TCREUR_Public/090514.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

            Thursday, May 14, 2009, Vol. 10, No. 94

                            Headlines

A U S T R I A

HYPO GROUP: Commission Opens In-Depth Probe Into Aid Package
KORNMUELLER GMBH: Claims Registration Period Ends May 19
MASSMOEBEL GMBH: Claims Registration Period Ends June 10
PATRICK SCHWARZ : Claims Registration Period Ends May 25
RAMADANI KG: Claims Registration Period Ends May 20


B E L G I U M

FORTIS BANK: Commission Approves Additional Aid Measures


F R A N C E

BANQUE POPULAIRE: Commission Okays EUR2.45 Bln Capital Injection
CAISSE D'EPARGNE: Commission Authorizes Further Capital Injection
MATERIS: Extends Loan Waiver; Wants to Avoid Debt Restructuring

* FRANCE: Refinancing Scheme for Credit Institutions Extended


G E R M A N Y

ADVENIDAS GMBH: Claims Registration Period Ends June 5
ALGEPA PALETTEN: Claims Registration Period Ends June 9
ALPIN BAU: Claims Registration Period Ends June 2
ARCHIMEDES SOLAR: Claims Registration Period Ends June 2
BAYERNLB: Commission Opens In-Depth Probe Into Aid Package

DRESDNER BANK: Moody's Withdraws 'E+' FSR Following Merger
GENERAL MOTORS: RHJ Int'l Mulls Bidding for European Units
HYPO REAL ESTATE HOLDING: Commission Opens In-Depth Probe Into Aid
P O P P GMBH: Claims Registration Period Ends May 25
PREMA EDV: Claims Registration Period Ends June 2

PROMISE-I MOBILITY: Moody's Junks Rating on Class E 2005-2 Notes
SCANITA GMBH: Claims Registration Period Ends June 22
TALLYGENICOM LP: German Unit, Printronix Agree on Sale
TOUCH STONE: Claims Registration Period Ends June 16
WESTLB: European Commission Approves EUR5 Billion Risk Shield

WITTE GMBH: Claims Registration Period Ends June 3

* GERMANY: Finance Ministry Proposes Toxic Assets-Bonds Swap


I R E L A N D

ANGLO IRISH: Increases Bad-Debt Estimate for 2009 to EUR4.3 Bln
ANGLO IRISH: EU Commissions Approves EUR1.5 Bln Recapitalization
CAIRN EURO: S&P Puts BB- Rating on Class C Notes on Watch Negative
KESTREL FUNDING: S&P Lowers Rating on Income Notes to 'CC'


I T A L Y

CHRYSLER LLC: To Be Headed by Fiat CEO After Bankruptcy
CHRYSLER LLC: Court Approves Fiat-Led Sale Process for All Assets
FIAT SPA: To Select Chrysler Dealers for New Company
SEAT PAGINEGIALLE: S&P Affirms 'BB-' LT Corporate Credit Rating

* Moody's Cuts Issuer Ratings on Italy's City of L'Aquila to 'Ba1'


K A Z A K H S T A N

A & CONSULTING LLP: Creditors Must File Claims by June 12
KARATEK LLP: Creditors Must File Claims by June 12
KAZAKHTELECOM: S&P Changes Outlook to Negative; Holds 'BB' Rating
KAZMUNAIGAS JSC: S&P Affirms 'BB+' Corporate Credit Rating
KEU RUDNENSKY: Creditors Must File Claims by June 12

NC JSC: S&P Changes Outlook to Stable; Affirms Corporate Ratings
NUR AMI: Creditors Must File Claims by June 12
SCAN LLP: Creditors Must File Claims by June 12

* Moody's Changes Outlook on Kazakhstan's 'Ba1' Rating to Negative


K Y R G Y Z S T A N

REM NUR: Creditors Must File Claims by June 5


L A T V I A

PAREX BANKA: Commission Approves Amendments to Latvian Support


N E T H E R L A N D S

CARLSON WAGONLIT: S&P Cuts LT Corporate Credit Rating to 'B-'
METINVEST BV: Moody's Reviews 'B1' Corporate Rating for Downgrade
TRONOX INC: Sues Anadarko, Kerr-McGee for Fraudulent Conveyance


P O L A N D

* POLAND: IMF Approves US$20.58 Billion Arrangement Under FCL


R U S S I A

ARTSTROY LLC: Creditors Must File Claims by June 24
ISKROM LLC: Creditors Must File Claims by May 24
KANSKIY WOOD-SAWING: Creditors Must File Claims by June 24


S E R B I A   &   M O N T E N E G R O

* SERBIA: EUR250 Million Loan for SMEs Signed


S P A I N

NOZAR: In Talks With Creditor Banks, Rules Out Administration
SANTANDER FINANCIACION: S&P Junks Ratings on Class E Notes


S W I T Z E R L A N D

CORNIL JSC: Creditors Must File Proofs of Claim by June 2
HOLGI LLC: Claims Filing Deadline is May 29
RUNPACK VERPACKUNGEN: Creditors Have Until June 2 to File Claims
SIDEKICK COMPUTER: Claims Filing Deadline is July 2


U K R A I N E

INTAR-INVEST LLC: Creditors Must File Claims by May 22
LVOV METALLURGICAL: Creditors Must File Claims by May 23
UKRTECHNOSVIT LLC: Creditors Must File Claims by May 22
VOSTOK 2003: Court Starts Bankruptcy Supervision Procedure

* Moody's Cuts Deposit Ratings on 19 Ukrainian Banks to 'B3'
* Moody's Cuts Ukraine's Currency Government Bond Ratings to 'B2'
* UKRAINE: IMF Approves US$2.8 Bln Disbursement Under SBA


U N I T E D   K I N G D O M

A & J BADMAN: Appoints Joint Liquidators from BDO Stoy
ANGLO-WELSH UTILITIES: Brings in Joint Liquidators from BDO Stoy
AVANTI AIR: Taps Joint Liquidators from Baker Tilly
AXA FUND: Claims Filing Deadline is June 19
BERNARD L MADOFF: May 27 Hearing on UK Unit's Chapter 15 Petition

BURLINGTON DIGITAL: Appoints Liquidators from Tenon Recovery
CADOGAN BISTROS: Taps Joint Liquidators from Tenon Recovery
CENTRAL METAL: Goes Into Administration; 63 Jobs Axed
CENTRAL METAL: Business Offered for Sale
CITY GENERAL: Policyholders Can File Claims Until Oct. 21

CLEAR PLC: Moody's Withdraws 'Ca' Rating on JPY1 Bil. Notes
CRACK BONDING: Taps Joint Liquidators from Smith & Williamson
D & P CAIRNS: Appoints Joint Liquidators from Tenon Recovery
EBI MANUFACTURING: Business Up for Sale
ENTERPRISE INNS: Scraps First-Half Dividend to Repay Debt

HIGHLANDS INSURANCE: Scheme Meeting Slated for June 18
INMARSAT HOLDINGS: S&P Puts 'BB-' Debt Rating on Positive Watch
JEDBURGH KILTMAKERS: Taps Joint Liquidators from Tenon Recovery
NORTHERN ROCK: Commission Extends In-Depth Probe Into UK Aid
RADIOSCAPE LTD: Assets Put Up for Sale

RED DESIGN: Proofs of Claim Deadline is May 20
ROBERT CULLEN: Bought Out of Administration by Former Owner
ROYAL BANK: John Hourican Gains GBP11MM From Share Option Package
SAMURAI-SEC LTD: Taps Joint Liquidators from Tenon Recovery
SCOTTISH LION: Files Scheme of Arrangement Petition

THPA FINANCE: Fitch Puts 'BB' Rating on Class C Notes on Neg Watch
UBS AG: Moody's Junks Ratings on Series 6481 Notes from 'Ba2'
ULTRALIFE LIMITED: Business Up for Sale
W H WESSON: Appoints Joint Liquidators from Tenon Recovery
WIRRAL COMMUNITY: Goes Into Administration, LDP Says

* Moody's Takes Various Selective Rating Actions on Five UK Banks
* IMF Sees European Recovery from Economic Downturn in 2010

* Upcoming Meetings, Conferences and Seminars


                         *********


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


HYPO GROUP: Commission Opens In-Depth Probe Into Aid Package
------------------------------------------------------------
The European Commission on Tuesday, May 12, 2009, opened under EC
Treaty state aid rules an in-depth investigation into state
support measures for German Landesbank BayernLB and its Austrian
subsidiary Hypo Group Alpe Adria (HGAA).  BayernLB obtained rescue
aid in the form of a capital injection of EUR10 billion and a risk
shield of EUR4.8 billion, endorsed by the Commission on 18
December 2008.  Also in December 2008 HGAA received EUR0.7 billion
capital injection from BayernLB.  In addition, HGAA received a
EUR0.9 billion capital injection from Austria on the basis of the
Austrian banking emergency rescue scheme, approved by the
Commission in December 2008.  The opening of an investigation is
common for state interventions of this magnitude and will ensure
legal certainty for the companies concerned.  It also gives
interested parties the possibility to submit their comments.  It
does not prejudge the outcome of the procedure.

Competition Commissioner Neelie Kroes said: "The opening of the
in-depth investigation will ensure legal certainty and provide
third parties with an opportunity to comment on the measures.  I
am looking forward to continuing our constructive dialogue with
the national authorities in order to find a viable and acceptable
solution for the two banks."

                            BayernLB

BayernLB is Germany's second largest Landesbank and one of the
biggest German banks with a balance sheet total of EUR422 billion
in 2008.  It is owned by the Free State of Bavaria and the
Association of the Bavarian Savings Banks.

BayernLB is a commercial bank with regional focus on Germany and
selected European countries.  It provides banking services in the
field of retail banking, corporate clients, money markets and
securities as well as other financial services such as leasing.

Following the deterioration in the financial and economic
environment in the aftermath of the insolvency of Lehman Brothers
in September 2008, BayernLB's asset portfolio was downgraded
significantly, which, combined with large write-downs on its
asset-backed securities (ABS) portfolio, resulted in the need for
additional regulatory capital in December 2008.

In this context the Free State of Bavaria agreed to strengthen the
core capital of BayernLB by an amount of EUR10 billion and to
provide a risk shied of EUR4.8 on the ABS portfolio of BayernLB,
to prevent further write-downs.

The Commission approved these measures on December 18, 2008.  In
line with this decision, Germany notified on April 29, 2009, a
viability strategy for BayernLB.  This notification temporarily
extends the approval of the EUR10 billion recapitalization and the
EUR4.8 billion risk shield until the Commission has finalized its
assessment.

In addition to the measures by the Free State of Bavaria, in
December 2008 the German Financial Markets Stabilisation Fund
(SoFFin) granted a guarantee of EUR15 billion for liquidity loans
to BayernLB on the basis of the German banking emergency rescue
scheme, approved by the Commission in December 2008.

                          HGAA

The Austrian financial group HGAA is a subsidiary of BayernLB.  It
is active in banking and leasing with a balance sheet of EUR43
billion.  In banking, HGAA serves both corporate and retail
customers and offers services ranging from traditional lending
through savings and deposits to complex investment products and
asset management services.

After large write-downs and losses, the bank received a capital
injection of EUR0.7 billion from Bayern LB in 2008 in December
2008 which, in the view of the Commission, would not have been
granted without the aid measure from the Free State of Bavaria to
BayernLB.  In addition, also in December 2008, HGAA received State
aid in form of a recapitalization of EUR0.9 billion from Austria
on the basis the Austrian banking rescue scheme. On April 29, 2009
Austria submitted informally a viability plan for HGAA.

                      The investigation

The Commission will evaluate in detail whether the planned
measures are capable of restoring the long-term viability of
BayernLB and HGAA, whether the state support is limited to the
minimum necessary, and whether measures should be put in place to
minimise potential distortions of competition created by the aid.

The opening of a formal investigation procedure does not prejudge
whether the measures concerned are in line with the EU State aid
rules.  It is a necessary step to ensure legal certainty for the
aid beneficiaries and their business partners and provides an
opportunity to take account of comments from interested parties to
improve the measures.


KORNMUELLER GMBH: Claims Registration Period Ends May 19
--------------------------------------------------------
Creditors owed money by Kornmueller GmbH & Co KG  have until
May 19, 2009, to file written proofs of claim to the court-
appointed estate administrator:

         Dr. Franz Hofbauer
         Hauptplatz 6
         3370 Ybbs/Donau
         Austria
         Tel: 07412/52731
         Fax: 07412/52731-22
         E-mail: kanzlei@hofbauer-nokaj.at

Creditors and other interested parties are encouraged to attend
the creditors' meeting at 11:00 a.m. on June 9, 2009, for the
examination of claims at:

         Land Court of St. Poelten
         Room 216
         Second Floor
         St. Poelten
         Austria


MASSMOEBEL GMBH: Claims Registration Period Ends June 10
--------------------------------------------------------
Creditors owed money by Massmoebel GmbH have until June 10, 2009,
to file written proofs of claim to the court-appointed estate
administrator:

         Mag. Peter Freiberger
         Wienerstrasse 50-54
         8680 Muerzzuschlag
         Austria
         Tel: 03852-30080
         Fax: 03852-30080-80
         E-mail: office@rpf.at

Creditors and other interested parties are encouraged to attend
the creditors' meeting at noon on June 24, 2009, for the
examination of claims at:

         Land Court of Leoben
         Hall IV
         First Floor
         Leoben
         Austria


PATRICK SCHWARZ : Claims Registration Period Ends May 25
--------------------------------------------------------
Creditors owed money by Patrick Schwarz S.P.A. KEG have until
May 25, 2009, to file written proofs of claim to the court-
appointed estate administrator:

         Mag. Robert Igali-Igalffy
         Stojanstr. 43
         2344 Maria Enzersdorf
         Austria
         Tel: 02236/25138-20
         Fax: 02236/25138-15
         E-mail: office@igali-igalffy.at

Creditors and other interested parties are encouraged to attend
the creditors' meeting at 9:45 a.m. on June 4, 2009, for the
examination of claims.


RAMADANI KG: Claims Registration Period Ends May 20
---------------------------------------------------
Creditors owed money by Ramadani Kg have until May 20, 2009, to
file written proofs of claim to the court-appointed estate
administrator:

         Mag. Herbert Nigl
         Hauptplatz 15
         2100 Korneuburg
         Austria
         Tel: 02262/724 35
         Fax: 02262/724 35 50
         E-mail: rae@kniwi.at

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

         Land Court of Korneuburg
         Room 204
         Second Floor
         Korneuburg
         Austria


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


FORTIS BANK: Commission Approves Additional Aid Measures
--------------------------------------------------------
The European Commission on Tuesday, May 12, 2009, approved, under
EC Treaty state aid rules, additional aid measures from the
Belgian and Luxembourg States stemming from amendments of the
agreement between Fortis Holding, BNP Paribas, Fortis Bank and the
Belgian and Luxemburg authorities.  The Commission found that the
measures in favor of Fortis Bank and Fortis Holding were limited
to the minimum necessary to reach their goal and were, as such,
compatible with Article 87.3.b of the EC Treaty, that allows aid
to remedy a serious disturbance in the economy of a Member State.

Competition Commissioner Neelie Kroes stated: "The reasonably
calibrated additional aid for Fortis was necessary to allow the
sale of the bank to BNP Paribas to proceed.  I am confident that
Fortis bank will be made viable when combined with BNP Paribas.

On December 3, 2008, the Commission approved the aid granted by
Belgium, Luxembourg and the Netherlands to save Fortis Bank and
Fortis Bank Luxembourg (now Banque Generale du Luxembourg),
finding that the sale of Fortis Bank to BNP Paribas, in parallel
with other measures, would allow the long term viability of the
bank to be restored.

On December 12, 2008, the Court of Appeal of Brussels suspended
the sale to BNP Paribas and requested a consultation of the
shareholders.  This resulted in changes to the terms of the
transaction in favor of Fortis Holding.  Despite these
improvements, Fortis shareholders rejected the transaction on
February 11, 2009, triggering a renegotiation of the deal between
the Belgian and Luxemburg States, Fortis Holding and BNP Paribas.
In the new agreement, dated March 12, 2009, Belgium accepted to
assume a larger part of the risk of the investment vehicle which
will purchase impaired assets from Fortis Bank, Fortis Holding's
exposure being reduced accordingly.  Belgium also offered to
provide guarantees on a new EUR1 billion loan from Fortis Bank to
Fortis Holding and on financial liabilities of Fortis Holding
towards Fortis Bank. Lastly, Belgium gave Fortis Holding a call
option on the BNP Paribas shares it would acquire.  Belgium also
accepted to provide Fortis Bank with a mezzanine guarantee, also
called second loss guarantee, on the structured credit portfolio
retained by Fortis Bank.  Furthermore, Belgium accepted that the
investment vehicle, in which it assumes the largest part of the
risk, purchases additional impaired assets from Fortis Bank.
Finally, Banque Generale du Luxembourg will be recapitalised by
Luxembourg.

Taking account of the very specific and uncommon circumstances of
the case, the Commission concluded that the described measures
were the minimum necessary to obtain Fortis holding's
shareholders' approval on the transactions of early October 2008
and to allow the sale of Fortis Bank to BNP Paribas to proceed.
The Commission found that Fortis Bank would be made viable through
its combination with BNP Paribas.

The Commission also found that the measures relieving Fortis Bank
of certain impaired assets were in line with its communication on
the treatment of impaired assets.  In particular, the Belgian
State will purchase or guarantee the structured credits at a price
which is well below their real economic value.  In other words, a
significant part of the losses will be supported by Fortis Bank.

Finally distortions of competition resulting from the new aid will
be kept to the minimum.  In particular, the new entity committed
not to expand through acquisitions in the Belgian and Luxembourg
banking market.

                    About Fortis Bank

Headquartered in Brussels, Belgium, Fortis Banque SA/NV (also
known as Fortis Bank)  – http://www.fortis.com/--  provides
retail services as well as merchant banking, private banking, and
asset management services.  It operates more than 1,400 branches
in Belgium, Luxembourg, Germany, Poland, and Turkey.


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


BANQUE POPULAIRE: Commission Okays EUR2.45 Bln Capital Injection
----------------------------------------------------------------
The European Commission on Friday, May 8, 2009, authorized, under
the EC Treaty rules on state aid, a further EUR2.45 billion
capital injection into the institution to be created by the merger
between the Caisse d'Epargne and Banque Populaire groups.  This
French Government aid comes on top of that already granted to the
Caisse d'Epargne and Banque Populaire groups under the French
scheme to inject capital into credit institutions which the
Commission approved on December 8, 2008, January 28, 2009 and
March 24, 2009.  The aid is in line with the Commission’s guidance
on support measures for banks during the crisis.

Competition Commissioner Neelie Kroes commented: "The merger of
the Caisse d'Epargne and Banque Populaire groups has technical
implications for their level of capitalization.  A further capital
injection will help offset potentially adverse effects on the
financing of the economy and can be authorised."

The boards of the Caisse d'Epargne and Banque Populaire groups
have approved a merger which will see them transfer most of the
technical and human resources of their respective central bodies
to a common central body.  In order to put the new central body,
which will be responsible for guaranteeing the liquidity and
solvency of the entire group, on a sound financial footing, the
French Government wants to increase the amount of capital it
allocates to the Banque Populaire and Caisse d'Epargne groups.

On April 22 the French Government formally notified the Commission
of its plan to increase the amount of EUR2.55 billion already
approved by the Commission on January 28 by EUR2.45 billion, to be
paid to the Caisse d'Epargne and Banque Populaire groups under the
second instalment of the recapitalization scheme.  The two groups
had already received EUR2.05 billion under the first instalment of
the scheme.  Once the plan has been implemented, they will
therefore have received a capital injection of EUR7.05 billion in
total.


CAISSE D'EPARGNE: Commission Authorizes Further Capital Injection
-----------------------------------------------------------------
The European Commission on Friday, May 8, 2009, authorized, under
the EC Treaty rules on state aid, a further EUR2.45 billion
capital injection into the institution to be created by the merger
between the Caisse d'Epargne and Banque Populaire groups.  This
French Government aid comes on top of that already granted to the
Caisse d'Epargne and Banque Populaire groups under the French
scheme to inject capital into credit institutions which the
Commission approved on December 8, 2008, January 28, 2009 and
March 24, 2009.  The aid is in line with the Commission’s guidance
on support measures for banks during the crisis.

Competition Commissioner Neelie Kroes commented: "The merger of
the Caisse d'Épargne and Banque Populaire groups has technical
implications for their level of capitalization.  A further capital
injection will help offset potentially adverse effects on the
financing of the economy and can be authorised."

The boards of the Caisse d'Epargne and Banque Populaire groups
have approved a merger which will see them transfer most of the
technical and human resources of their respective central bodies
to a common central body.  In order to put the new central body,
which will be responsible for guaranteeing the liquidity and
solvency of the entire group, on a sound financial footing, the
French Government wants to increase the amount of capital it
allocates to the Banque Populaire and Caisse d'Epargne groups.

On April 22 the French Government formally notified the Commission
of its plan to increase the amount of EUR2.55 billion already
approved by the Commission on January 28 by EUR2.45 billion, to be
paid to the Caisse d'Epargne and Banque Populaire groups under the
second instalment of the recapitalization scheme.  The two groups
had already received EUR2.05 billion under the first instalment of
the scheme.  Once the plan has been implemented, they will
therefore have received a capital injection of EUR7.05 billion in
total.


MATERIS: Extends Loan Waiver; Wants to Avoid Debt Restructuring
----------------------------------------------------------------
Tessa Walsh at Reuters reports that banking sources said on
Tuesday France-based private owned specialty chemicals company
Materis has extended the waiver deadline on its EUR2 billion
leveraged loan to Friday, May 15, as it seeks to avert a debt
restructuring.

Reuters, citing two bankers, discloses Materis asked lenders to
reset its loan covenants and ease its repayment schedule in return
for fees and a small EUR45 million equity injection from Wendel to
allow the parent to keep control of the company and lenders to
avoid writedowns.

According to Reuters, a banker close to the deal said Materis will
run out of money and default on its amortizing payment if the
lenders turn down the proposals.  Reuters relates a second banker
said investors are reluctant to ease Materis' repayment schedule
as the company is unlikely to be able to meet even deferred
payments after a slump in the chemicals sector.

Reuters recalls the bankers said the waiver, which was arranged by
BNP Paribas and financed Wendel's purchase in 2006, failed to gain
the necessary consensus from lenders last week.  The waiver was
approved by lenders to the company's term loan B and C but were
rejected by lenders to a term loan A and acquisition loan, the
report recounts citing the bankers.

Headquartered in Cedex France, Materis -- http://www.materis-
paints.com –- manufactures speciality building materials including
paints and sealants.


* FRANCE: Refinancing Scheme for Credit Institutions Extended
-------------------------------------------------------------
In accordance with the state aid rules of the EC Treaty, the
European Commission on Tuesday, May 12, 2009, authorized the
extension of the refinancing scheme for credit institutions in
France.  The Commission found the extension of the measures,
initially approved on October 31, 2008, to be in line with its
Communication on state aid to overcome the financial crisis.  In
particular, the extended measures are limited in time and scope.
The Commission has therefore concluded that they represent an
appropriate means of remedying a serious disturbance in the French
economy and as such are compatible with Article 87(3)(b) of the EC
Treaty.

Competition Commissioner Neelie Kroes said: "The extension of the
refinancing scheme for financial institutions provides France with
effective means of restoring confidence in its financial system
and refinancing the economy, while at the same time establishing
safeguards to limit distortions of competition".

The application to extend the scheme -- which aims to further
stabilise the financial markets by ensuring access to credit --
was notified to the Commission on April 22, 2009.  Apart from the
period of application, all other conditions (such as eligible
institutions, remuneration and safeguards against possible abuse)
remain as laid down in the original decision.

The Commission found that the measures were well targeted,
proportionate, and limited in time and scope.  It therefore
concluded that the scheme was an appropriate means of restoring
confidence in France's financial market and stimulating interbank
lending.


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


ADVENIDAS GMBH: Claims Registration Period Ends June 5
------------------------------------------------------
Creditors of Advenidas GmbH have until June 5, 2009, to register
their claims with court-appointed insolvency manager.

