringfenced funds to meet these
commitments.  These monies will attract interest at the normal
short notice rate offered by our bankers (currently at 3.5%).

Depositors should note they have no automatic right to interest
after October 7, 2008, other than in respect of the ringfenced
monies noted above.

The speed of this payment is unprecedented and was approved by the
Court late last night without sufficient time to fully quantify
the level of creditors.  For this reason the Court has concluded
significant cash balances will remain in the Bank after allowing
for this proposed partial payment. .

Rick Garrard continued: "We understand that depositors have been
awaiting news on the prospects for recovery of their deposits from
the Bank.  The reason for the delay has been the need to obtain a
better understanding of the position of the Bank and obtain Court
approval that all depositors can be treated equally,
notwithstanding any different terms of their deposits."

It has also been necessary to seek clarification that the
Financial Sanction Notice issued by HM Treasury freezing its
parent Landsbanki Islands hf's (in Receivership) ("LIH") assets
did not impact on the liquid cash assets of the Bank and to ensure
the Bank had appropriate insurance cover in place to make the
payment.

         Prospect for Further Part-payment to Depositors

Rick Garrard commented: "The prospects for further repayment to
depositors are good but the repayment of substantial extra sums is
dependent on a recovery of certain illiquid assets."

The Administrators will be providing depositors with a Summary
Preliminary Statement of Affairs for the Bank, outlining its
assets, which comprise participations in commercial loans secured
on UK commercial, development and residential property; inter-bank
deposits with Heritable Bank (in Administration) ("HB"); and
inter-bank deposits with the Bank's parent LIH.

Rick Garrard added: "There are good grounds to believe the
commercial loans and the HB deposit, which is mainly supported by
commercial loans of similar type as the Bank's commercial loans,
will ultimately achieve a significant realization of cash which
would be available for repayment to depositors.

"The speed of recovery will depend on agreeing a sale of the
commercial loans at a price which does not compromise the
depositors’ ultimate recovery.  A number of credible parties have
already expressed interest in a purchase and due diligence
commenced on October 10.

It should be appreciated that a sale of the commercial loans may
take some time to achieve as acquirers will need to undertake
their own enquiries prior to any offer."

The recoverability of inter-bank deposits with LIH and other
potential recoveries against the Bank's parent remain unclear
while the position of the Icelandic banks remain the subject of
discussions at governmental level.  Depositors should be aware
that the States of Guernsey, the Guernsey Financial Services
Commission ("GFSC") and the Administrators are engaging with HM
Government in the UK and the Icelandic authorities on this matter.

           Prospect for Full Repayment to Depositors

The collapse of HB and other uncertainties have now placed greater
doubt on the ability of the Bank to recover sufficient assets to
pay depositors in full.

Several high-level discussions have been held with representatives
of the States of Guernsey and they continue to be kept fully
informed of developments.

In addition, discussions have also been held with potential
acquirers of the whole Bank with a view to protecting all
depositors' monies.  Such an eventuality would be the best
solution but appears less likely at the current time due to the
level of uncertainty over the recoverable value of the illiquid
assets.

The Summary Preliminary Statement of Affairs shows that although
the Bank, with the full involvement of the GFSC took substantial
steps to reduce its direct exposure to LIH as the risks of
difficulties in Iceland increased, the Bank has had liquidity
difficulties due to the failure of HB, the fellow UK subsidiary of
the Bank, which is regulated by the UK Financial Services
Authority.  HB went into Administration on the same day as the
Bank's Administration and owed the Bank GBP36 million.

Rick Garrard commented: "As you are probably now aware, there is
no depositor protection scheme in Guernsey.  Furthermore support
for depositors from the States of Guernsey, the UK and other
Governments and other banking institutions is not an obligation
and cannot be assumed.  The Joint Administrators remain cautious
about the prospects of such a solution.

While depositors may be disappointed, they can be assured the
Administrators are working very hard to secure repayments as soon
as possible."

