/raid1/www/Hosts/bankrupt/TCREUR

/raid1/www/Hosts/bankrupt/TCREUR_Public/081215.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 Monday, December 15, 2008, Vol. 9, No. 248 Headlines A U S T R I A ARCHITEKTEN ZIVILTECHNIKER: Claims Registration Ends January 5 DOENE GASTRONOMIE: Claims Registration Period Ends January 7 FACE2FACE FUNDRAISING: Claims Registration Period Ends Jan. 7 OSTARIO PERSONALMANAGEMENT: Claims Registration Ends January 7 PALIKU LLC: Claims Registration Period Ends January 7 A Z E R B A I J A N NBC BANK: Moody's Junks Local and Foreign Currency Ratings B E L A R U S BTA BANK: Fitch Assigns 'E' Individual Rating I C E L A N D GLITNIR BANKI: KPMG Halts Probe on Pre-Bankruptcy Operations F R A N C E EUROPCAR GROUPE: S&P Downgrades Corporate Credit Rating to 'B+' G E R M A N Y AR MASCHINENBAU: Claims Registration Period Ends January 23 COGNIS GMBH: Fitch Affirms Long-term Issuer Default Rating at 'B' CONTINENTAL AG: Working on a Loan Restructure to Avert Default EXISTENZGRUENDUNGSZENTRUM GMBH: Claims Registration Ends Jan. 9 IRA VERWALTUNGS: Claims Registration Period Ends January 18 KLOECKNER & CO: S&P Affirms 'B+' Senior Unsecured Debt Rating PROMEX WARENVERTRIEBSGESELLSCHAFT: Claims Period Ends Jan. 12 PSM ALU-SYSTEME: Claims Registration Period Ends February 10 TANEXX EXPRESS: Claims Registration Period Ends February 2 TMD FRICTION: Gets Potential Buyers' Attention I T A L Y ALITALIA SPA: CAI Buys Smaller Rival Air One, Reuters Says K A Z A K H S T A N AKMARAL TRANS: Proof of Claim Deadline Slated for January 27 AKTAU INVEST: Creditors Must File Claims by January 27 ASTRON TRADING: Claims Filing Period Ends January 27 DAYANA-2 LLP: Creditors' Claims Due on January 23 DIESEL TRADE: Proof of Claim Deadline Slated for January 23 KAZAKHSTAN ELECTRICITY: S&P Affirms 'BB+' Rating on Unsecured Debt KOM HOZ SERVICE: Creditors Must File Claims by January 23 METALL INVEST-2004: Claims Filing Period Ends January 27 MIR KLIMATA: Creditors' Claims Due on January 23 PROM PODSHIPNIK: Claims Registration Ends January 23 K Y R G Y Z S T A N BALYKCHY TRANSPORT: Creditors Must File Claims by January 23 CENTER STORY LLC: Creditors Must File Claims by January 23 CHYNALUU LLC: Creditors Must File Claims by January 23 N E T H E R L A N D S EUROSAIL-NL 2007-1 BV: Fitch Junks Rating on Class ET Notes MAYFAIR CDO: Moody's Cuts Ratings on Three Note Classes to Ca R U S S I A BANK OF MOSCOW: To Ask for US$1 Bln in Refinancing Loans from VEB DALNEVOSTOCHNUY SHIP-BUILDING: Claims Must Be Filed by Jan. 5 ERT LLC: Creditors Must File Claims by January 5 INDUSTRIAL CONSTRUCTION: Creditors Must File Claims by Feb. 5 INTER-DOS LLC: Creditors Must File Claims by February 5 KHABAROVSKIY HEATING: Court Names Insolvency Manager LES-PROM OJSC: Creditor Must File Claims by January 5 NEFTE-KOM LLC: Creditors Must File Claims by January 5 MAGNITOGORSK IRON: Gets One-Year RUR4Bln Loan from VTB Bank NOVOLIPETSK STEEL: Agrees to Sell Stake in Tuapse Seaport PIK OJSC: Fitch Withdraws 'CCC' Long-Term Issuer Default Rating PLANT 89 FSUE: Creditors Must File Claims by January 5 RENAISSANCE CAPITAL: S&P Cuts Counterparty Credit Rating to 'B+' RESURS-STROY LLC: Bankruptcy Hearing Set February 17 SITRONICS JSC: Net Losses Down 5.4% in January-September TROIKA DIALOG: S&P Downgrades Counterparty Credit Rating to 'B+' VTB BANK: Acquires 51% Stake in AF Bank, Azerbaijan VTB BANK: Provides One-Year RUR4 Billion Loan to MMK * TOMSK OBLAST: S&P Removes 'B+' Rating From CreditWatch Negative * RUSSIA: VEB Approves U$2 Billion Loans to Oil Firms and VTB * RUSSIA: GDP Could Decline 1-4% Next Year, MDM-Bank Chair Says S W I T Z E R L A N D GENERAL MOTORS: Hires Lawyers & Bankers to Mull Chapter 11 Filing GENERAL MOTORS: Ind. Fiduciary Extends Share Trading Blackout GENERAL MOTORS: Suppliers Seek Advance Payments GLUTZ PLANUNGEN: Creditors Must File Proofs of Claim by Dec. 25 GOLDEN ARROW: Deadline to File Proofs of Claim Set Dec. 25 H. RECK JSC: Creditors Have Until Dec. 25 to File Claims ORKASOFT LLC: Proofs of Claim Filing Deadline is Dec. 25 PRIME PACKAGING: Creditors' Proofs of Claim Due by Dec. 25 SCIENTIFIC COMPUTERS: Dec. 25 Set as Deadline to File Claims U K R A I N E ALTERNATIVE COMPANY: Creditors Must File Claims by December 24 AMIK LLC: Creditors Must File Claims by December 24 ERA-TRADING LLC: Creditors Must File Claims by December 24 INTER LLC: Creditors Must File Claims by December 24 KUPIANSK FOUNDRY: Creditors Must File Claims by December 24 LIT-TRANS LLC: Creditors Must File Claims by December 24 LOMRESOURCE LLC: Creditors Must File Claims by December 24 REGIONAL BUILDING: Creditors Must File Claims by December 24 RIMO LLC: Creditors Must File Claims by December 24 VENDICHANY AGRICULTURAL: Creditors Must File Claims by Dec. 24 U N I T E D K I N G D O M ATHENA SOLID: Names Joint Liquidators from Tenon Recovery AURORA DESIGN: Names Joint Liquidators from Tenon Recovery COLOUR WORKS: Placed Into Voluntary Liquidation ECO-BAT TECHNOLOGIES: S&P Affirms Corp. Credit Rating at 'B+' FITZGERALD LIGHTING: Appoints Joint Administrators from KPMG GLOBAL GENERAL: Files for Chapter 15 Bankruptcy in New York GLOBAL GENERAL: Voluntary Chapter 15 Case Summary INEOS GROUP: Lenders Vote in Favor of Debt Covenant Waiver INEOS GROUP: S&P Keeps LT Corp. Credit Rating at B-; Outlook Neg. LADBROKES PLC: Taps Peter Erskine as New Chairman MARCHPOLE GROUP: Names Joint Administrators from Grant Thornton PETTIFER ESTATES: Goes Into Administration; 15 Jobs At Risk RIO TINTO: Guinea Gov't. Wants Northern Simandou Mine Relinquished SMART PLUMBING: Appoints Joint Liquidators from Tenon Recovery X X X X X X X X * S&P Puts Low-B Ratings on Three Leveraged Super Senior Notes * S&P: Credit Conditions Deteriorating for EU Leveraged Companies * Credit Unions to Extend US$10 Billion in Loans to Detroit 3 * BOND PRICING: For the Week Dec. 8 to Dec. 12, 2008 ********* ============= A U S T R I A ============= ARCHITEKTEN ZIVILTECHNIKER: Claims Registration Ends January 5 -------------------------------------------------------------- Creditors owed money by LLC BG4 architekten Ziviltechniker (FN 276231y) have until Jan. 05, 2009, to file written proofs of claim to the court-appointed estate administrator: Dr. Roland Gsellmann Farberplatz 1 8010 Graz Austria Tel: 0316/835692 Fax: 0316/835692-15 E-mail: office@herdeygsellmann.at Creditors and other interested parties are encouraged to attend the creditors' meeting at 9:45 a.m. on Jan. 20, 2009, for the examination of claims at: Graz Land Court Hall K Room 205 Graz Austria Headquartered in Hart-Pur, Austria, the Debtor declared bankruptcy on Oct. 31, 2008, (Bankr. Case No. 40 S 58/08i). DOENE GASTRONOMIE: Claims Registration Period Ends January 7 ------------------------------------------------------------ Creditors owed money by LLC Doene Gastronomie (FN 276603w) have until Jan. 7, 2009, to file written proofs of claim to the court- appointed estate administrator: Dr. Wolfgang Kempf Buergerstrasse 41 4020 Linz Austria Tel: 77 72 07, Fax: 78 25 70 E-mail: office@ra-kampf.at Creditors and other interested parties are encouraged to attend the creditors' meeting at 9:00 a.m. on Jan. 20, 2009, for the examination of claims at: Land Court of Linz Room 522 Linz Austria Headquartered in St. Georgen an der Gusen, Austria, the Debtor declared bankruptcy on Nov. 7, 2008, (Bankr. Case No. 17 S 52/08h). FACE2FACE FUNDRAISING: Claims Registration Period Ends Jan. 7 ------------------------------------------------------------- Creditors owed money by LLC Face2Face Fundraising (FN 246445w) have until Jan. 7, 2009, to file written proofs of claim to the court-appointed estate administrator: Norbert Abel Franz-Josefs-Kai 49/19 1010 Wien Austria Tel: 533 52 72 Fax: 533 52 72-15 E-mail: office@abel-abel.at Creditors and other interested parties are encouraged to attend the creditors' meeting at 11:30 a.m. on Jan. 21, 2009, for the examination of claims at: Trade Court of Vienna Room 1606 Vienna Austria Headquartered in Vienna, Austria, the Debtor declared bankruptcy on Nov. 7, 2008, (Bankr. Case No. 4 S 167/08y). OSTARIO PERSONALMANAGEMENT: Claims Registration Ends January 7 -------------------------------------------------------------- Creditors owed money by LLC Ostario Personalmanagement (FN 260861w) have until Jan. 7, 2009, to file written proofs of claim to the court-appointed estate administrator: Dr. Viktor Igali-Igalffy Landstrasser Hauptstrasse 34 1030 Wien Austria Tel: 713 80 57 Fax: 713 07 76 E-mail: vii@igali-igalffy.eu Creditors and other interested parties are encouraged to attend the creditors' meeting at 10:30 a.m. on Jan. 21, 2009, for the examination of claims at: Trade Court of Vienna Room 1606 Vienna Austria Headquartered in Vienna, Austria, the Debtor declared bankruptcy on Nov. 6, 2008, (Bankr. Case No. 4 S 164/08g). PALIKU LLC: Claims Registration Period Ends January 7 ----------------------------------------------------- Creditors owed money by LLC Paliku (FN 285490p) have until Jan. 7, 2009, to file written proofs of claim to the court-appointed estate administrator: Dominik Baurecht Weihburggasse 4/22 1010 Wien Austria Tel: 533 66 61-0 Fax: 533 66 61-10 E-mail: baurecht@gnbz.at Creditors and other interested parties are encouraged to attend the creditors' meeting at 10:45 a.m. on Jan. 21, 2009, for the examination of claims at: Trade Court of Vienna Room 1606 Vienna Austria Headquartered in Vienna, Austria, the Debtor declared bankruptcy on Nov. 6, 2008, (Bankr. Case No. 4 S 166/08a ). =================== A Z E R B A I J A N =================== NBC BANK: Moody's Junks Local and Foreign Currency Ratings ---------------------------------------------------------- Moody's Investors Service has assigned a Caa1 long-term and Not Prime short-term local and foreign currency ratings and an E bank financial strength rating to NBC Bank. The outlook on the long-term local and foreign currency ratings is stable. NBC Bank's E BFSR, which translates to a Baseline Credit Assessment of Caa1, is based on the bank's fundamental credit strength, which, in Moody's view, is constrained by (i) its small and limited franchise, which to a substantial extent is reliant on the bank's key shareholder's car-selling business; (ii) weak liquidity position, high refinancing risk driven by increasing reliance on interbank borrowings and limited access to diversified funding sources; (iii) the untested (through the cycle) nature of NBC Bank's rapidly growing loan portfolio; and (iv) relatively weak corporate governance practices. At the same time, the ratings are supported by the bank's entrenched position in the car financing segment and its strong capitalization. According to Moody's, any possible upgrade of NBC Bank's ratings will be contingent on the bank's ability to improve its liquidity position by developing its core funding base, reduce its reliance on market funding and diversify its business away from financing of the key shareholder's car-selling business. Moody's notes that the bank's local and foreign currency deposit ratings do not factor in any expectation of systemic support in the event of a stress situation given NBC Bank's very low market shares and relative importance to the country's banking system. Although support from the bank's shareholders cannot be ruled out, its extent and timeliness are uncertain. Consequently, the long- term deposit ratings are at the same level as the bank's Caa1 Baseline Credit Assessment. NBC Bank was established in 1992 by its shareholder and Chairman of the Supervisory Board, Nuru Aliyev. The bank ranked 29th in terms of total assets (0.4% market share), 12th by consumer loans and 33rd by customer deposits as at June 30, 2008. Headquartered in Baku, Azerbaijan, NBC Bank reported, under IFRS, total assets and shareholders' equity of US$33.8 million and US$13.2 million, respectively, as at December 31, 2007. ============= B E L A R U S ============= BTA BANK: Fitch Assigns 'E' Individual Rating --------------------------------------------- Fitch Ratings has assigned Belarus-based BTA Bank Long- and Short- term foreign currency Issuer Default ratings of 'B'. The Outlook is Negative. A Support rating of '4' and an Individual rating of 'E' have been assigned. BTAB's IDR is driven by the potential support in case of need by the bank's ultimate shareholder, Kazakhstan-based BTA Bank (Long- term IDR: 'BB' with Negative Outlook). Fitch views BTA's willingness to provide support to its Belarusian affiliate as high due to virtually full ownership, recent consolidation of the latter in BTA's accounts, and the bank's small size relative to BTA. However, the ability to provide such support is constrained by BTA's stand-alone financial strength, as reflected in its Individual 'D' rating, and the potential for the Kazakh authorities to restrict the extent to which local banks can support their foreign subsidiaries. The 'E' Individual rating reflects BTAB's small franchise and limited track record and the challenging Belarusian operating environment, as well as the concentrated and largely FX- denominated balance sheet and high reliance on interbank funding, predominantly from BTA. However, BTAB's standalone credit profile is supported by low levels of loan impairment to date, with loans overdue by more than 90 days accounting for a low 0.2% of the gross loan portfolio at end-Q308 (albeit the loan portfolio is unseasoned). BTAB's assets and liabilities are also well-matched by tenors. At end-November 2008 the bank ran positive liquidity gaps in all time baskets on a cumulative basis. In October-November 2008 the bank's customer funding base remained stable, although the high concentration of customer funding makes BTAB's liquidity position potentially vulnerable. At end-Q308, the bank's tier 1 capital ratio per Basel I was 13.6%. In light of the challenging operating environment in Belarus and high balance sheet concentrations, Fitch views BTAB's current capitalization as moderate. The Negative Outlook on BTAB's IDR reflects the potential for further deterioration in BTA's standalone credit strength, and therefore its ability to provide support to BTAB in case of need. BTAB, formerly Astanaeximbank, was set up in 2002. In 2005, a stake in the bank was acquired by BTA, which increased its direct ownership to 99.3% in Q408. At end-November 2008 BTAB had US$123 million in assets, ranking 15th by asset size in Belarus, with a 0.5% market share in system assets. ============= I C E L A N D ============= GLITNIR BANKI: KPMG Halts Probe on Pre-Bankruptcy Operations ------------------------------------------------------------ Iceland Review reports that KPMG Iceland decided Wednesday last week to halt its investigation of trade within Glitnir banki hf before it went bankrupt following criticism of its work. According to the report, KPMG's participation in the investigation was criticized because the auditor had also worked for old Glitnir's largest shareholders. Arni Tomasson, chairman of the resolution committee of old Glitnir, as cited by the report, said KPMG, which launched its investigation of old Glitnir in October, will not receive payment for its work. "Since [KPMG] chose to leave the project they own the data and will not get paid. I don't know whether we can reach an agreement with them on partial payment for the exchange of some of the data," Mr. Tomasson was quoted by the report as saying. The Glitnir resolution committee is now in talks with auditor Ernst & Young on resuming the investigation, the report discloses. The investigation, according to Mr. Tomasson, will be delayed by up to two months as Ernst & Young have much less information about old Glitnir's operations, the report relates. It is also unclear whether the new investigator will be able to use some of the information gathered by KPMG, the report adds. Mr. Tomasson however noted all possible connections between the auditor and old Glitnir are currently being looked into, the report states. 