Creditors and other interested parties are encouraged to attend
the meeting at 9:20 a.m. on July 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 Hamburg
         Hall B 405
         Fourth Floor Annex
         Civil Justice Bldg.
         Sievkingplatz 1
         20355 Hamburg
         Germany

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

The insolvency manager can be reached at:

         Heiko Fialski
         Johannes-Brahms-Platz 1
         20355 Hamburg
         Germany

The court opened bankruptcy proceedings against the company on
April 30, 2009.  Consequently, all pending proceedings against the
company have been automatically stayed.

The Debtor can be reached at:

         Advenidas GmbH
         Attn: Bjorn von Meyenn, Manager
         Brauhausstrasse 17-19
         22041 Hamburg
         Germany


ALGEPA PALETTEN: Claims Registration Period Ends June 9
-------------------------------------------------------
Creditors of Algepa Paletten Recycling & Handelsgesellschaft mbH
have until June 9, 2009, to register their claims with court-
appointed insolvency manager.

Creditors and other interested parties are encouraged to attend
the meeting at 10:00 a.m. on June 30, 2009, at which time the
insolvency manager will present his first report.

The meeting of creditors will be held at:

         The District Court of Lueneburg
         Hall 302
         Ochsenmarket 3
         21335 Lueneburg
         Germany

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

The insolvency manager can be reached at:

         Hendrik Rogge
         Haferweg 22
         22769 Hamburg
         Germany
         Tel: 040/89 71 86-0
         Fax: 040/89 71 86 11

The court opened bankruptcy proceedings against the company on
April 29, 2009.  Consequently, all pending proceedings against the
company have been automatically stayed.

The Debtor can be reached at:

         Algepa Paletten Recycling & Handelsgesellschaft mbH
         Auf dem Salzstock 9
         21217 Seevetal
         Germany

         Attn: Wolfgang Klitsch, Manager
         Schäferkampsallee 44
         20357 Hamburg
         Germany


ALPIN BAU: Claims Registration Period Ends June 2
-------------------------------------------------
Creditors of Alpin Bau und Service GmbH have until June 2, 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 July 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 Leipzig
         Room 030
         Enforcement Court
         Bernhard Goering Strasse 64
         04275 Leipzig
         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. Juergen Wallner
         Karl-Heine-Strasse 25 b
         04229 Leipzig
         Germany

The court opened bankruptcy proceedings against the company on
May 4, 2009.  Consequently, all pending proceedings against the
company have been automatically stayed.

The Debtor can be reached at:

         Alpin Bau und Service GmbH
         Attn: Ralf Brummer, Manager
         Plautstr. 80
         04179 Leipzig
         Germany


ARCHIMEDES SOLAR: Claims Registration Period Ends June 2
--------------------------------------------------------
Creditors of Archimedes Solar GmbH have until June 2, 2009, to
register their claims with court-appointed insolvency manager.

Creditors and other interested parties are encouraged to attend
the meeting at 8:00 a.m. on July 8, 2009, at which time the
insolvency manager will present his first report.

The meeting of creditors will be held at:

         The District Court of Stuttgart
         Room 178
         Hauffstr. 5
         70190 Stuttgart
         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:

         Michael Pluta
         Albstr. 14
         70597 Stuttgart
         Germany
         Tel: 0711/76 96 880
         Fax: 0711/76 96 88 50

The court opened bankruptcy proceedings against the company on
May 4, 2009.  Consequently, all pending proceedings against the
company have been automatically stayed.

The Debtor can be reached at:

         Archimedes Solar GmbH
         Attn: Fritz Klotz and
               Stefan Dameron, Manager
         Industriestr. 4
         70565 Stuttgart
         Germany


BAYERNLB: Commission Opens In-Depth Probe Into Aid Package
----------------------------------------------------------
The European Commission on Tuesday, May 12, 2009, opened under EC
Treaty state aid rules an in-depth investigation into state
support measures for German Landesbank BayernLB and its Austrian
subsidiary Hypo Group Alpe Adria (HGAA).  BayernLB obtained rescue
aid in the form of a capital injection of EUR10 billion and a risk
shield of EUR4.8 billion, endorsed by the Commission on 18
December 2008.  Also in December 2008 HGAA received EUR0.7 billion
capital injection from BayernLB.  In addition, HGAA received a
EUR0.9 billion capital injection from Austria on the basis of the
Austrian banking emergency rescue scheme, approved by the
Commission in December 2008.  The opening of an investigation is
common for state interventions of this magnitude and will ensure
legal certainty for the companies concerned.  It also gives
interested parties the possibility to submit their comments.  It
does not prejudge the outcome of the procedure.

Competition Commissioner Neelie Kroes said:  "The opening of the
in-depth investigation will ensure legal certainty and provide
third parties with an opportunity to comment on the measures.  I
am looking forward to continuing our constructive dialogue with
the national authorities in order to find a viable and acceptable
solution for the two banks."

                            BayernLB

BayernLB is Germany's second largest Landesbank and one of the
biggest German banks with a balance sheet total of EUR422 billion
in 2008.  It is owned by the Free State of Bavaria and the
Association of the Bavarian Savings Banks.

BayernLB is a commercial bank with regional focus on Germany and
selected European countries.  It provides banking services in the
field of retail banking, corporate clients, money markets and
securities as well as other financial services such as leasing.

Following the deterioration in the financial and economic
environment in the aftermath of the insolvency of Lehman Brothers
in September 2008, BayernLB's asset portfolio was downgraded
significantly, which, combined with large write-downs on its
asset-backed securities (ABS) portfolio, resulted in the need for
additional regulatory capital in December 2008.

In this context the Free State of Bavaria agreed to strengthen the
core capital of BayernLB by an amount of EUR10 billion and to
provide a risk shied of EUR4.8 on the ABS portfolio of BayernLB,
to prevent further write-downs.

The Commission approved these measures on December 18, 2008.  In
line with this decision, Germany notified on April 29, 2009, a
viability strategy for BayernLB.  This notification temporarily
extends the approval of the EUR10 billion recapitalization and the
EUR4.8 billion risk shield until the Commission has finalized its
assessment.

In addition to the measures by the Free State of Bavaria, in
December 2008 the German Financial Markets Stabilisation Fund
(SoFFin) granted a guarantee of EUR15 billion for liquidity loans
to BayernLB on the basis of the German banking emergency rescue
scheme, approved by the Commission in December 2008.

                          HGAA

The Austrian financial group HGAA is a subsidiary of BayernLB.  It
is active in banking and leasing with a balance sheet of EUR43
billion.  In banking, HGAA serves both corporate and retail
customers and offers services ranging from traditional lending
through savings and deposits to complex investment products and
asset management services.

After large write-downs and losses, the bank received a capital
injection of EUR0.7 billion from Bayern LB in 2008 in December
2008 which, in the view of the Commission, would not have been
granted without the aid measure from the Free State of Bavaria to
BayernLB.  In addition, also in December 2008, HGAA received State
aid in form of a recapitalization of EUR0.9 billion from Austria
on the basis the Austrian banking rescue scheme. On April 29, 2009
Austria submitted informally a viability plan for HGAA.

                      The investigation

The Commission will evaluate in detail whether the planned
measures are capable of restoring the long-term viability of
BayernLB and HGAA, whether the state support is limited to the
minimum necessary, and whether measures should be put in place to
minimise potential distortions of competition created by the aid.

The opening of a formal investigation procedure does not prejudge
whether the measures concerned are in line with the EU State aid
rules.  It is a necessary step to ensure legal certainty for the
aid beneficiaries and their business partners and provides an
opportunity to take account of comments from interested parties to
improve the measures.


DRESDNER BANK: Moody's Withdraws 'E+' FSR Following Merger
----------------------------------------------------------
Moody's Investors Service has withdrawn the Aa3/Prime-1 long-term
and short-term deposit ratings and E+ bank financial strength
rating of Dresdner Bank AG.

The rating action follows the completion of Dresdner's merger with
Commerzbank AG (rated Aa3/P-1/C-), resulting in Dresdner's
incorporation into its parent, Commerzbank AG, which became
legally effective on May 11, 2009, with financial and tax
reporting effects retroactive to January 1, 2009.  Dresdner has
now ceased to exist and has been replaced by Commerzbank AG in all
its legal relationships.  Commerzbank AG has also assumed
Dresdner's outstanding debts.

This rating action does not affect the ratings of Dresdner Bank
Luxembourg S.A. (wholly owned by the Commerzbank group), which is
rated A1/C/P-1 with a stable outlook.

Moody's anticipated the rating impact of the merger by
incorporating Dresdner into Commerzbank AG in its press release of
September 2, 2008, when it downgraded Dresdner's long-term rating
to the level of the future combined entity.

These ratings of Dresdner Bank AG were withdrawn:

  -- Aa3 long-term deposit rating
  -- Prime-1 short-term deposit ratings
  -- E+ BFSR

Commerzbank AG and Dresdner Bank AG are both domiciled in
Frankfurt, Germany.  At the end of December 2008, Commerzbank AG
had total consolidated assets of EUR625.2 billion and recorded net
income of EUR3 million over the full year.  Dresdner Bank had
total consolidated assets of EUR420.9 billion and recorded a net
loss of EUR6.3 billion for the year.


GENERAL MOTORS: RHJ Int'l Mulls Bidding for European Units
----------------------------------------------------------
RHJ International, a European buyout firm with holdings in the
auto-parts industry, is considering bidding for General Motors'
European operations, which include Adam Opel GmbH, Dana Cimilluca
at The Wall Street Journal report, citing a person familiar with
the matter.

WSJ notes that RHJ, which owns stakes in some auto-parts makers
around the world, is likely to try integrating those operations
with GM's in Europe if it strikes a deal.

                   Other Possible Bidders

According to WSJ, Fiat SpA and Magna International Inc. are also
eyeing the operations.  German politicians, according to Sharon
Terlep and Jeff Bennett at Dow Jones Newswires, have said that
Fiat's plans are more advanced, but Magna's offer is viewed as a
viable option and is receiving serious consideration.  Dow Jones
notes that Magna's interest could frustrate efforts by Fiat to
acquire GM assets in Europe, Latin America, and South Africa.

"We are in talks with Opel, GM and German government officials
regarding potential alternatives for the future of Opel, which
could include Magna taking a minority stake," Dow Jones quoted
Magna CEO Donald Waker as saying.

Globe & Mail states that Magna has proposed taking a 20% stake in
Opel, alongside 35% held by other partners.  Dow Jones relates
that under the proposal, GM would have a 35% stake, while workers
would hold 10%.  According to Dow Jones, GM CEO Fritz Henderson
said that the Company would consider holding a minority stake in
the unit.  Globe & Mail reports that Magna's investment would be
around US$260 million.  Dow Jones says that Russian auto maker OAO
GAZ Group confirmed its interest in partnering with Magna on an
Opel deal.

Dow Jones, citing a person familiar with the matter, reports that
talks with Magna are taking place in Europe, while Fiat's talks
are centered in Detroit.

                   About General Motors Corp.

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

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

As reported by the Troubled Company Reporter, GM reported net loss
of US$6.0 billion, including special items, in the first quarter
of 2009.  This compares with a reported net loss of US$3.3 billion
in the year-ago quarter.  Excluding special items, the company
reported an adjusted net loss of US$5.9 billion in the first
quarter of 2009 compared to an adjusted net loss of US$381 million
in the first quarter of 2008.  As of March 31, 2009, GM had
US$82.2 billion in total assets and US$US$172.8 billion in total
liabilities, resulting in US$90.5 billion in stockholders'
deficit.

On April 27, General Motors Corp. presented the United States
Department of Treasury with an updated plan as required by the
loan agreement signed by GM and the U.S. Treasury on December 31,
2008.  The plan addresses the key restructuring targets required
by the loan agreement, including a number of the critical elements
of the plan that was submitted to the U.S. government on
December 2, 2008.  Among these are: U.S. market competitiveness;
fuel economy and emissions; competitive labor cost; and
restructuring of the company's unsecured debt.  It also includes a
timeline for repayment of the Federal loans, and an analysis of
the company's positive net present value.

The plan details the future reduction of GM's vehicle brands and
nameplates in the U.S., further consolidation in its workforce and
dealer network, accelerated capacity actions and enhanced
manufacturing competitiveness, while maintaining GM's strong
commitment to high-quality, fuel-efficient vehicles and advanced
propulsion technologies.

GM also launched a bond exchange offer for roughly US$27 billion
of unsecured public debt.  If successful, the bond exchange would
result in the conversion of a large majority of this debt to
equity.

GM is also in talks with the UAW to modify the terms of the
Voluntary Employee Benefit Association, and with the U.S. Treasury
regarding possible conversion of its debt to equity.  The current
bond exchange offer is conditioned on the converting to equity of
at least 50% of GM's outstanding U.S. Treasury debt at June 1,
2009, and at least 50% of GM's future financial obligations to the
new VEBA.  GM expects a debt reduction of at least US$20 billion
between the two actions.

In total, the U.S. Treasury debt conversion, VEBA modification and
bond exchange could result in at least US$44 billion in debt
reduction.

GM filed with the Securities and Exchange Commission a
registration statement related to its exchange offer.  The filing
incorporates the revised Viability Plan.  A full-text copy of the
filing is available at http://ResearchArchives.com/t/s?3c09

A full-text copy of GM's viability plan presented in February 2009
is available at http://researcharchives.com/t/s?39a4

                     Going Concern Doubt

Deloitte & Touche LLP, has said there is substantial doubt about
GM's ability to continue as a going concern after reviewing GM's
2008 financial report.  Deloitte cited the Company's recurring
losses from operations, stockholders' deficit and failure to
generate sufficient cash flow to meet the Company's obligations
and sustain the its operations.  It said GM's future is dependent
on the Company's ability to execute the Company's Viability Plan
successfully or otherwise address these matters.  If the Company
fails to do so for any reason, the Company would not be able to
continue as a going concern and could potentially be forced to
seek relief through a filing under the U.S. Bankruptcy Code.

Standard & Poor's Ratings Services on April 10 lowered its issue-
level rating on GM's US$4.5 billion senior secured revolving
credit facility to 'CCC-' (one notch above the 'CC' corporate
credit rating on the company) from 'CCC'.  It revised the recovery
rating on this facility to '2' from '1', indicating its view that
lenders can expect substantial (70% to 90%) recovery in the event
of a payment default.  The corporate credit rating remains
unchanged, at 'CC', reflecting its view of the likelihood that GM
will default -- through either a bankruptcy or a distressed debt
exchange.

Moody's Investors Service said February 18 that the risk of a
bankruptcy filing by GM and Chrysler remains high.  The last
rating action on GM and Chrysler was a downgrade of their
Corporate Family Ratings to Ca on December 3, 2008.


HYPO REAL ESTATE HOLDING: Commission Opens In-Depth Probe Into Aid
------------------------------------------------------------------
The European Commission on Thursday, May 7, 2009, opened under EC
Treaty State aid rules an in-depth investigation into state
support measures for German bank Hypo Real Estate.  This is a
first step towards finding a viable long-term solution, in close
contact with the German authorities.  Hypo Real Estate Holding AG
(HRE) obtained rescue aid in the form of a state guarantee of €35
billion, endorsed by the Commission on October 2, 2008.  Because
this measure continues to be necessary for the bank to ensure its
financing, Germany has notified a prolongation of the guarantee
together with accompanying measures for HRE.  The opening of an
investigation is common for state interventions of this magnitude
and will ensure legal certainty for the companies concerned.  It
also gives interested parties the possibility to submit their
comments.  It does not prejudge the outcome of the procedure.

Competition Commissioner Neelie Kroes said: "In view of the
difficult situation of Hypo Real Estate and the large amount of
aid involved, the Commission has decided to carry out an in-depth
investigation into the aid package for Hypo Real Estate in order
to ensure legal certainty and allow interested third parties to
give their views."

Hypo Real Estate Group (HRE group) has its headquarters in Munich,
Germany.  It has a balance sheet total of around EUR400 billion
and consists mainly of the following companies: Hypo Real Estate
Holding AG, Hypo Real Estate Bank AG, DEPFA Deutsche
Pfandbriefbank AG as well the Irish DEPFA Bank plc.  The banks of
the HRE group belong to one of the largest issuers of covered
bonds (Pfandbriefe).

Currently HRE group is active in: Commercial Real Estate Finance,
Public Sector & Infrastructure Finance and Capital Markets & Asset
Management.  It has business in Europe, Asia, North America and
South America.

On October 2, 2008, the Commission approved rescue aid in form of
a EUR35 billion state guarantee for two liquidity lines in line
with the EU rules on rescue aid.  In addition, HRE has received
state aid in the form of guarantees amounting to EUR52 billion
provided by the Financial Market Stabilization Fund (SoFFin) under
a German banking rescue scheme, approved by the Commission on
December 12, 2008.

In line with the Commission's decision on the rescue aid, Germany
notified on April 1, 2009 a restructuring plan for HRE.  This
notification temporarily extends the legality of the EUr35 billion
state guarantee until the Commission has finalised its assessment.
The detailed investigation will evaluate whether the planned
measures are capable of restoring the long-term viability of the
bank, whether state support is limited to the minimum necessary,
and whether measures should be put in place to minimise potential
distortions of competition created by the aid.

The investigation will also cover the acquisition of 20 million
newly-issued HRE shares by SoFFin on March 30, 2009 and the
prolongation of the EUR52 billion guarantees granted under the
German banking rescue scheme.  It might possibly include an
additional capital injection by SoFFin.

The opening of a formal investigation procedure does not prejudge
whether the measures concerned are in line with the EU State aid
rules.  It is a necessary step to ensure legal certainty for the
aid beneficiaries and their business partners and provides an
opportunity to take account of comments from interested parties to
improve the measures.


                    About Hypo Real Estate

Germany-based Hypo Real Estate Holding AG (FRA:HRXG) --
http://www.hyporealestate.com/-- is a German holding company for
the Hypo Real Estate Group.  It is an international real estate
financing company, combining commercial real estate financing
products with investment banking.  The Company divides its
operations into three business units: Commercial Real Estate,
which provides real estate financing on the international and
German market; Public Sector & Infrastructure Finance, and Capital
Markets & Asset Management.  Hypo Real Estate Group operates
through a number of subsidiaries, including, among others, Hypo
Real Estate Bank International AG that focuses on Pfandbrief-based
commercial real estate financing in all international markets, and
offers large-volume investment banking and structured finance
transactions; Hypo Real Estate Bank AG that focuses on the
commercial real estate financing and refinancing business in
Germany, and DEPFA Bank plc in Dublin, Ireland, which is a
provider of public finance.

                        *     *     *

As reported in the Troubled Company Reporter-Europe on Dec. 2,
2008, Dominion Bond Rating Service downgraded its long-term
ratings for Hypo Real Estate Holding AG (Holding) and related
entities (together Hypo Real Estate or the Group), including the
Senior Unsecured Long-Term Debt rating for Holding, which was
downgraded to A (low) from "A".  Concurrently, all ratings have
been placed Under Review with Negative Implications.

DBRS's rating action followed the announcement of Hypo Real
Estate's Q3 2008 results, the announcement of an additional EUR20
billion short-term debt guarantee and of additional information
about the Group's liquidity challenges, earnings outlook and
pending application for more comprehensive external support.

The downgrade and the Under Review Negative status reflect DBRS's
concern that Hypo Real Estate's franchise has been weakened by its
ongoing liquidity challenges.  The Group's lack of access to
market funding currently restricts its ability to write new
business and requires it to seek more comprehensive support,
demonstrating the weakening of its intrinsic fundamentals, the
rating agency said.

A TCR-Europe report on Nov. 24, 2008, said Hypo Real Estate Group
incurred a consolidated pre-tax loss of EUR3.105 billion for the
third quarter of 2008 compared with a pre-tax profit of EUR237
million in the corresponding previous year period.  The quarterly
loss is mainly attributable to the writeoff of goodwill
and other intangible assets attributable to the initial
consolidation of DEPFA Bank Plc (EUR2.482 billion).

On Oct. 28, 2008, the TCR-Europe reported Standard & Poor's
Ratings Services lowered its long-term counterparty credit ratings
on the seven rated entities of Hypo Real Estate (HRE) group to
'BBB' from 'BBB+', namely, Germany-based commercial real estate
lenders Hypo Real Estate Bank International AG and Hypo Real
Estate Bank AG, public-finance lenders Depfa Deutsche
Pfandbriefbank AG, Ireland-based DEPFA BANK PLC, Depfa ACS, and
Hypo Public Finance Bank, and Luxembourg-based Hypo Pfandbriefbank
Bank International S.A.

"These rating actions reflect the group's strained financial
profile, weak funding position, and concerns about the viability
of its business model," said Standard & Poor's credit analyst
Volker von Kruechten.  "We expect HRE to restructure and downsize,
which may cause further pressure on earnings and capital, owing to
the difficult market environment and a deteriorating credit
cycle."


P O P P GMBH: Claims Registration Period Ends May 25
----------------------------------------------------
Creditors of P o p p  GmbH have until May 25, 2009, to register
their claims with court-appointed insolvency manager.

Creditors and other interested parties are encouraged to attend
the meeting at 10:50 a.m. on June 15, 2009, at which time the
insolvency manager will present his first report.

The meeting of creditors will be held at:

         The District Court of Bayreuth
         Meeting Hall 520 EG
         Friedrichstr. 18
         Bayreuth
         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. Wolfgang Bilgery
         Humboldtstr. 16
         70178 Stuttgart
         Germany
         Tel: 0711/966890
         Fax: 0711/9668999

The court opened bankruptcy proceedings against the company on
April 30, 2009.  Consequently, all pending proceedings against the
company have been automatically stayed.

The Debtor can be reached at:

         P o p p  GmbH
         Attn: Mirko Gries, Manager
         Kulmbacher Strasse 27
         95460 Bad Berneck
         Germany


PREMA EDV: Claims Registration Period Ends June 2
-------------------------------------------------
Creditors of Prema EDV-Dienstleistungen und Unterhaltungsgeräte
GmbH have until June 2, 2009, to register their claims with court-
appointed insolvency manager.

Creditors and other interested parties are encouraged to attend
the meeting at 9:00a.m. on June 30, 2009, at which time the
insolvency manager will present his first report.

The meeting of creditors will be held at:

         The District Court of Stuttgart
         Room 178
         Hauffstr. 5
         70190 Stuttgart
         Germany

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

The insolvency manager can be reached at:

         Dr. Volker Viniol
         Danneckerstr. 52
         70182 Stuttgart
         Germany
         Tel: 0711/23 88 90
         Fax: 0711/23 88 930

The court opened bankruptcy proceedings against the company on
April 28, 2009.  Consequently, all pending proceedings against the
company have been automatically stayed.

The Debtor can be reached at:

         Prema EDV-Dienstleistungen und
         Unterhaltungsgerate GmbH
         Attn: Marcus Maier, Manager
         Urbanstr. 2
         73614 Schorndorf
         Germany


PROMISE-I MOBILITY: Moody's Junks Rating on Class E 2005-2 Notes
---------------------------------------------------------------
Moody's Investors Service has downgraded its ratings of several
classes of notes issued by Promise-I Mobility.   The transactions
are synthetic Balance Sheet CDOs referencing pools of EUR-
denominated corporate loans to German SME borrowers (including
syndicated loans, sub-participations and credit guarantee claims)
granted by IKB.

The rating actions reflect the deterioration in the credit quality
of the transactions' reference portfolios, as indicated by an
increase in the portfolio equivalent average rating factor by:

  -- 67% since closing for Promise-I-Mobility 2005-1 GmbH (from
     398 at closing to 663 in April 2009)

  -- 24% since closing for Promise-I-Mobility 2005-2 GmbH (from
     370 at closing to 459 in April 2009)

  -- 70% since closing for Promise-I-Mobility 2006-1 GmbH (from
     327 at closing to 555 in April 2009)

  -- 56% since closing for Promise-I-Mobility 2008-1 GmbH (from
     303 at closing to 474 in April 2009)

The rating actions also reflect the revision of certain key
assumptions that the agency uses to rate and monitor corporate
CDOs.  These revised assumptions incorporate Moody's expectation
that European and global corporate default rates are likely to
greatly exceed their historical long-term averages and reflect the
heightened interdependence of credit markets in the current global
economic contraction.

Specifically, the changes include: (1) a 30% increase in the
assumed likelihood of default for corporate credits in CDOs (2) an
increase in the degree to which ratings are adjusted according to
other credit indicators such as rating Reviews and Outlooks and
(3) an increase in the default correlation applied to corporate
portfolios as generated through a combination of higher default
rates and increased asset correlations.

