TCREUR_Public/090127.mbx         T R O U B L E D   C O M P A N Y   R E P O R T E R

                           E U R O P E

          Tuesday, January 27, 2009, Vol. 10, No. 18

                            Headlines

A U S T R I A

A. KERN LLC: Claims Registration Period Ends February 16
CONCEPT-INVEST LIMITED: Claims Registration Period Ends Feb. 18
GERHARD GALLY: Claims Registration Period Ends February 10
HORST STARKL: Claims Registration Period Ends February 25
IGISA LLC: Claims Registration Period Ends February 10

IGISA TELEMATIK: Claims Registration Period Ends February 10
MOERTL LLC: Claims Registration Period Ends February 25
SLOT EXPRESS: Claims Registration Period Ends February 11


B E L G I U M

PICANOL NV: Cutting Global Personnel Costs by 20%


F R A N C E

COMPOBAIE: Platina Partners Acquires Assets from French Courts
REMY COINTREAU: Turnover for Nine Months Ended December 31 Up 0.9%


G E R M A N Y

A1 CONCEPT: Claims Registration Period Ends February 27
AWEGS EXCELLENCE: Claims Registration Period Ends February 18
CALL AGENCY: Claims Registration Period Ends March 5
CONTINENTAL AG: Schaeffler Takes 4 Supervisory Board Seats
NUBRO GMBH: Claims Registration Period Ends February 26

PHOENIX PHARMAHANDEL: May be Sold for EUR6BB, Bloomberg News Says
PLANUNG AND PROJEKTE: Claims Registration Period Ends Feb. 19
QIMONDA AG: Commences Insolvency Proceedings in Germany
UNIWER GMBH: Claims Registration Period Ends February 20


I R E L A N D

GERKROS BOILER: Goes Into Liquidation; 75 Jobs Affected
SANDHOUSE HOTEL: Goes Into Voluntary Liquidation
STARLING FINANCE: S&P Withdraws 'BB' Rating on EUR50 Mil. Notes


I T A L Y

TISCALI SPA: Balks at Citigroup's Report, Mulls Action


K A Z A K H S T A N

ALEK S LLP: Proof of Claim Deadline Slated for February 27
DEUIR LLP: Creditors Must File Claims by February 27
EREKE LLP: Claims Filing Period Ends February 27
KAMEYA-2 LLP: Creditors' Claims Due on February 27
ORDA-NT LTD: Claims Registration Ends February 27

RICH TRADE: Proof of Claim Deadline Slated for February 27
SAK-2008 LLP: Claims Filing Period Ends February 27
TASKYN LLP: Creditors' Proof of Claims Due on February 27
TECHNOS PLUS: Claims Registration Ends February 27
VARIANT-TECHNOLOGY LLP: Proof of Claim Deadline Slated for Feb. 27


K Y R G Y Z S T A N

TRANS LIZING: Creditors Must File Claims by February 24


L I T H U A N I A

FLYLAL: Files for Bankruptcy


N E T H E R L A N D S

ELM BV: S&P Raises Credit Rating on 35 Senior Notes from 'CCC'
EUROSAIL-NL2007-1: S&P Affirms 'BB' Rating on Class E1 Notes


P O R T U G A L

BPN SGPS: Fitch Withdraws 'F' Individual Rating


R U S S I A

ALTAYSKIY TRACTOR: Creditors Must File Claims by February 16
ARGOS LLC: Creditors Must File Claims by February 16
CHAPLYGINSKIY ASSEMBLY: Lipetsk Bankruptcy Hearing Set April 4
GORKOVSKIY METALLURGIC: Creditors Must File Claims by Feb. 16
KHAKASSKIY FISH: Creditors Must File Claims by February 16

NOVOCHEBOKSARSKIY STROY: Creditors Must File Claims by March 16
PROKHLADNENSKIY WALLING: Creditors Must File Claims by Feb. 16
STROY-INVEST CJSC: Creditors Must File Claims by Feb. 16
YARANSKIY MECHANICAL: Creditors Must File Claims by Feb. 16
ZARECHENSKIY LLC: Creditors Must File Claims by March 16


S P A I N

BANCAJA 7: S&P Affirms 'BB' Rating on Class D Notes
SANTANDER EMPRESAS: S&P Cuts Ratings on Class E Notes to Low-B


S W I T Z E R L A N D

ABANTIS LLC: Creditors Must File Proofs of Claim by February 28
BECK ANLIKER: Deadline to File Proofs of Claim Set March 1
INISMOR LLC: Creditors Have Until March 31 to File Claims
MAXINVEST LLC: Proof of Claim Filing Deadline Is April 15
OERLIKON CORP: Cutting Add'l 1,000 Jobs on Weak Textile Demand

RESTAURANT WANNBACHSCHLUCHT: Claim Filing Deadline Set April 15
SPORTDATA LLC: February 4 Set as Deadline to File Claims
ULRICH SCHWEIZER: February 28 Set as Deadline to File Claims
VITAL-ZONE LLC: Deadline to File Proofs of Claim Set Feb. 20
ZAUGG PARKETT: Creditors Have Until February 28 to File Claims


U K R A I N E

AGRICULTURAL SERVICE: Creditors Must File Claims by Feb. 7
AGRUMENT LLC: Creditors Must File Claims by February 7
BROK-INTERSERVICE LLC: Creditors Must File Claims by February 9
COMPANY UNIVERSAL: Creditors Must File Claims by February 7
KROSHENSKY CEMENT: Creditors Must File Claims by February 7

LUX GROUP: Creditors Must File Claims by February 7
SPEKTRTELECOM LLC: Creditors Must File Claims by February 7
SPEKTRTELESERVICE LLC: Creditors Must File Claims by February 7


U N I T E D   K I N G D O M

ADAMS CHILDRENSWEAR: 36 Stores Closed; 267 Jobs Affected
BUCKINGHAM REALISATIONS: Appoints Joint Administrators from PwC
DURHAM STRUCTURES: Appoints Joint Liquidators from PwC
EMPIRE DIRECT: Lacks Funds, Customers Won't Get Refund
ENTERPRISE INNS: Moody's Reviews 'Ba2' Rating for Possible Cut

GREENWOODS MENSWEAR: Sold to China's Bosideng; 500 Jobs Saved
GURNEY LTD: Names Joint Administrators from Grant Thornton
INDUS PLC: Fitch Puts 'BB' Rating on Class E to Negative Watch
INEOS GROUP: Reports Net Debt of EUR7.5 Million at Dec. 31, 2008
INEOS GROUP: Weak Market Conditions Cue S&P's Rating Cut to 'CCC'

LIBRARY HOUSE: Sold by Administrators
MONKTON HOMES: Taps Joint Administrators from Deloitte LLP
OAKDENE HOMES: Placed In Administration; 40 Jobs at Risk
SOFA WORKSHOP: Goes Into Administration
SOUTHERN PACIFIC: S&P Affirms 'B' Rating on Class E Notes

SOUTHERN ROCK: S&P Changes Outlook to Stable; Affirms 'BB' Rating
WINDERMERE VIII: Fitch Maintains 'BB' Rating on Class E Notes

* UK: Pwc Says Ailing Retailers Closing More than 2 in 5 Stores
* S&P Takes Rating Actions on 255 European Synthetic CDO Tranches
* Fitch Reports Negative Outlook for European Investment Companies
* Fitch Says Outlook for European Building Companies Is Negative
* Fitch Reports Negative Outlook for EMEA Chemical Companies

* Large Companies with Insolvent Balance Sheet


                         *********


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


A. KERN LLC: Claims Registration Period Ends February 16
--------------------------------------------------------
Creditors owed money by LLC A. Kern (FN 245220v) have until
Feb. 16, 2009, to file written proofs of claim to the court-
appointed estate administrator:

         Dr. Norbert Scherbaum
         LLC Scherbaum/Seebacher Rechtsanwalte
         2nd. Floor
         Einspinnergasse 3
         8010 Graz
         Austria
         Tel: 0316/83 24 60
         Fax: 0316/83 24 60 - 20
         E-mail: office@scherbaum-seebacher.at

Creditors and other interested parties are encouraged to attend
the creditors' meeting at 9:00 a.m. on March 3, 2009, for the
examination of claims at:

         Graz Land Court
         Hall K
         Room 205
         Austria

Headquartered in Raaba, Austria, the Debtor declared bankruptcy on
Dec. 19, 2008, (Bankr. Case No. 40 S 70/08d).


CONCEPT-INVEST LIMITED: Claims Registration Period Ends Feb. 18
---------------------------------------------------------------
Creditors owed money by Concept-Invest Limited have until Feb. 18,
2009, to file written proofs of claim to the court-appointed
estate administrator:

         Dr. Ilse Korenjak
         Gusshausstrasse 6
         1040 Wien
         Austria
         Tel: 512 21 02
         Fax: DW 20
         E-mail: office@buresch-korenjak.at

Creditors and other interested parties are encouraged to attend
the creditors' meeting at 10:30 a.m. on March 4, 2009, for the
examination of claims at:

         Trade Court of Vienna
         Room 1707
         Vienna
         Austria

Headquartered in Wien, Austria, the Debtor declared bankruptcy on
Dec. 22, 2008, (Bankr. Case No. 2 S 168/08f).


GERHARD GALLY: Claims Registration Period Ends February 10
----------------------------------------------------------
Creditors owed money by LLC Gerhard Gally (FN 141935d) have until
Feb. 10, 2009, to file written proofs of claim to the court-
appointed estate administrator:

         Dr. Florian Gehmacher
         Dr. Karl Lueger-Ring 12
         1010 Wien
         Austria
         Tel: 533 16 95
         Fax: 535 56 86
         E-mail: gehmacher@preslmayr.at

Creditors and other interested parties are encouraged to attend
the creditors' meeting at 9:00 a.m. on Feb. 24, 2009, for the
examination of claims at:

         Trade Court of Vienna
         Room 1606
         Vienna
         Austria

Headquartered in Vienna, Austria, the Debtor declared bankruptcy
on Dec. 22, 2008, (Bankr. Case No. 4 S 188/08m).


HORST STARKL: Claims Registration Period Ends February 25
---------------------------------------------------------
Creditors owed money by OHG Horst Starkl (FN 5505x) have until
Feb. 25, 2009, to file written proofs of claim to the court-
appointed estate administrator:

         Gerald Streibel
         LLC TPA Insolvenztreuhand
         Schwedengasse 2
         3500 Krems an der Donau
         Austria
         Tel: 02732/70280-80
         Fax: 02732/70280-9
         E-mail: insolvenz.krems@tpawt.com

Creditors and other interested parties are encouraged to attend
the creditors' meeting at 8:30 a.m. on March 11, 2009, for the
examination of claims at:

         Land Court of Krems an der Donau
         Hall A
         2nd. Floor
         Austria

Headquartered in Krems an der Donau, Austria, the Debtor declared
bankruptcy on Dec. 19, 2008, (Bankr. Case No. 18 S 75/08t).


IGISA LLC: Claims Registration Period Ends February 10
------------------------------------------------------
Creditors owed money by LLC Igisa (FN 196936m) have until Feb. 10,
2009, to file written proofs of claim to the court-appointed
estate administrator:

         Dr. Michael Lentsch
         Hauptplatz 31
         2700 Wiener Neustadt
         Austria
         Tel: 02622/27 0 41
         Fax: 02622/29246
         E-mail: office@kosch-partner.at

Creditors and other interested parties are encouraged to attend
the creditors' meeting at 11:00 a.m. on Feb. 24, 2009, for the
examination of claims at:

         Land Court of Wiener Neustadt
         Room 15
         Wiener Neustadt
         Austria

Headquartered in Wiener Neustadt, Austria, the Debtor declared
bankruptcy on Dec. 19, 2008, (Bankr. Case No. 11 S 130/08s).


IGISA TELEMATIK: Claims Registration Period Ends February 10
------------------------------------------------------------
Creditors owed money by LLC Igisa Telematik (FN 196936m) have
until Feb. 10, 2009, to file written proofs of claim to the court-
appointed estate administrator:

         Dr. Michael Lentsch
         Hauptplatz 31
         2700 Wiener Neustadt
         Austria
         Tel: 02622/27 0 41
         Fax: 02622/29246
         E-mail: office@kosch-partner.at

Creditors and other interested parties are encouraged to attend
the creditors' meeting at 11:20 a.m. on Feb. 24, 2009, for the
examination of claims at:

         Land Court of Wiener Neustadt
         Room 15
         Wiener Neustadt
         Austria

Headquartered in Wiener Neustadt, Austria, the Debtor declared
bankruptcy on Dec. 19, 2008, (Bankr. Case No. 11 S 130/08s).


MOERTL LLC: Claims Registration Period Ends February 25
-------------------------------------------------------
Creditors owed money by LLC Moertl (FN 116498x) have until
Feb. 25, 2009, to file written proofs of claim to the court-
appointed estate administrator:

         Wolfgang Mayrhofer
         Raiffeisenpromenade 2
         3830 Waidhofen/Thaya
         Austria
         Tel: 02842/52005-0
         Fax: 02842/52005-50
         E-mail: waidhofen@wvanwalt.at

Creditors and other interested parties are encouraged to attend
the creditors' meeting at 9:15 a.m. on March 11, 2009, for the
examination of claims at:

         Land Court of Wiener Neustadt
         Hall A
         2nd. Floor
         Wiener Neustadt
         Austria

Headquartered in Bodensdorf am Ossiacher See, Austria, the Debtor
declared bankruptcy on Dec. 19, 2008, (Bankr. Case No. 9 S
68/08k).


SLOT EXPRESS: Claims Registration Period Ends February 11
---------------------------------------------------------
Creditors owed money by LLC Slot Express (FN 60965f) have until
Feb. 11, 2009, to file written proofs of claim to the court-
appointed estate administrator:

         Dr. Michael Zsizsik
         Hauptplatz 23
         8600 Bruck an der Mur
         Austria
         Tel: 03862-51317
         Fax: 03862-53797
         E-mail: info@zsizsik.at

Creditors and other interested parties are encouraged to attend
the creditors' meeting at 12:15 p.m. on Feb. 25, 2009, for the
examination of claims at:

         Land Court of Leoben
         Hall IV
         Leoben
         Austria

Headquartered in 8600 Bruck/Mur, Austria, the Debtor declared
bankruptcy on Dec. 18, 2008, (Bankr. Case No. 18 S 75/08t).


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


PICANOL NV: Cutting Global Personnel Costs by 20%
-------------------------------------------------
Reuters reports Picanol NV will be slashing global personnel costs
by about 20 percent by the end of 2009 and is hoping to sell or
close its reed shop operations due to drastic drop in demand for
new weaving machines since the second quarter of 2008.

According to the report, the plan could involve 115 layoffs at the
company's operations in the Belgian town of Ypres, which employs
1,350 people, and cutting around 80 staff at plants in Germany and
Te Stake Textile in the Netherlands.  Picanol employs a total of
2,200 people worldwide, the report notes.

"The Picanol Group recognizes that these cost-saving measures are
drastic, but is convinced that it can safeguard the long-term
position of its activities in this manner," the company said in a
statement obtained by Reuters.

Headquartered in Ieper, Belgium, Picanol NV (EBR:PIC) --
http://www.picanolgroup.com/-- is engaged in the development,
production and sale of weaving machines and other related
technologies for the textile industry.  The company is divided
into two divisions: OEM Business and Weaving Machines.  The OEM
Business division develops, produces and sells technological
components, services and mechatronical system solutions for
original equipment manufacturers in the textile industry.  The
Weaving Machines division is active in the development, production
and sale of weaving machines and also provides after sales
services and products for weaving machines.  It supplies two kinds
of weaving machines: air jet or air weaving machines and gripper-
weaving machines.  Additionally, the company also offers software
applications, trainings and consultancy services in order to
improve the production processes.


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


COMPOBAIE: Platina Partners Acquires Assets from French Courts
--------------------------------------------------------------
Platina Partners LLP, a private equity fund advisor specializing
in renewable energy and buyouts in turnaround situations, has
purchased Compobaie's assets from the French courts, thereby
forming Compobaie Solutions SAS.

Compobaie is a producer of pre-fabricated window units for
residential housing.  The value of the acquisition was
undisclosed.

Headquartered in Marssac, South West France, Compobaie
manufactures high quality ready-tolay one-block windows including
frame, joinery, and closure for the French housing market.  In
2007, the company had 10 production sites employing 300 people in
France, with a EUR35 million turnover.  Its core product, the
ready-to-lay window, provides significant benefits for
housebuilders because of increased insulation and conformity with
new housing regulations.

The firm had expanded quickly, however, the contraction of the new
housing market in France in 2008 caused the company to incur
substantial losses, and it sought protection from its creditors in
July 2008.  The company went into administration on November 25,
2008.

Platina's investment strategy will be to refocus the business on
its core regions in South West France, where the firm has
significant market penetration.  Production will continue from
four sites in South West France, maintaining 165 jobs and
continuing to meet the needs of Compobaie's clients.

Platina believes this strategy will enable the business to weather
the ongoing downturn in the construction market and to return it
to profit.

Fabien Castello, managing partner at Platina Partners, said: "We
believe this is an exciting investment opportunity to demonstrate
our turnaround skills.  We will provide the investment and
management expertise that are needed to turn Compobaie into a
profitable business.  Platina has a first rate track record in
transforming distressed businesses and we implement a strategy
that will allow the business to thrive.  Compobaie boasts a window
product that is well regarded by the house building industry
the business went wrong by expanding too quickly and what is
needed now is a focus on its core market regions."


