TCREUR_Public/081203.mbx         T R O U B L E D   C O M P A N Y   R E P O R T E R

                           E U R O P E

          Wednesday, December 3, 2008, Vol. 9, No. 240

                            Headlines

A U S T R I A

B.Z. LLC: Claims Registration Period Ends December 23
CHEMOFOND LIMITED: Claims Registration Period Ends December 23
JAKUBCOV LLC: Claims Registration Period Ends December 24
NORMA LLC: Claims Registration Period Ends December 24
TECHNO-CONSTRUCT LLC: Claims Registration Period Ends Dec. 16


B E L G I U M

CARMEUSE HOLDING: S&P Downgrades Corporate Credit Rating to 'BB-'


B U L G A R I A

* BULGARIA: Bankruptcy Looms for Textile Firms as Demand Weakens


F R A N C E

DELPHI CORP: Court Allows Reargument of Fraud Claim Order
DELPHI CORP: Court Gives Go Signal for Auction of Exhaust Business
DELPHI CORP: Delays Hearing on Bankruptcy Exit Plan to Dec. 17
DELPHI CORP: Gets Six Months Extension of US$4.35-Bil. DIP Loan
DELPHI CORP: Tranche C Lenders, et al., Balk at DIP Loan Extension

IXIS CORPORATE: Lehman Default Cues Moody's to Withdraw Ratings
MAURITIUS CREDIT: Moody's Withdraws 'B3' Rating on $20 Mil. Swap


G E R M A N Y

FIVE TRADING: Claims Registration Period Ends January 19
FLUGREISEKONTAKT RICHTER: Claims Registration Ends Jan. 13
ISO-TROP GMBH: Claims Registration Period Ends January 12
KRISTALL-FORM GLASVEREDELUNG: Claims Registration Period Jan. 8
MCON GMBH: Claims Registration Period Ends January 16

QIMONDA AG: To Delay Fin'l Results, Warns Liquidity Shortfalls
SOCIETE GENERALE: Moody's Junks Rating on Drachenburg Schuldschein
SPERBER-BAU WILDAU: Claims Registration Period Ends January 9


G R E E C E

NAVIOS MARITIME: S&P Changes Outlook to Stable; Keeps 'BB-' Rating


I C E L A N D

GLITNIR BANKI: Wants Icelandic Court to Administer Assets
ICESAVE: Dutch Savers to Recover EUR100,000 Before Christmas
KAUPTHING BANK: Reykjavik Court Grants Moratorium Until Feb. 13

* German Banks to Form Iceland Creditors' Consortium
* ICELAND: Inflation Rate Soars to Record High of 17.1%


I R E L A N D

CLOVERIE PLC: Moody's Cuts Rating on Series 2004-48 Notes to 'Ba1'
WATERFOOD WEDGWOOD: Defers Semi-Annual Coupon Payment on Notes
WATERFORD WEDGWOOD: Moody's Cuts Corporate Family Rating to 'Caa3'
WATERFOOD WEDGWOOD: Fitch Cuts LT Issuer Default Rating to 'C'
WATERFORD WEDGWOOD: Nonpayment of Coupon Spurs S&P's 'SD' Rating


I T A L Y

ALITALIA SPA: CAI to Sign Takeover Deal on Dec. 12
ISLAND REFINANCING: Moody's Cuts Ratings on Three Note Classes


K A Z A K H S T A N

ARION OIL: Creditors Must File Proofs of Claim by January 16
MELEARD LLP: Creditors' Claims Deadline Slated for January 20
NARYMBAI LLP: Creditors' Claims Filing Period Ends January 20
SPETS ENERGO: Creditors Must Register Claims by January 9
TEMIR STROY INVEST: Creditors' Claims Due on January 20

VSEVOLODOVKA LLP: Creditors Must File Proofs of Claim by Jan. 20
ZELEN STROY: Creditors' Claims Deadline Slated for January 20
ZOLOTOY KOLOS: Creditors' Claims Filing Period Ends January 20


K Y R G Y Z S T A N

BUILDING KG: Creditors Must File Claims by January 14
EURO-TRANS BUS: Creditors Must File Claims by January 14


M A C E D O N I A

* S&P Keeps BB+/B Short-Term Foreign Currency Rating


N E T H E R L A N D S

SOCIETE GENERALE: Moody's Cuts Rating on EUR20 Mil. Notes to 'C'


N O R W A Y

YARA INT'L: To Close NPK Fertilizer Plants in Lithuania and Italy


R U S S I A

DE-PAK LLC: Creditors Must File Claims by December 21
DEL-TRANS LLC: Creditors Must File Claims by January 21
EVRAZ GROUP: Moody's Downgrades Corporate Family Rating to 'Ba2'
HOUSE-BUILDING COMPANY-1: Creditors Must File Claims by Jan. 21
MASH-MET-LIT LLC: Moscow Bankruptcy Hearing Set February 17

NOVATEK OAO: Gas Output Up 9.4% in January to October
PETROLINK-M CJSC: Creditors Must File Claims by December 21
SEVERNAYA KAZNA: Alfa-Bank Acquires Controlling Stake
SIBIRSKIY MINIG: Court Names S. Afanasyev as Insolvency Manager
TNK-BP: To Slash Oil and Petrochemical Exports by 4% in 2008

VALENTA OAO: Fitch Withdraws 'B-' Long-Term Issuer Default Rating
VOKHOMSKIY FLAX: Creditors Must File Claims by December 21
VOLGA-TRANS-STROY LLC: Creditor Must File Claims by December 21
VOLGODONSKIY BUTTER: Creditors Must File Claims by January 21
VOSTOK-TRUBOPROVOD LLC: Creditor Must File Claims by December 21

* RUSSIA: VEB Invests US$3 Billion in Domestic Market
* RUSSIA: VEB to Refinance Commercial Banks' Foreign Debt


S P A I N

CITIGROUP INC: Unit Agrees to Buy Sacyr's Itinere for EUR7.9 Bil.
FTPYME BANCAJA: Moody's Cuts Rating on EUR25.5 Mil. Notes to Caa1
PYME BANCAJA: Moody's Cuts Rating on EUR24.1 Million Notes to Caa1

* SPAIN: Gov't. Launches EUR11 Billion Stimulus Plan


S W E D E N

FORD MOTOR: To Cut CEO's Pay Package & Focus on Making Small Cars


S W I T Z E R L A N D

AUTO PROGRESS: Creditors Must File Proofs of Claim by Dec. 13
EMIRA TRADE: Deadline to File Proofs of Claim Set Dec. 14
FINLEI HOLDING: Creditors Have Until Dec. 14 to File Claims
GENERAL MOTORS: More Cuts Needed to Win Gov't Loan, Says Conway
PERMAG LLC: Proofs of Claim Filing Deadline is Dec. 12

STENHAM MANAGEMENT: Creditors' Proofs of Claim Due by Dec. 13
VALGENTI TRADE: Dec. 13 Set as Deadline to File Claims


T U R K E Y

EREGLI DEMIR: Moody's Changes Outlook on 'Ba3' CFR to Negative


U K R A I N E

AGROSVIT LLC: Creditors Must File Claims by December 13
BABILON LLC: Creditors Must File Claims by December 12
BOMOND-SERVICE: Creditors Must File Claims by December 13
EOL-DON LLC: Creditors Must File Claims by December 13
GPA LLC: Creditors Must File Claims by December 13

KONOTOP PLANT: Creditors Must File Claims by December 13
NOAR LLC: Creditors Must File Claims by December 12
OBRIY LLC: Creditors Must File Claims by December 12
PARITET-AS LLC: Creditors Must File Claims by December 12
TRANSENERGY LLC: Creditors Must File Claims by December 12

VINEGAR-LEAVEN CJSC: Creditors Must File Claims by Dec. 12


U N I T E D   K I N G D O M

AER LINGUS: Tells Shareholders to Reject Ryanair's Renewed Offer
BUDELPACK COSI: Goes Into Administration
CIBO LTD: Appoints Joint Administrators from Grant Thornton
CANNON GROUP: Appoints Joint Administrators from Tenon Recovery
CHROME FUNDING: Moody's Junks Ratings on Three Note Classes

CLARIS LIMITED: Moody's Junks Rating on Series 98/2007 Notes
CLEAR PLC: Eroding Credit Quality Cues Moody's to Junk Ratings
CREST REFRIGERATION: Names Joint Administrators from KPMG
DERMASALVE SCIENCES: Lack of Funding Spurs Insolvency
DOBILAS LTD: Taps Joint Administrators from PKF

DSG INT'L: Posts GBP41 Net Loss for 24 Weeks Ended October 28
DSG INT'L: Weak Performance Cues Moody's to Cut CFR to 'Ba3'
FERRARI'S BAKERY: Goes Into Liquidation
J BURDEKIN: Goes Into Administration; Begbies Traynor Appointed
KAUPTHING SINGER: Court Adjourns Winding-Up Petition to Jan. 29

MARK ONE: Internacional Acquires 85 Stores in Administration
NEW HEIGHTS: Appoints Joint Liquidators from Baker Tilly
SIGMA FINANCE: Moody's Lowers Rating on US$5.9BB Securities to 'C'
TATA MOTORS: Jaguar Land Rover to Lay Off Around 850 Workers
TATA MOTORS: Offers Public 11% Annual Interest on 3-Year Deposits

* UK: Healey Moves to Protect Taxpayers from Iceland Losses
* Detroit Three In Talks With Union to Stop Idled Worker Payment


                         *********


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A U S T R I A
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B.Z. LLC: Claims Registration Period Ends December 23
-----------------------------------------------------
Creditors owed money by LLC B.Z. (FN 283493b) have until
Dec. 23, 2008, to file written proofs of claim to the court-
appointed estate administrator:

         Dr. Charlotte Boehm
         Taborstrasse 10/2
         1020 Wien
         Austria
         Tel: 214 77 10/20
         Fax: 214 77 10-16
         E-mail: boehm@EUnet.at

Creditors and other interested parties are encouraged to attend
the creditors' meeting at 10:10 a.m. on Jan. 8, 2009, for the
examination of claims at:

         Trade Court of Vienna
         Room 1707
         Vienna
         Austria

Headquartered in Vienna, Austria, the Debtor declared bankruptcy
on Oct. 22, 2008, (Bankr. Case No. 2 S 129/08w).


CHEMOFOND LIMITED: Claims Registration Period Ends December 23
--------------------------------------------------------------
Creditors owed money by Chemofond Limited (FN 265935g) have until
Dec. 23, 2008, to file written proofs of claim to the court-
appointed estate administrator:

         Dr. Klemens Dallinger
         Schulerstrasse 18
         1010 Wien
         Austria
         Tel: 513 28 33
         Fax: 513 28 33 22
         E-mail: dallinger@anwaltsteam.at

Creditors and other interested parties are encouraged to attend
the creditors' meeting at 9:50 a.m. on Jan. 8, 200, for the
examination of claims at:

         Trade Court of Vienna
         Room 1707
         Vienna
         Austria

Headquartered in Vienna, Austria, the Debtor declared bankruptcy
on Oct. 22, 2008, (Bankr. Case No. 2 S 131/08i).


JAKUBCOV LLC: Claims Registration Period Ends December 24
---------------------------------------------------------
Creditors owed money by LLC Jakubcov (FN 310660d) have until
Dec. 24, 2008, to file written proofs of claim to the court-
appointed estate administrator:

         Dr. Klemens Dallinger
         Schulerstrasse 18
         1010 Wien
         Austria
         Tel: 513 28 33
         Fax: 513 28 33 22
         E-mail: dallinger@anwaltsteam.at

Creditors and other interested parties are encouraged to attend
the creditors' meeting at 9:45 a.m. on Jan. 7, 2009, for the
examination of claims at:

         Trade Court of Vienna
         Room 2101
         Vienna
         Austria

Headquartered in Vienna, Austria, the Debtor declared bankruptcy
on Oct. 21, 2008, (Bankr. Case No. 38 S 52/08m).


NORMA LLC: Claims Registration Period Ends December 24
------------------------------------------------------
Creditors owed money by LLC Norma (FN 125705k) have until
Dec. 24, 2008, to file written proofs of claim to the court-
appointed estate administrator:

         Dr. Peter Schulyok
         Mariahilfer Strasse 50
         1070 Wien
         Austria
         Tel: 523 62 00
         Fax: 526 72 74
         E-mail: office@sup.at

Creditors and other interested parties are encouraged to attend
the creditors' meeting at 10:00 a.m. on Jan. 7, 2009, for the
examination of claims at:

         Trade Court of Vienna
         Room 2101
         Vienna
         Austria

Headquartered in Vienna, Austria, the Debtor declared bankruptcy
on Oct. 22, 2008, (Bankr. Case No. 38 S 54/08f).


TECHNO-CONSTRUCT LLC: Claims Registration Period Ends Dec. 16
-------------------------------------------------------------
Creditors owed money by LLC Techno-Construct have until Dec. 16,
2008, to file written proofs of claim to the court-appointed
estate administrator:

         Dr. Eva-Maria Bachmann-Lang
         Opernring 8
         1010 Wien
         Tel: 512 87 01-Serie
         Fax: 513 82 50
         E-mail: bachmann.rae@aon.at

Creditors and other interested parties are encouraged to attend
the creditors' meeting at 12:00 p.m. on Dec. 30, 2008, for the
examination of claims at:

         Trade Court of Vienna
         Room 1607
         Vienna
         Austria

Headquartered in Vienna, Austria, the Debtor declared bankruptcy
on Oct. 30, 2008, (Bankr. Case No. 28 S 139/08g).


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CARMEUSE HOLDING: S&P Downgrades Corporate Credit Rating to 'BB-'
-----------------------------------------------------------------
Standard & Poor's Ratings Services said that it has lowered to
'BB-' from 'BB+' its long-term corporate credit rating and issue
ratings on Belgium-based lime producer Carmeuse Holding S.A. and
kept all ratings on CreditWatch with negative implications.  S&P's
'3' recovery ratings on the various debt instruments remain
unchanged.

"The downgrade reflects our view that Carmeuse has shifted to a
more aggressive financial policy, with limited covenant leeway and
leverage well above the stated target for a longer period than
anticipated of more than one year," said S&P's credit analyst
Lucas Sevenin.

"This is combined with the likelihood of much weaker metrics than
S&P previously expected and clear downside risks given the
deterioration in operating trends in steel and construction end
markets," said Mr. Sevenin.

Our CreditWatch placement reflects primarily the refinancing and
equity increase process, which is not yet finalized.

S&P expects to resolve the CreditWatch status in mid-December,
when Carmeuse anticipates closing the new financing and the equity
increase.  If these plans succeed, S&P will once more evaluate the
2009 EBITDA prospects, but any further rating adjustment would
probably be limited to one notch.  However, if the equity and
refinancing do not go through as expected, additional liquidity
pressure could mount, which would make a multinotch downgrade
possible.


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* BULGARIA: Bankruptcy Looms for Textile Firms as Demand Weakens
----------------------------------------------------------------
Balkan Insight reports that industry officials warned half of
Bulgaria's 4,600 textile firms could go bankrupt and some 48,000
people lose their jobs next year due to weak demand as a result of
the global financial crisis.

Citing Georgi Topchiev, head of the textile producers, the Balkan
Insight discloses the country's textile industry, which exports 80
percent of its output to European Union countries, has already
felt a sharp drop in orders and was working at 50 percent of its
capacity.

According to Balkan Insight, the sector, which makes up eight
percent of the country's exports, called on the government to cut
taxes and step up the fight against the smuggling of Turkish and
Chinese textiles to cushion the impact of the crisis.

Balkan Insight however notes that while the Bulgarian government
indicated it will take steps to ease businesses' access to
financing, it has not discussed measures to stimulate the economy
like value-added tax cuts.

                          *     *     *

As reported in the TCR-Europe on Nov. 13, 2008, Fitch Ratings
downgraded the sovereign rating of Bulgaria.

The downgrade reflects the increasing risk of a recession in
response to a marked decline in external financing flows, which
will necessitate a sharp contraction in domestic demand to rein in
the current account deficit.  However, given the strong sovereign
balance sheet -- large fiscal reserves mean that
government net financial liabilities are virtually zero -- and the
broad-based commitment to the currency board arrangement (CBA),
Fitch believes the risk of recession broadening into a deeper
economic and financial crisis over the medium-term is limited and
consistent with a Stable Outlook.


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F R A N C E
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DELPHI CORP: Court Allows Reargument of Fraud Claim Order
---------------------------------------------------------
Judge Robert Drain of the U.S. Bankruptcy Court for the Southern
District of New York has issued a ruling with respect to Appaloosa
Management, L.P. and A-D Acquisition Holdings, LLC's request under
Rule 9023 of the Federal Rules of Bankruptcy Procedure, and Rule
9023-1 of the Local Rules for the United States Bankruptcy
Court for the Southern District of New York, for an order:

   (i) granting reargument of the Court's August 11, 2008,
       decision and, upon reargument, dismissing:

         * Claims One (Breach of Contract against Investors
           under the Equity Purchase and Commitment Agreement)
           and Two (Breach of Contract against the parties to
           the Commitment Letter Agreements) to the extent that
           such claims seek specific performance or damages
           against ADAH and AMLP in excess of US$250 million and

         * Claims Three (claim for all defendants to perform
           under Delphi's confirmed plan pursuant to Section
           1142 of the Bankruptcy Code) and Four (claim of
           fraud against Appaloosa) as against ADAH and AMLP,
           and

(ii) striking paragraphs 71 through 83, 129, 130, and 132 of
      the Complaint, which provides for, among many
      allegations, that even before the Court confirmed
      Delphi's Plan of Reorganization on Jan. 25, 2008,
      Appaloosa engaged in efforts to avoid its obligations
      under the EPCA and undermine the consummation of the
      Plan.
2
In his short ruling, Judge Drain said that he is granting AMLP
and ADAH's motion to reargue and strike, to the extent of hearing
reargument.  "The motion in all other respects, is denied," he
ruled.

Delphi Corp., in May 2008, sued AMLP and other parties in light of
their refusal to comply with their prior agreement to provide
US$2,550,000,000 in equity exit financing to Delphi.  Appaloosa's
termination of their EPCA stalled the consummation of Delphi's
Plan of Reorganization, which was confirmed by the Court January
25, 2008, and kept Delphi in Chapter 11.

The defendants to Delphi's US$2.55-billion lawsuit are:

     - Appaloosa Management L.P.;
     - A-D Acquisition Holdings, LLC;
     - Harbinger Del-Auto Investment Company, Ltd.;
     - Pardus DPH Holding LLC;
     - Merrill Lynch, Pierce, Fenner & Smith Incorporated;
     - Goldman Sachs & Co.;
     - Harbinger Capital Partners Master Fund I, Ltd.;
     - Pardus Special Opportunities Master Fund L.P.; and
     - UBS Securities LLC.

Delphi still insists that Appaloosa wrongfully terminated the
EPCA and disputes the allegations that it breached the EPCA or
failed to satisfy any condition to the Investors' obligations
thereunder as asserted by Appaloosa in its April 4 letter.

Delphi's fraud claims rely upon the events and allegations made
by Delphi in Paragraphs 71-83 of its US$2,550,000,000 lawsuit
against Appaloosa and other parties.  The allegations included
that even before the Court confirmed Delphi's Plan of
Reorganization on Jan. 25, 2008, Appaloosa engaged in efforts to
avoid its obligations under the EPCA and undermine the
consummation of the Plan.

Appaloosa notes that while those "unsupported and incorrect
allegations" have been dismissed as against every other
defendant, Delphi continues to advance the false allegations as
the "core" of its claims against Appaloosa.  Accordingly,
Appaloosa asked the Court to strike Par. 71-83.

According to Reuters, Judge Drain said at a hearing on Oct. 8
that that he will reconsider Delphi's fraud claim against
Appaloosa that he had earlier dismissed.  "It seems to me that I
was unclear in what aspects of the allegations needed to be dealt
with," Judge Drain said.  "I may well have been wrong."

In that light, the parties submitted various memorandums that
back their positions with respect to Delphi's fraudulent omission
claim against Appaloosa.  Delphi wants its fraudulent omission
claim reinstated, citing that the claim is in compliance with Rule
9(b) of the Federal Rules of Civil Procedure.

                     About Delphi Corp.

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

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

The Court approved Delphi's First Amended Joint Disclosure
Statement and related solicitation procedures for the solicitation
of votes on the First Amended Plan on Dec. 20, 2007.  The Court
confirmed the Debtors' First Amended Plan on Jan. 25, 2008.  The
Plan has not been consummated after a group led by Appaloosa
Management, L.P., backed out from their proposal to provide
US$2,550,000,000 in equity financing to Delphi.
(Delphi Bankruptcy News, Issue No. 151; Bankruptcy Creditors'
Service Inc., http://bankrupt.com/newsstand/or 215/945-7000)


DELPHI CORP: Court Gives Go Signal for Auction of Exhaust Business
------------------------------------------------------------------
The U.S. Bankruptcy Court for the Southern District of New York
approved the proposed bidding and auction procedures for the sale
of Delphi Corp.'s exhaust business.

The Official Committee of Unsecured Creditors in Delphi's cases
says that it is particularly concerned that the sale of the
exhaust business may not at that price may not benefit the
Debtors, and it could be more advantageous to retain the business.
The Committee, though, has not filed a formal objection to the
sale, noting that its professionals have not yet had the
opportunity to complete its due diligence with respect to the
contemplated transaction.

As reported by the Troubled Company Reporter, Delphi Corp., and
its debtor affiliates Delphi Automotive Systems LLC, and Delphi
Technologies, Inc., sought permission to sell their exhaust
business to Bienes Turgon S.A. de C.V., subject to further market
test through an auction on December 11.

John Wm. Butler, Jr., Esq., at Skadden, Arps, Slate, Meagher
& Flom LLP, in Chicago, Illinois, relates that as part of its
transformation plan, Delphi has identified its exhaust business
as a non-core business subject to disposition.  Accordingly,
following broad marketing efforts, on November 10, 2008, Delphi
Corp. and its debtor and non-debtor affiliates entered into a
Master Sale and Purchase Agreement with Bienes Turgon S.A. de
C.V.

The Agreement contemplates a global divestiture of the Exhaust
Business to Bienes Turgon for a purchase price of US$17 million,
subject to certain adjustments.

                 Sale of Global Exhaust Biz.

Delphi's global exhaust emissions business produces a broad array
of catalytic converters and related assemblies that are sold
globally and used in a variety of gas and diesel emissions
control applications. The company began making catalytic
converters in 1974 as the AC Spark Plug division of GM and at the
time of the Spin-Off, the operations became part of Delphi. The
Exhaust Business is part of Delphi's Powertrain business, a core
business of the Company.  The Exhaust Business has a global
platform with operations at six primary manufacturing sites in
Australia, China, India, Mexico, Poland, and South Africa, all
of which -- other than the Mexican and South African sites --
also manufacture other Delphi products.

Except for the Mexican site where Delphi Entities hold a minority
interest in one joint venture, Katcon S.A. de C.V., all sites are
wholly-owned or controlled by the Delphi Entities.  Sixty percent
of the Katcon joint venture is owned by Bienes Turgon and 40% is
owned by Delphi Corp's non-Debtor affiliate, Delphi Controladora,
S.A. de C.V.  Delphi Automotive Systems (Holding), Inc. owns
99.99% of DCSA, and Delphi International Holdings Corp. owns .01%
of DCSA.  Both DASHI and DIH are Debtors.  Pursuant to this
transaction, the applicable non-Debtor Seller will be selling its
equity interest in Katcon.

In addition to certain engineering capabilities at the
manufacturing sites, the Exhaust Business also has engineering
resources located at technical centers in Luxembourg and Michigan
where engineering personnel carry out their responsibilities to
develop and test the Exhaust Business' products and associated
processes.

The dedicated workforce for the Exhaust Business is comprised of
approximately 135 salaried and 158 hourly employees.  Of these
employees, 23 are U.S. employees, all of whom are salaried
employees (primarily engineers).

The Exhaust Business is benefiting because of increasingly
stringent regulatory exhaust emission requirements in the global
market which aim to reduce noxious emissions. For the year ended
December 31, 2007, the Exhaust Business achieved revenue of
US$294.4 million and EBITDA of US$19.1 million on a pro-forma
basis, excluding certain Delphi

Because of the increasingly stringent environmental requirements,
the company believes that with the right buyer, the Exhaust
Business has strong growth prospects.  The revenue from the
Exhaust Business is comprised of two different value streams: (i)
76% is through a customer-directed purchase process through which
the Delphi Entities obtain catalyst material from a specified
supplier and pass it to the customer, receiving a handling fee
but not otherwise adding value to the product and (ii) 24% is
generated from sale of product to which Delphi has added content,
thereby increasing its value.

Nearly two-thirds of the Exhaust Business sales are to GM and its
affiliates, virtually all of which is sold outside of the U.S.
In addition to its customer relationship with GM, the Exhaust
Business has customer relationships with many other leading
original equipment manufacturers, including AvtoVAZ, Brilliance,
Ford, and Renault.

                      Bidding Procedures

The Sale of the Exhaust Business would be subject to higher or
otherwise better offers.

The Debtors propose a December 8, 2008 at 11 a.m. (prevailing
Eastern time) deadline to submit bids for the Exhaust Business.
In light of the short timeframe, the Debtors are commencing the
process of contacting potential bidders and will open the virtual
data room to such parties even prior to Nov. 24 hearing.