These revised assumptions are described in greater detail in the
press release published on January 15, 2009.  Moody's notes that
the global corporate loan sector currently has a negative outlook
and has shown signs of increasing weakness in terms of credit
performance.  The sector is further stressed by the anticipated
limited refinancing opportunities for EMEA corporate issuers over
the next six to twelve months.

In addition, for the all of the underlying referenced assets, the
equivalent Moody's ratings used in Moody's analysis are obtained
through a mapping process between the originator's internal rating
scale and Moody's public rating scale.  To compensate for the
absence of credit indicators such as ratings reviews and outlooks
in mapped ratings, a half notch stress was applied to the mapping
scale.  A stress of one notch was applied to assets belonging to
sectors which Moody's view as vulnerable such as Automobile,
Buildings and Real Estate, Finance, Hotels, Motels, Inns and
Gaming etc.

Moody's initially analyzed and continues to monitor this
transaction using primarily the methodology and its supplements
for corporate synthetic CDOs as described in Moody's Special
Reports and press releases below:

  -- Moody's Approach To Rating Corporate Collateralized Synthetic
     Obligations (April 2009)

  -- Framework for De-Linking Hedge Counterparty Risks from Global
     Structured Finance Cashflow Transactions (May 2007)

  -- Modeling Recovery Rates in European CDOs (August 2002)

  -- Moody's Approach to Rating CDOs of SMEs in Europe (February
     2007)

The rating actions are:

Promise-I Mobility 2005-1 GmbH

  -- Class A Floating Rate Credit Linked Notes, Downgraded to A1;
     previously on March 24, 2005 assigned Aaa;

  -- Class B Floating Rate Credit Linked Notes, Downgraded to
     Baa2; previously on March 24, 2005 assigned Aaa;

  -- Class C Floating Rate Credit Linked Notes, Downgraded to Ba1;
     previously on March 24, 2005 assigned A1;

  -- Class D Floating Rate Credit Linked Notes, Downgraded to B1;
     previously on March 24, 2005 assigned Baa2;

  -- Class E Floating Rate Credit Linked Notes, Downgraded to
     Caa1; previously on March 24, 2005 assigned Ba1.

Promise-I Mobility 2005-2 PLC

  -- Class A Floating Rate Credit Linked Notes, Downgraded to A3;
     previously on December 19, 2005 assigned Aaa;

  -- Class B Floating Rate Credit Linked Notes, Downgraded to
     Baa3; previously on December 19, 2005 assigned Aa2;

  -- Class C Floating Rate Credit Linked Notes, Downgraded to Ba2;
     previously on December 19, 2005 assigned A2;

  -- Class D Floating Rate Credit Linked Notes, Downgraded to B2;
     previously on December 19, 2005 assigned Baa2;

  -- Class E Floating Rate Credit Linked Notes, Downgraded to
     Caa2; previously on December 19, 2005 assigned Ba2.

Promise-I Mobility 2006-1 GmbH

  -- Class A Floating Rate Credit Linked Notes, Downgraded to A3;
     previously on December 18, 2006 assigned Aaa ;

  -- Class B Floating Rate Credit Linked Notes, Downgraded to
     Baa3; previously on December 18, 2006 assigned Aa2;

  -- Class C Floating Rate Credit Linked Notes, Downgraded to Ba2;
     previously on December 18, 2006 assigned A2;

  -- Class D Floating Rate Credit Linked Notes, Downgraded to
     Caa1; previously on December 18, 2006 assigned Baa2;

  -- Class E Floating Rate Credit Linked Notes, Downgraded to
     Caa3; previously on December 18, 2006 assigned Ba1.

Promise-I Mobility 2008-1 GmbH

  -- Class A2+ Floating Rate Credit Linked Notes, Downgraded to
     Aa3; previously on March 26, 2008 assigned Aaa;

  -- Class B Floating Rate Credit Linked Notes, Downgraded to
     Baa1; previously on March 26, 2008 assigned Aa1;

  -- Class C Floating Rate Credit Linked Notes, Downgraded to
     Baa3; previously on March 26, 2008 assigned Aa3;

  -- Class D Floating Rate Credit Linked Notes, Downgraded to Ba2;
     previously on March 26, 2008 assigned A3;

  -- Class E Floating Rate Credit Linked Notes, Downgraded to B2;
     previously on March 26, 2008 assigned Ba1.


SCANITA GMBH: Claims Registration Period Ends June 22
----------------------------------------------------
Creditors of Scanita GmbH have until June 22, 2009, to register
their claims with court-appointed insolvency manager.

Creditors and other interested parties are encouraged to attend
the meeting at 11:05 a.m. on July 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 Flensburg
         Hall A 220
         Suedergraben 22
         Flensburg
         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. Sven-Holger Undritz
         C/o White & Case Insolvenz GbR
         Rathausstrasse 6
         24937 Flensburg
         Germany

The court opened bankruptcy proceedings against the company on
April 29, 2009.  Consequently, all pending proceedings against the
company have been automatically stayed.

The Debtor can be reached at:

         Scanita GmbH
         Attn: Kim Filskov, Manager
         Falkenberg 27 a
         24939 Flensburg
         Germany


TALLYGENICOM LP: German Unit, Printronix Agree on Sale
------------------------------------------------------
Printronix Inc. and TallyGenicom AG confirmed that both companies
have reached a definitive agreement to sell TallyGenicom-branded
printers and components in Europe and worldwide.

Under the terms of the agreement, Printronix will acquire
intellectual property from TallyGenicom AG as well as worldwide
sales distribution rights for all TallyGenicom line matrix and
laser technologies, including printers, supplies and consumables.
The acquisition is subject to regulatory approval.  In addition,
TallyGenicom AG retains all intellectual property and worldwide
distribution rights for the TallyGenicom serial-matrix, inkjet and
thermal technologies, which includes printers and options,
supplies and consumables. TallyGenicom AG will continue to resell
TallyGenicom-branded line matrix and laser products purchased from
Printronix, and Printronix will resell serial matrix products
purchased from TallyGenicom AG.

The companies entered into this agreement after TallyGenicom
lodged objections to Printronix's March 23, 2009 acquisition of
certain assets of TallyGenicom LP, as prescribed by the U.S.
Bankruptcy Court for the District of Delaware.  The settlement
resolves all disputes between Printronix and TallyGenicom AG.

As reported by the Troubled Company Reporter on April 22, the
Delaware Court approved the sale of U.S. based TallyGenicom LP's
business to Printronix Inc. for US$36.6 million, including the
assumption of US$23 million in secured debt, US$6.75 million in
warranty claims and US$4 million in accounts payable.  Michale
Pluta, the preliminary insolvency administrator of TallyGenicom
A.G. sought a stay of the sale pending its appeal, citing that it
has rights to some of the property.  The Delaware Court, however,
refused to issue a stay order.

Distributors, resellers and end-user customers of TallyGenicom-
branded products can purchase products from their existing
TallyGenicom reseller or by contacting Printronix's global sales
offices:

  -- United States: +1 800-665-6210
  -- Europe, Middle East, & Africa: +33 (0) 1 46 25 19 00

Customers wishing to contact TallyGenicom AG may call:

      +49 (0) 731 20 75 0

                     About Printronix Inc.

Since 1974, Printronix Inc. -- http://www.printronix.com/--
has created innovative printing solutions for the industrial
marketplace and supply chain. The company is a worldwide leader in
enterprise solutions for line-matrix printing and has earned an
outstanding reputation for its high-performance thermal bar code
and fanfold laser printing solutions. Printronix also has become
an established leader in pioneering technologies, including radio
frequency identification (RFID) printing, bar code compliance and
networked printer management. Printronix is headquartered in
Irvine, Calif.

                   About TallyGenicom L.P.

Headquartered in Chantilly, Virginia, TallyGenicom L.P. aka
Datacom Manufacturing LP -- http://www.tallygenicom.com-- provide
an array of business and industrial imaging devices and printer
parts.

TallyGenicom L.P. and two of its affiliates filed for Chapter 11
protection on January 27, 2009 (Bankr. D. Del. Lead Case No. 09-
10266).  Ann C. Cordo, Esq., and Gregory Thomas Donilon, Esq., at
Morris Nichols Arsht & Tunnell LLP, represent the Debtors in their
restructuring efforts.  The Debtors propose Proskauer Rose LLP as
their special corporate counsel; CRG Partners Group LLC as
financial advisor; and Donlin Recano & Company Inc. as their
claims agent.  Suzzanne Uhland, Esq., at O'Melveny & Myers LLP,
and Mark D. Collins, Esq., at Richards, Layton & Finger, P.A.,
represent Printronix Inc., the stalking horse bidder.  Randall L.
Klein, Esq., at Goldberg Kohn Bell Black Rosenbloom & Moritz,
Ltd., and Steven K. Kortanek, Esq., at Womble Carlyle Sandridge &
Rice, PLLC, represent Dymas Funding Company LLC, agent to
Printronix' lenders.  When the Debtors filed for protection from
their creditors, they listed assets and debts between US$10
million to US$50 million each.

Tallygenicom AG is a Germany based subsidiary of TallyGenicom L.P.
Its German liquidator filed a Chapter 15 petition for the comapny
on March 19, 2009 (Banrk. D. Mass., Case No. 09-12253).  The
petitioner, Michale Pluta is the Preliminary Insolvency
Administrator and putative foreign representative of TallyGenicom
AG under Germany's Insolvenzordnung Insolvency Act pending before
the Amtsgericht, the Local Court of Ulm.  The petitioner's
counsel, is Steven T. Hoort, Esq., at Ropes & Gray, in Boston,
Massachusetts.  The company estimated assets and debts of US$10
million to US$50 million.


TOUCH STONE: Claims Registration Period Ends June 16
----------------------------------------------------
Creditors of Touch Stone Beteiligungs und Verwaltungs GmbH have
until June 16, 2009, to register their claims with court-appointed
insolvency manager.

Creditors and other interested parties are encouraged to attend
the meeting at 9:00 a.m. on July 16, 2009, at which time the
insolvency manager will present his first report.

The meeting of creditors will be held at:

         The District Court of Hamburg
         Hall B 405
         Fourth Floor Annex
         Civil Justice Bldg.
         Sievkingplatz 1
         20355 Hamburg
         Germany

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

The insolvency manager can be reached at:

         Dr. Klaus Pannen
         Neuer Wall 25/Schleusenbruecke 1
         20354 Hamburg
         Germany

The court opened bankruptcy proceedings against the company on
April 29, 2009.  Consequently, all pending proceedings against the
company have been automatically stayed.

The Debtor can be reached at:

         Touch Stone Beteiligungs und Verwaltungs GmbH
         Attn: Ahmet Duman, Manager
         Brookdeich 60a
         21029 Hamburg
         Germany


WESTLB: European Commission Approves EUR5 Billion Risk Shield
-------------------------------------------------------------
The European Commission on Tuesday, May 12, 2009, approved, under
EC Treaty state aid rules, the EUR5 billion risk shield for German
bank WestLB and accompanying measures, following an in-depth
investigation opened in October 2008.  The risk shield was
authorized by the Commission as temporary rescue aid on April 30,
2008.  Germany asked for a prolongation of the measure, together
with accompanying measures.  In light of the far-reaching measures
to be implemented to restore WestLB's long-term viability without
undue distortions of competition, the Commission concluded that
the aid was compatible with the Single Market.  In particular,
WestLB will refocus on less risky activities and reduce its size
by half.

Competition Commissioner Neelie Kroes said: "After a constructive
dialogue with the German authorities, I am confident that the
comprehensive plan they have submitted will ensure that the viable
parts of the bank will be preserved in the best interests of West
LB's owners, personnel, and ultimately tax payers.  This decision
opens up possibilities for a wider restructuring of the German
Landesbanks.

WestLB AG, based in North Rhine-Westphalia (NRW), had total assets
of EUR286.6 billion as at December 31, 2007.  In its capacity as a
German Landesbank, WestLB acts as central bank and link to global
financial markets for savings banks in NRW and Brandenburg, as
well as being a commercial bank operating on an international
scale.

On April 30, 2008, the Commission authorized a risk shield by the
State of North Rhine-Westphalia to protect the bank against the
volatility of its EUR23 billion structured investment portfolio.

On August 8, 2008, Germany notified a restructuring plan for
WestLB and requested the prolongation of the risk shield.  On
October 1, 2008, the Commission opened a formal investigation
procedure, to analyze whether the measures would enable WestLB to
return to long-term viability without undue distortions of
competition. The latest amendments to the viability plan submitted
by Germany show a considerable reorientation of WestLB's business
into less risky activities.  Under the plan, WestLB will in
particular entirely stop certain risky business activities, e.g.
proprietary trading, thereby reducing its assets by 50%. In
future, the bank may maintain its activities in three core
business areas:

   1. so-called 'transaction banking' (i.e. the treatment of
      payments)

   2. loans to medium-sized companies and its savings banks
      partnership ('Verbund Mittelstand') and

   3. corporate banking (e.g. loans to large companies), capital
      market activities (including financial instruments trading)
      and structured finance (e.g. financing of large projects).

Finally, Germany committed to change the bank's ownership
structure through a public tender procedure before the end of
2011.

The Commission is also satisfied that the state support is limited
to the minimum necessary and that measures such as the substantial
reduction of locations at which WestLB will be present and the
sale of a majority of its shareholdings will minimise the
potential distortions of competition.

The Commission's decision is conditional upon the approval of the
restructuring plan by the statutory bodies of all of WestLB's
owners.


WITTE GMBH: Claims Registration Period Ends June 3
--------------------------------------------------
Creditors of Witte GmbH Prazisionsteile aus Metall have until
June 3, 2009, to register their claims with court-appointed
insolvency manager.

Creditors and other interested parties are encouraged to attend
the meeting at 9:30 a.m. on June 26, 2009, at which time the
insolvency manager will present his first report.

The meeting of creditors will be held at:

         The District Court of Wuppertal
         Meeting Room A234
         Second Floor
         Isle 2
         42103 Wuppertal
         Germany

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

The insolvency manager can be reached at:

         Dr. Norbert Wischermann
         Alter Markt 9-13
         42275 Wuppertal
         Germany
         Tel: 0202/493 88-0
         Fax: 0202/45 19 39

The court opened bankruptcy proceedings against the company on
April 30, 2009.  Consequently, all pending proceedings against the
company have been automatically stayed.

The Debtor can be reached at:

         Witte GmbH Präzisionsteile aus Metall
         Christbusch 6-8
         42285 Wuppertal
         Germany

         Attn: Hans-Martin Schomaker, Manager
         Auf'm Kampe 40
         42279 Wuppertal
         Germany


* GERMANY: Finance Ministry Proposes Toxic Assets-Bonds Swap
------------------------------------------------------------
A Bloomberg News report says Germany's Finance Ministry published
a draft law that allows banks to swap toxic assets for guaranteed
bonds under a voluntary program.

The report says according to the draft, financial institutions
would deposit assets in so-called bad banks at 90 percent of their
book value and then sell bonds at that value, paying an annual fee
for the guarantee.  The lenders will pay the government rescue
fund the difference each year between the assets' discounted book
value and "fundamental" values as determined by auditors, the
report notes.

Banks participating in the program will be allowed to deposit so-
called "structured" debt into a special-purpose vehicle, or SPV,
including asset-backed securities and collateralized debt and loan
obligations, the draft cited by Bloomberg News said.  Eventual
losses at the assets' maturity will be paid by the parent bank's
shareholders, who will forego dividends, the draft shows.  The
legislation will permit banks to clean their books in the "short-
term" at the same time as "creating the security that banks need
when planning the necessary writedowns," the bill states.  "The
costs associated with the measures will be carried finally by the
owners" of the banks.

The report relates banking lobbies and business owners have
complained that Finance Minister Peer Steinbrueck stalled over the
bad bank model, failing to unfreeze credit as he sought ways to
limit the burden to taxpayers.

"Everything we're proposing aims not to burden the taxpayer," the
report quoted Minister Steinbrueck as saying.  "Burdens would
accrue to shareholders and not to the taxpayer" at the end of
maturity.

German banks hold some EUR300 billion in distressed debt and have
another EUR500 billion in so-called "non- strategic" assets,
Bloomberg News relates citing the Finance Ministry.  They've
written off EUR70.4 billion amid the crisis, led by Deutsche Bank
AG's EUR13.6 billion and Munich-based BayernLB's EUR11.9 billion,
the report says citing Bloomberg data.


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


ANGLO IRISH: Increases Bad-Debt Estimate for 2009 to EUR4.3 Bln
----------------------------------------------------------------
Anglo Irish Bank Corporation plc admitted on Monday it is
increasing its estimated bad-debt charge for the year from EUR2.9
billion to EUR4.3 billion, sending shares down by 13% in early
trading on Tuesday, May 12, Breakingnews.ie reports.

According to the report, some experts believe the figure, which is
higher than the worst-case scenario set out by the bank two months
ago, could rise even further before the end of the year.

                      About Anglo Irish Bank

Headquartered in Dublin, Ireland, Anglo Irish Bank Corporation plc
-- http://www.angloirishbank.ie/-- is engaged in the provision of
banking services.  The Bank operates in three core areas: business
lending, treasury and private banking.  The Bank's non-retail
business is made up of over 11,000 commercial depositors spanning
commercial entities, charities, public sector bodies, pension
funds, credit unions and other non-bank financial institutions.
The Company's retail deposits comprise demand, notice and fixed
term deposit accounts from personal savers with maturities of up
to two years.  Non-retail deposits are sourced from commercial
entities, charities, public sector bodies, pension funds, credit
unions and other non-bank financial institutions.  In addition, at
September 30, 2008, its non-retail deposits included deposits from
Irish Life Assurance plc.  The Private Bank offers tailored
products and solutions for high net worth clients and operates the
Bank’s lending business in Ireland and the United Kingdom.

                          *     *     *

Anglo Irish Bank Corporation continues to carry an 'E+' bank
financial strength rating from Moody's Investors Service, and an
'F' individual rating from Fitch Ratings.


ANGLO IRISH: EU Commissions Approves EUR1.5 Bln Recapitalization
----------------------------------------------------------------
The European Commission on Tuesday, May 12, 2009, approved, under
EC Treaty state aid rules, an emergency recapitalisation worth
EUR3.5 billion that the Irish authorities intend to grant to
Allied Irish Bank.  The Commission found the measure to be in line
with its Guidance Communications on state aid during the current
financial crisis.  In particular, the measure is limited in scope,
requires an adequate remuneration and provides safeguards to
minimise distortions of competition.  The measure constitutes an
adequate means to remedy a serious disturbance in the Irish
economy and is therefore compatible with Article 87.3.b. of the EC
Treaty.

Competition Commissioner Neelie Kroes said: "This capital
injection will enable Allied Irish Bank to weather the financial
crisis whilst avoid disproportionate distortions of competition.
The Commission has once again demonstrated that it can take
effective decisions on measures aimed at stabilising the situation
of banks affected by the crisis once it is in possession of full
information and sufficient commitments."

On April 22, 2009 the Irish authorities formally notified the
Commission of their intention to recapitalize Allied Irish Bank
with EUR3.5 billion.

Due to the current financial crisis, even banks that meet the
regulatory solvency ratios may experience distress and be required
to reinforce their capital.  In addition to difficulties caused by
the global financial crisis, recent developments with regard to
the sharp decrease of Allied Irish Bank's shares' value increased
the need to reassure the financial markets of the bank's stability

The shares to be issued will qualify as 'core tier 1 capital'.
They will produce a dividend of 8% payable annually, at the
discretion of the bank and in priority to dividends on ordinary
shares, with detachable warrants after five years. Dividends on
the shares are payable in cash, or -- if the bank is not able to
pay in cash -- in ordinary shares in lieu.  The shares will carry
25% of the voting rights in Allied Irish Bank.  The bank can
repurchase the shares at par during maximum five years.  After
that period, shares can be repurchased at 125% of par.  No
dividends on ordinary shares are allowed when no dividend on the
shares to be issued is paid to the Irish State.  On purchase of
the preference shares, the Irish State will also receive an option
to purchase 25% of the existing ordinary shares in the bank (the
'warrants').  This option may be exercised from the fifth to the
tenth anniversary of the preferred shares' purchase.

The Commission concluded that the measure complies with the
conditions laid down in its Guidance Communications.  In
particular, the measure meets the following criteria:

    * necessity: Allied Irish Bank has an important role within
      the Irish financial sector and a loss of confidence could
      have led to a further disturbance of the financial situation
      and harmful spill-over effects to the economy as a whole

    * appropriate own contribution: a remuneration of 8% per annum
      is consistent with the Commission's Recapitalisation
      Communication.  The Commission also took into account that
      the probability of return for the Irish State is reinforced
      through the possibility of combining the dividend payment in
      cash and ordinary shares and the existence of warrants.

    * Avoidance of undue distortions of competition: the package
      foresees sufficient behavioural rules to prevent an abuse of
      the state support, e.g. prohibition of advertising of the
      aid, restrictions on the payment of dividends, restrictions
      on executives' remuneration, nomination of public interest
      representatives to the bank's board and the submissi on of a
      restructuring plan within six months for the Commission's
      assessment and approval.

                     About Anglo Irish Bank

Headquartered in Dublin, Ireland, Anglo Irish Bank Corporation plc
-- http://www.angloirishbank.ie/-- is engaged in the provision of
banking services.  The Bank operates in three core areas: business
lending, treasury and private banking.  The Bank's non-retail
business is made up of over 11,000 commercial depositors spanning
commercial entities, charities, public sector bodies, pension
funds, credit unions and other non-bank financial institutions.
The Company's retail deposits comprise demand, notice and fixed
term deposit accounts from personal savers with maturities of up
to two years.  Non-retail deposits are sourced from commercial
entities, charities, public sector bodies, pension funds, credit
unions and other non-bank financial institutions.  In addition, at
September 30, 2008, its non-retail deposits included deposits from
Irish Life Assurance plc.  The Private Bank offers tailored
products and solutions for high net worth clients and operates the
Bank’s lending business in Ireland and the United Kingdom.

                          *     *     *

Anglo Irish Bank Corporation continues to carry an 'E+' bank
financial strength rating from Moody's Investors Service, and an
'F' individual rating from Fitch Ratings.


CAIRN EURO: S&P Puts BB- Rating on Class C Notes on Watch Negative
------------------------------------------------------------------
Standard & Poor's Ratings Services placed on CreditWatch negative
its credit ratings on 13 tranches issued by four collateralized
debt obligation transactions backed by structured finance
securities.  The ratings on the other classes of notes issued in
these CDO transactions are unaffected at this time.

The affected transactions are:

  -- Stanton MBS I PLC;
  -- FAB CBO 2005-1 B.V.;
  -- FAB UK 2004-1 Ltd.; and
  -- CAIRN EURO ABS CDO I PLC.

These rating actions are the result of deterioration in the credit
quality of the underlying portfolios.  This deterioration is shown
in the fall of overcollateralization test ratios, which in most
cases now breach their respective trigger levels as set out in the
transaction documents.  Overcollateralization test ratios have
fallen mainly as a consequence of various penalties, or
"haircuts", applied to low rated assets.

According to S&P's analysis, all the transactions are exposed
predominantly to European structured finance securities with the
largest country exposure in each case being to the U.K.

With respect to Stanton MBS I, FAB UK 2004-1, and Cairn EURO ABS
CDO I, the underlying credit risk comprises primarily residential
mortgage-backed securities, and to a lesser extent commercial
mortgage backed securities and securities issued by CDOs and other
structured finance entities.  S&P's analysis also shows that FAB
CBO 2005-1's portfolio comprises to a large extent securities
issued by CDOs, with the second largest assets class being RMBS.

The actions primarily follow a preliminary review of how recent
deterioration in the credit quality of collateral has affected
European CDOs.

                          Ratings List

             Ratings Placed on Creditwatch Negative

                        Stanton MBS I PLC
           EUR302.32 Million Secured Floating-Rate Notes

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

                       FAB CBO 2005-1 B.V.
            EUR305.6 Million Secured Floating-Rate Notes

                                 Rating
                                 ------
             Class        To                    From
             -----        --                    ----
             A2           AAA/Watch Neg         AAA

                        FAB UK 2004-1 Ltd.
     GBP198.5 Million Fixed-, Floating-, and Zero-Coupon Notes

                                 Rating
                                 ------
             Class        To                    From
             -----        --                    ----
             A-1E         AAA/Watch Neg         AAA
             A-1F         AAA/Watch Neg         AAA
             A-2E         AAA/Watch Neg         AAA
             A-3E         AA/Watch Neg          AA
             A-3F         AA/Watch Neg          AA
             BE           BBB+/Watch Neg        BBB+
             S1(1)        AAA/Watch Neg         AAA

                     CAIRN EURO ABS CDO I PLC
               EUR354.75 Million Floating-Rate Notes

                                 Rating
                                 ------
             Class        To                    From
             -----        --                    ----
             B            BBB-/Watch Neg        BBB-
             C            BB-/Watch Neg         BB-

     (1) The rating on the class S1 combination notes addresses
         the payment of a minimum GBP7.5 million of principal.