REMY COINTREAU: Turnover for Nine Months Ended December 31 Up 0.9%
------------------------------------------------------------------
Remy Cointreau's consolidated turnover was EUR604.5 million for
the first nine months of the financial year, reflecting organic
growth of 0.9% for the Group's own brands and an overall decline
of -1.0%.

Growth in China and South-East Asia since the start of the year
offset the effects of the global economic slowdown and destocking
by wholesalers, particularly in the US and Russia.

Divisional analysis:

           9 months        9 months     Published       Organic
          to 31.12.08     to 31.12.07    growth         growth
                                           %              %

(EUR millions)


Cognac       271.4            269.5        +0.7          +4.2
Liqueurs
& Spirits    158.6            164.4        (3.5)         (1.3)
Champagne    113.8            121.7        (6.5)         (3.5)

Sub-total    543.8            555.6        (2.1)         +0.9

Partner
brands        60.7             75.3       (19.4)         (14.9)

Total        604.5            630.9        (4.2)          (1.0)

* on a like-for-like basis

                          Cognac

Remy Martin continued to report organic sales growth of 4.2%, with
differences between markets.  The continuing favorable trend in
China (superior categories) offset the slowdown recorded in the
US.  The situation was more of a contrast in Europe: the Russian
market suffered from the reductions in market inventory due to
wholesalers' lack of cash, but Germany and France achieved
sustained growth.  The trend remained good for global travel
retail.

                       Liqueurs & Spirits

Metaxa, Passoa and Mount Gay Rum continued to expand in their
respective markets.  The slowdown in sales of Cointreau, already
observed in the first half-year, continued in the US and Japan.
The brand performed well in France.

                          Champagne

The Group's champagne brands performed satisfactorily given the
current state of the international market.  The Q3 decline must be
put into perspective against the strong 16.5% growth achieved in
the same quarter of 2007.  The US had a difficult year end,
whereas the situation was quite different across Europe: sales in
France and Benelux were not offset by the better performances in
Germany and the UK.

                       Partner Brands

The relative size of this distribution business, primarily
operating in the US, continued to decline due to the planned
cessation of two distribution contracts (Russian vodka and
Californian wines).

Against this exceptional economic background, Remy Cointreau
resolutely continued to implement its policy of increasing prices
and improving the product mix.  The temporary additional costs due
to the exit from Maxxium and the establishment of the new
distribution network (as previously stated), as well as the
current market conditions, must be taken into account for the
operating profit of the 2008/09 financial year at the end of
March.  Therefore the Group anticipates a decline of around 15% in
its current operating profit, at constant exchange rates, compared
with the previous financial year, but with a significantly lower
impact on its published net profit.

For the future, the Group aims to recover the growth in organic
profitability, resuming the positive trend of the past four years.

Headquartered in Cognac, France, Remy Cointreau --
http://www.remycointreau.com/-- offers a range of premium wine
and spirit brands, known and recognized throughout the world.
These brands include, among others, Remy Martin, Cointreau,
Passoa, Metaxa, Mount Gay Rum, Charles Heidsieck and Piper-
Heidsieck.

                          *     *     *

Remy Cointreau S.A. continues to carry 'BB-' long-term corporate
credit and senior unsecured debt ratings from Standard & Poor's
Ratings Services.


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


A1 CONCEPT: Claims Registration Period Ends February 27
-------------------------------------------------------
Creditors of A1 Concept GmbH have until Feb. 27, 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 March 24 2009, at which time the
insolvency manager will present his first report.

The meeting of creditors will be held at:

         The District Court of Muehldorf a. Inn
         Hall 112
         Innstrasse 1
         Muehldorf
         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:

         Hanns Poellmann
         Prannerstrasse 11
         80333 Muenchen
         Germany

The District Court opened bankruptcy proceedings against the
company on Jan. 7, 2009.  Consequently, all pending proceedings
against the company have been automatically stayed.

The Debtor can be reached at:

         A1 Concept GmbH
         Attn: Christian Wimmer and
               Frank Dura, Managers
         Leipziger Strasse 24
         04416 Markkleeberg
         Germany


AWEGS EXCELLENCE: Claims Registration Period Ends February 18
-------------------------------------------------------------
Creditors of Awegs Excellence GmbH have until Feb. 18, 2009, to
register their claims with court-appointed insolvency manager.

Creditors and other interested parties are encouraged to attend
the meeting at 9:45 a.m. on March 23, 2009, at which time the
insolvency manager will present his first report.

The meeting of creditors will be held at:

         The District Court of Ingolstadt
         Meeting Room 28 I
         Schrannenstr. 3
         85049 Ingolstadt
         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:

         Joachim Exner
         Stahlstrasse 17
         90411 Nuernberg
         Germany
         Tel: 0911/95 12 850
         Fax: 0911/95 12 8510

The District Court opened bankruptcy proceedings against the
company on Jan. 8, 2009.  Consequently, all pending proceedings
against the company have been automatically stayed.

The Debtor can be reached at:

         Awegs Excellence GmbH
         Attn: Andreas Ebell genannt Schulte, Manager
         Hohe-Schul-Str. 3
         85049 Ingolstadt
         Germany


CALL AGENCY: Claims Registration Period Ends March 5
----------------------------------------------------
Creditors of Call Agency West Verwaltungsgesellschaft mbH have
until March 5, 2009, to register their claims with court-appointed
insolvency manager.

Creditors and other interested parties are encouraged to attend
the meeting at 10:45 a.m. on April 1, 2009, at which time the
insolvency manager will present his first report.

The meeting of creditors will be held at:

         The District Court of Cologne
         Meeting Hall 1240
         Luxemburger Strasse 101
         50939 Cologne
         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:

         Carsten Koch
         Gustav-Heinemann-Ufer 54
         50968 Koeln
         Germany
         Tel: (0221) 78 88 88-10
         Fax: (0221) 78 88 88 11

The District Court opened bankruptcy proceedings against the
company on Jan. 6, 2009.  Consequently, all pending proceedings
against the company have been automatically stayed.

The Debtor can be reached at:

         Call Agency West Verwaltungsgesellschaft mbH
         Attn: Franz Vit, Manager
         Fischbachstr. 51
         50127 Bergheim
         Germany


CONTINENTAL AG: Schaeffler Takes 4 Supervisory Board Seats
----------------------------------------------------------
Continental AG and Schaeffler Group agreed that the Schaeffler
Group will receive four Supervisory Board seats, as foreseen
within the mutual investor agreement.

The Schaeffler Group has proposed Maria-Elisabeth Schaeffler,
Georg Schaeffler, Juergen Geissinger and Rolf Koerfer as their
candidates.

Rolf Koerfer will run for the position of chairman and Hubertus
von Gruenberg will continue to be a member of the Supervisory
Board.

At the Annual Shareholders' Meeting on April 23, all members of
the Supervisory Board will be up for regular re-election.  In
addition to the four members of the major shareholder, the
Schaeffler Group, the nomination committee will name six further
candidates for election.  The nomination committee, which in the
future will consist of four members, will also include two
delegates from the Schaeffler Group.

Meanwhile, Dr. Alan Hippe has resigned as member of Continental
AG's Executive Board effective February 28, 2009, by mutual
agreement.  His succession will be appointed in the coming weeks,
the company said in a Jan. 24 statement.

Dr. Hippe is a member of the Continental AG's Executive Board
since June 2002 and, as CFO, is responsible for the areas of
Finance, Controlling, IT and Law.  In addition to his function as
CFO, Dr. Hippe is heading the North American tire operations since
June 2005.  Dr. Hippe is responsible for the Passenger and Light
Truck Tires division since April 2008, and in September 2008 he
was appointed Vice Chairman of the Executive Board.

                            Financing

The Financial Times reports that Schaeffler and Continental are in
talks with the regional governments of their home states about a
possible bail-out as they struggle under a combined debt of EUR22
billion (US$29 billion).

The governments of Lower Saxony and Bavaria are in talks with
Continental and Schaeffler over state aid packages, the report
states citing bankers close to the two companies.

However, the report says the talks are still at a very early stage
and it remains unclear whether they will lead to any favorable
result.

According to the report, Schaeffler is saddled with a debt load of
more than EUR10 billion after its EUR12.1 billion takeover of
Continental, which closed this month.

As reported in the Troubled Company Reporter-Europe on Dec. 29,
2008, the European Commission cleared under the EU Merger
Regulation the proposed acquisition of Continental by Schaeffler.

The FT relates Continental recently managed to refinance its
EUR11.8 billion loan.

Continental AG said nearly all of its more than 50 lender banks
approved the company's financing proposals.

The company currently has liquidity exceeding EUR3.5 billion in
cash, cash equivalents and unused credit lines, Dr. Hippe said.

                     Division of Operations

Continental will divide its operations into two divisions, with
tire and rubber plants in northern Germany and auto parts plants
in the south, The Associated Press reports.

                       About Schaeffler KG

Germany-based Schaeffler KG a.k.a Schaeffler Group --
http://www.schaeffler.com/-- manufactures a vast array of
bearings, from cylindrical roller bearings to needle roller
bearings, used in the aerospace, automotive, machine tool, and
semiconductor industries.  Its three main brands are INA, FAG, and
LuK, and though the entities are treated separately within the
company, they also work collaboratively on specific product
development.  The company is owned by Maria-Elisabeth Schaeffler,
the widow of a co-founder, and her son, Georg F. W. Schaeffler

                      About Continental AG

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.

                          *     *     *

As reported in the TCR-Europe on Dec. 17, 2008, Fitch Ratings
downgraded Continental AG's Long-term Issuer Default and senior
unsecured ratings to 'BB+' from 'BBB-' (BBB minus) and its Short-
term IDR to 'B' from 'F3'.  The Long-term IDR and senior unsecured
ratings have been placed on Rating Watch Negative.


NUBRO GMBH: Claims Registration Period Ends February 26
-------------------------------------------------------
Creditors of Nubro GmbH have until Feb. 26, 2009, to register
their claims with court-appointed insolvency manager.

Creditors and other interested parties are encouraged to attend
the meeting at 8.30 a.m. on March 10, 2009, at which time the
insolvency manager will present his first report.

The meeting of creditors will be held at:

         The District Court of Wuerzburg
         Room 14
         Second Stock
         Tiepolostr. 6
         Wuerzburg
         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:

         Bildl & Pongratz
         Woerthstr. 17
         97318 Kitzingen
         Germany

The District Court opened bankruptcy proceedings against the
company on Jan. 1, 2009.  Consequently, all pending proceedings
against the company have been automatically stayed.

The Debtor can be reached at:

         Nubro GmbH
         Attn: Bruno Fabris, Manager
         Georg-Mayr-Str. 1
         97828 Marktheidenfeld
         Germany


PHOENIX PHARMAHANDEL: May be Sold for EUR6BB, Bloomberg News Says
-----------------------------------------------------------------
Phoenix Pharmahandel AG may be put up for sale for as much as EUR6
billion (US$7.8 billion) to settle debts of its holding company,
Bloomberg News reports citing three people familiar with the
talks.

The German drug wholesaler's holding company, VEM
Vermoegensverwaltung GmbH, amassed about EUR5 billion in debt, and
its owner-founder, the Merckle family, agreed to sell assets as
part of an agreement with lenders consisting more than 30 banks,
the report discloses.

Sources told Bloomberg News the holding company is in early talks
with investment banks pitching to sell the unit for EUR4 billion
to EUR6 billion and two advisers may be picked once a trustee to
manage the family's assets is named in coming weeks.

The Merckles may sell other assets, including generic-drug maker
Ratiopharm GmbH and a stake in HeidelbergCement AG, to raise cash,
the report adds.

Phoenix Pharmahandel AG a.k.a Phoenix Pharmahandel
Aktiengesellschaft & Co KG -- http://www.phoenix-ag.de/-- is a
pharmaceutical wholesaler in Germany and in Europe, with a
presence in more than 20 countries.  It delivers some 100,000
products through around 150 offices across the continent.  The
company earns about half of its revenues in Europe.  The company
also provides pharmacy management services and runs an online
ordering system.  The company is majority-owned by Germany-based
Merckle Group, a pharmaceutical conglomerate.


PLANUNG AND PROJEKTE: Claims Registration Period Ends Feb. 19
-------------------------------------------------------------
Creditors of Planung and Projekte GmbH have until Feb. 19, 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 March 12, 2009, at which time the
insolvency manager will present his first report.

The meeting of creditors will be held at:

         The District Court of Duesseldorf
         Meeting Hall A 341
         Fourth Floor
         Muehlenstrasse 34
         40213 Duesseldorf
         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. Biner Bahr
         Graf-Adolf-Platz 15
         40213 Duesseldorf
         Germany

The District Court opened bankruptcy proceedings against the
company on Jan. 12, 2009.  Consequently, all pending proceedings
against the company have been automatically stayed.

The Debtor can be reached at:

         Planung and Projekte GmbH
         An der Butterwelle 26
         42579 Heiligenhaus
         Germany

         Attn: Titus Sandighpur, Manager
         Friedrich-Ebert-Str. 95
         42781 Haan
         Germany


QIMONDA AG: Commences Insolvency Proceedings in Germany
-------------------------------------------------------
Qimonda AG and Qimonda Dresden OHG have filed an application with
the local court in Munich, Germany, on January 23, 2009, to open
insolvency proceedings.  Their goal is to reorganize the companies
as part of the ongoing restructuring program.  The court appointed
Dr. Michael Jaffe, a lawyer specialized in insolvency law and
expert in restructuring, as preliminary insolvency administrator.

The Qimonda Management Board intends to restructure key business
units within the context of the insolvency regime.  "German
insolvency law offers the opportunity to accelerate the
restructuring process that has already been started in order to
reposition the company back onto a solid base," said Kin Wah Loh,
President and Chief Executive Officer of Qimonda AG.  Qimonda
possesses established products and, with its Buried Wordline
technology, is currently bringing a promising future technology to
the market.

The insolvency petition is the result of the massive drop in
prices in the DRAM industry and dramatically decreased access to
financing on the capital markets, both of which have led to the
deterioration of the financial position of Qimonda in recent
months.  A financing package involving the Free State of Saxony,
parent company Infineon, a leading Portuguese financial
institution and additional banks could not be completed in time,
despite intensive but also very complex negotiations and financial
support committed by customers over the past days and weeks.
Furthermore, an increased need for financing for the current
financial year recently became apparent as a consequence of the
price decline in the December quarter and the fact that important
investments needed for productivity improvements could not be made
due to the delay in negotiations.

The temporary insolvency administrator will analyze the situation
at Qimonda in the coming days.  "We assume we will be able to
continue our business within the context of our restructuring
program with the support of the temporary insolvency administrator
and our employees," Mr. Loh said.  "We are especially counting on
the excellent relationships with our customers and suppliers, with
whom we have made significant progress in developing our Buried
Wordline technology during the last months."

Qimonda already introduced a global restructuring and cost
reduction program in October in order to reposition the company.
The main focus of the program is to concentrate on core
competencies, such as the innovative Buried Wordline technology,
as well as the company's strong portfolio of infrastructure and
graphics products.

The sale of its stake in Inotera in November 2008 was another
important step, as this reduces exposure to the PC market and the
associated cash outflow going forward.  The ramp down of Qimonda's
200-mm production in Richmond (Virginia), USA and the backend
manufacturing for components and modules Dresden are on track.  In
addition, the company has consolidated its product development in
Munich and Xi'an, and has started to reduce headcount and its
administrative costs.

Qimonda has considerable potential for successful repositioning
thanks to its leading-edge and innovative Buried Wordline
technology, a strong product portfolio, particularly in the areas
of graphics and infrastructure, and more than 20,000 patents and
patent applications.  The Qimonda Management Board will do its
utmost, subject to the agreement of the preliminary insolvency
administrator, to secure the financial funds necessary for the
company's reorganization in negotiations with potential lenders
and investors.  Given Qimonda's technological strengths, the Board
sees good chances for success.

Qimonda AG's insolvency filing won't immediately cure the supply
glut in the global memory-chip market, and sales are likely to
keep falling this year as consumer demand dries up, Bloomberg News
said, citing research firm International Data Corp.  The supply
glut has worsened in recent weeks, even though companies have
moved to close factories, said Uche Orji, an analyst at UBS AG in
New York.

                        About Qimonda

Qimonda AG (NYSE: QI) -- http://www.qimonda.com/-- is a leading
global memory supplier with a diversified DRAM product portfolio.
The company generated net sales of EUR1.79 billion in financial
year 2008 and had -- prior to its announcement of a repositioning
of its business --  approximately 12,200 employees worldwide, of
which 1,400 were in Munich, 3,200 in Dresden and 2,800 in Richmond
(Virginia, USA).  The company provides DRAM products with a focus
on infrastructure and graphics applications, using its power
saving technologies and designs.  Qimonda is an active innovator
and brings high performance, low power consumption and small chip
sizes to the market based on its breakthrough Buried Wordline
technology.


UNIWER GMBH: Claims Registration Period Ends February 20
--------------------------------------------------------
Creditors of Uniwer GmbH Grundstuecksgesellschaft have until
Feb. 20, 2009, to register their claims with court-appointed
insolvency manager.