Bids must at least have a value equal to the purchase price plus
the amount of the Break-Up Fee, plus US$650,000 (approximately
US$18,160,000).

If the Selling Debtor Entities receive at least one "qualified
bid" in addition to that of the Bienes Turgon, they would conduct
an auction on December 11, 2008.

Delphi will seek approval of the sale to Bienes Turgon or to the
winning bidder on December 17, 2008 at 10:00 a.m.  Objections are
due December 10, 2008 at 4:00 p.m.

A full-text copy of the Court-approved Bid Procedures is available
for free at:

  http://bankrupt.com/misc/delphi_exhaust_bsns_bidprocedures.pdf

                     About Delphi Corp.

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

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

The Court approved Delphi's First Amended Joint Disclosure
Statement and related solicitation procedures for the solicitation
of votes on the First Amended Plan on Dec. 20, 2007.  The Court
confirmed the Debtors' First Amended Plan on Jan. 25, 2008.  The
Plan has not been consummated after a group led by Appaloosa
Management, L.P., backed out from their proposal to provide
US$2,550,000,000 in equity financing to Delphi.
(Delphi Bankruptcy News, Issue No. 151; Bankruptcy Creditors'
Service Inc., http://bankrupt.com/newsstand/or 215/945-7000)


DELPHI CORP: Delays Hearing on Bankruptcy Exit Plan to Dec. 17
--------------------------------------------------------------
The hearing to consider preliminary approval of the Delphi Corp.'
and its affiliates' proposed modifications to their confirmed
First Amended Joint Plan of Reorganization has been adjourned to
10:00 a.m. on December 17, 2008.

Delphi presented to the U.S. Bankruptcy Court for the Southern
District of New York changes to an already confirmed Plan after
Appaloosa Management, L.P., and other investors backed out from
their commitment to provide US$2.550 billion in exit financing.
The new plan does not require financing from plan investors, but
requires more funding from primary customer General Motors Corp.,
which is facing its own liquidity crisis, and US$3.75 billion from
an exit debt financing and a rights offering.

The Preliminary Plan Modification Hearing has been adjourned
three times.  Under the original schedule, the Debtors
contemplated an October 23, 2008 preliminary hearing and
emergence from bankruptcy by Dec. 31, 2008.

Delphi Corp. has signed deals with General Motors Corp. and its
DIP Lenders, led by JPMorgan Chase Bank, N.A., in order to have
access to borrowed cash until mid-2009.  The Debtors' financing
deals mature Dec. 31, 2008.

On Oct. 3, the Debtors submitted proposed modifications to their
Plan of Reorganization.  Under the modified plan, the Debtors
targeted a Dec. 17 confirmation hearing, and a Chapter 11 exit by
year-end.   The modified plan does not require, in addition to
US$4,700,000,000 of debt exit financing, Appaloosa's
US$2,550,000,000 cash-for-equity investment, which was the
highlight of the Court-confirmed, but unconsummated, Jan. 25, 2008
PoR.  The modified plan requires debt exit financing of US$2.75
billion plus a US$1,000,000,000 raised through a rights offering.

Delphi, however, has said that "in the face of the current
unprecedented turbulence in the credit markets and uncertainty in
the automobile industry," it does not anticipate emerging from
chapter 11 prior to December 31, 2008, when its financing deals
mature.

"Despite the efforts of the federal government to provide
stability to the capital markets and banks, the markets have
remained extremely volatile and liquidity in the capital markets
has been nearly frozen, resulting in an unprecedented challenge
for the Debtors to successfully attract emergence capital funding
for their Modified Plan, particularly in light of the current
conditions in the global automotive industry," John Wm. Butler,
Jr., Esq., at Skadden, Arps, Slate, Meagher & Flom LLP, in
Chicago, Illinois, said, in a court filing.

In its third quarter report on Form 10-Q, General Motors Corp.,
Delphi's primary customer, admitted, "Given the current credit
markets and the challenges facing the automotive industry, there
can be no assurance that Delphi will be successful in obtaining
US$3.8 billion in exit financing to emerge from bankruptcy."

GM has recorded Delphi-related charges US$4.1 billion for nine
months ended Sept. 30, 2008.  GM recorded a net loss of
US$2,542,000,000 on US$37,503,000,000 of revenues for three months
ended Sept. 30, 2008, compared with a net loss of
US$38,963,000,000 on US$43,002,000,000 of sales during the same
period in 2007.

General Motors, along with Ford Motor Company and Chrysler LLC,
has asked Congress to grant the U.S. carmakers access to
US$25 billion of the US$700 billion Troubled Asset Relief Program
approved by Congress to bail out financial institutions.
Congress is expected to tackle on Nov. 18 and 19 the proposed
bailout, which, according to reports, may be necessary to save
the U.S. automakers from collapse or bankruptcy.

A bankruptcy filing for GM could shatter its former unit Delphi's
plans to finally exit bankruptcy this year or early next year,
according to a report by Bloomberg News.  "If GM fails, it's
likely the Delphi reorganization fails, and Delphi converts to a
case under Chapter 7 -- a liquidation," Nancy Rapoport, a law
professor at the University of Nevada-Las Vegas, in an e-mail,
according to Bloomberg News.  "For the creditors of Delphi, this
of course isn't optimal, and the usual issues in Chapter 7,
determining the liquidation value of the company, will apply."

                     About Delphi Corp.

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

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

The Court approved Delphi's First Amended Joint Disclosure
Statement and related solicitation procedures for the solicitation
of votes on the First Amended Plan on Dec. 20, 2007.  The Court
confirmed the Debtors' First Amended Plan on Jan. 25, 2008.  The
Plan has not been consummated after a group led by Appaloosa
Management, L.P., backed out from their proposal to provide
US$2,550,000,000 in equity financing to Delphi.
(Delphi Bankruptcy News, Issue No. 151; Bankruptcy Creditors'
Service Inc., http://bankrupt.com/newsstand/or 215/945-7000)


DELPHI CORP: Gets Six Months Extension of US$4.35-Bil. DIP Loan
-------------------------------------------------------------
Delphi Corp. won approval from the U.S. Bankruptcy Court for the
Southern District of New York to extend until June 30, 2009, the
maturity date of its US$4.35 billion DIP financing, Bloomberg News
reports.

Delphi, according to the report, can use proceeds from its
US$4.35 billion bankruptcy loan to fund operations while working
to emerge from Chapter 11 protection.  Delphi previously
contemplated a Dec. 31, 2008 emergence from bankruptcy but has
found difficulty accessing credit.

Delphi in October presented to the Bankruptcy Court changes to an
already confirmed Plan after Appaloosa Management, L.P., and other
investors backed out from their commitment to provide US$2.550
billion in exit financing.  The new plan does not require
financing from plan investors, but requires more funding from
primary customer General Motors Corp., which is facing its own
liquidity crisis, and US$3.75 billion from an exit debt financing
and a rights offering.  Delphi has deferred seeking approval of
the plan and has instead sought an extension if its bankruptcy
loan.

The Debtors, on Nov. 7, filed with the Bankruptcy Court sought
authority to continue their use of the proceeds from their DIP
Facility through June 30, 2009, by entering into an accommodation
agreement with JPMorgan Chase Bank, N.A., as administrative agent,
and certain lenders that constitute the majority of holders by
amount of Delphi's two most senior tranches of its DIP Credit
Facility -- the "Required Lenders".

Delphi stated that while the original form of the accommodation
agreement was acceptable to GM, Delphi agreed with GM to
reconsider certain of the subsequent amendments agreed to between
Delphi and the "required lenders" under the DIP Facility.
Delphi stated its intent to engage in discussions with GM and
certain of Delphi's lenders under the existing DIP financing
agreement in an attempt to identify acceptable changes to the
documents presented to the Court.

Delphi said that when filed, the Accommodation Agreement
reflected the support of the administrative agent and the
anticipated support of the Required Lenders for Delphi's
transformation efforts, despite the current economic downturn and
the unprecedented turmoil in the capital markets.  The company
made various changes to the Accommodation Agreement since the
Nov. 7 filing in order to obtain support from as many DIP lenders
as practicable and has received signature pages from more than
the Required Lenders needed to implement the agreement.

     Delphi Will Go Through Half Its Cash By March

Delphi, in a Nov. 28 filing with the Securities and Exchange
Commission said that it would provide supplemental financial in
connection with their solicitation of lenders' consents to the
Accommodation Agreement.  This information includes near-term
forecast updates to cash flows and liquidity levels through
March 31, 2009:

     (in millions)        2008               |      2009
  -------------------------------------------|------------------
                     Actual      |         Projected
  Cash       June    Sep    Oct  | Nov   Dec |   Jan   Feb   Mar
  --------------------------------------------------------------
  U.S. Cash  US$148 US$1,136   US$793   US$417  US$198 |   US$34
US$28   US$26
                                             |
  Non-U.S.                                   |
  Cash        985    788    843    862 1,176 |   935    857  715
  --------------------------------------------------------------
  Consoli-  1,133  1,904  1,636  1,279 1,374 |   969    885  741
  ted Cash                                   |
  --------------------------------------------------------------
  Availa-
  bility

  DIP         613    138     46      -     - |     -     -     -
  GM
  Support     300      -      -    300   300 |   300    215  110
  --------------------------------------------------------------
  Total    US$  913   US$138    US$46   US$300  US$300 |  US$300
US$215 US$110
  Avai-
  lability                                   |
  --------------------------------------------------------------
  Cash and                                   |
  Availa-                                    |
  bility   US$2,046 US$2,042 US$1,682 US$1,579 US$1,674 US$1,269
US$1,100 US$851
  =3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=
=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=
=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D
  DIP                                        |
  Revolver                                   |
  Balance     311    465    511    397    397|   370    370  370
  GM Agreement                               |
  Balance       -      -      -     -       -      _     85  190
                                             |
  Memo: Borrowing Base Cash Collateral       |
                 -     -      -      -    200|   200    155  150

According to Bloomberg News, the disclosure means that Delphi
will burn through US$633 million in cash from December through
March, or almost half its reserves.

The Debtors' US$4,350,000,000 DIP facility consists of:

  Tranche        Facility
  -------        --------
     A           US$1,100,000,000 first priority revolving
                 Credit facility

     B           US$500,000,000 first priority term loan

     C           Approximately US$2,750,000,000 second priority
                 term loan.

Through the Accommodation Agreement, certain Tranche A Lenders
and Tranche B Lenders would agree to, among other things, allow
the Debtors to continue using the proceeds of the DIP Facility
notwithstanding, among other things, the DIP Facility's maturity
date of December 31, 2008.

Delphi is facing opposition from some of its lenders, who,
according to CNNmoney.com, say the other lenders who agreed to
the extension arranged a "sweetheart deal" for themselves.  The
third lender group who said the arrangement would "trample" their
rights by giving additional liens to the other lenders that have
consented to the change, Dow Jones reports.

The lenders that are opposing the loan changes said their
collateral is at risk as Delphi burns through cash.  The opposing
lenders also said a subset of lenders, led by JPMorgan, would see
US$200 million in unsecured claims elevated to first-priority lien
status.

                     About Delphi Corp.

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

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

The Court approved Delphi's First Amended Joint Disclosure
Statement and related solicitation procedures for the solicitation
of votes on the First Amended Plan on Dec. 20, 2007.  The Court
confirmed the Debtors' First Amended Plan on Jan. 25, 2008.  The
Plan has not been consummated after a group led by Appaloosa
Management, L.P., backed out from their proposal to provide
US$2,550,000,000 in equity financing to Delphi.
(Delphi Bankruptcy News, Issue No. 151; Bankruptcy Creditors'
Service Inc., http://bankrupt.com/newsstand/or 215/945-7000)


DELPHI CORP: Tranche C Lenders, et al., Balk at DIP Loan Extension
------------------------------------------------------------------
Greywolf Capital Management, LP, Tranche C Lender under Delphi
Corp.'s DIP Credit Agreement, opposes an extension of the loan's
maturity date, contending that Delphi sought an extension of the
maturity date, without adhering to the requirements of the DIP
Facility.

As reported in today's Troubled Company Reporter, according to a
Bloomberg News report, Delphi won approval from the U.S.
Bankruptcy Court for the Southern District of New York to extend
until June 30, 2009, the maturity date of its US$4.35 billion DIP
financing.

Ronald R. Sussman, Esq. at Cooley Godward Kronish LLP, in New
York, notes that Delphi, expecting that DIP Lenders' unanimous
consent for the extension of the maturity date of the DIP Credit
Agreement is not possible, seeks to force Greywolf into
indentured servitude by holding by hostage for an additional six
months, its funds in excess of US$100,000,000, Mr. Sussman says.
This, he adds is in direct contravention of the terms of the DIP
Credit Agreement.

To note, the extension of the maturity date of the DIP Credit
Agreement is prohibited by the plain terms of the DIP Credit
Agreement.  The extension of the maturity date of the DIP Credit
Agreement can only be obtained through a unanimous consent of all
the Lenders, Mr. Sussman contends.

M.D. Sasse Re/Enterprise Portfolio Company L.P., another Tranche
C Lender, shares Greywolf's contentions regarding the need for
the Debtors to get a unanimous consent of the Lenders as a
requirement to obtain approval to supplement the DIP Credit
Agreement.

Other Tranche C Lenders also asked the Court to deny the terms of
the proposed extension, citing that Delphi is seeking to elevate
US$200,000,000 of pre-existing unsecured hedging obligations to
first priority liens status, thereby diluting the liens held by
all first-lien lenders and priming holders of Tranche C Loans,
with all these being done to the Lenders at a time when
macroeconomic conditions and the automotive industry in
particular, are their weakest point in decades.  Furthermore, the
Tranche C Collective asks the Court, pursuant to Sections 361(e)
and 363(e) of the Bankruptcy Code in exchange for the Debtors'
continued use of the collateral in these Chapter 11 cases.

The Tranche C collective is composed of these Lenders:

-- Sberdeen Loan Funding Ltd.
-- Anchorage Capital Master Offshore, Ltd.
-- Anchorage Crossover Credit Offshore Master Fund, Ltd.
-- Carlson Capital, L.P
-- Geer Mountain Financing Ltd.
-- Highland Credit Opportunities CDO Ltd.
-- Hillmark Funding Ltd.
-- Luxor Capital, LLC
-- Mariner LDC
-- Mariner Tricadia Credit Strategies Master Fund Ltd.
-- Monarch Alternative Capital LP
-- OHP CBNA Funding LLC
-- Pentwater Credit Partners, Ltd.
-- RiverSource Investments, LLC
-- Silver Point Capital Fund, L.P.
-- Spectrum Investment Partners, L.P.
-- Stoney Lane Funding Ltd.
-- Tricadia Distressed and Special Situations Master Fund Ltd.
-- West Gate Horizon Advisors
-- WhiteHorse I, Ltd.
-- Whitehorse II, Ltd.
-- Whitehorse III, Ltd.
-- Whitehorse IV, Ltd.

Susheel Kirpalani, Esq., at Quinn Emmanuel Urquhart Oliver &
Hedges, LLP, in New York, told the Court that the relief requested
by the Tranche C Collective is narrowly tailored to the harms to
be avoided, and is warranted when:

(i) traditional means of adequate protection are not available
     based on the unique facts of these cases; and

(ii) the Accommodation Agreement ensures the Collateral's trend
     toward decline will continue at alarming rate.

Moreover, Mr. Kirpalani asserts, in operating the Debtors'
businesses post-maturity, the Court should take measures,
pursuant to Section 1107(a) of the Bankruptcy Code, to establish
a closer watch over the estates and ensure that the rights of all
parties in interest are continuously monitored consistent with
the Bankruptcy Code, including the priority provisions therein
and pursuant to the Court's prior DIP financing orders.

Select Tranche A and B Lenders also objected to the Accommodation
Agreement.  Calyon New York Branch, a Tranche A Lender under the
DIP Credit Agreement, asked the Court to deny the Debtors' motion
or in the alternative, direct the Debtors and their Agents to
count votes for or against the proposed Accommodation Agreement in
accordance with the voting rules set out in the DIP Credit
Agreement.  Calyon contends that there are provisions of the DIP
Credit Agreement that prohibit modifications of the type sought in
the Proposed Accommodation Agreement which the Debtors did not
discuss in their motion.

In an addition, an ad hoc group of Tranche A and B DIP Lenders
asked the Court to direct the Debtors to provide adequate
protection for the use of their collateral.  Represented by David
Neier, Esq., at Winston & Strawn LLP, in New York, the Ad Hoc
Group clarifies that it would support an accommodation agreement
in aid of the Debtors' reorganization. However, the Ad Hoc Group
wants the Accommodation Agreement, in its current form, denied
because, among other things, the Debtors seek to provide liens for
US$200,000,000 of presently unsecured  Hedging Obligations of the
Debtors, and the liens will be pari passu with the DIP liens
granted to the Ad Hoc Group, even though the Debtors will be
in default of the DIP Credit Agreement on the maturity date,
December 31, 2008.

Other key parties, like the Official Committee of Equity Security
Holders and the Official Committee of Unsecured Creditors,
expressed support on the Accommodation Agreement.  The Equity
Committee said some of the lenders have been overreaching in
certain respects, however it believes that the Debtors have sought
the best and most beneficial arrangement they deem possible while
attempting to resolve the issues raised by the lenders under the
DIP Facility.

The Creditors Committee says that while it does not object to
other concessions the Debtors propose to make to the DIP lenders
in the Accommodation Agreement, including to the Tranche C
lenders, the Committee submits that granting voting rights where
none currently exist makes little sense and increases the risk
that actions of the Tranche C lenders may negatively affect the
Debtors' restructuring efforts.

The Debtors, in response to the objections, say that
notwithstanding the various objections filed in opposition to the
Accommodation Motion, nearly all of the Objecting Lenders actually
agree that an accommodation is the preferred outcome.

                     About Delphi Corp.

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

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

The Court approved Delphi's First Amended Joint Disclosure
Statement and related solicitation procedures for the solicitation
of votes on the First Amended Plan on Dec. 20, 2007.  The Court
confirmed the Debtors' First Amended Plan on Jan. 25, 2008.  The
Plan has not been consummated after a group led by Appaloosa
Management, L.P., backed out from their proposal to provide
US$2,550,000,000 in equity financing to Delphi.
(Delphi Bankruptcy News, Issue No. 151; Bankruptcy Creditors'
Service Inc., http://bankrupt.com/newsstand/or 215/945-7000)


IXIS CORPORATE: Lehman Default Cues Moody's to Withdraw Ratings
----------------------------------------------------------------
Moody's Investors Service has withdrawn its ratings on four credit
default swaps entered into by IXIS Corporate and Investment Bank.

These swaps were terminated early following the default of the
swap counterparty, Lehman Brothers.

The rating actions are:

(1) US$15,000,000 Jules 2004-1 Credit Default Swap terminating in
2011

  -- Current Rating: WR
  -- Prior Rating: Baa3
  -- Prior Rating Action Date: Nov. 20, 2008

(2) US$15,000,000 Jules 2004-2 Credit Default Swap terminating in
2011

  -- Current Rating: WR
  -- Prior Rating: A3
  -- Prior Rating Action Date: Nov. 20, 2008

(3) US$15,000,000 Fornet Series 2005-1 Credit Default Swap
terminating in 2011

  -- Current Rating: WR
  -- Prior Rating: Caa1
  -- Prior Rating Action Date: Nov. 20, 2008

(4) US$15,000,000 Fornet Series 2005-2 Credit Default Swap
terminating in 2011

  -- Current Rating: WR
  -- Prior Rating: Ba1
  -- Prior Rating Action Date: Nov. 20, 2008


MAURITIUS CREDIT: Moody's Withdraws 'B3' Rating on $20 Mil. Swap
----------------------------------------------------------------
Moody's Investors Service has withdrawn its rating on the
Mauritius Credit Default Swap entered into by Calyon.

This swap was terminated early following the default of its swap
counterparty, Lehman Brothers.

This rating action is:

(1) US$20,000,000 Mauritius Credit Default Swap terminating in
2011

  -- Current Rating: WR
  -- Prior Rating: B3
  -- Prior Rating Action Date: Nov. 20, 2008


=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D
G E R M A N Y
=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D=3D


FIVE TRADING: Claims Registration Period Ends January 19
--------------------------------------------------------
Creditors of Five Trading GmbH have until Jan. 19, 2009, to
register their claims with court-appointed insolvency manager.

Creditors and other interested parties are encouraged to attend
the meeting at 9:00 a.m. on Feb. 19, 2009, at which time the
insolvency manager will present his first report.

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

Claims set out in the insolvency manager's report will be verified
by the court during this meeting.  Creditors may also constitute a
creditors' committee or opt to appoint a new insolvency manager.

The insolvency manager can be reached at:

         Hendrik Rogge
         Haferweg 22
         22769 Hamburg
         Germany

The District Court opened bankruptcy proceedings against the
company on Nov. 21, 2008.  Consequently, all pending proceedings
against the company have been automatically stayed.

The Debtor can be reached at:

         Five Trading GmbH
         Attn: Johnnie Geries, Manager
         Lippeltstrasse 1
         20097 Hamburg
         Germany


FLUGREISEKONTAKT RICHTER: Claims Registration Ends Jan. 13
----------------------------------------------------------
Creditors of Flugreisekontakt Richter GmbH have until Jan. 13,
2009, to register their claims with court-appointed insolvency
manager.

Creditors and other interested parties are encouraged to attend
the meeting at 9:30 a.m. on Feb. 3, 2009, at which time the
insolvency manager will present his first report.

The meeting of creditors will be held at:

         The District Court of Hagen
         Meeting Hall 252
         Second Floor
         Heinitzstrasse 42/44
         58097 Hagen
         Germany

Claims set out in the insolvency manager's report will be verified
by the court during this meeting.  Creditors may also constitute a
creditors' committee or opt to appoint a new insolvency manager.

The insolvency manager can be reached at:

         Dr. Dirk Andres
         Grabenstr. 28
         58095 Hagen
         Germany

The District Court opened bankruptcy proceedings against the
company on Nov. 19, 2008.  Consequently, all pending proceedings
against the company have been automatically stayed.

The Debtor can be reached at:

         Flugreisekontakt Richter GmbH
         Attn: Petra Carmen Richter, Manager
         Ihnestr. 11
         58540 Meinerzhagen
         Germany


ISO-TROP GMBH: Claims Registration Period Ends January 12
---------------------------------------------------------
Creditors of Iso-Trop GmbH have until Jan. 12, 2009, to register
their claims with court-appointed insolvency manager.

Creditors and other interested parties are encouraged to attend
the meeting at a.m. on MD, at which time the insolvency manager
will present his first report.

The meeting of creditors will be held at:

CRT+

Claims set out in the insolvency manager's report will be verified
by the court during this meeting.  Creditors may also constitute a
creditors' committee or opt to appoint a new insolvency manager.

The insolvency manager can be reached at:

         Tim F. Gatcke
         Vogelberg 38
         29227 Celle
         Germany
         Tel: 05141/4870934
         Fax: 05141/4870935
         E-mail: k.lange@wedlerundgaetcke.de

The District Court opened bankruptcy proceedings against the
company on RD.  Consequently, all pending proceedings against the
company have been automatically stayed.

The Debtor can be reached at:

         Iso-Trop GmbH
         Attn: Ulrike Vogel, Manager
         Hauptstr. 26
         29364 Langlingen
         Germany


KRISTALL-FORM GLASVEREDELUNG: Claims Registration Period Jan. 8
---------------------------------------------------------------
Creditors of Kristall-Form Glasveredelung GmbH & Co. KG. have
until Jan. 8, 2009, to register their claims with court-appointed
insolvency manager.

Creditors and other interested parties are encouraged to attend
the meeting at 9:00 a.m. on Feb. 12, 2009, at which time the
insolvency manager will present his first report.

The meeting of creditors will be held at:

         The District Court of Osnabrueck
         Branch N 301
         Kollegienwall 10
         49074 Osnabrueck
         Germany

Claims set out in the insolvency manager's report will be verified
by the court during this meeting.  Creditors may also constitute a
creditors' committee or opt to appoint a new insolvency manager.

The insolvency manager can be reached at:

         Axel Klages
         Schlossstrasse 26
         49074 Osnabrueck
         Germany
         Tel: (0541) 77063-0
         Fax: (0541) 77063-33
         E-mail: info@kanzlei-tkb.de

The District Court opened bankruptcy proceedings against the
company on Nov. 25, 2009.  Consequently, all pending proceedings
against the company have been automatically stayed.

The Debtor can be reached at:

         Kristall-Form Glasveredelung GmbH & Co. KG.
         Attn: Reiner Kreft, Manager
         Bremer Str. 2-8
         49124 Georgsmarienhuette
         Germany


MCON GMBH: Claims Registration Period Ends January 16
-----------------------------------------------------
Creditors of MCON GmbH have until Jan. 16, 2009, to register their
claims with court-appointed insolvency manager.

Creditors and other interested parties are encouraged to attend
the meeting at 9:40 a.m. on Feb. 16, 2009, at which time the
insolvency manager will present his first report.

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

Claims set out in the insolvency manager's report will be verified
by the court during this meeting.  Creditors may also constitute a
creditors' committee or opt to appoint a new insolvency manager.

The insolvency manager can be reached at:

         Stephan Neubauer
         Spitalerstrasse 4
         20095 Hamburg
         Germany

The District Court opened bankruptcy proceedings against the
company on Nov. 24, 2008.  Consequently, all pending proceedings
against the company have been automatically stayed.