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. =========== F R A N C E =========== EUROPCAR GROUPE: S&P Downgrades Corporate Credit Rating to 'B+' --------------------------------------------------------------- Standard & Poor's Ratings Services said it lowered its long-term corporate credit rating on France-based car rental company Europcar Groupe S.A. to 'B+' from 'BB-'. The outlook is negative. "The downgrade reflects our expectation that in the current market environment the company is unlikely to improve financial ratios to levels consistent with the previous rating by year's end and during 2009," said S&P's credit analyst Anna Stegert. In an increasingly difficult industry environment, Europcar's adjusted operating margins declined further in the third quarter of 2008 because it could not fully balance increases in vehicle- holding costs with productivity improvements and synergies from recent acquisitions. For the nine months ended Sept. 30, 2008, the company reported an adjusted EBIT margin down by 90 basis points to 13.7% on the same period of 2007. The company expects further vehicle cost increases in 2009, albeit at a slower rate than the 9% per unit increase in 2008 so far. Europcar's organic revenue growth has also slowed to 3% for the year-to-date 2008, compared with the same period of 2007. Demand in the car rental industry is generally tied to economic growth because both leisure and business customers tend to cut back on discretionary and employee travel in a recessionary environment. Decreasing rental volumes and inflated cost items are also expected to affect Europcar's performance over the coming quarters. As a consequence, S&P expects operating margins to decrease further, without substantial price increases, which S&P expects to be difficult to implement in the price-competitive car rental industry without the company losing market share. "The negative outlook reflects that, although Europcar has significant operating flexibility, further pressures on the company's operating performance are likely to lead to a weakening of credit measures in the currently challenging industry environment," said Ms. Stegert. "There is the possibility of a further one-notch downgrade in the next few quarters should the company's financial performance unexpectedly deteriorate from the current level." At the 'B+' rating level, Europcar should achieve FFO to adjusted debt of consistently above 10% throughout the year, EBITDA interest cover of about 2.5x, and maintain its adequate liquidity position. ============= G E R M A N Y ============= AR MASCHINENBAU: Claims Registration Period Ends January 23 ----------------------------------------------------------- Creditors of AR Maschinenbau GmbH have until Jan. 23, 2009, to register their claims with court-appointed insolvency manager. Creditors and other interested parties are encouraged to attend the meeting at 10:00 a.m. on Feb. 13, 2009, at which time the insolvency manager will present his first report. The meeting of creditors will be held at: The District Court of Paderborn Meeting Hall 218 Bogen 2-4 33098 Paderborn 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. Norbert Westhoff Adenauerplatz 4 33602 Bielefeld Germany Tel: 0521 914140 Fax: 052191414884 The District Court opened bankruptcy proceedings against the company on Dec. 1, 2008. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be reached at: AR Maschinenbau GmbH Attn: Hans-Peter Alsfasser, Manager Werkstrasse 47 34414 Warburg Germany COGNIS GMBH: Fitch Affirms Long-term Issuer Default Rating at 'B' ----------------------------------------------------------------- Fitch Ratings has affirmed Germany-based chemicals company Cognis GmbH's Long-term Issuer Default rating at 'B'. The Outlook on the Long-term IDR is simultaneously revised to Negative from Stable. At the same time, the agency downgraded the company's EUR1.63 billion senior secured floating-rate notes and loans to 'B+' from 'BB-'(BB minus) as well as the Recovery Rating on these instruments to 'RR3' from 'RR2'. Meanwhile, the EUR250 million super senior secured revolving credit facility as well as Cognis' EUR345 million high-yield notes and Cognis Holding GmbH's outstanding EUR421 million PIK notes were affirmed at 'BB'/'RR1', 'CCC+'/'RR6'and 'CCC'/'RR6' respectively. The Negative Outlook reflects Fitch's concern that Cognis' profitability and cash flow generation will be under further pressure due to a weakening global economy, in particular a slowing demand in the mature industrial markets of Europe and North America, as well as ongoing raw material price volatility. However, the affirmation of the Long-term IDR reflects the company's strong business position in the care chemical, nutrition and health markets, which together generated approximately 79% of the group's continued divisions' LTM September 2008 EBITDA and which Fitch expects to show some resilience despite a weakening economic environment, due to the largely non-discretionary nature of consumer spending in these sectors. Cognis benefits from having secured long-term funding at favorable conditions in May 2007, prior to the onset of the global financial crisis. The company has a largely back-ended debt profile with first term debt maturities in September 2013, and -- according to Fitch estimates -- cash flow headroom of around 48% to fixed charges including cash interest and capex as of end-September 2008. Moreover, Cognis had EUR118 million in cash reserves as per September 2008, excluding cash disposal proceeds of EUR130M realized during Q4, and approximately EUR220 million of undrawn revolving facilities. Fitch will monitor the application of excess liquidity and its impact on the ratings and outlook. The downgrade of the senior secured FRN/ FRL recovery ratings to 'RR3' from 'RR2' reflects the more conservative assumptions used by Fitch in its latest recovery estimates. The agency increased the EBITDA discount rate applied in the recovery calculation to 20% from 15%. This is to reflect the likelihood of a slowing demand from industrial end markets on Cognis' profitability which could be more significant than previously anticipated and results in recovery expectations for these instruments in the high end of the RR3 (51-70%) band. The company's ratings could face downward pressure in the event of financial metrics consistently weaker than current ratios, especially in relation to cash flow cover. Cognis is owned by private equity funds controlled by Permira, GS Capital Partners and SV Life Sciences. It is a global supplier of innovative specialty chemicals and nutritional ingredients. Following the completed disposal of two non-core divisions, oleochemicals and process chemicals, the company operates three main divisions: care chemicals, nutrition and health and functional products. These three divisions generated LTM revenues of EUR3,001 million and unadjusted LTM EBITDA of EUR325 million (EUR353 million adjusted for restructuring and exceptional charges) as per September 2008. Cognis has 5,900 employees in its continuing operations. CONTINENTAL AG: Working on a Loan Restructure to Avert Default -------------------------------------------------------------- Continental AG is optimistic it could obtain its bankers' approval to restructure its loans to avert a possible default, The Wall Street Journal reports citing people familiar with the matter. According to the Journal's sources, the company could breach terms of loans it took on in the EUR11 billion (US$14.33 billion) acquisition of Siemens AG's VDO auto-electronics business last year. Continental's earnings, hit by a sharp decline in global auto demand, could fall below a level stipulated in the loan agreement as early as March, the Journal's sources said. Headquartered in Hanover, Germany, Continental AG (OTC:CTTAY) -- http://www.conti-online.com/-- is an automotive industry supplier. The Company focuses its activities on the development, production and distribution of products that improve driving safety, driving dynamics and ride comfort. It operates in six main divisions. Chassis and Safety provides active and passive driving safety, safety and chassis sensor systems, as well as chassis components. Powertrain offers gasoline and diesel systems, actuators, motor drives and fuel supply, as well as hybrid electric vehicles systems. Interior manufactures information management modules and wireless mobile devices. Passenger and Light Truck Tires provides tires for passenger cars, light trucks, motorcycles and bicycles. Commercial Vehicle Tires offers tires for trucks, as well as industrial and off-the-road vehicles. ContiTech specializes in the rubber and plastics technology, offering functional parts, components and systems for the automotive industry and other sectors. EXISTENZGRUENDUNGSZENTRUM GMBH: Claims Registration Ends Jan. 9 --------------------------------------------------------------- Creditors of ExistenzGruendungsZentrum 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 10.00 a.m. on Jan. 22, 2009, at which time the insolvency manager will present his first report. The meeting of creditors will be held at: The District Court of Ravensburg Room 127 Herrenstr. 42 88212 Ravensburg 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. Volker Viniol Danneckerstsr. 52 70182 Stuttgart Germany Tel: 0711/23889-0 Fax: 0711/2338889-30 The District Court opened bankruptcy proceedings against the company on Dec. 3, 2008. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be reached at: ExistenzGruendungsZentrum GmbH Attn: Siegmund Lassak, Manager Thumbstr. 25 88255 Baindt Germany IRA VERWALTUNGS: Claims Registration Period Ends January 18 ----------------------------------------------------------- Creditors of IRA Verwaltungs GmbH have until Jan. 18, 2009, to register their claims with court-appointed insolvency manager. Creditors and other interested parties are encouraged to attend the meeting at 1:00 p.m. on Feb. 5, 2008, at which time the insolvency manager will present his first report. The meeting of creditors will be held at: The District Court of Essen Meeting Hall 293 Second Floor Zweigertstr. 52 45130 Essen 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: Rolf Otto Neukirchen Zweigertstr. 28-30 45130 Essen Germany The District Court opened bankruptcy proceedings against the company on Dec. 1, 2008. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be reached at: IRA Verwaltungs GmbH Attn: Hans-Wolfgang Witte, Manager Raiffeisenstrasse 7 46244 Bottrop Germany KLOECKNER & CO: S&P Affirms 'B+' Senior Unsecured Debt Rating ------------------------------------------------------------- Standard & Poor's Ratings Services said that it revised its outlook on Germany-based steel distributor Kloeckner & Co. S.E. to stable from positive, due to the sharp deterioration in steel market conditions in recent months. At the same time, S&P affirmed the 'BB' long-term corporate credit and 'B+' senior unsecured debt ratings. The recovery rating on the EUR325 million 1.5% senior unsecured convertible bonds due 2012 issued by Kloeckner & Co. Finance International S.A. is unchanged at '6', indicating S&P's expectation of negligible (0%-10%) recovery in the event of a payment default. "The outlook revision reflects our expectation of materially reduced profits and funds from operations in 2009. Slowing demand in metals-consuming sectors, such as construction in European and North American markets, has caused a sharp weakening of steel market conditions, evident in much lower selling prices," said S&P's credit analyst Alex Herbert. "The extent and duration of the downturn, and its impact on Kloeckner, are uncertain. Adjusted debt was reduced to about EUR1.0 billion during the third quarter to Sept. 30, 2008. S&P expects further debt reduction, supported by inflows from working capital, which demonstrates some counter-cyclicality of the business. Nevertheless, S&P is concerned that credit protection ratios will weaken in 2009, and therefore S&P does not expect an upgrade within the next year," said Mr Herbert. S&P views positively Kloeckner's response to the sharply weaker market conditions, by temporarily halting further acquisitions, seeking reductions in working capital, and continuing with cost- cutting efforts. Lower financial limits of ratios of net debt to EBITDA to 1.5x from 3.0x and net gearing to 75% from 150%, also signal a more conservative financial policy. The ratings on Kloeckner reflect S&P's expectations of weaker credit ratios next year due to the steel market downturn; volatile FFO and working capital; and the competitive and fragmented nature of the metal-distribution industry. These weaknesses are partially mitigated by Kloeckner's position as Europe's leading independent metal distributor, and its ability to pass through steel price changes to customers relatively quickly. S&P notes favorably the steps taken by the company to halt acquisition spending for the time being, trim capital expenditures, accelerate cost-cutting, and lower the leverage limits for the business. S&P expects this more conservative business strategy and financial policy to be implemented. Upside rating potential could develop over time, if the company can demonstrate positive FOCF and remain within its adjusted financial policies. This is constrained by volatile FFO and working capital, the cyclical steel sector, and until recently, acquisition-led growth. Downside pressure on the rating could develop if free operating cash flow became consistently negative, or if debt financed acquisitions continued. PROMEX WARENVERTRIEBSGESELLSCHAFT: Claims Period Ends Jan. 12 ------------------------------------------------------------- Creditors of Promex Warenvertriebsgesellschaft mbH 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 9:00 a.m. on Feb. 25, 2009, at which time the insolvency manager will present his first report. The meeting of creditors will be held at: The District Court of Duisburg Hall C315 Kardinal-Galen-Strasse 124-132 47058 Duisburg 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 Schwentker Lindnerstrasse 165 46149 Oberhausen Germany The District Court opened bankruptcy proceedings against the company on Dec. 1, 2008. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be reached at: Promex Warenvertriebsgesellschaft mbH Max-Eyth-Strasse 7 b 46149 Oberhausen Germany Attn: Christian Schlez, Manager Nierenhofer Strasse 100 42551 Velbert Germany PSM ALU-SYSTEME: Claims Registration Period Ends February 10 ------------------------------------------------------------ Creditors of PSM Alu-Systeme GmbH have until Feb. 10, 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 March 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 Bielefeld Hall 4065 Fourth Floor Gerichtstrasse 66 33602 Bielefeld 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. Norbert Kuepper Paderborner Str. 11 33415 Verl Germany The District Court opened bankruptcy proceedings against the company on Dec. 1, 2009. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be reached at: PSM Alu-Systeme GmbH Attn: Norbert Peitz, Manager Marienstrasse 47 33332 Guetersloh Germany TANEXX EXPRESS: Claims Registration Period Ends February 2 ---------------------------------------------------------- Creditors of TANexx Express und Logistik GmbH have until Feb. 2, 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: The District Court of Ulm Hall 3 Zeughausgasse 14 89073 Ulm 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. Klaus Tappmeier Schwoerhausgasse 4/1 89073 Ulm Germany Tel: 0731-14082-0 Fax: 0731-14082-22 E-mail: info@tappmeier.de The District Court opened bankruptcy proceedings against the company on Dec. 1, 2008. Consequently, all pending proceedings against the company have been automatically stayed. The Debtor can be reached at: TANexx Express und Logistik GmbH Maybachstr. 