Creditors and other interested parties are encouraged to attend
the meeting at 3:10 p.m. on March 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 Potsdam
         Hall 24
         Justice Center
         Jagerallee 10 - 12
         14469 Potsdam
         Germany

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

The insolvency manager can be reached at:

         Dr. Christoph Schulte-Kaubruegger
         Genthiner Strasse 48
         10785 Berlin
         Germany

The District Court opened bankruptcy proceedings against the
company on Jan. 7, 2009.  Consequently, all pending proceedings
against the company have been automatically stayed.

The Debtor can be reached at:

         Uniwer GmbH Grundstuecksgesellschaft
         Attn: Niels Christian, Manager
         Bredower Strasse 26/ 26 A
         14612 Falkensee
         Germany


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


GERKROS BOILER: Goes Into Liquidation; 75 Jobs Affected
-------------------------------------------------------
Gerkros Boiler (Tipperary) has gone into liquidation, resulting to
the loss of 75 jobs, OilFiredUp.com reports.

The report says attempts to place the business into examinership
failed.

Barry Forrest of Dunshauglin Co. Meath based insolvency
practitioners Forrest Lennon, has been appointed as the company's
liquidator, the report relates.

The report discloses significant discrepancies had been found to
exist in the company's financial statements.

According to the report, Grant Engineering, an Offaly, based
boiler manufacturer, was not officially being listed as a Gerkros
creditor.

However, citing The Sunday Business Post newspaper, the report
notes Grant Engineering was actually owed over EUR400,000.

As reported in the TCR-Europe on Nov. 24, 2008, h&v news said
Gerkros is believed to have racked up debts of up to EUR5 million.

On Nov. 11, 2008, the TCR-Europe reported that according to The
Sunday Business Post Online, Gerkros ran into major cash flow
difficulties as a result of its expansion.

Gerkros, which had revenues of more than EUR10 million in 2007,
borrowed to expand into new markets, but over extended itself, the
Post stated.

Based in Cashel, Co Tipperary, Gerkros Boiler supplies heating
boilers across Europe, the US and Canada.


SANDHOUSE HOTEL: Goes Into Voluntary Liquidation
------------------------------------------------
Paddy Clancy at The Irish Times reports that the four-star
Sandhouse Hotel in Rossnowlagh, Co Donegal has gone into
liquidation after being hit by the recession.

The report relates that according to the hotel's owners, Sandhouse
will continue in business under direction of the liquidator, with
no loss of the 40 full- and part-time staff jobs.

"The existing management and staff will continue with the
Sandhouse and it will remain open for business as usual,"
the report quoted the owners as saying.

The hotel, operated by the Britton family for more than 50 years,
has been on the market for more than EUR6 million since September,
the report notes.


STARLING FINANCE: S&P Withdraws 'BB' Rating on EUR50 Mil. Notes
---------------------------------------------------------------
Standard & Poor's Ratings Services withdrew its 'BB' credit rating
on the EUR50 million class A-1A floating-rate Deveron III
portfolio credit-linked notes series 2006-11 issued by Starling
Finance PLC.

This rating withdrawal follows an early redemption of the notes
for this series.


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


TISCALI SPA: Balks at Citigroup's Report, Mulls Action
------------------------------------------------------
Reuters reports Tiscali SpA will weigh possible moves against U.S.
bank Citigroup Inc over a cut in its price target that helped push
the stock sharply lower.

According to Reuters, in a report titled "Dire Straits," Citigroup
analyst Mauro Baragiola slashed his price target for Italy's No. 3
broadband operator to 0.15 euro (US$0.194) from 1.25 euros on
Wednesday, January 21.  He kept his "sell" rating on the stock,
Reuters notes.

News of Citigroup's move sent Tiscali's shares down by 18 percent
on Thursday, January 22, Reuters says.

In a January 23 statement, Tiscali said it will consider whether
to undertake any action against Citigroup.

The company deemed Citigroup's conclusions "unfounded" stating
that the report was published "in an extremely turbulent market
conditions."

Tiscali earlier said it is implementing a voluntary incentivized
redundancy plan for its Italian employees and is considering
further rationalization of the workforce for a total of 250 units.

The plan envisages a total direct and indirect cost reduction for
approximately
EUR40 million.

The company also confirmed that the negotiations for the disposal
of its UK assets are still ongoing.

                        About Tiscali SpA

Headquartered in Cagliari, Italy, Tiscali SpA (BIT:TIS) --
http://www.tiscali.com/-- is an Internet communications company
providing broadband and narrowband access for consumer and
business applications, as well as communications services and
content.  The company's portfolio includes Internet access in the
form of dial-up, broadband, satellite and leased lines, and
hosting services, such as co-location, shared hosting and managed
hosting.  Tiscali also offers streaming media, telephony and such
services as virtual private networks (VPN), allowing companies to
communicate with remote branches.  Its consumer products and
services include Internet access, voice, media, Internet Protocol
Television (IPTV) and value-added services, such as e-mail, Net
calendar, Net fax, Net phone, mail, instant messaging and Web
hosting.  It is operational in Europe through its subsidiaries and
joint ventures.  As of June 30, 2008, Tiscali had approximately
3.2 million active users in Italy and the United Kingdom.

                          *     *     *

As reported in the Troubled Company Reporter-Europe on Nov. 11,
2008, Standard & Poor's Ratings Services withdrew its 'B' long-
term corporate credit ratings, and all debt and recovery ratings,
on Tiscali SpA.  The ratings withdrawal was made at the company's
request and follows a review of their future financing strategy.
The company has no public debt outstanding, S&P said.


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


ALEK S LLP: Proof of Claim Deadline Slated for February 27
----------------------------------------------------------
The Specialized Inter-Regional Economic Court of West Kazakhstan
has declared LLP Alek S insolvent.

Creditors have until Feb. 27, 2009, to submit written proofs of
claim to:

         The Specialized Inter-Regional
         Economic Court of West Kazakhstan
         Seifullin Str. 37
         Uralsk
         West Kazakhstan
         Kazakhstan


DEUIR LLP: Creditors Must File Claims by February 27
----------------------------------------------------
The Specialized Inter-Regional Economic Court of Aktube has
declared LLP Deuir insolvent.

Creditors have until Feb. 27, 2009, to submit written proofs of
claim to:

         The Specialized Inter-Regional
         Economic Court of Aktube
         Altynsarin Str. 31
         Aktobe
         Aktube
         Kazakhstan
         Tel: 8 (7132) 21-30-32


EREKE LLP: Claims Filing Period Ends February 27
------------------------------------------------
The Specialized Inter-Regional Economic Court of West Kazakhstan
has declared LLP Ereke insolvent.

Creditors have until Feb. 27, 2009, to submit written proofs of
claim to:

         The Specialized Inter-Regional
         Economic Court of West Kazakhstan
         Seifullin Str. 37
         Uralsk
         West Kazakhstan
         Kazakhstan


KAMEYA-2 LLP: Creditors' Claims Due on February 27
--------------------------------------------------
The Tax Committee of Almaty has ordered the compulsory liquidation
of LLP Kameya-2.

Creditors have until Feb. 27, 2009, to submit written proofs of
claim to:

         The Tax Committee of Almaty
         Room 312
         Jangusurov Str. 113a
         Taldykorgan
         Almaty
         Kazakhstan
         Tel: 8 (7282) 24-34-21


ORDA-NT LTD: Claims Registration Ends February 27
-------------------------------------------------
The Specialized Inter-Regional Economic Court of South Kazakhstan
has declared LLP Orda-Nt Ltd. insolvent.

Creditors have until Feb. 27, 2009, to submit written proofs of
claim to:

         The Specialized Inter-Regional
         Economic Court of South Kazakhstan
         Ilyaev Str. 24
         Shymkent
         South Kazakhstan
         Kazakhstan


RICH TRADE: Proof of Claim Deadline Slated for February 27
----------------------------------------------------------
LLP Rich Trade Asia has declared insolvency.  Creditors have until
Feb. 27, 2009, to submit written proofs of claim to:

         LLP Rich Trade Asia
         17 liniya Str. 49b
         Vostochny
         Semey
         East Kazakhstan
         Kazakhstan


SAK-2008 LLP: Claims Filing Period Ends February 27
---------------------------------------------------
The Specialized Inter-Regional Economic Court of South Kazakhstan
has declared LLP SAK-2008 insolvent.

Creditors have until Feb. 27, 2009, to submit written proofs of
claim to:

         The Specialized Inter-Regional
         Economic Court of South Kazakhstan
         Ilyaev Str. 24
         Shymkent
         South Kazakhstan
         Kazakhstan


TASKYN LLP: Creditors' Proof of Claims Due on February 27
---------------------------------------------------------
The Tax Committee of Almaty has ordered the compulsory liquidation
of LLP Firm Taskyn.

Creditors have until Feb. 27, 2009, to submit written proofs of
claim to:

         The Tax Committee of Almaty
         Room 312
         Jangusurov Str. 113a
         Taldykorgan
         Almaty
         Kazakhstan
         Tel: 8 (7282) 24-34-21


TECHNOS PLUS: Claims Registration Ends February 27
--------------------------------------------------
LLP Technos Plus has declared insolvency.  Creditors have until
Feb. 27, 2009, to submit written proofs of claim to:

         LLP Technos Plus
         Frunze Str. 52-52
         Zyryanovsk
         East Kazakhstan
         Kazakhstan
         Tel: 8 (72335) 6-03-83, 4-01-07


VARIANT-TECHNOLOGY LLP: Proof of Claim Deadline Slated for Feb. 27
------------------------------------------------------------------
LLP Variant-Technology has declared insolvency.  Creditors have
until Feb. 27, 2009, to submit written proofs of claim to:

         LLP Variant-Technology
         Hadjy-Mukan Str. 28
         Almaty
         Kazakhstan


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


TRANS LIZING: Creditors Must File Claims by February 24
-------------------------------------------------------
LLC Kazakh Kyrgyz Trans Lizing has declared insolvency.  Creditors
have until Feb. 24, 2009, to submit written proofs of claim.

The company can be reached at: (+996 312) 65-25-28


=================
L I T H U A N I A
=================


FLYLAL: Files for Bankruptcy
----------------------------
Nerijus Adomaitis at Reuters reports that Lithuanian airline
flyLAL has filed for bankruptcy.

"Being unable to continue flights and without seeing any real
chances to renew operations, we were forced to file for
bankruptcy," CEO Vytautas Kaikaris said in a statement obtained by
Reuters.

The airline, which was privatized in 2005, grounded its flights
last weekend after failing to find an investor, Reuters recounts.

Reuters discloses that according to Mr. Kaikaris, flyLAL's
financial situation "worsened significantly at the end of 2008 and
beginning of 2009 and there were no possibilities to improve it
without additional investments".

Reuters recalls the Lithuanian government rejected a proposal to
buy the airline back for a symbolic LTL1 and cover its debts,
which stood at LTL89 million (US$33.41 million) at the end of
2008.

Citing Vilnius airport spokesman Arunas Marcinkevicius, Reuters
relates the airport is currently in talks with six airlines to
fill the gap left by the former national carrier.

On Jan. 21, 2009, the TCR-Europe reported that according to
Reuters, flyLAL's acquisition deal with Swiss Capital Holding
failed to materialize.

Citing airline officials, The Associated Press noted the Swiss
company failed to pay US$1 million (EUR756,000) that would have
cleared the airline's debts and potentially saved it from
bankruptcy.

flyLAL, which employs 360 people, ceased its operations from
January 17, 2009.


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


ELM BV: S&P Raises Credit Rating on 35 Senior Notes from 'CCC'
--------------------------------------------------------------
Standard & Poor's Ratings Services removed from CreditWatch
positive and raised to 'AAA' from 'CCC/Watch Pos' its credit
rating on the EUR50 million leveraged super senior secured series
35 notes issued by ELM B.V.

This rating action follows the full deleveraging of the notes.
This means that investors are no longer exposed to potential
market-value risk from movements in credit default swap spreads.
S&P's future analysis will focus on the credit risk of the
portfolio only.


EUROSAIL-NL2007-1: S&P Affirms 'BB' Rating on Class E1 Notes
------------------------------------------------------------
Standard & Poor's Ratings Services affirmed and removed from
CreditWatch negative its ratings in Eurosail-NL2007-1 B.V.,
Eurosail-NL 2007-2 B.V., and Southern Pacific Financing 06-A PLC.

S&P also reviewed the effect of the replacement of Lehman's swaps
in EMF-NL Prime 2008-A B.V., EMF-NL 2008-1 B.V., and EMF-NL 2008-2
B.V.  The ratings in these deals remain on CreditWatch negative.

On Jan. 16, the swap providers in all five Dutch residential
mortgage-backed securities transactions were replaced with Credit
Suisse (A+/Stable/A-1) as counterparty.

"We were informed of the cost implications to each issuer and
conducted full credit and cash flow analyses to determine the
impact on the ratings.  Accordingly, S&P determined that there was
no adverse effect on the ratings currently assigned.  S&P is keen
to point out that the EMF-NL transactions have not yet replaced
Lehman as liquidity facility provider and as such remain on
CreditWatch negative," said credit analyst Rehanna Sameja.

At the same time, S&P reviewed the effect of the interest rate cap
provided by Lehman in Southern Pacific Financing 06-A.  The
interest rate cap hedged increases in LIBOR (London interbank
offered rate) with a strike of 8%, and was due to expire on the
interest payment date falling in June 2010.  S&P has concluded
that without replacing the cap the ratings would be unaffected,
and has therefore affirmed all classes of notes and removed them
from CreditWatch negative.

                           Ratings List

      Ratings Affirmed And Removed From CreditWatch Negative

                      Eurosail-NL 2007-1 B.V.
     EUR350 Million Mortgage-Backed Floating-Rate Notes and an
       Overissuance of EUR11.2 Million Excess-Spread-Backed
                       Floating-Rate Loans

                              Rating
                              ------
               Class      To          From
               -----      --          ----
               A          AAA         AAA/Watch Neg
               B          AA          AA/Watch Neg
               C          A           A/Watch Neg
               D          BBB         BBB/Watch Neg
               E1         BB          BB/Watch Neg

                      Eurosail-NL 2007-2 B.V.
        EUR350 Million Mortgage-Backed Floating-Rate Notes
   and an Overissuance Of EUR3.675 Million Excess-Spread-Backed
                       Floating-Rate Loans

                              Rating
                              ------
               Class      To          From
               -----      --          ----
               A          AAA         AAA/Watch Neg
               M          AAA         AAA/Watch Neg
               B          AA          AA/Watch Neg
               C          A           A/Watch Neg
               D1         BBB         BBB/Watch Neg
               DT         BBB         BBB/Watch Neg

               Southern Pacific Financing 06-A PLC
    GBP420 Million Mortgage-Backed Floating-Rate Notes Plus an
      Overissuance of GBP3.36 Million Excess-Spread-Backed
                       Floating-Rate Loans

                              Rating
                              ------
               Class      To          From
               -----      --          ----
               A          AAA         AAA/Watch Neg
               B          AA          AA/Watch Neg
               C          A           A/Watch Neg
               D1         BBB         BBB/Watch Neg
               E          B           B/Watch Neg

               Ratings Kept On CreditWatch Negative

                    EMF-NL Prime 2008-A B.V.
        EUR200 Million Mortgage-Backed Floating-Rate Notes

                        Rating
                        ------
                    To         From
                    --         ----
                    A1         AAA/Watch Neg
                    A2         AAA/Watch Neg
                    A3         AAA/Watch Neg
                    B          AA/Watch Neg
                    C          A/Watch Neg
                    D          BBB/Watch Neg

                        EMF-NL 2008-1 B.V.
        EUR265 Million Mortgage-Backed Floating-Rate Notes

                        Rating
                        ------
                    To         From
                    --         ----
                    A1         AAA/Watch Neg
                    A2         AAA/Watch Neg
                    A3         AAA/Watch Neg

                        EMF-NL 2008-2 B.V.
       EUR285 Million Mortgage-Backed Floating-Rate Notes

                        Rating
                        ------
                    To         From
                    --         ----
                    A1         AAA/Watch Neg
                    A2         AAA/Watch Neg
                    B          AA/Watch Neg
                    C          A/Watch Neg
                    D          BBB/Watch Neg



===============
P O R T U G A L
===============


BPN SGPS: Fitch Withdraws 'F' Individual Rating
-----------------------------------------------
Fitch Ratings has withdrawn Portugal-based BPN SGPS's Long-term
Issuer Default Rating of 'CCC' and its Short-term IDR of 'C', both
of which were on Rating Watch Negative.  The agency has
simultaneously affirmed and withdrawn BPN SGPS's Individual Rating
of 'F', Support Rating of '5' and Support Rating Floor of 'No
Floor'.  Fitch will no longer provide ratings or analytical
coverage of BPN SGPS.

Following the Portuguese government's decision to nationalize
Banco Portugues de Negocios in November 2008 and the transfer of
BPN's shares to the Portuguese Treasury, the parent company BPN
SGPS lost its main asset.

Fitch's decision to withdraw the ratings of BPN SGPS reflects the
fact that BPN SGPS has no outstanding debt issues and that it is
difficult to predict the outcome of any claim for compensation
over the loss of BPN's shares.

However, Fitch is maintaining BPN's ratings.  The company's Long-
term IDR is 'BBB', the Short-term IDR is 'F3', the Support Rating
is '2' and the Support Rating Floor is 'BBB', all these ratings
are on Rating Watch Positive.  BPN's Individual Rating is 'F'.
The RWP will be resolved once Fitch has received more details
about BPN's future status and business model.