                    About Landsbanki Islands hf.

Headquartered in Reykjavik, Iceland, Landsbanki Islands hf. --
http://www.landsbanki.is-- is engaged in the provision of retail,
corporate an investment banking services.  The Bank's product
range includes financial products and services, such as specialty
insurance and real estate financing, for both corporate and
private clients.  It is also operational through a number of
subsidiaries, including Heritable Bank Ltd, operating consultancy
and financing services for residential development; Landsbanki
Holdings Europe SA, a Luxembourg-based holding company providing
banking services; Landsbanki Guernsey Ltd, offering retail
banking; Landsbanki Securities (UK) Holdings plc, engaged in the
provision of stockbrokers and financial services; Landsvaki hf, an
operation company for mutual funds; Verdbrefun hf, a
securitization company; Landsbankinn eignarhaldsfelag hf, a real
estate company, and others.

               About Landsbanki Guernsey Ltd.

Landsbanki Guernsey Ltd. -- http://www.landsbanki.co.gg/-- is
engaged in retail banking.  It is a subsidiary of Iceland-based
financial institution Landsbanki Islands hf.


MAKRITE LTD: M. H. Abdulali Leads Liquidation Procedure
-------------------------------------------------------
M. H. Abdulali of Moore Stephens was appointed liquidator of
Makrite Ltd. on Oct. 2, 2008, for the creditors' voluntary
winding-up procedure.

The company can be reached at:

         Makrite Ltd.
         c/o Moore Stephens
         6 Ridge House
         Ridgehouse Drive
         Festival Park
         Stoke on Trent
         Staffordshire
         England


M J L DECORATING: Taps Liquidators from Tenon Recovery
------------------------------------------------------
Nigel Ian Fox and Alexander Kinninmonth of Tenon Recovery were
appointed joint liquidators of M J L Decorating Ltd. on
Sept. 26, 2008, for the creditors' voluntary winding-up
proceeding.

The company can be reached at:

         M J L Decorating Ltd.
         c/o Tenon Recovery
         Highfield Court
         Tollgate
         Chandlers Ford
         Eastleigh
         Hampshire
         SO53 3TZ
         England


NWLCC LTD: Claims Filing Period Ends October 31
-----------------------------------------------
Creditors of NWLCC Ltd. (formerly Kennyhire Ltd.) have until
Oct. 31, 2008, to prove their debts by sending to:

         Michael William Young
         Liquidator
         Vantis Business Recovery Services
         Torrington House
         47 Holywell Hill
         St. Albans
         Hertfordshire
         AL1 1HD
         England

Michael William Young of Vantis Business Recovery Services was
appointed liquidator of the company on Oct. 3, 2008, for the
creditors' voluntary winding-up procedure.


PETER MORRIS: Taps Liquidators from Vantis Business Recovery
------------------------------------------------------------
Glyn Mummery and Martin Weller of Vantis Business Recovery
Services were appointed joint liquidators of Peter Morris
(Builders) Ltd. on Oct. 3, 2008, for the creditors' voluntary
winding-up proceeding.

The company can be reached at:

         Vantis Business Recovery Services
         43-45 Butts Green Road
         Hornchurch
         Essex
         RM11 2JX
         England


SNOWDONIA SECURITIES: S&P Removes Watch on BB-Rated Class D Notes
-----------------------------------------------------------------
Standard & Poor's Ratings Services has removed from CreditWatch
with positive implications and raised its credit rating on the
class C notes issued by Snowdonia Securities 2006-1 PLC.  At the
same time, S&P removes from CreditWatch positive and affirmed its
rating on the class D notes and affirmed the rating on the class B
notes.

The rating actions follow a full credit and cash flow analysis of
the most recent transaction information S&P received.

The transaction is well seasoned and the level of credit
enhancement has increased significantly since closing.  Cumulative
gross losses have started to stabilize and, given the seasoning of
the transaction, S&P expects most of the losses in the transaction
to have already occurred.  The transaction reserve fund has
witnessed consistent reserve fund draws, but S&P believes its
current level remains sufficient to absorb future losses.