8 89079 Ulm Germany Attn: Sabina Mujkic, Manager Brombeerweg 22 89075 Ulm Germany TMD FRICTION: Gets Potential Buyers' Attention ---------------------------------------------- TMD Friction Group has attracted the interest of potential buyers, Reuters reports citing a spokesman for the company's insolvency administrator. According to the report, among the possible buyers are both industry-related companies and financial investors. The spokesman however said there are no negotiations yet, noting TMD aims to keep the group intact in a possible sale, the report relates. As reported in the TCR-Europe on Dec. 11, 2008, due to the sharp deterioration of conditions in the global automotive industry, TMD has been forced to file its German operating and holding companies for self administration insolvency. Dr. Frank Kebekus from the law office of Kebekus & Zimmermann has been appointed as the interim insolvency Administrator for the German companies. Derek Whitworth, CEO of TMD Friction, said that although the operative business of TMD Friction is healthy, the rapid slowdown in the automotive industry has led to a very high level of pressure on our cash flow. He added working capital requirements have significantly increased following the withdrawal of credit insurance from the entire automotive supply chain. About TMD Friction TMD Friction Group -- http://www.tmdfriction.com/-- manufactures brake friction materials. Its product portfolio comprises disk brake pads and drum brake linings for passenger cars and commercial vehicles together with brake pads for racing and friction materials for industry. TMD Friction also supplies the global aftermarket with its Textar, Pagid, Mintex, Don, Cobreq, and Cosid brands. With manufacturing facilities in Germany and other European countries, the USA, Brazil, Mexico, China, Japan and Malaysia, TMD Friction generated a turnover of EUR690 million last year and employed 4,500 people worldwide. ========= I T A L Y ========= ALITALIA SPA: CAI Buys Smaller Rival Air One, Reuters Says ---------------------------------------------------------- Reuters reported that Alitalia SpA's smaller rival Air One SpA agreed Thursday last week to sell its operations to Compagnia Aerea Italiana s.r.l. ("CAI"), a consortium of Italian investors created to save the national airline. The purchase of Air One is part of CAI's rescue plan for Alitalia. The transaction is expected to close by the end of the year. Meanwhile, Reuters said the process of integrating Alitalia and Air One to create "the new flagship carrier" will begin from Jan. 13. According to Reuters, Air One President Carlo Toto will reinvest EUR60 million in the new airline. 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. =================== K A Z A K H S T A N =================== AKMARAL TRANS: Proof of Claim Deadline Slated for January 27 ------------------------------------------------------------ LLP Akmaral Trans Service has declared liquidation. Creditors have until Jan. 27, 2009, to submit written proofs of claims to: LLP Akmaral Trans Service Shagabutdinov Str. 30-48 Almaty Kazakhstan Tel: 8 (7272) 72-27-30 AKTAU INVEST: Creditors Must File Claims by January 27 ------------------------------------------------------ LLP Aktau Invest Kz declares about its liquidation. Creditors have until Jan. 27, 2009, to submit written proofs of claims to: LLP Aktau Invest Kz Micro District 36, 16-115 Aktau Mangistau Kazakhstan ASTRON TRADING: Claims Filing Period Ends January 27 ---------------------------------------------------- LLP Astron Trading Company has declared liquidation. Creditors have until Jan. 27, 2009, to submit written proofs of claims to: LLP Astron Trading Company Auezov Str. 114 Almaty Kazakhstan DAYANA-2 LLP: Creditors' Claims Due on January 23 ------------------------------------------------- The Specialized Inter-Regional Economic Court of Kostanai has declared LLP Dayana-2 insolvent on Nov. 14, 2008. Creditors have until Jan. 23, 2009 to submit written proofs of claims to: The Specialized Inter-Regional Economic Court of Kostanai Baitursynov Str. 70 Kostanai Kazakhstan DIESEL TRADE: Proof of Claim Deadline Slated for January 23 ----------------------------------------------------------- The Specialized Inter-Regional Economic Court of East Kazakhstan has declared LLP Diesel Trade insolvent. Creditors have until Jan. 23, 2009, to submit written proofs of claims to: The Specialized Inter-Regional Economic Court of East Kazakhstan Office 105 Myzy Str. 2/1 Ust-Kamenogorsk East Kazakhstan Kazakhstan Tel: 8 (7232) 57-83-69 KAZAKHSTAN ELECTRICITY: S&P Affirms 'BB+' Rating on Unsecured Debt ------------------------------------------------------------------ Standard & Poor's Ratings Services said that it had affirmed its 'BB+' rating on the unsecured debt issued by Kazakhstan's state- owned transmission grid operator Kazakhstan Electricity Grid Operating Co. (KEGOC; BB+/Negative/--). At the same time, a recovery rating of '4' has been assigned to the unsecured EUR255 million bank loan from the European Bank for Reconstruction and Development, indicating S&P's expectation of average (30%-50%) recovery for the lending bank in the event of a payment default. In a default scenario, recovery prospects for the loan are likely to be heavily determined by the ability and willingness of the Kazakhstan government to negotiate with the EBRD. The recovery rating of '4' reflects S&P's expectation that the bank would likely receive at least partial repayment, but reflects this key uncertainty. Actual recovery of the rated loan could be higher or lower than the range indicated. S&P assumes that the EBRD loan ranks pari passu with unsecured loans guaranteed by the state. However, the state guarantees provide a secondary source of repayment which could lead to higher recoveries on these debt facilities than on the rated loan. KOM HOZ SERVICE: Creditors Must File Claims by January 23 --------------------------------------------------------- The Specialized Inter-Regional Economic Court of Mangistau has declared LLP Kom Hoz Service insolvent on Nov. 7, 2008. Creditors have until Jan. 23, 2009, to submit written proofs of claims to: The Specialized Inter-Regional Economic Court of Mangistau Micro District 27, 39-35 Aktau Mangistau Kazakhstan Tel: 8 (7292) 41-32-87 METALL INVEST-2004: Claims Filing Period Ends January 27 -------------------------------------------------------- LLP Metall Invest-2004 has declared liquidation. Creditors have until Jan. 27, 2009, to submit written proofs of claims to: LLP Metall Invest-2004 Gagarin Str. 26 Auliekol Kostanai Kazakhstan MIR KLIMATA: Creditors' Claims Due on January 23 ------------------------------------------------ The Specialized Inter-Regional Economic Court of East Kazakhstan has declared LLP Mir Klimata insolvent on Nov. 5, 2008. Creditors have until Jan. 23, 2009, to submit written proofs of claims to: The Specialized Inter-Regional Economic Court of East Kazakhstan Ushanov Str. 78-27 Ust-Kamenogorsk East Kazakhstan Kazakhstan Tel: 8 (7232) 26-24-41 PROM PODSHIPNIK: Claims Registration Ends January 23 ---------------------------------------------------- The Specialized Inter-Regional Economic Court of East Kazakhstan has declared LLP Avto Prom Podshipnik insolvent on Nov. 14, 2008. Creditors have until Jan. 23, 2009, to submit written proofs of claims to: The Specialized Inter-Regional Economic Court of East Kazakhstan Office 105 Myzy Str. 2/1 Ust-Kamenogorsk East Kazakhstan Kazakhstan Tel: 8 (7232) 57-83-69 =================== K Y R G Y Z S T A N =================== BALYKCHY TRANSPORT: Creditors Must File Claims by January 23 ------------------------------------------------------------ LLC Balykchy Transport-Expeditional Enterprise - DMAP Kyrgyz in Trans has declared insolvency. Creditors have until Jan. 23, 2009, to submit proofs of claims to: DMAP Kyrgyz In Trans Isanov Str. 42 Bishkek Kyrgystan CENTER STORY LLC: Creditors Must File Claims by January 23 ---------------------------------------------------------- LLC Construction Company Center Stroy has declared insolvency. Creditors have until Jan. 23, 2009, to submit proofs of claims to: Sagymbai Str. 275-9 Bishkek Kyrgystan CHYNALUU LLC: Creditors Must File Claims by January 23 ------------------------------------------------------ Joint Kyrgyz- Northen Ireland LLC Chynaluu has declared insolvency. Creditors have until Jan. 23, 2009, to submit proofs of claim. The company can be reached at: (+996 312) 31-58-70 ===================== N E T H E R L A N D S ===================== EUROSAIL-NL 2007-1 BV: Fitch Junks Rating on Class ET Notes ----------------------------------------------------------- Fitch Ratings has downgraded 16 and affirmed five tranches of the two Eurosail NL and two EMF NL transactions. The ratings are removed from Rating Watch Negative. Negative Outlooks have been assigned to seven tranches, while a Distressed Recovery Rating of 'DR2' is assigned to the un-collateralized ET note of Eurosail-NL 2007-1 B.V. The downgrades on these transactions reflect a combination of factors - performance that is not in line with Fitch's initial expectations, anticipated reserve fund draws as a result of replacing counterparty obligations previously provided by Lehman Brothers Holdings Inc. and, in the case of the EMF NL transactions, the failure to replace the liquidity facility. Following the downgrade of LBIH, on 26 September 2008, the agency placed the four transactions on RWN. Since then Fitch has been in regular contact with the servicer of the transactions, ELQ Hypotheken N.V., who has taken prudent action in seeking a replacement for counterparties previously provided by LBIH. According to the most recent information received by Fitch, ELQ has entered the final stage of negotiations with a replacement counterparty, who will replace LBIH as the fixed/floating swap provider, EURIBOR swap provider and the bullet cap provider on all four deals. The agency has been advised that the replacement agreements will mirror the existing agreements, with the exception of the EURIBOR swap of the Eurosail NL 2007-1 B.V. transaction, where the existing spread is likely to be increased from current levels. The two parties have also provided Fitch with the breakdown of costs, based on which the agency expects to see severe reserve fund draws on the next interest payment date in January 2009. Despite the costs involved, the rating impact of replacing the counterparties is more limited than it would be had the transactions remained unhedged. Fitch has also been advised by ELQ that the liquidity facility on the two EMF NL transactions will not be replaced by the next IPD. Although the servicer continuously strives to find a suitable replacement for LBIH, Fitch believes that in current market conditions this will be difficult and has therefore downgraded the senior tranches of the two transactions which are most exposed to liquidity risk in senior rating scenarios. In Fitch's previous public commentaries, the agency has emphasized its concern about the general performance of the deals, particularly the two Eurosail-NL transactions, which triggered the initial downgrade of the two un-collateralized notes (ET of Eurosail-NL 2007-1 B.V. and DT of Eurosail-NL 2007-2 B.V.) in October 2008. With losses (currently reported at 0.38% and 0.23% of the original portfolios of Eurosail-NL 2007-1 B.V. and Eurosail-NL 2007-2 B.V. respectively) causing excess spread levels to decline, the speed at which the reserve funds will replenish to their target amounts will be reduced. Fitch believes rising arrears and repossessions will put further pressure on the two transactions, which is likely to cause the credit support of the most junior tranches to decline. As of 2008 loans in arrears by more than three months stood at: 4.72% (Eurosail-NL 2007-1 B.V.) and 3.5% (Eurosail-NL 2007-2 B.V.), while cumulative sold repossessions were reported at 2.96% in Eurosail-NL 2007-1 B.V. and 1.95% in Eurosail-NL 2007-2 B.V. Losses to date in EMF-NL 2008-1 B.V. have been low at 0.01% of the initial pool, but this is not unexpected due to the low seasoning of six months) of the transaction. Loans in arrears by more than three months on this transaction as of the last IPD in October 2008 stood at 1.25% of the portfolio outstanding, which is lower than those seen in the earlier two, Eurosail-NL transactions at the same level of seasoning (3.67% for Eurosail-NL 2007-1 B.V. and 2.7% for Eurosail-NL 2007-2 B.V.). As the transaction closed in May 2008, losses on the EMF-NL Prime 2008-A B.V. portfolio have had no time to occur. At close the weighted average seasoning of the pool was 5.7 months. With loans in arrears reported at 0.33% of the current portfolio outstanding (compared to 0% as of close), Fitch expects to see first losses being realized in the course of 2009, which is why the ratings on the class B and C notes of this transaction have been affirmed. The rating actions are: Eurosail-NL 2007-1 B.V.: -- Class A (ISIN XS0307254259) affirmed at 'AAA'; removed from RWN, assigned Stable Outlook -- Class B (ISIN XS0307256114) downgraded to 'AA-' (AA minus) from 'AA'; removed from RWN; assigned Stable Outlook -- Class C (ISIN XS0307257435) downgraded to 'A-' (A minus) from 'A'; removed from RWN; assigned Stable Outlook -- Class D (ISIN XS0307260496) downgraded to 'BB' from 'BBB-' (BBB minus); removed from RWN; assigned Negative Outlook -- Class E1 (ISIN XS0307265370) downgraded to 'B' from 'BB'; removed from RWN; assigned Negative Outlook -- Class ET (ISIN XS0307265883) downgraded to 'CCC' from 'B'; removed from RWN; assigned Distressed Recovery Rating 'DR2' Eurosail-NL 2007-2 B.V.: -- Class A (ISIN XS0327216569) affirmed at 'AAA'; removed from RWN; assigned Stable Outlook -- Class M (ISIN XS0330526772) affirmed at 'AAA'; removed from RWN; assigned Stable Outlook -- Class B (ISIN XS0327217880) downgraded to 'A+' from 'AA-' (AA minus); removed from RWN; assigned Stable Outlook -- Class C (ISIN XS0327218425) downgraded to 'A-' (A minus) from 'A'; removed from RWN; assigned Negative Outlook -- Class D1 (ISIN XS0327219159) downgraded to 'BBB-' (BBB minus) from 'BBB'; removed from RWN; assigned Negative Outlook -- Class DT (ISIN XS0327219746) downgraded to 'B+' from 'BB'; removed from RWN; assigned Negative Outlook EMF-NL 2008-1 B.V.: -- Class A1 (ISIN XS0352314719) downgraded to 'AA+' from 'AAA'; removed from RWN; assigned Stable Outlook -- Class A2 (ISIN XS0352315526) downgraded to 'AA+' from 'AAA'; removed from RWN; assigned Stable Outlook -- Class A3 (ISIN XS0359127387) downgraded to 'AA+' from 'AAA'; removed from RWN; assigned Stable Outlook EMF-NL Prime 2008-A B.V.: -- Class A1 (ISIN XS0362459215) downgraded to 'AA+' from 'AAA'; removed from RWN; assigned Stable Outlook -- Class A2 (ISIN XS0362465535) downgraded to 'AA+' from 'AAA'; removed from RWN; assigned Stable Outlook -- Class A3 (ISIN XS0362465881) downgraded to 'AA+' from 'AAA'; removed from RWN; assigned Stable Outlook -- Class B (ISIN XS0362466186) affirmed at 'AA'; removed from RWN; assigned Stable Outlook -- Class C (ISIN XS0362466269) affirmed at 'A'; removed from RWN; assigned Negative Outlook -- Class D (ISIN XS0362466772) downgraded to 'BB+' from 'BBB-' (BBB minus); removed from RWN; assigned Negative Outlook MAYFAIR CDO: Moody's Cuts Ratings on Three Note Classes to Ca ------------------------------------------------------------- Moody's Investors Service has downgraded its ratings of