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


ALTAYSKIY TRACTOR: Creditors Must File Claims by February 16
------------------------------------------------------------
Creditors of LLC Altayskiy Tractor Plant have until Feb. 16, 2009,
to submit proofs of claims to:

         T. Dzhur
         Temporary Insolvency Manager
         Geblera Str. 27a/1
         656049 Barnaul
         Russia

The Arbitration Court of Altayskiy commenced bankruptcy
supervision procedure.  The case is docketed under Case No. ?03–
13207/2008B.

The Debtor can be reached at:

         LLC Altayskiy Tractor Plant
         Rubtsovsk
         Russia


ARGOS LLC: Creditors Must File Claims by February 16
----------------------------------------------------
Creditors of LLC Argos Construction Company (TIN 1660049195, PSRN
1021603642334) have until Feb. 16, 2009, to submit proofs of
claims to:

         R. Farrakhov
         Temporary Insolvency Manager
         Post User Box 80
         42009, 4 Kazan
         Tatarstan
         Russia

The Arbitration Court of Tatarstan will convene at 1:30 p.m. on
March 26, 2009, to hear bankruptcy supervision procedure.  The
case is docketed under Case No. ?65–21102/2008-SG4–16.


CHAPLYGINSKIY ASSEMBLY: Lipetsk Bankruptcy Hearing Set April 4
--------------------------------------------------------------
The Arbitration Court of Lipetsk will convene on Apr. 4, 2009, to
hear bankruptcy supervision procedure on OJSC Chaplyginskiy
Assembly Unit Plant.  The case is docketed under Case No. ?36–
3467/2008.

The Temporary Insolvency Manager is:

         M. Bredikhin
         Tulskaya Str. 6
         Lebedyan
         399613 Lipetskaya
         Russia

The Debtor can be reached at:

         OJSC Chaplyginskiy Assembly Unit Plant
         Moskovskiy pereulok 1
         Chaplygin
         Chaplyginskiy
         399900 Lipetskaya
         Russia


GORKOVSKIY METALLURGIC: Creditors Must File Claims by Feb. 16
-------------------------------------------------------------
Creditors of OJSC Gorkovskiy Metallurgic Plant (TIN 5257005218,
PSRN 1025202399210) have until Feb. 16, 2009, to submit proofs of
claims to:

         G. Demichev
         Insolvency Manager
         Office 7
         B. Pecherskaya Str. 45a
         603155 Nizhny-Novgorod
         Russia

The Arbitration Court of Nizhegorodskaya commenced bankruptcy
proceedings against the company after finding it insolvent.  The
case is docketed under Case No. ?43–28769/2008, 33–166.

The Debtor can be reached at:

         OJSC Gorkovskiy Metallurgic Plant
         Moskovskoe shosse 52
         GSP-1001
         603950 Nizhny Novgorod
         Russia


KHAKASSKIY FISH: Creditors Must File Claims by February 16
----------------------------------------------------------
Creditors of OJSC Khakasskiy Fish Factory have until Feb. 16,
2009, to submit proofs of claims to:

         V. Salomatin
         Temporary Insolvency Manager
         Pervomayskaya Str. 16
         Askiz
         655700 Khakassiya
         Russia

The Arbitration Court of Khakassiya commenced bankruptcy
supervision procedure.  The case is docketed under Case No. ?74–
2889/2008.

The Debtor can be reached at:

         OJSC Khakasskiy Fish Factory
         Mayakovskogo Str. 2
         Abakan
         Khakassiya
         Russia


NOVOCHEBOKSARSKIY STROY: Creditors Must File Claims by March 16
---------------------------------------------------------------
Creditors of LLC Novocheboksarskiy Stroy-Detal Plant (TIN
2124026661, PSRN1062124026325) (Construction Members Production)
have until March 16, 2009, to submit proofs of claims to:

         S. Sidodrov
         Insolvency Manager
         Kombinatskaya Str. 5/31
         Cheboksary
         428000  Chuvashia
         Russia

The Arbitration Court of Chuvashia commenced bankruptcy
proceedings against the company after finding it insolvent.  The
case is docketed under Case No. ?79–5721/2008.

The Debtor can be reached at:

         LLC Novocheboksarskiy Stroy-Detal Plant
         Promyshlennaya Str. 83
         429955 Novocheboksarsk
         Chuvashia
         Russia


PROKHLADNENSKIY WALLING: Creditors Must File Claims by Feb. 16
--------------------------------------------------------------
Creditors of LLC Prokhladnenskiy Walling Materials Plant (TIN
0716000097) have until Feb. 16, 2009, to submit proofs of claims
to:

         N. Savelyev
         Temporary Insolvency Manager
         Office 9
         N. Kachuyevskiy Str. 2
         400002 Volgorad
         Russia

The Arbitration Court of Kabardino-Balkaria will convene on
May 26, 2009, to hear bankruptcy supervision procedure.  The case
is docketed under Case No. ?20–1898/2008.

The Debtor can be reached at:

         LLC Prokhladnenskiy Walling Materials Plant
         Promyshlennya Str. 80
         Prokhladnuy
         Prokhladnenskiy
         361045 Kabardino-Balkaria
         Russia


STROY-INVEST CJSC: Creditors Must File Claims by Feb. 16
--------------------------------------------------------
Creditors of CJSC Stroy-Invest (TIN 4823011975, RVC 482301001)
(Construction) have until Feb.16, 2009, to submit proofs of claims
to:

         S. Ryzhkov
         Insolvency Manager
         Apt. 38
         Semashko Str. 3
         398002 Lipetsk
         Russia

The Arbitration Court of Lipetsk commenced bankruptcy proceedings
against the company after finding it insolvent.  The case is
docketed under Case No. ?36–133-B/1–02.

The Debtor can be reached at:

         CJSC Stroy-Invest
         Almaznaya Str. 6
         398600 Lipetsk
         Russia


YARANSKIY MECHANICAL: Creditors Must File Claims by Feb. 16
-----------------------------------------------------------
Creditors of LLC Yaranskiy Mechanical Plant (Boilers, Boiler
Equipment Production) have until Feb. 16, 2009, to submit proofs
of claims to:

         N. Petukhov
         Insolvency Manager
         Apt. 2
         Truda Str. 37a
         610020 Kirov
         Russia
         Tel: 8–912–724–1571

The Arbitration Court of Kirovskaya commenced bankruptcy
proceedings against the company after finding it insolvent.  The
case is docketed under Case No. ?-28–7029/2008–197/6.

The Debtor can be reached at:

         LLC Yaranskiy Mechanical Plant
         Rudnitskogo Str. 52
         Yaransk
         612260 Kirovskaya
         Russia


ZARECHENSKIY LLC: Creditors Must File Claims by March 16
--------------------------------------------------------
Creditors of LLC Zarechenskiy Les-Prom-Khoz (TIN 5513005405)
(Industrial Forestry) have until March 16, 2009, to submit proofs
of claims to:

         O. Chernyakov
         Insolvency Manager
         Post User Box 8740
         644099 Omsk
         Russia

The Arbitration Court of Omsk commenced bankruptcy proceedings
against the company after finding it insolvent.  The case is
docketed under Case No. ?46–22261/2008.


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


BANCAJA 7: S&P Affirms 'BB' Rating on Class D Notes
---------------------------------------------------
Standard & Poor's Ratings Services affirmed its ratings on all the
notes issued by Bancaja 7 Fondo de Titulizacion de Activos.  At
the same time, S&P removed the class A notes from CreditWatch
negative.

S&P placed the senior notes on CreditWatch negative on Nov. 27,
2008 given their exposure to 'A-2' rated derivative counterparty.
This followed the change to S&P's methodology for 'A-2' rated
counterparties on Oct. 22, which states that 'A-2' rated
counterparties would no longer support 'AAA' ratings on the issued
notes.

On Sept. 23, S&P lowered its short-term rating on Caja de Ahorros
de Valencia, Castellon y Alicante (Bancaja) to 'A-2'.
Subsequently, Bancaja 7 terminated its interest swap agreement
with Bancaja and replaced Bancaja's obligations.  Credit Suisse
(A+/Stable/A-1) is now the interest swap counterparty for this
transaction.

At closing, the issuer entered into an interest swap agreement to
provide protection against adverse interest rate resetting and
movements.

S&P affirmed its ratings on the class A to D notes in Bancaja 7
after a full credit and cash flow analysis of the most recent
transaction information that S&P has received.  The ratings on
these notes are currently supported by higher credit enhancement
levels provided by a cash reserve and class subordination due to
transaction amortization, as well as lower long-term arrears than
later Bancaja deals.

The Bancaja deals are Spanish residential mortgage-backed
securities transactions backed by pools of first-ranking mortgages
secured over owner-occupied residential properties in Spain.

                           Ratings List

            Bancaja 7 Fondo de Titulizacion de Activos
        EUR1.9 Billion Mortgage-Backed Floating-Rate Notes

      Rating Affirmed and Removed from CreditWatch Negative

                             Rating
                             ------
         Class        To                   From
         -----        --                   ----
         A            AAA                  AAA/Watch Neg

                         Ratings Affirmed

                             Rating
                             ------
                    To                   From
                    --                   ----
                    B                    A
                    C                    BBB
                    D                    BB


SANTANDER EMPRESAS: S&P Cuts Ratings on Class E Notes to Low-B
--------------------------------------------------------------
Standard & Poor's Ratings Services took various rating actions on
the notes issued by Fondo de Titulizacion de Activos Santander
Empresas 3 and Fondo de Titulizacion de Activos Santander Empresas
4.

In the two transactions, S&P:

  -— Lowered S&P's rating on the class C notes;

  -— Lowered and removed from CreditWatch negative S&P's ratings
     on the class D and E notes;

  —- Placed the class B notes on CreditWatch negative; and

  —- Affirmed all the other classes of notes.

S&P placed the class C and D notes issued by Santander Empresas 3
and 4 on CreditWatch negative on Oct. 22, 2008, following an
initial analysis of the performance of all Spanish small and
midsize enterprise deals that S&P rate.

The rating actions follow a full credit and cash flow analysis of
the most recent transaction information and loan-level data that
S&P has received for these particular Spanish SMEs, originated by
Banco Santander S.A. (AA/Stable/A-1+).

S&P's analysis focused on risks related to obligor concentrations,
in particular real estate and construction sector exposures, and
the concentration of loans granted for development, as well as
risks related to loan prepayment profiles.  For loan payment
profiles, S&P focused on the risk posed by loans with bullet
maturities.

The collateral in these transactions shows a concentration in the
real estate and construction industry: 26% for Santander Empresas
3 and 40% for Santander Empresas 4.

As of the end of October 2008, 90+ day delinquencies accounted for
1.77% of Santander Empresas 3's portfolio and 1.84% of Santander
Empresas 4's portfolio.  These delinquencies have more than
doubled for both transactions over the previous two quarters, in
line with the rapid growth in delinquencies observed elsewhere
across the Spanish SME securitization market.

Gross cumulative defaults remain fairly low at 0.143% and 0.014%
for Santander Empresas 3 and 4, respectively.  However, S&P's
analysis of the data provided suggests that a large portion of
loans due in 2009 have bullet maturities, which may cause a spike
in the default rates if borrowers fail to refinance.

A spike in defaults may increase the likelihood of a breach of the
deferral of interest trigger.  The breach occurs when gross
cumulative defaults for Santander Empresas 3 and 4, respectively,
reach 4.70% and 3.90% of the initial collateral balance for class
E, 5.60% and 4.80% for class D, 6.50% and 6.50% for class C, and
7.85% and 8.95% for class B.  A breach of this trigger could
potentially result in the junior and mezzanine notes experiencing
an interest shortfall, while the 'AAA' rated notes will be repaid
faster.

S&P's credit and cash flow analysis showed that the class C, D,
and E notes can no longer maintain their current ratings.  In
addition, the results showed that the probability of a negative
rating action for the class B notes has increased.

                           Ratings List

                         Ratings Lowered

      Fondo de Titulizacion de Activos Santander Empresas 3
              EUR3,545.5 Million Floating-Rate Notes

           Class               To                 From
           -----               --                 ----
           C                   A-                 A

       Fondo de Titulizacion de Activos Santander Empresas 4
              EUR3,586 Million Floating-Rate Notes

           Class               To                 From
           -----               --                 ----
           C                   A-                 A

      Ratings Lowered and Removed from Creditwatch Negative

       Fondo de Titulizacion de Activos Santander Empresas 3
              EUR3,545.5 Million Floating-Rate Notes

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

       Fondo de Titulizacion de Activos Santander Empresas 4
               EUR3,586 Million Floating-Rate Notes

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

              Ratings Placed on Creditwatch Negative

       Fondo de Titulizacion de Activos Santander Empresas 3
              EUR3,545.5 Million Floating-Rate Notes

           Class               To                 From
           -----               --                 ----
           B                   AA/Watch Neg       AA

       Fondo de Titulizacion de Activos Santander Empresas 4
               EUR3,586 Million Floating-Rate Notes

           Class               To                 From
           -----               --                 ----
           B                   AA/Watch Neg       AA

                         Ratings Affirmed

      Fondo de Titulizacion de Activos Santander Empresas 3
              EUR3,545.5 Million Floating-Rate Notes

                    To                  From
                    --                  ----
                    A2                  AAA
                    A3                  AAA
                    F                   CCC-

       Fondo de Titulizacion de Activos Santander Empresas 4
               EUR3,586 Million Floating-Rate Notes

                    To                  From
                    --                  ----

                    A1                  AAA
                    A2                  AAA
                    A3                  AAA
                    F                   CCC-



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


ABANTIS LLC: Creditors Must File Proofs of Claim by February 28
---------------------------------------------------------------
Creditors owed money by LLC Abantis are requested to file their
proofs of claim by Feb. 28, 2009, to:

         David Zumsteg
         Soorhaldenstrasse 4
         8308 Illnau
         Switzerland

The company is currently undergoing liquidation in Rueti ZH.  The
decision about liquidation was accepted at an extraordinary
shareholders' meeting held on Feb. 28, 2009.


BECK ANLIKER: Deadline to File Proofs of Claim Set March 1
----------------------------------------------------------
Creditors owed money by JSC Beck Anliker are requested to file
their proofs of claim by March 1, 2009, to:

         Heinz Anliker
         Gueterstrasse 5
         6374 Buochs
         Switzerland

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


INISMOR LLC: Creditors Have Until March 31 to File Claims
---------------------------------------------------------
Creditors owed money by LLC Inismor are requested to file their
proofs of claim by March 31, 2009, to:

         JSC WIGRA Treuhand
         Europastrasse 9
         8152 Glattbrugg
         Switzerland

The company is currently undergoing liquidation in Kilchberg.  The
decision about liquidation was accepted at an extraordinary
shareholders' meeting held on Dec. 8, 2008.


MAXINVEST LLC: Proof of Claim Filing Deadline Is April 15
---------------------------------------------------------
Creditors owed money by LLC Maxinvest are requested to file their
proofs of claim by April 15, 2009, to:

         Marc Alioth
         Bahnhofstrasse 39
         2502 Biel
         Switzerland

The company is currently undergoing liquidation in Biel/Bienne.
The decision about liquidation was accepted at an extraordinary
shareholders' meeting held on Dec. 5, 2008.


OERLIKON CORP: Cutting Add'l 1,000 Jobs on Weak Textile Demand
--------------------------------------------------------------
OC Oerlikon Corporation AG Pfaeffikon began another round of job
cuts to reduce costs amid declining demand for textile.

Reuters reports that Oerlikon is cutting 1,000 jobs in addition to
the
1,000 job cuts announced August last year.  The company had a
total of 19,500 employees in the middle of 2008, according to
Reuters.

The company said vacancies will not be filled and the job cuts
should be mostly completed by the end of this quarter, Reuters
discloses.

Oerlikon, Bloomberg News relates, is now also shortening hours and
reducing temporary workers at its Textile, Coatings, Mechatronics
and Graziano units to lower costs.

According to Reuters, Vontobel analyst Michael Foeth painted a
bleak outlook for the industry's prospects saying that "The
textile machinery market continues to decline as economies either
enter or further slip into recession and credit markets are shut."

"Demand for textiles and clothing is down and with overcapacity in
spinning mills, orders for spinning systems are plummeting," Mr.
Foeth added.

OC Oerlikon Corporation AG Pfaeffikon (VTX:OERL) --
http://www.oerlikon.com/--  is a Swiss company engaged in the
industrial sector.  The company divides its activities into six
segments: Oerlikon Textile, the solution provider in the area of
textile machines and textile plant engineering and thus covers the
entire textile value chain; Oerlikon Coating, engaged in the
global market for coating technology, offering processes for
coating tools and components; Oerlikon Solar, the global provider
of product solutions for thin-film silicon solar modules; Oerlikon
Vacuum, providing customized vacuum pump system solutions;
Oerlikon Drive Systems, the provider of gears and gearing
solutions, and Oerlikon Components, producing advanced equipment
for automotive and semiconductor industries.  The Company operates
through subsidiaries located across Europe, as well as in China,
Brazil, the Cayman Islands and India.  In 2007, it acquired VST
Keller, which provides coating medium-sized and large stamping and
forming tools.


RESTAURANT WANNBACHSCHLUCHT: Claim Filing Deadline Set April 15
---------------------------------------------------------------
Creditors owed money by JSC Restaurant Wannbachschlucht are
requested to file their proofs of claim by April 15, 2009, to:

         Dorfstrasse 24
         2563 Ipsach
         Switzerland

The company is currently undergoing liquidation in Twann.  The
decision about liquidation was accepted at an extraordinary
shareholders' meeting held on Dec. 8, 2008.