KESTREL FUNDING: S&P Lowers Rating on Income Notes to 'CC'
----------------------------------------------------------
Standard & Poor's Ratings Services lowered and removed from
CreditWatch negative its issuer credit ratings and its issue
credit ratings on medium-term notes issued by two structured
investment vehicles.  At the same time, S&P lowered its ratings on
the income notes issued by four SIVs.  The outlook for the SIV
sector remains negative.

                       Harrier And Kestrel

S&P has lowered the ICR and senior debt ratings on Harrier and
Kestrel following the rating actions on WestLB AG.  The downgrades
reflect WestLB's 100% liquidity support to the SIV and S&P's
opinion that the ICR and senior ratings do not merit being higher
than those on WestLB AG.

            Income Notes (Also Known As Capital Notes)

S&P has lowered its ratings on the income notes issued by Tango,
K2, Nightingale, and Kestrel to 'CC'.  This is because, in S&P's
opinion, each SIV is less likely to be able to repay these notes.
In the case of K2 and Nightingale, it is S&P's view that the
market value of the portfolio is not sufficient to repay capital
notes in full.  In the case of Tango, it is S&P's view that the
cash available after repaying senior debt will not be sufficient
to repay the capital note investors.

   ICRs And MTNs Lowered and Removed From CreditWatch Negative;
                         Outlook Negative

Harrier Finance Funding Ltd./ Harrier Finance Funding (U.S.) LLC

                                Ratings
                                -------
    Class              To                    From
    -----              --                    ----
    ICR                BBB+/Negative/A-2     A-/Watch Neg/A-2
    MTNs               BBB+                  A-/Watch Neg

           Kestrel Funding PLC/ Kestrel Funding US LLC

                                Ratings
                                -------
    Class              To                    From
    -----              --                    ----
    ICR                BBB+/Negative/A-2     A-/Watch Neg/A-2
    MTNs               BBB+                  A-/Watch Neg

    Income Notes Lowered and Removed From CreditWatch Negative

                        Tango Finance Ltd.

                                 Ratings
                                 -------
     Class              To                    From
     -----              --                    ----
     Income notes       CC                    CCC-/Watch Neg

                             K2 Corp.

                                 Ratings
                                 -------
     Class              To                    From
     -----              --                    ----
     Income notes       CC                    CCC-/Watch Neg

                     Nightingale Finance Ltd.

                                 Ratings
                                 -------
     Class              To                    From
     -----              --                    ----
     Income notes       CC                    CCC-/Watch Neg

                       Kestrel Funding PLC

                                 Ratings
                                 -------
     Class              To                    From
     -----              --                    ----
     Income notes       CC                    CCC-/Watch Neg


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


CHRYSLER LLC: To Be Headed by Fiat CEO After Bankruptcy
-------------------------------------------------------
In light of Chrysler LLC CEO Bob Nardelli's plan to leave Chrysler
following the Company's emergence from Chapter 11, Sergio
Marchionne, chief executive officer of Fiat Group, will become New
Chrysler's chief executive officer, The Associated Press reports,
citing a Fiat spokesman, as saying.

Mr. Marchionne, the 56-year-old dual Canadian and Italian citizen,
has reportedly been eyed for the job since Fiat made a deal with
Chrysler, notes AP.

Mr. Marchionne, meanwhile, is reportedly in talks to take over
General Motor's operations in Europe including Germany's Opel,
Britain's Vauxhall and Sweden's Saab.  Unlike its deal with
Chrysler where it assumed no debt, Fiat said talks in Germany
include assuming Opel's debt, AP reports.

Fiat confirmed that it is also interested in GM's Latin American
operations, the report notes.

              Fiat to Decide on Dealers' Fate

Reports note that while the Non-TARP lenders' withdrawal of their
objection to the Fiat Transaction clears a major obstacle to the
Chrysler-Fiat Deal, the obstacles are not entirely gone.  Chrysler
LLC's lenders who are not part of the U.S. Government's Troubled
Asset Relief Program, the same group of parties branded by U.S.
President Barack Obama as "speculators" for refusing to join
Chrysler's banks in the government-brokered deal to wipe
out US$6.9 billion debt and move forward with an out-of-court
alliance with Fiat, previously objected to the transaction, noting
that some unsecured creditors will be paid in full while first
lien lenders only 30 cents on the dollar, a violation of
bankruptcy law.

"Now it's on to dealers and suppliers, and that little issue of
product line-up," Jonathon Ramsey of Autoblog points out.

With regards the dealers, Chrysler is working on the list of
dealerships it plans to eliminate, and the dealers may learn
their fate in the next few days, according to Sharon Terlep and
Jeff Bennett of The Wall Street Journal.

Citing people familiar with the situation, Doron Levin and Mike
Ramsey of Bloomberg News, note that Fiat, not Chrysler, will
decide which dealers will be brought along to the new company.
The report further said an initial list of the retailers to be
retained will be filed in Court by May 14, with some dealers to
be added after the May 14 filing.

"I disagree with terminating dealers, but if that's what's
happening, then Fiat should be involved," said Chuck Eddy, an
owner of Bob & Chuck Eddy Chrysler-Dodge-Jeep in Youngstown,
Ohio, and a member of the U.S. automaker's national council,
reports Bloomberg News.

Chrysler, says WSJ, hasn't said how many of its 3,188 U.S dealers
it wants to close.  wftv.com, however, notes that Chrysler may
close around 650 to 800 dealerships nationwide.

Chrysler wants fewer dealers so those remaining will be more
profitable.  It had a plan last year to trim the number in major
metro areas by as much as 50%, Bloomberg News points out.

Kate Linebaugh at WSJ relates that some car dealers see
opportunity amid the industry's wreckage, aiming to grab market
share and boost profits by buying up struggling competitors.  Wes
Lutz, owner of a Dodge store, hopes he will make the cut and has
been hoarding cash to expand his business if he does, according
to WSJ.  Mr. Lutz, says the report, wants to buy out the other
local Chrysler dealer to grab the two sister brands he doesn't
represent -- Jeep and Chrysler.

WSJ states that Mr. Eddy also sees opportunity in the industry's
decline.  Mr. Eddy said that he has been able to produce record
sales by increasing his inventory and offering discounted prices,
WSJ relates.  Competitors have scaled back the number of new cars
on their lots, reducing choice for potential clients, WSJ says,
citing Mr. Eddy.

         Chrysler Clarifies Issues on Plant Closings

To address confusion regarding Chrysler plant closures, the
company disclosed in an official statement the status of certain
of its facilities in connection with its restructuring plan, in
the context of consummating the Chrysler-Fiat alliance.

According to the statement, the plants currently scheduled for
closing are:

* Sterling Heights Assembly Plant: A severe decline in the
   market has resulted in reduction of volumes and thus made
   operation of this plant not possible.  The plant is expected
   to continue operation through December 2010.

* Kenosha Engine: Unprecedented reduction in volume and demand
   for products has resulted in the decision to idle the plant
   in December 2010.

* Detroit Axle: All required work will be moved to a new
   facility that is being developed in nearby Marysville, Mich.
   The plant will be idled in December 2010.

* Twinsburg Stamping: Due to deteriorating volumes and in
   order to optimize capacity, existing volume will be
   transferred to Warren Stamping and Sterling Stamping plants
   effective March 2010.

* Conner Avenue Assembly Plant: The facility and vehicle
   platform has been for sale since 2008. The site is
   scheduled to idle December 2009.

* St. Louis North Assembly Plant: Due to volume reduction in
   the truck segment, capacity will be optimized by moving
   RamBox production to Warren Truck Assembly Plant effective
   third quarter of 2009.

* Newark Assembly Plant (closed December 2008)

* St. Louis South Assembly Plant (closed October 2008)

Chrysler noted that while most manufacturing operations have been
temporarily idled in order to reduce dealer inventory and as part
of the restructuring process, the idling was not the result of
the bankruptcy filing, and the company expects that most workers
will be back on the job following the bankruptcy proceedings and
the formation of the new company.

"It is expected that virtually all employees associated with
these facilities will be offered employment with the new
company," the company statement explained.  It further noted that
the Jefferson North Assembly Plant is scheduled to add a second
shift which represents 1,200 jobs coinciding with the
introduction of the all-new Jeep Grand Cherokee.  While the
company continues to address difficult market conditions, the
alliance will ultimately provide Chrysler customers and dealers
with a broader and more competitive lineup of fuel-efficient
vehicles and technology, the statement said.

"We are committed to working with every Chrysler community
throughout this restructuring process," Chrysler said in the
statement.

In response, a member of the United Auto Workers' national
bargaining committee for Chrysler LLC called the automaker
"despicable" for announcing the planned closing of the eight U.S.
plants less than 24 hours after UAW-represented Chrysler workers
agreed to accept more concessions, reports The Detroit News.

"It is despicable that a company can simply abandon its
communities, not because the company is ceasing productions, but
because they can produce it cheaper elsewhere," Detroit News
reports citing Bill Parker, a member of the UAW's bargaining unit
and president of Local 1700, which represents workers at the
Sterling Heights Assembly Plant, as saying.  Mr. Parker said the
UAW intends to discuss with Fiat the possibility of keeping the
plants open.

To recall, Chrysler LLC submitted its Viability Plan to the U.S.
Treasury and the President's Auto Task Force on Feb. 17, 2009.
As part of this plan, a number of restructuring actions were
designed to address significant declines in the Seasonally
Adjusted Annual Rate (SAAR) of auto sales -- from 15.6 million in
January 2008 to 9.8 million in January 2009 -- and position
Chrysler for future success.

Chrysler's stand-alone plan contemplated several plant closings
based on continued volume deterioration trends as well as a plan
that contemplated a global alliance with Fiat that enhanced its
stand-alone plan, and included significant concessions from all
stakeholders.  According to Chrysler, the specific plant actions
were not made public because "it would have been presumptuous to
assume that the plan was going to be approved, and inappropriate
to communicate prior to thorough discussion with the United Auto
Workers union."

On March 30, 2009, the U.S. Treasury and the President's Auto
Task Force rejected Chrysler's stand-alone Viability Plan.
However, the Task Force agreed that Chrysler could submit a plan
that would be evaluated with a decision made by April 30,
provided that it include a global alliance with Fiat and more
aggressive sacrifices by all stakeholders.

Between March 30 and April 29, 2009, Chrysler diligently pursued
this path.  Consequently, Chrysler was able to secure an alliance
with Fiat.  The capacity reductions in the new alliance framework
mirrored the Feb. 17 plan, though some of the timing was changed
due to continued shift in volume trends and consumer demand.

As a result, on April 30, Chrysler announced that it reached a
definitive agreement to establish a global strategic alliance
with Fiat to form a vibrant new company.  "This alliance will
save Chrysler, more than 50,000 jobs worldwide, including the
preservation of more than 30,000 U.S. and 9,000 Canadian jobs,
along with thousands of employees at dealers and suppliers,"
Chrysler pointed out.  "This far outweighs the alternative of
liquidation."

In order to effectuate this plan, Chrysler filed voluntary
petitions under Chapter 11 of the U.S. Bankruptcy Code.  Chrysler
also filed a motion under Section 363 of the Bankruptcy Code,
requesting the swift approval by the court of the agreement with
Fiat and the sale of Chrysler's principal assets to the new
company.  The substantial majority of Chrysler's assets,
operations, plants and people will be transferred to the new
company, while assets and liabilities that are not consistent
with Chrysler's business plan will remain with the old company
for disposition.  Under the supervision of the court, and with
the support of the U.S. Treasury and the President's Auto Task
Force, New Chrysler intends to quickly emerge from bankruptcy as
a restructured and financially healthy organization.

      Asia-Pacific Operations Not Affected by Ch. 11

According to The Wall Street Journal, Chrysler said in a
statement that its global operations, particularly in China,
won't be affected by the company's Chapter 11 cases in the U.S.
Chrysler's businesses in the Asia-Pacific region and China are
not included in the scope of the bankruptcy protection petition
and daily operations won't be impacted, Chrysler explained.
Chrysler said it intends to continue paying suppliers and honor
service warranties; dealerships will continue to operate as
usual, and the quality of Chrysler's vehicles won't be affected.

Chrysler, which mainly imports vehicles into the country, sold
8,237 units in China last year, according to market research firm
JD Power & Associates, the Journal reports.

                       About Chrysler LLC

Headquartered in Auburn Hills, Michigan, Chrysler LLC --
http://www.chrysler.com/-- manufactures Chrysler, Jeep(R), Dodge
and Mopar(R) brand vehicles and products.  The company has dealers
worldwide, including Canada, Mexico, U.S., Germany, France, U.K.,
Argentina, Brazil, Venezuela, China, Japan, and Australia.

In 2007, Cerberus Capital Management LP acquired an 80.1% stake in
Chrysler for US$7.2 billion.  Daimler AG kept a 19.9% stake.

Pursuant to the U.S. Government's Automotive Industry Financing
Program, the U.S. Department of the Treasury made emergency loans
to General Motors Corp., Chrysler Holding LLC, and Chrysler
Financial Services Americas LLC.  The Treasury purchased senior
preferred stock from GMAC LLC.  In exchange, Chrysler and GM
submitted restructuring plans to the Treasury on February 17,
2009.  Upon submission, President Obama's Designee on the Auto
Industry determined that the restructuring plans did not meet the
threshold for long-term viability.  However, on March 30, 2009,
both GM and Chrysler were granted extensions to complete the
restructuring plans to comply with the requirements set forth
under the Automotive Industry Financing Program.

The U.S. Government told Chrysler March 31, 2009, it would provide
up to US$6 billion in financing if (i) Chrysler and Fiat SpA could
complete a deal by the end of April -- on top of the US$4 billion
Chrysler has already received -- and (ii) Chrysler would obtain
concessions from constituents to establish a viable out-of-court
plan.

On April 30, Chrysler LLC and 24 affiliates sought Chapter 11
protection from creditors (Bankr. S.D. N.Y (Mega-case), Lead Case
No. 09-50002).  U.S. President Barack Obama said that Chrysler had
to file for bankruptcy after the automaker's smaller lenders,
including hedge funds that he didn't name -- "a small group of
speculators" -- refused to make the concessions agreed to by the
Company's major debt holders and workers.

In connection with the bankruptcy filing, Chrysler has reached an
agreement with Fiat SpA, the U.S. and Canadian governments and
other key constituents regarding a transaction under Section 363
of the Bankruptcy Code that would effect an alliance between
Chrysler and Italian automobile manufacturer Fiat.

Chrysler has hired Jones Day, as lead counsel; Togut Segal & Segal
LLP, as conflicts counsel; Capstone Advisory Group LLC, and
Greenhill & Co. LLC, for financial advisory services; and Epiq
Bankruptcy Solutions LLC, as its claims agent.

Chrysler's says that as of December 31, 2008, it had
US$39,336,000,000 in assets and US$55,233,000,000 in debts.
Chrysler had US$1.9 billion in cash at that time.

Bankruptcy Creditors' Service, Inc., publishes Chrysler Bankruptcy
News.  The newsletter tracks the Chapter 11 proceedings of
Chrysler LLC and its debtor-affiliates.
(http://bankrupt.com/newsstand/or 215/945-7000)


CHRYSLER LLC: Court Approves Fiat-Led Sale Process for All Assets
-----------------------------------------------------------------
Chrysler LLC and its affiliated debtors obtained approval from
the U.S. Bankruptcy Code for the Southern District of New York of
the bidding procedures for the sale of substantially all of their
assets.

A full-text copy of the Bidding Procedures is available for free
at http://bankrupt.com/misc/ChryslerBiddingProcedures.pdf

"The bidding procedures constitute a reasonable, sufficient,
adequate and proper means to provide potential competing bidders
with an opportunity to submit and pursue higher and better offers
for all or substantially all of the assets," Judge Arthur
Gonzalez said in his order dated May 7, 2009.

The assets to be sold include facilities, executory contracts and
leases, intellectual property rights, and those related to the
research, production and distribution of vehicles under brand
names including Chrysler, Jeep(R) and Dodge.

The Debtors offered to sell their assets to New CarCo Acquisition
LLC, a Delaware company formed by Fiat S.p.A., subject to higher
and better bids, as part of the Master Transaction Agreement that
Chrysler signed with Fiat and New CarCo on April 30, 2009.

The Fiat group's US$2 billion offer for the assets will be the
lead bid in a court-supervised auction to be held on May 27, 2009.
Fiat will receive a US$35 million breakup fee in case it is outbid
at the auction.

Prior to the Court's approval of the bidding procedures, Chrysler
argued in Court that it is imperative that the process be
completed expeditiously in order to secure the maximum value for
the company's stakeholders through the Chapter 11 process.
Chrysler said that given the stress on all aspects of the
automotive industry and the current idling of its manufacturing
facilities, key relationships with suppliers, dealers, and other
business partners cannot be preserved if the sale process is not
concluded quickly.

In addition, Chrysler noted that substantial new financial
commitments from the U.S. and Canadian governments require the
consummation of a transaction with Fiat within 60 days and make
DIP financing available for only that period.  The recently
announced agreements with the UAW and CAW providing for
modifications to the collective bargaining agreement for active
employees and for a new schedule of contributions to a VEBA that
will provide retiree medical benefits is also conditioned on the
expeditious consummation of the Fiat transaction.

"While Chrysler has already conducted discussions with Nissan,
GM, Volkswagen, Tata motors, Magna, GAZ, Hyundai, Honda and
Toyota and others over an extended period of time, these
discussions have not produced any viable alternative to the
proposed alliance with Fiat," the company disclosed in an
official statement.

In connection with the proposed sale, the Court approved the
procedures governing the assumption and assignment of executory
contracts and unexpired leases to New Carco. A full-text copy of
the notice containing the procedures is available for free at:

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

The procedures may be modified by further court order if a
company other than New CarCo is the winning bidder, or if a
transaction other than the proposed sale is consummated for the
sale of the Debtors' assets, says Judge Gonzalez.

A Sale Notice will also be circulated widely, and notice will
also be published in major newspapers to provide opportunity for
any interested party to emerge.  Full-text copies of the court-
approved Sale Notice, Publication Notice and the UAW Retiree
Notices, are available for free at:

http://bankrupt.com/misc/ChryslerSaleNotice.pdf
http://bankrupt.com/misc/ChryslerPublicationNotice.pdf
http://bankrupt.com/misc/ChryslerUAWRetireeNotices.pdf

The Court will convene a hearing on May 27, 2009, at 10:00 a.m.
(Eastern Time), to approve the winning bid.

The Court set May 26, 2009, as the deadline for the notice of
designation of lead bidder.

Companies interested to acquire the assets have until May 20,
2009 to submit competing bids.

All parties-in-interest, including the Debtors' prepetition
senior secured lenders, the International Union, United
Automobile, Aerospace and Agricultural Implement Workers of
America and the Official Committee Of Unsecured Creditors have
until May 19, 2009, 4:00 p.m. (Eastern Time), to object to the
approval of the Sale Transaction and the UAW Retiree Settlement
Agreement.

If a determination is made at the Sale Hearing that the
Successful Bidder is a bidder other than New CarCo, parties-in-
interest may object solely to the determination at the Sale
Hearing.

The Court will also consider approval of the UAW Retiree
Settlement Agreement at the May 27, 2009 Sale Hearing.  A full-
text copy of the UAW Retiree Settlement Agreement is available
for free at:

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

A full-text copy of the Equity Recapture Agreement with the
voluntary employees' beneficiary association trust is which is
available for free at:

http://bankrupt.com/misc/Chrysler_EquityRecapAgreement.PDF

The Debtors relate that New Chrysler has agreed to enter into the
Non-Pension Retiree Settlement Agreement on terms and conditions
that differ from those established by a certain settlement
agreement, dated March 30, 2008, in a class action of
International Union, UAW, et al. v. Chrysler LLC.

The Non-Pension Retiree Settlement Agreement will include, among
other things, the funding of benefits with a combination of an
equity interest in New Chrysler and a new US$4,587,000,000 note.

Under the UAW Settlement Agreement, certain benefit reductions
will take effect July 1, 2009, assuming consummation of the Sale
Transaction.

                       About Chrysler LLC

Headquartered in Auburn Hills, Michigan, Chrysler LLC --
http://www.chrysler.com/-- manufactures Chrysler, Jeep(R), Dodge
and Mopar(R) brand vehicles and products.  The company has dealers
worldwide, including Canada, Mexico, U.S., Germany, France, U.K.,
Argentina, Brazil, Venezuela, China, Japan, and Australia.

In 2007, Cerberus Capital Management LP acquired an 80.1% stake in
Chrysler for US$7.2 billion.  Daimler AG kept a 19.9% stake.

Pursuant to the U.S. Government's Automotive Industry Financing
Program, the U.S. Department of the Treasury made emergency loans
to General Motors Corp., Chrysler Holding LLC, and Chrysler
Financial Services Americas LLC.  The Treasury purchased senior
preferred stock from GMAC LLC.  In exchange, Chrysler and GM
submitted restructuring plans to the Treasury on February 17,
2009.  Upon submission, President Obama's Designee on the Auto
Industry determined that the restructuring plans did not meet the
threshold for long-term viability.  However, on March 30, 2009,
both GM and Chrysler were granted extensions to complete the
restructuring plans to comply with the requirements set forth
under the Automotive Industry Financing Program.

The U.S. Government told Chrysler March 31, 2009, it would provide
up to US$6 billion in financing if (i) Chrysler and Fiat SpA could
complete a deal by the end of April -- on top of the US$4 billion
Chrysler has already received -- and (ii) Chrysler would obtain
concessions from constituents to establish a viable out-of-court
plan.

On April 30, Chrysler LLC and 24 affiliates sought Chapter 11
protection from creditors (Bankr. S.D. N.Y (Mega-case), Lead Case
No. 09-50002).  U.S. President Barack Obama said that Chrysler had
to file for bankruptcy after the automaker's smaller lenders,
including hedge funds that he didn't name -- "a small group of
speculators" -- refused to make the concessions agreed to by the
Company's major debt holders and workers.

In connection with the bankruptcy filing, Chrysler has reached an
agreement with Fiat SpA, the U.S. and Canadian governments and
other key constituents regarding a transaction under Section 363
of the Bankruptcy Code that would effect an alliance between
Chrysler and Italian automobile manufacturer Fiat.

Chrysler has hired Jones Day, as lead counsel; Togut Segal & Segal
LLP, as conflicts counsel; Capstone Advisory Group LLC, and
Greenhill & Co. LLC, for financial advisory services; and Epiq
Bankruptcy Solutions LLC, as its claims agent.

Chrysler's says that as of December 31, 2008, it had
US$39,336,000,000 in assets and US$55,233,000,000 in debts.
Chrysler had US$1.9 billion in cash at that time.

Bankruptcy Creditors' Service, Inc., publishes Chrysler Bankruptcy
News.  The newsletter tracks the Chapter 11 proceedings of
Chrysler LLC and its debtor-affiliates.
(http://bankrupt.com/newsstand/or 215/945-7000)


FIAT SPA: To Select Chrysler Dealers for New Company
----------------------------------------------------
Fiat SpA, not Chrysler LLC, will decide which dealers will be
brought along to the new company to be formed under the U.S.
automaker's bankruptcy process, Bloomberg News reports citing
people familiar with the situation.  The report discloses trimming
Chrysler's 3,188 retail outlets would be among the first
management actions by Fiat affecting the U.S. automaker.

The report says according to documents in those proceedings, an
initial list of the retailers to be retained will be filed in U.S.
Bankruptcy Court today, May 14.  Some dealers may be added after
that filing, the report relates citing the people, who didn't want
to be identified because the discussions aren't public.