The Debtor can be reached at:

         MCON GmbH
         Attn: Martin Michael Metzger, Manager
         Beim Schlump 52A
         20144 Hamburg
         Germany


QIMONDA AG: To Delay Fin'l Results, Warns Liquidity Shortfalls
--------------------------------------------------------------
Qimonda AG will delay the release of its financial results for the
fourth quarter of its 2008 financial year and its full financial
year ended September 30, 2008 until mid-December while discussions
with strategic and financial investors on potential partnerships
continue, the company said in a statement Monday.

According to Qimonda, the contours of a transaction would impact
its financial condition, in particular with respect to the review
of its long-lived assets for impairment that it announced in
connection with the preparation of its full-year results.

Qimonda said it is making progress in its discussions with several
potential strategic and financial investors and results could be
available in the next few weeks.

However, the company warned that should none of the strategic and
financial initiatives it is currently pursuing push through, it
would face liquidity shortfalls in portions of its operations
during the first calendar quarter of 2009 that could impact its
ability to operate its business.

Qimonda expects to announce operating results showing net sales of
EUR476 million in the fourth quarter of its 2008 financial year,
an increase of 24% as compared with the third financial quarter of
that year.

Qimonda however foresees operating and net loss greater than in
the third financial quarter largely due to a write down on its
stake in Inotera Memories Inc., in connection with its disposal,
restructuring measures and other writedowns.

Year over year, the company's revenues declined and operating and
net loss expanded.  Qimonda's gross cash position was EUR432
million at September 30, 2008.

Qimonda's profile in Google Finance shows the company incurred a
EUR249 million net loss in 2007 compared to a net income of EUR74
million in 2006.

"With the completion of the sale of our stake in Inotera we
generated cash inflow of US$400 million in the first quarter of
the 2009 financial year.  We are focused on reducing our cash burn
through our global restructuring and cost reduction program as we
continue to work on potential partnerships and on further
financing opportunities," said Kin Wah Loh, Chief Executive
Officer of Qimonda AG.  "Our repositioning plan is making good
progress and we have reached agreement in principle with our
German employee representatives.  Our yield in our first months of
commercial production on our 65nm buried wordline DRAM technology
is very encouraging, and we have achieved first yield on our 46nm
buried wordline technology ahead of schedule."

                         About Qimonda

Headquartered in Munich, Germany, Qimonda AG (NYSE: QI) --
http://www.qimonda.com/-- is a supplier of semiconductor memory
products.  The Company designs semiconductor memory technologies,
and develops, manufactures, markets and sells a variety of
semiconductor memory products on a chip, component and module
level. Qimonda offers dynamic random access memory (DRAM) products
for infrastructure, graphics, mobile and consumer applications, as
well as standard DRAM products for personal computers (PCs),
notebooks and workstations.  The Company also offered a small
number of non-volatile NAND-compatible flash memory products, but
discontinued production of these products during the fiscal year
ended September 30, 2007.  Most of the Company's products are sold
under its Qimonda brand.  Qimonda also sells DRAM products under
its AENEON brand.   The company generated net sales of EUR3.61
billion in financial year 2007 and had approximately 13,500
employees worldwide prior to its recent announcement of a
repositioning of its business.


SOCIETE GENERALE: Moody's Junks Rating on Drachenburg Schuldschein
------------------------------------------------------------------
Moody's Investors Service has downgraded its rating of a
Drachenburg Schuldschein (certificate of indebtedness) issued by
Societe Generale Frankfurt branch.

The transaction is a managed synthetic CDO referencing 100 equally
weighted corporate entities, the majority of which are
concentrated in banking, insurance and finance.

According to Moody's, the rating actions are the result of
deterioration in the credit quality of the transaction's reference
portfolio, which includes but is not limited to exposure to Lehman
Brothers Holdings Inc., which filed for protection under Chapter
11 of the U.S. Bankruptcy Code on Sept. 15, 2008; Washington
Mutual Inc., which was seized by federal regulators on Sept. 25,
2008 and subsequently virtually all of its assets were sold to
JPMorgan Chase; Fannie Mae and Freddie Mac, which were placed into
the conservatorship of the U.S. government on Sept. 8, 2008; and
three Icelandic banks, specifically Kaupthing Bank hf, Landsbanki
Islands hf, and Glitnir Banki hf.

Moody's expects that this Drachenburg Schuldschein will be almost
fully written down following credit events on the above listed
names.

This rating action is:

Societe Generale Frankfurt branch:

(1) EUR60,000,000 Drachenburg Schuldschein

  -- Current Rating: C
  -- Prior Rating: A2
  -- Prior Rating Date: 30 July 2007


SPERBER-BAU WILDAU: Claims Registration Period Ends January 9
-------------------------------------------------------------
Creditors of Sperber-Bau Wildau GmbH have until Jan. 9, 2009, to
register their claims with court-appointed insolvency manager.

Creditors and other interested parties are encouraged to attend
the meeting at 9:00 a.m. on Feb. 11, 2009, at which time the
insolvency manager will present his first report.

The meeting of creditors will be held at:

         The District Court of Potsdam
         Hall 24
         Justice Center
         Jagerallee 10 - 12
         14469 Potsdam
         Germany

Claims set out in the insolvency manager's report will be verified
by the court during this meeting.  Creditors may also constitute a
creditors' committee or opt to appoint a new insolvency manager.

The insolvency manager can be reached at:

         Dr. Ulrich Wenzel
         Grossbeerenstrasse 231
         14480 Potsdam
         Germany

The District Court opened bankruptcy proceedings against the
company on Nov. 19, 2008.  Consequently, all pending proceedings
against the company have been automatically stayed.

The Debtor can be reached at:

         Sperber-Bau Wildau GmbH
         Attn: Hans-Juergen Ofschanni, Manager
         Sperberzug 20
         15745 Wildau
         Germany


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NAVIOS MARITIME: S&P Changes Outlook to Stable; Keeps 'BB-' Rating
------------------------------------------------------------------
Standard & Poor's Ratings Services said that it had revised its
outlook on Greece-based dry-bulk shipping company Navios Maritime
Holdings Inc. to stable from positive.  The 'BB-' corporate
ratings were affirmed.

"The outlook revision reflects a dramatic weakening of the dry-
bulk shipping markets in the past two months, which is expected to
lead to lower-than-previously-expected profitability for Navios in
the years ahead," said S&P's credit analyst Andreas Kindahl.

"These risks are balanced by Navios' high level of medium-term
contract coverage," Mr. Kindahl stated.

Industry conditions have weakened abruptly and extremely in recent
months.  This is a result of stagnating industrial production,
which has reduced global demand for raw materials, and a credit
freeze as banks are unwilling to extend letters of credit.
Earnings for dry-bulk vessels have plummeted, and vessels
operating in the spot market are barely covering voyage expenses.

In an effort to reduce future spot market exposure, Navios has
canceled 12 unfixed vessels on order recently.  The cancellation
fees were minimal, and installments paid were transferred to other
vessels on order at the same shipyard.  Large investments in 2008
have increased debt levels and weakened credit measures.  However,
Navios' financial profile is expected to remain in line with the
'BB-' rating, despite the very challenging industry conditions.

The stable outlook reflects the company's modern fleet and high
contract coverage (with credit insurance), which should enable it
to maintain a credit profile and competitive position in line with
the ratings over the medium term.  S&P expects market conditions
to remain very challenging in the coming quarters, but that dry-
bulk markets will recover somewhat towards the middle of 2009.


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GLITNIR BANKI: Wants Icelandic Court to Administer Assets
---------------------------------------------------------
Iceland-based Glitnir Banki hf, in its Chapter 15 petition before
the U.S. Bankruptcy Court for the Southern District of New York,
is asking the Bankruptcy Court to rule that the court in Iceland
is home to the "foreign main proceeding."

Glitnir Banki filed for Chapter 15 bankruptcy protection on
November 26 to stay creditor actions in the United States.
Bloomberg News notes that while Glitnir has few assets and no
operations in the United States, the bank has sold more than
US$7 billion in debt offerings in the U.S. market in a span of
three years.

According to Bloomberg's Bill Rochelle, if the U.S. Bankruptcy
Court grants the Chapter 15 petition, the court in Iceland will be
entitled to administer the bank's assets and use the U.S.
Bankruptcy Court to enforce its decisions if necessary.
Creditors, Mr. Rochelle reports, then cannot sue in the U.S. and
must submit their claims to the court in Iceland along with any
other disputes.

As reported by the Troubled Company Reporter, the District Court
of Reykjavik granted a Moratorium order on Glitnir on Nov. 24,
2008.  Glitnir said the Moratorium is not a bankruptcy proceeding
and does not affect its banking licenses or its ability to operate
as a bank.  The Moratorium is a specialized proceeding under
Icelandic law designed to provide it with appropriate global
protection from legal action taken by its creditors, Glitnir
pointed out.

Glitnir said the Moratorium order would ensure that all its
creditors are treated fairly and appropriately under Icelandic law
and EEA directives.  The Moratorium will allow Glitnir time to
consider all strategic alternatives including an arrangement with
its creditors that will permit it to emerge from the Moratorium as
a going concern.

The Resolution Committee, according to Glitnir, said it has no
plans of selling significant assets other than in exceptional
circumstances.  The Committee says that retaining and managing
Glitnir's assets will maximize the value of those assets and will
support its restructuring and its emergence from the Moratorium
procedure.

Supreme Court attorney and former member of the Glitnir Resolution
Committee, Steinunn Gudbjartsdottir, was named Moratorium
Administrator and will supervise the actions taken by the
Resolution Committee.

                    About Glitnir banki

Headquartered in Reykjavik, Iceland, Glitnir banki hf --
http://www.glitnir.is/-- offers an array of financial services to
corporation, financial institutions, investors and individuals.

Glitnir banki filed a Chapter 15 petition on November 26, 2008
(Bankr. S.D. N.Y. Case No. 08-14757).  The firm has retained Gary
S. Lee, Esq., at Morrison & Foerster LLP, in New York, as counsel.
In its Chapter 15 petition, the company estimated both its assets
and debts to be than US$1 billion each.


ICESAVE: Dutch Savers to Recover EUR100,000 Before Christmas
------------------------------------------------------------
DutchNews.nl reports that according to Dutch media reports Dutch
depositors of Icesave will get EUR100,000 of their money before
Christmas.

Citing a letter sent to parliament by finance minister Wouter Bos
on Friday, the report reveals the Dutch central bank is to start
with the repayments in mid-December.

In its first information bulletin published on Friday, Landsbanki,
the report recounts, invited Icesave savers in the Netherlands to
submit data so that it can establish how much money, plus
interest, individuals had in its savings accounts on October 13.

The newsletter, the report relates, confirmed the Dutch branch of
Landsbanki owes a total of around EUR1.7 billion to over 128,000
individual savers and EUR250 million to a number of (semi-)
government bodies and firms.  There is also EUR4 million
outstanding to other creditors such as suppliers and the tax
office, the report notes.

The newsletter, the report adds, also says that an initial
inventory indicates that Landsbanki NL had extended business
credit worth around EUR600 million, mainly in the Netherlands.

As reported in the TCR-Europe on Nov. 25, 2008, the Netherlands
said it will provide the government of Iceland with a loan of
around EUR1.3 billion that will be used to repay Dutch savers with
Icesave.

The loan, the report disclosed, is part of a package with a total
value of around EUR5 billion which the governments of the U.K.,
Germany and Netherlands will provide to Iceland.  Icesave was
active in these three countries, the report noted.

On Nov. 21, 2008, the TCR-Europe reported that over 100,000 Dutch
depositors with Icesave filed a claim for compensation with the
Dutch central bank DNB.

The report stated savings up to a maximum EUR100,000 per person
are guaranteed under the central bank's scheme.

                      About Icesave

Icesave is the UK branch of Landsbanki Islands hf.  It is an EEA
bank that is authorized by the Fjarmalaeftirlitio (FME), the
financial services regulator in Iceland.


KAUPTHING BANK: Reykjavik Court Grants Moratorium Until Feb. 13
---------------------------------------------------------------
The District Court of Reykjavik granted Kaupthing Bank hf. a
moratorium on payments to creditors.  In the opinion of the
Resolution Committee, applying for the moratorium was a necessary
step in order to ensure that all creditors of Kaupthing are
treated fairly and appropriately, in accordance with Icelandic law
and EU directives.  It will provide Kaupthing with appropriate
protection from legal action, while retaining a banking license
sufficient to support its assets.

The moratorium will also give Kaupthing the opportunity to
continue discussions with the bank's creditors with the aim of
maximizing recovery for all stakeholders.  As has been announced
previously, an Informal Creditors' Committee (ICC) has been
formed. The moratorium will assist in making Kaupthing's ongoing
co-operation with the ICC more effective.  It is intended that a
second meeting with the ICC will be held in December.

Mr. Olafur Gardarsson, Advocate to the Supreme Court of Iceland,
has been hired as Moratorium Supervisor.  He will work with the
Resolution Committee, which will continue to wield the powers of
the Board of Directors of Kaupthing in accordance with Icelandic
law.  His aims are consistent with those of the Resolution
Committee, namely, to preserve assets and to optimize recovery for
the creditor body.

The moratorium has been granted until Friday, February 13, 2009,
at 2:00 p.m. Icelandic time.  The Moratorium Supervisor is obliged
to summon Kaupthing's creditors to a meeting to be held not later
than three days prior to that date.  The moratorium process can,
at a maximum, last for 24 months.

Nyi Kaup=FEing banki hf. (New Kaupthing Bank), which assumed the
Icelandic operations of Kaupthing on October 21, 2008, is not
affected by the moratorium.

                         About Kaupthing Bank

Headquarted in Reykjavik, Iceland, Kaupthing Bank --
http://www.kaupthing.com-- is engaged in the provision of
financial services, such as private banking, asset management,
pension services, brokerage services, investment banking, as well
as corporate and retail banking.  The Bank's offer is targeted at
companies, institutional investors and individuals.  The Bank is
operational in thirteen countries, including Luxembourg,
Switzerland, the Nordic countries, the United Kingdom and the
United States.  The main subsidiaries include Kaupthing Singer &
Friedlander and FIH Erhvervsbank.

                         *    *    *

As reported in the Troubled Company Reporter-Europe on
October 13, 2008, Fitch Ratings downgraded Kaupthing Bank hf.'s
Long-term Issuer Default rating to 'D' from 'CCC' and removed it
from Rating Watch Evolving.  This follows the announcement that
Kaupthing is now subject to similar arrangements as its two
Icelandic peers, Glitnir Banki and Landsbanki Islands, with the
Icelandic authorities effectively seizing control of the bank.

At the same time, Moody's Investors Service downgraded the bank
financial strength rating (BFSR) of Kaupthing Bank hf to E from
D+, its long-term deposit ratings to Caa1 from Baa3, the long-term
senior debt ratings to Caa2 from Ba1.  In addition, Moody's
downgraded the bank's subordinated debt to C from Ba2 and its
preferred stock to C from B1.  The bank's short-term rating was
downgraded to Not-Prime from P-3.  Moody's is maintaining
Kaupthing's long-term deposit ratings, the long-term senior debt
ratings and its BFSR on review for further possible downgrade.


* German Banks to Form Iceland Creditors' Consortium
----------------------------------------------------
German banks plan to create a creditors' consortium in an effort
to recover the outstanding debts of Icelandic borrowers, Ludwig
Burger at Reuters reports citing German magazine Der Spiegel.

According to an article in the magazine provided to Reuters, the
proposed consortium would restructure the loans owed by Iceland's
banks Kaupthing, Glitnir and Landsbanki, forgoing some claims and
giving them more time to repay.

Reuters relates the magazine added German banks have had initial
talks with Icelandic regulators and lawmakers over the matter.

Figures released by the Bank for International Settlements last
month revealed German banks were owed US$21 billion by Icelandic
borrowers, Reuters notes.


* ICELAND: Inflation Rate Soars to Record High of 17.1%
-------------------------------------------------------
BBC News reports that Iceland's inflation rate has soared to a
record high of 17.1% after the local currency, the Icelandic
krona, plunged amid global financial turmoil.

Citing the Icelandic statistics agency, the report reveals
prices rose in November alone by 1.74% compared to the previous
month.

According to the report, food prices increased fastest, up 30.6%
over the year.  Prices of imported goods have also risen fast, the
report notes.

The agency, the report adds, warned the inflation rate could rise
beyond 20% in the future, threatening the economy.

The Icelandic central bank left interest rates unchanged at 18% at
the beginning of November in an effort to fight inflation, the
report recounts.


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CLOVERIE PLC: Moody's Cuts Rating on Series 2004-48 Notes to 'Ba1'
------------------------------------------------------------------
Moody's Investors Service has downgraded and left on review for
further possible downgrade its ratings of nine classes of notes
issued by Cloverie Plc.

The transaction is a static synthetic CDO 2 referencing a
portfolio of 85 ABS and 5 bespoke corporate CDO tranches.  These
rating actions are a response to credit deterioration and defaults
in the portfolios of the bespoke corporate CDOs.  A significant
proportion of the assets in the bespoke CDOs are now rated sub-
investment grade.  The referenced corporate universe includes but
is not limited to exposure to Lehman Brothers Holdings Inc., which
filed for protection under Chapter 11 of the U.S. Bankruptcy Code
on Sept. 15, 2008; Washington Mutual Inc., which was seized by
federal regulators on Sept. 25, 2008 and subsequently virtually
all of its assets were sold to JPMorgan Chase; and Fannie Mae and
Freddie Mac, which were placed into the conservatorship of the
U.S. government on Sept. 8, 2008.  The transaction also has a
significant exposure to other corporate names which continue to
deteriorate in the current economic environment.  This will weigh
on the ratings of the tranches in this transaction.  The
transaction has fixed recovery rates of 40% for corporates and 90%
for ABS.

The rating actions are:

Cloverie Plc:

(1) Series 2004-41 EUR160,000,000 Class A Floating Rate Portfolio
Credit Linked Notes due 2009

  -- Current Rating: A2, on review for possible downgrade
  -- Prior Rating: Aaa
  -- Prior Rating Date: Sept. 7, 2004

(2) Series 2004-42 JPY2,000,000,000 Class A Fixed Rate Portfolio
Credit Linked Notes due 2009

  -- Current Rating: A2, on review for possible downgrade
  -- Prior Rating: Aaa
  -- Prior Rating Date: Sept. 7, 2004

(3) Series 2004-43 EUR50,000,000 Floating Rate Portfolio Credit
Linked Notes due 2009

  -- Current Rating: Aa2, on review for possible downgrade
  -- Prior Rating: Aaa
  -- Prior Rating Date: Sept. 7, 2004

(4) Series 2004-44 JPY1,000,000,000 Fixed Rate Portfolio Credit
Linked Notes due 2009

  -- Current Rating: Aa2, on review for possible downgrade
  -- Prior Rating: Aaa
  -- Prior Rating Date: Sept. 7, 2004

(5) Series 2004-45 US$20,000,000 Class B Floating Rate Portfolio
Credit Linked Notes due 2009

  -- Current Rating: Baa2, on review for possible downgrade
  -- Prior Rating: Aa2
  -- Prior Rating Date: Sept. 7, 2004

(6) Series 2004-48 US$7,400,000 Floating Rate Portfolio Credit
Linked Notes due 2009

  -- Current Rating: Ba1, on review for possible downgrade
  -- Prior Rating: A2
  -- Prior Rating Date: Sept. 7, 2004

(7) Series 2004-50 JPY600,000,000 Class A Floating Rate Portfolio
Credit Linked Notes due 2009

  -- Current Rating: A2, on review for possible downgrade
  -- Prior Rating: Aaa
  -- Prior Rating Date: Sept. 7, 2004

(8) Series 2004-51 EUR7,400,000 Class B Floating Rate Portfolio
Credit Linked Notes due 2009

  -- Current Rating: Baa2, on review for possible downgrade
  -- Prior Rating: Aa2
  -- Prior Rating Date: Sept. 7, 2004

(9) Series 2004-53 EUR7,500,000 Class A Floating Rate Portfolio
Credit Linked Notes due 2009

  -- Current Rating: A2, on review for possible downgrade
  -- Prior Rating: Aaa
  -- Prior Rating Date: Sept. 7, 2004


WATERFOOD WEDGWOOD: Defers Semi-Annual Coupon Payment on Notes
--------------------------------------------------------------
Waterford Wedgwood plc in a press statement said that it continues
to be in discussions with a number of interested institutional
investors regarding a possible investment in the Company.  As
indicated in the announcement of November 17, 2008, it is expected
that a more comprehensive financial restructuring of the Group
will be a pre-condition to any such partner making an investment,
which investment would therefore be larger than the Company's
originally planned equity funding.

In view of the above, while the Company continues this process,
the directors have determined not to effect the semi-annual coupon
payment on the Group's 9?% EUR166,028,000 Mezzanine Notes.  The
Company has the benefit of a 30 day grace period, starting on
December 1, 2008, in respect of such coupon payment.  The Group's
senior lenders are supportive of this approach.

In addition, as part of regular and ongoing discussions, the
Group's senior lenders have agreed to a forbearance in respect of
certain conditions of the Group's facility agreement.
Specifically, this forbearance relates to a cross-default under
the facility agreement occasioned by the non-payment of the Notes
coupon as indicated above, the breach resulting from the testing
of covenants which occurs if the Company does not maintain EUR15
million of available but undrawn credit under the facility
agreement (the majority of which will instead be used by the Group
to continue to support its operations), and the requirement under
the Group's facility agreement to raise an aggregate EUR150
million of new equity (of which EUR79.6 million has already been
raised under the recently completed open offer) by no later than
November 30, 2008.  While this forbearance is for the period to
December 5, 2008, the Company is continuing its discussions with
its senior lenders in parallel with ongoing discussions with the
interested institutional investors.

The directors of the Company believe that the continued support of
its senior lenders is essential to give the Group the necessary
stability in which to progress its comprehensive financial
restructuring.  While the directors are confident of continuing
these investor and senior lender discussions, there can be no
certainty that successful agreements will be reached, particularly
in the current continuing extraordinary market conditions.

The Group and its management remain committed to its customer and
supplier relationships and to the long-term success of Waterford
Wedgwood.

                  About Waterford Wedgwood

Headquartered in Dublin, Ireland, Waterford Wedgwood plc
-=96 http://www.waterfordwedgwood.com/-- designs, manufactures
and markets branded luxury lifestyle tabletop products,
including high quality crystal, fine bone china, fine porcelain
and earthenware.  The company's portfolio of established luxury
lifestyle brands includes Waterford, Wedgwood, Royal Doulton and
Rosenthal.


WATERFORD WEDGWOOD: Moody's Cuts Corporate Family Rating to 'Caa3'
------------------------------------------------------------------
Moody's Investors Service has downgraded Waterford Wedgwood plc
Corporate Family Rating to Caa3 from Caa1, the Probability of
Default Rating to Ca from Caa2 and the senior subordinated rating
on the EUR166 million notes due in 2010 to Ca from Caa3.  The
ratings were also placed under review for further possible
downgrade.  The action reflects the company's decision not to make
the semi-annual coupon payment on the subordinated notes.

The ratings downgrades were prompted by Waterford Wedgwood
announcement on the 1st of December 2008 of the decision not to
pay the semi-annual coupon on the EUR166 million subordinated
notes that was due on the same date.  Under the indenture
governing the notes, the company has a 30 day grace period to make
the payment, although Moody's notes that the currently difficult
market conditions might challenge the company to pay the coupon
within the grace period.  In addition, the rating reflects the
fact that company continues to need bank support for its day to
day activity, although Moody's acknowledges that banks have
remained supportive so far by providing the company with a
forbearance on the cross default clause contained in the main
credit facility and have waived November-end covenant test,
allowing the company to fully utilize the credit facility.

If the company fails to cure by the end of its grace period,
Moody's will change the PDR to limited default to reflect the
event of default under the subordinated notes.  The rating
differential between the CFR and the PDR reflects Moody's
expectation that potential recovery rate at family level in case
of default might be above the standard 50%, in recognition also of
the fact that brands value is not entirely reflected on the
company's balance sheet.  On the contrary, the Ca rating on the
subordinated notes reflects the likely low recovery rate for
bondholders in case of default.  The ratings could also be
downgraded in the case of deterioration in Moody's perception of
potential recovery rate.

Moody's review will focus on the likelihood of the coupon payment
within the grace period and the outcome of the negotiation with
bank lenders to provide further support to the company.

Downgrades:

Issuer: Waterford Wedgwood plc

  -- Probability of Default Rating, Downgraded to Ca from Caa2

  -- Corporate Family Rating, Downgraded to Caa3 from Caa1

  -- Senior Subordinated Regular Bond/Debenture, Downgraded to Ca
     (LGD4 - 65%) from Caa3 (LGD4 - 61%)

The last rating action on Waterford Wedgwood was on the 7th of
November 2008, when Moody's affirmed the CFR rating at Caa1 and
downgraded the PDR rating to Caa2 from Caa1 and the senior
subordinated rating on the notes to Caa3 from Caa2, leaving the
negative outlook on the ratings.  The rating action reflected
increasing execution risk of the restructuring program given
difficult market conditions and the upcoming significant debt
maturities.  The principal methodology used in rating Waterford
Wedgwood was the Global Consumer Durable rating methodology, which
can be found at www.moodys.com in the Credit Policy &
Methodologies directory, in the Ratings Methodologies
subdirectory.  Other methodologies and factors that may have been
considered in the process of rating Waterford Wedgwood can also be
found in the Credit Policy & Methodologies directory.