SPORTDATA LLC: February 4 Set as Deadline to File Claims
--------------------------------------------------------
Creditors owed money by LLC Sportdata are requested to file their
proofs of claim by Feb. 4, 2009, to:

         Markus Brunner
         Liquidator
         Brueggelmoosstrasse 13
         5734 Reinach
         Switzerland

The company is currently undergoing liquidation in Sursee.  The
decision about liquidation was accepted at an extraordinary
shareholders' meeting held on Dec. 8, 2008.


ULRICH SCHWEIZER: February 28 Set as Deadline to File Claims
------------------------------------------------------------
Creditors owed money by LLC Ulrich Schweizer are requested to file
their proofs of claim by Feb. 28, 2009, to:

         Ulrich Schweizer
         LLC Ulrich Schweizer
         Altmattweg 12
         4802 Strengelbach
         Switzerland

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


VITAL-ZONE LLC: Deadline to File Proofs of Claim Set Feb. 20
------------------------------------------------------------
Creditors owed money by LLC Vital-Zone are requested to file their
proofs of claim by Feb. 20, 2009, to:

         Zweierstrasse 99-105
         8003 Zurich
         Switzerland

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


ZAUGG PARKETT: Creditors Have Until February 28 to File Claims
--------------------------------------------------------------
Creditors owed money by LLC Zaugg Parkett und Bodenbelage are
requested to file their proofs of claim by Feb. 28, 2009, to:

         JSC Ineichen Treuhand & Informatik
         Bahnhofstrasse 103c
         5430 Wettingen
         Switzerland

The company is currently undergoing liquidation in Bachenbulach.
The decision about liquidation was accepted at an extraordinary
shareholders' meeting held on Jan. 16, 2006.


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


AGRICULTURAL SERVICE: Creditors Must File Claims by Feb. 7
----------------------------------------------------------
Creditors of LLC Agricultural Service-Lugansk (EDRPOU 33846235)
have until Feb. 7, 2009, to submit proofs of claim to:

         Mr. Roman Rachko
         Temporary Insolvency Manager
         Apt. 73
         Dzerzhinsky Str. 11
         Pervomaysk
         93200 Lugansk
         Ukraine

The Arbitration Court of Lugansk commenced bankruptcy proceedings
against the company after finding it insolvent.  The case is
docketed as 12/10b.

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

The Debtor can be reached at:

         LLC Agricultural Service-Lugansk
         Shevchenko Str. 7
         91000 Lugansk
         Ukraine


AGRUMENT LLC: Creditors Must File Claims by February 7
------------------------------------------------------
Creditors of LLC Agrument (EDRPOU 32191352) have until Feb. 7,
2009, to submit proofs of claim to:

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

The Arbitration Court of Sumy commenced bankruptcy proceedings
against the company after finding it insolvent.

The Debtor can be reached at:

         LLC Agrument
         Oct. revolution Str. 8
         Romny
         42000 Sumy
         Ukraine


BROK-INTERSERVICE LLC: Creditors Must File Claims by February 9
---------------------------------------------------------------
Creditors of LLC Brok-Interservice (EDRPOU 31736459)have until
Feb. 9, 2009, to submit proofs of claim to:

         Mr. Vladimir Gliadchenko
         Liquidator
         Kirov Avenue, 96/13
         49000 Dnipropetrovsk
         Ukraine

The Arbitration Court of Dnipropetrovsk commenced bankruptcy
proceedings against the company after finding it insolvent on Dec.
9, 2008.  The case is docketed as B 26/271-08.

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

The Debtor can be reached at:

         LLC Brok-Interservice
         Meleshkin Str. 23
         Krivoy Rog
         50071 Dnipropetrovsk
         Ukraine


COMPANY UNIVERSAL: Creditors Must File Claims by February 7
-----------------------------------------------------------
Creditors of LLC Company Universal (EDRPOU 32799237) have until
Feb. 7, 2009, to submit proofs of claim to:

         Mr. O. Agafonov
         Liquidator
         P.O.B. 88
         01024 Kiev
         Ukraine

The Arbitration Court of Kiev commenced bankruptcy proceedings
against the company after finding it insolvent on Nov. 25, 2008.
The case is docketed as 43/264.

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

The Debtor can be reached at:

         LLC Company Universal
         Zhylianskaya Str. 120-B
         01033 Kiev
         Ukraine


KROSHENSKY CEMENT: Creditors Must File Claims by February 7
-----------------------------------------------------------
Creditors of OJSC Kroshensky Cement Plant (EDRPOU 00290682) have
until Feb. 7, 2009, to submit proofs of claim to:

         Mr. Alexander Snizhko
         Temporary Insolvency Manager
         Apt. 18
         B. 3
         40 years of Oct. Avenue, 126
         03127 Kiev
         Ukraine

The Arbitration Court of Zhytomir commenced bankruptcy proceedings
against the company after finding it insolvent on Dec. 19, 2008.
The case is docketed as 4/185-b.

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

The Debtor can be reached at:

         OJSC Kroshensky Cement Plant
         Tankistov Str. 1
         10031 Zhytomir
         Ukraine


LUX GROUP: Creditors Must File Claims by February 7
---------------------------------------------------
Creditors of LLC Lux Group (EDRPOU 33695949) have until Feb. 7,
2009, to submit proofs of claim to:

         LLC Bionis Advertising
         Liquidator
         Yaroslavov Val Str. 36-38
         01034 Kiev
         Ukraine

The Arbitration Court of Kiev commenced bankruptcy proceedings
against the company after finding it insolvent on Dec. 29, 2008.
The case is docketed as 15/83-b.

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

The Debtor can be reached at:

         LLC Lux Group
         Melnikov Str. 12
         Kiev
         Ukraine


SPEKTRTELECOM LLC: Creditors Must File Claims by February 7
-----------------------------------------------------------
Creditors of LLC Spektrtelecom (EDRPOU 34155740) have until
Feb. 7, 2009, to submit proofs of claim to:

         Mr. Maxim Kosinevsky
         Temporary Insolvency Manager
         Apt. 40
         12th. of April Str. 22
         61089 Kharkov
         Ukraine

The Arbitration Court of Kharkov commenced bankruptcy proceedings
against the company after finding it insolvent.  The case is
docketed as B-24/209-08.

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

The Debtor can be reached at:

         LLC Spektrtelecom
         Roganskaya Str. 159
         61172 Kharkov
         Ukraine


SPEKTRTELESERVICE LLC: Creditors Must File Claims by February 7
---------------------------------------------------------------
Creditors of LLC Spektrteleservice (EDRPOU 33272919) have until
Feb. 7, 2009, to submit proofs of claim to:

         Mr. Maxim Kosinevsky
         Temporary Insolvency Manager
         Apt. 40
         12th. of April Str. 22
         61089 Kharkov
         Ukraine

The Arbitration Court of Kharkov commenced bankruptcy proceedings
against the company after finding it insolvent.  The case is
docketed as -24/208-08.

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

The Debtor can be reached at:

         LLC Spektrteleservice
         Marshal Konev Str. 21
         61001 Kharkov
         Ukraine


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


ADAMS CHILDRENSWEAR: 36 Stores Closed; 267 Jobs Affected
--------------------------------------------------------
PricewaterhouseCoopers LLP confirmed that the joint administrators
are liaising with a number of parties who have expressed an
interest in purchasing part or all of the business and assets of
Adams Childrenswear Limited.

However, having reviewed the ongoing operational requirements of
the business and with the continued difficulties on the high
street, PwC disclosed it has been necessary to effect the closure
of 36 stores throughout the UK and Ireland as of Monday, January
26.  PwC said the closures will inevitably lead to a number of job
losses and 267 people across the country will be made redundant
with immediate effect.  A further 62 job losses were also
announced on Friday at the company's head office in Nuneaton.

PwC noted the administrators are working closely with employees
affected by this decision to ensure they receive the support they
need during this difficult time to assist with their claims for
redundancy and other compensatory payments.

Rob Hunt, joint administrator and partner at
PricewaterhouseCoopers LLP said: "Our priorities are to work with
the existing management team to continue trading the business as
normal while we continue to pursue a sale.  The recent job losses
are regrettable but will place the company in a stronger position
while we explore opportunities to conclude a sale.  My team and I
will be doing all we can to help the effected employees at this
difficult time."

According to PwC, the remaining 125 stores employing about 1,900
people will stay open as normal while the administrators continue
their efforts to find a purchaser for the business.

As reported in the TCR-Europe on Jan. 5, 2009, Rob Hunt, Stuart
Maddison and Mike Jervis of PricewaterhouseCoopers LLP were
appointed as joint administrators to Adams on Dec. 31, 2008.

Operating from its base in Nuneaton, Adams is the largest
independent childrenswear retailer in the UK with an annual
turnover of GBP150 million.  It operates 271 own brand stores and
concessions throughout the UK trading under Adams Kids.
Additionally, the company supplies a number of overseas
franchises.

The group employs 3,200 people, of which 350 are based at its head
office in Nuneaton with the balance being employed throughout the
retail network both in the UK and Eire.

Like many retailers, it has experienced a difficult trading
environment over the course of the last 12 months which has been
exacerbated by a further downturn and general tightening of the
credit markets in the last quarter of 2008.


BUCKINGHAM REALISATIONS: Appoints Joint Administrators from PwC
---------------------------------------------------------------
David Maddison and Robert Jonathan Hunt of PricewaterhouseCoopers
LLP were appointed joint administrators of Buckingham Realisations
Ltd. on Jan. 13, 2009.

The company can be reached at:

         Buckingham Realisations Ltd.
         Master House
         107 Hammersmith Road
         London
         W14 0QH
         England


DURHAM STRUCTURES: Appoints Joint Liquidators from PwC
------------------------------------------------------
Gerald M. Krasner of Begbies Traynor and Edward Klempka of
Pricewaterhousecoopers LLP were appointed joint liquidators of
Durham Structures Ltd. on Nov. 20, 2009, for the creditors'
voluntary winding-up proceeding.

The company can be reached through Begbies Traynor at:

         2 Collingwood Street
         Newcastle Upon Tyne
         NE1 1JF
         England


EMPIRE DIRECT: Lacks Funds, Customers Won't Get Refund
------------------------------------------------------
The administrators of Empire Direct, which entered administration
on Monday, January 19, have confirmed that customers will not
receive goods ordered because the company's terms and conditions
state that the customer does not take ownership of goods ordered
until delivery or collection.  Refunds will not be possible due to
Empire Direct's lack of funds when it entered administration.
Money paid by customers was put into the company's overdrawn bank
account.

Mark Firmin, joint administrator and KPMG Restructuring Partner
said: "The customer phone line we established on Tuesday has
received a thousand calls a day from concerned customers and so I
am very aware of how regrettable this situation is for many
customers of Empire Direct.  Those who have paid by card should
contact their card provider to establish whether they are entitled
to a refund.  We will be working with the card providers to
facilitate refunds."

There are 5,800 customers who have placed and paid for goods that
they have not yet received.  Of these, 4,800 paid by card and,
using banking industry data, the administrators estimate that just
over 4,000 of these will be able to claim a refund from their card
issuer.

The remaining customers will become unsecured creditors of the
company and can lodge a claim with the administrators, though a
dividend is not expected.

The administrators also confirmed that no further redundancies
have been made and that their efforts to sell the business' assets
were continuing, following receipt of 159 expressions of interest
from potential purchasers, ranging from major international
businesses to corner shops.

    * Customers who paid Empire Direct using a credit or visa
      debit card should contact their card issuer or finance
      provider to seek a refund.

    * Any customers whose finance provider requires proof of
      failure to deliver can download a letter from the
      administrators confirming no outstanding orders will be
      fulfilled.  This is available at www.empiredirect.co.uk

    * Customers without the possibility of a card issuer refund
      can lodge a claim as an unsecured creditor at the company's
      head office.  A template is available at
      www.empiredirect.co.uk for customers to use.


ENTERPRISE INNS: Moody's Reviews 'Ba2' Rating for Possible Cut
--------------------------------------------------------------
Moody's Investors Service placed on review for possible downgrade
the Ba2 corporate family rating, the Ba3 probability of default
rating and the Baa3 rating of the company's GBP275 million senior
secured notes.

The rating action reflects Moody's concern that the prolonged and
deepening malaise in the pub industry could place sufficient
downward pressure on Enterprise Inns' beer sales and rental
income, through increased concessions and tenant failure, to
reduce EBITDA to the extent that interest cover and leverage (net
debt to EBITDA) fall outside the rating agency's target credit
metrics for maintaining the rating at its current level.  Moody's
had previously indicated that downward pressure on the ratings
would result in the parent company's adjusted net debt to
recurring EBITDA (including the dividends from Unique) trending
above 6.0x or interest cover trending below 2.5x and for the
consolidated group, adjusted net debt to recurring EBITDA trending
above 7.5x.

Moody's review will focus on:

  - The extent to which the current poor operating environment for
    the pub industry as a whole will place pressure on the
    company's business fundamentals

  - What tangible corrective actions management is planning to
    implement to successfully reduce its leverage and improve
    interest coverage.

  - The likely impact of the above on the company's credit metrics
    over the intermediate term both from an unconsolidated and
    consolidated basis.

Moody's last rating action on Enterprise Inns was on 2 October
2008, when the ratings of Enterprise Inns were downgraded to
Ba2/Baa3 from Ba1/Baa2 with negative outlook.

These ratings were placed on review for possible downgrade:

  - Ba2 corporate family rating
  - Ba3 probability of default rating
  - Baa3 senior secured debt rating

Enterprise Inns plc, headquartered in Solihull, is the second-
largest pub operator in the UK with an estate of about 7,800
tenanted pubs country-wide, valued at GBP5.86 billion at 30
September 2008.


GREENWOODS MENSWEAR: Sold to China's Bosideng; 500 Jobs Saved
-------------------------------------------------------------
Richard Fleming and Mark Firmin, from KPMG, have been appointed as
joint administrators to national clothing retailer, Greenwoods
Menswear,

More than than 500 jobs across the UK have been saved following
the appointment of the joint administrators.

The joint administrators immediately sold the business to Harvest
Fancy Hong Kong Ltd, a subsidiary of Bosideng, one of China's
largest clothing retailers, which will continue to trade the
business as Greenwoods Menswear.

Bosideng is a major maker of casual menswear and has recently been
given world brand status by the People's Republic of China.
Mr. Gordon Gao, son of the founder of Bosideng, will be chairman
of the new company.  Bosideng's world wide sales amounted to GBP2
billion in 2007 and the company employs over 20,000 people in
China.

Greenwoods Menswear is a Bradford based retailer with 92 stores
throughout the UK, selling suits, shirts, ties and accessories and
offering a wedding wear hire service.  The business generated
turnover of GBP25.9 million and employed 579 staff, 556 of whom
transfer to the new owner.

Until recently Greenwoods had been a growing business but since
last autumn its cash position became increasingly difficult due to
a reduction in credit terms from suppliers, plus sterling's fall
in value, which increased the cost of imported stock.  Finally,
the decline in consumer spending led to a significant sales fall.

Richard Fleming, joint administrator and KPMG Restructuring
Partner, said: "We are extremely pleased to have completed a going
concern sale that sees 87 stores remain open, securing the jobs of
556 employees - 96% of the workforce.  Against a difficult
economic background this is a particularly good result."

All customer bookings made and deposits paid for wedding wear hire
will be honored by the new owner.


GURNEY LTD: Names Joint Administrators from Grant Thornton
----------------------------------------------------------
David Matthews and Nigel Ruddock of Grant Thornton UK LLP were
appointed joint administrators of Gurney Ltd. on Jan. 13, 2009.

The company can be reached at:

         Gurney Ltd.
         Oxford Road
         Benson
         Wallingford
         Oxon
         OX10 6LX
         England


INDUS PLC: Fitch Puts 'BB' Rating on Class E to Negative Watch
--------------------------------------------------------------
Fitch Ratings has placed Indus (Eclipse 2007-1) plc on Rating
Watch Negative following the revaluation of the one of the
properties.  The ratings are:

  -- GBP698.2 million class A due January 2020 (XS0294756449):
     'AAA'; on RWN

  -- GBP47.0 million class B due January 2020 (XS0294757173):
     'AA'; on RWN

  -- GBP52.9 million class C due January 2020 (XS0294757256):
     'A'; on RWN

  -- GBP52.4 million class D due January 2020 (XS0294757504):
     'BBB'; on RWN

  -- GBP9.9 million class E due January 2020 (XS0294757686):
     'BB'; remains on RWN

The RWN primarily reflects the recent revaluation of the property
over which the Adelphi House loan is secured.  Adelphi House is
the largest loan in the portfolio, accounting for 25%.  The loan
is interest-only, with an interest coverage ratio default trigger
set at 1.1x.  The current ICR is 1.21x and has been relatively
stable since closing.  There is also a junior loan secured over
the same property, but fully subordinated to the securitized loan.
Both the loan and junior loan are hedged via a swap five years
longer than each loan's maturity, subject to a loan-to-value
default trigger of 80% for the senior loan and 87.5% for the
junior loan.