The notes, issued in March 2006, are backed by a portfolio of auto
and personal loans in the U.K.

Snowdonia Securities 2006-1 PLC

  -- GBP200 Million Asset-Backed Floating-Rate Notes

Rating Raised And Removed From CreditWatch Positive:

Class      To         From
-----      --         ----
   C        AA-     BBB/Watch Pos

Rating Removed From CreditWatch Positive And Affirmed:

Class      To         From
-----      --         ----
   D        BB+     BB+/Watch Pos

Rating Affirmed:

B          AAA


THEATR GWYNEDD: Goes Into Liquidation
-------------------------------------
Theatr Gwynedd management board has put the theater into
liquidation last Wednesday, Oct. 17, 2008, the BBC news reports.
The theater was due to close on October 31.

According to the report, the board said in a statement "The
financial situation of the company was examined thoroughly.  It
was decided that the company could not continue to trade because
of financial difficulties.  "The board regrets that this will
cause a delay in the payment of redundancy payments to members of
staff.  These payments will be made at a later date."

Last week, supporters of the theater presented to the Welsh
Assembly Government's culture minister a 2,000-name petition
opposing its closure, the report says.

The report adds that the board refused to reveal their debts, but
the union claims it was around GBP90,000.

Based in Bagor, North Wales, Theatr Gwynedd is a receiving theater
which presents Welsh, English and International theatrical
performances.


TYKE SHOPFITTERS: Hires Liquidators from Mazars
-----------------------------------------------
Robert David Adamson and Paul Charlton of Mazars LLP were
appointed joint liquidators of Tyke Shopfitters Ltd. on
Sept. 30, 2008, for the creditors' voluntary winding-up procedure
proceeding.

The company can be reached at:

         Tyke Shopfitters Ltd.
         c/o Mazars LLP
         Mazars House
         Gelderd Road
         Gildersome
         Leeds
         LS27 7JN
         England


US ENERGY: Has Until December 5 to Solicit Acceptances of Plan
--------------------------------------------------------------
The Hon. Robert D. Drain of the United States Bankruptcy Court for
the Southern District of New York further extended the exclusive
period of U.S. Energy Systems, Inc., and its debtor-affiliates to
solicit acceptances of their Chapter 11 plan until Dec. 5, 2008.

According to the Troubled Company Reporter on Oct. 7, 2008, 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 for USEO and 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.

The GBGH plan provides for, 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.


WINDERMERE VIII: S&P Lowers Rating on Class E Notes to B-/WatchNeg
------------------------------------------------------------------
Standard & Poor's Ratings Services said that following a review of
the remaining loans in the Windermere VIII transaction, it has
lowered its credit rating on the class E notes issued by
Windermere VIII CMBS PLC.  All classes of notes in this deal
(including the class E notes) remain on CreditWatch with negative
implications.

The rating action reflects S&P's concerns for the Amadeus
Portfolio loan and the ability to repay the principal balance in
full at loan maturity in April 2009, or through enforcement.

The Amadeus Portfolio Loan, which accounts for 4.7% of the current
pool balance, matures in April 2009.  It is secured against three
office properties in Nottingham, Middlesbrough, and Colindale
(northwest London).  All the properties are of mediocre
specification and occupy secondary locations.

Occupancy has increased to approximately 74.6% (by floor area)
from 63.6% at closing resulting in a current net operating income
(NOI) of approximately GBP2.2 million per year, assuming a 10%
deduction from the current gross income to cover nonrecoverable
costs.  This produces an exit yield on debt of 7.3%.  S&P does not
expect any further material increase in occupancy over the loan
term.

Despite the gross income increase, the borrower was required to
deposit an additional GBP55,000 into the reserve account to avoid
a breach of the DSCR covenant of 1.05x on the April 2008 IPD.
This deposit was funded from a payment received by the borrower
from National Grid for works undertaken at the Colindale property.
The balance of this payment is held in an issuer-controlled
account.