Based in Waterford, Ireland, Waterford Wedgwood Plc is a leading
global manufacturer and distributor of luxury crystal and
chinaware products through the well-known brands of Waterford for
its crystal division and Wedgwood, Royal Doulton and Rosenthal for
its ceramics division.  At FYE March 2008, the company had four
production facilities around the world.  One is based in Ireland,
for crystal manufacturing.  The other three are ceramics
facilities, located in the UK (high automation products), Germany
(Rosenthal collections) and Indonesia (labor intensive products).


WATERFOOD WEDGWOOD: Fitch Cuts LT Issuer Default Rating to 'C'
--------------------------------------------------------------
Fitch Ratings has downgraded Waterford Wedgwood plc's Long-term
Issuer Default Rating to 'C' from 'CCC'.  The Short-term IDR is
currently at 'C'.  Both ratings are placed on Rating Watch
Negative.  The agency has simultaneously taken the following
rating actions on two of Waterford's debt instruments:

  -- Senior tranche B downgraded to 'CCC' from 'B-'(B minus);

  -- Recovery Rating downgraded to 'RR3' from 'RR2'; placed on RWN

  -- EUR166 million mezzanine notes due 2010 downgraded to 'C'
     from 'CC';

  -- Recovery Rating affirmed at 'RR6'

Fitch's rating actions follow the announcement from the company
that it will not effect a semi-annual interest coupon payment on
its mezzanine notes due although it may elect to do so during the
30-day grace period set out in the mezzanine notes documentation.

"The worsening in the consumer and economic outlook in recent
months has negated the constant efforts made by management to
streamline the business operations, therefore exposing the
un-sustainability of the current capital structure," says Pablo
Mazzini, Senior Director in Fitch's Leveraged Finance team in
London.  "Despite equity injections done by the main shareholders,
a more drastic financial solution could be needed to turn around
the business given the current circumstances".

Certain options may still be available to enable the company to
obtain the funds and honor the missed coupon, either by way of
asset disposals or additional equity.  However, Fitch believes
that a deeper workout of the balance sheet would be required as a
precondition to entice existing and new investors to plough fresh
funds into the business.  The latest events are compounded by the
bleak outlook on consumer spending despite Waterford's still
strong brand name and the potential benefits from a relatively
stronger dollar on sales and profits.  Fitch does not assume that
any sustainable restructuring would avoid losses for certain
creditors, most likely the subordinated mezzanine note holders.

In resolving the RWN status, Fitch will monitor Waterford's
ability to sustain its operations and the potential for bankruptcy
which cannot be ruled out at this point.  The Long-term IDR would
be downgraded to 'D' upon expiry of the grace period if the non-
payment event is not resolved by then.

The downgrade of the Senior tranche B instrument to 'RR3' reflects
Fitch's expectation of diminished recovery prospects for this
class of borrowers, although still above average given their
floating and fixed charges over the group's assets.  Following the
Recovery Ratings methodology, Fitch continues to assume recoveries
would largely arise from a traded asset value as opposed to a
going concern approach as restructuring is ongoing and EBITDA
remains negative.  The weaker outlook on recovery expectations
reflects the reduction in asset coverage and the subordination
caused by the super-senior syndicated tranche A which remains
virtually fully drawn for the purpose of the agency's analysis.


WATERFORD WEDGWOOD: Nonpayment of Coupon Spurs S&P's 'SD' Rating
----------------------------------------------------------------
Standard & Poor's Ratings Services said that it lowered to 'SD'
from 'CCC' its long-term corporate credit rating on Ireland-based
luxury table- and dinnerware manufacturer Waterford Wedgwood PLC.
At the same time, S&P lowered to 'D' from 'CC' the rating on the
EUR166 million subordinated mezzanine notes due 2010.  The
recovery rating of '6' remains unchanged, and indicates S&P's
expectation of negligible (0%-10%) recovery.

The rating actions reflect an announcement by Waterford Wedgwood
that its directors have decided not to make the semiannual coupon
payment on the company's mezzanine notes, which fell due on
Dec. 1, 2008.  The company sees this decision as part of a larger
financial restructuring, the details of which have not been
disclosed yet.  Although the company has the benefit of a 30-day
grace period regarding the missed coupon payment, starting on
Dec. 1, S&P believes it unlikely that the payment will be made
during the grace period.

Waterford Wedgwood has confirmed that the company's senior debt
remains current, which is why S&P sees this default as selective.

Senior lenders have agreed to forbearance regarding certain
conditions of the company's facility agreement until Dec. 5, 2009.
Specifically, the forbearance agreement relates to a cross-default
provision under the facility documentation which would be
triggered by the coupon nonpayment; the covenant breach which
would occur if the company does not maintain the EUR15 million of
available but undrawn credit under the facility; and the
requirement for the company to raise an aggregate EUR150 million
of new equity by no later than Nov. 30, 2008.  Waterford Wedgwood
has raised EUR79.6 million of new equity so far this year.

The '6' recovery rating on Waterford Wedgewood's EUR166 million
mezzanine notes due 2010 remains unchanged, indicating S&P's
expectation of negligible (0%-10%) recovery for the mezzanine
holders.  S&P has lowered the issue rating on these notes to 'D'
from 'CC', following the nonpayment of the semiannual coupon of
this instrument.

S&P has valued the group applying a discrete asset valuation. This
reflects the likelihood that the Waterford Wedgwood brand will be
less valuable at default and that a break-up of the business will
be the most likely outcome.

As part of S&P's discrete asset valuation, S&P applies haircuts to
asset values taking into account balance-sheet shrinkage under a
default scenario and forced sale values.  Based on S&P's haircut
of the balance sheet, S&P estimates the stressed enterprise value
at default at about EUR375 million.  After deducting priority
liabilities, including enforcement costs, finance leases, and
priority debt facilities, S&P estimate recovery prospects in the
0%-10% range.


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I T A L Y
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ALITALIA SPA: CAI to Sign Takeover Deal on Dec. 12
--------------------------------------------------
Compagnia Aerea Italiana s.r.l., a consortium of Italian investors
created to save Alitalia SpA, will officially take possession of
the airline's profitable assets in mid-December, but the new
airline probably will not launch until January, The Associated
Press reports citing officials.

According to the report, CAI was to take over assets of Alitalia
on Monday =97 but the deadline slipped due to technical reasons.

The report relates Alitalia's special administrator Augusto
Fantozzi said in a statement Monday that CAI and Alitalia will
officially sign the deal Dec. 12, at which time CAI will assume
"the goods and risks relative to the management" of Alitalia.

However, the report says the new, streamlined Alitalia will not be
ready to launch until CAI has completed the acquisition of the
much-smaller Air One, which it will merge to create the new
airline.  Talks were under way, and it was unclear when that could
be completed, the report states.

AP discloses Italian media have reported as well as an unnamed CAI
spokesman said a January launch is likely.

As reported in the Troubled Company Reporter-Europe on Nov. 21,
2008, CAI improved its EUR1 billion offer for Alitalia's best
assets to EUR1.052 billion (US$1.33 billion) including debt.

According to Reuters, CAI had initially bid EUR275 million
(US$347.2 million) for Alitalia's flight operations and EUR100
million in a mix of cash and debt for other units, and would take
on further debt of EUR625 million.

In its revised bid, Bloomberg News said CAI will pay EUR427
million in cash, EUR100 million of which was payable on the
closing date of Nov. 30.  CAI is also assuming EUR625 million in
debt, including financing for planes.

                          About Alitalia

Based in Rome, Alitalia S.p.A. -- http://www.alitalia.it/--
provides air travel services for passengers and air transport of
cargo on national, international and inter-continental routes,
including United States, Canada, Japan and Argentina.  The Italian
government owns 49.9% of Alitalia.

As reported in the TCR-Europe on November 7, 2008, Alitalia S.p.A.
filed for Chapter 15 protection with the U.S. Bankruptcy Court in
the Southern District of New York.  Italy's national airline
experienced financial difficulties for a
number of years caused, in large measure, by a combination of
competition from low-cost air carriers, poor management and
onerous union obligations, according to papers filed with the
court.

Despite a EUR1.4 billion state-backed restructuring in 1997,
Alitalia posted net losses of EUR256 million and EUR907 million in
2000 and 2001 respectively.  Alitalia posted EUR93 million in net
profits in 2002 after a EUR1.4 billion capital injection.  The
carrier booked annual net losses of EUR520 million in 2003,
EUR813 million in 2004, EUR168 million in 2005, EUR625.6 million
in 2006, and EUR494.64 million in 2007.

In the petition filed October 29, 2008, Prof. Augusto Fantozzi,
the appointed administrator, said the airline's financial
difficulties have been and exacerbated by spiraling fuel prices.

On Aug. 29, 2008, Alitalia declared insolvency and filed for
commencement of extraordinary administration procedure at the
Tribunal of Rome.  Italian Prime Minister Silvio Berlusconi
appointed Mr. Fantozzi as extraordinary commissioner.
Under the Bankruptcy Bill, the Administrator has supplanted the
directors and other management of Alitalia.


ISLAND REFINANCING: Moody's Cuts Ratings on Three Note Classes
--------------------------------------------------------------
Moody's Investors Service has downgraded these classes of Notes
issued by Island Refinancing S.r.l. (amounts reflecting initial
outstanding balances):

  -- EUR62,000,000 Class B: 2007 Asset-Backed Floating Rate Notes
     due 2025 to Baa1 from A2;

  -- EUR60,000,000 Class C: 2007 Asset-Backed Floating Rate Notes
     due 2025 to Ba2 from Ba1;

  -- EUR32,000,000 Class D: 2007 Asset-Backed Floating Rate Notes
     due 2025 to B1 from Ba3; and

  -- EUR46,000,000 Class X: 2007 Asset-Backed Floating Rate Notes
     due 2025 to Caa2 from Caa1.

At the same time Moody's has affirmed the rating of the Class A
Notes.  Moody's did not assign ratings to the Class E Notes and
Class F Notes issued by Island Refinancing S.r.l.

Moody's had previously downgraded the Class C and Class D Notes
and placed the Class B, Class C, Class D and Class X Notes on
review for possible downgrade on Aug. 20, 2008.

In Island Refinancing S.r.l., the Notes receive interest and
principal payments through proceeds arising from completion of
claim resolutions on a portfolio of initially 4,952 non-performing
business credit lines secured by mortgages and initially 2,872
secured and unsecured non-performing business plan credit lines
granted to borrowers which are also borrowers of the Mortgage
Portfolio.  The claims that comprise the Portfolio were previously
securitized in the Island Finance (ICR4) S.p.A. and Island Finance
2 (ICR7) S.r.l transactions. The Portfolio was originated by Banco
di Sicilia S.p.A. as part of its mortgage lending business.

The aggregate property value of the portfolio, as appraised by
Pirelli RE Credit Servicing S.p.A, was EUR1,402,307,052, while the
aggregate gross book value of the Portfolio was EUR1,902,063,336
at closing.  As of Oct. 31, 2008, the reported GBV by the
Portfolio master and special servicer, Pirelli RE Credit Servicing
S.p.A, was EUR2,040,619,471.  Due to the originators' strong local
regional presence, the Portfolio is geographically concentrated in
the Southern Italian island of Sicily (approximately 91.6% in
terms of GBV at closing).

At closing of the transaction, PRECS provided Moody's with a
business plan which targeted aggregate net collections of
EUR614 million from the Portfolio over eleven years with a
weighted average time to recovery of 2.85 years.  For the first
two collection periods after closing, cumulative actual net
collections achieved from the Portfolio were EUR66.0 million,
versus the cumulative Initial Business Plan target of
EUR102.2 million.

However, for the resolved claims, the achieved collection rate
compared with the Initial Business Plan overall exceeded the
plan's expectations.  This indicates that so far the under-
performance of collections versus the Initial Business Plan to
date has been due to timing issues rather than due to a lower than
expected collection rate on a per claim basis.

Moody's rating action on Aug. 20, 2008 was primarily driven by the
slower than expected collection rate as it led to an interest
deferral on the class D Notes, and an increased likelihood of
future interest deferrals on the Class C Notes.  This rating
action concludes the review initiated in August and is a result of
Moody's revising its expectations in relation to the timing of
collections from the Portfolio.  The revision follows a detailed
review of (i) the revised business plan from PRECS, (ii) updated
information on the remaining portfolio and an analysis of the
value of the remaining claims in the Portfolio and (iii) the
interaction of actual collections versus the interest deferral
triggers in the transaction.

In October 2008, Moody's received the Revised Business Plan from
PRECS which reflects its updated expectations in relation to
future collections from the Portfolio.  PRECS' business plan
revision was prompted by the longer than initially anticipated
time the Italian courts are taking to distribute cash post auction
completion.  The Revised Business Plan differs from the Initial
Business Plan in these ways: firstly, overall the net collections
expected over the life of the transaction are broadly unchanged,
with an additional 4.4% of collections expected; secondly, the
first four years of the Revised Business Plan show lower
collections than the Initial Business Plan; and finally, the
subsequent years are expected to yield higher collections than the
Initial Business Plan.

During its review, Moody's was provided with monthly collection
updates starting from September 2008 in order to assess the
performance of the transaction versus the Initial and Revised
Business Plan targets.  For the period from July to September
2008, actual net collections were below the Special Servicer's
expectations by approximately 57.1% (EUR6.9 million compared with
EUR16.1 million).  As the Revised Business Plan expects higher
collections for the second half of 2008 compared with the Initial
Business Plan, the under-performance in relation to the Initial
Business Plan is less pronounced.  Moody's has also been informed
by the Special Servicer that a substantial amount of gross
collections in relation to several of the biggest claims in the
Portfolio might be available to the Issuer before the January 2009
IPD. However, it is not clear within which time period such
collections will be made available to the Issuer.

The timing of the collections relative to the Initial Business
Plan affects the cash flows allocated to the Notes.  The slower
the collections, the greater the chance of deferral of interest on
the junior Notes, and the longer the time the Notes remain
outstanding which results in more interest falling due on the
Notes over time.

This in turn makes the repayment of Notes more dependent on the
Special Servicer's future performance compared to initial
expectations, which may also be affected by future adverse
developments in the respective Italian property markets.  Moody's
views the interest deferral mechanism in the transaction in
general as a positive feature for the ratings of the Class A Notes
since it diverts cashflows away from subordinated Notes.  However,
interest deferrals expose junior Notes to the Special Servicer's
future performance to an even higher degree. In addition, as in
this transaction no interest accrues on deferred interest, in
Moody's view upon deferral the expected loss posed to investors by
the legal final maturity increases.

Island Refinancing S.r.l. features an interest deferral mechanism
which is set with reference to the Initial Business Plan.
Depending on the level of collections achieved, interest deferral
may be triggered for all but the Class A Notes.  Interest payments
will be deferred for the Class B Notes if on two consecutive
payment dates the cumulative net collection target as a percentage
of cumulative Initial Business Plan is less than 60%.  For
interest deferral on Class C Notes, the relevant collection target
is set at 75.0% and for the Class D Notes at 83.0%.  The two
quarter look back interest deferral trigger will be first tested
for Classes B and C at the January 2009 interest payment date,
whereas interest was already deferred by EUR1.9 million for the
Class D Notes in July 2008.

At the July 2008 IPD, the ratio of cumulative collections achieved
versus the cumulative Initial Business Plan was 64.6%.
Consequently, at the first test date in January 2009, the Class B
Notes will not defer interest as the target net collection rate of
at least 60.0% of the cumulative Initial Business Plan was met at
the July 2008 IPD.  Only if the total net collections in the
second half of 2008 are below EUR26.5 million, and if the
cumulative collection rate is less than 60.0% at the July 2009
IPD, would the Class B Notes defer interest.  At the same time, as
the target net collection rate of at least 75.0% of the cumulative
Initial Business Plan was not met at the July 2008 IPD, the
Special Servicer would need to achieve before the end of December
2008, approximately 95% of the Initial Business Plan for the
collection period to December 2008, in order for interest to be
paid on the Class C Notes on the January 2009 IPD.  From the
period from July until Nov. 24, 2008, aggregate gross collections
have been approximately EUR21.5 million and aggregate net
collections approximately EUR19 million.  Therefore Moody's
believes that future interest deferrals are increasingly likely.

Moody's analysis focused on revising its expectation of timing for
realization of the business plan collections going forwards. Based
on its revised timing expectations for the entire transaction
term, and on the interest deferral mechanisms, in Moody's view the
expected loss posed to the Noteholders has increased.
Furthermore, the Note ratings may remain sensitive to the timing
of collections in future periods.

As the resolved claims collections have been overall slightly
higher than PRECS' expectations at closing, Moody's did not revise
its assumptions in relation to the cumulative level of achievable
collections and has only considered the effects of the delayed
collection timing.  Therefore, the ratings on the Notes,
particularly for the more senior classes, are sensitive to
potential future under-performance of the Special Servicer in
relation to its business plan where such under-performance relates
to the level of claim-by-claim recoveries compared to closing.
Moody's will continue to closely monitor the transaction's
performance with a focus on the timing and level of collections
compared to Moody's revised expectations.


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K A Z A K H S T A N
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ARION OIL: Creditors Must File Proofs of Claim by January 16
------------------------------------------------------------
LLP Arion Oil Products has opted for liquidation.  Creditors have
until Jan. 16, 2009, to submit written proofs of claims to:

         LLP Arion Oil Products
         Pirogov Str. 30
         Almaty
         Kazakhstan


MELEARD LLP: Creditors' Claims Deadline Slated for January 20
-------------------------------------------------------------
The Specialized Inter-Regional Economic Court of Karaganda has
declared LLP Meleard insolvent.

Creditors have until Jan. 20, 2009, to submit written proofs of
claims to:

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


NARYMBAI LLP: Creditors' Claims Filing Period Ends January 20
-------------------------------------------------------------
The Specialized Inter-Regional Economic Court of Akmola has
declared LLP Narymbai insolvent on Nov. 7, 2008.

Creditors have until Jan. 20, 2009, to submit written proofs of
claims to:

         The Specialized Inter-Regional
         Economic Court of Akmola
         Room 228
         Auelbekov Str. 139a
         Kokshetau
         Akmola
         Kazakhstan
         Tel: 8 (7162) 25-79-32


SPETS ENERGO: Creditors Must Register Claims by January 9
---------------------------------------------------------
LLP Spets Energo Ltd has opted for liquidation.  Creditors have
until Jan. 9, 2009, to submit written proofs of claims to:

         LLP Spets Energo Ltd.
         Chijevsky Str. 33
         Karaganda
         Kazakhstan


TEMIR STROY INVEST: Creditors' Claims Due on January 20
-------------------------------------------------------
LLP Construction Company Temir Stroy Invest has opted for
liquidation.  Creditors have until Jan. 20, 2009, to submit
written proofs of claims to:

         LLP Construction Company
         Temir Stroy Invest
         Lunachrsky Str. 10
         Temirtau
         Karaganda
         Kazakhstan


VSEVOLODOVKA LLP: Creditors Must File Proofs of Claim by Jan. 20
----------------------------------------------------------------
The Specialized Inter-Regional Economic Court of North Kazakhstan
has declared LLP Vsevolodovka insolvent on Oct. 28, 2008.

Creditors have until Jan. 20, 2009, to submit written proofs of
claims to:

         The Specialized Inter-Regional
         Economic Court of North Kazakhstan
         Sutushev Str. 58
         Petropavlovsk
         North Kazakhstan
         Kazakhstan
         Tel: 8 (7152) 46-35-83


ZELEN STROY: Creditors' Claims Deadline Slated for January 20
-------------------------------------------------------------
The Specialized Inter-Regional Economic Court of Aktube has
declared LLP Construction Company Zelen Stroy Snub insolvent.

Creditors have until Jan. 20, 2009, to submit written proofs of
claims to:

         The Specialized Inter-Regional
         Economic Court of Aktube
         Altynsarin Str. 31
         Aktobe
         Aktube
         Kazakhstan
         Tel: 8 (3132) 21-30-32


ZOLOTOY KOLOS: Creditors' Claims Filing Period Ends January 20
--------------------------------------------------------------
The Specialized Inter-Regional Economic Court of North Kazakhstan
has declared LLP Company Zolotoy Kolos insolvent on Oct. 28, 2008.

Creditors have until Jan. 20, 2009, to submit written proofs of
claims to:

         The Specialized Inter-Regional
         Economic Court of North Kazakhstan
         Sutushev Str. 58
         Petropavlovsk
         North Kazakhstan
         Kazakhstan
         Tel: 8 (7152) 46-35-83


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K Y R G Y Z S T A N
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BUILDING KG: Creditors Must File Claims by January 14
-----------------------------------------------------
LLC Construction Company Building KG has declared insolvency.
Creditors have until Jan. 14, 2009, to submit written proofs of
claims to:

         LLC Construction Company Building KG
         Turusbekov Str. 118
         Bishkek
         Kyrgyzstan


EURO-TRANS BUS: Creditors Must File Claims by January 14
--------------------------------------------------------
LLC Euro-Trans Bus has declared insolvency.  Creditors have until
Jan. 14, 2009, to submit written proofs of claims to:

         LLC Euro-Trans Bus
         Messarosha Str. 76
         Bishkek
         Kyrgyzstan
         Tel: (+996 312) 65-06-50


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M A C E D O N I A
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* S&P Keeps BB+/B Short-Term Foreign Currency Rating
----------------------------------------------------
Standard & Poor's Ratings Services said it revised its outlook on
the Republic of Macedonia to negative from stable.  At the same
time, the long- and short-term foreign currency 'BB+/B' and local
currency 'BBB-/A-3' sovereign issuer credit ratings were affirmed.
The recovery rating of '2' on foreign currency debt issued by
Macedonia was also affirmed, as was the 'BBB-' rating on the
EUR150 million sovereign bond maturing in 2015.

"The change in the outlook to negative reflects Macedonia's
deteriorating external liquidity, due to a large increase in the
current account deficit from deteriorating terms of trade and
reduced external demand, as well as due to reduced availability of
external financing," said S&P's credit analyst Kai Stukenbrock.
"It also reflects a weakening of the policy anchor that
prospective EU and NATO memberships had so far provided for policy
prudence, which S&P expects to lead to increasing structural
government deficits."

Increased prices for imported energy, surging imports of capital
goods, and a fall in prices and external demand for exported
metals will contribute to a rapid deterioration in Macedonia's
current account deficit, to about 15% of GDP in 2008, from 7.1% in
2007.  In line with recent experiences elsewhere in Central and
Eastern Europe, external imbalances and the reduced availability
of external financing could eventually lead to a weaker growth
performance and mounting pressure on the exchange rate peg to the
euro, providing a challenging policy environment.

Macedonia's aspirations to initiate membership negotiations with
the EU suffered a setback as a result of irregularities and
violence that overshadowed the June 2008 general elections, and
consequently the EU issued a negative assessment in its November
2008 progress report that Macedonia was currently not meeting the
EU's political criteria.  A further obstacle on the way toward the
EU and NATO remains the unresolved issue of Macedonia's
constitutional name, to which Greece objects.  A quick resolution
of the issue currently appears unlikely.

"A worsening of external liquidity indicators and falling levels
of international reserves, potentially driven by an excessively
expansionary fiscal policy, could eventually lead to the ratings
being lowered," said Mr. Stukenbrock.  "Similarly, further
deterioration of EU accession prospects and a lessening in the
attendant reform efforts, or a resurgence of ethnic strife could
also put pressure on the ratings."  Conversely, a return to
dynamic and balanced growth after the current slowdown, supported
by key structural reforms in social security systems and the
energy sector, as well as the sustained pursuit of macroeconomic
and external stability and fiscal prudence would contribute
positively to Macedonia's creditworthiness.


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N E T H E R L A N D S
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SOCIETE GENERALE: Moody's Cuts Rating on EUR20 Mil. Notes to 'C'
----------------------------------------------------------------
Moody's Investors Service has downgraded its rating of one class
of notes issued by SGA Societe Generale Acceptance N.V.

The transaction is a synthetic single tranche CDO managed by the
noteholder referencing 100 equally weighted corporate entities,
the majority of which are concentrated in banking, insurance and
finance.

According to Moody's, the rating actions are the result of
deterioration in the credit quality of the transaction's reference
portfolio, which includes but is not limited to exposure to Lehman
Brothers Holdings Inc., which filed for protection under Chapter
11 of the U.S. Bankruptcy Code on Sept. 15, 2008; Washington
Mutual Inc., which was seized by federal regulators on Sept. 25,
2008 and subsequently virtually all of its assets were sold to
JPMorgan Chase; and three Icelandic banks, specifically Kaupthing
Bank hf, Landsbanki Islands hf, and Glitnir Banki hf.

This note has been fully written down following credit events on
the above listed names.

This rating action is:

SGA Societe Generale Acceptance N.V.:

(1) EUR20,000,000 Series 12852/06.9 Tranche 1 Fort Louis Floating
Rate Credit-Linked Notes

  -- Current Rating: C
  -- Prior Rating: Baa3
  -- Prior Rating Date: Nov. 1, 2006


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N O R W A Y
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YARA INT'L: To Close NPK Fertilizer Plants in Lithuania and Italy
-----------------------------------------------------------------
Yara International ASA will permanently close its NPK plant in
Kedainiai, Lithuania while its NPK production in Ravenna, Italy
will be temporarily stopped by mid December, the company said in a
statement distributed by Hugin.