According to the Troubled Company Reporter, on April 30, Chrysler
and 24 affiliates sought Chapter 11 protection from creditors
(Bankr. S.D. N.Y (Mega-case), Lead Case No. 09-50002).  U.S.
President Barack Obama said that Chrysler had to file for
bankruptcy after the automaker's smaller lenders, including hedge
funds that he didn't name -- "a small group of speculators" --
refused to make the concessions agreed to by the company's major
debt holders and workers.  In connection with the bankruptcy
filing, Chrysler reached an agreement with Fiat, the U.S. and
Canadian governments and other key constituents regarding a
transaction under Section 363 of the Bankruptcy Code that would
effect an alliance between Chrysler and Italian automobile
manufacturer Fiat.

Separately, Andreas Cremer at Bloomberg News reports that
Volkswagen AG Supervisory Board Chairman Ferdinand Piech said Fiat
is planning an unhealthy combination with General Motors Corp.'s
European operations and Chrysler will fail to compete globally.
The Turin, Italy-based automaker is among investors bidding for
GM's European operations, which include Opel and British automaker
Vauxhall.

"Three sick people in one bed don't make one healthy person,"
Bloomberg News quoted Mr. Piech as saying at a presentation in
Sardinia, Italy, of Volkswagen's fifth-generation Polo subcompact
car.

                        About Fiat SpA

Headquartered in Turin, Italy, Fiat SpA (BIT:F) --
http://www.fiatgroup.com/-- is principally engaged in the design,
manufacture and sale of automobiles, trucks, wheel loaders,
excavators, telehandlers, tractors and combine harvesters.
Through its subsidiaries, Fiat operates mainly in five business
areas: Automobiles, including sectors led by Maserati SpA, Ferrari
SpA and Fiat Group Automobiles SpA, which design, produce and sell
cars under the Fiat, Alfa Romeo, Lancia, Fiat Professional,
Abarth, Ferrari and Maserati brands; Agricultural and Construction
Equipment, which is led by Case New Holland Global NV; Trucks and
Commercial Vehicles, which is led by Iveco SpA; Components and
Production Systems, which includes the sectors led by Magneti
Marelli Holding SpA, Teksid SpA, Comau SpA and Fiat Powertrain
Technologies SpA, and Other Businesses, which includes the sectors
led by Fiat Services SpA, a publishing house Editrice La Stampa
SpA and an advertising agency Publikompass SpA.

                        *     *     *

As reported in the Troubled Company Reporter-Europe on May 8,
2009, Standard & Poor's Ratings Services said that its 'BB+' long-
term corporate credit rating on Italian industrial group Fiat SpA
remains on CreditWatch with negative implications, where it was
placed on Jan. 22, 2009.  At the same time, the 'B' short-term
corporate credit rating was affirmed.

As reported in the Troubled Company Reporter-Europe on Feb. 25,
2009, Moody's Investors Service downgraded Fiat S.p.A's long term
ratings to Ba1 from Baa3 and its short term ratings to Not Prime
from Prime-3.  The outlook on the ratings is negative.  At the
same time Moody's assigned a Ba1 Corporate Family Rating.  The
rating action concluded Moody's review for downgrade initiated on
January 15, 2009.


SEAT PAGINEGIALLE: S&P Affirms 'BB-' LT Corporate Credit Rating
---------------------------------------------------------------
Standard & Poor's Ratings Services said that it affirmed its 'BB-'
long-term corporate credit ratings on Italy-based classified
directories publisher SEAT PagineGialle SpA.  The outlook is
negative.

S&P also affirmed the 'BB-' rating on the second lien notes issued
by SEAT's Luxembourg-based subsidiary Lighthouse International Co.
S.A.

In addition, S&P removed all of the ratings on SEAT and on the
second lien notes from CreditWatch, where they were placed with
negative implications on Dec. 4, 2008.

At the same time, S&P assigned a 'BB' rating to the first lien
debt issued by SEAT for an original amount of EUR2.6 billion, one
notch higher than the corporate credit rating.  S&P also assigned
to this debt a recovery rating of '2', indicating S&P's
expectation of substantial (70%-90%) recovery in the event of a
payment default.

The rating actions followed the group's recent completion of a
EUR200 million rights issue, which was announced in December 2008.
The rights issue formed part of the group's agreement with its
bank lenders to modify some of the terms of its original
EUR2.6 billion credit facilities due in 2012 and 2013, most
notably maintenance covenant thresholds.  On Dec. 31, 2008, SEAT
reported gross consolidated debt of GBP3.4 billion, including
about GBP76 million of deferred financing fees.

"We consider the timely execution and size of the rights issue as
a key rating support because it should provide an adequate
liquidity cushion for the group in the next few quarters, in the
context of the tough operational environment for SEAT's classified
directories publishing," said Standard & Poor's credit analyst
Manuela Gabetta.  In S&P's view, the risks that the steep economic
downturn might affect SEAT's 2009 operating performance beyond the
group's recent market guidance are substantial.  S&P therefore see
the need for some additional comfort on liquidity for the next 18
months.  SEAT has indicated it has an EBITDA target of
EUR560 million for 2009.

"The negative outlook reflects the operating risks for SEAT in
2009 and 2010 and the possible implications for leverage and cash
flow measures," added Ms. Gabetta.

Rating pressures would mount if EBITDA were to turn materially
weaker than expected, renewing pressures on covenant headroom. In
particular, any indication of covenant headroom dipping to less
than 15% or of weaker-than-expected discretionary cash flow
generation (which S&P estimate at more than EUR100 million) could
lead to a downgrade.  In addition, S&P could lower the ratings if
the group were unable to reduce gross debt to EBITDA from its peak
of about 6.0x at year-end 2008 to about 5.5x by Dec. 31, 2009.

Equally, S&P could revise the outlook to stable if the company
were to preserve its healthy cash flow generation capacity,
despite the cyclical downturn, while continuing to deleverage.


* Moody's Cuts Issuer Ratings on Italy's City of L'Aquila to 'Ba1'
------------------------------------------------------------------
Moody's Investors Service downgraded the issuer rating of the City
of L'Aquila to Ba1 from A1 and placed the rating on review for
possible further downgrade.

The rating action reflects the massive impact of the earthquake
that hit L'Aquila and its environs on April 6, 2009 and the
related legislation enacted by the Italian central government.
Moody's views these developments as affecting the city's ability
to meet its financial obligations on a timely basis.

On April 28, as an emergency measure the central government
introduced by Decree a moratorium on individual and corporate tax
payments and a suspension of financial obligations of individuals,
corporates and local governments in the area.  The suspension in
particular allows the City of L'Aquila to miss debt service
installments due in the course of the year.  Although Moody's
recognizes that L'Aquila may have the financial capacity to serve
its debt, the risk of non-payment has considerably increased given
the legal protection offered to the city by the Decree.

In addition Moody's notes that in 2009 the municipal budget will
suffer a decline in tax revenues and proceeds from public
services, which account for around two-thirds of its operating
budget, which in normal conditions would total approximately
EUR65-70 million.  The unprecedented disruption to the city's
revenue base combined with expenditure pressure could result in
liquidity tensions, in absence of extraordinary subsidies from the
central government.  Whilst Moody's believes that the central
government will provide L'Aquila with additional funds to
compensate it for the decline in own-source revenue, the situation
is still unclear.

As of year-end 2008, the city reported an outstanding debt of
EUR49 million, split almost equally between bank loans and
domestic bonds.  Its next debt service payments (interest and
principal) are due by end-June, equating to around EUR3 million.

The city's failure to regularly service its financial obligations
will trigger a further downgrade of its Ba1 rating.  The measure
of any downward rating action would reflect the extent of losses
incurred by lenders.

The last rating action with respect to L'Aquila was taken on
Dec. 15, 2006, when its A1 issuer rating was affirmed.


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


A & CONSULTING LLP: Creditors Must File Claims by June 12
---------------------------------------------------------
Creditors of LLP A & Consulting have until June 12, 2009, to
submit proofs of claim to:

         The Specialized Inter-Regional
         Economic Court of Atyrau
         Satpaev St. 3
         Atyrau
         Kazakhstan

The Specialized Inter-Regional Economic Court of Atyrau commenced
bankruptcy proceedings against the company on April 6, 2009.


KARATEK LLP: Creditors Must File Claims by June 12
--------------------------------------------------
Creditors of LLP Karatek have until June 12, 2009, to submit
proofs of claim to:

         The Specialized Inter-Regional
         Economic Court of Karaganda
         Alalykin St. 9
         Karaganda
         Kazakhstan

The Specialized Inter-Regional Economic Court of Karaganda
commenced bankruptcy proceedings against the company on March 27,
2009.


KAZAKHTELECOM: S&P Changes Outlook to Negative; Holds 'BB' Rating
-----------------------------------------------------------------
Standard & Poor's Ratings Services said it revised its outlook on
Kazakhstan's largest telecoms operator Kazakhtelecom to negative
from stable.  At the same time, the 'BB' long-term corporate
credit rating was affirmed.

"The outlook revision reflects the deterioration of
Kazakhtelecom's stand-alone credit quality, including weaker
operating results, increasing financial leverage, and adherence to
an aggressive investment policy, which is depressing free cash
flow generation," said Standard & Poor's credit analyst Alexander
Griaznov.  These elements would have led us to downgrade the
company, however S&P affirm the rating, reflecting a change in
S&P's rating approach on Kazakhtelecom whereby S&P now considers
the company a government related entity.

S&P believes that Kazakhtelecom's weakening operating results and
increase in financial leverage are to a large extent linked to its
majority state ownership and control.  Kazakhtelecom's increase in
leverage has been caused mainly by its aggressive investment
policy, to a large extent dictated by the state, which is
Kazakhtelecom's majority shareholder.  S&P also believes that the
company's status as one of the country's major employers does not
allow it to manage staff expenses efficiently.  This, coupled with
Kazakhtelecom's status as an incumbent operator and provider of an
essential service in a market with very limited competition, leads
us to believe that the state could potentially support the
company.

Nevertheless, S&P believes that Kazakhtelecom is an autonomously
run commercial company.  Although core to its region, its systemic
importance to the country's economy is considerably lower than
that of some other entities.  The rating on Kazakhtelecom is
therefore based on a "bottom-up" methodology.  S&P assesses the
company's stand-alone credit quality at 'BB-' and add one notch
for potential extraordinary state support.

Kazakhtelecom's stand-alone credit quality is constrained by the
weakening macroeconomic conditions in Kazakhstan, declining
profitability, and increasing leverage.  Its EBITDA margin, mainly
influenced by rising staff costs, declined to 31.5% for the full
year 2008, from 35.5% a year earlier.

Kazakhtelecom's adjusted debt leverage increased to 2.2x at the
end of 2008 from 1.9x year on year as the company continues to
invest heavily in its network.  Moreover, the devaluation of the
local currency by about 20% so far in 2009 will further contribute
to weakening its credit ratios, with adjusted debt to EBITDA
increasing up to 2.5x-2.7x during 2009.

"We could lower the rating on Kazakhtelecom if the company does
not make substantial progress toward refinancing its syndicated
facility before year-end 2009 or if its fully adjusted financial
leverage increases above 3x," said Mr. Griaznov.  "A continuously
aggressive investment appetite leading to sustained pressure on
free cash flow generation and liquidity, and a further
deterioration of profitability would also pressure the rating."


KAZMUNAIGAS JSC: S&P Affirms 'BB+' Corporate Credit Rating
----------------------------------------------------------
Standard & Poor's Ratings Services said that it had revised its
outlook on Kazakhstan-based oil company JSC KazMunaiGas
Exploration Production, 58% owned by the state-owned holding
company JSC NC KazMunayGas (BBB-/Stable/--; Kazakhstan national
scale 'kzAA') to stable from negative following a similar action
on the parent.  The 'BB+' long-term corporate credit rating was
affirmed.

The rating on KMG EP is based on a top-down approach and is one
notch below that on KMG.  The rating on KMG, in turn, is pegged to
those on the Republic of Kazakhstan (foreign currency BBB-/Stable/
A-3; local currency BBB/Stable/A-3; Kazakhstan national scale
'kzAAA').

"KMG EP's importance for the group is underpinned by its role as
the largest majority-owned oil production asset for both KMG and
the state, and the largest profit center in the group," said
Standard & Poor's credit analyst Andrey Nikolaev.

KMG EP's substantial minority shareholding and the absence of
parental guarantees on its debt explain the difference between
S&P's ratings on KMG and KMG EP.

S&P assesses KMG EP's stand-alone credit quality at 'BB'.  The
rating is constrained by KMG EP's mature, land-locked reserve
base; relatively high cost position; and fairly aggressive
financial policy, marked by a substantial appetite for
acquisitions.

After an IPO in 2006 and a period of extraordinary high oil
prices, KMG EP benefits from substantial reserves of cash and
short-term investments, which by far exceed its modest financial
debt.  This will largely offset the impact of possible
acquisitions on the stand-alone financial profile.

KMG EP enjoys adequate profitability and a net cash position.  In
January-December 2008, high oil prices and the low tax burden in
Kazakhstan enabled KMG EP to generate EBITDA of Kazakhstani tenge
345 billion (a strong 57% margin on sales) with free operating
cash flow reaching KZT203 billion.  Since the substantial decrease
in oil prices and after the major tax reform expected to take
effect in 2009, KMG EP's free cash flow will substantially reduce,
but S&P expects it to remain positive.  On March 31, 2009,
KMG EP had about US$4.2 billion of cash, versus short-term debt of
only about US$80 million.

The stable outlook reflects S&P's opinion that KMG EP's rating
will move in line with that on the parent.

"The evolution of the rating will depend largely on KMG's credit
quality, and, ultimately, on the rating on Kazakhstan," said Mr.
Nikolaev.

However, ratings downside is limited by KMG EP's stand-alone
credit quality, which S&P assesses at 'BB'.

The stand-alone credit quality factors in the future increase in
the tax burden and some flexibility for future investments.
Still, major debt-financed acquisitions, if they are not offset by
parental or state support, could put pressure on the stand-alone
credit quality.  S&P will also closely monitor the ability of the
company to use the cash deposited with local financial
institutions for investments.


KEU RUDNENSKY: Creditors Must File Claims by June 12
----------------------------------------------------
Creditors of LLP Keu Rudnensky GMZ have until June 12, 2009, to
submit proofs of claim to:

         The Specialized Inter-Regional
         Economic Court of Kostanai
         Baitursynov Str. 70
         Kostanai
         Kazakhstan

The Specialized Inter-Regional Economic Court of Kostanai
commenced bankruptcy proceedings against the company on March 27,
2009.


NC JSC: S&P Changes Outlook to Stable; Affirms Corporate Ratings
----------------------------------------------------------------
Standard & Poor's Ratings Services said that it had revised its
outlook on 100% government-owned Kazakh oil and gas holding
company JSC NC KazMunayGas to stable from negative, following a
similar action on the sovereign.  The 'BBB-' long-term corporate
credit and 'kzAA' Kazakhstan national scale ratings were affirmed.

The long-term corporate credit rating on KMG is based on a top-
down approach.  It mirrors the foreign currency rating and is one
notch below the local currency rating on the Republic of
Kazakhstan (foreign currency BBB-/Stable/A-3; local currency
BBB/Stable/A-3; Kazakhstan national scale 'kzAAA').

KMG is the government's exclusive agent in the strategically vital
hydrocarbon sector, with stakes in nearly all significant oil
operations in Kazakhstan.  The government's policy is to
strengthen the state's role in that sector, highlighting the
likelihood of state support to KMG.

"That is why S&P still assess as high the probability of
extraordinary support to KMG in the event of difficulties," said
Standard & Poor's credit analyst Andrey Nikolaev.

The differential with the sovereign local currency rating reflects
the absence of state guarantees on most of KMG's debt and its
relatively weaker stand-alone credit quality, which S&P assesses
at 'BB'.

KMG benefits from its vertically integrated structure and legally
privileged access to new oil and gas assets in Kazakhstan.

The key rating constraints are KMG's large investment appetite,
rising debt, only indirect access to cash flows from joint
ventures, and the below-average quality of its majority-owned
operations.

Debt is set to increase, to be partly offset by the medium- to
long-term maturity schedule of its debt and favorable debt
structures, with limited or no recourse to KMG and its
subsidiaries.  The company should also benefit from an expected
US$5 billion long-term loan from Chinese banks.

An important risk for KMG's stand-alone credit profile stems from
a significant part of its large cash reserves being deposited with
local banks.  S&P believes that these funds may not be fully
accessible for further investments or debt reduction.

On March 31, 2009, KMG's short-term debt was US$1.4 billion,
compared with US$2.6 billion of cash at the level of the parent
group and US$4.4 billion at the level of the subsidiaries.

The stable outlook mirrors that on the sovereign and reflects
S&P's expectation that the ratings on KMG will move in line with
the ratings on the sovereign.

The local currency rating on KMG will be one notch below the local
currency rating on the sovereign, whereas the foreign currency
rating on KMG cannot exceed the foreign currency rating on
Kazakhstan.

S&P's stand-alone credit assessment factors in KMG's investment-
acquisitive nature.

"The evolution of KMG's stand-alone credit quality will be largely
driven by leverage and liquidity," said Mr. Nikolaev.

S&P will closely monitor the company's ability to use the cash
deposited with local financial institutions for debt reduction and
investments, as well as the levels of secured debt on its balance
sheet.  Because KMG is the largest government-related entity in
Kazakhstan, S&P does not expect the company to be exposed to
institutional risks in Kazakhstan's highly centralized regime
(where succession is untested) beyond the level already factored
into the sovereign rating.


NUR AMI: Creditors Must File Claims by June 12
----------------------------------------------
Creditors of LLP Nur Ami have until June 12, 2009, to submit
proofs of claim to:

         The Specialized Inter-Regional
         Economic Court of East Kazakhstan
         Bajov Str. 2
         070000 Ust-Kamenogorsk
         East Kazakhstan
         Kazakhstan

The Specialized Inter-Regional Economic Court of East Kazakhstan
commenced bankruptcy proceedings against the company on March 20,
2009.


SCAN LLP: Creditors Must File Claims by June 12
-----------------------------------------------
Creditors of LLP Firm Scan have until June 12, 2009, to submit
proofs of claim to:

         The Specialized Inter-Regional
         Economic Court of East Kazakhstan
         Bajov Str. 2
         070000 Ust-Kamenogorsk
         East Kazakhstan
         Kazakhstan

The Specialized Inter-Regional Economic Court of East Kazakhstan
commenced bankruptcy proceedings against the company on March 20,
2009.


* Moody's Changes Outlook on Kazakhstan's 'Ba1' Rating to Negative
------------------------------------------------------------------
Moody's Investors Service has downgraded Kazakhstan's local
currency government rating to Baa2 from Baa1, the same as its
foreign currency rating, and changed the outlook to negative.  The
rating action reflects continuing fragility in the Kazakh banking
system because of its large short-term foreign currency debt
obligations.

"The rating changes also take into account the weaknesses inherent
in a macroeconomy that depends heavily on the export of
commodities whose prices have collapsed sharply," said Moody's
Vice President Jonathan Schiffer.  "Moreover, the government's
financing gap may widen considerably because of overly optimistic
forecasts for the budget outcome."

He said shortfalls in government revenues connected with worsening
growth prospects may come at a time of increasing stresses in the
banking system, as non-performing loans grow rapidly.

"With two of the top four banks in default on their foreign
currency obligations and in government administration and with
resolution of each bank's problems and status far from certain,
the health of the banking system may worsen," said Schiffer.  "If
this combines with a worse-than-expected current account deficit,
speculation against the currency may build alongside pressure for
greater government financial intervention into both the financial
system and real economy."

All this, he cautioned, could lead to a substantial drawdown in
Kazakhstan's foreign exchange reserves.

In related rating actions, the foreign currency country ceiling
for bonds was downgraded to Baa1 with a negative outlook from A2
and the local currency country ceilings for bonds and bank
deposits both were also downgraded by one notch to A2 and A3,
respectively.  Also, the outlook on the Ba1 foreign currency
country ceiling for bank deposits was changed to negative from
stable.

The last rating action taken with respect to the Government of
Kazakhstan was implemented on June 9, 2006, when Moody's upgraded
the foreign currency government bond rating to Baa2 from Baa3 and
the foreign currency country ceiling for bonds and notes to A2
from Baa1.

Rating actions on related issuers will follow this announcement in
due course.


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


REM NUR: Creditors Must File Claims by June 5
---------------------------------------------
LLC Rem Nur Stroy Service has shut down.  Creditors have until
June 5, 2009, to submit proofs of claim to:

         Tolstoi Str. 17A
         Room 12
         Bishkek
         Kyrgyzstan


===========
L A T V I A
===========


PAREX BANKA: Commission Approves Amendments to Latvian Support
--------------------------------------------------------------
The European Commission on Monday, May 11, 2009, approved, under
EC Treaty state aid rules, amendments to the original
recapitalization measure (Tier 2 capital) of the Latvian JSC Parex
Banka, initially approved on November 24, 2008.  Under the
proposed changes, Latvia would acquire newly issued ordinary
shares and subordinated term debt.  The Commission found that the
amendments were in line with its Communication on the
recapitalization of banks during the crisis.  In particular, the
measure is subject to an adequate remuneration, does not exceed
the minimum necessary and is limited in time.  The amended support
package for JSC Parex Banka is therefore compatible with Article
87.3.b of the EC Treaty, which allows aid to remedy a serious
disturbance in the economy of a Member State.

Competition Commissioner Neelie Kroes said: "The changes to Parex
Banka's recapitalization were necessary to adapt to a modified
financial and regulatory environment in Latvia.  This decision
demonstrates again that the state aid rules are sufficiently
flexible, even for rapidly evolving markets."

Due to the continued effects of the financial crisis and to
recently implemented regulatory requirements in Latvia, JSC Parex
Banka's capital and liquidity ratios deteriorated.  Therefore, it
became necessary to review the bank's recapitalization, envisaged
in November 2008, and on March 29, 2009, Latvia notified a series
of amendments to the Commission.

In particular, Latvia proposes to strengthen the bank's capital
basis with the aim to achieve a capital adequacy ratio of 11% by
issuing ordinary shares, qualifying as Tier 1 capital and
subordinated term debt qualifying as Tier 2 capital.  The state
would purchase these against adequate remuneration.

The Commission's investigation found that the changes are in line
with the conditions set out in its Guidance Communication on the
recapitalization of banks during the crisis.

In particular, the remuneration of the Latvian state for the
bank's recapitalization would be based on the European Central
Bank recommendations, taking into account the real costs of state
treasury loan funds, an adequate risk premium and a fee.
Moreover, the Latvian supervisory authority confirmed that the
value of the capital injection corresponds to the minimum
necessary to keep JSC Parex Banka in business until it can
restructure.  Furthermore, the state committed to exit JSC Parex
Banka's Capital in the medium term.  Finally, Latvia remains
committed to submitting a restructuring plan for the bank shortly.

The Commission therefore concluded that the amendments were
necessary and adequate to restore market confidence in JSC Parex
Banka.

                        About Parex Banka

Founded in May 1992, JSC Parex Banka a.k.a Parex Banka AS --
http://www.parexgroup.com/-- is a commercial bank with assets
exceeding 4.46 billion.   It offers its clients integrated
services in areas such as lending, payment cards, leasing, asset
management and securities trading.  It has more than 70 branches,
customer service centers and settlement group, or nearly all
regions of Latvia and the major cities.  Currently, bank branches
and customer service centers in Latvia employs more than 2,600
people.

                         *     *     *

As reported in the Troubled Company Reporter-Europe on May 13,
2009, Moody's Investors Service maintained Parex Bank's B2 long-
term local and foreign currency deposit and debt ratings on review
for possible downgrade.  The outlook on the E bank financial
strength rating remains stable.  The bank's Not Prime short-term
rating was affirmed.


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


CARLSON WAGONLIT: S&P Cuts LT Corporate Credit Rating to 'B-'
-------------------------------------------------------------
Standard & Poor's Ratings Services said that it lowered its long-
term corporate credit rating on Netherlands-incorporated business
travel operator Carlson Wagonlit B.V. to 'B-' from 'B'.

Following the lowering of the CCR on CWT, S&P lowered the issue
rating on CWT's EUR285 million floating rate notes maturing 2015
to 'CCC' from 'CCC+'.  The recovery rating on the notes remains
unchanged at '6', indicating that S&P expects negligible (0%-10%)
recovery in the event of a payment default.

At the same time, S&P revised the recovery rating on CWT's
$850 million senior secured facilities to '3' from '2', indicating
that S&P expects meaningful (50%-70%) recovery in the event of a
payment default.  Consequently, S&P has lowered the issue rating
on this debt by two notches to 'B-' from 'B+'.  The issue rating
is now in line with the CCR on CWT.