In total, approximately GBP400,000 is held in issuer-controlled
accounts and may also be used to meet debt-service payment
shortfalls.  If current income does not decrease from current
levels, S&P expects the reserve amounts to be sufficient in
meeting future shortfalls and avoiding DSCR covenant breaches for
the remainder of the loan term.

The current loan balance is GBP30.37 million, giving an LTV ratio
of 84.4%, down from 86.3% at closing.  Both ratios are based on
bank valuations from January 2006.  Assuming that all remaining
debt service payments are made, the LTV ratio will reduce to 84.3%
at loan maturity.

S&P's NOI for this loan is GBP2 million per year and assumes
occupancy at 70%, rents of GBP11-GBP12 per sq ft and a 10%
deduction to cover non-recoverable costs resulting in an exit
yield on debt is 6.7%.  Although the current income is above its
initial expectations, S&P remains concerned about the ability to
repay the principal balance in full at loan maturity in April
2009, or through enforcement.

Market values of U.K. commercial property have declined over the
past 12 months with secondary assets—such as those securing the
Amadeus Portfolio loan—being particularly affected.  Furthermore,
the subject properties have high vacancy levels and, in its view,
limited potential for rental growth.  S&P believes that the market
value of the properties is likely to be below that reported in
January 2006

S&P will continue to closely monitor and evaluate information
available on this transaction including the impact any new hedging
arrangements may have.

Windermere VIII CMBS PLC

  -- GBP1,037.79 Million Commercial Mortgage-Backed Floating-Rate
     Notes

Rating Lowered And Remaining On CreditWatch Negative:

Class        To               From
-----        --               ----
   E      B-/Watch Neg     BB-/Watch Neg

Ratings Remaining On CreditWatch Negative:

A2         AAA/Watch Neg
A3         AAA/Watch Neg
B          AA/Watch Neg
C          A/Watch Neg
D          BBB/Watch Neg


XL LEISURE: AADB Launches Probe Into BDO's Conduct as Auditors
--------------------------------------------------------------
The Accountancy and Actuarial Discipline Board, on Wednesday,
October 15, launched an investigation under its Scheme for the
accountancy profession into the conduct of BDO Stoy Hayward LLP as
auditors to XL Leisure Group plc.

The investigation points to "The conduct of BDO Stoy Hayward LLP
as auditors to XL Leisure Group plc in respect of the audit of the
accounts of the company and its subsidiaries for the year ended
October 31, 2007."

The decision was taken following a reference from the Institute of
Chartered Accountants of England and Wales (ICAEW).

AADB however said that an investigation does not always mean that
an allegation has been made or there is any evidence of
misconduct.  He noted that if the board's probe does uncover
wrongdoing, sanctions available include reprimands, unlimited
fines or even taking away a company's professional license to
operate, The Press Association writes.

The Press Association quotes a BDO spokesman as saying "It would
be inappropriate to make any comments during an investigation but
we will of course co-operate in any way we can with the AADB."

As reported in the TCR-Europe, XL Leisure Group Plc, XL Airways UK
Limited, Excel Aviation Limited, Explorer House Limited, Aspire
Holidays Limited, Freedom Flights Limited, Freedom Flights
(Aviation) Limited, The Really Great Holiday Company plc, Medlife
Hotels Limited, Travel City Flights Limited, and Kosmar Villa
Holidays plc went into administration on
September 12, 2008.  Alastair Beveridge, Nick Cropper, Simon
Appell and Stuart Mackellar were appointed as joint administrators
of the companies by the Court.

Headquartered in Crawley, XL Leisure Group -- http://www.xl.com/
-- is the third largest tour operating group in the UK.  The
company also has operations in France, Germany, Ireland, Australia
and Cyprus.