three classes of notes issued by Mayfair CDO I B.V. The transaction is a cash CDO referencing European and US Investment Grade and sub-Investment Grade bonds. The rating actions are a response to credit deterioration in the underlying portfolio (which includes Kaupthing Bank hf), which adds to high cumulative losses experienced since the launch of the transaction. The rating action on the class A Notes follows the downgrade of Financial Security Assurance (UK) Ltd, which provided a guaranty on the scheduled payments on these Notes. In order to rate the Class A Notes, Moody's applied its new methodology. This document states that if a structured finance security is wrapped by a financial guarantor, the Moody's rating will be the higher of (i) the guarantor's financial strength rating and (ii) the current underlying rating (i.e., absent consideration of the guaranty) on the security, regardless of whether the underlying rating is published or not. The current Aggregate Collateral Balance is approximately EUR130 million, while Class A Notes amount to around EUR118 million. Therefore, the coverage on Class B and C is approximately EUR12 million, which corresponds to the amount of Caa assets reported in the pool. The rating actions are: Mayfair CDO I B.V.: (1) EUR262,000,000 Class A Floating Rate Senior Notes due 2013 -- Current Rating: Aa3 -- Prior Rating: Aaa, on review for possible downgrade -- Prior Rating Date: 21 July 2008 (2) EUR11,000,000 Class B Senior Subordinated Notes due 2013 -- Current Rating: Ca -- Prior Rating: Caa2 -- Prior Rating Date: 18 February 2003 (3) EUR8,500,000 Class C Senior Subordinated Notes due 2013 -- Current Rating: C -- Prior Rating: Ca -- Prior Rating Date: 18 February 2003 Moody's initially analyzed and continues to monitor this transaction using primarily the methodology and its supplements for cash flow CLOs as described in Moody's Special Reports: -- Rating Cash Flow Transactions Backed by Corporate Debt 1995 Update (April 1995) -- Binomial Expansion Method Applied to CBO/CLO Analysis (The) (December 1996) -- Modelling Recovery Rates in European CDOs (September 2002) -- CDO RatingFactors VOL. I No. 5 Haircuts for Excess Caa Assets and Deep Discount Obligations (June 2004) -- Moody's modifies approach to rating structured finance securities wrapped by financial guarantors (October 2008) =========== R U S S I A =========== BANK OF MOSCOW: To Ask for US$1 Bln in Refinancing Loans from VEB ----------------------------------------------------------------- Bank of Moscow plans to request for up to US$1 billion loans from state lender Vnesheconombank (VEB) to refinance its foreign debt, Reuters reported. "The bank has to repay around US$1 billion next year and a big part of the debt matures at the end of the year. The precise amount of a possible VEB request depends on market conditions," a spokeswoman for the bank told Reuters. She added the bank may ask for a subordinated loan for possible redistribution as loans to clients, Reuters noted. According to Reuters, its volume will depend on the results of the RUR10 billion additional preferred share placement among existing shareholders, which the bank is planning in the second or third quarter of 2009. Bank of Moscow's president Andrei Borodin meanwhile said the bank had already begun the process of cutting staff levels by 10 percent, the Moscow Times recalled. Headquartered in Moscow, Russian Federation, Bank of Moscow reported total consolidated assets of RUB528 billion (US$21.5 billion) and net income of RUB8.9 billion (US$362 million) at year-end 2007 and was the country's fourth largest bank. It is largely controlled by the City of Moscow through the direct ownership (44%) and Moscow Insurance Company (15%) which is ultimately majority controlled by the city and BOM. The other largest shareholders are the two most senior managers who control 18% in the bank. * * * As reported in the TCR-Europe on Nov. 14, 2008, Fitch Ratings affirmed the individual rating of Bank of Moscow at 'D'. DALNEVOSTOCHNUY SHIP-BUILDING: Claims Must Be Filed by Jan. 5 ------------------------------------------------------------- Creditors of LLC Dalnevostochnuy Ship-Building Plant Ship- Welding Engineering have until Jan. 5, 2009, to submit proofs of claims to: A. Strelnikov Insolvency Manager Post User Box 21 692502 Ussuriysk-2 Russia The Arbitration Court of Primorskiy commenced bankruptcy proceedings against the company after finding it insolvent. The case is docketed under Case No. A51�3326/2008 21�100B. The Debtor can be reached at: LLC Dalnevostochnuy Ship-Building Plant Leninskaya Str.2 690000 Nakhodka Russia ERT LLC: Creditors Must File Claims by January 5 ------------------------------------------------ Creditors of LLC ERT (Metal Structures Production, Construction) have until Jan. 5, 2009, to submit proofs of claims to: I. Gabbasov Insolvency Manager Post User Box 149 420034 Kazan Russia The Arbitration Court of Tatarstan commenced bankruptcy proceedings against the company after finding it insolvent. The case is docketed under Case No. A65�20117/2008-SG4�26. The Debtor can be reached at: LLC ERT Soldatskaya Str. 8 Kazan Tatarstan Russia INDUSTRIAL CONSTRUCTION: Creditors Must File Claims by Feb. 5 ------------------------------------------------------------- Creditors of LLC Industrial Construction Company have until Feb. 5, 2009, to submit proofs of claims to: A. Kasayev Insolvency Manager Vyazemskaya Str. 1/82 680000 Khabarovsk Russia The Arbitration Court of Khabarovsk commenced bankruptcy proceedings against the company after finding it insolvent. The case is docketed under Case No. A73�2428/2008�38. The Debtor can be reached at: LLC Industrial Construction Company Irtyshskaya str. 25/14 Khabarovsk Russia INTER-DOS LLC: Creditors Must File Claims by February 5 ------------------------------------------------------- Creditors of LLC Inter-Dos (TIN 6623023159) (Forestry) have until Feb. 5, 2009, to submit proofs of claims to: M. Menshikov Insolvency Manager Post User Box 1 624000 Sverdloovskaya Russia The Arbitration Court of Sverdlovskaya commenced bankruptcy proceedings against the company after finding it insolvent. The case is docketed under Case No. A60�15285/2008-S11. The Debtor can be reached at: LLC Inter-Dos Geologov Str. 29 Nizhny Tagil 622056 Sverdlovskaya Russia KHABAROVSKIY HEATING: Court Names Insolvency Manager ---------------------------------------------------- The Arbitration Court of Khabarovsk appointed A. Varygin as Insolvency Manager for OJSC Khabarovskiy Heating Equipment Plant. The case is docketed under Case No. A-73�17766/2005� 39/37. He can be reached at: Suvorova Str. 73 680015 Khabarovsk Russia The Debtor can be reached at: OJSC Khabarovskiy Heating Equipment Plant Suvorova Str. 73 680015 Khabarovsk Russia LES-PROM OJSC: Creditor Must File Claims by January 5 ----------------------------------------------------- Creditors of OJSC Les-Prom (TIN 2801109652) (Forestry) have until Jan. 5, 2009, to submit proofs of claims to: N. Surov Temporary Insolvency Manager Office 212 Prospect Svyatitelya Innokentiya 13 675000 Blagoveshchensk Russia The Arbitration Court of Amurskaya will convene on Marl. 11, 2009, to hear bankruptcy supervision procedure. The case is docketed under Case No. A04�7575/08�6/275B. The Debtor can be reached at: OJSC Les-Prom Zeyskaya Str. 285 675000 Blagoveshchensk Russia NEFTE-KOM LLC: Creditors Must File Claims by January 5 ------------------------------------------------------ Creditors of LLC Nefte-Kom (Foam Concrete Production) have until Jan. 5, 2009, to submit proofs of claims to: I. Sheregeda Temporary Insolvency Manager Post User Box 1554 Moskovskaya Str. 109 410000 Saratov Russia The Arbitration Court of Smolenskaya commenced bankruptcy supervision procedure. The case is docketed under Case No. A62� 5182/2008. The Debtor can be reached at: LLC Nefte-Kom Lenina Str. 18 Vyazma Smolenskaya Russia MAGNITOGORSK IRON: Gets One-Year RUR4Bln Loan from VTB Bank ----------------------------------------------------------- VTB Bank has provided a one-year RUR4 billion loan to Magnitogorsk Iron & Steel Works (MMK). The funds have been channeled into replenishing MMK's working capital and making settlements with suppliers. VTB and MMK have enjoyed a long and successful history of cooperation. MMK has been VTB's customer since August 2001. In December 2002, VTB and MMK signed a Cooperation Agreement on financing the company's current and investment activities. Besides, the agreement implies VTB's involvement in servicing other financial operations and providing consultancy services. In developing partnership relations with metallurgy enterprises, regarded by the Bank as a priority business line, VTB implements a comprehensive customer-oriented approach at all stages of business growth and diversification through offering a full range of banking products and services. About OJSC VTB Bank Headquartered in St. Petersburg, Russia, OJSC VTB -- http://www.vtb.com/-- is a leading Russian universal banking group offering a wide range of banking services and products across Russia, certain CIS countries and selected countries in Western Europe, Asia and Africa. About Magnitogorsk Iron Headquartered in Magnitogorsk, Russia, OAO Magnitogorsk Iron and Steel Works -- http://www.mmk.ru/-- manufactures steel and accounts for about 20% of all steel products sold on the domestic market. MMK is a major fully integrated steel making complex encompassing all the required processes, from preparation of iron ore materials to high added value processing of steel. About half of the Company's output is exported worldwide. * * * Magnitogorsk Iron and Steel Works continues to carry a Ba2 long-term corporate family and probability of default ratings from Moody's with stable outlook. MMK also carries a BB long-term issuer default and senior unsecured debt ratings from Fitch with stable outlook. NOVOLIPETSK STEEL: Agrees to Sell Stake in Tuapse Seaport --------------------------------------------------------- OJSC Novolipetsk Steel has agreed to sell its 69.41 % share in OJSC Tuapse Seaport (TMTP) to Universal Cargo Logistics Holding B.V. (UCLH). The transaction is subject to antitrust regulatory approval and is expected to close in two months. This divestiture is in line with NLMK's previously announced internal restructuring program aimed at streamlining asset structure. TMTP was classified as a non-core asset by NLMK's Board of Directors on February 27, 2006. The transaction will value NLMK's stake at RUR7,105,155,057 (about US$254 million ), or RUR1.17 per TMTP ordinary share. In accordance with the Russian Federal Law "On joint stock companies", NLMK has employed Ernst & Young and Dresdner Kleinwort to conduct an independent market valuation of TMTP shares. The NLMK Board has obtained a fairness opinion from Dresdner Kleinwort. The agreement with NLMK envisages that Universal Cargo Logistics Holding B.V. will offer all NLMK shareholders the opportunity to maintain their interest in Tuapse Seaport through UCLH. This proposal will enable NLMK shareholders to acquire TMPT shares at RUR 1.17 per share on a pro rata basis in accordance with their NLMK shareholding as of the date when Universal Cargo Logistics Holding B.V. acquires NLMK's stake in TMTP. Also, in accordance with the Russian Federal Law "On joint stock companies", Universal Cargo Logistics Holding B.V. will offer to buy shares from TMPT minority shareholders at RUR1.17 per share. NLMK and TMTP have signed a long-term agreement for metals freight, which is guaranteed by Universal Cargo Logistics Holding B.V. Cash generated from the disposal of NLMK's TMTP stake will be used to repay short-term debt and help fund the company's current investment projects. About Novolipetsk Steel Headquartered in Lipetsk, Russia, Novolipetsk Steel OJSC (LSE: NLMK) -- http://www.nlmksteel.com/-- manufactures pig iron, slabs, hot-rolled steel, and a variety of value-added steel products, such as cold-rolled sheet, electrical steel and other specialty flat products. The group also operates in Denmark and Japan. The group entered the Danish steel market in the first quarter of 2006 by acquiring a 100% stake at DanSteel A/S. * * * Novolipetsk Steel OJSC continues to carry Ba1 Corporate Family and Probability-of-Default ratings from Moody's with stable outlook. NLMK still carries a BB+ issuer credit rating from Standard & Poor's rates with stable outlook. The company also carries a BB+ long-term issuer default and B short-term issuer default ratings from Fitch with stable outlook. PIK OJSC: Fitch Withdraws 'CCC' Long-Term Issuer Default Rating --------------------------------------------------------------- Fitch Ratings has withdrawn Russian housebuilder OJSC PIK Group's Long-term Issuer Default Rating of 'CCC' and Short-term IDR of 'C', with both ratings on Rating Watch Negative. Fitch will no longer provide ratings or analytical coverage on this issuer. PIK's ratings reflect significant concerns about the company's ability to meet its short-term debt maturities. Despite recently obtaining new financing from Vnesheconombank (VEB - 'BBB+'/Outlook Negative), a state-owned Russian bank, PIK still faces sizeable maturities over the short-term, including some in the very near- term. In Fitch's opinion, the company may not have sufficient liquidity to meet these obligations. PIK continues to be reliant on either the willingness of its banks to roll-over upcoming maturities or the ability to access further rescue-funding. There remains a risk that PIK will be unable to achieve either of these options, which in the worst case could lead to a default. The RWN status reflects this downside risk. PLANT 89 FSUE: Creditors Must File Claims by January 5 ------------------------------------------------------ Creditors of FSUE Central Automotive Equipment Maintenance Plant 89 have until Jan. 5, 2009, to submit proofs of claims to: T. Seregina Insolvency Manager Post User Box 43/32 680013 Khabarovsk Russia The Arbitration Court of Khabarovsk commenced bankruptcy proceedings against the company after finding it insolvent. The case is docketed under Case No. A73�10917/2008�36. The Debtor can be reached at: FSUE Central Automotive Equipment Maintenance Plant 89 Oblachnuy pereulok 62 Khabarovsk Russia RENAISSANCE CAPITAL: S&P Cuts Counterparty Credit Rating to 'B+' ---------------------------------------------------------------- Standard & Poor's Ratings Services said it lowered its long-term counterparty credit rating on Russia-based Renaissance Capital Holdings Ltd. to 'B+' from 'BB-' and removed it from CreditWatch where it had been placed with negative implications on Sept. 22, 2008. At the same time, S&P affirmed the 'B' short-term counterparty credit rating on the institution. The outlook is stable. "The rating action reflects the deteriorated market environment in which the bank operates, which is having a negative impact on business volumes and leading to a more strained financial performance and liquidity position," said S&P's credit analys Elena Romanova. RCHL is exposed to a prolonged financial markets downturn in Russia that may decrease business opportunities and create additional risks. In September 2008, a 50% stake (minus one share) ownership of RCHL was sold to ONEXIM Group (not rated), one of the major Russian industrial and financial holdings with activities in the metal and mining sectors. S&P views this deal as strongly supportive for RCHL's liquidity position, but S&P is uncertain about the future role of ONEXIM group, as well as its willingness and capacity to provide additional support in case of need. Therefore, the ratings on RCHL reflect the institution's stand-alone credit quality and do not include any uplift for extraordinary external