The CCR and the debt ratings remain on CreditWatch with negative
implications, where they were placed on March 2, 2009.

"The rating actions reflect Standard & Poor's view that the
economic downturn is likely to lead to a severe decline in CWT's
free cash flow generation in 2009 and 2010.  In particular, the
CreditWatch placement relays S&P's view of a potentially ongoing
decline in revenues and earnings, which could narrow the covenant
headroom under CWT's existing facilities," said Standard & Poor's
credit analyst Silvia Ortolan.

Given that lower business confidence has continued to result in
reductions in business travel, CWT is, in S&P's view, likely find
it difficult to cushion the negative impact of declining business
volumes and margins through its flexible cost structure.
Additionally, CWT would have to incur upfront costs of any
business reorganization measures in 2009, affecting near-term
operating cash flows.

Because of the debt-financed buyout and 2006 acquisition, CWT's
credit protection measures are weak.  CWT's ratio of total
adjusted debt to EBITDA, which excludes its cash position of about
$188 million (net of overdrafts), was still 6.0x for the full year
to Dec. 31, 2008, the same level as the previous year.  At
Dec. 31, 2008, CWT had total reported financial debt of $1.1
billion.  Furthermore, given the deteriorating conditions in CWT's
key markets, deleveraging through EBITDA growth would, in S&P's
view, be difficult to achieve for the time being.

According to CWT's annual report, net sales in financial 2008 were
EUR1.92 billion, up 4.6% year on year.  CWT's reported EBITDA
margin -- before integration, transaction, and exceptional
restructuring costs -- decreased to 11.9% in fiscal 2008 from
13.2% in the same period in the previous year.

S&P anticipates that S&P will review the CreditWatch placement
within the next three months, once there is clarity on potential
amendments to CWT's credit facilities.  The outcome of the
CreditWatch status will also depend on S&P's view of the
effectiveness of the measures CWT adopts to adjust to the current
difficult trading conditions.


METINVEST BV: Moody's Reviews 'B1' Corporate Rating for Downgrade
-----------------------------------------------------------------
Moody's Investors Service has placed Metinvest's B1 corporate
family rating, Aa3.ua national scale rating and Azovstal Capital's
B2 rating for loan participation notes on review for possible
downgrade.

The rating action was prompted by (i) Moody's concerns that the
business outlook on the steel industry and the Ukraine may lead to
a substantial deterioration of the company's leverage and
profitability ratios, (ii) the company's acquisition of US coal
mining company United Coal thereby possibly releveraging the
companies' balance sheet, (iii) the company's short term liquidity
situation, which heavily depends on the company's ability to
continue generating sizable free cash flows in challenging markets
and to retain the support of its main banks to provide required
liquidity.

The review will therefore focus on (i) Metinvest's expected
profitability and cash flow in the wake of the weak economic
environment, (ii)Metinvest's ability in the short to medium term
to fund its debt maturities from cash generation, (iii) the
strategic rationale and valuation for the acquisition of United
Coal, and (iv) the impact on its creditworthiness of the difficult
political and economic environment of the Ukrainian state.

Moody's understands that, despite the weak demand for steel
products in general, the company has been able to generate a
positive result in the first couple of months in 2009 and
generated free cash flows, which have contributed to the financing
of the first installment for the acquisition of United Coal and to
other committed cash outflows, such as dividends, capex and debt
maturities.

Metinvest currently benefits from the substantial depreciation of
the Ukrainian local currency and its self-sufficiency in raw
materials which gives the company a significant cost advantage
against other steel companies with a focus on the semi-finished
steel products.

Moody's last rating action on Metinvest was to downgrade the
corporate family rating to B1 from Ba3 and Azovstal Capital's
issuer rating to B2 from B1 on November 5, 2008.

Metinvest B.V., a company set up under Dutch law, but with major
operations in Donetsk/Ukraine is the largest steel and iron ore
producer of the Ukraine.  In 2008 the company generated revenues
of US$13.3 billion and operating profit of US$4 billion.
Metinvest is 75% owned by System Capital Management, an investment
holding company in the Ukraine.  25% (blocking stake) of
Metinvest's shares are owned by Smart Group based in the Ukraine.

On Review for Possible Downgrade:

Issuer: Azovstal Capital B.V.

  -- Senior Unsecured Regular Bond/Debenture, Placed on Review for
     Possible Downgrade, currently B2

Issuer: Metinvest B.V.

  -- Probability of Default Rating, Placed on Review for Possible
     Downgrade, currently B1

  -- Corporate Family Rating, Placed on Review for Possible
     Downgrade, currently B1

Outlook Actions:

Issuer: Azovstal Capital B.V.

  -- Outlook, Changed To Rating Under Review From Negative

Issuer: Metinvest B.V.

  -- Outlook, Changed To Rating Under Review From Negative


TRONOX INC: Sues Anadarko, Kerr-McGee for Fraudulent Conveyance
---------------------------------------------------------------
Tronox Incorporated yesterday filed an adversary complaint against
Kerr-McGee Corporation and its successor, Anadarko Petroleum
Corporation, in its Chapter 11 cases in the United States
Bankruptcy Court for the Southern District of New York.  The
complaint asserts that Kerr-McGee defrauded Tronox's creditors
through its separation and spin-off of its former chemical
subsidiary in 2006.

Tronox seeks recovery for fraudulent transfers involving valuable
oil and gas assets and massive actual and contingent
environmental, tort, retiree and other liabilities.  The complaint
asserts that Tronox was doomed to fail at the time of the spin
off, having been grossly undercapitalized, stripped of its most
valuable assets and essential cash, and overburdened with legacy
environmental, tort and retiree liabilities.  Less than three
years after the spin-off, Tronox filed for chapter 11 bankruptcy
protection on January 12, 2009.

Anadarko acquired New Kerr-McGee less than five months after the
Spinoff was completed and the Legacy Liabilities severed.  New
Kerr-McGee's shareholders approved on August 10, 2006, Anadarko's
offer of US$16.4 billion in cash and assumption of US$1.6 billion
in debt.  New Kerr-McGee became and remains a wholly owned
subsidiary of Anadarko.

According to TRONOX BANKRUPTCY NEWS, since acquiring New Kerr-
McGee, Anadarko has admitted that it could be financially
responsible for the Legacy Liabilities should Tronox fail.  In
both its 2006 and 2007 Annual Reports, Anadarko stated "Kerr-McGee
could be subject to joint and several liability for certain costs
of cleaning up hazardous substance contamination attributable to
the facilities and operations conveyed to Tronox if Tronox becomes
insolvent or otherwise unable to pay for certain remediation
costs.  As a result of the merger, we will be responsible to
provide reimbursements to Tronox pursuant to the MSA, and we may
be subject to potential joint and several liability, as the
successor to Kerr-McGee, if Tronox is unable to perform certain
remediation obligations."

At the time Tronox filed for bankruptcy, John Christiansen, a
spokesman for Anadarko, said in an e-mailed statement to The
Houston Chronicle that a reserve of US$100 million, the company's
maximum obligation to reimburse Tronox, already has been recorded
on its balance sheet.  "The filing of a bankruptcy petition by
Tronox does not alter our liability," the newspaper said quoting
Mr. Christiansen as saying.

                     Legacy Liabilities

According to TRONOX BANKRUPTCY NEWS, pursuant to the Spinoff
Agreements, New Kerr-McGee forced Tronox to assume the Legacy
Liabilities, including unknown, implied and contingent Legacy
Liabilities and obligations.  The Legacy Liabilities are almost
entirely unrelated to the operation of Tronox's core titanium
dioxide businesses.  The most significant of the Legacy
Liabilities relate to:

  (a) environmental remediation and cleanup at allegedly
      contaminated sites of the Legacy Businesses;

  (b) defense of tort suits brought by third parties arising
      from alleged hazardous releases and contamination related
      to the Legacy Businesses; and

  (c) welfare, benefit and pension obligations for former Old
      Kerr-McGee employees who once worked for the Legacy
      Businesses.

Since the Spinoff, Tronox has spent more than US$118 million to
satisfy the residual Legacy Liability obligations.  A nominal
amount of that figure relates to titanium dioxide operations,
Mr. Barton says.  As a result of these Legacy Liabilities, Tronox
is required to maintain a large environmental remediation group
that is responsible for remediation and other activities on
approximately 100 sites related to the Legacy Businesses.

As of January 12, 2009, Tronox has spent a total of approximately
US$148 million on environmental remediation costs.  Over time,
Tronox has been reimbursed for approximately US$75 million of this
amount from various third parties.  New Kerr-McGee, however, has
only contributed approximately US$4 million through the indemnity
provisions of the MSA.

On the petition date, Tronox was defending approximately 120 tort
suits related to a variety of hazardous materials that were
allegedly released by the Legacy Businesses, including but not
limited to creosote, benzene, low-level radioactive substances and
asbestos.  These suits involve thousands of plaintiffs and have
cost Tronox at least US$26.9 million (net of reimbursements) to
manage since the Spinoff.  Significant suits include, among
others, claims related to former wood-treatment plants located in
Columbus, Mississippi, Avoca, Pennsylvania, and Texarkana, Texas,
including a group of 238 federal court suits with more than 2,000
plaintiffs and a group of 35 state court suits with more than
4,000 plaintiffs.

In conjunction with the Spinoff, New Kerr-McGee also required
Tronox to assume responsibility for retirement and other employee
benefit liabilities for current and former employees of the
Chemicals Business and the Legacy Businesses pursuant to the
terms of an Employee Benefits Agreement.  Tronox Inc. was
required to sponsor specific employee and retiree benefit plans
for the employees and retirees allocated to it during the
Spinoff.  These programs included defined benefit and retiree
medical and life insurance plans.  These benefit programs were
not competitive but Tronox was required to maintain the programs,
and could not modify them, for three years after the completion
of the Spinoff.  The cost of these benefit programs was more than
US$6 million per year.

                         About Tronox Inc.

Headquartered in Oklahoma City, Tronox Incorporated (Pink Sheets:
TRXAQ, TRXBQ) is the world's fourth-largest producer and marketer
of titanium dioxide pigment, with an annual production capacity of
535,000 tonnes.  Titanium dioxide pigment is an inorganic white
pigment used in paint, coatings, plastics, paper and many other
everyday products.  The company's four pigment plants, which are
located in the United States, Australia and the Netherlands,
supply high-performance products to approximately 1,100 customers
in 100 countries.  In addition, Tronox produces electrolytic
products, including sodium chlorate, electrolytic manganese
dioxide, boron trichloride, elemental boron and lithium manganese
oxide.

Tronox has US$1.6 billion in total assets, including US$646.9
million in current assets, as at September 30, 2008.  The company
has US$881.6 million in current debts and US$355.9 million in
total noncurrent debts.

Tronox Inc., aka New-Co Chemical, Inc., and 14 other affiliates
filed for Chapter 11 protection on January 13, 2009 (Bankr. S.D.
N.Y. Case No. 09-10156).  The case is before Hon. Allan L.
Gropper. Richard M. Cieri, Esq., Jonathan S. Henes, Esq., and
Colin M. Adams, Esq., at Kirkland & Ellis LLP in New York,
represent the Debtors.  The Debtors also tapped Togut, Segal &
Segal LLP as conflicts counsel; Rothschild Inc. as investment
bankers; Alvarez & Marsal North America LLC, as restructuring
consultants; and Kurtzman Carson Consultants serves as notice and
claims agent.

An official committee of unsecured creditors and an official
committee of equity security holders have been appointed in the
cases.  The Creditors Committee has retained Paul, Weiss, Rifkind,
Wharton & Garrison LLP as counsel.

Until September 30, 2008, Tronox Inc. was publicly traded on the
New York Stock Exchange under the symbols TRX and TRX.B.  Since
then, Tronox Inc. has traded on the Over the Counter Bulletin
Board under the symbols TROX.A.PK and TROX.B.PK.  As of
December 31, 2008, Tronox Inc. had 19,107,367 outstanding shares
of class A common stock and 22,889,431 outstanding shares of
class B common stock.

Bankruptcy Creditors' Service, Inc., publishes Tronox Bankruptcy
News.  The newsletter tracks the chapter 11 proceeding undertaken
by Tronox Inc. and its 14 affiliates.

(http://bankrupt.com/newsstand/or 215/945-7000)


===========
P O L A N D
===========


* POLAND: IMF Approves US$20.58 Billion Arrangement Under FCL
-------------------------------------------------------------
The Executive Board of the International Monetary Fund (IMF) on
Wednesday, May 6, 2009, approved a one-year SDR 13.69 billion
(about US$20.58 billion; 1,000 percent of quota) arrangement for
Poland under the Flexible Credit Line (FCL) . The Polish
authorities intend to treat the arrangement as precautionary,
which means that they do not intend to draw from the FCL.

The arrangement for Poland is the second commitment, after Mexico,
under the IMF's FCL, which was created in the context of a major
overhaul of the Fund’s lending framework on March 24, 2009.  The
FCL is particularly useful for crisis prevention purposes as it
provides the flexibility to draw on the credit line at any time.
Disbursements are neither phased nor conditioned on compliance
with policy targets as in traditional IMF-supported programs.
This flexible access is justified by the very strong track records
of countries that qualify for the FCL, which gives confidence that
their economic policies will remain strong.

Following the Executive Board's discussion on Poland, Mr. John
Lipsky, First Deputy Managing Director and Acting Chair, made the
following statement:

"Poland's economic growth has been very strong and well-balanced
in recent years.  Private consumption growth has been robust, the
external position is sustainable, and the banking sector is well-
capitalized.  The avoidance of acute imbalances during the boom
years reflects a very strong and timely policy implementation.  A
long-standing and effective inflation-targeting regime and a
freely-floating exchange rate have helped build confidence in
monetary institutions and anchor inflation expectations.  The
authorities' EU commitments and their euro adoption target have
provided a strong fiscal anchor.  Banking supervision has been
fully compliant with EU laws and directives.  Its institutional
framework has been buttressed by the unification of financial
supervision and the creation of the Financial Stability Committee.

"Despite very strong fundamentals, Poland's economy is now facing
the risk of spillovers from the global crisis through both the
real and financial sector channels.  Exports have contracted and
economic activity has slowed in early 2009, reflecting a deep
recession in its main trading partners.  A sharp slowdown in
credit growth is underway as banks have begun to tighten credit
criteria. Nonetheless, Poland has maintained access to
international capital markets.

"The authorities have responded in a timely and effective manner
to the global downturn.  They have embarked on a monetary
loosening cycle, and stand ready to cut rates further if downside
risks to the economy materialize.  Financial sector stability has
been safeguarded, through liquidity provision and intensified
surveillance.  Despite the slowdown in growth, the authorities
remain committed to the 2009 state budget, primarily by cutting
expenditure at the state level.  They reaffirmed their full
commitment to strengthen the medium-term fiscal framework to
maintain a sustainable path for public debt.

"The Executive Board considered that a precautionary arrangement
under the Flexible Credit Line (FCL) for Poland would play an
important role in supporting the authorities' policy response,
boosting market confidence, and placing Poland in a better
position to manage adverse developments.  The FCL arrangement for
Poland will also have a positive regional impact," Mr. Lipsky
said.

Poland joined the IMF on June 12, 1986; its quota is SDR 1.36
billion (about US$2.06 billion).  The country's latest use of Fund
resources was under a Stand-By Arrangement that expired on
March 4, 1996.


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


ARTSTROY LLC: Creditors Must File Claims by June 24
---------------------------------------------------
The Arbitration Court of Krasnoyarsk commenced bankruptcy
proceedings against LLC Artstroy (TIN 2466086430, PSRN
1022402660785) (Construction) after finding the company insolvent.
The case is docketed under Case No. ?33–13704/2008.

Creditors have until June 24, 2009, to submit proofs of claims to:

         N. Surtaev
         Insolvency Manager
         Diksona St. 1-203
         660020 Krasnoyarsk
         Russia

The Debtor can be reached at:

         LLC Artstroy
         78 Dobrovolcheskoy Brigady St. 4
         660077 Krasnoyarsk
         Russia


ISKROM LLC: Creditors Must File Claims by May 24
------------------------------------------------
Creditors of LLC Iskrom (TIN 5903071361, PSRN 1065903036066)
(Construction) have until May 24, 2009, to submit proofs of claims
to:

         A. Sergeev
         Temporary Insolvency Manager
         Post User Box 1686
         Berezniki
         618400 Permskiy
         Russia

The Arbitration Court of Permskiy will convene at 10:45 a.m. on
June 26, 2009, to hear bankruptcy supervision procedure on the
company.  The case is docketed under Case No. ?50–18551/2008.

The Debtor can be reached at:

         LLC Iskrom
         Apt. 202
         Sukhobrusa St. 27
         614068 Perm
         Russia


KANSKIY WOOD-SAWING: Creditors Must File Claims by June 24
----------------------------------------------------------
The Arbitration Court of Krasnoyarskiy commenced bankruptcy
proceedings against  LLC Kanskiy Wood-Sawing and Processing
Complex (TIN 2450020868, PSRN 1052450032942) after finding the
company insolvent.  The case is docketed under Case No. ?33-
7923/2007.

Creditors have until June 24, 2009, to submit proofs of claims to:

         S. Grudyakov
         Insolvency Manager
         Microregion Sosnovy 70/4
         Kansk
         663606 Krasnoyarskiy
         Russia

The Debtor can be reached at:

         LLC Kanskiy Wood-Sawing and Processing Complex
         Building 1
         Kzhivon
         Kansk
         663602 Krasnoyarskiy
         Russia


=====================================
S E R B I A   &   M O N T E N E G R O
=====================================


* SERBIA: EUR250 Million Loan for SMEs Signed
---------------------------------------------
The European Investment Bank (EIB) has launched a program for 2009
in Serbia aimed at combating the financial crisis and bringing the
country closer to the European Union.  On Monday, May 11, 2009, in
Belgrade, a first loan of EUR250 million for small and medium-
sized enterprises (SMEs) and priority projects in the country, via
the National Bank of Serbia, was signed.  This is the first in a
series of operations that are expected to see the EIB support
Serbia's real economy in 2009-2010 with loans worth over EUR1.4
billion aimed to support the recovery of Serbian economy and pave
the way towards European integration.

At the same time, the EIB and the Republic of Serbia signed a new
Framework Agreement aimed at laying down the EIB activity in
Serbia.

The EIB was represented by Dario Scannapieco, Vice-President with
responsibility for financing operations in Italy, Malta and the
Western Balkans; Serbia by Deputy Prime Minister and Minister of
Economy Mladjan Dinkic, Deputy Prime Minister and Minister of
Technological Development Bozidar Djelic, Finance Minister Diana
Dragutinovic; and the National Bank of Serbia by its Vice
Governor, Ana Gligorijevic.

SMEs: EUR250 million via the National Bank of Serbia

The EUR250 million loan will be disbursed via the National Bank of
Serbia and will be on-lent by Serbian commercial banks.  During
the current financial downturn, the amounts made available by the
EIB will help to fund and support projects by SMEs and local
authorities as well investments in the following sectors:
industry, infrastructure, energy, environmental protection,
knowledge economy, health, education, and services.  EIB loans are
available to all financial institutions in Serbia.  In order to
accelerate support to the SME sector, EIB loans may cover up to
100% of the cost of each project.

"The EIB has been active in Serbia for many years; however, with
the agreements signed [Mon]day, cooperation between the Bank of
European integration and the Serbian government has taken a huge
step forward", remarked EIB Vice-President Scannapieco.  "Our
commitment in this country throughout 2009 and in the years to
come will fund investments and thus the development of businesses
and local authorities as well as the completion of key
infrastructure that will connect Serbia with the rest of Europe.
EIB's key contribution will therefore help Serbia to combat the
recession and make a swifter recovery, thereby adding greater
weight each day to that country's plans of nurturing closer ties
with the European Union".

2009 potential: EUR1.4 billion to all sectors of Serbia's economy

Overall, Serbia's projects currently being appraised by the EIB
exceed EUR1.4 billion.  Since the EIB finances up to 50% of the
total project cost, over the next few years investments totalling
at least EUR2.8 billion could be made thanks to EIB support.  This
corresponds to around 3% of Serbia's entire GDP.

This is unparalleled and matches total EIB signatures in Serbia
over the past eight years.  During the period 2001-2008, total
financing was EUR1.38 billion.

The projects concern all sectors of the economy from the financial
sector, motorways and rails (Corridor X) to education, energy,
research and development and local infrastructure.


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


NOZAR: In Talks With Creditor Banks, Rules Out Administration
-------------------------------------------------------------
Judy MacInnes at Reuters reports that Nozar, owned by the Nozaleda
family, said Tuesday that it is in talks with its creditor banks,
convincing them to agree on a proposal in the event it fails to
refinance its debt.

The Spanish privately-held property company said, however, that it
is not in a situation where it needs to file for administration,
the report states.  The report recalls earlier this month, a
Madrid court rejected a request by one of Nozar's creditors,
Avalatransa, to put the company into administration.

According to the report, over the last few months, the company,
which holds stakes in other troubled property companies Colonial
and Afirma, has cut its debt to about EUR700 million (US$954.2
million).


SANTANDER FINANCIACION: S&P Junks Ratings on Class E Notes
---------------------------------------------------------
Standard & Poor's Ratings Services lowered its credit rating on
the class E notes and placed on CreditWatch negative its ratings
on the class C and D notes issued by Fondo de Titulizacion de
Activos Santander Financiacion 1.  All the other ratings in this
deal are unaffected.

The rating actions follow an updated risk assessment driven by the
significant performance deterioration recorded over the past six
months.

S&P's analysis shows that the likelihood of negative rating
actions has increased for the class C and D notes.  Moreover, the
likelihood has increased that class E notes will defer interest
due to a potential breach of the interest deferral trigger, and
this increase in likelihood was reflected in S&P's lowering of the
rating on this class.

The level of 90+ day delinquencies grew to 6.87% of the current
balance in April 2009, from 6.22% in October 2008.  However, the
most concerning factor is the rise in gross cumulative defaulted
loans, which reached 4% of the original balance at the last
interest payment date, up from 2% in October 2008.  This shows
that a significant portion of delinquent loans rolled into default
defined as loans in arrears for more than 12 months.  The
transaction features an early amortization mechanism which pays
down senior notes based on the current balance of defaulted loans.
This resulted in a draw on the cash reserve on the January payment
date and the remaining balance of the reserve was drawn on the
April payment date.

Finally, during the last payment date the fund accumulated
EUR9.11 million of principal deficit, which is the difference
between the available funds and the amount of the notes to be
amortized.  The deferral of interest trigger is based on the
amortization deficit.  The class E interest will be deferred when
this deficit reaches EUR13.3 million, half of the outstanding
balance of the class E notes.  In S&P's opinion, if defaulted
loans continue to rise at their recent pace this deferral trigger
may be breached as early as the next payment date.

S&P will maintain close contact with the originator to assess the
status of delinquent and defaulted loans, and S&P will factor this
information into S&P's cash flow analysis.  This review and S&P's
expectation of future defaults will govern whether S&P will lower
the ratings on classes C and D.

The notes, issued in 2006, are backed by a portfolio of Spanish
consumer loans originated by Banco Santander S.A. (AA/Negative/A-
1+).

                          Ratings List

    Fondo de Titulizacion de Activos Santander Financiacion 1
        EUR1,914.3 Million Asset-Backed Floating-Rate Notes

                         Ratings Lowered

                                     Ratings
                                     -------
              Class      To                     From
              -----      --                     ----
              E          CCC                    B-

              Ratings Placed On Creditwatch Negative

                                     Ratings
                                     -------
              Class      To                     From
              -----      --                     ----
              C          A/Watch Neg            A
              D          BB/Watch Neg           BB


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


CORNIL JSC: Creditors Must File Proofs of Claim by June 2
---------------------------------------------------------
Creditors of Cornil JSC are requested to file their proofs of
claim by June 2, 2009, to:

         Dr. R. Mosimann
         Baarerstrasse 78
         6300 Zug
         Switzerland

The company is currently undergoing liquidation in Zug.  The
decision about liquidation was accepted at an extraordinary
general meeting on May 27, 2008.


HOLGI LLC: Claims Filing Deadline is May 29
-------------------------------------------
Creditors of Holgi LLC are requested to file their proofs of claim
by May 29, 2009, to:

         Anje Holdorf
         Plan da Muglin 90a
         7556 Ramosch
         Switzerland

The company is currently undergoing liquidation in Scuol.  The
decision about liquidation was accepted at a shareholders' meeting
on January 27, 2009.