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

AUSTRIA
-------
Libro AG                            (111)         174     (168)
Sky Europe                            (3)         213      (53)


BELGIUM
-------
Sabena S.A.                          (86)       2,223     (280)


CZECH REPUBLIC
--------------
Ceskomoravska Kolben &
   Danek Praha Holding               (89)         192      (59)
Setuza A.S.                          (61)         139      (62)


DENMARK
-------
Elite Shipping                       (28)         101        3
Roskilde Bank                       (532)       7,877      N.A.


FRANCE
------
BSN Glasspack                       (101)       1,150      159
Grande Paroisse S.A.                (927)         629      347
Immob Hoteliere                      (67)         301      (17)
Lab Dosilos                          (28)         110      (44)
Matussiere et Forest S.A. MTF        (78)         294      (38)
Pagesjaunes GRP           PAJ     (3,023)       1,377     (453)
Rhodia SA                           (504)       7,213      712
Selcodis S.A.             SPVX       (21)         140      (36)
Trouvay Cauvin                        (0)         134        9


GERMANY
-------
Alno AG                   ANO        (21)         340      (88)
Brokat AG                            (27)         144      109
CBB Holding AG            COB        (43)         905      N.A.
Cinemaxx AG               MXC        (38)         178      (47)
Dortmunder
   Actien-Brauerei        DABG       (13)         118      (28)
EECH Group AG                          0          109       57
EM.TV AG                  EV4G.BE    (22)         849       19
Kaufring AG               KAUG       (19)         152      (48)
Kunert AG                            (28)         102       29
Maternus Kliniken AG      MAK.F      (21)         204      (99)
P & T Technology                       0          109       57
Primacom AG               PRC        (14)         730      (68)
Sander AG                             (6)         128       31
Sinnleffers AG                        (4)         454     (182)
Spar Handels- AG          SPAG      (442)       1,433     (294)
TA Triumph-Adler          TWN        (66)         484      (77)
Vivanco Gruppe                       (10)         131       28

GREECE
------
Empedos SA                           (34)         175      (57)
Noussa Spin                          (11)         450     (107)
Petzetakis-PFC            PETZP      (15)         284     (143)
Radio A.Korassidis        KORA      (101)         181     (164)
   Commercial
Themeliodome                         (56)         232     (128)
United Textiles                      (11)         450     (107)

HUNGARY
-------
Brodograde Indus                   (322)         263      (366)
IPK Osijek DD OS                    (15)         124       (82)
OT Optima Teleko                    (26)         119         8

ICELAND
-------
Decode Genetics                    (186)         111        48
Fortune Mgmt.                      (119)         265        54
Samsonite Corp.                    (199)         651       149

IRELAND
-------
Elan Corp PLC             ELN      (388)       1,599       705
Waterford Wed Ut          WTFU     (506)         820       364


ITALY
-----
Binda S.p.A.              BND        (11)         129      (23)
Cirio Finanziaria S.p.A.            (422)       1,583      N.A.
Gruppo Coin S.p.A.        GC        (151)         791      (61)
Compagnia Italia          ICT       (138)         527     (318)
Credito Fondiario
   e Industriale S.p.A.             (200)       4,215      N.A.
Eurofly S.p.A.                        (8)         180      (52)
Fullsix                               (4)         114      (18)
I Viaggi del
   Ventaglio S.p.A.       VVE        (64)         529     (127)
Olcese S.p.A.             OLCI.MI    (13)         180      (80)
Parmalat Finanziaria
   S.p.A.                        (18,421)       4,121  (16,921)
Snia S.p.A.               SN         (25)         488       31
Technodiffusione
   Italia S.p.A.          TDIFF.PK   (90)         152      (30)


NETHERLANDS
-----------
Baan Company N.V.         BAAN        (8)         610       46
James Hardie Ind.                   (238)       2,357      184
United Pan-Euro Air       UPC     (5,506)       5,113   (9,170)


NORWAY
------
Interoil Exploration      IOX        (25)         210      (11)
Petroleum-Geo Services    PGO        (18)         400     (758)