Since any swap breakage costs rank senior to loan principal, the
swap is marked-to-market on a quarterly basis, with any negative
balance being added to the loan balance for the purpose of the LTV
covenant.  Such a mechanism is designed to enable the issuer to
avert the adverse effects of falling swap rates on borrower
leverage by calling an event of default earlier than it otherwise
could.  The current environment of falling interest rates is
having a significantly negative impact on the MTM LTV.

The Criterion and Greater London loans (14.5% and 8.4% of the loan
pool, respectively) are also hedged with long-dated swaps whose
breakage costs rank senior to loan principal; their MTM LTVs are
therefore also likely to have been adversely affected by recent
rate movements.  While the Agora Max loan (7.9% of the pool) also
incorporates a long-dated swap, breakage costs are subordinated to
principal repayments, so any potential LTV movements in this
instance would be limited to the impact of property market
declines.

Fitch will resolve the RWN upon receipt of further information
from the servicer, Barclays Capital Mortgage Servicing Ltd (rated
'CPS2UK').


INEOS GROUP: Reports Net Debt of EUR7.5 Million at Dec. 31, 2008
----------------------------------------------------------------
INEOS Group Holdings PLC provided an update on liquidity and
trading in the fourth quarter of 2008.

Based on unaudited preliminary management information, INEOS
estimates that EBITDA adjusted to exclude inventory holding gains
and losses ("Replacement Cost" or "RC" EBITDA) was in the region
of EUR300 million for the fourth quarter of 2008.  Full year 2008
RC EBITDA for the Group on this basis was EUR1,620 million,
adjusted also to exclude the impact of exceptional events
previously announced totaling EUR181 million (principally the
Grangemouth strike impact).

Inventory holding losses in the fourth quarter were EUR1,005
million reflecting the significant decline in oil prices in the
period.  Net of inventory holding gains experienced in the first
three quarters, total inventory holding losses for the full year
were EUR845 million.

Net debt at the end of 2008 was EUR7.5 billion.  The Group's RC
EBITDA to net debt leverage ratio was 4.6 times, which was in
compliance with the year end leverage covenant of 5.25 times RC
EBITDA.

Cash balances at the year end were EUR650 million following a
scheduled loan amortization payment in December of EUR125 million.
In addition the Group has undrawn revolving credit facilities of
EUR200 million.  Repayments under the securitization facility
amounted to EUR360 million during the fourth quarter.

INEOS will be issuing a more detailed trading statement in
February and this will be followed by a conference call with
investors.

As reported in the Troubled Company Reporter on Jan. 21, 2009,
citing Bloomberg News, Ineos Group Holdings, Georgia Gulf Corp.
and Chemtura Corp. are crashing on a mountain of takeover debt and
may follow Lyondell Chemical Co. into bankruptcy, trading in their
bonds shows.

LyondellBasell, which in 2008 was still in the first year of being
a combined enterprise of Lyondell Chemical and Basell to create
the world's third-largest independent chemical company, sent its
U.S. units to Chapter 11 bankruptcy on Jan. 6 due to its declining
liquidity.  Lyondell found itself seriously challenged by volatile
commodity markets and prices, changing consumer demand for oil
products and plastics, the deterioration of the credit markets,
and the substantial retrenchment of some of its largest direct and
indirect customers, including those in the automotive and
construction industries.  According to Reuters, while
LyondellBasell had no near-term debt maturities it had "little
room for maneuver," with the scale of its debt and illiquid credit
markets.  In the bankruptcy petition, Lyondell Chemicals estimated
that consolidated assets total US$27.12 billion and debts total
US$19.34 billion as of the petition date.

As to Ineos, Georgia Gulf and Chemtura, Bloomberg said the
combination of US$11.7 billion in debt, frozen credit markets and
the global recession are forcing the companies to negotiate with
creditors to loosen terms of their loans.  A glut in supplies that
drove prices of polypropylene down by half since October will make
it even harder for plastics makers to meet debt payments, just as
manufacturers in the Middle East add millions of tons of new
supplies.  "The most leveraged names are the first ones that are
going to run into problems," said Andrew Brady, a New York-based
analyst at CreditSights Inc., according to Bloomberg.  "The market
knows they are struggling, and there is a huge risk of
bankruptcy."

According to a Jan. 7 report by Reuters, Lyondell's bankruptcy
filing has raised fears Ineos may suffer a similar fate, as shown
by the high cost of buying protection against its debt in the
credit derivatives market.  The report, citing a trader, said that
credit default swaps on Ineos are bid at 75% and offered at 85%.

                         About INEOS Group

INEOS Group is a diversified chemical company consisting of
several businesses. Product lines include ethylene oxide-based
specialty and intermediate chemicals, fluorochemicals used as
refrigerants and propellants, and phenol and acetate products.
INEOS Chlor makes chlor-alkali chemicals, and INEOS Films and
Compounds manufactures PVC and PET films. INEOS Group was formed
in 1998 after a management buyout led by CEO Jim Ratcliffe, who
controls the group. Ratcliffe has placed INEOS among the world's
top chemical companies (with ExxonMobil, Dow, and BASF) through
his many and varied acquisitions.


INEOS GROUP: Weak Market Conditions Cue S&P's Rating Cut to 'CCC'
-----------------------------------------------------------------
Standard & Poor's Ratings Services said it lowered to 'CCC' from
'B-' its long-term corporate credit rating on U.K.-based chemical
group Ineos, which includes Ineos Group Holdings PLC, Ineos
Holdings Ltd., Ineos Vinyls Finance PLC, and Ineos Vinyls Ltd.
The outlook is negative.

"This reflects the unprecedented weak market conditions for
petrochemical companies in the fourth quarter of 2008 and the weak
outlook for 2009, which could result in severe liquidity pressure
for Ineos as a result of its highly leveraged financial
structure," said Standard & Poor's credit analyst Lucas Sevenin.

According to Ineos' unaudited preliminary information, reported
EBITDA was negative EUR705 million for fourth-quarter 2008.  Even
adjusted for the one-time items, such as the inventory holding
loss of about EUR1,005 million due to much lower oil prices, the
adjusted fourth-quarter 2008 EBITDA reached only EUR300 million.

Ineos will have to renegotiate with lenders in April to obtain a
longer-term covenant framework.  S&P sees a risk that these
negotiations could also include some debt restructuring.  S&P
expects Ineos to face very challenging operating trends in 2009
and 2010, given weaker economies and the petrochemical downturn.

Standard & Poor's expects Ineos' credit metrics to continue to
weaken in 2009 and 2010 on weaker profits.

Ineos's reported net debt as of Dec. 31, 2008, was about EUR7.5
billion.  Reported net debt to adjusted EBITDA was about 4.6x.
Free operating cash flow could turn negative in 2009, even if the
group cuts capital expenditure to maintenance levels.  S&P is not
assuming any equity injections or asset disposals as potentially
offsetting factors, given the market conditions and Ineos'
ownership structure.

S&P views Ineos' business profile as weak, owing to material
cyclicality, commoditization, and competition in the industry.  In
addition, the company faced significant production issues in 2006
and 2007, while in 2008 the Grangemouth, U.K., strike and
Hurricane Ike substantially negatively affected earnings.

"The negative outlook reflects our concerns about Ineos' liquidity
given the various operating and financial risks it faces in 2009,"
said Mr. Sevenin.  The ratings will come under pressure if the
group fails to renegotiate with lenders in April a new long-term
covenant framework; if negotiations lead to substantial increases
in interest costs; if an operational improvement does not appear
in first-half 2009; or if S&P expects that cash burn is not going
to be moderate in 2009, which could result if interest costs
increase materially and operating trends deteriorate.



LIBRARY HOUSE: Sold by Administrators
-------------------------------------
Library House, which provides information on high-tech businesses
to the venture capital industry, has been sold by administrators
Neil Bennett and Michael Healy of Leonard Curtis who were
appointed joint administrators on December 23, 2008.

The Cambridge based business, which was founded by Dragons Den
member Doug Richard who took part in the first two series, had a
turnover of GBP2 million for the year ending June 30, 2008.

"This business had been spectacularly successful," comments Neil
Bennett, "but as the credit crunch has bitten, its main market,
venture capitalists specializing in innovative technology, has
changed.   Most VCs are concentrating on preserving rather than
expanding their business and, though the company had begun
extending its focus, it has been caught, like so many others.
The initiatives undertaken, which under normal circumstances could
expect to be wholly successful, have, under the current financial
and economic conditions, not proved to be viable.

"We had been in discussions with a number of potential
purchasers," Mr. Bennett continues, but the sale of the business
as a going concern proved not to be possible, even though we
contacted numerous interested parties including competitors and
investors.   We did however receive several offers for the assets
of the business, and a sale of those assets to Dow Jones'
Financial Information Services division, has now been concluded.
Library House worked on the cutting edge of green technology,
providing news and information on the most innovative European
companies, and its data and capabilities will prove invaluable to
the purchaser."

On Dec. 11, 2008, the TCR-Europe reported that according
businesszone.co.uk Library House laid off 12 of its 30
staff earlier in the year.


MONKTON HOMES: Taps Joint Administrators from Deloitte LLP
----------------------------------------------------------
Robin David Allen and Richard Michael Hawes of Deloitte LLP were
appointed joint administrators of Monkton Homes Ltd. on Jan. 12,
2009.

The company can be reached through Deloitte LLP at:

         3 Rivergate
         Temple Quay
         Bristol BS1
         England


OAKDENE HOMES: Placed In Administration; 40 Jobs at Risk
--------------------------------------------------------
Richard Pain at getsurrey.co.uk reports that Oakdene Homes plc has
been placed in administration, putting 40 jobs at risk.

The report recounts that on Thursday, January 22, shares in
Oakdene and its sister companies, Oakdene Marina Developments,
Oakdene Estate Management and Propan Properties, were suspended.

On Friday, January 23, Colin Haig, Mark Shires and Karen Dukes, of
PricewaterhouseCoopers LLP, were appointed as administrators of
the company by The Royal Bank of Scotland.

"The companies have recently been suffering from financial
difficulties as a result of the high profile problems that the
residential property industry has faced in the economic downturn,"
PWC administrator Colin Haig was quoted by the report as saying.

The report relates that according to Mr. Haig, the administrators'
immediate priority is to evaluate Oakdene's residential sites
across southern England currently under construction or completed.

On Jan. 26, 2009, the TCR-Europe, citing Bloomberg News, reported
that Oakdene was facing insolvency after it failed to negotiate
new debt terms with banks amid declining U.K. home sales.

Bloomberg News stated Oakdene would be the first publicly traded
homebuilder to collapse in the current property slump.

Oakdene Chairman Philip Stephens said in May the company owns
about 18,000 properties and sells between 200 and 250 homes a year
on average, Bloomberg News disclosed.

In September, the company said it was in breach of its covenants
and was relying on a temporary facility.

Bloomberg News recalled on Sept. 30 Oakdene said two large trade
sales, the profits of which were included in 2006 and 2007
accounts, failed to complete and the purchasers forfeited their
deposits.  It said it may seek to sell assets or tap a strategic
investor to raise the money to repay lenders.  However, Mr. Hardy
believes "that's unlikely", Bloomberg News noted.

The Daily Telegraph recounted shares in Oakdene fell 94pc last
year as the market deteriorated.

The company, The Daily Telegraph revealed, made a pre-tax loss of
GBP6.3 million in the six months to June 30, 2008, down from a
profit of GBP1.5 million a year earlier, while its bank loans
totaled GBP75.6 million.

As reported in the TCR-Europe on Oct. 6, 2008, Oakdene said in its
financial report for the six months ended June 30, 2008 that in
common with most housebuilders it has suffered from the effects of
the turmoil in global markets which has led to a shortage of
mortgage availability and a general lack of buyer confidence.

Oakdene Homes plc -- http://www.oakdene-homes.co.uk/--  is a
residential development company based in Reigate,
Surrey.  The company operates predominantly in South London
Boroughs, Surrey, Sussex and Kent.


SOFA WORKSHOP: Goes Into Administration
---------------------------------------
Laura May at Press Association reports that Sofa Workshop has gone
into administration.

According to the report, the company's order numbers plunged amid
a housing market downturn.

The report relates an offer to buy the business, saving jobs and
protecting existing customer orders, is currently being looked at
by administrators Leonard Curtis.

"This is a good business, with an excellent reputation in a niche
market.  We have received several expressions of serious interest
including an offer which is currently being evaluated.  We are
very hopeful of being able to conclude a sale in the next few days
that will protect as many jobs as possible and of course fulfill
all the outstanding customer orders," Neil Bennett, administrator
from Leonard Curtis, was quoted by the report as saying.

The company, which employs 70 people across 30 UK stores, had a
turnover of GBP30 million in 2008, the report discloses.

On Jan. 12, 2009, the TCR-Europe, citing Retail Week, reported
that in the year to May 31, Sofa Workshop posted a GBP2.7 million
pre-tax loss against a loss of GBP3.3 million for the 17 months to
May 31, 2007.

New Heights, which went into administration in May, acquired the
company from MFI in October 2006 for GBP1.8 million, The
Independent recalled.

According Retail Week's Jennifer Creevy, Sofa Workshop auditor BDO
Stoy Hayward expressed reservations about the company's future in
its accounts for the 12 months to May 31 filed at Companies House.

The auditor noted that the company is reliant on the continuing
support of its shareholders and that there are "no other finance
facilities in place", Retail Week stated.

Founded in 1985, Sofa Workshop Limited specializes in bespoke,
handmade sofas.


SOUTHERN PACIFIC: S&P Affirms 'B' Rating on Class E Notes
---------------------------------------------------------
Standard & Poor's Ratings Services affirmed and removed from
CreditWatch negative its ratings in Eurosail-NL2007-1 B.V.,
Eurosail-NL 2007-2 B.V., and Southern Pacific Financing 06-A PLC.

S&P also reviewed the effect of the replacement of Lehman's swaps
in EMF-NL Prime 2008-A B.V., EMF-NL 2008-1 B.V., and EMF-NL 2008-2
B.V.  The ratings in these deals remain on CreditWatch negative.

On Jan. 16, the swap providers in all five Dutch residential
mortgage-backed securities transactions were replaced with Credit
Suisse (A+/Stable/A-1) as counterparty.

"We were informed of the cost implications to each issuer and
conducted full credit and cash flow analyses to determine the
impact on the ratings.  Accordingly, S&P determined that there was
no adverse effect on the ratings currently assigned.  S&P is keen
to point out that the EMF-NL transactions have not yet replaced
Lehman as liquidity facility provider and as such remain on
CreditWatch negative," said credit analyst Rehanna Sameja.

At the same time, S&P reviewed the effect of the interest rate cap
provided by Lehman in Southern Pacific Financing 06-A.  The
interest rate cap hedged increases in LIBOR (London interbank
offered rate) with a strike of 8%, and was due to expire on the
interest payment date falling in June 2010.  S&P has concluded
that without replacing the cap the ratings would be unaffected,
and has therefore affirmed all classes of notes and removed them
from CreditWatch negative.

                           Ratings List

      Ratings Affirmed and Removed from CreditWatch Negative

                      Eurosail-NL 2007-1 B.V.
     EUR350 Million Mortgage-Backed Floating-Rate Notes and an
       Overissuance Of EUR11.2 Million Excess-Spread-Backed
                       Floating-Rate Loans

                              Rating
                              ------
               Class      To          From
               -----      --          ----
               A          AAA         AAA/Watch Neg
               B          AA          AA/Watch Neg
               C          A           A/Watch Neg
               D          BBB         BBB/Watch Neg
               E1         BB          BB/Watch Neg

                      Eurosail-NL 2007-2 B.V.
        EUR350 Million Mortgage-Backed Floating-Rate Notes
   and an Overissuance of EUR3.675 Million Excess-Spread-Backed
                       Floating-Rate Loans

                              Rating
                              ------
               Class      To          From
               -----      --          ----
               A          AAA         AAA/Watch Neg
               M          AAA         AAA/Watch Neg
               B          AA          AA/Watch Neg
               C          A           A/Watch Neg
               D1         BBB         BBB/Watch Neg
               DT         BBB         BBB/Watch Neg

               Southern Pacific Financing 06-A PLC
    GBP420 Million Mortgage-Backed Floating-Rate Notes Plus an
      Overissuance Of GBP3.36 Million Excess-Spread-Backed
                       Floating-Rate Loans

                              Rating
                              ------
               Class      To          From
               -----      --          ----
               A          AAA         AAA/Watch Neg
               B          AA          AA/Watch Neg
               C          A           A/Watch Neg
               D1         BBB         BBB/Watch Neg
               E          B           B/Watch Neg

               Ratings Kept On CreditWatch Negative

                    EMF-NL Prime 2008-A B.V.
        EUR200 Million Mortgage-Backed Floating-Rate Notes

                        Rating
                        ------
                    To         From
                    --         ----
                    A1         AAA/Watch Neg
                    A2         AAA/Watch Neg
                    A3         AAA/Watch Neg
                    B          AA/Watch Neg
                    C          A/Watch Neg
                    D          BBB/Watch Neg

                        EMF-NL 2008-1 B.V.
        EUR265 Million Mortgage-Backed Floating-Rate Notes

                        Rating
                        ------
                    To         From
                    --         ----
                    A1         AAA/Watch Neg
                    A2         AAA/Watch Neg
                    A3         AAA/Watch Neg

                        EMF-NL 2008-2 B.V.
       EUR285 Million Mortgage-Backed Floating-Rate Notes

                        Rating
                        ------
                    To         From
                    --         ----
                    A1         AAA/Watch Neg
                    A2         AAA/Watch Neg
                    B          AA/Watch Neg
                    C          A/Watch Neg
                    D          BBB/Watch Neg


SOUTHERN ROCK: S&P Changes Outlook to Stable; Affirms 'BB' Rating
-----------------------------------------------------------------
Standard & Poor's Ratings Services said that it revised its
outlook on Gibraltar-based motor insurer Southern Rock Insurance
Co. Ltd. to stable from positive.  At the same time, the 'BB'
insurer financial strength and counterparty credit ratings were
affirmed and subsequently withdrawn at the company's request.  As
a result of the rating withdrawal, Southern Rock is no longer
subject to ongoing surveillance by Standard & Poor's.