According to the statement, the Kedainiai plant, which has an
annual production capacity of 250,000 tons NPK, is an old sub-
scale landlocked plant that became a Yara plant with the
acquisition of Kemira GrowHow last year.  The plant produces low-
nitrogen NPK, PK and P fertilizer based on purchased nutrients.

Yara said in the statement the plant has no competitive market
advantage, lacks access to competitively priced raw materials and
would need significant investments to bring it up to Yara
efficiency and quality standards.  The plant has 128 employees.

The Ravenna plant meanwhile has an annual production capacity of
300,000 tons NPK. The decision to stop production temporarily is
related to the current slow-down in NPK deliveries.  The timing of
a re-start will depend on market developments, Yara said.

Yara noted it will continue to fulfill customer contracts from
built-up stock and alternative product sourcing.

Headquartered in Oslo, Norway, Yara International ASA (OSL:YAR) --
http://www.yara.no/-- is a chemical company that supplies mineral
fertilizers and agronomic solutions.  It is primarily engaged in
the conversion of energy, natural minerals and nitrogen from the
air into products for farmers and industrial customers.  The
Company's activities are organized into three business segments.
The Downstream segment's product portfolio includes standard
nitrogen products like urea and urea-ammonium nitrate (UAN), as
well as upgraded products, such as nitrates, and nitrogen,
phosphorus and potassium (NPK).  The Industrial segment develops
and sells chemical products and industrial gases to non-fertilizer
market segments.  The Upstream segment comprises ammonia and
fertilizer plants, as well as the global trade of ammonia.  The
Company has a presence in approximately 50 countries and sales in
around 120 countries.  On March 6, 2008, it acquired a Finnish
fertilizer producer, Kemira GrowHow Oyj.


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DE-PAK LLC: Creditors Must File Claims by December 21
-----------------------------------------------------
Creditors of LLC De-Pak (Packing Materials Production) have
until Dec. 21, 2008, to submit proofs of claims to:

         V. Zilev
         Temporary Insolvency Manager
         Office 220
         Volodarskogo Str. 9
         440026 Penza
         Russia

The Arbitration Court of Moskovskaya commenced bankruptcy
supervision procedure.  The case is docketed under Case No. A41=96
16374/08.

The Debtor can be reached at:

         LLC De-Pak
         Bolshaya Pokrovskaya Str. 35
         Pavlovskiy Sad
         Moskovskaya
         Russia


DEL-TRANS LLC: Creditors Must File Claims by January 21
-------------------------------------------------------
Creditors of LLC Del-Trans (Cargo Transportation) have until
Jan. 21, 2009, to submit proofs of claims to:

         A. Biryukov
         Insolvency Manager
         Post User Box 2004
         650000 Kemerovo
         Russia

The Arbitration Court of Omskaya commenced bankruptcy
proceedings against the company after finding it insolvent.  The
case is docketed under Case No. A46=9619767/2008,.

The Debtor can be reached at:

         LLC Del-Trans
         Pochtovaya Dtr. 33
         644024 Omsk
         Russia


EVRAZ GROUP: Moody's Downgrades Corporate Family Rating to 'Ba2'
----------------------------------------------------------------
Moody's downgraded CFR of Evraz from Ba2 to Ba3, at the same time
the rating of Senior Unsecured Notes totaling US$300 million due
in 2009 was affirmed at Ba2 reflecting its guarantee package, the
ratings of Senior Unsecured Notes totaling US$2750 million due in
2013, 2015, and 2018 was changed from Ba3 to B1.  The outlook of
all ratings is stable.

The rating action was prompted by worsening operating environment
in the industry which is likely to lead to significantly lower
cash flows generated by Evraz than has been previously
anticipated, and hence somewhat impact its financial strength
going forward which will likely result in the company materially
exceeding its self imposed target of debt to EBITDA of 1.5X in the
intermediate term.  Nonetheless the rating continues to recognize
the sound business profile of Evraz based on increased regional
diversification and solid cost competitiveness reflecting in
particular the vertical integration.

Moody's notes that the relatively short maturity profile of its
debt makes the company dependent on its ability to continue to
extend facilities but Moody's expects that its banking
counterparts will remain supportive.  The recent collapse in
demand for steel products and consequential significant reduction
in prices for steel products especially from the CIS steel
producers as well as the low visibility for prospects of short
term recovery have somewhat increased the challenges for Russian
companies to receive funding from local and international banks
going forward.

Against this background Moody's notes positively that Evraz
recently got approval for a US$1.8 billion emergency loan from
Russian VEB to re-finance its short-term indebtedness which
substantially alleviate the refinancing pressure over the next
year.

Moody's rating anticipates that material progress will be made by
Evraz on further improving and lengthening its debt maturity
profile while continuing to maintain satisfactory liquidity to
cover operating needs changes in working capital, debt repayments
and mandatory capex investments.  The agency will also monitor how
the company is adjusting to this new challenging market
environment.  Though Moody's expects the company to continue to
take the necessary steps to maintain a reasonable level of
profitability, the agency will also look at Evraz continuing to
generate material positive free cash flow even during the economic
slowdown so that it can reduce the amount of absolute debt (on a
net basis).  Failure in the company's efforts to continue to
lengthen the average debt maturity profile or generate material
free cash flow to reduce debt would put pressure on the rating.

The last rating action was on 15 May, 2008, when Moody's confirmed
current ratings of Evraz (CFR at Ba2), assigned provisional Ba3
rating to its proposed Notes and changes the outlook to negative.
The rating action concluded the review for possible downgrade for
Evraz' ratings initiated on March 17, 2008 following Evraz's
announcement on March 15 that it had reached an agreement to
acquire IPSCO's tubular business for US$4.025 billion with a back
to back agreement with OAO TMK (rated Ba3) and its affiliates to
resell certain of the acquired businesses to TMK for US$1.2
billion in 2008 and that its expects additional US$0.5 billion
disposals to be executed in 2009.

The negative outlook at the time of rating confirmation reflected
the integration and control challenges for a geographically wide
spread corporate group, the potential for further large
investments, and the reliance on cash flow and a bridge facility
to fund the various acquisitions as well as a refinancing of
maturing debt.

Evraz Group is one of the largest vertically integrated steel
companies in Russia (by volume and assets) with assets also in
Europe, North America and South Africa that produced 16.4 million
tones of steel products, reported revenue of US$12.8 billion and
EBITDA of US$4.3 billion in 2007.  In 1H 2008 the company reported
US$10.7 billion in revenue (78% increase QoQ) and US$3.78 billion
in EBITDA (84% increase QoQ).

Evraz's principal assets are steel plants in Russia, Europe, North
America, South Africa and Ukraine, iron ore and processing
facilities, as well as coal mines, logistics and trading assets.


HOUSE-BUILDING COMPANY-1: Creditors Must File Claims by Jan. 21
---------------------------------------------------------------
Creditors of LLC House-Building Company-1 (TIN 0105051242) have
until Jan. 21, 2009, to submit proofs of claims to:

         Sh. Zhemandukov
         Insolvency Manager
         Office 34
         Kurgannaya Str. 227
         Maykop
         385000 Adygeya
         Russia

The Arbitration Court of Adygeya commenced bankruptcy
proceedings against the company after finding it insolvent.  The
case is docketed under Case No. A01-A804/08=961.

The Court is located at:

         The Arbitration Court of Adygeya
         Krasnooktyabrsakaya str. 15
         Maykop
         Adygeya
         Russia

The Debtor can be reached at:

         LLC House-Building Company-1
         Krestyanskaya Str. 238
         Maykop
         Adygeya
         Russia


MASH-MET-LIT LLC: Moscow Bankruptcy Hearing Set February 17
-----------------------------------------------------------
The Arbitration Court of Moscow will convene at 4:45 p.m. on
Feb. 17, 2009, to hear bankruptcy supervision procedure on LLC
Mash-Met-Lit (TIN 7718589794) (Cellolose, Wood Pulp Production).
The case is docketed under Case No. A40=9658420/08=9695=96192B.


The Temporary Insolvency Manager is:

         K. Agafonov
         Apt. 26
         K.Marksa Str. 30
         603159 Novgorod
         Russia

The Debtor can be reached at:

         LLC Mash-Met-Lit
         Office 215
         Block 17/18
         1st Bukhvostova Str. 12/11
         107258 Moscow
         Russia


NOVATEK OAO: Gas Output Up 9.4% in January to October
-----------------------------------------------------
RIA Novosti reports that OAO Novatek's gas output grew 9.4% year-
on-year in January-October to 25.59 billion cubic meters, while
its output of liquid hydrocarbons in the reporting period
increased 4.1% to 2.14 million metric tons (15.7 mln bbls).

In 2007, Novatek produced 28.52 billion cubic meters of natural
gas, 0.7% less than in the previous year, the report notes.

                          About Novatek

Based in Tarko-Sale, Russia, OAO Novatek -- http://www.novatek.ru/
-- engages in the exploration, production and processing of
natural gas and liquid hydrocarbons.  The company's upstream
activities are concentrated in the prolific Yamal-Nenets Region in
Western Siberia.

                          *     *     *

OAO Novatek continues to carry a 'BB+' long-term corporate credit
rating from Standard & Poor's with stable outlook.  The rating was
raised by S&P to its current level from 'BB' in July 2008.

The company also carries a Ba2 corporate family rating from
Moody's with stable outlook.


PETROLINK-M CJSC: Creditors Must File Claims by December 21
-----------------------------------------------------------
Creditors of CJSC Petrolink-M (Oil Products) have until
Dec. 21, 2008, to submit proofs of claims to:

         V. Nikishkin
         Insolvency Manager
         Fedoseyenki Str.17/104
         430003 Saransk
         Russia

The Arbitration Court of Mordovia commenced bankruptcy
proceedings against the company after finding it insolvent.  The
case is docketed under Case No. A39=963309/2008,=96125/6.

The Debtor can be reached at:

         CJSC Petrolink-M
         Prospect Lenina 21
         Saransk
         Mordovia
         Russia


SEVERNAYA KAZNA: Alfa-Bank Acquires Controlling Stake
-----------------------------------------------------
RIA Novosti reports that Alfa-Bank, the largest privately-owned
bank in Russia, has acquired a controlling stake in Urals-based
bank Severnaya Kazna.

Alfa-Bank, as cited by the report, said it will take efforts to
stabilize and further streamline the positions of Severnaya Kazna
on the banking market of the Urals region in cooperation with the
Central Bank of Russia and the Agency for Deposit Insurance.  It
stressed that as a shareholder it will make sure that Severnaya
Kazna's liabilities to retail and corporate clients are met in
full, the report relates.

Severnaya Kazna, the report recounts, started to experience
problems in October when depositors rushed to withdraw their money
from the banking institution.

Domiciled in Yekaterinburg, Russia, Severnaya Kazna reported total
IFRS assets of US$1.518 billion, total shareholders' equity of
US$145 million and a net income of US$18 million as at
December 31, 2007.

                         *     *     *

As reported in the TCR-Europe on Oct. 27, 2008, Moody's Investors
Service downgraded the long-term local and
foreign currency deposit ratings of Bank Severnaya Kazna to Caa2
from B2 and placed the ratings on review with direction uncertain.
Severnaya Kazna's bank financial strength rating (BFSR) was
downgraded to E (stable outlook) from E+.  The bank's Not-Prime
short-term local and foreign currency deposit ratings were
affirmed.  Concurrently, Moscow-based Moody's Interfax Rating
Agency, which is majority-owned by Moody's, downgraded Severnaya
Kazna's long-term national scale rating (NSR) to B2.ru from
Baa1.ru and placed it on review with direction uncertain.


SIBIRSKIY MINIG: Court Names S. Afanasyev as Insolvency Manager
---------------------------------------------------------------
The Arbitration Court of Novosibirskaya appointed S. Afanasyev
as Insolvency Manager for CJSC Sibirskiy Mining Machinery Plant
(TIN 5410131775, PSRN 1025403909761).  The case is docketed
under Case No. A45=9611255/2007=9629/35.  He can be reached at:

         Post User Box 48
         630011 Novosibirsk
         Russia

The Debtor can be reached at:

         CJSC Sibirskiy Mining Machinery Plant
         Bolnichnaya Str. 8
         Tomsk
         Russia


TNK-BP: To Slash Oil and Petrochemical Exports by 4% in 2008
------------------------------------------------------------
RIA Novosti reports that TNK-BP plans to slash its oil and
petrochemical exports by 4% to 58.2 million metric tons in 2008.

Citing Alexander Kaplan, TNK-BP's acting vice-president for
refining and marketing, the report discloses the company expects
to have exported a total of 41.2 million tons (303 million bbl) of
oil and 17 million metric tons of petrochemicals by the end of
this year.  Petrochemical sales on the domestic market are
expected to grow 3% to 12 million metric tons, the report states.

The company, the report adds,  also expects to refine a total of
30 million metric tons of oil in 2008 from last year's 28 million.

The company is set to unveil its refining plans for 2009 at a
board meeting on December 11, the report relates.

                          About TNK-BP

Headquartered in Moscow, Russia, TNK-BP -- http://www.tnk-bp.ru/
-- is a vertically integrated oil company.  The company owns and
operates four refineries in Russia and one in Ukraine, and has a
retail network of approximately 1,600 sites.  It employs
approximately 65,000 people.

TNK-BP was formed in 2003 as a result of the merger of BP's
Russian oil and gas assets and the oil and gas assets of Alfa,
Access/Renova group (AAR).  BP and AAR each own 50% of the
company.

                          *     *     *

TNK-BP International Ltd. continues to carry 'BB' long-term and
'B' short-term corporate credit ratings from Standard & Poor's.
S&P affirmed the ratings and revised its outlook on the company to
stable from negative in September 2008.


VALENTA OAO: Fitch Withdraws 'B-' Long-Term Issuer Default Rating
-----------------------------------------------------------------
Fitch Ratings has withdrawn Moscow-based generic drug manufacturer
OAO Valenta's (formerly Otechestvennye Lekarstva's) Long-term
Issuer Default rating (IDR) of 'B-' (B minus) and its National
Long-term rating of 'BB-(BB minus)(rus)'.  The Outlooks for both
ratings are Negative.

Fitch will no longer provide analytical coverage on the issuer.


VOKHOMSKIY FLAX: Creditors Must File Claims by December 21
----------------------------------------------------------
Creditors of MUE Vokhomskiy Flax-Processing Plant have until
Dec. 21, 2008, to submit proofs of claims to:

         A. Petrosyan
         Insolvency Manager
         Apt. 62
         Kirpichny Proezd 3
         156025 Kostroma
         Russia

The Arbitration Court of Kostromskaya commenced bankruptcy
proceedings against the company after finding it insolvent.  The
case is docketed under Case No. A31=963242/2008,=9621.


VOLGA-TRANS-STROY LLC: Creditor Must File Claims by December 21
---------------------------------------------------------------
Creditors of LLC Volga-Trans-Stroy (TIN 6312056754) (Construction)
have until Dec. 21, 2008, to submit proofs of
claims to:

         V. Guskov
         Temporary Insolvency Manager
         Post User Box 41
         Syzran
         446001 Samarskaya
         Russia

The Arbitration Court of Samarskaya will convene at 11.00 a.m.
on Jan. 30, 2009, to hear bankruptcy supervision procedure.  The
case is docketed under Case No. A55=9610137/2008.

The Debtor can be reached at:

         LLC Volga-Trans-Stroy
         Office 130
         K. Marksa Prospect 475
         Samara
         Russia


VOLGODONSKIY BUTTER: Creditors Must File Claims by January 21
-------------------------------------------------------------
Creditors of LLC Volgodonskiy Butter-Making Plant (TIN
6143051999, RVC 614301001) have until Jan. 21, 2009, to submit
proofs of claims to:

         Ye. Lopatnikova
         Insolvency Manager
         Skladskaya Str. 3a
         347360 Volgodonsk
         Rostovskaya
         Russia

The Arbitration Court of Rostovskaya commenced bankruptcy
proceedings against the company after finding it insolvent.  The
case is docketed under Case No. A53=9616437\08-S1=9651.

The Debtor can be reached at:

         LLC Volgodonskiy Butter-Making Plant
         Skladskaya Str. 3a
         347360 Volgodonsk
         Rostovskaya
         Russia


VOSTOK-TRUBOPROVOD LLC: Creditor Must File Claims by December 21
----------------------------------------------------------------
Creditors of LLC Vostok-Truboprovod-Stroy (TIN 8603131583)
(Pipeline Construction) have until Dec. 21, 2008, to submit proofs
of claims to:

         V. Konovalov
         Temporary Insolvency Manager
         Post User Box 7664
         644099 Omsk
         Russia

The Arbitration Court of Khanty-Mansiysk-Yugra will convene at
11:30 a.m. on Dec. 22, 2008, to hear bankruptcy supervision
procedure.  The case is docketed under Case No. A75=963172/2008,.

The Debtor can be reached at:

         LLC Vostok-Truboprovod-Stroy
         Building 24
         9P Str.
         Nizhnevartovsk
         Khanty-Mansiysk
         Russia


* RUSSIA: VEB Invests US$3 Billion in Domestic Market
-----------------------------------------------------
RIA Novosti reports that the amount invested by Russia's national
development bank Vnesheconombank in the domestic market has
reached RUR85 billion (US$3.1 billion).

In an effort to shore up the liquidity of domestic businesses, the
Russian government, the report relates, allocated RUR175 billion
(US$6.5 billion) from the National Prosperity Fund to VEB to buy
the stocks of leading Russian companies with strong credit
ratings.

Citing VEB president Vladimir Dmitriyev, the report reveals VEB
had so far received a total of RUR115 billion (US$4.2 billion)
from the National Prosperity Fund for this purpose.

Mr. Dmitriyev earlier said VEB would invest up to
RUR5 billion rubles (US$184.5 million) daily on the Russian stock
market to ease the effects of the credit crunch, the report
recounts.


* RUSSIA: VEB to Refinance Commercial Banks' Foreign Debt
---------------------------------------------------------
Russia's national development bank Vnesheconombank has decided to
refinance foreign liabilities of commercial banks, RIA Novosti
reports.

Central Bank First Deputy Chairman Alexei Ulyukayev, as cited by
the report, said the decision had been made Friday last week by
the VEB Supervisory Board.

Mr. Ulyukayev however noted that until now VEB's regulatory
framework excluded commercial banks from refinancing, the report
states.


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CITIGROUP INC: Unit Agrees to Buy Sacyr's Itinere for EUR7.9 Bil.
-----------------------------------------------------------------
Citigroup Inc.'s Citi Infrastructure Partners ("Citi") has reached
an agreement with the Sacyr Vallehermoso Group ("SyV") for the
sale of SyV's subsidiary It=EDnere Infraestructuras ("Itinere") for
EUR7,887 million.  Of the total consideration, EUR2,874 million is
for It=EDnere's equity and EUR5,013 million for the net debt
assumed.

According to SyV, the transaction will reduce the Group's total
debt by 37% from EUR19,726 million as of January 1, 2008, to
EUR12,476 million.

The Wall Street Journal relates SyV's market value has tumbled
more than 72% over the past year on worries about its capacity to
service debt, making it one of the worst performers in Spain's key
IBEX-35 index.

The sale, the Journal says, comes after SyV was forced to suspend
an offering of Itinere shares earlier this year after lack of
interest from institutional investors.

Subject to a suspensive clause requiring the approval of the
transaction by the relevant competition authorities and financial
entities, Citi will launch a takeover bid for 100% of Itinere's
capital at EUR3.96 per share.  During the transaction, SyV will
first transfer 42.83% of its Itinere shares.  Once the offer has
been materialized, SyV will hand over 11.58% of Itinere's share
capital at the previously mentioned price per share (EUR3.96 per
share).

In addition, SyV will acquire from Citi an important group of
concession assets in the ramp-up and construction phases that have
the relevant capacity to create value in the future for a total
net amount of EUR450 million.  In addition, 8.34% of shares that
SyV holds in Itinere will be handed over to BBK and Caja Vital in
exchange for the exit put that these hold.  Kutxa has already
exercised it put option.

The perfection and execution of the transaction will have to occur
in 30 days, regardless of the negotiations that the parties could
carry out in connection with actions and commitments made to close
the operation.

After the transaction, the assets that will form part of SyV's new
infrastructure concession division are:

   -- R3, R5 (25%) and R4 radial motorways (35%) in Spain

   -- AP-36 (40%) and Guadalmedina (80%) motorways in Spain

   -- Barbanza (80%), Viastur (70%), Turia (89%), Eresma (73%),
      Arlanzon (95%) , Pamasa (35%) and Aunor (100%) motorways
      in Spain

   -- Vallenar-Caldera motorway (100%) in Chile

   -- Del Sol and Del Valle (35%) motorways in Costa Rica

   -- N-6 and M-50 (45%) motorways in Ireland

   -- IP-4 motorway Tunnel do Marao (55%) in Portugal

   -- Parla (100%), Coslada (100%) and Majadahonda (20%) hospitals
      in Spain

   -- Murcia Airport (60%) in Spain

   -- Sevilla underground (31%) in Spain

   -- Moncloa (87%) and Plaza El=EDptica (93%) transport hubs in
      Spain

   -- Neopistas (100%) in Spain

Mediobanca (Spain) has acted as SyV's exclusive financial advisor
during this business operation.

                     About Sacyr Vallehermoso

Headquartered in Madrid, Spain, Sacyr Vallehermoso SA (MCE:SYV) --
http://www.gruposyv.com/-- is the parent of Sacyr Vallehermoso
Group.  Through its subsidiaries, it operates five business areas:
Construction, Management of Transport Infrastructure Concessions,
Property Development, Rental Property and Services.  In the
Construction area, SyV is active in various construction projects
in Spain, Chile, Portugal and Italy.  The Company's Management of
Transport Infrastructure Concessions division operates mainly
through Itinere Infraestructuras, which is present in such
countries as Spain, Portugal, Ireland, Bulgaria and Chile.  The
Property Development division is active mainly in mainland Spain
and on the Spanish islands.  The Rental Property segment manages
offices and shopping centers in Madrid, Barcelona, Paris and
Miami, among others. The Services division is mainly engaged in
water management, operation of cogeneration plants, facilities
management, motorway maintenance and healthcare services.

                          About Citigroup

Based in New York, Citigroup Inc. (NYSE: C) --
http://www.citigroup.com-- is organized into four major segments
-- Consumer Banking, Global Cards, Institutional Clients Group,
and Global Wealth Management.  Citi had US$2.0 trillion in total
assets on US$1.9 trillion in total liabilities as of Sept. 30,
2008.

As reported in the Troubled Company Reporter on Nov. 25, 2008, the
U.S. government entered into an agreement with Citigroup to
provide a package of guarantees, liquidity access, and capital.
As part of the agreement, the U.S. Treasury and the Federal
Deposit Insurance Corporation will provide protection against the
possibility of unusually large losses on an asset pool of
approximately US$306 billion of loans and securities backed by
residential and commercial real estate and other such assets,
which will remain on Citigroup's balance sheet.  As a fee for this
arrangement, Citigroup will issue preferred shares to the Treasury
and FDIC.  In addition and if necessary, the Federal Reserve will
backstop residual risk in the asset pool through a non-recourse
loan.


FTPYME BANCAJA: Moody's Cuts Rating on EUR25.5 Mil. Notes to Caa1
------------------------------------------------------------------
Moody's Investors Service has downgraded the long-term credit
ratings of these notes issued by FTPYME BANCAJA 4, FTA:

  -- EUR23,300,000 Series C Notes, downgraded to Ba2 from Baa3;
  -- EUR25,500,000 Series D Notes; downgraded to Caa1 from Ba2.

The ratings of the Class A2, A3(G) and B Notes were affirmed at
Aaa, Aaa and A2 respectively.  Class A1 Notes were fully redeemed
on October 2007.

Date of previous rating action: no previous rating action since
initial rating assignment in November 2005.

The above rating action was prompted by a higher-than-expected
level of delinquencies.  As of September 2008, the cumulative 90+
delinquencies (i.e. delinquencies equal or greater than 90 days)
were equal to 2.54% of the current portfolio balance.  As part of
the review, Moody's has considered the exposure of the transaction
to the real estate sector (either through security in the form of
a mortgage or debtors operating in the real estate sector) and the
recent deterioration of the Spanish economy which has been
reflected in the negative asset performance outlook Moody's
published on the Spanish SMEs securitization sector.

As a result of the above, Moody's has further revised its
assumption of the default probability of the SME debtors to an
equivalent rating in the single B-range for the debtors operating
in the real estate sector and in the Ba-range for the non real-
estate debtors, since Moody's last review of the transaction
performance in February 2008.  At the same time, Moody's estimated
the remaining weighted average life of the portfolio was 3.5
years.  As a consequence, these revised assumptions have
translated into an increase of the cumulative mean default
assumption for this transaction to 5.4% as a percentage of the
original portfolio balance, with a coefficient of variation of
50%.  Moody's has also lowered its recovery rate assumption to
45%, with a standard deviation of 20%.  Moody's original mean
default assumption was 2.25% (as a percentage of original
balance).

In summary, the ratings of the more Senior Notes in the
transaction were not impacted but the increased credit enhancement
available in the structure due to the amortization of the
portfolio was not sufficient to offset the impact of worse than
expected performance and revised performance assumptions on the
Class C and D Notes rating.