support--either from owners or the government. "The stable outlook balances the negative pressure on RCHL's business and financial profile produced by the deteriorated financial and operating environment with the funding support obtained from the new shareholder," said Ms. Romanova. "It also takes into account the ability of RCHL to quickly adapt to the new environment and adjust its business model and cost base." RESURS-STROY LLC: Bankruptcy Hearing Set February 17 ---------------------------------------------------- The Arbitration Court of Volgogradskaya will convene on Feb. 17, 2009, to hear bankruptcy supervision procedure on LLC Resurs- Stroy. The case is docketed under Case No. A12�15101/08-s55. The Temporary Insolvency Manager is: D. Pishavka Karbysheva Str. 105/35 Volzhskiy 404132 Volgogradskaya Russia The Debtor can be reached at: LLC Resurs-Stroy Krasnopolyanskaya Str. 55 400075 Volgograd Russia SITRONICS JSC: Net Losses Down 5.4% in January-September -------------------------------------------------------- Sitronics' U.S. GAAP net losses dropped 75.4% year-on-year in January-September to US$46.1 million, RIA Novosti reports. According to the report, the company's earnings rose 36.9% to US$1.39 billion against the same period in 2007. However, operating income before depreciation and amortization (OIBDA) shrank to US$70.6 million from US$107.5 million, the report notes. In the third quarter of this year, the company's losses fell 76% year-on-year to US$25.9 million, earnings increased 22.7% to US$461.8 million, while OIBDA fell to US$24.7 million from US$68.9 million in July-September 2007, the report discloses. About JSC Sitronics Headquartered in Moscow, Russia, JSC Sitronics (LSE: SITR) -- http://www.sitronics.com/-- provides telecommunications solutions, IT solutions and microelectronic solutions in the CIS region with a rapidly growing presence in other EEMEA markets. Sistema controls the company. * * * JSC Sitronics still carries a 'B-' long-term issuer default rating from Fitch with negative outlook. TROIKA DIALOG: S&P Downgrades Counterparty Credit Rating to 'B+' ---------------------------------------------------------------- Standard & Poor's Ratings Services said that it lowered its long- term counterparty credit rating on Troika Dialog Group Ltd. to 'B+' from 'BB-' and its Russia national scale rating to 'ruA' from 'ruAA-'. The outlook remains negative. At the same time, S&P's affirmed its 'B' short-term counterparty credit rating on the institution, the holding company of Russia's Troika Dialog group. "The rating action reflects Troika's deteriorated operating environment, which is leading to a decline in the group's business volumes and funding position, and as a result, in profitability," said S&P's credit analyst Ekaterina Trofimova. The ratings are based on the creditworthiness of the Troika Dialog group companies, which form one of Russia's leading brokerage, asset management, and investment banking groups. The ratings on Troika reflect the group's stand-alone credit quality, and do not include any uplift for extraordinary external support -- either from owners or the government. "The negative outlook reflects Troika's vulnerabilities to current market conditions. A longer or deeper financial crisis could further weaken Troika's franchise or financial profile, further pressuring the ratings," said Ms. Trofimova. S&P could revise the outlook back to stable or raise the ratings if market pressures ease significantly and if Troika regains positive business momentum, restores profitability to a level commensurate with its risk profile, substantially reduces concentrations, and improves its funding profile. VTB BANK: Acquires 51% Stake in AF Bank, Azerbaijan --------------------------------------------------- VTB Bank has completed its acquisition of a 51% stake in OJSC AF Bank, Azerbaijan. In the near future, the subsidiary bank is planned to be renamed JSC VTB Bank (Azerbaijan). The decision to acquire the controlling interest in AF bank was made under the strategy of VTB Group expansion in the CIS markets. VTB access to the Azerbaijani banking market was deemed to promote the bilateral trade and economic relations between Russia and Azerbaijan. VTB Bank (Azerbaijan) will support interstate programs, and facilitate the implementation of large Russian- Azerbaijani projects with the Russian capital participation. About OJSC VTB Bank Headquartered in St. Petersburg, Russia, OJSC VTB -- http://www.vtb.com/-- is a leading Russian universal banking group offering a wide range of banking services and products across Russia, certain CIS countries and selected countries in Western Europe, Asia and Africa. * * * As reported in the TCR-Europe on Oct. 28, 2008, Moody's Investors Service changed the outlook on the D- bank financial strength rating of Bank VTB to stable from positive. At the same time, Moody's has affirmed VTB's A1/P-1 global local currency deposit ratings, A2 senior unsecured debt rating and Baa1/P-2 foreign currency deposit rating with existing outlooks. VTB BANK: Provides One-Year RUR4 Billion Loan to MMK ---------------------------------------------------- VTB Bank has provided a one-year RUR4 billion loan to Magnitogorsk Iron & Steel Works (MMK). The funds have been channeled into replenishing MMK's working capital and making settlements with suppliers. VTB and MMK have enjoyed a long and successful history of cooperation. MMK has been VTB's customer since August 2001. In December 2002, VTB and MMK signed a Cooperation Agreement on financing the company's current and investment activities. Besides, the agreement implies VTB's involvement in servicing other financial operations and providing consultancy services. In developing partnership relations with metallurgy enterprises, regarded by the Bank as a priority business line, VTB implements a comprehensive customer-oriented approach at all stages of business growth and diversification through offering a full range of banking products and services. About Magnitogorsk Iron Headquartered in Magnitogorsk, Russia, OAO Magnitogorsk Iron and Steel Works -- http://www.mmk.ru/-- manufactures steel and accounts for about 20% of all steel products sold on the domestic market. MMK is a major fully integrated steel making complex encompassing all the required processes, from preparation of iron ore materials to high added value processing of steel. About half of the Company's output is exported worldwide. About OJSC VTB Bank Headquartered in St. Petersburg, Russia, OJSC VTB -- http://www.vtb.com/-- is a leading Russian universal banking group offering a wide range of banking services and products across Russia, certain CIS countries and selected countries in Western Europe, Asia and Africa. * * * As reported in the TCR-Europe on Oct. 28, 2008, Moody's Investors Service changed the outlook on the D- bank financial strength rating of Bank VTB to stable from positive. At the same time, Moody's has affirmed VTB's A1/P-1 global local currency deposit ratings, A2 senior unsecured debt rating and Baa1/P-2 foreign currency deposit rating with existing outlooks. * TOMSK OBLAST: S&P Removes 'B+' Rating From CreditWatch Negative ----------------------------------------------------------------- Standard & Poor's Ratings Services said that it had removed its 'B+' long-term issuer credit and 'ruA+' national scale ratings on the Tomsk Oblast, located in western Siberia in the Russian Federation (foreign currency BBB/Negative/A-3; local currency BBB+/Negative/A-2; Russia national scale 'ruAAA') from CreditWatch with negative implications, where they were placed on Sept. 29, 2008. The outlook is negative, reflecting remaining uncertainties regarding the oblast's future economic growth, liquidity position, and expenditure pressures. "The ratings reflect Tomsk Oblast's dependence on federal government decisions, continued expenditure pressures on both the operating and capital sides, and exposure to its two largest taxpayers -- especially oil company Tomskneft VNK," said S&P's credit analyst Boris Kopeykin. The oblast's improving debt structure following refinancing of its short-term bank loans with amortizing medium-term bonds, and continued economic diversification, offset these constraints at the current rating level. As of Dec. 9, 2008, the oblast had Russian ruble (RUR)1.059 billion in free cash, while its direct debt, due by the end of the year, is less than RUR300 million. It also had more than RUR380 million of earmarked cash. The oblast had no overdue payables and had only minimal current payables as of Dec. 1, 2008. The negative outlook reflects uncertainties related to Tomsk Oblast's future economic growth, given its heavy reliance on two large taxpayers, and consequent budget revenue dynamics. It also reflects the remaining uncertainties regarding the oblast's ability to replace its remaining short-term debt obligations with medium-term debt in the first quarter of 2009, as well as expectations of increasing expenditure pressures, including a rising interest burden. "Should the oblast demonstrate negative operating balances due to weaker revenues or increasing expenditure pressures in 2009, fail to arrange necessary refinancing in 2009, or maintain a risky debt-service schedule with a high proportion of short maturities for 2009-2010, the ratings could come under pressure," said Mr. Kopeykin. Continued economic growth in 2009-2010 and, consequently, largely positive operating surpluses, combined with a further improvement in debt structure, with debt service decreasing below expectations in 2010-2011, could lead us to revise the outlook to stable. * RUSSIA: VEB Approves U$2 Billion Loans to Oil Firms and VTB ------------------------------------------------------------- Vneshekonombank approved Wednesday last week a total of US$2 billion in loans to domestic oil companies and VTB, the Moscow Times reported. It has so far approved US$11.8 billion to help refinance foreign loans. VEB however would not specify which oil producers would benefit from the US$2 billion credit nor how much they would get from the total, the report noted. VEB's board, the report recalled, also agreed to extend loans of RUR17.1 billion (US$614 million) to lenders, including Alfa Bank, Nomos Bank and the Bank of Khanty-Mansiisk. It has received requests for subordinated loans totaling RUR90 billion from 30 Russian banks, the report added. According to the report, Alfa will get a RUR10. 2 billion, Nomos will receive RUR4.9 billion and the Bank of Khanty-Mansiisk RUR2 billion. * RUSSIA: GDP Could Decline 1-4% Next Year, MDM-Bank Chair Says --------------------------------------------------------------- Oleg Vyugin, the chairman of the MDM-Bank of board of directors, warned Russia's GDP could decline by 1-4% in the worst-case scenario next year, RIA Novosti reported. "The bottom line presumption is that 2009 will see the deepest economic crisis in developed countries and the world economy as a whole. This means that all developments prior to this can be regarded as preparation for the crisis," Mr. Vyugin was quoted by the report as saying. Mr. Vyugin however expects the country's GDP to grow by 1-2% next year in the best case scenario, the report noted. Russia's Economic Development Ministry, the World Bank and the IMF forecast a 3-3.5% growth in the country's GDP in 2009, the report recalled. Russian Prime Minister Vladimir Putin on the other hand predicted GDP growth of 6.8-6.9%, industrial production growth of 4.8%, and 13% inflation for 2008, against a target of 11.8%, the report disclosed. ===================== S W I T Z E R L A N D ===================== GENERAL MOTORS: Hires Lawyers & Bankers to Mull Chapter 11 Filing ----------------------------------------------------------------- Jeffrey McCracken, John D. Stoll, and Greg Hitt at The Wall Street Journal report that people familiar with the matter said General Motors Corp. has hired lawyers and bankers to mull over a possible Chapter 11 filing by the company. According to WSJ, GM has retained Harvey Miller of Weil Gotshal & Manges LP as bankruptcy counsel. GM, says the report, has also hired: -- restructuring veteran Jay Alix, -- Evercore Partners' William Repko, and -- Blackstone Group's Arthur Newman. WSJ relates that the hiring of bankruptcy experts indicates GM's increasing desperation as it waits for government financial assistance, which is being considered in the Congress. WSJ states that while Senate Majority Leader Harry Reid hopes to push a bill through this week, Sen. John Thune says that there is a lot of resistance on the bailout. Citing a source, WSJ reports that GM CEO Rick Wagoner has been hesitant to consider the company's possible bankruptcy on fears that it would discourage potential car buyers. A bankruptcy filing, according to the report, would also be very expensive and difficult due to tight credit markets. Mr. Wagoner is still against filing for Chapter 11, the report states. The board is keeping all options open, says WSJ, citing GM director Kent Kresa. GM's board is putting Mr. Wagoner to deepening scrutiny, meeting three times a week and receiving constant updates on the financial situation, the report states. Mr. Kresa, according to the report, said that the GM management was constantly caught off guard by auto sale drops. Executives kept changing sales projections, but the managers never fully understood how bad the situation could get, the report syas, citing Mr. Kresa. WSJ states that GM now operates near its minimum-required funding options, and GM executives are worried that suppliers could tighten credit terms and the government could swiftly take back its loans. "This is an urgent situation and we need to deal with it," the report quoted Mr. Kresa as saying. GM will be meeting with its dealers this week to discuss a new advertising campaign to increase sales, WSJ report. According to WSJ, GM will also discuss the possible closure of its Saturn division or put it into bankruptcy protection, as it is a separate entity. Peter A. McKay at WSJ relates that GM led in stock declines on Thursday, sliding 10.4%. Ellen Kullman Leaves Board for DuPont CEO Post DuPont President Ellen J. Kullman has resigned from GM's Board of Directors, effective Dec. 11, 2008, to focus on her new responsibilities at DuPont. Ms. Kullman will become chief executive officer of DuPont on Jan. 1, 2009. "I have been proud to serve on GM's Board for four years," Ms. Kullman said. "GM has made important advancements across a number of fronts and I wish the GM team continued success as they work to overcome the current challenges." "I understand and respect Ellen's need to focus on DuPont right now," noted George M.C. Fisher, presiding director of GM's Board. "She's been a great Board member for GM, and we'll miss her." Ms. Kullman served on GM's Audit Committee and Investment Funds Committee. There are no immediate plans to replace her on those committees. 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. General Motors Latin America, Africa and Middle East, with headquarters in Miramar, Florida, is one of GM's four regional business units. GM LAAM employs approximately 37,000 people in 18 countries and has manufacturing facilities in Argentina, Brazil, Colombia, Ecuador, Egypt, Kenya, South Africa and Venezuela. GM LAAM markets vehicles under the Buick, Cadillac, Chevrolet, GMC, Hummer, Isuzu, Opel, Saab and Suzuki brands. 