POLAND
------
Toora                               (288)          147     (86)


ROMANIA
-------
Oltchim RM Valce          OLT         (7)         673     (170)
Rafo Onesti               RAF       (430)         353     (616)


RUSSIA
------
Akcionernoe Brd                     (116)         134      (24)
East Siberia Brd          VSNK      (113)         148      (10)
Gukovugol                            (58)         144     (148)
Omskij Kauchu             OMKA        (4)         125      (68)
OAO Samaraneftegas                  (332)         892     (611)
Vimpel Ship               SOVP      (116)         135      (24)
Zil Auto                  ZILLP     (240)         478     (447)


SWEDEN
------
Swedish Match                        (69)        2,444     545


TURKEY
------
Egs Ege Giyim VE                      (7)         147      (25)
Iktisat Financial                    (46)         108      N.A.
Mudurnu Tavukcul                     (65)         160     (115)
Nergis Holding                       (77)         299       38
Sifas                                (17)         117       21


UKRAINE
-------
Dniprooblenergo           DNON       (51)         433     (200)
Donetskoblenergo          DOON      (341)         573     (469)


UNITED KINGDOM
--------------
Advance Display                   (3,016)       2,590     (411)
Airtours Plc                        (379)       1,818     (932)
Alldays Plc                         (121)         253     (290)
Amer Bus Sys                        (497)         121     (497)
Amey Plc                  AMY        (49)         932      (76)
Anker Plc                            (22)         115       16
Atkins (WS) Plc           ATK        (46)       1,344       58
Black & Edgingto                    (140)         203       23
BNB Recruitment                      (10)         104       38
Booker Plc                BKRUY      (60)       1,300      (13)
Bradstock Group           BDK         (2)         268        7
British Energy Ltd                (5,823)       4,921      533
British Energy Plc        BGY     (5,823)       4,921      533
British Sky Broadcast               (334)       8,126     (388)
Carlisle Group                       (12)         203       30
Compass Group             CPG       (668)       2,972     (440)
Danka Bus                           (497)         121     (497)
Dawson Holdings                      (18)         226      (63)
Dignity Plc               DTY         (9)         648       71
Easynet Group             ESY.L      (45)         323       68
Electrical and Music
   Industries Group       EMI     (2,266)       2,950     (582)
European Home                        (14)         111      (70)
Farepak Plc                          (14)         111      (70)
Gartland Whalley                     (11)         145      (13)
Hilton Food Group                    (21)         256      (12)
Kleeneze Plc                         (14)         111      (70)
Ladbrokes Plc             LAD       (814)       2,403     (706)
Lambert Fenchurch Group               (1)       1,823        5
Leeds United                         (73)         144      (48)
M 2003 Plc                        (2,205)       7,210   (1,078)
Mytravel Group            MT.L      (380)       1,818     (931)
New Star Asset                      (398)         293       21
Next Plc                            (119)       3,161     (125)
Orange Plc                ORNGF     (594)       2,902       12
Orbis Plc                             (4)         123       (5)
Patientline Plc                      (55)         125      (10)
Preedy Alfred                       (119)       3,161     (125)
Rank Group Plc                      (132)       1,066     (175)
Regus Plc                            (46)         367      (97)
Rentokil Initial                      (8)       4,178     (886)
Saatchi & Saatchi         SSI       (119)         706      (67)
SFI Group                 SUF       (108)         178     (265)
Skyepharma Plc            SKP       (140)         203       23
Smiths News Plc                     (124)         201      (92)
Styles & Wood                        (57)         107       (9)
Telewest
   Communications Plc     TLWT    (3,701)       7,579  (10,039)
Thorn Emi Plc                     (2,266)       2,950     (582)
Topps Tiles Plc                     (111)         195       18
UTC Group                            (12)         204       30
Virgin Mobile                       (392)         166     (176)
Watson & Philip                     (120)         252     (290)

                            *********

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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