The change in outlook reflected lower-than-expected capital
adequacy.  This reflects losses on the company's investment
portfolio, especially relating to equity investments in financial
institutions and sufficient additional capital required for the
company's premium growth not being offset by additional capital
received during the year.  Standard & Poor's no longer expects
that the company's marginal capital adequacy would be supportive
of a higher rating level over the rating horizon.  In addition,
losses on investments raise concerns regarding the company's risk
appetite with regard to their investment portfolio.


WINDERMERE VIII: Fitch Maintains 'BB' Rating on Class E Notes
-------------------------------------------------------------
Fitch Ratings has maintained the class B to E notes of Windermere
VIII plc on Rating Watch Negative.  At the same time, the agency
has placed Windermere VIII's class A2 and A3 notes on RWN. The
ratings are:

  -- GBP411.1 million class A2: (XS0261297880): 'AAA';
     placed on RWN

  -- GBP46.5 million class A3: (XS0261298771): 'AAA';
     placed on RWN

  -- GBP49.8 million class B: (XSXS0261299746): 'AA';
     remains on RWN

  -- GBP50.2 million class C: (XS0261300692): 'A';
     remains on RWN

  -- GBP43.7 million class D: (XS0261300932): 'BBB';
     remains on RWN

  -- GBP19.7 million class E: (XS0261301310): 'BB';
     remains on RWN

The RWN reflects the recent shortfall in debt service on the
Amadeus Portfolio Mortgage Loan.  The borrower failed to make its
full payment obligation under the loan agreement on the interest
payment date of January 15, 2009.  The shortfall amounted to
GBP39,007.  Furthermore, the special servicer has stated it
expects a second payment default on the final repayment date of
the loan on April 15, 2009.  Fitch believes a refinancing of the
loan on its maturity date to be unlikely in current market
conditions.

The loan is secured by three commercial properties situated in
North London, Middlesbrough, and Nottingham.  It accounts for
approximately 5% of the loan portfolio.  The loan was transferred
to special servicing in December 2008.  The special servicer is
Hatfield Philips International Limited, rated 'CSS2'.
Additionally, the Monument Mortgage Loan also matures in April
2009.

Fitch will resolve the RWN upon receipt of further information
from the servicer.


* UK: Pwc Says Ailing Retailers Closing More than 2 in 5 Stores
---------------------------------------------------------------
PricewaterhouseCoopers (PwC) research indicates that financially
troubled retailers have been closing more than 2 in 5 stores as
the high street comes under increased pressure.

PwC examined the administration announcements of 22 troubled
retailers and found that on average they were proposing to close
43% of their stores.  This means that if just 10% of national
retailers get into financial difficulty in 2009, then
approximately an additional 4,400 stores could come onto the
market.

Previously, a similar exercise was carried out in October 2007,
May and October 2008 and the numbers increased from 27% to 36% to
38%.

Barry Gilbertson, corporate restructuring partner specializing in
real estate at PwC, said: "Trying to calculate the financial
effect of these vacancies is also quite complex, but if the
average rent paid to lease a high street store or shopping center
unit was to be, say, GBP160,000 per annum then the rental lost to
UK landlords just from these 4,400 stores would be around GBP700
million a year."

PwC is forecasting that retailers will be able to gain cuts in
rents as more companies in the sector hit financial trouble.  This
week, the Office for National Statistics reported a decline in UK
retail sales of 0.8% in December, the biggest fall since records
began in 1986.

"Landlords may even be prepared to waive rent altogether, provided
that the tenant stays in occupation and, at least, pays the
service charge, insurance and local authority rates," said
Professor Gilbertson.

PwC updated its analysis following a spate of insolvencies of
well-known retailers in 2008, listing at least 38 insolvencies, or
confidential restructurings by the end of December 2008.  There
was data for 22 of these retailers, who had previously traded from
3,642 stores.  They had to jettison 1,553 stores, equivalent to
43% of the total portfolio.

PwC then extrapolated this research across a range of national
retailers to measure the impact of the changing shopping
environment.

There are enough shopping centers in the UK development pipeline
to open seven centers the size of Bluewater – which is one of the
largest in Europe.  The retail market has already seen the
openings, in 2008, of Liverpool One, Cabot Circus in Bristol and,
most recently, Westfield, in West London.

Professor Gilbertson said: "When all this new retail space is
added to our predicted store closures coming also onto the market,
the downward pressure on retail rental levels increases even
further.  For tenants, this pressure should mean cheaper rents,
but for landlords life will be even tougher, as some tenants go
out of business and other tenants push hard for lower or deferred
rental payments."

                About PricewaterhouseCoopers LLP

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


* S&P Takes Rating Actions on 255 European Synthetic CDO Tranches
-----------------------------------------------------------------
Standard & Poor's Ratings Services took credit rating actions on
255 European synthetic collateralized debt obligation tranches.

Specifically, the ratings on:

  -— 184 tranches were lowered;

  —- 69 tranches were lowered and remain on CreditWatch negative;
     and

  —- Two tranches were raised.

Of the 253 tranches lowered:

  —- 25 reference U.S. residential mortgage-backed securities and
     U.S. CDOs that are exposed to U.S. RMBS, which have
     experienced negative rating actions; and

  —- 228 have experienced corporate downgrades in their portfolio.

The rating actions are part of S&P's regular monthly review of
synthetic CDOs.  These actions incorporate, among other things,
the effect of recent rating migration within reference portfolios
and recent credit events on several corporate entities.

For transactions that have experienced these credit events, and
where the final recovery is still to be determined S&P has assumed
these recovery valuations:

  -— 91.51% for senior Fannie Mae debt and 99.90% for subordinated
     debt;

  —- 94% for senior Freddie Mac debt and 98% for subordinated
     debt;

  —- 8.625% for Lehman Brothers Inc. (Lehman debt);

  —- 57% for Washington Mutual Inc. debt;

  —- 1.25% for senior Landsbanki Islands debt and 0.125% for
     subordinated debt;

  —- 3% for senior Glitnir debt and 0.1250% for subordinated debt;

  —- 6.625% for senior Kaupthing debt and 2.375% for subordinated
     debt; and

  —- 1.5% for Tribune Co. debt.

The rating actions also reflect the new correlation assumptions
for CDOs that have exposure to:

  —- Financial intermediaries;

  —- Insurance companies; and

  —- Real estate investment trusts and real estate operating
     companies.

Summary of the rating actions S&P has taken on European synthetic
CDO tranches since July 2008:

          Downgrades  Upgrades
          (no. of     (no. of   Key corporate
          tranches)   tranches) downgrades*
          ----------  --------- -------------
Jul-08    44        41         Radian Asset Assurance Inc.
                                (AA/Watch Neg to A/Watch Neg)
                                June 16, 2008

                                Countrywide Home Loans, Inc.
                                (BB+/Watch Dev to AA/Negative)
                                July 1, 2008

Aug-08    75        27         Residential Capital, LLC
                                (SD to CCC+/Negative)
                                July 15, 2008

                                Louisiana-Pacific Corp.
                                (BBB-/Negative to BB+/Watch Neg)
                                July 29, 2008

Sep-08    38         0         Radian Group Inc.
                                (BBB/Watch Neg to BB+/Negative)
                                Aug. 26, 2008

                                PMI Group Inc.
                                (BBB+/Negative to BBB-/Watch Neg)
                                Aug. 26, 2008

Oct—08    77         0         Lehman Brothers Inc.
                                (A+/Negative to A+/Watch Neg)
                                Sept. 9, 2008
                                (A+/Watch Neg to BB-/Watch Dev)
                                Sept. 15, 2008
                                (BB-/Watch Dev to D)
                                Sept. 23, 2008

                                Washington Mutual, Inc.
                                (BBB-/Negative to BB-/Negative)
                                Sept. 15, 2008
                                (BB-/Negative to CCC/Negative)
                                Sept. 24, 2008
                                (CCC/Negative to D)
                                Sept. 26, 2008

                                American International Group Inc.
                                (AA-/Watch Neg to A-/Watch Neg)
                                Sept. 15, 2008

Nov—08   791         0         Fortis N.V.
                                (A-/Developing to
                                BBB-/Watch Neg)
                                Oct. 6, 2008

                                Glitnir Bank
                                (CCC/Watch Neg to D)
                                Oct. 9, 2008

Dec-08   396         8         Residential Capital, LLC
                                (CCC-/Negative to CC/Watch Neg)
                                Nov. 20, 2008

                                Financial Guaranty Insurance Co.
                                (BB/Watch Neg to CCC/Negative)
                                Nov. 24, 2008

                                Clear Channel Communications Inc.
                                (B to CC)
                                Dec. 5, 2008

Jan-09   253         2         Citigroup Inc.
                                (AA-/Watch Neg to A/Stable)
                                Dec. 19, 2008

                                Morgan Stanley
                                (A+/Negative to A/Negative)
                                Dec. 19, 2008

* Corporate names that have experienced a significant notch
downgrade, as well as being highly referenced within European
synthetic CDOs.

For those transactions that have been on CreditWatch negative for
longer than 90 days, where S&P has either not received material
levels of information or relative portfolio credit quality has not
improved since the CreditWatch placement to a level sufficient to
affirm the rating, S&P has modeled recovery rates in accordance
with S&P's criteria and assessed portfolio quality based on its
credit quality.

These rating actions and the CreditWatch updates follow two
reviews.  The first review was of the CreditWatch placements made
on Jan. 13, 2009.

For the second review, where SROC (synthetic rated
overcollateralization) is less than 100%, S&P run scenarios that
project the current portfolio 90 days into the future, assuming no
asset rating migration.  Where this projection indicates that the
SROC would return to a level above 100% at that time, S&P maintain
the rating at its current level, and it remains on CreditWatch
negative.  If, on the other hand, the projection indicates that
the SROC would remain below 100%, S&P lower the rating.


* Fitch Reports Negative Outlook for European Investment Companies
------------------------------------------------------------------
Fitch Ratings says that the 2009 credit outlook for European
commercial property investment companies, such as REITs, is
increasingly negative.  For Fitch-rated issuers at least, some
credit stability will be provided through 2009 by generally good
quality long-term contracted rental income, limited development
exposure and currently robust liquidity profiles.  However, the
downside risks are increasing as balance sheet-based covenants
will likely come under pressure, new financing remains difficult
to obtain and tenant defaults become more common.

"Fitch-rated issuers in this sector anticipated the current
commercial property downturn well, particularly by putting in
place long-term financing structures to ensure funding throughout
a period of constrained credit availability.  In most cases, they
substantially scaled back development programs before, or as soon
as the property downturn really began to bite," said Julian Crush,
Senior Director in Fitch's EMEA Construction and Property team.
"However, tenant defaults and non-renewal of leases, which may
exceed levels seen in the last major downturn of the early 1990s,
are likely to negatively impact reported income and interest cover
over the course of 2009 and 2010."

Projections of peak-to-trough UK all property capital value
declines of 50% or more now seem possible (about 35% reported
decline from peak to December 2008).  A decline of this magnitude
is likely to pressure balance sheet-based covenants across the
sector, potentially including some of Fitch's rated issuers.  If
lenders agree to reset these covenants they are likely to demand
changes to other terms of the financing, particularly interest
rate margins, which could negatively impact interest cover.  Fitch
will also be watching for any cancellations in un-drawn headroom
as a condition of covenant reset.  Raising new equity is a
possibility for repairing covenant headroom, but the agency is
cautious about the prospects for achieving this on a large scale
in view of currently poor market sentiment and the now 40% to 60%
discounts to Net Asset Value.  Declines in property capital values
are not in themselves a negative rating trigger for Fitch as the
agency's methodology focuses on the sustainability of interest
cover and its constituents including tenant quality and income
longevity.  The agency also assesses the inherent risks of a
development program and the issuer's corporate debt profile.

The impact of tenant default was well contained in the last major
downturn, averaging 1% to 3% of net annual rent roll across
Fitch's rated universe in this sector.  However, 2009 and 2010 are
likely to present the most significant test of rental income
robustness across all property asset classes since the early
1990s.  The agency has factored into its current rating levels
average tenant defaults at, or above the upper end of the range
seen in the 1990s, depending upon property portfolio focus.

Liquidity is currently good for rated issuers, with limited
committed development spend or upcoming debt maturities.  However,
the short-term outlook for raising new economically viable debt
(bank or bonds) remains poor.  A particular sensitivity is the
requirement by banks to reduce their lending, thus exposure to
'property' in general may well be curtailed.  This could lead to
expensive debt, if it is available at all, which may also erode
interest cover.  Corporate liquidity across the sector could
worsen if the property downturn persists into 2010 and lending
remains tightly rationed, as some commercial property investment
companies will need to refinance in late 2009 and 2010.  Fitch
will also assess the impact of any asset/liability mismatches on
credit metrics, including for issuers that have Sterling debt and
foreign currency assets and earnings, in the wake of Sterling's
recent sharp deterioration.

Whilst the concentration of Fitch's rated universe is UK Real
Estate Investment Trusts, the agency also covers PSP Swiss
Property AG which focuses on the Swiss market and Atrium European
Real Estate Ltd which has its main exposure to Central and Eastern
Europe.  In stark contrast to the UK, the Swiss commercial
property market has to date seen no material declines in property
asset capital values and rents are currently holding up well.
This is partly related to limited supply projected to come onto
the market within the next 18 months to 2 years.  In Central and
Eastern Europe occupational markets have remained resilient so
far, as overall vacancy rates have fallen and rents have risen.
However, the agency notes that the economic situation in CEE is
rapidly deteriorating which could affect future outlooks.

Recent rating actions in the European commercial property
investment sector have been mainly negative, including: September
2008 - Brixton plc revised to Outlook Stable from Outlook
Positive, senior unsecured rating affirmed at 'BBB'; October 2008
- Hammerson plc's senior unsecured rating downgraded to 'BBB+',
Outlook Stable; January 2009 - SEGRO plc revised to Outlook
Negative from Outlook Stable, senior unsecured rating affirmed at
'A-' (A minus).  Other ratings in the sector include PSP Swiss
Property AG, senior unsecured rating 'A-' (A minus), Outlook
Stable, British Land, senior unsecured rating 'BBB+', Outlook
Stable and Atrium European Real Estate Ltd, senior unsecured
rating 'BB+', Outlook Stable.


* Fitch Says Outlook for European Building Companies Is Negative
----------------------------------------------------------------
Fitch Ratings says the 2009 credit outlook for European building
materials companies is Negative, as ongoing difficult trading
conditions in some key markets are likely to affect operating cash
flows.  This would put pressure on ratings, at a time when
headroom is limited following recent acquisition activity.

De-leveraging will be challenging in 2009 and Fitch believes that
issuers which are reliant on divestments to reduce their debt
levels - such as HeidelbergCement AG (HC, 'BB-'(BB minus)/
'B'/Rating Watch Negative) and Lafarge ('BBB'/'F3'/Rating Watch
Negative) - are likely to continue facing adverse M&A markets due
to a persistent tight credit environment.

"Measures announced so far by issuers may prove to be insufficient
to defend their credit profiles, in light of the rapidly worsening
market conditions," says Elisabetta Zorzi, Senior Director in
Fitch's European Corporates group.

Fitch says any further negative actions are likely to be limited
to single-notch downgrades, following several negative rating
actions on EBM issuers in 2008.  These include downgrades of HC on
December 5 and October 30, 2008; the downgrade of Compagnie de
Saint-Gobain ('BBB+'/'F2'/Outlook Stable) on July 28, 2008; the
change in Outlook on Holcim Ltd to Negative on November 14, 2008
('BBB+'/'F2'/Outlook Negative) and the placement of Lafarge on
Rating Watch Negative and the downgrade of its Short-term rating
on 5 December 2008 (Lafarge, 'BBB'/'F3'/Rating Watch Negative).

Although the sector has announced measures to preserve cash flow
and credit profiles, such as cutting 2009 capex by up to 30%,
Fitch says this figure could increase to up to 45% if market
conditions continue to deteriorate.  New projects or plant
modernizations are likely to be postponed, while capacity under
construction will be completed to replace old, small and
inefficient capacity which is likely to be shut down to reduce
fixed costs.  Fitch believes that the recent moderation of energy,
raw materials and freight costs is unlikely to provide any
meaningful positive impact on profitability.  The agency sees 2009
EBITDAR margins at rated entities declining by at least 200 bps,
compared with 2008, as a result of overall lower activity.
However, this would not be considered material to trigger a rating
change.

The agency continues to view geographical and end-market
(residential, commercial and public sector construction)
diversification as a key rating driver.  It should help to
mitigate risks related to downturns in construction spending as
investment cycles may vary from market to market.  Among Fitch-
rated entities, Holcim and Lafarge are deemed by Fitch to have
above-average geographical diversification.