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. GENERAL MOTORS: Ind. Fiduciary Extends Share Trading Blackout ------------------------------------------------------------- General Motors Corp. disclosed in a regulatory filing with the Securities and Exchange Commission that State Street Bank and Trust Company, which serves as the independent fiduciary of the GM Common Stock Fund in the Plans, has extended until further notice the temporary suspension on purchases of the GM Common Stock Fund that began on September 30. General Motors disclosed on Sept. 30, 2008, that it had suspended purchases of its common stock, par value US$1-2/3 per share, by employees in GM's Savings-Stock Purchase Plan and the Personal Savings Plan. All purchases of Common Stock under the Plans were suspended because the Plans had issued all of their registered shares of Common Stock. This suspension was the result of recent unexpectedly high demand among the Plans' participants due to increased employee interest and a lower market price for the Common Stock. The demand significantly exceeded the usual volume and exhausted the supply of registered stock more quickly than the administrators of the Plans foresaw. This trading blackout began on Sept. 30, 2008, and was expected to end the week of Nov. 9, 2008, when GM planned to file a registration statement with the SEC registering additional shares for the Plans. State Street determined that, due to GM's earnings announcement and related information about GM's business, it was not ppropriate to allow additional investments by participants into the GM Common Stock Fund. As independent fiduciary, State Street is specifically authorized pursuant to its agreements with GM and the Plan documents to impose restrictions on purchases or exchanges into and out of the GM Common Stock Fund at any time. GM has not registered additional shares of GM Common Stock for the Plans with the SEC. Plan participants, other than directors and officers, are not prevented from selling Common Stock through the Plans, or buying or selling Common Stock outside the Plans, during the blackout period. Based on the provisions of the Plans, these participants may also at any time exchange shares in the Common Stock Fund for other investment options or change their contribution election. The contributions of participants directed to the GM Common Stock Fund, will be invested in the default fund for the Plan in which they participate, unless they provide new instructions. This means that, until the temporary suspension for Common Stock purchases is removed, that contributions to the S-SPP will be invested in the Pyramis Strategic Balanced Commingled Pool investment option and that contributions to the PSP will be invested in the Pyramis Active Lifecycle Commingled Pool Investment option closest to the year that the participant will attain the age of 65. On Nov. 21, 2008, GM sent a notice to its directors and executive officers informing them of the trading restrictions in the Common Stock Fund imposed by State Street and that the blackout period instituted on Sept. 30, 2008, would continue. During the blackout period, GM's directors and executive officers will be prohibited from directly acquiring, disposing of or transferring any equity securities of GM acquired by them in connection with their service and employment with GM in such capacities. The notice was sent to ensure compliance with Section 306(a) of the Sarbanes-Oxley Act of 2002. In accordance with the unforeseeable circumstance exemption under Section 306(a) GM determined that it was unable to give advance notice of the blackout period to the directors and executive officers. A full-text copy of the notice is available for free at http://ResearchArchives.com/t/s?360e 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. GENERAL MOTORS: Suppliers Seek Advance Payments ----------------------------------------------- Some auto-parts suppliers have asked General Motors Corp. for advance payments, after the company warned that it would run out if it fails to secure loans from the government, Jeff Green at Bloomberg News reports, citing people familiar with the matter. According to Bloomberg, the sources said that GM has rejected the requests. The report says that GM pays its 3,600 suppliers about 45 days after getting an invoice. Advance payment requests started in the last several weeks but have not disrupted vehicle production, the report states, citing a person familiar with the matter. GM Purchasing Vice President Bo Andersson denied to the trade publication Automotive News on Nov. 25 that suppliers were seeking payment in advance or shorter turnarounds on invoices. GM spokesperson Dan Flores, Bloomberg relates, said, "Despite the current economic challenges, GM remains committed to maintaining a strong, open relationship with our suppliers. GM remains focused on maintaining payment terms and being a prompt payer." Car Czar Appointment May Spur Holders' Demand for Payouts Banc of America Securities analyst Glen Taksler said that the appointment of a "car czar" to supervise the government bailout program has raised the possibility of a bankruptcy event for credit-default swaps. A car czar might trigger "what's known as an event in the vast market for credit-default swaps," which would cause holders of GM and Ford Motor Co. credit protection to demand payouts, WSJ says, citing Banc of America. Mr. Taksler said that The International Swaps and Derivatives Association, a standard-setter for credit-derivatives trading, identified the appointment of an administrator, trustee, or similar official to oversee all or most of an entity's assets as a trigger event for a bankruptcy filing, WSJ relates. WSJ quoted Mr. Taksler as saying, "The result may depend on the exact wording of a potential bailout package. We find arguments both for and against an autos czar triggering CDS. ... The actual process is likely to be determined through ISDA." According to WSJ, the Depository Trust & Clearing Corp. said that institutions like banks and insurance firms hold US$43.15 billion in credit protection on GM debt. WSJ relates that excluding contracts sold by the same institutions holding GM DCS, there is about US$3.3 billion in GM CDS outstanding, while the DTCC said that for Ford Motor debt, there is about US$34 billion in gross CDS and about US$2.8 billion in net swaps outstanding. Chrysler LLC, according to the report, is a private company and doesn't trade in the CDS market. Corey Boles, Patrick Yoest, and Josh Mitchell posted on The Wall Street Journal blog that the government financial bailout bill being considered in the House of Representatives would require Chrysler's parent, Cerberus Capital Management, to put up equity warrants for Chrysler to get an emergency loan, because Chrysler is a private company. 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. GLUTZ PLANUNGEN: Creditors Must File Proofs of Claim by Dec. 25 --------------------------------------------------------------- Creditors owed money by LLC Glutz Planungen are requested to file their proofs of claim by Dec. 25, 2008, to: Hofstattstrasse 21 4565 Recherswil Switzerland The company is currently undergoing liquidation in Recherswil. The decision about liquidation was accepted at an extraordinary shareholders' meeting held on Nov. 5, 2008. GOLDEN ARROW: Deadline to File Proofs of Claim Set Dec. 25 ---------------------------------------------------------- Creditors owed money by LLC Golden Arrow are requested to file their proofs of claim by Dec. 25, 2008, to: Christian Schweizer Liquidator Geissbuhlstrasse 12b 5600 Ammerswil Switzerland The company is currently undergoing liquidation in Ammerswil. The decision about liquidation was accepted at an extraordinary shareholders' meeting held on Oct. 24, 2008. H. RECK JSC: Creditors Have Until Dec. 25 to File Claims -------------------------------------------------------- Creditors owed money by JSC H. Reck are requested to file their proofs of claim by Dec. 25, 2008, to: Hans Reck-Hertach Neue Jonastrasse 110 8640 Rapperswil Switzerland The company is currently undergoing liquidation in Glarus. The decision about liquidation was accepted at an extraordinary shareholders' meeting held on Nov. 3, 2008. ORKASOFT LLC: Proofs of Claim Filing Deadline is Dec. 25 -------------------------------------------------------- Creditors owed money by LLC OrkaSoft are requested to file their proofs of claim by Dec. 25, 2008, to: Loogartenstrasse 24b 9463 Oberriet Switzerland The company is currently undergoing liquidation in Oberriet SG. The decision about liquidation was accepted at an extraordinary shareholders' meeting held on Oct. 19, 2007. PRIME PACKAGING: Creditors' Proofs of Claim Due by Dec. 25 ---------------------------------------------------------- Creditors owed money by JSC Prime Packaging Investment are requested to file their proofs of claim by Dec. 24, 2008, to: Hr. Riccardo Biaggi Vicolo Nassetta 2 6901 Lugano Switzerland The company is currently undergoing liquidation in Zug. The decision about liquidation was accepted at an extraordinary shareholders' meeting held on Nov. 6, 2008. SCIENTIFIC COMPUTERS: Dec. 25 Set as Deadline to File Claims ------------------------------------------------------------ Creditors owed money by JSC Scientific Computers are requested to file their proofs of claim by Dec. 24, 2008, to: JSC T&R Andre Brugger Sageweg 11 3073 Gumligen Switzerland The company is currently undergoing liquidation in Muri bei Bern. The decision about liquidation was accepted at an extraordinary shareholders' meeting held on Nov. 11. 2008. ============= U K R A I N E ============= ALTERNATIVE COMPANY: Creditors Must File Claims by December 24 -------------------------------------------------------------- Creditors of LLC Alternative Company (EDRPOU 33177700) have until Dec. 24, 2008, to submit proofs of claim to: The Economic Court of Lugansk Geroiv VVV Square 3a 91000 Lugansk Ukraine The Arbitration Court of Lugansk commenced bankruptcy proceedings against the company after finding it insolvent on Oct. 9, 2008. The case is docketed as 21/82b. The Debtor can be reached at: LLC Alternative Company Apt. 1 Razyezdny Lane, 32 Svatovoye 92600 Lugansk Ukraine AMIK LLC: Creditors Must File Claims by December 24 --------------------------------------------------- Creditors of LLC Amik (EDRPOU 32582963) have until Dec. 24, 2008, to submit proofs of claim to: The Economic Court of Donetsk Artema Str. 157 83048 Donetsk Ukraine The Arbitration Court of Donetsk commenced bankruptcy proceedings against the company after finding it insolvent on Oct. 2, 2008. The case is docketed as 45/203b. The Debtor can be reached at: LLC Amik Kuybishev Str. 42 Donetsk Ukraine ERA-TRADING LLC: Creditors Must File Claims by December 24 ---------------------------------------------------------- Creditors of LLC Era-Trading (EDRPOU 35495567) have until Dec. 24, 2008, to submit proofs of claim to: Mrs. Svetlana Yavtushenko Temporary Insolvency Manager: Apt. 6 Komsomolskaya Str. 33 49000 Dnipropetrovsk Ukraine The Arbitration Court of Dnipropetrovsk commenced bankruptcy proceedings against the company after finding it insolvent on Nov. 14, 2008. The case is docketed as B 29/246-08. The Economic Court of Dnipropetrovsk Kujbishev Str. 1a 49600 Dnipropetrovsk Ukraine The Debtor can be reached at: LLC Era-Trading Bazovaya Str. 4 49000 Dnipropetrovsk Ukraine INTER LLC: Creditors Must File Claims by December 24 ---------------------------------------------------- Creditors of declared LLC Inter (EDRPOU 30937963) have until Dec. 24, 2008, to submit proofs of claim to: Mr. Anatoly Okriak Liquidator/Insolvency Manager Lipovaya Str. 17/7 46002 Ternopol Ukraine Tel: 8(0352)25-71-20 The Arbitration Court of Ternopol commenced bankruptcy proceedings against the company after finding it insolvent on Nov. 11, 2008. The case is docketed as 10/B-992. The Economic Court of Ternopol Ostrozsky Str. 14a 46000 Ternopol Ukraine The Debtor can be reached at: LLC Inter B. Hmelnitsky Str. 122 Vishnevets Zbaragsky Ternopol Ukraine KUPIANSK FOUNDRY: Creditors Must File Claims by December 24 ----------------------------------------------------------- Creditors of LLC Kupiansk Foundry Company (EDRPOU 34079293) have until Dec. 24, 2008, to submit proofs of claim to: Mrs. I. Kuznetsova Liquidator Apt. 110 L. Svoboda Avenue, 39 Kharkov Ukraine The Arbitration Court of Kharkov commenced bankruptcy proceedings against the company after finding it insolvent on Oct. 1, 2008. The case is docketed as B-39/119-08. The Economic Court of Kharkov Derzhprom 8th Entrance Svoboda Square 5 61022 Kharkov Ukraine LIT-TRANS LLC: Creditors Must File Claims by December 24 -------------------------------------------------------- Creditors of LLC Lit-Trans (EDRPOU 34938316) have until Dec. 24, 2008, to submit proofs of claim to: LLC Optimal-Trade Liquidator: P.O.B. 101-V 01001 Kiev Ukraine The Arbitration Court of Kiev commenced bankruptcy proceedings against the company after finding it insolvent on Oct. 23, 2008. The case is docketed as 24/411-b. The Economic Court of Kiev B. Hmelnitskij Boulevard 44-B 01030 Kiev Ukraine The Debtor can be reached at: LLC Lit-Trans Kikvidze Str. 11 01103 Kiev Ukraine LOMRESOURCE LLC: Creditors Must File Claims by December 24 ---------------------------------------------------------- Creditors of LLC Lomresource (EDRPOU 24743728) have until Dec. 24, 2008, to submit proofs of claim to: Mr. I. Gusar Liquidator P.O.B. 29 01030 Kiev Ukraine The Arbitration Court of Kiev commenced bankruptcy proceedings against the company after finding it insolvent on Nov. 6, 2008. The case is docketed as 44/50-b. The Economic Court of Kiev B. Hmelnitskij Boulevard 44-B 01030 Kiev Ukraine The Debtor can be reached at: LLC Lomresource Demiyevskaya Str. 45-B 03040 Kiev Ukraine REGIONAL BUILDING: Creditors Must File Claims by December 24 ------------------------------------------------------------ Creditors of declared LLC Regional Building Company (EDRPOU 32344662) have until Dec. 24, 2008, to submit proofs of claim to: Mr. Igor Mikhno Liquidator Uman Str. 35 Kiev Ukraine Tel: 243-32-58 The Arbitration Court of Kiev commenced bankruptcy proceedings against the company after finding it insolvent on Nov. 13, 2008. The case is docketed as 44/403-b. The Economic Court of Kiev B. Hmelnitskij Boulevard 44-B 01030 Kiev Ukraine The Debtor can be reached at: LLC Regional Building Company Glybochetskaya Str. 33/37 04080 Kiev Ukraine RIMO LLC: Creditors Must File Claims by December 24 --------------------------------------------------- Creditors of LLC FIRM RIMO (EDRPOU 13771101) have until Dec. 24, 2008, to submit proofs of claim to: Mr. Igor Stifutin Temporary Insolvency Manager P.O.B. 5/8 25006 Kirovograd Ukraine Tel: 8(0522)32-27-18 The Arbitration Court of Kirovograd commenced bankruptcy proceedings against the company after finding it insolvent on Oct. 17, 2008. The case is docketed as 11/135. The Economic Court of Kirovograd Lunacharski Str. 29 25006 Kirovograd Ukraine The Debtor can be reached at: LLC Firm Rimo Apt. 4 Oktiabrskoy revolutsii Str. 26 25002 Kirovograd Ukraine VENDICHANY AGRICULTURAL: Creditors Must File Claims by Dec. 24 -------------------------------------------------------------- Creditors of Vendichany Agricultural LLC (EDRPOU 25494569) have until Dec. 24, 2008, to submit proofs of claim to: Mr. Michael Mischishyn Liquidator Apt. 427 Kozitsky Str. 36 21001 Vinnica Ukraine Tel: 8(0432)35-30-58 The Arbitration Court of Vinnica commenced bankruptcy proceedings against the company after finding it insolvent on Oct. 7, 2008. The case is docketed as 5/213-08. The Economic Court of Vinnica Hmelnickiy Str. 7 21036 Vinnica Ukraine The Debtor can be reached at: Vendichany Agricultural LLC Vendichany Mogilev-Podolsky 24032 Vinnica Ukraine =========================== U N I T E D K I N G D O M =========================== ATHENA SOLID: Names Joint Liquidators from Tenon Recovery --------------------------------------------------------- Ian William Kings and Steven Philip Ross of Tenon Recovery were appointed joint liquidators of Athena Solid Surfaces Ltd. on Dec. 5, 2008, for the creditors' voluntary winding-up proceeding. The company can be reached through Tenon House at: Ferryboat Lane Sunderland Tyne & Wear SR5 3JN England AURORA DESIGN: Names Joint Liquidators from Tenon Recovery ---------------------------------------------------------- Ian William Kings and Steven Philip Ross of Tenon Recovery were appointed joint liquidators of Aurora Design & Consultancy Ltd. on Nov. 19, 2008, for the creditors' voluntary winding-up proceeding. The company can be reached through Tenon Recovery at: Tenon House Ferryboat Lane Sunderland Tyne & Wear SR5 3JN England COLOUR WORKS: Placed Into Voluntary Liquidation ----------------------------------------------- Helen Morris at printweek.com reports that Colour Works has been placed into voluntary liquidation. The company, the report recounts, ceased trading Monday last week and made its 17 staff redundant after the print market become increasingly competitive. The liquidation is being handled by MB Insolvency owner Mark Bowen, the report discloses. Mr. Bowen, as cited by the report, said "We've had people interested in the company for its goodwill and customer relationships. However, whether they will make a bid to acquire the goodwill I don't yet know." A creditors meeting has been scheduled for December 18, the report notes. Based in Totnes, Devon Colour Works provided design, print, and finishing services. The company's managing directors are Paul and Jo Hall. ECO-BAT TECHNOLOGIES: S&P Affirms Corp. Credit Rating at 'B+' ------------------------------------------------------------- Standard and Poor's Ratings Services said that it revised its outlook on U.K.