FTPYME BANCAJA 4, FTA, is a securitization of small- and medium-
sized company loans under the FTPYME program carried out by Caja
de Ahorros de Valencia, Castellon y Alicante.  The pool of
underlying assets was made up of a portfolio of 4,106 loans
granted to Spanish companies.  The loans were originated between
1996 and 2005, with a weighted average seasoning of 13.5 months
and a weighted average remaining term of 5.8 years.  Almost 70% of
the outstanding of the portfolio was secured by a first-lien
mortgage guarantee over different type of properties (mainly urban
land, industrial and residential), with a weighted average loan to
value equal to 65%.  Geographically, the pool was concentrated in
Valencia (50.9%), Catalonia (12.3%) and Madrid (12.1%).  The
concentration in the "buildings and real estate" sector according
to Moody's industry classification was approximately 70% as of
closing.

Moody's assigned definitive ratings in November 2005.  Moody's
ratings address the expected loss posed to investors by the legal
final maturity of the notes.  Moody's ratings address only the
credit risks associated with the transaction.  Other non-credit
risks have not been addressed, but may have a significant effect
on yield to investors.


PYME BANCAJA: Moody's Cuts Rating on EUR24.1 Million Notes to Caa1
------------------------------------------------------------------
Moody's Investors Service has downgraded the long-term credit
ratings of these notes issued by PYME BANCAJA 5, FTA:

  -- EUR618,200,000 Series A3 Notes, downgraded to Aa3 from Aaa;
  -- EUR62,700,000 Series B Notes; downgraded to Ba3 from A2;
  -- EUR24,100,000 Series C Notes; downgraded to Caa1 from Baa3.

Class A1 and A2 Notes were fully redeemed on August 2007 and
November 2007 respectively.

Date of previous rating action: no previous rating action since
initial rating assignment in October 2006.

The rating action was prompted by a higher-than-expected level of
delinquencies. As of September 2008, the cumulative 90+
delinquencies (i.e. delinquencies equal or greater than 90 days)
were equal to 2.68% of the current portfolio balance.  As part of
the review, Moody's has considered the exposure of the transaction
to the real estate sector (either through security in the form of
a mortgage or debtors operating in the real estate sector) and the
recent deterioration of the Spanish economy which has been
reflected in the negative asset performance outlook Moody's
published on the Spanish SMEs securitization sector.

As a result, Moody's has revised its assumption of the default
probability of the SME debtors to an equivalent rating in the
single B-range for the debtors operating in the real estate sector
and in the Ba-range for the non real-estate debtors.  At the same
time, Moody's estimated the remaining weighted average life of the
portfolio was 3.7 years.  As a consequence, these revised
assumptions have translated into an increase of the cumulative
mean default assumption for this transaction to 8.8% as a
percentage of the original portfolio balance, with a coefficient
of variation of 45%.  Moody's has also lowered its recovery rate
assumption to 45%, with a standard deviation of 20%.  Moody's
original mean default assumption was 2.25% (as a percentage of
original balance).

In summary, the increased credit enhancement available in the
structure due to the amortization of the portfolio was not
sufficient to offset the impact of worse than expected performance
and revised performance assumptions on the Class A3, B and C Notes
rating.

PYME BANCAJA 5, FTA is a securitization fund created with the aim
of purchasing a pool of loans granted by Caja de Ahorros de
Valencia, Castellon y Alicante to Spanish small- and medium-sized
enterprises.  The pool of underlying assets was made up of a
portfolio of 3,177 loans granted to Spanish companies.  The loans
have been originated between 2001 and April 2006, with a weighted
average seasoning of 1 year and a weighted average remaining term
of 6.68 years.  Around 76.6% of the outstanding of the portfolio
was secured by a mortgage guarantee over different type of
properties (mainly urban land, commercial and residential), with a
weighted average loan to value equal to 64%.  Geographically, the
pool was concentrated in Valencia (50.86%), Madrid (16.81%) and
Catalonia (9.08%).  The concentration in the "buildings and real
estate" sector according to Moody's industry classification was
approximately 73.8% as of closing.

Moody's assigned definitive ratings in October 2006.  Moody's
ratings address the expected loss posed to investors by the legal
final maturity of the notes.  Moody's ratings address only the
credit risks associated with the transaction.  Other non-credit
risks have not been addressed, but may have a significant effect
on yield to investors.


* SPAIN: Gov't. Launches EUR11 Billion Stimulus Plan
----------------------------------------------------
BBC News reports that Spain has launched an EUR11 billion (GBP9.2
billion) plan aimed at boosting the economy and creating 300,000
jobs.

Spain's economy contracted by 0.2% in the third quarter, while
unemployment reached 11.3% in September - an EU record, the report
relates.

According to the report, the plan, which represents 1.1% of the
Spain's Gross Domestic Product (GDP), is part of the European
Union's EUR200 billion stimulus unveiled Wednesday last week.

The European Commission, the report recounts, demanded that each
EU member must spend about 1.2% of GDP to fight the economic
slowdown.

Spain's prime minister Jorge Luis Rodriguez Zapatero, as cited by
the report said, the money will be mainly invested in
infrastructure and public works.

The Spanish government intends to invest EUR0.8 billion in the car
industry, the report adds.

The construction industry in the country has also been severely
hit by the financial crisis, the report notes.


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FORD MOTOR: To Cut CEO's Pay Package & Focus on Making Small Cars
-----------------------------------------------------------------
Ford Motor Co. will present before the congress its business plan,
which includes a reduction in CEO Alan Mulally's compensation
package, Mike Spector, Mathew Dolan, and Greg Hitt at The Wall
Street Journal report, citing a person familiar with the matter.

According to WSJ, Ford Motor and General Motors Corp. directors
met separately on Monday to vote on their viability plans to be
presented to the Congress on Tuesday, to try to win support for
US$25 billion in low-cost loans from the federal government.
Chrysler LLC top executives, WSJ relates, were finalizing their
own plan to show that it can survive and return to profitability
with government aid, after its private-equity owner Cerberus
Capital Management LP reviewed the plan on Monday.

Citing a source, WSJ states that it isn't yet clear how Mr.
Mulally's pay package will be reduced, but Ford Motor is
considering cutting off Mr. Mulally's salary until the firm
becomes profitable again, or paying him through stock options.
According to the report, Mr. Mulally has earned almost
US$50 million in total compensation since leading Ford Motor in
2006.

WSJ reports that executive compensation became an issue when the
Ford Motor, GM, and Chrysler asked the Congress for financial help
in November 2008.  Mr. Mulally, says WSJ, had been unwilling to
accept a US$1 yearly salary when he was asked during the first
meeting of the Congress, and people familiar with the matter said
that Ford Motor Executive Chairperson William Clay Ford and some
other members of the company's board were unnerved by Mr. Mulally.

            Ford Motor to Focus on Small Cars

Citing a person familiar with the matter, WSJ relates that Ford
Motor will also mention in its business plan that it will shift to
making small fuel-efficient cars and break from the past strategy
of focusing mainly on large pick up trucks and sport-utility
vehicles.  According to the report, Ford Motor's plan would likely
underscore its new fuel-efficient gasoline turbocharged direct-
injection engines and bringing its high-mileage cars from its
European operations to the U.S.

    Conway MacKenzie Says More Cuts Must be Implemented

GM, Ford Motor, and Chrysler must implement more cuts, WSJ
reports, citing restructuring firm Conway MacKenzie & Dunleavy
senior managing director Van Conway.  "I think you need to
demonstrate sincerely that you are doing the very painful cuts --
white collar, blue collar, plant closings.  They need to really
look like they're suffering on the expense line so people believe
they can make it," the report quoted Mr. Conway as saying.

According to WSJ, a source said that Ford Motor and GM would be
willing to seek further cost-cuts and concessions from the United
Auto Workers union.  The report says that once GM reaches an
agreement with the United Auto Workers union on any wage or
benefit concessions for a rescue of the company, Chrysler, Ford
Motor will also insist on a similar arrangement.  GM, according to
the report, owes the health care trust for retiree union workers
some US$7.5 billion by 2010, which many suspect the company can't
afford.

Citing a source, WSJ says that UAW President Ron Gettelfinger is
open to eliminating the jobs bank, which pays employees most of
their wages even when they no longer work in plants, but Mr.
Gettelfinger wants to see management sacrifices in return.  The
sacrifices, WSJ relates, would include limits on executive
compensation and a retraining program that will help laid-off
workers get high-tech jobs in areas like battery development for
electric vehicles.

WSJ relates that sources said that GM will plan more cuts to North
American production capacity, an initiative to offer debt-holders
equity to tidy its balance sheet, and cuts to executive pay, while
aspects of the plan include goals to gain more labor concessions,
and executive pay cuts.  Citing a source, the report states that
GM would also include in its plan cutting brands and details on
new fuel-efficient vehicles and how the firm will meet new
stringent federal mileage rules.  The report says that GM hopes to
start selling electric plug-in car Chevrolet Volt in 2010.

Cerberus Capital is also interested in combining Chrysler with
another firm, WSJ states.  Cerberus Capital had discussed selling
Chrysler to GM before the request for government aid, according to
the report.

Jeff Bennett at WSJ reports that Ford Motor is again considering
selling its Swedish luxury vehicle maker Volvo Cars, saying on
Monday that it will re-evaluate strategic options for the unit as
part of a broader effort to strengthen Ford Motor's balance sheet.
Ford Motor, according to WSJ, acquired Volvo Cars from Swedish
truck maker AB Volvo for more than US$6.5 billion in 1999.

The review could take several months, during which time Volvo Cars
will continue implementing a restructuring, which includes laying
off a quarter of its workforce, states WSJ.  Mr. Mulally had
affirmed in November this year his decision in 2007 to keep Volvo
Cars after a review of the advantages of selling the unit that
year, according to the report.  Mr. Mulally said last month that
he was still committed to restoring Volvo Cars' financial health,
the report states.

According to WSJ, CSM Worldwide analyst Michael Robinet doubts
that Ford Motor will be able to quickly find a suitor.  The report
quoted Mr. Robinet as saying, "Anyone who purchases Volvo would
have to have very close ties to Ford because virtually every Volvo
is using a Ford platform.  It will be difficult because it's not
like cutting a piece of pie that's already perforated and just
cracking it off.  They are very integrated and it could take
years."

AB Volvo said on Monday that it wasn't interested in purchasing
back Volvo Cars from Ford Motor, WSJ reports.

WSJ relates that GM, Ford Motor, and Chrysler were also devising
alternative travel plans after the Congress criticized their CEOs
for using expensive corporate jets to make their way to Capitol
Hill.  Ford Motor said on Monday that Mr. Mulally will drive by
car to Washington this time, while Chrysler said that its CEO
Robert Louis Nardelli has ruled out flying by private jet,
according to the report.

WSJ states that if the Congress approves the requests of GM, Ford
Motor, and Chrysler for government financial assistance, the
lawmakers would be called back to Washington next week.

Jeff Green and John Lippert at Bloomberg News report that GM, Ford
Motor, and Chrysler union leaders will hold an emergency meeting
on Dec. 3 at the Detroit Marriott Hotel.  Citing a person familiar
with the matter, the report says that participants of the meeting
will be asked to reopen a 2007 labor agreement to consider
concessions.

Sources said that GM also wants to change how it pays for a union
retiree health care fund as part of a broader cost cutting plan
designed to win government aid, Bloomberg states.

                      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 Nov. 11,
2008, Moody's Investors Service lowered the debt ratings of
Ford Motor Company, Corporate Family and Probability of
Default Ratings to Caa1 from B3.  The company's Speculative
Grade Liquidity rating remains at SGL-3 and the rating outlook
is negative.  In a related action Moody's also lowered the
long-term rating of Ford Motor Credit Company to B3 from B2.
The outlook for Ford Credit is negative.

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-'.


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S W I T Z E R L A N D
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AUTO PROGRESS: Creditors Must File Proofs of Claim by Dec. 13
-------------------------------------------------------------
Creditors owed money by JSC Auto Progress are requested to file
their proofs of claim by Dec. 13, 2008, to:

         Thurgauerstrasse 105
         8152 Glattbrugg
         Switzerland

The company is currently undergoing liquidation in Opfikon.  The
decision about liquidation was accepted at an extraordinary
shareholders' meeting held on Oct. 21, 2008.


EMIRA TRADE: Deadline to File Proofs of Claim Set Dec. 14
---------------------------------------------------------
Creditors owed money by JSC Emira Trade are requested to file
their proofs of claim by Dec. 14, 2008, to:

         Sumpfastrasse 26
         6312 Steinhausen
         Switzerland

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


FINLEI HOLDING: Creditors Have Until Dec. 14 to File Claims
-----------------------------------------------------------
Creditors owed money by JSC Finlei Holding are requested to file
their proofs of claim by Dec. 14, 2008, to:

         JSC Ortag
         Birmensdorferstrasse 125
         8036 Zurich
         Switzerland

The company is currently undergoing liquidation in Zurich.  The
decision about liquidation was accepted at an extraordinary
shareholders' meeting held on Oct. 6, 2008.


GENERAL MOTORS: More Cuts Needed to Win Gov't Loan, Says Conway
---------------------------------------------------------------
General Motors Corp., Ford Motor Co., and Chrysler LLC must
implement more cuts, The Wall Street Journal reports, citing
restructuring firm Conway MacKenzie & Dunleavy senior managing
director Van Conway.

"I think you need to demonstrate sincerely that you are doing the
very painful cuts -- white collar, blue collar, plant closings.
They need to really look like they're suffering on the expense
line so people believe they can make it," WSJ quoted Mr. Conway as
saying.

According to WSJ, Ford Motor and GM directors met separately on
Monday to vote on their viability plans to be presented to the
Congress on Tuesday, to try to win support for US$25 billion in
low-
cost loans from the federal government.  Chrysler LLC top
executives, WSJ relates, were finalizing their own plan to show
that it can survive and return to profitability with government
aid, after its private-equity owner Cerberus Capital Management LP
reviewed the plan on Monday.

A source said that Ford Motor and GM would be willing to seek
further cost-cuts and concessions from the United Auto Workers
union, WSJ states.  The report says that once GM reaches an
agreement with the United Auto Workers union on any wage or
benefit concessions for a rescue of the company, Chrysler, Ford
Motor will also insist on a similar arrangement.  GM, according to
the report, owes the health care trust for retiree union workers
some US$7.5 billion by 2010, which many suspect the company can't
afford.

Citing a source, WSJ says that UAW President Ron Gettelfinger is
open to eliminating the jobs bank, which pays employees most of
their wages even when they no longer work in plants, but Mr.
Gettelfinger wants to see management sacrifices in return.  The
sacrifices, WSJ relates, would include limits on executive
compensation and a retraining program that will help laid-off
workers get high-tech jobs in areas like battery development for
electric vehicles.

WSJ relates that sources said that GM will plan more cuts to North
American production capacity, an initiative to offer debt-holders
equity to tidy its balance sheet, and cuts to executive pay, while
aspects of the plan include goals to gain more labor concessions,
and executive pay cuts.  Citing a source, the report states that
GM would also include in its plan cutting brands and details on
new fuel-efficient vehicles and how the firm will meet new
stringent federal mileage rules.  The report says that GM hopes to
start selling electric plug-in car Chevrolet Volt in 2010.

Cerberus Capital is also interested in combining Chrysler with
another firm, WSJ states.  Cerberus Capital had discussed selling
Chrysler to GM before the request for government aid, according to
the report.

Jeff Bennett at WSJ reports that Ford Motor is again considering
selling its Swedish luxury vehicle maker Volvo Cars, saying on
Monday that it will re-evaluate strategic options for the unit as
part of a broader effort to strengthen Ford Motor's balance sheet.
Ford Motor, according to WSJ, acquired Volvo Cars from Swedish
truck maker AB Volvo for more than US$6.5 billion in 1999.

The review could take several months, during which time Volvo Cars
will continue implementing a restructuring, which includes laying
off a quarter of its workforce, states WSJ.  Mr. Mulally had
affirmed in November this year his decision in 2007 to keep Volvo
Cars after a review of the advantages of selling the unit that
year, according to the report.  Mr. Mulally said last month that
he was still committed to restoring Volvo Cars' financial health,
the report states.

According to WSJ, CSM Worldwide analyst Michael Robinet doubts
that Ford Motor will be able to quickly find a suitor.  The report
quoted Mr. Robinet as saying, "Anyone who purchases Volvo would
have to have very close ties to Ford because virtually every Volvo
is using a Ford platform.  It will be difficult because it's not
like cutting a piece of pie that's already perforated and just
cracking it off.  They are very integrated and it could take
years."

AB Volvo said on Monday that it wasn't interested in purchasing
back Volvo Cars from Ford Motor, WSJ reports.

WSJ relates that GM, Ford Motor, and Chrysler were also devising
alternative travel plans after the Congress criticized their CEOs
for using expensive corporate jets to make their way to Capitol
Hill.  Ford Motor said on Monday that Mr. Mulally will drive by
car to Washington this time, while Chrysler said that its CEO
Robert Louis Nardelli has ruled out flying by private jet,
according to the report.

WSJ states that if the Congress approves the requests of GM, Ford
Motor, and Chrysler for government financial assistance, the
lawmakers would be called back to Washington next week.

Jeff Green and John Lippert at Bloomberg News report that GM, Ford
Motor, and Chrysler union leaders will hold an emergency meeting
on Dec. 3 at the Detroit Marriott Hotel.  Citing a person familiar
with the matter, the report says that participants of the meeting
will be asked to reopen a 2007 labor agreement to consider
concessions.

Sources said that GM also wants to change how it pays for a union
retiree health care fund as part of a broader cost cutting plan
designed to win government aid, Bloomberg states.

                      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.

As reported in the Troubled Company Reporter on Nov. 10,
2008, General Motors Corporation's balance sheet at
Sept. 30, 2008, showed total assets of US$110.425 billion, total
liabilities of US$170.3 billion, resulting in a stockholders'
deficit of US$59.9 billion.

                          *     *     *

As reported in the Troubled Company Reporter on Nov. 11, 2008,
Standard & Poor's Ratings Services lowered its ratings, including
the corporate credit rating, on General Motors Corp. to 'CCC+'
from 'B-' and removed them from CreditWatch, where they had been
placed with negative implications on Oct. 9, 2008.  S&P said that
the outlook is negative.

Fitch Ratings, as reported in the Troubled Company Reporter on
Nov. 11, 2008, placed the Issuer Default Rating of General Motors
on Rating Watch Negative as a result of the company's rapidly
diminishing liquidity position.  Given the current liquidity level
of US$16.2 billion and the pace of negative cash flows, Fitch
expects that GM will require direct federal assistance over the
next quarter and the forbearance of trade creditors in order to
avoid default.  With virtually no further access to external
capital and little potential for material asset sales, cash
holdings are expected to shortly reach minimum required operating
levels.  Fitch placed these on Rating Watch Negative:

-- Senior secured at 'B/RR1';
-- Senior unsecured at 'CCC-/RR5'.

As reported in the Troubled Company Reporter on June 24, 2008,
DBRS has placed the ratings of General Motors Corp. and General
Motors of Canada Limited Under Review with Negative Implications.
The rating action reflects the structural deterioration of the
company's operations in North America brought on by high oil
prices and a slowing U.S. Economy.


PERMAG LLC: Proofs of Claim Filing Deadline is Dec. 12
------------------------------------------------------
Creditors owed money by LLC Permag are requested to file their
proofs of claim by Dec. 12, 2008, to:

         Karlheinz Stofer
         Liquidator
         Mattenstrasse 4
         4153 Reinach
         Switzerland

The company is currently undergoing liquidation in Basel.  The
decision about liquidation was accepted at an extraordinary
shareholders' meeting held on Oct. 20, 2008.


STENHAM MANAGEMENT: Creditors' Proofs of Claim Due by Dec. 13
-------------------------------------------------------------
Creditors owed money by JSC Stenham Management are requested to
file their proofs of claim by Dec. 13, 2008, to:

         General Wille-Strasse 10
         Mail Box: 1688
         8027 Zurich
         Switzerland

The company is currently undergoing liquidation in Zurich.  The
decision about liquidation was accepted at an extraordinary
shareholders' meeting held on July 31, 2008.


VALGENTI TRADE: Dec. 13 Set as Deadline to File Claims
------------------------------------------------------
Creditors owed money by SC Valgenti Trade are requested to file
their proofs of claim by Dec. 14, 2008, to:

         Dufourstrasse 121
         9001 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. 25, 2008.


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EREGLI DEMIR: Moody's Changes Outlook on 'Ba3' CFR to Negative
--------------------------------------------------------------
Moody's has changed the outlook on Erdemir's Ba3 corporate family
rating to negative from stable.  The rating action has been
prompted by the significant downturn in the steel industry, which
severely affects Erdemir.  The company still benefits from high
profitability generated in 2007 and the first 9 months of 2008,
but Moody's does expect a substantial weakening in the company's
performance in the 4th quarter 2008 and well into 2009.  Moody's
would expect Erdemir to generate free cash flows, however, due to
a scale down of capital expenditure, prudent dividend policy and
the release of net working capital which has been built up in the
third quarter of 2008 and led to a cash outflow of TRY 1.7 billion
during the first 9 months of 2008. This set of circumstances have
led Erdemir to be currently weakly positioned in the rating
category.

The rating action of Moody's also takes into account the weak
short-term liquidity situation of Erdemir, which relies on the
ability and willingness of its relationship banks to continue to
provide the company with bilateral, uncommitted and short-term
loans.  Beyond the continued support from its banking group that
Moody's has built in the rating, Moody's has taken comfort from
the expectation that the major shareholder Oyak is likely and able
to support Erdemir's liquidity needs if it is necessary.
Should the current dislocation of the steel markets extend to more
than a few months this could lead to downward pressure on the
rating due to lower cash generated to service the existing debt.
Failure of a reduction in net working capital over the next two
quarters would also lead to further downward pressure on the
rating.

In addition, a significant increase in absolute levels of debt,
stemming from lower than expected cash flow generation as a result
of increased volatility, reduced steel prices and lower volumes
would put pressure on Erdemir's rating.  EBIT margins below 12 -
15% and CFO-Dividends/debt short of 25% might lead to a downgrade
of the Ba3 rating (per 09/2008 for last twelve months: 2% due to
strong increase in net working capital).

Moody's still believes that Erdemir, as the major steel producer
in Turkey, is well positioned to take advantage from any uptick in
demand which may occur during the end of the first quarter 2009
given the company's improved cost base and flexibility in the
production of different steel grades.  Erdemir has now terminated
its organic capital expansion program which should help reducing
the cost base and produce more different grades of steel.

Based on four-year historical data (3 years and LTM 09/2008),
Erdemir maps under this methodology to Ba1, two notches above its
current rating of Ba3, primarily reflecting i) the surge in steel
prices since 2004, boosting financial metrics to cyclical peaks; a
more cautious incorporation of an eventual cyclical weakening
reduces this gap, ii) the exposure to a more volatile operating
environment in Turkey taking into account political, legal and
economic uncertainties as well as (iii) a limited corporate
governance track record which should however benefit from the
measures and policies implemented by Oyak.

Moody's last rating action on Erdemir was the assignment of a Ba3
corporate family rating with stable outlook on Sept. 12, 2007.

Outlook Actions:

Issuer: Erdemir

  -- Outlook, Changed To Negative From Stable

Eregli Demir ve Celik Fabrikalari is the largest steel
manufacturer in Turkey with a market share of around 31% in 2007.
The company is majority owned by Ordu Yardimlasma Kurumu, the
Turkish private pension fund primarily serving members of Turkish
Armed Forces (rated Ba2).  Erdemir generated revenues of
TRY7 billion on LTM basis per September-end 2008 and is expected
to generate up to 6.5 million of crude steel in its two plants in
Eregli and Iskenderun.


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AGROSVIT LLC: Creditors Must File Claims by December 13
-------------------------------------------------------
Creditors of LLC Agrosvit have until Dec. 13, 2008, to submit
proofs of claim to:

         Mrs. Liudmila Orletskaya
         Liquidator / Insolvency Manager
         3rd. Polevoy Lane, 6
         Zhytomir
         Ukraine
         Tel: 8(0412)46-13-64
         8(063)383-04-91

The Arbitration Court of Zhytomir commenced bankruptcy proceedings
against the company after finding it insolvent on July 15, 2008.
The case is docketed as 4/10-b.

         The Economic Court of Zhytomir
         Putiatinskiy Square 3/65
         10014 Zhytomir
         Ukraine

The Debtor can be reached at:

         LLC Agrosvit
         Lenin Str.
         Molchanovka
         Ruzhynski
         31650 Zhytomir
         Ukraine


BABILON LLC: Creditors Must File Claims by December 12
------------------------------------------------------
Creditors of LLC Trading-Building Firm Babilon (code EDRPOU
35070820) have until Dec. 12, 2008, to submit proofs of claim to:

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

The Arbitration Court of Kharkov commenced bankruptcy proceedings
against the company after finding it insolvent on Nov. 6, 2008.
The case is docketed as B-19/171-08.


BOMOND-SERVICE: Creditors Must File Claims by December 13
---------------------------------------------------------
Creditors of Subsidiary Company Bomond-Service (code EDRPOU
31457295) have until Dec. 13, 2008, to submit proofs of claim to:

         Mr. Denis Rybin
         Liquidator
         Apt. 172
         Feodosiyskaya Str. 4
         Kiev
         Ukraine

The Arbitration Court of Kiev commenced bankruptcy proceedings
against the company after finding it insolvent on Oct. 15, 2008.
The case is docketed as 49/235-b.