RUNPACK VERPACKUNGEN: Creditors Have Until June 2 to File Claims
----------------------------------------------------------------
Creditors of Runpack Verpackungen LLC are requested to file their
proofs of claim by June 2, 2009, to:

         Esther Buck-Pauli
         Liquidator
         Gartenweg 1
         4656 Starrkirch-Wil
         Switzerland

The company is currently undergoing liquidation in Starrkirch-Wil.
The decision about liquidation was accepted at an extraordinary
shareholders' meeting on March 19, 2009.


SIDEKICK COMPUTER: Claims Filing Deadline is July 2
---------------------------------------------------
Creditors of Sidekick Computer Science LLC are requested to file
their proofs of claim by July 2, 2009, to:

         Herr Leo Petersen
         Weiernmatt 16
         8708 Mannedorf
         Switzerland

The company is currently undergoing liquidation in Mannedorf.  The
decision about liquidation was accepted at an extraordinary
shareholders' meeting on Feb. 16, 2009.


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


INTAR-INVEST LLC: Creditors Must File Claims by May 22
------------------------------------------------------
Creditors of LLC Investment Company Intar-Invest (code EDRPOU
21615183) have until May 22, 2009, to submit proofs of claim to:

         V. Varakina
         Insolvency Manager
         Balochnaya St. 3
         Makeyevka
         Donetsk
         Ukraine

The Economic Court of Kiev commenced bankruptcy proceedings
against the company on April 3, 2009.  The case is docketed under
Case No. 44/177-b.

The Court is located at:

         The Economic Court of Kiev
         B. Hmelnitskiy St. 44-b
         01030 Kiev
         Ukraine

The Debtor can be reached at:

         LLC Investment Company Intar-Invest
         Office 414
         Gnat Yura St. 9
         03148 Kiev
         Ukraine


LVOV METALLURGICAL: Creditors Must File Claims by May 23
--------------------------------------------------------
Creditors of LLC Lvov Metallurgical Company (code EDRPOU 30706786)
have until May 23, 2009, to submit proofs of claim to:

         O. Gentash
         Insolvency Manager
         Sheptitsky St. 39/1
         Sokal
         80000 Lvov
         Ukraine

The Economic Court of Lvov region commenced bankruptcy proceedings
against the company on March 31, 2009.  The case is docketed under
Case No. 8/18.

The Court is located at:

         The Economic Court of Lvov
         Lichakovskaya St. 128
         79010 Lvov
         Ukraine

The Debtor can be reached at:

          LLC Lvov Metallurgical Company
          Bazarnaya St. 50/23
          79000 Lvov
          Ukraine


UKRTECHNOSVIT LLC: Creditors Must File Claims by May 22
-------------------------------------------------------
Creditors of LLC Trading House Ukrtechnosvit (code EDRPOU
36010338) have until May 22, 2009, to submit proofs of claim to:

         V. Shelupets
         Insolvency Manager
         F. Kon St. 5
         Donetsk
         Ukraine

The Economic Court of Kiev commenced bankruptcy proceedings
against the company on April 3, 2009.  The case is docketed under
Case No. 44/176-b.

The Court is located at:

         The Economic Court of Kiev
         B. Hmelnitskiy St. 44-b
         01030 Kiev
         Ukraine

The Debtor can be reached at:

         LLC Trading House Ukrtechnosvit
         Kurskaya St. 10
         03049 Kiev
         Ukraine


VOSTOK 2003: Court Starts Bankruptcy Supervision Procedure
----------------------------------------------------------
The Economic Court of Dnepropetrovsk commenced bankruptcy
supervision procedure on LLC Vostok 2003 (code EDRPOU 32551935).

The Insolvency Manager is:

         O. Usachev
         Office 27
         Sachko St. 26
         Dneprodzerzhynsk
         51931 Dnepropetrovsk
         Ukraine

The Court is located at:

         The Economic Court of Dnepropetrovsk
         Kujbishev St. 1a
         49600 Dnepropetrovsk
         Ukraine

The Debtor can be reached at:

         LLC Vostok 2003
         Industrialnaya str. 9a
         Elizavetovka
         Petrikovsky
         51939 Dnepropetrovsk
         Ukraine


* Moody's Cuts Deposit Ratings on 19 Ukrainian Banks to 'B3'
------------------------------------------------------------
Moody's Investors Service downgraded the global foreign currency
deposit ratings of 19 Ukrainian banks to B3 from B2 and the
foreign currency debt ratings of five Ukrainian banks to B1 from
Ba3.  Moody's also downgraded the local currency debt ratings of
two Ukrainian banks.  The outlook is negative on the long-term GFC
deposit ratings and the long-term foreign currency debt ratings
affected by this rating action.

Moody's rating action was triggered by (i) the downgrade of
Ukraine's foreign currency bank deposit ceiling to B3 with
negative outlook from B2, (ii) the downgrade of Ukraine's foreign
currency bond ceiling to B1 with negative outlook from Ba3 and
(iii) the downgrade of Ukraine's local currency bond ceiling to
Ba1 from A3.

Moody's decision to downgrade Ukraine's deposit and debt ceilings
and the government's bond ratings reflects the rating agency's
concerns about the deterioration of the macroeconomic environment
and the banking system, persistent political uncertainty and
tighter capital control regulations in Ukraine.

The long-term GFC deposit ratings of these banks were downgraded
to B3 (from B2) with a negative outlook:

  -- Calyon Bank Ukraine
  -- Dongorbank
  -- First Ukrainian International Bank
  -- Forum Bank
  -- ING Bank Ukraine
  -- Khreschatyk Bank
  -- OTP Bank Ukraine
  -- Pivdennyi Bank
  -- Pravex-Bank
  -- Privatbank Commercial Bank
  -- Raiffeisen Bank Aval
  -- Savings Bank of Ukraine
  -- Subsidiary Bank Sberbank of Russia
  -- Swedbank Invest
  -- Swedbank OJSC
  -- Ukreximbank
  -- Ukrsibbank
  -- Ukrsotsbank
  -- VAB Bank

The long-term foreign currency debt ratings of these banks were
downgraded to B1 (from Ba3) with a negative outlook:

  -- Forum Bank
  -- Privatbank Commercial Bank
  -- Ukreximbank
  -- Ukrsibbank
  -- Ukrsotsbank

At the same time, Raiffeisen Bank Aval's local currency debt
rating was downgraded to Ba1 from Baa3, while its national scale
rating was downgraded to Aa1.ua from Aaa.ua.

Ukrsotsbank's local currency debt rating was downgraded to Ba1
from Baa3.

Moody's previous rating action on Calyon Bank Ukraine was on 2
April 2009 when Moody's downgraded the bank's local currency
deposit rating to Ba2 from Ba1, its local currency debt rating to
Ba2 from Ba1 and its national scale debt rating to Aa1.ua from
Aaa.ua.

Moody's previous rating action on Dongorbank was on 25 February
2009 when its B2 GFC long-term deposit rating was placed on review
for possible downgrade.

Moody's previous rating action on First Ukrainian International
Bank was on 25 February 2009 when its B2 GFC long-term deposit
rating was placed on review for possible downgrade.

Moody's previous rating action on Forum Bank was on 25 February
2009 when its B2 GFC long-term deposit rating and Ba3 long-term
foreign currency debt rating were placed on review for possible
downgrade.

Moody's previous rating action on ING Bank Ukraine was on 25
February 2009 when its B2 GFC long-term deposit rating was placed
on review for possible downgrade.

Moody's previous rating action on Khreschatyk Bank was on 25
February 2009 when its B2 GFC long-term deposit rating was placed
on review for possible downgrade.

Moody's previous rating action on OTP Bank Ukraine was on 2 April
2009 when the bank's D BFSR was placed on review for possible
downgrade.

Moody's previous rating action on Pivdennyi Bank was on 25
February 2009 when its B2 GFC long-term deposit rating was placed
on review for possible downgrade.

Moody's previous rating action on Pravex-Bank was on 25 February
2009 when its B2 GFC long-term deposit rating was placed on review
for possible downgrade.

Moody's previous rating action on Privatbank was on 25 February
2009 when its B2 GFC long-term deposit rating and Ba3 long-term
foreign currency debt rating were placed on review for possible
downgrade.

Moody's previous rating action on Raiffeisen Bank Aval was on 2
April 2009 when the bank's D BFSR was placed on review for
possible downgrade.

Moody's previous rating action on Savings Bank of Ukraine was on
25 February 2009 when its B2 GFC long-term deposit rating was
placed on review for possible downgrade.

Moody's previous rating action on Subsidiary Bank Sberbank of
Russia was on 25 February 2009 when its B2 GFC long-term deposit
rating was placed on review for possible downgrade.

Moody's previous rating action on Swedbank was on 25 February 2009
when its B2 GFC long-term deposit rating was placed on review for
possible downgrade.

Moody's previous rating action on Swedbank Invest was on 25
February 2009 when its B2 GFC long-term deposit rating was placed
on review for possible downgrade.

Moody's previous rating action on Ukreximbank was on 30 December
2008 when its B2 GFC long-term deposit rating and Ba3 long-term
foreign currency debt rating were placed on review for possible
downgrade.

Moody's previous rating action on Ukrsibbank was on 2 April 2009
when the bank's BFSR of D was placed on review for possible
downgrade.

Moody's previous rating action on Ukrsotsbank was on 2 April 2009
when the bank's BFSR of D was placed on review for possible
downgrade.

Moody's previous rating action on VAB Bank was on 2 April 2009
when Moody's placed the bank's B2 debt and deposit ratings on
review for possible downgrade.


* Moody's Cuts Ukraine's Currency Government Bond Ratings to 'B2'
-----------------------------------------------------------------
Moody's Investors Service downgraded Ukraine's foreign and local
currency government bond ratings to B2 from B1, and assigned a
negative outlook, mainly to reflect the continuing fragility of
both the Ukrainian macroeconomy and its banking system.

"A supplementary reason for the downgrades is the uncertainty
generated by a series of capital controls implemented by the
National Bank of Ukraine to ration foreign currency," said Moody's
Vice President Jonathan Schiffer.  "These controls have already
contributed to a foreign payments default by one of Ukraine's
banks."

Schiffer said that such capital controls heighten the possibility
of default by Ukrainian corporations and banks on foreign currency
debt payments if they remain in place, especially coming on top of
existing controls on both domestic and foreign currency term bank
deposits.

"Tighter NBU regulatory intervention may in turn have negative
consequences for both domestic and foreign investments in future,"
warned Schiffer.

The analyst said there has been some good news for Ukraine
recently, when the International Monetary Fund released the 2nd
and 3rd tranches of Ukraine's 2-year stand-by agreement.  In
addition, there has been continued, steady progress on the bank
restructuring and recapitalization project carried out jointly by
the National Bank and the IMF.

Still, said Schiffer, Ukraine's macroeconomic situation has
deteriorated and non-performing loans continue to escalate
rapidly, posing further risks to the banking system and,
ultimately, currency stability.  He said that such risks are
complicated by continued political rivalry between the Prime
Minister and President in the run-up to the forthcoming
Presidential election, currently scheduled for autumn.  This
competition is also influencing economic policy and institutions
via the medium of both budget formulation and activities of the
National Bank and will continue to cause tensions in government
discussions with the IMF.

The negative outlook on key Ukrainian sovereign credit ratings
means that Moody's will continue to monitor closely the ability of
both the government and the National Bank of Ukraine to deal with
the economic and financial stresses.  A key focus will be the bank
recapitalization scheme; Moody's will continue to monitor this
activity closely to weigh the final costs and consequences.

In related rating actions, Moody's also downgraded the foreign
currency country ceiling for bonds to B1 from Ba3, and the ceiling
for foreign currency bank deposits to B3 from B2, both with a
negative outlook.  The local currency country bond ceiling was
also downgraded to Ba1 from A3, while the local currency bank
deposit ceiling rating was affirmed at Ba1.

The last rating action with respect to Ukraine was implemented on
Feb. 24, 2009, when the government's B1 ratings as well as the B2
foreign currency bank deposit country ceiling and Ba3 foreign
currency bond country ceiling were placed on review for downgrade.

Press releases concerning Moody's rating actions on related
issuers will follow this announcement in due course.


* UKRAINE: IMF Approves US$2.8 Bln Disbursement Under SBA
---------------------------------------------------------
The Executive Board of the International Monetary Fund (IMF) on
Friday, May 8, 2009, completed the first review of Ukraine's
economic performance under the 2-year Stand-By Arrangement (SBA),
and approved the immediate release of the second tranche under the
arrangement equivalent to SDR 1.9 billion (about US$2.8 billion).
This will bring total disbursements under the SBA to SDR 4.9
billion (about US$7.3 billion).

With the completion of this review, the Executive Board agreed to
rephase the disbursements under the SBA, including the increase of
this second tranche from the original amount of SDR 1.3 billion
(about US$1.9 billion).  The Board also granted waivers of
nonobservance of performance criteria pertaining to the cash
deficit of the central government, the passage of the budget,
exchange rate restrictions, multiple currency practices, and the
imposition of import restrictions, which the authorities have
agreed to remove fully in the near future.

The SBA with Ukraine was approved on November 5, 2008 in an amount
equivalent to SDR 11 billion.

Following the Executive Board discussion, Mr. John Lipsky, First
Deputy Managing Director and Acting Chair said:

"Ukraine's economy has been hit very hard by the deep and
protracted slowdown of the world economy.  Weakening economic
activity has led to a sharp decline in fiscal revenues, while
strains in global financial markets have put additional stress on
an already fragile banking system.  These developments have called
for significant policy adjustments.  The authorities' revised
economic program, supported by a Stand-By Arrangement with the
Fund, seeks to mitigate the effects of the global crisis, restore
confidence in the banking system, and preserve fiscal
sustainability while protecting the most vulnerable segments of
the population.

"The revised economic program targets a government deficit of 4
percent of GDP in 2009, compared to a balanced budget under the
original program.  This revision aims to strike a balance between
cushioning the economic downturn and preserving medium-term fiscal
sustainability.  From this perspective, the authorities' intention
to implement important structural reforms, including pension and
tax reforms, by end- 2009 is welcome.

"The National Bank of Ukraine has reaffirmed its commitment to
implementing a flexible exchange rate policy.  Adherence to this
commitment is key to helping the economy adjust to external
shocks, discouraging dollarization and excessive risk taking by
unhedged borrowers, and allowing monetary policy to focus on
inflation objectives.  Given the potential negative balance sheet
effects, the National Bank of Ukraine is prepared to tighten
monetary policy if needed, to avoid excessive exchange rate
depreciation.  The authorities should phase out administrative
measures, import surcharges, and restrictions limiting exchange
rate flexibility without further delays.

"A key priority of the authorities is to restore confidence in the
banking system . The diagnostic phase of the bank recapitalization
program has progressed well, and several problem banks have been
intervened.  The authorities are committed to proceed with the
state capitalization of the systemic problem banks in an orderly
and transparent manner and have taken measures to safeguard bank
assets in the interim.  They are committed to make the necessary
legal amendments to advance the bank recapitalization and
resolution program, and to continue to implement reforms in this
area in consultation with Fund staff," Mr. Lipsky said.


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


A & J BADMAN: Appoints Joint Liquidators from BDO Stoy
------------------------------------------------------
Graham David Randall and Simon Edward Jex Girling of BDO Stoy
Hayward LLP were appointed joint liquidators of & J Badman Ltd. on
April 8, 2009, for the creditors' voluntary winding-up proceeding.

The company can be reached through BDO Stoy Hayward LLP at:

         One Victoria Street
         Bristol
         BS1 6AA
         England


ANGLO-WELSH UTILITIES: Brings in Joint Liquidators from BDO Stoy
----------------------------------------------------------------
Graham David Randall and Mark Peter George Roach of BDO Stoy
Hayward LLP were appointed joint liquidators of Anglo-Welsh
Utilities Ltd. on April 9, 2009, for the creditors' voluntary
winding-up proceeding.

The company can be reached through BDO Stoy Hayward LLP at:

         Fourth Floor
         One Victoria Street
         Bristol
         BS1 6AA
         England


AVANTI AIR: Taps Joint Liquidators from Baker Tilly
---------------------------------------------------
Lindsey Jane Cooper and Donald Bailey of Baker Tilly Restructuring
and Recovery LLP were appointed joint liquidators of Avanti Air
Conditioning Ltd. on March 31, 2009, for the creditors' voluntary
winding-up proceeding.

The company can be reached through Baker Tilly Restructuring and
Recovery LLP at:

         3 Hardman Street
         Manchester
         M3 3HF
         England


AXA FUND: Claims Filing Deadline is June 19
-------------------------------------------
Axa Fund Managers Limited's creditors have until June 19, 2009, to
prove their claims against the company.

Proofs of claim must be sent on or before the deadline to the
company's joint liquidators, Jeremy Simon Spratt and Finbarr
Thomas O'Connell at this address:

       KPMG Restructuring
       8 Salisbury Square
       London EC4Y 888

The company said it "is able to pay all its known liabilities in
full."


BERNARD L MADOFF: May 27 Hearing on UK Unit's Chapter 15 Petition
-----------------------------------------------------------------
The U.S. Bankruptcy Court for the Southern District of New York
will convene a hearing on May 27, 2009, to consider a request for
recognition of Madoff Securities International Ltd.'s case in the
United Kingdom as the "foreign main proceeding".

The Chapter 15 petition by the liquidators of MSIL was filed in
the U.S. Bankruptcy Court for the District of Florida but was
transferred to Manhattan, where the involuntary Chapter 7 case of
Bernard L. Madoff and the SIPA proceedings for his firm BLMIS are
pending.

MSIL was Madoff's European money management business.  Its
liquidators are seeking, among other things, to recover certain
amounts and property transferred to Mr. Madoff's brother, Peter
Madoff.

Chapter 15 of U.S. Bankruptcy Code is designed to block U.S.
lawsuits against foreign companies with U.S. operations while they
reorganize overseas.

Irving Picard, the trustee charged with unraveling Bernard L.
Madoff Investment Securities LLC, gained power of attorney over
Madoff's London business through a March 23 order by a U.S. judge,
Bloomberg said.

                     About Bernard L Madoff

Bernard L. Madoff Investment Securities LLC was a market maker in
U.S. stocks, including all of the S&P 500 and more than 350 Nasdaq
stocks.  The firm moved large blocks of stock for institutional
clients by splitting up orders or arranging off-exchange
transactions between parties.  It also performed clearing and
settlement services.  Clients included brokerages, banks, and
other financial institutions.  In addition, Madoff Securities
managed assets for high-net-worth individuals, hedge funds, and
other institutional investors.

The firm is being liquidated in the aftermath of a fraud scandal
involving founder Bernard L. Madoff.

As reported by the Troubled Company Reporter on Dec. 15, 2008, the
Securities and Exchange Commission charged Mr. Madoff and his
investment firm with securities fraud for a multi-billion dollar
Ponzi scheme that he perpetrated on advisory clients of his firm.
The estimated losses from Madoff's fraud were allegedly at least
US$50 billion.

Also on December 15, 2008, the Honorable Louis A. Stanton of the
U.S. District Court for the Southern District of New York granted
the application of the Securities Investor Protection Corporation
for a decree adjudicating that the customers of BLMIS are in need
of the protection afforded by the Securities Investor Protection
Act of 1970.  Irving H. Picard, Esq., was appointed as trustee for
the liquidation of BLMIS, and Baker & Hostetler LLP was appointed
as counsel.

Mr. Madoff, if found guilty of all counts, would be imprisoned for
150 years, but legal experts expect the actual sentence to be much
lower and would still be an effective life sentence for the 70-
year-old defendant, WSJ notes.  Mr. Madoff, WSJ relates, would
also face millions of dollars in possible criminal fines.  The
report says that Mr. Madoff has been free on bail since his arrest
on December 11, 2008.  There was no plea agreement with Mr. Madoff
in which leniency in sentencing might be recommended, the report
states, citing prosecutors.


BURLINGTON DIGITAL: Appoints Liquidators from Tenon Recovery
------------------------------------------------------------
Alexander Kinninmonth and Nigel Ian Fox of Tenon Recovery were
appointed joint liquidators of Burlington Digital Print Ltd. on
April 8, 2009, for the creditors' voluntary winding-up proceeding.

The company can be reached through Tenon Recovery at:

         Highfield Court
         Tollgate
         Chandlers Ford
         Eastleigh
         Hampshire
         SO53 3TZ
         England


CADOGAN BISTROS: Taps Joint Liquidators from Tenon Recovery
-----------------------------------------------------------
Andrew James Pear and Ian Cadlock of Tenon Recovery were appointed
joint liquidators of Cadogan Bistros Ltd. on April 2, 2009, for
the creditors' voluntary winding-up proceeding.

The company can be reached through Tenon Recovery at:

         Third Floor
         Lyndean House
         43/46 Queens Road
         Brighton
         East Sussex
         BN1 3XB
         England


CENTRAL METAL: Goes Into Administration; 63 Jobs Axed
-----------------------------------------------------
Central Metal Manufacturers has gone into administration,
resulting in the loss of 63 jobs, thisisleicestershire.co.uk
reports.

"The economic downturn combined with a contraction in the
manufacturing sector has severely impacted on Central Metal
Manufacturing and led to its administration," the report quoted
administrator Joanne Wright, of restructuring firm BDO Stoy
Hayward, as saying.

The administrator is currently seeking a buyer for the business,
which is continuing to trade, the report discloses.

Located in Merry Lees industrial estate, near Desford, Central
Metal Manufacturers makes metal sheet products for a range
of industries, the report says.


CENTRAL METAL: Business Offered for Sale
----------------------------------------
Central Metal Manufacturing Ltd's joint administrators, Joanne
Wright and Geoffrey Kinlan, offer for sale the company's metal
fabrication business and assets.

For further information, contact Mark Harrison at 0121 265 7233.


CITY GENERAL: Policyholders Can File Claims Until Oct. 21
---------------------------------------------------------
Eligible policyholders at City General Insurance Company Limited
have until
October 21, 2009 to prove their claims against the company.

Completed claim forms must be sent on or before the deadline to:

         City General Insurance Company Limited
         3rd Floor, No. 1 Liverpool Street
         London EC2M 7QD
         Fax: +44 (0)20 7956 2376

For more information, call the company at +44 (0)20 7956 2877.


CLEAR PLC: Moody's Withdraws 'Ca' Rating on JPY1 Bil. Notes
-----------------------------------------------------------
Moody's Investors Service announced it has withdrawn its ratings
of one class of notes issued by Clear PLC

The rating action follows the repurchase in full of the notes on
April 28, 2009.

The rating action is:

Clear PLC:

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

  -- Current Rating: WR
  -- Prior Rating: Ca
  -- Prior Rating Date: 10 March 2009, downgraded to Ca from Caa2


CRACK BONDING: Taps Joint Liquidators from Smith & Williamson
-------------------------------------------------------------
Robert William Leslie Horton and Anthony Murphy of Smith &
Williamson Limited were appointed joint liquidators of Crack
Bonding Repairs Ltd. on April 6, 2009, for the creditors'
voluntary winding-up proceeding.

The company can be reached through Smith & Williamson Limited at:

         No. 1 Bishops Wharf
         Walnut Tree Close
         Guildford
         Surrey
         GU1 4RA
         England


D & P CAIRNS: Appoints Joint Liquidators from Tenon Recovery
------------------------------------------------------------
Stanley Donald Burkett-Coltman and Nigel Ian Fox of Tenon Recovery
were appointed joint liquidators of D & P Cairns Ltd. on Feb. 25,
2009, for the creditors' voluntary winding-up proceeding.

The company can be reached through Tenon Recovery at:

         Highfield Court
         Tollgate
         Chandlers Ford
         Eastleigh
         Hampshire
         SO53 3TZ
         England


EBI MANUFACTURING: Business Up for Sale
---------------------------------------
Ebi Manufacturing's joint administrators, John Sallabank and Paul
Boyle of Harrisons, offer for sale the business and assets of the
company.

The company is a designer, importer and distributor of underwear.

For more information, contact Ann Brodie at 0161 876 4567.


ENTERPRISE INNS: Scraps First-Half Dividend to Repay Debt
---------------------------------------------------------
Amy Wilson at Telegraph.co.uk reports that Enterprise Inns plc has
scrapped it first-half dividend to repay debt.  The company, the
report relates, paid a 5.8p dividend in the first half last year.