-based lead producer Eco-Bat Technologies Ltd. to stable from positive. At the same time, the long-term corporate credit rating on Eco-Bat was affirmed at 'B+'. In addition, the senior unsecured debt rating on the EUR235 million 10.125% bond due 2013 issued by subsidiary Eco-Bat Finance PLC and guaranteed by Eco-Bat was affirmed at 'B+'. The recovery rating on the notes is unchanged at '3', indicating S&P's expectation of meaningful (50%-70%) recovery in the event of a payment default. "The outlook revision reflects our expectation of much weaker earnings at Eco-Bat in 2009 owing to the recent sharp reduction in lead prices," said S&P's credit analyst Paulina Grabowiec. "This, coupled with accumulating debt due to 11% per year interest accrual on the EUR600 million payment-in-kind note issued by the intermediate parent company Eco-Bat Holdings Inc., reduces the likelihood of a rating upgrade in the near term. Also, further potential shareholder-friendly actions remain a key constraint on the rating." On the positive side, S&P notes that although Eco-Bat's margins are likely to weaken in the coming months, some protection should be afforded by the fact that a significant proportion of the company's sales are secured under tolling and contract arrangements, with prices specified at a premium to London Metal Exchange lead prices. Furthermore, Eco-Bat's free cash flow generation should benefit from working capital inflows arising from sharply deteriorating lead prices, thereby demonstrating some counter-cyclicality in the business. The rating on Eco-Bat continues to reflect its high leverage following a EUR600 million PIK loan issued in March 2007 by EB Holdings; high reliance on lead production; exposure to movements in LME lead prices, which are currently declining sharply; dependence on a few large customers; volatile cash flow generation; and potential environmental liabilities. These weaknesses are mitigated by the group's leading market position as the world's largest producer of lead; significant proportion of sales under contract or tolling arrangements; and adequate liquidity. Despite reduced profitability, S&P believes Eco-Bat will continue to generate positive free operating cash flows in 2009, benefiting from working capital inflows and moderate capital expenditures. Nevertheless, an outlook revision to negative could be considered if Eco-Bat's free operating cash flows were to turn negative on sustained basis. And a renewed aggressive financial policy could also act as a negative trigger. FITZGERALD LIGHTING: Appoints Joint Administrators from KPMG ------------------------------------------------------------ J. S. Pope and R. J. Hill of KPMG LLP were appointed joint administrators of Fitzgerald Lighting Ltd. on Dec. 1, 2008. The company can be reached at: Fitzgerald Lighting Ltd. Normandy Way Bodmin Cornwall PL31 1HH England GLOBAL GENERAL: Files for Chapter 15 Bankruptcy in New York ----------------------------------------------------------- Foreign representative Thomas Klaus Freudenstein filed voluntary petitions for GLOBAL General and Reinsurance Company Limited, and its wholly owned subsidiary GLOBALE Ruckversicherrungs-AG under Chapter 15 of the United States Bankruptcy Code in the United States Bankruptcy Court for the Southern District of New York. Mr. Freudenstein said the company went into run-off since October 2002, in which it ceased underwriting non-life insurances business. The company seeks to determine, settle and pay all liquidated claim of its insureds, related Mr. Freudenstein. A run-off of an insurance company will take more than 20 years to complete, he added. The company has proposed a "cut-off scheme of arrangement under English law to shorten the time period for the run-off and reduce administrative costs, Mr. Freudenstein noted. The company listed assets and debts of more than US$100 million in its petition. Mr. Freudenstein is asking the Court to set a hearing on the petitions after Jan. 12, 2009. Juliette Stevens is the company's English legal counsel. According to BLoomberg News, Chapter 15 assists foreign companies organize and protect U.S. assets during their reorganizations in other countries. About GLOBAL General Headquartered in London, GLOBAL General and Reinsurance Company Limited is an insurance and reinsurance company formed in April 16, 1940. Between 1940 and 2002, GLOBAL General wrote a wide array of reinsurance business in England. The reinsurance portfolio was underwritten in London, predominantly from the early 1950's to the early 1980's. The portfolio was mostly accepted through placements made by London market brokers. The portfolio consists of facultative and treaty reinsurance, both proportional and non-proportional, covering various classes including, but not limited to, marine, non-marine and aviation. GLOBAL GENERAL: Voluntary Chapter 15 Case Summary ------------------------------------------------- Chapter 15 Petitioner: Thomas Klaus Freudenstein Chapter 15 Debtor: Global General and Reinsurance Company Limited Chapter 15 Case No.: 08-14939 Debtor-affiliates filing separate Chapter 15 petitions: Entity Case No. ------ -------- Globale Ruckversicherungs-AG 08-14940 Type of Business: The Debtors are insurance and reinsurance company. Chapter 15 Petition Date: December 10, 2008 Court: Southern District of New York (Manhattan) Judge: Robert D. Drain Chapter 15 Petitioner's Counsel: Howard Seife, Esq. hseife@chadbourne.com Chadbourne & Parke LLP 30 Rockefeller Plaza New York, NY 10112 Tel: (212)408-5361 Fax : (212) 541-5369 Estimated Assets: More than US$100 million Estimated Debts: More than US$100 million INEOS GROUP: Lenders Vote in Favor of Debt Covenant Waiver ---------------------------------------------------------- INEOS Group Holdings plc on Wednesday confirmed that the holders of its senior debt have voted overwhelmingly in favor of the Group's amended debt covenants waiver request. Lenders have given their support in the company showing confidence in the management team and the underlying business. Barclays Bank PLC, as agent for the lenders, has confirmed over 90% of the syndicate by amount voted and 100% of these voted in favor. John Reece, CFO INEOS said Wednesday: "We are pleased that senior debt-holders have endorsed our pro-active steps to address the exceptional trading conditions. The result highlights the long- term support that exists for the company and its management team. While our focus now is on trading through the near-term market conditions expected in Q1, we remain well positioned in the long- term due to our portfolio of businesses all of which are capable of trading through normal bottom-of-the-cycle conditions. INEOS is now in the process of drawing up a new 5 year business plan which it will present to stakeholders after the end of Q1 2009." Lazard & Co., Limited is acting as financial advisor to INEOS. Ineos Improves Waiver Terms On Dec. 5, 2008, the TCR-Europe reported that according to Reuters, Ineos Group improved the terms on a key waiver to its EUR7.62 billion (US$9.63 billion) leveraged loan to ease investors' concerns that no covenants would apply in the next six months during a period of heightened risk as the company readies its new business plan. As reported in the TCR-Europe on Nov. 20, 2008, Ineos sought consent for a waiver of bank covenants for the next two quarters, conditional on submission of a new business plan in April 2009. The company proposed to pay consenting lenders a fee of 50 bps and increase the interest margins applicable to its senior debt facilities by 100-125 bps. Ineos, Reuters noted, is now offering an additional margin payment of 175-225 basis points (bps) in a move that will substantially increase its borrowing costs. Ineos will now pay considerably more than the EUR80 million estimated cost of the original proposal, Reuters added. According to Reuters, if the waiver is passed, the company will pay 400 bps on its term loan A and revolving credit, 450 bps on its term loan B, 500 bps on its term loan C and 600 bps on its second lien loan. Ineos, Reuters recalled, also introduced a 5.25 times leverage test for the end of the year that has been adjusted to reflect customer destocking. Citing bankers close to the deal, Reuters disclosed Ineos' debt service covenant has been left in place and will be tested on March 2009. About INEOS Headquartered in Lyndhurst, Hampshire, INEOS Group Holdings plc -- http://www.ineos.com/-- is a global manufacturer of petrochemicals, specialty chemicals and oil products. It comprises 18 businesses each with a major chemical company heritage. Its production network spans 70 manufacturing facilities in 14 countries throughout the world. It has 16,000 employees. * * * As reported in the TCR-Europe on Nov. 20, 2008, Moody's Investors Service downgraded the Corporate Family Rating of Ineos Group Holdings plc to B3 from B1, the senior first lien facilities were downgraded to B2 from Ba3, the second-lien facilities were downgraded to Caa2 from B3 and the senior guaranteed notes and legacy notes at Ineos Vinyls were downgraded to Caa2 from B3. As reported in the TCR-Europe on Nov. 20, 2008, Standard & Poor's Ratings Services lowered its long-term corporate credit ratings to 'B-' from 'B+' on United Kingdom-based Ineos, which includes Ineos Group Holdings PLC, Ineos Holdings Ltd., Ineos Vinyls Finance PLC, and Ineos Vinyls Ltd. S&P also lowered the issue ratings: -- To 'B' from'BB-' on the senior secured facilities issued by Ineos Holdings Ltd. The recovery rating on these facilities remains at '2', indicating S&P's expectation of substantial (70%-90%) recovery for senior secured lenders in the event of a payment default. -- To 'CCC' from 'B-' on Ineos Holding Ltd.'s second-lien bank loan. The '6' recovery rating on this loan remains unchanged, indicating S&P's expectation of negligible (0%- 10%) recovery for second-lien secured lenders in the event of a payment default. -- To 'CCC' from 'B-' on subordinated notes issued by Ineos Group Holdings PLC. The recovery rating on these notes remains at '6', indicating S&P's expectation negligible (0%-10%) recovery for noteholders in the event of a payment default. -- To 'CCC' from 'B-' on senior unsecured notes issued by Ineos Vinyls Finance PLC. The recovery rating remains at '6', indicating S&P's expectation negligible (0%-10%) recovery for noteholders in the event of a payment default. At the same time, S&P placed all the ratings on CreditWatch with negative implications. INEOS GROUP: S&P Keeps LT Corp. Credit Rating at B-; Outlook Neg. ----------------------------------------------------------------- Standard & Poor's Ratings Services said that it affirmed its 'B-' long-term corporate credit ratings on U.K.-based chemical group Ineos (which includes Ineos Group Holdings PLC, Ineos Holdings Ltd., Ineos Vinyls Finance PLC, and Ineos Vinyls Ltd., all rated the same). The outlook is negative. At the same time, S&P removed all ratings from CreditWatch, where they were placed with negative implication on Nov. 18, 2008, following Ineos' waiver request tied to its senior debt covenants. The recovery ratings on the debt are unchanged. The CreditWatch removal reflects the success of Ineos' covenant waiver request for fourth-quarter 2008 and first-quarter 2009. "However, this provides only short-term relief for the company and Ineos will have to renegotiate with its lenders in 2009 to agree on new financial covenants, as it is unlikely that the company will manage to comply with its financial covenants from second- quarter 2009," said S&P's credit analyst Lucas Sevenin. The environment for Ineos will remain very challenging in 2009, with weak economic growth, volatile raw material costs, and overcapacities for several petrochemical products. S&P also expect refining margins to be weak. These challenges and uncertainty on long-term financing conditions are reflected in the negative outlook, as further ratings deterioration is a clear risk. Standard & Poor's anticipates that Ineos' credit metrics will weaken in the last quarter of 2008, in 2009, and in 2010. "The negative outlook reflects our concerns given the various operating and financial risks Ineos faces in 2009," said Mr. Sevenin. The rating will come under pressure if the group fails to successfully renegotiate with lenders in April a new long-term covenant framework; if negotiations lead to substantial increases in interests costs; if after bleak demand in fourth-quarter 2008, an improvement does not appear in first-quarter 2009; or if S&P expects that cash burn is not going to be moderate in 2009, which could happen notably if interest costs materially increase and operating trends deteriorate. LADBROKES PLC: Taps Peter Erskine as New Chairman -------------------------------------------------- After eight years as Chairman Sir Ian Robinson has notified the Ladbrokes plc board of his intention to step down following the 2009 AGM, due to be held on May 15, 2009. Peter Erskine, former Chief Executive of O2 plc and board member of Telefonica SA, will join the board as a Non-Executive Director on January 1, 2009 and will take over as Chairman following the AGM. Under Sir Ian's Chairmanship Ladbrokes has achieved a significant increase in gross win, which has risen from over GBP500 million in 2000 to GBP1.3 billion in 2007. The company has also extended its retail presence to Italy and Spain and has established itself as a world-leading provider of online betting and gaming services. Christopher Bell, CEO of Ladbrokes plc, commented: "On behalf of the board I would like to thank Sir Ian for his valuable contribution over the past eight years. Peter Erskine's extensive international marketing background and experience of building brand-led businesses will be a big plus for the Company. He was responsible for the transformation of O2 plc -- the ex BT wireless business -- into a leading provider of mobile services in Europe and helped create considerable shareholder value. We are very pleased to welcome Peter Erskine to the board and as future Chairman." Peter Erskine