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

The Debtor can be reached at:

         Subsidiary Company Bomond-Service
         Industrialnaya Str. 30
         03058 Kiev
         Ukraine


EOL-DON LLC: Creditors Must File Claims by December 13
------------------------------------------------------
Creditors of LLC Eol-Don (code EDRPOU 33966908) have until
Dec. 13, 2008, to submit proofs of claim to:

         Mrs. Julie Karaush
         Temporary Insolvency Manager
         Tumanian Str. 21/3
         83077 Donetsk
         Ukraine

The Economic Court of Donetsk commenced bankruptcy supervision
procedure on the company.  The case is docketed as 42/105B.

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

The Debtor can be reached at:

         LLC Eol-Don
         Zhmura Str. 1
         83007 Donetsk
         Ukraine


GPA LLC: Creditors Must File Claims by December 13
--------------------------------------------------
Creditors of LLC Trading House GPA (code EDRPOU 34293809) have
until Dec. 13, 2008, to submit proofs of claim to:

         Private Enterprise
         Juridical Agency Kharchenko
         Liquidator
         Melnikov Str. 12
         04050 Kiev
         Ukraine

The Arbitration Court of Kiev commenced bankruptcy proceedings
against the company after finding it insolvent on Oct. 8, 2008.
The case is docketed as 49/230-b.

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


KONOTOP PLANT: Creditors Must File Claims by December 13
--------------------------------------------------------
Creditors of OJSC Konotop Plant on Diesel Motor Trains Repair
(code EDRPOU 30640216) have until Dec. 13, 2008, to submit proofs
of claim to:

         Mr. Petr Korobko
         Temporary Insolvency Manager
         Kosivschinskaya Str. 96/4
         40021 Sumy
         Ukraine

The Arbitration Court of Sumy commenced bankruptcy proceedings
against the company after finding it insolvent.  The case is
docketed as 6/177-08.

         The Economic Court of Sumy
         Shevchenko Avenue 18/1
         40030 Sumy
         Ukraine

The Debtor can be reached at:

         OJSC Konotop Plant on
         Diesel Motor Trains Repair
         Novikov Square, 8
         Konotop
         41600 Sumy
         Ukraine


NOAR LLC: Creditors Must File Claims by December 12
---------------------------------------------------
Creditors of LLC Noar (code EDRPOU 34646824) have until
Dec. 12, 2008, to submit proofs of claim to:

         Mr. Novoseltsev Vladimir
         Liquidator / Insolvency Manager
         Dobrovolskiy Str. 38/2
         Cherkassy
         Ukraine
         Tel: 8(096)666-63-60

The Arbitration Court of Cherkassy commenced bankruptcy
proceedings against the company after finding it insolvent on
Oct. 21, 2008.  The case is docketed as 14/4894.

         The Economic Court of Cherkassy
         Shevchenko Avenue 307
         18005 Cherkassy
         Ukraine

The Debtor can be reached at:

         LLC Noar
         Smilianskaya Str. 122/1
         18000 Cherkassy
         Ukraine


OBRIY LLC: Creditors Must File Claims by December 12
----------------------------------------------------
Creditors of LLC Obriy (code EDRPOU 30758103) have until
Dec. 12, 2008, to submit proofs of claim to:

         The Economic Court of Odessa
         Shevchenko Avenue 4
         65032 Odessa
         Ukraine

The Arbitration Court of Odessa commenced bankruptcy proceedings
against the company after finding it insolvent on Sept. 19, 2008.
The case is docketed as 32/93-08-3648.

The Debtor can be reached at:

         LLC Obriy
         Sovetskaya Str. 41
         Larzhanka
         Izmail
         68662 Odessa
         Ukraine


PARITET-AS LLC: Creditors Must File Claims by December 12
---------------------------------------------------------
Creditors of LLC Paritet-AS have until Dec. 12, 2008, to submit
proofs of claim to:

         Mr. E. Golub L
         Liquidator / Insolvency Manager
         Komsomolskiy avenue, 8
         83055 Donetsk
         Ukraine

The Arbitration Court of Donetsk commenced bankruptcy proceedings
against the company after finding it insolvent on Nov. 4, 2008.
The case is docketed as 42/208B.

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


TRANSENERGY LLC: Creditors Must File Claims by December 12
----------------------------------------------------------
Creditors of LLC Company Transenergy (code EDRPOU 30971370) have
until Dec. 12, 2008, to submit proofs of claim to:

         Mr. S. Kitsul
         Temporary Insolvency Manager
         Apt. 15
         Leskovskaya Str. 28
         02097 Kiev
         Ukraine
         Tel: 8(067)295-08-03

The Arbitration Court of Kiev commenced bankruptcy proceedings
against the company after finding it insolvent on Sept. 12, 2008.
The case is docketed as 44/316-b.

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

The Debtor can be reached at:

         LLC Company Transenergy
         Section 4
         Pavlovskaya Str. 18
         01135 Kiev
         Ukraine


VINEGAR-LEAVEN CJSC: Creditors Must File Claims by Dec. 12
----------------------------------------------------------
Creditors of CJSC Vinegar-Leaven Plant have until Dec. 12, 2008,
to submit proofs of claim to:

         Mrs. Elena Zolotoverkh
         Liquidator / Insolvency Manager
         Apt. 135
         50 Years of Victory Boulevard, 125
         Belaya Tserkov
         Kiev
         Ukraine

The Arbitration Court of Kiev commenced bankruptcy proceedings
against the company after finding it insolvent on Nov. 4, 2008.
The case is docketed as 52/226-08.

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

The Debtor can be reached at:

         CJSC Vinegar-Leaven Plant
         Mayakovsky Str. 2
         Usin
         Belaya Tserkov
         09161 Kiev
         Ukraine


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AER LINGUS: Tells Shareholders to Reject Ryanair's Renewed Offer
----------------------------------------------------------------
Aer Lingus Group Plc rejected a new, EUR748 million (US$950
million) takeover bid from Ryanair Holdings Plc, saying the offer
was underpriced and unworkable, The Wall Street Journal reports.

Bloomberg News relates Aer Lingus "strongly advised" shareholders
not to respond to the bid.

According to Bloomberg News, Ryanair's renewed bid is half the
price it offered for the airline in 2006.

The new offer, which is EUR1.40 cash per Aer Lingus share, is
about 28% more than Aer Lingus's average closing price for the 30
days to Nov. 28, the Journal notes.

The Journal recalls in its first attempt, Ryanair was unable to
overcome support for Aer Lingus from the Irish government, which
owns 25.4% of the airline, and other minority stockholders
including employee shareholders, who hold about 14% of the stock.
The bid was also blocked by European Union regulators, although
Ryanair appealed that decision, the Journal says.

According to the Journal, regulators opposed Ryanair's first offer
on concerns it would reduce competition on Irish routes while EU
antitrust authorities said the combination would give Ryanair a
monopoly on 22 routes and dominance on dozens more.  Ryanair holds
29.8% of Aer Lingus.

In a Business Wire statement obtained by Bloomberg News, Aer
Lingus said antitrust questions that scuttled the earlier
transaction remain in effect.

"Aer Lingus remains a strong business with significant cash
reserves and a robust long-term future," Aer Lingus said in the
statement.  "The board believes that the offer significantly
undervalues Aer Lingus."

Ryanair Chief Executive Michael O'Leary meanwhile told the Journal
in an interview that economic upheaval and continuing
consolidation in Europe's airline industry have now created a
climate in which the Irish government, outside shareholders and EU
regulators should approve the offer.

Bloomberg News says the International Air Transport Association
estimates airlines will report combined losses of US$5.2 billion
this year amid slowing demand.

According to the Journal, Aer Lingus has announced plans to cut
capacity this winter and next summer and wants to outsource 1,500
of its 4,000-strong work force, in an attempt to save EUR74
million and stem its losses.

The Journal relates that in its presentation to investors,
Ryanair:

   -- cited several recent airline mergers or
      acquisitions against which it said the
      new offer should be judged;

   -- claimed Aer Lingus on its own isn't strong
      enough to compete against other big European
      carriers and can't compete against Ryanair's
      low-cost base;

   -- offered the employee shareholders trust, ESOT,
      and other employee shareholders more than
      EUR137 million in cash and the government more
      than EUR188 million in cash;

   -- committed to doubling the size of the
      Aer Lingus short-haul fleet to 66 aircraft
      over the next five years and creating 1,000
      new jobs, while also cutting its average
      fares by 5% for three years; and

   -- said it will keep both the Ryanair and
      Aer Lingus brands.

                         About Ryanair

Headquartered in Dublin, Ireland, Ryanair Holdings plc
(NASDAQ:RYAAY) -- http://www.ryanair.com/-- operates a scheduled
passenger airline serving routes between Ireland, the United
Kingdom, Continental Europe and Morocco.  At June 30, 2008, with
its operating fleet of 166 Boeing 737-800 aircraft, Ryanair
Limited, the Company's wholly owned subsidiary, offered
approximately 1,100 scheduled short-haul flights per day serving
147 locations throughout Europe and Morocco, including 26 in the
Untied Kingdom and Ireland.  Ryanair provides service on short-
haul routes to secondary and regional airports in and around
centers and travel destinations. During the fiscal year ended
March 31, 2008 (fiscal 2008), Ryanair flew an average route length
of 662 kilometers and average flight duration of approximately
1.57 hours.  During fiscal 2008, Ryanair announced 201 new routes
and added destinations in two new countries, Switzerland and
Romania, which are serviced by routes originating in the Untied
Kingdom, Ireland, Spain, Sweden and Italy.

                        About Aer Lingus

Headquartered in Dublin, Ireland, Aer Lingus Group Plc (ISE:AERL)
-- http://www.aerlingus.com/-- primarily provides passenger
transportation services.  The Company and its subsidiaries
operates as a low fares Irish airline primarily providing
passenger and cargo transportation services from Ireland to the
United Kingdom and Europe (short haul) and also to the United
states (long haul).  The Company also provides cargo
transportation services on its passenger aircraft, primarily on
its long-haul routes, as well as a range of ancillary services to
its passengers.


BUDELPACK COSI: Goes Into Administration
----------------------------------------
Datamonitor reports that cosmetics firm Budelpack COSi Ltd., a
unit of Dutch contract manufacturer Budelpack International B.V.,
has gone into administration.

Citing Cosmetic News, Datamonitor relates COSi decided to call in
administrators following a decline in volume production and
difficult economic conditions, Datamonitor relates.

"The COSi facility in Maesteg has been undergoing a process of
restructuring to improve its cost structure.  However, based on
drops in the production volume and the extremely challenging
market circumstances, it is not economically possible to continue
the turnaround process," Budelpack was quoted by Datamonitor as
saying.

Datamonitor notes administrators will now decide the ideal way to
proceed for securing production volumes to fill current orders.

According to WalesOnline, 263 workers have been made redundant,
while a further 126 people will be kept on to fulfill orders for
the next few weeks.

It is understood staff had been paid until the end of November,
WalesOnline adds.

WalesOnline discloses administrator Grant Thornton of Cardiff is
looking for a buyer for the business.

The Maesteg site, Aled of Media Wales reveals, employs 389
employees and a further 28 are employed at a product development
center in Littlehampton.

Media Wales recounts the business activities of the factory were
acquired by parent company Budelpack International, of Holland, in
November last year.

Turnover of the UK business is in the region of s45m a year, with
its customer base comprising leading high street and branded
retailers, Media Wales states.

Headquartered in Maesteg, Wales, Budelpack COSI Ltd. --
http://www.budelpack.com/-- delivers contract manufacturing,
contract packing and end-to-end supply chain solutions to brand
owners in the Fast Moving Consumer Goods market.


CIBO LTD: Appoints Joint Administrators from Grant Thornton
-----------------------------------------------------------
Alistair Wardell and Nigel Morrison of Grant Thornton UK LLP were
appointed joint administrators of Cibo (Penarth) Ltd. on Nov. 18,
2008.

The company can be reached at:

         Cibo (Penarth) Ltd.
         1 Royal Buildings
         Stanwell Road
         Penarth
         Vale of Glamorgan
         CF64 3EB
         England


CANNON GROUP: Appoints Joint Administrators from Tenon Recovery
---------------------------------------------------------------
Nigel Ian Fox and Alexander Kinninmonth of Tenon Recovery were
appointed joint administrators of Cannon Group Ltd. on Nov. 18,
2008.

The company can be reached at:

         Cannon Group Ltd.
         Highfield Court
         Tollgate
         Chandlers Ford
         Eastleigh
         Hampshire
         SO53 3TZ
         England


CHROME FUNDING: Moody's Junks Ratings on Three Note Classes
-----------------------------------------------------------
Moody's Investors Service downgraded and left on review for
further possible downgrade its ratings of eight classes of notes
issued by Chrome Funding Limited and one related series of notes
issued by IXIS Corporate and Investment Bank.  All notes reference
the same portfolio.  The transaction is a static synthetic CDO
square of corporate CDOs and ABSs with no exposure to US subprime
RMBS.  The transaction also has fixed recovery rates of 30% for
corporates and 90% for ABS assets.

According to Moody's, these rating actions are the result of
deterioration in the credit quality of the transaction's reference
portfolio, which includes but is not limited to exposure to Lehman
Brothers Holdings Inc., which filed for protection under Chapter
11 of the U.S. Bankruptcy Code on Sept. 15, 2008; Washington
Mutual Inc., which was seized by federal regulators on Sept. 25,
2008 and subsequently virtually all of its assets were sold to
JPMorgan Chase and Freddie Mac, which was placed into the
conservatorship of the U.S. government on Sept. 8, 2008.  The
transaction also has a significant exposure to other corporate
names which continue to deteriorate in the current economic
environment.  This will weigh on the ratings of the tranches in
this transaction.

The rating actions are:

Issuer: Chrome Funding Limited

(1) Series 1 Class A1-A EUR108,000,000 Secured Floating Rate
Portfolio Credit-linked Notes due 2009 issued under Series MUST
50/5

  -- Current Rating: A2, on review for possible downgrade
  -- Prior Rating: Aaa
  -- Prior Rating Date: May 3, 2004

(2) Series 2 Class A1-B EUR10,000,000 Secured Fixed Rate Portfolio
Credit-linked Notes due 2009 issued under Series MUST 50/5

  -- Current Rating: A2, on review for possible downgrade
  -- Prior Rating: Aaa
  -- Prior Rating Date: June 7, 2004

(3) Series 3 Class A2-A EUR39,000,000 Secured Floating Rate
Portfolio Credit-linked Notes due 2009 issued under Series MUST
50/5

  -- Current Rating: Baa3, on review for possible downgrade
  -- Prior Rating: A1
  -- Prior Rating Date: May 2, 2008

(4) Series 4 Class A2-B EUR15,000,000 Secured Fixed Rate Portfolio
Credit-linked Notes due 2009 issued under Series MUST 50/5

  -- Current Rating: Baa3, on review for possible downgrade
  -- Prior Rating: A1
  -- Prior Rating Date: May 2, 2008

(5) Series 5 Class B EUR22,000,000 Secured Floating Rate Portfolio
Credit-linked Notes due 2009 issued under Series MUST 50/5

  -- Current Rating: Ba3, on review for possible downgrade
  -- Prior Rating: Baa1
  -- Prior Rating Date: May 2, 2008

(6) Series 6 Class C1 EUR13,750,000 Secured Floating Rate
Portfolio Credit-linked Notes due 2009 issued under Series MUST
50/5

  -- Current Rating: B3, on review for possible downgrade
  -- Prior Rating: Baa3
  -- Prior Rating Date: May 2, 2008

(7) Series 7 Class C2 EUR3,750,000 Secured Floating Rate Portfolio
Credit-linked Notes due 2009 issued under Series MUST 50/5
  -- Current Rating: Caa1, on review for possible downgrade
  -- Prior Rating: Ba1
  -- Prior Rating Date: May 2, 2008

(8) Series 8 Class D EUR3,000,000 Secured Floating Rate Portfolio
Credit-linked Notes due 2009 issued under Series MUST 50/5

  -- Current Rating: Caa2, on review for possible downgrade
  -- Prior Rating: Ba3
  -- Prior Rating Date: May 2, 2008

Issuer: IXIS Corporate and Investment Bank

(1) EUR10,000,000 Secured Fixed Rate Portfolio Credit-linked Notes
due 2009 issued under EMTN Series 1388

  -- Current Rating: Caa1, on review for possible downgrade
  -- Prior Rating: Ba1
  -- Prior Rating Date: May 2, 2008


CLARIS LIMITED: Moody's Junks Rating on Series 98/2007 Notes
------------------------------------------------------------
Moody's Investors Service has downgraded its ratings of two
classes of notes issued by Claris Limited under Drachenburg Series
97/2007 and Series 98/2007.

The transaction is a managed synthetic CDO referencing
100 equally weighted corporate entities, the majority of which are
concentrated in banking, insurance and finance.  The Series
97/2007 attaches at 6.4%.  The Series 98/2007 interest attaches at
0.3%, whereas the principal attaches at 2.2%.  The risk of losing
the interest on Series 98/2007 is therefore higher than the risk
related to the principal of the Notes.

According to Moody's, the rating actions are the result of
deterioration in the credit quality of the transaction's reference
portfolio, which includes but is not limited to exposure to Lehman
Brothers Holdings Inc., which filed for protection under Chapter
11 of the U.S. Bankruptcy Code on Sept. 15, 2008; Washington
Mutual Inc., which was seized by federal regulators on Sept. 25,
2008 and subsequently virtually all of its assets were sold to
JPMorgan Chase; Fannie Mae and Freddie Mac, which were placed into
the conservatorship of the U.S. government on Sept. 8, 2008; and
three Icelandic banks, specifically Kaupthing Bank hf, Landsbanki
Islands hf, and Glitnir Banki hf.  The Series 97/2007 transaction
also has a significant exposure to other corporate names which
continue to deteriorate in the current economic environment.  This
will weigh on the ratings of the tranches in this transaction.

Moody's expects that the tranche of Series 98/2007 will be almost
fully written down following credit events on the above listed
names.

The rating actions are:

Claris Limited:

(1) Series 97/2007 Tranche I - EUR50,000,000 Drachenburg Floating
Rate Credit Linked Notes due 2016

  -- Current Rating: Baa3
  -- Prior Rating: Baa2
  -- Prior Rating Date: Oct. 17, 2008

(2) Series 98/2007 Tranche I - EUR 10,000,000 Drachenburg Floating
Rate Credit Linked Notes due 2016

  -- Current Rating: C
  -- Prior Rating: B3
  -- Prior Rating Date: Sept. 26, 2008


CLEAR PLC: Eroding Credit Quality Cues Moody's to Junk Ratings
--------------------------------------------------------------
Moody's Investors Service has downgraded its ratings of three
classes of notes issued by Clear PLC.

According to Moody's, the rating action is the result of
deterioration in the credit quality of the transaction's reference
portfolio, which includes but is not limited to exposure to Lehman
Brothers Holdings Inc., which filed for protection under Chapter
11 of the U.S. Bankruptcy Code on Sept. 15, 2008, Washington
Mutual Inc., which was seized by federal regulators on Sept. 25,
2008 and subsequently virtually all of its assets were sold to
JPMorgan Chase, Fannie Mae and Freddie Mac, which were placed into
the conservatorship of the U.S. government on Sept. 8, 2008 and
three Icelandic banks, specifically Kaupthing Bank hf, Landsbanki
Islands hf, and Glitnir Banki hf.

The rating actions are:

Clear PLC:

(1) Series 44 US$30,000,000 Limited Recourse Secured Credit-Linked
Notes due 2017

  -- Current Rating: Ca
  -- Prior Rating: Ba3
  -- Prior Rating Action Date: Oct. 6, 2008

(2) Series 60 JPY1,000,000,000 Limited Recourse Secured Credit-
Linked Notes due 2017

  -- Current Rating: Caa2
  -- Prior Rating: Baa1
  -- Prior Rating Action Date: Oct. 6, 2008

(3) Series 66 JPY500,000,000 Limited Recourse Secured Credit-
Linked Notes due 2017

  -- Current Rating: Caa3
  -- Prior Rating: Baa2
  -- Prior Rating Action Date: Oct. 6, 2008


CREST REFRIGERATION: Names Joint Administrators from KPMG
---------------------------------------------------------
Paul Andrew Flint and Brian Green of KPMG LLP were appointed joint
administrators of Crest Refrigeration Ltd. on Nov. 14, 2008.

The company can be reached at:

         Crest Refrigeration Ltd.
         Unit 6
         Stadium Court
         Wirral International Business Park
         Stadium Road
         Bromborough
         CH62 3RP
         England


DERMASALVE SCIENCES: Lack of Funding Spurs Insolvency
-----------------------------------------------------
Chris Knox of The Journal reports that Dermasalve Sciences plc
has opted to wind up the company.  It is now being handled by
insolvency practitioners David Rubin & Partners in London.

According to the report, Dermasalve went insolvent after failing
to source adequate investment.

The company, the report notes, also confirmed that "market
conditions have been extremely challenging" as a result of the
market downturn, which had affected sales as well as its ability
to attract investment.

The company made sales of GBP742,000 during the first half of
2007, compared to GBP50,000 in 2006, the report discloses.  It
suffered pre-tax losses of GBP577,000 for the six months to the
end of June last year, the report adds.

Dermasalve, the report adds, has also been in talks with Trafalgar
Capital Specialised Investment Fund over its failure to make
repayments on an outstanding GBP632,000 loan.

"This is symptomatic of the market as a whole.  Your business case
has to be extremely strong for anyone to even consider investing
at the moment and even if it was, there is still no guarantee.
This has meant that a number of small companies have been unable
to find the cash to take their product on to the next stage of
development," Chris Glasper, a healthcare analyst at Brewin
Dolphin in Newcastle, was quoted by the report as saying.

The company, the report recounts, has suffered a series of
setbacks since setting up in 2003.

As reported in the TCR-Europe on Nov. 18, 2008, Dermasalve in a
press statement said the directors instructed an insolvency
practitioner to assist with the convening of meetings of
shareholders and creditors, pursuant to Section 98 of the
Insolvency Act 1986, in order that the company be placed into
creditors' voluntary liquidation.  The same course of action is
also to be undertaken in respect of the company's wholly owned
subsidiaries, Dermasalve Ltd. and Healthy and Essential Ltd.

The company disclosed the decision by the directors follows the
exhaustive pursuit of many possible sources of financing over
recent months.  According to the company, several debt and equity
based options have been pursued as well as third party
collaborations and the potential sale of the company's assets in
part and whole.  It noted that during this time market conditions
have been extremely challenging.  However, none of the initiatives
have come to fruition and the board was forced to seek the
appointment of the insolvency practitioner.

Hanson Westhouse Ltd. resigned as nominated adviser and broker
with immediate effect.  Last month, the company's shares were
suspended from trading on AIM due to the failure to publish both
the annual accounts for the year ended December 31, 2007 in
accordance with AIM Rule 19 and the half yearly report for the six
months ended June 30, 2008 in accordance with AIM Rule 18. The
resignation of the company's nominated adviser is a further reason
for the continuing suspension of trading in the shares. In
accordance with AIM Rule 1, if the company fails to appoint a new
nominated adviser within one month, the admission of the company's
shares to trading on AIM will be canceled at 7:00 a.m. on December
15, 2008.

Headquartered in Newcastle, Dermasalve Sciences plc --
http://www.dermasalvesciences.com/-- is engaged in providing
skincare solutions for dry and sensitive skin types.


DOBILAS LTD: Taps Joint Administrators from PKF
-----------------------------------------------
Edward Terence Kerr and Charles William Anthony Escott of PKF (UK)
LLP were appointed joint administrators of Dobilas U.K. Ltd. on
Nov. 14, 2008.

The company can be reached through PKF (UK) LLP at:

         Regent House
         Clinton Avenue
         Nottingham
         NG5 1AZ
         England


DSG INT'L: Posts GBP41 Net Loss for 24 Weeks Ended October 28
-------------------------------------------------------------
DSG international plc released interim results for the 24 weeks
ended October 18, 2008.

                         Financial

    * Group sales up 3% to GBP3,468.0 million
     (2007/08: GBP3,377.6 million)

    * Group like for like sales(1)down 7%

    * Underlying pre-tax loss(2) GBP29.8 million
     (2007/08: underlying pre-tax profit GBP52.4 million)

    * Resilient performance from Nordics, UK Computing and
      Greece

    * Weak first half for UK & Ireland Electricals, however
      management actions have positioned it better for Peak
      trading

    * Results in Spain and Central Europe impacted by extremely
      weak market conditions

    * Italy stabilized and outperforming the market

    * Statutory loss after tax GBP41.0 million stated after
      restructuring charges (2007/08: statutory profit after
      tax GBP37.3 million)

    * Underlying diluted loss per share(2) 1.0 pence (2007/08:
      earnings per share 2.0 pence); Statutory basic loss per
      share 2.3 pence (2007/08 statutory earnings per share: 2.0
      pence)

    * First half net debt of GBP149.5 million (2007/08: net
      funds of GBP101.3 million)

    * The Group is compliant with the financial covenants of its
      banking facilities at the half year, with GBP300
      million undrawn and available at that date.

                   Management Actions

The trading environment remains tough and volatile.  The Group is
prepared for a recessionary environment and is consequently
focused on cash generation.  This includes reducing costs,
optimizing money margin and tight stock control, while continuing
to deliver on the Renewal and Transformation
plan.