Fitch notes that cash flow generation and working capital could
come under pressure in 2009.  Although EBM companies so far have
not reported any major problems in customer receivables
collection, Fitch believes this could be an issue in Q109,
following the deterioration in trading conditions in Q408 and as
credit markets continue to tighten.

Fitch would expect EBM issuers to review their shareholder return
policies (CRH Plc ('BBB+'/'F2'/Outlook Stable) announced in
November 2008 its share buyback program suspension), should the
above-mentioned measures prove insufficient to maintain a balanced
credit profile.

Liquidity for the majority of rated EBM companies is expected to
remain adequate, supported by satisfactory cash balances,
generally good, albeit somewhat declining, cash flow and
sufficient existing credit lines.  Material upcoming maturities
include HC with a EUR5 billion May 2010 maturity.  Refinancing
undertaken during 2008 include Saint-Gobain's EUR750 million bond
(September) and a one-year extension to October 2010 of a EUR2
billion syndicated acquisition loan.  Other companies that issued
debt in 2008 to refinance their existing debt were Lafarge with a
EUR1.5 billion dual tranche bond in May, HC four-year EUR1bn notes
in January and CRH a seven-year GBP250 million bond in April.

Fitch also notes that the credit profile of leveraged credits in
the building materials industry has generally deteriorated.  The
financial crisis has particularly affected building materials
issuers with heavy exposure to the residential construction
sector, which account for the majority of Fitch's shadow-rated
building materials portfolio.  A number of these companies have
requested waivers or amendments under their credit facilities to
stave off a default.  At December 30, 2008 , more than 42% of
Fitch's shadow-rated building materials credits were on Negative
Outlook or Rating Watch Negative and 63% were rated 'B-(minus)*'
and below.


* Fitch Reports Negative Outlook for EMEA Chemical Companies
------------------------------------------------------------
Fitch Ratings says that production cutbacks and capacity shutdowns
in the automotive and OEM sectors, as well as declining industrial
output and a slowdown in construction, are painting a bleak 2009
demand picture for EMEA chemical producers.  Against depressed
demand and this uncertain economic backdrop, volatility in
feedstock costs and FX will present additional challenges for EMEA
chemical producers.

Given the sudden and pronounced nature of the downturn, near-term
visibility on market conditions and issuer guidance for the
cyclical sub-segments of the industry (petrochemicals, plastics,
synthetic rubbers, coatings, paints) is very limited.  The agency
views the downside rating pressure for issuers exposed to these
specific sub-sectors as high should market and/or economic
conditions deteriorate beyond levels currently envisaged.

Fitch expects volume contraction in petrochemicals, polymers and
plastics y-o-y, in line with the erosion in key-end market demand
and with the trends observed in Q408.  The agency notes the
distorting effect of significant customer de-stocking following
the sharp fall of crude oil prices from all time highs of
USD127/barrel on average for FOB North Sea in Q308 to levels of
around USD41/barrel in December, which have been unseen since mid-
2004.

Petrochemical, polymers and plastics prices have also declined
with LDPE and HDPE contract prices falling by 40-50% and plastics
prices (EPS, PET, ABS, PVC) dropping by 20-30% over the quarter
from the record high levels of Q308.  While Fitch expects
inventory corrections to lift demand and prices from Q408 levels
in Q109, any price recovery is likely to be constrained by weak
buyer sentiment.

In response to these challenges, most producers with exposure to
commodity chemicals and plastics in Fitch's EMEA rated universe
have adopted measures to cut down expensive inventory levels and
adjust production by reducing operating rates and temporarily
idling capacity.  In November and December 2008, BASF SE
('AA-'((AA minus))/Negative/'F1'), Lanxess AG ('BBB'/Stable/'F3'),
DSM ('A-'((A minus))/Stable/'F2'), SABIC ('A+'/Stable/'F1'), JSC
SIBUR Holding ('BB'/Stable/'B'), Petkim Petrokimya Holdings A.S.
('BB-'((BB minus))/Stable) and LyondellBasell ('C'/RWN/'C'
announced temporary shut downs, production cutbacks of up to 40%
and brought forward scheduled maintenance works.  Trading results
for January 2009 indicate that market conditions remain very
challenging and Fitch expects the measures initiated in late 2008
to be continued through 2009.  The agency believes that producers
will intensify their focus on cash preservation with priority
given to cost-cutting programs, selective Capex spending and
reduced shareholder distributions.  Fitch does not expect these
measures to fully absorb the impact of the downturn and forecasts
a deterioration in margins, operating earnings and cash flow
generation across the sector.  Portfolio diversification and
exposure to downturn resilient end-markets such as fine chemicals
(consumer chemicals, pharma, nutrition), agro chemicals
(fertilizers, crop protection) and industrial gases should provide
some earnings stability for companies such as Solvay SA
('A'/Stable/'F1'), DSM, Cognis GmbH ('B'/Negative), Eurochem
('BB'/Stable/'B') and L'Air Liquide ('A'/Stable/'F1').

For petrochemical producers, weak demand will be compounded by
competition from substantial new low-cost ethylene capacity coming
onstream in the Middle East and Asia in 2009.  While tight global
credit conditions and weaker crude prices are dampening interest
for new expansion programs, projects commissioned for 2008/2009
and currently in the last phases of completion, will enter the
market during a testing time.  Global ethylene capacity is
expected to increase by approximately 12mT/year in 2009 (+8%),
which will intensify the pressure on operating rates, margins and
cash flow generation.  Whilst Middle East producers such as SABIC
should be able to maintain high operating rates through the year,
they are likely to see some margin compression as a result of the
sharp drop in prices from 2007/2008's record levels.  SABIC's
results will likely also continue to reflect the weak performance
of its European operations (SABIC Europe, SIP).  For BASF SE, JSC
SIBUR, OAO Nizhnekamskneftekhim ('B+'/Positive/'B'), backward
integration, cost positioning and feedstock flexibility will be
key differentiating factors in 2009 and will determine their
ability to weather the economic downturn.

The issuers who are likely to be most vulnerable to the
challenging market conditions are those whose financial strategies
during the 2007 boom, whether through shareholder friendly
actions, M&A activity or debt-funded expansion, have resulted in
weakened capital structures, high leverage and/or material debt
burdens. Such strategies led Fitch to downgrade L'Air Liquide and
Akzo Nobel ('BBB+'/Stable/'F2') in 2008 (the agency believes both
companies are now comfortably positioned at their current
ratings).  The Negative Outlook on BASF's IDR also reflects
shareholder-friendly actions and acquisitions (including CIBA
Specialty Chemicals (('BBB'/Rating Watch Positive/'F3')), and
credit metrics which leave little headroom under the rating for
earning and cash flow erosion.  Fitch notes that any future
negative rating action is likely to be limited to a single-notch
downgrade.  Exposure to commodity chemicals and debt-financed
expansion, resulting in high leverage and material debt service
burden, have proven a very challenging combination for
Kazanorgsintez ('CCC'/Rating Watch Negative/'C') and
LyondellBasell ('C'/RWN/'C'). Both companies are facing liquidity
and refinancing issues as a result of deteriorating market
conditions.  With the exception of those two issuers, liquidity
risk is low and debt maturity schedules remain manageable.

Despite the availability of discounted assets, Fitch expects M&A
activity to be subdued in 2009 due to the combined effect of tight
credit markets, a focus on cash preservation and the absence of
private equity buyers.

Fitch's rating actions on shadow-rated leveraged chemical
companies were largely affirmations in 2008.  As of December 2008,
50% of the ratings had a Negative Outlook or RWN, reflecting the
increased vulnerability of chemical players operating under
financially-leveraged, mostly private equity owned structures.


* Large Companies with Insolvent Balance Sheet
----------------------------------------------

                                Shareholders    Total   Working
                                    Equity      Assets   Capital
                          Ticker    (US$MM)    (US$MM)   (US$MM)
                          ------ -----------  -------   --------

AUSTRIA
-------
Libro AG                            (110)         174     (168)
Sky Europe                            (4)         213      (54)


BELGIUM
-------
Sabena S.A.                          (85)       2,215     (279)


CYPRUS
------
Allbury Travel                        (5)         275     (100)
Libra Holidays                        (5)         275     (100)

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


DENMARK
-------
Elite Shipping                       (28)         101        3
Roskilde Bank                       (533)       7,877      N.A.


FRANCE
------
BSN Glasspack                       (101)       1,151      159
Grande Paroisse S.A.                (927)         629      347
Immob Hoteliere                      (67)         301      (17)
Lab Dosilos                          (28)         110      (44)
Matussiere et Forest S.A. MTF        (78)         294      (38)
Pagesjaunes GRP           PAJ     (3,023)       1,377     (453)
Rhodia SA                           (342)       6,507      712
SDR Centrest                        (132)        (252)     N.A.
Selcodis S.A.             SPVX       (21)         141      (36)
Trouvay Cauvin                        (0)         134        9


GERMANY
-------
Alno AG                   ANO        (21)         340      (88)
Brokat AG                            (27)         144      109
CBB Holding AG            COB        (43)         905      N.A.
Cinemaxx AG               MXC        (38)         178      (47)
Dortmunder
   Actien-Brauerei        DABG       (13)         118      (27)
EECH Group AG                          0          109       57
EM.TV AG                  EV4G.BE    (22)         849       19
Kaufring AG               KAUG       (19)         151      (48)
Kunert AG                            (28)         102       29
Maternus Kliniken AG      MAK.F      (17)         182      (99)
Nordsee AG                            (8)         195      (14)
P & T Technology                       0          109       57
Primacom AG               PRC        (14)         730      (68)
Rinol AG                               0          168       (6)
Sander AG                             (6)         128       32
Sinnleffers AG                        (4)         454     (182)
Spar Handels- AG          SPAG      (442)       1,433     (294)
TA Triumph-Adler          TWN        (66)         484      (77)
Vivanco Gruppe                       (10)         131       28


GREECE
------
Empedos SA                           (34)         175      (57)
Noussa Spin                          (11)         450     (107)
Petzetakis-PFC            PETZP      (15)         294     (143)
Radio A.Korassidis        KORA      (101)         181     (165)
   Commercial
Themeliodome                         (56)         232     (128)
United Textiles                      (11)         450     (107)


HUNGARY
-------
Brodograde Indus                   (322)         264      (366)
IPK Osijek DD OS                    (15)         124       (82)
OT Optima Teleko                    (26)         119         7


ICELAND
-------
Decode Genetics                    (187)         111        48


IRELAND
-------
Elan Corp PLC             ELN      (388)       1,599       705
Waterford Wed Ut          WTFU     (506)         821       364


ITALY
-----
Binda S.p.A.              BND        (11)         129      (23)
Cirio Finanziaria S.p.A.            (422)       1,583      N.A.
Gruppo Coin S.p.A.        GC        (152)         791      (61)
Compagnia Italia          ICT       (138)         527     (318)
Credito Fondiario
   e Industriale S.p.A.             (200)       4,213      N.A.
Fullsix                               (4)         114      (18)
I Viaggi del
   Ventaglio S.p.A.       VVE        (73)         540     (127)
Lazzio S.p.A.                        (15)         261      (40)
Olcese S.p.A.             OLCI.MI    (13)         180      (80)
Parmalat Finanziaria
   S.p.A.                        (18,4219)       4,121  (16,919)
Snia S.p.A.               SN         (25)         488       31
Technodiffusione
   Italia S.p.A.          TDIFF.PK   (90)         152      (30)


LUXEMBOURG
----------
Carrier1 International S.A.          (95)         472      393


NETHERLANDS
-----------
Baan Company N.V.         BAAN        (8)         610       46
James Hardie Ind.                   (238)       2,357      184
United Pan-Euro Air       UPC     (5,505)       5,113   (9,170)


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


POLAND
------
Toora                               (289)          147     (86)


PORTUGAL
--------
Lisgrafica Impressao
   e Artes Graficas SA    LIG         (4)          117     (27)


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


RUSSIA
------
Akcionernoe Brd                     (117)         135      (24)
East Siberia Brd          VSNK      (113)         148      (11)
Gukovugol                            (58)         144     (148)
OAO Samaraneftegas                  (332)         892     (611)
Vanadiy-Tula-Brd                     (12)         105       (3)
Vimpel Ship               SOVP      (116)         135      (24)
Zil Auto                  ZILLP     (240)         478     (447)


SWITZERLAND
-----------
Fortune Management                  (119)         265      (54)

TURKEY
------
Egs Ege Giyim VE                      (7)         147      (25)
Iktisat Financial                    (46)         108      N.A.
Mudurnu Tavukcul                     (65)         160     (115)
Nergis Holding                       (77)         299       38
Sifas                                (17)         117       21
Yasarbank                          (4,025)      2,644      N.A.

UKRAINE
-------
Dniprooblenergo           DNON       (51)         433     (200)
Donetskoblenergo          DOON      (367)         631     (469)


UNITED KINGDOM
--------------
Advance Display                   (3,016)       2,590     (411)
Airtours Plc                        (379)       1,818     (932)
Alldays Plc                         (120)         252     (290)
Amer Bus Sys                        (497)         121     (497)
Amey Plc                  AMY        (49)         932      (76)
Anker Plc                            (22)         115       16
Atkins (WS) Plc           ATK        (46)       1,345       58
Black & Edgingto                    (140)         203       23
BNB Recruitment                      (10)         104       38
Booker Plc                BKRUY      (60)       1,298      (13)
Bradstock Group           BDK         (2)         269        7
British Energy Ltd                (5,823)       4,921      534
British Energy Plc        BGY     (5,823)       4,921      534
British Sky Broadcast               (334)       8,126     (388)
Carlisle Group                       (12)         204       30
Compass Group             CPG       (668)       2,972     (440)
Danka Bus                           (497)         121     (497)
Dawson Holdings                      (18)         226      (63)
Dignity Plc               DTY         (9)         648       71
E-II Holdings                       (199)         651      149
Easynet Group             ESY.L      (45)         323       68
Electrical and Music
   Industries Group       EMI     (2,266)       2,950     (582)
European Home                        (14)         111      (70)
Farepak Plc                          (14)         111      (70)
Gartland Whalley                     (11)         145      (13)
Hilton Food Group                    (21)         256      (12)
Kleeneze Plc                         (14)         111      (70)
Ladbrokes Plc             LAD       (814)       2,403     (706)
Lambert Fenchurch Group               (1)       1,827        5
Leeds United                         (73)         144      (48)
M 2003 Plc                        (2,204)       7,204   (1,078)
Mytravel Group            MT.L      (380)       1,818     (931)
New Star Asset                      (398)         293       21
Next Plc                            (119)       3,161     (125)
Orange Plc                ORNGF     (594)       2,902       12
Orbis Plc                             (4)         128       (5)
Patientline Plc                      (55)         125      (10)
Preedy Alfred                       (119)       3,161     (125)
Rank Group Plc                      (132)       1,066     (175)
Regus Plc                            (46)         367      (97)
Rentokil Initial                      (8)       4,178     (886)
Saatchi & Saatchi         SSI       (119)         705      (66)
Samsonite Corp.                     (199)         651     (149)
SFI Group                 SUF       (108)         178     (265)
Skyepharma Plc            SKP       (140)         203       23
Smiths News Plc                     (124)         201      (92)
Styles & Wood                        (57)         107       (9)
Telewest
   Communications Plc     TLWT    (3,702)       7,581  (10,042)
Thorn Emi Plc                     (2,266)       2,950     (582)
Topps Tiles Plc                     (111)         195       18
Trio Finance                         (14)         592      N.A.
UTC Group                            (12)         204       30
Virgin Mobile                       (392)         166     (176)
Watson & Philip                     (120)         252     (290)

                            *********

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

Each Tuesday edition of the TCR contains a list of companies with
insolvent balance sheets whose shares trade higher than US$3 per
share in public markets.  At first glance, this list may look like
the definitive compilation of stocks that are ideal to sell short.
Don't be fooled.  Assets, for example, reported at historical cost
net of depreciation may understate the true value of a firm's
assets.  A company may establish reserves on its balance sheet for
liabilities that may never materialize.  The prices at which
equity securities trade in public market are determined by more
than a balance sheet solvency test.

A list of Meetings, Conferences and Seminars appears in each
Thursday's edition of the TCR. Submissions about insolvency-
related conferences are encouraged.  Send announcements to
conferences@bankrupt.com

Each Friday's edition of the TCR includes a review about a book of
interest to troubled company professionals.  All titles are
available at your local bookstore or through Amazon.com.  Go to
http://www.bankrupt.com/booksto order any title today.

                            *********


S U B S C R I P T I O N   I N F O R M A T I O N

Troubled Company Reporter -- Europe is a daily newsletter co-
published by Bankruptcy Creditors' Service, Inc., Fairless
Hills, Pennsylvania, USA, and Beard Group, Inc., Frederick,
Maryland USA.  Valerie C. Udtuhan, Marites O. Claro, Rousel Elaine
C. Tumanda, Pius Xerxes V. Tovilla, Joy A. Agravante, Marie
Therese V. Profetana and Peter A. Chapman, Editors.

Copyright 2009.  All rights reserved.  ISSN 1529-2754.

This material is copyrighted and any commercial use, resale or
publication in any form (including e-mail forwarding, electronic
re-mailing and photocopying) is strictly prohibited without prior
written permission of the publishers.

Information contained herein is obtained from sources believed to
be reliable, but is not guaranteed.

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


                 * * * End of Transmission * * *