commented: "Ladbrokes is a world leader in the global betting and gaming market and has clear opportunities for international growth, including through its market-leading interactive channels. I look forward to playing a role in the further development of the business." About Ladbrokes Headquartered in Watford, United Kingdom, Ladbrokes plc -- http://www.ladbrokesplc.com/-- engages in fixed odds betting. The company is comprised of Ladbrokes, the biggest retail bookmaker in the U.K. and Ireland, Ladbrokes.com, a world- leading provider of interactive betting and gaming services, Vernons, the leading football pools operator and Ladbrokes Casinos, which opened its first casino at the Hilton London Paddington in July 2006. * * * As reported in the TCR-Europe on Oct. 7, 2008, Moody's Investors Service placed the Ba2 corporate family rating and senior unsecured debt ratings of Ladbrokes plc and Ladbrokes Group Finance plc on review for possible downgrade. MARCHPOLE GROUP: Names Joint Administrators from Grant Thornton --------------------------------------------------------------- On Nov. 11, 2008, Martin Gilbert Ellis and Andrew Lawrence Hosking of Grant Thornton UK LLP were appointed joint administrators of: -- Marchpole Group Ltd., -- Marchpole Worldwide Ltd., -- Greenmark Ltd., -- Homebody Ltd., -- Minegoal Ltd., -- Tomasz Starzewski Menswear Ltd., -- Artpower Ltd., -- Marchpole (North America) Ltd., -- Glolite Ltd., and -- Marchpole Trading Ltd. The company can be reached at: 19-20 Berners Street London W1T 3LW England PETTIFER ESTATES: Goes Into Administration; 15 Jobs At Risk ----------------------------------------------------------- Nick Whitte at cnplus.co.uk reports that Pettifer Estates, the company behind plans for the GBP95 million Vertical Theme Park in Birmingham, has gone into administration. The administration is being handled by KPMG Restructuring, the report relates. KPMG, as cited by the report said there will be redundancies at the company, which employs 15 people. Based in Shipston-on-Stour, Warwickshire, Pettifer Estates specializes in the development of retail warehousing, edge of town schemes and the development of residential and mixed-use. It has offices in London and Glasgow. RIO TINTO: Guinea Gov't. Wants Northern Simandou Mine Relinquished ------------------------------------------------------------------ Bloomberg News reported that Rio Tinto Group has been ordered by the government of Guinea to hand over half of the country's Simandou deposit to a company controlled by Israeli diamond investor Beny Steinmetz. Rio Tinto Group confirmed in a statement it has received correspondence from the Guinean Minister of Mines which appears to indicate that the Council of Ministers has instructed the Ministry of Mines and Geology to effect a compulsory relinquishment of the northern half of the Simandou Mining Concession while confirming Rio Tinto's entitlement to the southern half of that Concession. According to Rio Tinto, it has been in active negotiation in good faith with the Government of Guinea since August 2008 following receipt of correspondence from the President of Guinea purporting to rescind the Simandou Mining Concession. Rio Tinto said it remains of the view that it has complied with all its obligations in relation to the Concession such that it is entitled to hold and retain the entire Concession, and will continue working in good faith with the Government of Guinea to seek to resolve this matter on that basis. As reported in the Troubled Company Reporter-Europe on Dec. 11, 2008, Rio Tinto plans to further reduce its net debt by US$10 billion by the end of 2009. The Group's net debt has reduced by US$3.2 billion in the period from June 30 to October 31, 2008 to US$38.9 billion. Bloomberg News related BHP Billiton abandoned its hostile US$66 billion bid for Rio Tinto plc on Nov. 25 citing Rio's debt and slumping demand for commodities. BHP Billiton, in a November 27 statement, confirmed its offer for Rio Tinto plc has lapsed and that, given the inter-conditionality of its offers for Rio Tinto plc and Rio Tinto Limited, its offer for Rio Tinto Limited has also lapsed. Rio Tinto disclosed total capital expenditure for the Group in 2009 is forecast to reduce from over US$9 billion to US$4 billion, of which US$2 billion will be sustaining capital expenditure. There will be impacts on projects across the board and stakeholder engagements are currently underway. Some projects will be canceled and others deferred until markets recover, the Group said. To further reduce costs, Rio Tinto will be cutting its global headcount by 14,000, comprising 8,500 contractor jobs and 5,500 employee roles, will consolidate offices around the Group, including its London head office and will accelerate outsourcing and off-shoring of IT and procurement in 2009. About Rio Tinto Rio Tinto -- http://www.riotinto.com/-- is an international mining group headquartered in the UK, combining Rio Tinto plc, a London and NYSE listed public company, and Rio Tinto Limited, which is a public company listed on the Australian Securities Exchange. Rio Tinto's business is finding, mining, and processing mineral resources. Major products are aluminium, copper, diamonds, energy (coal and uranium), gold, industrial minerals (borax, titanium dioxide, salt, talc) and iron ore. Activities span the world but are strongly represented in Australia and North America with significant businesses in South America, Asia, Europe and southern Africa. SMART PLUMBING: Appoints Joint Liquidators from Tenon Recovery -------------------------------------------------------------- S. J. Parker and T. J. Binyon of Tenon Recovery were appointed joint liquidators of Smart Plumbing And Drainage Ltd. on Dec. 1, 2008, for the creditors' voluntary winding-up proceeding. The company can be reached through Tenon Recovery at: Sherlock House 73 Baker Street London W1U 6RD England =============== X X X X X X X X =============== * S&P Puts Low-B Ratings on Three Leveraged Super Senior Notes -------------------------------------------------------------- Standard & Poor's Ratings Services lowered its credit ratings on 9 loss-based leveraged super senior secured credit-linked notes issued by Chess II Ltd., Claris Ltd., Iris SPV PLC, STARTS (Cayman) Limited, and STARTS (Ireland) PLC. At the same time, S&P removed from and placed on CreditWatch negative certain of these notes. The rating actions follow recent credit events and S&P's downgrades of assets in the underlying reference portfolios. These factors have, in S&P's opinion, increased the probability that the portfolio loss triggers for the transactions will be breached. Accordingly, S&P has lowered the ratings to a level S&P believes is consistent with the transactions' loss probability. S&P ratings on loss-based transactions factor in the credit risk associated with the reference portfolio. Losses on the underlying reference portfolio may lead to a breach of the loss trigger, which may cause the transaction to unwind. S&P assess the likelihood of breaching the attachment point as well as the probability of breaching a loss trigger when assigning a rating to a loss-based transaction. Ratings List Ratings Lowered and Placed on Creditwatch Negative Iris SPV PLC EUR49.5 Million Leveraged Floating-Rate Credit-Linked Notes Series 04/2006 Rating ------ To From -- ---- A-/Watch Neg AAA STARTS (Ireland) PLC EUR55 Million Leveraged Super Senior Credit-Linked Notes Series 2007-11 Rating ------ To From -- ---- BB+/Watch Neg BBB+ Ratings Lowered and Removed from Creditwatch Negative Chess II Ltd. EUR10 Million Secured Leveraged Super Senior Credit-Linked Notes Series 35 Rating ------ To From -- ---- B+ A+/Watch Neg Chess II Ltd. EUR15 Million Secured Leveraged Super Senior Credit-Linked Notes Series 36 Rating ------ To From -- ---- B+ A+/Watch Neg Chess II Ltd. EUR50 Million Secured Leveraged Super Senior Credit-Linked Notes Series 37 Rating ------ To From -- ---- BBB A/Watch Neg Ratings Lowered Claris Ltd. EUR47 Million Leveraged Floating-Rate Credit-Linked Notes Series 57/2005 Rating ------ To From -- ---- AA AAA STARTS (Cayman) Limited $600 Million Leveraged Super Senior Credit-Linked Fixed-Rated Notes Series 2007-31 Rating ------ To From -- ---- A- AAA STARTS (Cayman) Limited US$135 Million Leveraged Super Senior Credit-Linked Fixed-Rate Notes Series 2007-36 Rating ------ To From -- ---- AA+ AAA STARTS (Ireland) PLC US$425 Million Leveraged Super Senior Credit-Linked Fixed-Rate Notes Series 2008-1 Rating ------ To From -- ---- BBB- AAA * S&P: Credit Conditions Deteriorating for EU Leveraged Companies ----------------------------------------------------------------- Credit conditions are deteriorating for leveraged companies in Europe, according to an article published by Standard & Poor's Ratings Services. There has been a downward rating migration both for S&P's publicly rated credits and its portfolio of credit estimates during 2008. The 'ccc' credits have grown to 5.2% of S&P's private portfolio in mid-November from 1.6% at the end of 2007. For S&P's publicly rated companies in Europe, Middle East, and Africa, credits in 'CCC' categories now comprise 8.8% of S&P's publicly rated speculative-grade industrial ratings in Europe, compared with 3.3% at year-end 2007. Downgrades have accelerated in both groups of credit estimates and public ratings. For example, for the private CEs, since June 2008, downgrades were 7.5% of the total, but upgrades were 2.2%. In the previous six months, downgrades comprised 7% of the total, and upgrades were about 5%. For publicly rated credits in Europe, since June 2008, downgrades comprised 16% and upgrades were 5%. However, the previous six months included 7% each of upgrades and downgrades. "This shows two things: first, that private CEs and public ratings share a similar rate of downgrades to upgrades; and second, that for the months between June and November 2008, downgrades for both groups occurred at a much higher rate than in the previous year," said S&P's research analyst Taron Wade. "During those five months, for both companies with private CEs and those with public ratings, there were three times more downgrades than upgrades. The previous year, the ratio of downgrades to upgrades was about 1.6 times higher for companies with credit estimates and about equal for publicly rated companies." At the end of last year and into the first half of 2008, fundamental operating conditions for highly leveraged companies remained relatively benign, which has been borne out in a low private loan 12-month default rate (1.55%) to June 2008 in Europe. This is reflected in S&P's study on performance of leveraged buyouts, which has shown that on average, companies experienced on-track performance relative to forecast for the end of 2007 and into the first half of 2008. Performance for the second half of 2008 is likely to be different. When S&P updates its LBO performance study to include third-quarter and year-end data early next year, S&P expects to see a deterioration in performance versus previous forecasts. Apart from public and private downgrades, S&P has already seen defaults accelerating in S&P's private portfolio of credits during the second half of 2008, which will be reflected in S&P's 2008 year-end default rate. S&P has also seen an increase in covenant breaches. For the 12 months to Oct. 30, 2008, S&P found there were 38 covenant breaches, waiver requests, or related restructurings, compared with 18 in the previous 12 months -- an increase of over 100%. In addition, the time from financing to experiencing problems with covenant tests has decreased dramatically in 2007 and 2008, compared with 2006. * Credit Unions to Extend US$10 Billion in Loans to Detroit 3 ------------------------------------------------------------- Sharon Terlep at The Wall Street Journal reports that a group of 1,300 credit unions have pledged to extend about US$10 billion in auto loans. According to WSJ, the credit unions are aiming to win new borrowers while providing General Motors Corp., Ford Motor Co., and Chrysler LLC financial assistance. Tom Henderson at Crain's Detroit Business relates that GM and the Michigan Credit Union League said on Dec. 10 that a consortium of credit unions in Michigan, Ohio, Indiana, and Illinois have agreed to provide up to US$10 billion to finance the sale of new GM vehicles through June 2009, in exchange for supplier discounts from GM to more than 12 million credit union members in the Midwest. According to a statement posted at Lovemycreditunion.org, credit union members will be able to get an additional US$250 bonus cash between Dec. 10, 2008 and Jan. 5, 2009, on their eligible new GM vehicle purchase. The GM price discount program includes these brands: Buick, Cadillac, Hummer, Saab, Chevrolet, GMC, Saturn, and Pontiac. The program runs from Dec. 8, 2008, through June 30, 2009. WSJ relates that the credit union group said that it's working with Ford Motor Co. and Chrysler LLC on a similar arrangement. * BOND PRICING: For the Week Dec. 8 to Dec. 12, 2008 ---------------------------------------------------- Issuer Coupon Maturity Currency Price ------ ------ -------- -------- ----- BELGIUM ------- Barry Calle SVCS 6.000 07/13/17 EUR 73.68 CYPRUS ------ Abh Financial Lt 8.200 06/25/12 USD 59.97 Alfa MTN Invest 9.250 06/24/13 USD 58.04 FRANCE ------ Alcatel S.A. 4.750 01/01/11 EUR 13.07 6.380 04/07/14 EUR 70.08 Altran Technologies S.A. 3.750 01/01/09 EUR 12.87 Axa SA 8.600 12/15/30 USD 64.03 Calyon 6.000 06/18/47 EUR 54.14 Credit Agricole 3.750 10/20/20 EUR 72.28 4.050 12/22/20 EUR 74.47 Soc Air France 2.750 04/01/20 EUR 18.02 Wavecom S.A. 1.750 01/01/14 EUR 24.31 GERMANY ------- Bayer AG 5.000 07/29/2105 EUR 74.15 HUNGARY ------- Agrokor 7.000 11/23/11 EUR 70.55 IRELAND ------- Allied Irish Bks 5.250 03/10/25 GBP 74.56 5.630 11/29/30 GBP 69.08 Ardagh Glass 7.130 06/15/17 EUR 64.25 Banesto Finance Plc 6.120 11/07/37 EUR 6.12 LUXEMBOURG ---------- Acergy SA 2.250 10/11/13 USD 60.63 AK Bars Bank 8.250 06/28/10 USD 96.93 9.250 06/20/11 USD 96.60 Alrosa Finance 8.880 11/17/14 USD 57.82 Bank of Moscow 7.340 05/13/13 USD 61.98 7.500 11/25/15 USD 39.95 6.810 05/10/17 USD 36.30 Beverage Pack 8.000 12/15/16 EUR 54.21 9.500 06/15/17 EUR 38.21 NETHERLANDS ----------- ABN Amro Bank N.V. 6.000 03/16/35 EUR 80.03 Aegon N.V. 6.130 12/15/31 GBP 72.57 Air Berlin Finance B.V. 1.500 04/11/27 EUR 20.08 Alfa Bk Ukraine 9.750 12/22/09 USD 60.92 ALB Finance B.V. 8.750 04/20/11 USD 47.54 7.880 02/01/12 EUR 36.39 ASM International N.V. 4.250 12/06/11 USD 63.79 4.250 12/06/11 USD 59.00 ASML Holding N.V. 5.750 06/13/17 EUR 59.51 Astana Finance 7.880 06/08/10 EUR 98.61 9.000 11/16/11 USD 95.19 ATF Capital BV 9.250 02/21/14 USD 57.78 BK Ned Gemeenten 0.500 06/27/18 CAD 67.57 Centercrdt Intl 8.000 02/02/11 USD 54.87 8.630 01/30/14 USD 38.41 8.630 01/30/14 USD 38.76 Hit Finance B.V. 4.880 10/27/21 EUR 74.34 RUSSIA ------ Sistema Capital 8.880 01/28/11 USD 67.15 SPAIN ----- Auvisa 4.790 12/15/27 EUR 65.09 UNITED KINGDOM -------------- Alfa-Bank CJSC 12.000 08/11/11 USD 62.46 Amlin Plc 6.500 12/19/26 GBP 65.89 Anglian Water Finance Plc 2.400 04/20/35 GBP 46.43 Aspire Defence 4.670 03/31/40 GBP 61.56 4.670 03/31/40 GBP 1.24 Aviva Plc 5.250 10/02/23 EUR 75.32 6.880 05/22/38 EUR 63.87 6.880 05/20/58 GBP 78.68 Barclays Bank Plc 11.650 05/20/10 USD 60.50 5.600 02/22/21 USD 74.48 Beazley Group 7.250 10/17/26 GBP 65.35 BL Super Finance 4.480 10/04/25 GBP 75.03 British Airways Plc 8.750 08/23/16 GBP 81.08 British Land Co 5.010 09/24/35 GBP 74.38 Broadgate Finance Plc 4.850 04/05/31 GBP 81.84 5.100 04/05/33 GBP 65.01 CGNU Plc 6.130 11/16/26 GBP 69.91 ********* 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. 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