    * To preserve liquidity and to ensure the delivery of the
      Renewal and Transformation plan a dividend will not be
      paid in the current financial year

    * GBP75 million cost reduction delivered

    * Capital expenditure reduced by GBP30 million to GBP160
      million in the year with no impact to the Renewal
      and Transformation plan.

Renewal and Transformation

Intense activity on the five point plan to deliver an unbeatable
combination of value, choice and service for customers.

* New formats now fully developed:

    * 40 PC World stores, 7 Currys superstores,
      4 Currys.digital stores.

    * New format stores are exceeding 15% sales uplift target,
      with stores open more than a month trading up to 25% ahead
      of the chain.

    * New Megastore format launched and trading strongly, with 3
      in the Nordics and 1 in the UK.

* Improving service in the UK:

    * Launched market-leading next day delivery service for
      customers available in 3-hourly slots.

    * 19,000 colleagues have now completed the first phase of
      the new in-store service program.

* Italian turnaround plan continues to show good progress:

    * In 12 weeks to 15 November like for like sales almost flat
      in a very weak market.

    * New format store with PC City implants performing ahead of
      expectations with up to 20% uplift.

                        Outlook

Given the current economic conditions, the outlook is uncertain
for Peak trading and 2009.  The Group has set the business
conservatively to preserve cash and earnings.  The Group will
continue to manage the business within this environment and take
further action as necessary, including cost reduction, protecting
liquidity, complying with banking covenants and safeguarding the
Renewal and Transformation plan.

John Browett, Chief Executive commented: "We are focused first on
trading through the current tough economic environment in which we
are prioritizing cash generation as well as tightly managing
stock, money margins and costs.  Second, we are making rapid
progress on our Renewal and Transformation plans and although
early days the performance of the new format stores and improved
service model gives us confidence for the future."

At October 18, 2008, the Group's unaudited consolidated balance
sheet showed GBP3.8 billion in total assets and GBP3.1 billion in
total liabilities, resulting in a GBP708.2 million total
shareholders' equity.

Headquartered in Hemel Hempstead, England, DSG international plc
-- http://www.dsgiplc.com/-- is one of Europe's leading
specialist consumer electrical retailers.

                       *     *     *

As reported in the TCR-Europe on Nov. 13, 2008, Fitch Ratings
downgraded UK-based consumer electronics retailer DSG
International plc's Long-term Issuer Default rating to 'BB-' from
'BB+' and affirmed the company's Short-term IDR at
'B'.  The Rating Outlook remains Negative.


DSG INT'L: Weak Performance Cues Moody's to Cut CFR to 'Ba3'
------------------------------------------------------------
Moody's Investors Service has downgraded DSG International's
corporate family rating to Ba3 from Ba1, with a negative outlook.
The downgrade was triggered by the company's continued weak
performance, deteriorating credit metrics and the prevailing
uncertainty in the trading outlook.

The Ba3 rating reflects the sharp decline in DSGi's profitability
over the past few quarters mainly as a result of reduced footfall,
price deflation, and operational challenges in some of its
Continental European markets.  This has resulted in weakened
credit metrics which Moody's believes will be further pressured
over the next 12 months.

The rating agency notes that DSGi's on-balance sheet leverage
remains modest given the company's c. GBP 428 million of debt
relative to its cash flow generation and that debt service
coverage remains acceptable, however on a lease adjusted basis
debt metrics are elevated at around 5.4x on a last 12 month
trailing Debt to EBITDA basis.  At these levels and with the
uncertainty surrounding the strength of future cash flows, a
rating level in the high to mid Ba rating range is no longer
tenable.

The coming months are expected to remain critical for cash flow
generation reflecting the discretionary nature of many of the
consumer electrical and electronic products it sells, as well as
the high seasonality of the holiday season.  The risk for cash
conversion over this period are further elevated given the current
recessionary environment in the UK and the other European markets
where DSGi is present.

Management has taken prudent short and long term cash conservation
measures to preserve the company's overall credit profile; these
positive actions have been incorporated in the rating decision.
The balanced decisions to suspend the dividend and reduce capital
expenditure are considered important if the company is to stem
potential cash flow losses.  Moody's further notes that the
company is currently reviewing its portfolio of businesses and
that the turnaround or exit of certain under-performing assets may
be beneficial for the group, although the rating agency believes
that these measures carry a degree of execution risks.  Moreover
the timing of such measures is unlikely to influence the credit
profile over the very short term.

DSGi's liquidity profile is acceptable given its cash balances and
operating cash flow albeit the company is dependent upon continued
access to its covenanted core committed bank facility.  The
company has no major refinancing over the next 12 months given
that its GBP300 million bond is not due until 2012.  The seasonal
peak in drawings under the revolver is also expected to subside
after the holiday season.

The rating outlook is negative, reflecting the depressed retail
environment in Europe and Moody's expectations that the company's
credit metrics will remain weak in the next 12 months with
potential for further deterioration should the peak season prove
tougher than anticipated.  Moody's would not anticipate
stabilizing the outlook until there is greater visibility to
DSGi's cash flows.  Should adjusted Debt to EBITDA metric trend
above 5.5 times with no corrective actions, Moody's is likely to
revisit the current position of the ratings.

Moody's previous rating action on DSGi was on Oct. 27, 2008, when
the rating agency placed the Ba1 rating under review for possible
downgrade.

Headquartered in Hemel Hempstead, England, DSG international plc
is one of Europe's leading specialist consumer electrical
retailers.  It posted revenues of GBP8.5 billion for the fiscal
year ending in April 2008.


FERRARI'S BAKERY: Goes Into Liquidation
---------------------------------------
BBC News reports that owners of Ferrari's Bakery confirmed that
the bakery chain has gone into liquidation.

Citing Steve Davies, from the parent company IDC Wales Ltd,
BBC Wales discloses the decision was taken Tuesday last week after
a meeting with financial advisers.

Mr. Davies blamed the downturn in consumer confidence for the
decision, BBC notes.

BBC relates staff at the 25 Ferrari's remaining stores across
south Wales have been told to shut up shop and return their keys
the following day.


J BURDEKIN: Goes Into Administration; Begbies Traynor Appointed
---------------------------------------------------------------
J Burdekin Ltd the Ossett-based furniture business has called in
Administrators after being hit by the double blow of the general
economic downturn and the falling value of the pound.  David
Wilson and Julian Pitts of leading business rescue, recovery, and
restructuring specialist Begbies Traynor were appointed Joint
Administrators to the GBP2 million turnover company on November 25
following discussions with directors Gerald and Jude O'Leary and
David Sadler.

The business imports rattan and wicker furniture from the Far
East, and assembles furniture sets using high quality cushions
manufactured in the UK.

J Burdekin retails products from its own on-site 7,000 square foot
showroom, as well as nationally through a network of stockists and
retailers who are serviced from the company's Wakefield Road base
which incorporates a 30,000 square foot warehouse and distribution
facility.

David Wilson has confirmed: "The business will continue trading as
usual for the time being, and there are no immediate redundancies
planned for any of the 13 staff at this time.

"Those retail customers with outstanding orders will be given
priority.  We are in negotiations with key suppliers to ensure any
additional products required for customer orders are supplied, and
therefore see no reason why customers should not have their orders
fulfilled.

"We are actively seeking a sale of the business as a going
concern.  It has a long established and respected brand as well as
its assets including the prominent three acre road side site it
owns.  Although it is very early in the process we have already
fielded a number of inquiries," he added.

J Burdekin Ltd was sold to the current management by the Burdekin
family several years ago.

                About Begbies Traynor

Begbies Traynor -- http://www.begbies-traynor.com/-- is a UK
business rescue, recovery and restructuring specialist, providing
a partner-led service to stakeholders in troubled businesses.


KAUPTHING SINGER: Court Adjourns Winding-Up Petition to Jan. 29
---------------------------------------------------------------
In a press statement, Mike Simpson, provisional liquidator of
Kaupthing Singer & Friedlander Isle of Man said that at a hearing
at the Isle of Man High Court on Thursday, before Deputy Deemster
Corlett, the joint petition of the bank and the Financial
Supervision Commission was adjourned until 10:00 a.m., January 29,
2009 at the request of the Isle of Man Treasury.

The Isle of Man Treasury informed the court that high level
discussions were still taking place between the UK Treasury (which
had confirmed that it would represent the interests of the Isle of
Man) and the Icelandic Government which now owns Kaupthing Bank
h.f. but that to date there had been no tangible outcome to these
discussions.

Her Majesty's Attorney General for the Isle of Man, appearing for
the Treasury, informed the Court that a Committee has been
established of senior Isle of Man politicians to consider
alternatives to a traditional liquidation process.  He also
advised that the Treasury had instructed a firm of restructuring
specialists to assist in this regard.  In furtherance of this, the
Treasury asked the Court to adjourn any further consideration of
the winding up petition for a period of 60 days to allow those
assisting the Treasury to investigate and consider, among other
things, potential alternative routes to enable creditors to
receive a dividend or payout over and above the amount the
majority of creditors would receive on a straight liquidation,
even with a Depositors Compensation Scheme award and potentially
quicker.

The Treasury submitted that a period of 60 days was required to
enable full consideration of any alternative plan.  The majority
of creditors in Court supported the Treasury's application for an
adjournment and accepted that 60 days was a reasonable request.
In the circumstances the Court has granted the adjournment to
January 29, 2009 but ordered the Treasury to file an affidavit by
no later than January 15, 2009 which must update the Court as to
progress.  All other parties to the winding up petition may
respond to the Treasury's affidavit by no later than January 22,
2009.  The Attorney General assured the Court that should it
appear that no alternative plan is feasible before these dates,
the Treasury will inform the Court.

As reported in the TCR-Europe on Nov. 18, 2008, an action group
for savers in Kaupthing Singer & Friedlander Isle of Man
appointed lawyer David Greene of Edwin Coe to draw up plans
for legal action in an attempt to recover their deposits.

The group, the report disclosed, opted to seek legal
representation as negotiations with provisional liquidator Mike
Simpson have so far proved fruitless.   The group, as cited by the
report, also said that depositors feel "abandoned" by the
government following Chancellor Alistair Darling's decision not to
protect UK savers in the Isle of Man, the report noted.

The group, the report added, is also looking into the
possibility of appointing a legal representative in the UK.

      About Kaupthing Singer & Friedlander (Isle of Man) Ltd.

Kaupthing Singer & Friedlander (Isle of Man) Ltd. --
http://www.kaupthingsingers.co.im/-- is the UK subsidiary of
Iceland-based Kaupthing Bank hf.

On Oct. 9, 2008, the Isle of Man Court made a provisional
liquidation order in relation to Kaupthing Singer & Friedlander
(Isle of Man).  Subsequently, Michael Simpson of
PricewaterhouseCoopers was appointed as provisional liquidator of
the bank.

On Oct. 8, 2008, The Isle of Man Financial Supervision Commission
suspended the banking license of Kaupthing Singer & Friedlander
(Isle of Man).


MARK ONE: Internacional Acquires 85 Stores in Administration
------------------------------------------------------------
Peter Ranscombe at the Scotsman reports that Glasgow-based fashion
retailer Internacionale has acquired 85 of Mark One's 125 stores
from administrators, including three Scottish stores.

Internacionale, as cited by the report, said about 800 jobs will
be saved through the purchase of the shops, which it plans to re-
brand under its own name.

Meanwhile, administrators Neil Bennett and Michael Healy from
recovery firm Leonard Curtis were "evaluating" the remaining 40
Mark One stores, the report relates.

As reported in the TCR-Europe, Mark One, on Nov. 19, collapsed
into administration for the second time this year.

Mark One, first launched in 1985 as a value fashion retail
business, then trading as Mk One, was sold earlier this year, and,
shortly after, the business was placed in administration. Jet Star
Retail Ltd bought 100 plus stores from the administrators and re-
launched the business, subsequently re-branding it as Mark One.
Turnover from May 24-Nov. 19, 2008 was GBP30.415 million.

With a head office in Acton, West London and a store in Oxford
Street, London W1, the remaining outlets are based in town centers
across the UK; approximately 1,400 full and part time staff are
currently employed.


NEW HEIGHTS: Appoints Joint Liquidators from Baker Tilly
--------------------------------------------------------
Michael David Rollings and Simon Peter Bower of Baker Tilly
Restructuring and Recovery LLP were appointed joint liquidators of
New Heights Ltd. on Nov. 25, 2008, for the creditors' voluntary
winding-up proceeding.

The company can be reached at:

         New Heights Ltd.
         285-289 Cricklewood Broadway
         England


SIGMA FINANCE: Moody's Lowers Rating on US$5.9BB Securities to 'C'
------------------------------------------------------------------
Moody's Investors Service has taken this rating action on senior
debt issued by Sigma Finance Corporation and Sigma Finance Inc.:

Euro and US Medium Term Note programs -- US$5.9 billion of debt
securities affected:

  -- Current Rating: C and Not Prime
  -- Prior Rating: Ca and Not Prime

Moody's downgraded the ratings of the above debt programs on
Sept. 30, 2008, citing the availability of US$2 billion of assets
and potential recovery of repo margins to support US$ 6 billion of
medium term notes.  Sigma Finance has pledged a total of US$25
billion of assets to support US$17.4 billion of repo funding.
Following further price declines since September 2008, when repo
counterparties served notices of default to Sigma, recovery of any
margins from repos now appears unlikely.  In addition, the
receiver is planning to conduct an auction of the US$2 billion of
assets held by Sigma on Dec. 2, 2008.  In Moody's view, the likely
recovery value for MTN investors is consistent with a rating of C.


TATA MOTORS: Jaguar Land Rover to Lay Off Around 850 Workers
------------------------------------------------------------
BreakingNews.ie reports that Jaguar Land Rover, owned by India-
based Tata Motors Ltd, will slash half of its workforce by the end
of the year amid severe global car market conditions.

According to the report, the company will lay off around 850 IT
and engineering staff at plants in Castle Bromwich, Solihull,
Whitley, and Gaydon, all in the West Midlands of England.

The company, the report notes, employs about 16,000 staff at
plants in the West Midlands and at Halewood, Merseyside.

"Global car market conditions remain severe.  We have to take
responsible and rapid action to ensure our business is aligned and
right-sized for the challenging environment we face," the company
was quoted by the report as saying.  "It is essential we protect
the position of our own full-time employees as far as possible and
ensure the future strength of our business."

As reported in the TCR-Europe on Nov. 11, 2008, Jaguar Land Rover
invited volunteers for redundancy among manufacturing workers
after sales dropped amid challenging trading conditions.

The company plans to eliminate 400 jobs at its sites in
Birmingham, Solihull and Merseyside, including at its
engineering centers in Coventry and Warwickshire, the report said.
The company axed 198 jobs earlier this year, the report noted.

The company, the report added, intends to suspend production at
its Merseyside Halewood plant, which makes the Jaguar X Type and
the Land Rover Freelander, for a week this month, in an attempt to
match output to lower demand.

In the first nine months of the year combined sales by the two
brands fell by 4.7 per cent to 214,480 vehicles, the report
discloses.  Jaguar sales grew by 12.9 per cent but Land Rover lost
9.7 per cent, the report disclosed.

                        About Tata Motors

India's largest automobile company, Tata Motors Limited --
http://www.tatamotors.com/-- is mainly engaged in the business
of automobile products consisting of all types of commercial and
passenger vehicles, including financing of the vehicles sold by
the company.  The company's operating segments consists of
Automotive and Others.  In addition to its automotive products,
it offers construction equipment, engineering solutions and
software operations.  TML is listed on the Bombay Stock
Exchange, the National Stock Exchange of India and New York
Stock Exchange.  It was ultimately 33.4% owned by the Tata Group
as of December 2007.

Tata Motors has operations in Russia and the United Kingdom.

                          *     *     *

As reported in the Troubled Company Reporter-Asia Pacific on July
9, 2008, Standard & Poor's Ratings Services kept its 'BB'
corporate credit rating on India's Tata Motors Ltd. On CreditWatch
with negative implications, pending finalization of
the long-term financing plans for funding the company's purchase
of Jaguar and Land Rover from Ford Motor Co. (B/Watch Neg/--).  At
the same time, Standard & Poor's ratings on all Tata Motors' rated
debt remain on CreditWatch with negative implications.

The rating on Tata Motors was lowered on April 4, 2008, to 'BB',
from 'BB+', after the announcement of the agreement with Ford
Motor Co. for the purchase of Jaguar and Land Rover.  Tata Motors
paid about US$2.3 billion in cash for Jaguar and Land
Rover (comprising brands, plants, and intellectual property
rights).  Ford  contributed US$600 million to the Jaguar-Land
Rover (JLR) pension plans.

As reported in the Troubled Company Reporter-Asia Pacific on Dec.
2, 2008, Moody's Investors Service downgraded the corporate family
rating of Tata Motors Ltd to B1 from Ba2.  The outlook remains
negative.

"The rating change reflects the slowdown in demand seen in both
Tata Motors Ltd's domestic and overseas markets.  This translates
into pressure on profitability, and happens at a time when the
company has increased its leverage.  Tata Motors Ltd's financial
flexibility is therefore significantly weakened," Elizabeth Allen,
a Moody's Vice President/Senior Credit Officer said.


TATA MOTORS: Offers Public 11% Annual Interest on 3-Year Deposits
-----------------------------------------------------------------
Tata Motors Ltd. will borrow from the public for the first time in
13 years as the credit crunch limits its ability to refinance
loans used to acquire Jaguar and Land Rover units from Ford Motor
Co. in June, Bloomberg News reports.

Tata Motors will pay as much as 11 percent annual interest on
three-year deposits from the public, spokesman Debasis Ray told
Bloomberg News in a phone interview.

The Financial Times relates the automaker said in an advertisement
in an Indian newspaper Monday "Tata Motors invites deposits from
the public," adding it would pay "additional interest for senior
citizens, shareholders and employees".

The FT says Indian companies are permitted to take fixed-term
deposits from the public.  According to the FT, the minimum
deposit published was Rs20,000 (US$400), but the company did not
say how much money it intended to raise from the move.

The automaker, Bloomberg News says, needs money to replace a US$3
billion bridge loan it used to fund the US$2.4 billion purchase of
the U.K.-based luxury units from Ford.

"They are giving every source a shot," Bloomberg News quoted
Ambrish Mishra, analyst at MF Global Sify Securities India Pvt, as
saying.  "They are running out of time" to refinance the bridge
loan taken for the purchase, he said.

Separately, Reuters reports Tata Motors said it will shut its
commercial vehicle plant in the western city of Pune for three
days from Dec. 5, as it tries to avoid a build-up in unsold stock
amid falling sales.

According to Reuters, the plant was also closed for six days last
month, and the company has closed other plants on a short-term
basis to manage inventory levels.

Citing the Business Standard newspaper, Reuters notes the Pune
plant would be shut again for three days beginning Dec 26.

"That is not final.  I cannot say anything about that," a Tata
Motors spokesman told Reuters.

                        About Tata Motors

India's largest automobile company, Tata Motors Limited --
http://www.tatamotors.com/-- is mainly engaged in the business
of automobile products consisting of all types of commercial and
passenger vehicles, including financing of the vehicles sold by
the company.  The company's operating segments consists of
Automotive and Others.  In addition to its automotive products,
it offers construction equipment, engineering solutions and
software operations.  TML is listed on the Bombay Stock
Exchange, the National Stock Exchange of India and New York
Stock Exchange.  It was ultimately 33.4% owned by the Tata Group
as of December 2007.

Tata Motors has operations in Russia and the United Kingdom.

                          *     *     *

As reported in the Troubled Company Reporter-Asia Pacific on July
9, 2008, Standard & Poor's Ratings Services kept its 'BB'
corporate credit rating on India's Tata Motors Ltd. On CreditWatch
with negative implications, pending finalization of
the long-term financing plans for funding the company's purchase
of Jaguar and Land Rover from Ford Motor Co. (B/Watch Neg/--).  At
the same time, Standard & Poor's ratings on all Tata Motors' rated
debt remain on CreditWatch with negative implications.

The rating on Tata Motors was lowered on April 4, 2008, to 'BB',
from 'BB+', after the announcement of the agreement with Ford
Motor Co. for the purchase of Jaguar and Land Rover.  Tata Motors
paid about US$2.3 billion in cash for Jaguar and Land
Rover (comprising brands, plants, and intellectual property
rights).  Ford  contributed US$600 million to the Jaguar-Land
Rover (JLR) pension plans.

As reported in the Troubled Company Reporter-Asia Pacific on Dec.
2, 2008, Moody's Investors Service downgraded the corporate family
rating of Tata Motors Ltd to B1 from Ba2.  The outlook remains
negative.

"The rating change reflects the slowdown in demand seen in both
Tata Motors Ltd's domestic and overseas markets.  This translates
into pressure on profitability, and happens at a time when the
company has increased its leverage.  Tata Motors Ltd's financial
flexibility is therefore significantly weakened," Elizabeth Allen,
a Moody's Vice President/Senior Credit Officer said.


* UK: Healey Moves to Protect Taxpayers from Iceland Losses
-----------------------------------------------------------
Dan Drillsma-Milgrom at LGCplus reports that UK local government
minister John Healey has unveiled regulations allowing local
authorities to avoid having to make provisions for potential
losses from Icelandic banks when preparing next year's budgets.

"We will make sure councils are not preparing budgets or council
tax levels with a financial hit that may not follow," Mr. Healey
was quoted by the report as saying.  "We don't yet know how much
and when councils are going to get money back."

According to the report, councils have deposits of GBP555 million
frozen in Landsbanki and Glitnir, both of which are in Icelandic
receivership, and GBP366 million in Heritable and Kaupthing Singer
& Friedlander, which are in administration under UK law.

The report notes none of the receivers or administrators has yet
indicated what proportion of deposits might eventually be
recovered.

Local Government Association chair Margaret Eaton, as cited by the
report, said "Town halls are working closely with the Government,
the administrators and the Icelandic authorities to make sure that
as much money as possible can be retrieved and that the council
taxpayer should not have to foot the bill."


* Detroit Three In Talks With Union to Stop Idled Worker Payment
----------------------------------------------------------------
General Motors Corp., Ford Motor Co., and Chrysler LLC are
negotiating with the United Auto Workers union to stop a program
that pays idled workers, Matthew Dolan at The Wall Street Journal
reports, citing people familiar with the matter.

Gary Haber at The News Journal relates that "jobs bank" is a
unique protection for laid-off workers.  According to the report,
laid-off workers are placed in the jobs bank, where they can get
about 95% of their usual pay and benefits.  WSJ says that GM, Ford
Motor, and Chrysler are trying to eliminate or scale back the
program as part of an effort to secure a US$25 billion loan from
the
government.  The News Journal states that the jobs bank doesn't
start until laid-off employees exhaust a period of unemployment
benefits and supplemental pay from the company.

Citing GM spokesperson Tony Sapienza, the News Journal states that
said that the workers can start benefiting from the jobs bank when
they have been idled for 48 weeks.  The report states that the
workers would get unemployment benefits and supplemental pay of
85% of pay.  GM, according to the report, can remain in the jobs
bank for up to two years, but will lose their pay and benefits if
they refuse a single job offer at a GM plant within 50 miles of
their home plant, or turn down four job offers at GM plants more
than 50 miles away.

Critics say that the "jobs banks" are a disadvantage for GM, Ford
Motor, and Chrysler, as they are an "overly generous benefit" at
firms that report billions in losses, The News Journal states.

The News Journal quoted UAW President Ron Gettelfinger as saying,
"We're on the verge of eliminating that provision."

UAW Wants Cos. to Curb Corporate Pay, Bonuses & Severance Pays

Citing Gettelfinger, Reuters relates that Ford Motor, GM, and
Chrysler should limit corporate pay, bonuses, and severance
packages in return for government loans.  Reuters quoted Mr.
Getterlfinger as saying, "They need to establish that executive
compensation is something that they're willing to curtail, as well
as bonuses and 'golden parachutes' on exiting the business.  They
can also give the government an equity stake in the business."

Mr. Gettelfinger said on CNN that the automakers need a loan to
help them survive a tough period.  According to WSJ, Mr.
Gettelfinger said, "It's not just here in the United States and
this is not a bailout, this is a loan, a bridge loan that will get
us through until we can take a longer term look at what needs to
be done in the industry."

Union wages weren't the key cause of waning sales at the
companies, Reuters states, citing Mr. Gettelfinger.

                      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 Nov. 11,
2008, Moody's Investors Service lowered the debt ratings of
Ford Motor Company, Corporate Family and Probability of
Default Ratings to Caa1 from B3.  The company's Speculative
Grade Liquidity rating remains at SGL-3 and the rating outlook
is negative.  In a related action Moody's also lowered the
long-term rating of Ford Motor Credit Company to B3 from B2.
The outlook for Ford Credit is negative.

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-'.

                            *********

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.  Pius Xerxes V. Tovilla, Valerie C. Udtuhan, Marites
O. Claro, Rousel Elaine C. Tumanda, Joy A. Agravante, Marie
Therese V. Profetana and Peter A. Chapman, Editors.

Copyright 2008.  All rights reserved.  ISSN 1529-2754.

This material is copyrighted and any commercial use, resale or
publication in any form (including e-mail forwarding, electronic
re-mailing and photocopying) is strictly prohibited without prior
written permission of the publishers.

Information contained herein is obtained from sources believed to
be reliable, but is not guaranteed.

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


                 * * * End of Transmission * * *