According to the report, the company has paid down GBP58 million
over the last 12 months, bringing down its net debt to
GBP3.8 billion.   The company, which has a GBP1 billion bank
facility due for renewal in 2011, stressed it was not in danger of
breaching bond or loan terms.  The company, as cited in the
report, said it is "confident that adequate banking facilities
will be available" when the time comes to refinance.

The company's pre-tax profits fell to GBP9 million from GBP122
million the previous year, after it paid one-off charges of GBP94
million linked to lower property prices and the value of interest-
rate swaps.  Its revenue declined 7.8pc to GBP404 million, the
report states.

"We expect trading conditions to be challenging through the second
half of the year," the report quoted Enterprise chief executive
Ted Tuppen as saying.

The company has property assets worth GBP5.6 billion at the end of
the first half, the report discloses.  It plans to sell 10pc of
its 7,600-pub estate in the next three years, with up to 300 sites
to go this year, the report says.

Headquartered in Solihull, Enterprise Inns plc --
http://www.enterpriseinns.com-- is a leased and tenanted pub
operator in the United Kingdom.  As of September 30, 2008, it
owned 7,763 pubs.  The Company's wholly owned subsidiaries include
Unique Pub Properties Limited, which is engaged in the ownership
of licensed properties; The Unique Pub Finance Company plc, which
is engaged in the financing acquisitions of licensed property, and
Voyager Pub Group Limited, which is a borrower of secured bank
facility.

                          *     *     *

Enterprise Inns plc currently carries a 'Ba3' long-term corporate
family rating from Moody's Investors Service with a stable
outlook.


HIGHLANDS INSURANCE: Scheme Meeting Slated for June 18
------------------------------------------------------
The High Court of Justice in England scheduled a meeting to
consider a scheme of arrangement between Highlands Insurance
Company (UK) Limited and its creditors.

The meeting will be held on June 18, 2009 at 10:00 a.m. at this
address:

      PricewaterhouseCoopers LLP
      One Embankment Place
      London WC2N 6RH


INMARSAT HOLDINGS: S&P Puts 'BB-' Debt Rating on Positive Watch
---------------------------------------------------------------
Standard & Poor's Ratings Services said that it placed the ratings
of U.K.-based mobile satellite services provider Inmarsat Holdings
Ltd. and related entities on CreditWatch with positive
implications following the completion of its purchase of
Stratos.

In addition, Standard & Poor's placed its 'BBB-' debt rating on
Inmarsat Investments Ltd.'s US$550 million senior secured
facilities, its 'BB' debt rating on US$163.7 callable notes issued
by Inmarsat Finance PLC and guaranteed by Inmarsat Ventures Ltd.,
and its 'BB-' debt rating on the US$450 million senior discount
notes issued by Inmarsat Finance II PLC and guaranteed by Inmarsat
Holdings Ltd on CreditWatch with positive implications.  The
recovery ratings on these debt issues are unchanged at '1', '3',
and '5', indicating S&P's recovery expectations of 90%-100%, 50%-
70%, and 10%-30%, respectively.

"The CreditWatch placement follows the completion by Inmarsat of
the purchase of Stratos, its main distributor, on April 15, 2009.
This transaction, in S&P's view, reflects a strengthening of
Inmarsat's business risk profile due to the benefits of vertical
integration," said Standard & Poor's credit analyst Michael
O'Brien.

Stratos was the source of 43.6% of Inmarsat's core revenues in
2008.  Together with the renewal of framework distribution
agreements, S&P considers that Inmarsat's position in the mobile
satellite services industry will be strengthened.  This should
enable the group to address the needs of its customers more
directly and shape product offerings and traffic growth to the
benefit of the industry overall.  In addition, Inmarsat's
operating performance has proved resilient in the economic
downturn so far.  Such resilience is due to its strong position
and growth opportunities in the maritime data market--despite
pressures on the shipping industry--and good diversification of
revenues across customer segments such as leasing and
aeronautical.  These continue to show demand growth and there is
also continued growth in active terminals, which provides support.

Inmarsat's policy on leverage and dividends has not substantially
changed following the completion of the Stratos transaction, and
S&P does not anticipate that it will do so.  S&P anticipates
adjusted debt to EBITDA (including Stratos) of not more than 3.5x.
This provides some headroom against adjusted debt to EBITDA of
3.2x for the 12 months ended March 31, 2009.  Inmarsat's capital
expenditures have moderated following the launch of its three
high-bandwidth I-4 satellites over the past four years.  S&P
therefore expect free operating cash flow generation to increase,
despite the higher cash interest burden resulting from the fact
that Inmarsat's US$450 million senior discount notes now pay cash
interest.  Better coverage of dividends by FOCF should, however,
contribute to an improvement in the group's financial risk
profile.

"Inmarsat's ratings are likely to be raised by one notch following
the confirmation of the refinancing of its US$550 million senior
facilities due May 2010, of which US$390 was outstanding at
March 31, 2009," added Mr. O'Brien.  "An upgrade would also
require that Inmarsat maintains a prudent financial policy,
particularly with regard to share buybacks, and maintains adequate
liquidity and covenant headroom on outstanding debt instruments."


JEDBURGH KILTMAKERS: Taps Joint Liquidators from Tenon Recovery
---------------------------------------------------------------
Dilip K. Dattani and Patrick B. Ellward of Tenon Recovery were
appointed joint liquidators of Jedburgh Kiltmakers Ltd. on April
9, 2009, for the creditors' voluntary winding-up proceeding.

The company can be reached through Tenon Recovery at:

         The Poynt
         45 Wollaton Street
         Nottingham
         NG1 5FW
         England


NORTHERN ROCK: Commission Extends In-Depth Probe Into UK Aid
------------------------------------------------------------
The European Commission on Thursday, May 7, 2009, extended the
scope of its in-depth investigation under EC Treaty state aid
rules, launched on April 2, 2008, into a UK aid package for
Northern Rock, following substantial amendments notified on
March 30, 2009.  The main change introduced is the split of
Northern Rock into a 'good' bank, which would continue commercial
activities, and a 'bad' bank with most of the previous mortgage
loans, which would be wound down.  The Commission has to examine,
whether the changes will enable Northern Rock to return to long-
term viability while avoiding undue distortions of competition.
The extension of the in-depth investigation gives interested
parties the possibility to comment on the proposed measures; it
does not prejudge the outcome.

Competition Commissioner Neelie Kroes said "The Commission needs
to look into the changes made by the UK to the original package
for Northern Rock, to ensure legal certainty. I n view of the
large scale of the aid measures this is standard procedure."

Northern Rock plc, based in Newcastle-upon-Tyne, was the UK's 5th
largest mortgage bank with a balance-sheet total of GBP101 billion
(then EUR150 billion) as of December 31, 2006.  Northern Rock's
core activity is residential mortgage lending, which represents
more than 90% of all outstanding loans made by the bank.

On December 5, 2007 the Commission authorized rescue aid for
Northern Rock.  On March 17, 2008, the UK notified a restructuring
plan for Northern Rock.  The Commission opened a formal
investigation on April 2, 2008, to assess the package with regard
to Northern Rock's prospects for a return to long-term viability.
In the same decision, the Commission also authorized another
rescue aid measure for Northern Rock. On March 30, 2009, the UK
authorities notified substantial amendments to the support package
for Northern Rock.  The recent decision extends the scope of the
Commission's investigation, to take account of these changes.

The original plan submitted by the UK authorities provided for a
reduction in Northern Rock's lending operations and in the size of
its balance sheet.  Over the period of the plan, the bank would
have repaid the loans granted by the Bank of England and the UK
Government guarantees on its funding operations in the deposit and
wholesale funding markets would have been gradually phased out.
The bank would have needed to find funding from other sources,
notably by rebuilding the level of its retail deposits.

The amended plan provides for a split-up of Northern Rock into two
new entities, a relatively small bank containing all the good
quality assets, the mortgage writing platform and the retail
deposits and a "bad bank" which would hold the vast majority of
the mortgage loans made by Northern Rock in the past.  The "bad
bank" would be wound down on a solvent basis, where the UK State
would support the losses incurred on the risky mortgage loans made
by Northern Rock in the past.

Not all details of the plan have been communicated to the
Commission and the recent decision requests further information
from the UK authorities.  The decision also invites third parties
to comment on whether the plan's proposals for avoiding undue
distortions of competition are adequate.

                         Background

As a consequence of the ongoing turbulence in the world’s
financial markets, a significant rationing of funds in the
sterling money markets occurred in August and September 2007 and
the mortgage securitization market virtually closed.  This created
severe liquidity difficulties for Northern Rock, whose business
model was particularly reliant on frequently raising finance in
these markets.


RADIOSCAPE LTD: Assets Put Up for Sale
--------------------------------------
Radioscape Limited's joint administrators, Mark Hopkins and
Matthew Hammond, offer for sale the company's business and assets.

The company is a London-based provider of digital radio broadcast
systems.

For further information, contact:

   Rachael Wilkinson
   PricewaterhouseCoopers LLP
   Tel: 01509 604138
   Fax: 01509 604035

   -or-

   Ian Leaman
   Buckingham Corporate Finance Limited
   Tel: 020 7798 2832
   Fax: 020 7798 2838


RED DESIGN: Proofs of Claim Deadline is May 20
----------------------------------------------
Red Design & Build Limited's creditors have until noon on May 20,
2009, to submit their proofs of claim to the company's joint
administrators:

          David Thurgood -and-
          David Dunckley
          Red Design & Build Limited
          c/o Grant Thornton UK LLP
          30 Finsbury Square
          London EC2P 2YU


ROBERT CULLEN: Bought Out of Administration by Former Owner
-----------------------------------------------------------
Josh Brooks at packagingnews.co.uk reports that Robert Cullen &
Sons has been bought out of administration by its former owner and
chairman of Hamilton Academicals Football Club Ronnie MacDonald
for an undisclosed sum.

The deal, the report discloses, has secured 87 jobs at the
company, which went into administration on Feb. 11 with debts of
around GBP10.5 million.

According to the report, Robert Cullen and Sons has been bought by
a new company, Robert Cullen Limited, which is backed by Mr.
MacDonald and Allied Irish Bank.

The report relates Mr. MacDonald told local newspaper The Herald:
"I wanted to buy the company back because I felt it had a
magnificent workforce.  I felt, with firm leadership, it could be
the successful company it used to be."

On Feb. 26, 2009, the Troubled Company Reporter-Europe, citing
packagingnews.co.uk, reported Zolfo Cooper's Fraser Gray,
Elizabeth Mackay and Anne O'Keefe were appointed joint
administrators of the company on Feb. 11.

Robert Cullen & Sons produces a range of products including
retail-ready packaging and recycling bins.  It employs 150 people
at its Glasgow facility, packagingnews.co.uk stated.


ROYAL BANK: John Hourican Gains GBP11MM From Share Option Package
-----------------------------------------------------------------
Nick Goodway at London Evening Standard reports that John
Hourican, head of global markets and banking division at Royal
Bank of Scotland Group plc, has gained GBP11 million from a share
option package he was awarded only last month.

London Evening Standard relates in April Mr. Hourican was given a
share and option package worth GBP6 million.  According to
Telegraph.co.uk, Mr. Hourican, who was previously chief financial
officer of ABN Amro, after it was bought by RBS, was granted 21.3m
shares and 7.4m options.  Telegraph.co.uk notes the latter are
exercisable at 28.2p, the closing share price on April 2, the day
before the award was made.  London Evening Standard states since
then the bank's share price soared from 28.2p to 46.1p and
increased the potential value of Mr. Hourican's reward to GBP11
million.

London Evening Standard says the shares and option rewards depend
on Mr. Hourican hitting demanding performance hurdles over the
next three years and he is able to take up the package at any time
until 2019.

"All share awards are entirely hypothetical until and unless he
succeeds and RBS succeeds in its core mission.  He won't receive a
penny if he doesn't deliver for the group," London Evening
Standard quoted an RBS spokesman as saying.

Telegraph.co.uk discloses the part-nationalized bank is six months
into a five-year turnaround plan, which involves reducing leverage
and restoring profitability.

                            About RBS

The Royal Bank of Scotland Group plc (NYSE:RBS) --
http://www.rbs.com/-- is a holding company of The Royal Bank of
Scotland plc (Royal Bank) and National Westminster Bank Plc
(NatWest), which are United Kingdom-based clearing banks.  The
company's activities are organized in six business divisions:
Corporate Markets (comprising Global Banking and Markets and
United Kingdom Corporate Banking), Retail Markets (comprising
Retail and Wealth Management), Ulster Bank, Citizens, RBS
Insurance and Manufacturing.  On October 17, 2007, RFS Holdings
B.V. (RFS Holdings), a company jointly owned by RBS, Fortis N.V.,
Fortis SA/NV and Banco Santander S.A. (the Consortium Banks) and
controlled by RBS, completed the acquisition of ABN AMRO Holding
N.V. (ABN AMRO).  In July 2008, the company disposed its entire
interest in Global Voice Group Ltd.


SAMURAI-SEC LTD: Taps Joint Liquidators from Tenon Recovery
-----------------------------------------------------------
Joanne Kim Rolls and S. J. Parker of Tenon Recovery were appointed
joint liquidators of Samurai-Sec Ltd. on April 8, 2009, for the
creditors' voluntary winding-up proceeding.

The company can be reached at:

         Samurai-Sec Ltd.
         Sherlock House
         73 Baker Street
         London
         England


SCOTTISH LION: Files Scheme of Arrangement Petition
---------------------------------------------------
The Scottish Lion Insurance Company Limited has presented to the
Court of Session in Scotland a petition for sanction of a scheme
of arrrangement between the company and its creditors.

Any person claiming an interest may lodge answers to the petition
by June 18, 2009, at the:

       Offices of Court
       Court of Session
       Parliamant House
       Parliament Square
       Edinburgh EH1 1RQ

For more information, contact:

       Morton Fraser LLP
       (the company's Scottish Solicitors)
       Attn: Joy Barnard
       30-31 Queen Street
       Edinburgh EH2 1JX
       Tel: +44 (0)131 247 1102
       Fax: +44 (0)131 247 1004

       -or-

       Mayer Brown International LLP
       (the company's English Solicitors)
       Attn: Ian McKenna or Sarah Russell
       Level 31, 30 St., Mary Avenue
       London EC1A 8EP
       Tel: +44 (0)20 7398 4611
       Fax: +44 (0)20 7623 7965


THPA FINANCE: Fitch Puts 'BB' Rating on Class C Notes on Neg Watch
------------------------------------------------------------------
Fitch Ratings has placed THPA Finance Limited's notes on Rating
Watch Negative:

  -- GBP145 million class A2 secured 7.127% fixed-rate notes due
     2024: rated 'A'; placed on RWN


  -- GBP70 million class B secured 8.241% fixed-rate notes due
     2028: rated 'BBB'; placed on RWN

  -- GBP30 million class C secured floating-rate notes due 2031:
     rated 'BB'; placed on RWN

THPA is a securitization of the assets held, and earnings
generated, by the PD Ports group which owns the port of Tees &
Hartlepool on the northeast coast of England.

The rating action follows Corus' recent announcement that it might
have to close its Redcar steel plant located at Teesport in
northeast England. Corus has justified this potential move as a
direct consequence of the apparent decision by the four off-takers
to cancel their agreement to buy 78% of the Redcar plant's
production until 2014.  Corus said the consortium's withdrawal had
made the plant's ongoing operations unviable.  Fitch estimates
that the loss of revenues generated by the imports of iron and ore
and the handling of slab steel production for export through
Teesport, could directly reduce THPA's EBITDA by up to 25%.

Fitch will aim to resolve the RWN on all notes once more certainty
emerges about the plant's future or its impact on PD Ports'
activities.  If the potential closure of the plant is confirmed,
and assuming all else remains equal, the most likely outcome for
the class A2 notes would be an affirmation or a downgrade by one
notch, whilst the class B and class C notes would most likely be
downgraded by one or two notches respectively.  Further
developments, including the potential impact on the port's
operations, will be closely monitored by Fitch going forward.


UBS AG: Moody's Junks Ratings on Series 6481 Notes from 'Ba2'
-------------------------------------------------------------
Moody's Investors Service announced it has downgraded its rating
of one class of CDO notes issued by UBS AG, Jersey Branch.

The transaction is a synthetic CDO referencing a pool of 107
corporate and sovereign entities, with approximately 22% of the
pool consisting of financial services entities.  According to
Moody's, 16% of the reference pool suffered a downward credit
rating migration greater than had been anticipated by Moody's
forward looking measures, leading to the rating action.

Moody's initially analyzed and continues to monitor this
transaction using primarily the methodology and its supplements
for corporate synthetic CDOs as described in Moody's Special
Reports and press releases below:

  -- Moody's Approach To Rating Corporate Collateralized Synthetic
     Obligations (April 2009)

The rating action is:

UBS AG, Jersey Branch

(1) Series 6481 CHF25,000,000 Credit Linked Notes

  -- Current Rating: Caa1
  -- Prior Rating: Ba2
  -- Prior Rating Date: 10 March 2009, downgraded to Ba2 from A2


ULTRALIFE LIMITED: Business Up for Sale
---------------------------------------
Ultralife Limited's joint administrator, Stephen Goderski of
Geoffrey Martin & Co, offers for sale the company's business and
assets.

The company is a Buckinghamshire-based manufacturer of nutritional
supplements.

For further information, contact Sarah Brinkely at:

    Tel: 020 7495 1100
    Fax: 020 7495 1144


W H WESSON: Appoints Joint Liquidators from Tenon Recovery
----------------------------------------------------------
Andrew James Pear and Ian Cadlock of Tenon Recovery were appointed
joint liquidators of W H Wesson (Fencing) Ltd. on March 28, 2009,
for the creditors' voluntary winding-up proceeding.

The company can be reached through Tenon Recovery at:

         Third Floor
         Lyndean House
         43/46 Queens Road
         Brighton
         East Sussex
         BN1 3XB
         England


WIRRAL COMMUNITY: Goes Into Administration, LDP Says
----------------------------------------------------
Wirral Community Transport, a major transport provider for
education and social services in Wirral which operated as a
charity, has gone into administration, Liam Murphy at Liverpool
Daily Post reports.

The report relates according to accounts for the year ending
March, 2007 -- the most recent on record lodged with the Charity
Commission -- the transport company employed 72 people and had 14
volunteers.  The report discloses according to the information
provided during that year, the charity's income was GBP1,436,877
while its spending was GBP1,594,399.


* Moody's Takes Various Selective Rating Actions on Five UK Banks
-----------------------------------------------------------------
Moody's Investors Service has taken selective rating actions on
five UK banks.  The institutions included in these actions are
Close Brothers Limited, Clydesdale Bank, Co-operative Bank,
Standard Bank plc, and Lloyds TSB Offshore Limited.  The ratings
of Investec Bank plc and ICICI Bank UK have been affirmed.

The rating action follows the earlier rating actions on UK
mortgage lenders which had been announced on April 14, primarily
triggered by Moody's concern that the global economic crisis will
lead to significantly higher credit losses than previously
anticipated, and Moody's continued expectation of both parental
and systemic support for the senior obligations of some of these
banks where appropriate.

"The key factor in these rating actions is Moody's concern that
capitalization levels will come under pressure over the next
quarters as the deteriorating economic conditions in the UK and
globally will lead to significantly higher credit losses,
particularly for the banks in their corporate banking and
commercial real estate assets" said Ross Abercromby, VP/Senior
Analyst.

For those banks with residential mortgage exposure (primarily Co-
operative Bank and Clydesdale Bank) these rating actions, as with
Moody's recent rating actions on the UK mortgage lenders, include
the results derived from the analysis of various stress scenarios,
incorporating a peak-to-trough house price decline of 40% for
Moody's base scenario.  In addition Moody's have also stressed the
commercial real estate and other loan portfolios of the banks
based on information provided by the banks and Moody's own
assumptions.  These expected losses were compared to the capital
positions of the banks and also took into account likely pre-
provision income for the next year.  The key concerns for these
banks was the amount of capital available to absorb the upcoming
losses, especially those arising from corporate banking,
commercial real estate assets, including residential development
lending, and residential mortgage assets, as well as future
earnings capacity of the banks that directly affects their ability
to add to or replenish their capital base.

The bank deposit and senior debt ratings of the banks continue to
incorporate Moody's expectation of both parental and systemic
support (where appropriate) and are in line with Moody's
expectation that banks in highly rated countries will receive or
are likely to receive support depending on their level of systemic
importance as well as their importance to their parent, if any.

In addition, the subordinated debt of these institutions has also
been downgraded in line with Moody's concern that systemic support
may not be extended to these instruments in the case of financial
distress.  Moody's notes that due to the potential lack of
systemic support for the subordinated and hybrid securities in the
U.K., the anchor for subordinated and hybrid debt ratings issued
by these institutions will no longer be the supported debt and
deposit rating, but the standalone intrinsic strength rating, the
Baseline Credit Assessment which is derived from the BFSR,
incorporating however any potential parental support.  This change
in Moody's rating of subordinated debt and hybrids in the UK
follows the recent precedence on the exclusion of support on such
instruments by the U.K. government in the case of the Dunfermline
Building Society, and builds on the earlier example of Bradford &
Bingley.  In the case of Clydesdale Bank and Standard Bank Moody's
have incorporated parental support into these ratings and this
explains the A3 rating for subordinated and junior subordinated
debt at Clydesdale, and the Baa1 (on review for possible
downgrade) rating on Standard Bank's subordinated debt.

                     Summary Of Rating Actions

Close Brothers Limited: The A2/P-1C+ ratings are affirmed. The
outlook is changed to negative from stable.  The change in outlook
to negative reflects the still very challenging economic
environment in the UK and the likely impact that this will have on
the bank's profitability and asset quality.  The outlook change
however also reflects the expected general resilience of CBL's
business model during the current crisis including its continuing
profitability, sound funding and comparatively strong
capitalization.  The outlook on the debt issued by Close Brothers
Finance PLC, guaranteed by CBL, is also changed to negative.

Clydesdale Bank: senior debt/deposit ratings are downgraded to A1
negative outlook from Aa3 negative outlook; the P-1 short-term
rating is affirmed; the BFSR is downgraded to C- (BCA: Baa1) with
a stable outlook from C+ (negative outlook); subordinated debt
ratings are downgraded to A3.  The downgrade of the BFSR to C-
reflects the still very challenging economic environment in the UK
and the impact that this is expected to have on the bank's
profitability and asset quality.  The downgrade of the long-term
bank deposit and senior debt ratings to A1 reflects the lower
BFSR, but also the rating agency's view on the high ongoing
support from its parent, National Australia Bank (rated Aa1/B,
negative outlook), and a moderate probability of systemic support
from the Aaa-rated UK.  The backed-Aaa ratings assigned to the UK
government guaranteed debt is unaffected by this rating action.

Co-operative Bank (Co-op Bank"): the A2/P-1 senior debt and bank
deposit ratings are placed on review for possible downgrade; the
BFSR is downgraded to C- (BCA: Baa1) from C and is also placed on
review for possible downgrade; subordinated debt is downgraded to
Baa2 from A3 and is also placed on review for possible downgrade.
Similar to Clydesdale Bank the downgrade of the BFSR to C- from C
reflects the difficult conditions in the UK and the impact that
this is likely to have on the bank's profitability and asset
quality.  The review for possible downgrade on the C- BFSR will
focus on the upcoming merger with Britannia Building Society
(BFSR: D+ on review, direction uncertain) and the impact that the
weaker position of the larger Britannia will have on the
consolidated entity.  The review for possible downgrade on the
banks A2/P-1 long-term bank deposit and senior debt ratings will
also focus on Moody's systemic support assumptions given the
likely increasing systemic importance of the combined entity.

Lloyds TSB Offshore Limited: the debt and deposit ratings are
affirmed at A1/P1 with a stable outlook, and the outlook on the C
BFSR is changed to negative from stable.  The affirmation of the
debt ratings reflects the ongoing expectation of a high level of
parental support from Lloyds TSB Bank plc (rated Aa3/P1 with a
stable outlook, C+ BFSR with a negative outlook).  The change in
outlook on Lloyds Offshore's BFSR reflects the fact that although
the economies of the Islands are unlikely to deteriorate to the
same extent as the UK, they are also subject to negative
headwinds, and the bank's relatively large commercial property
exposures could lead to an increase in impairments.  It also
reflects the high integration of Lloyds Offshore into Lloyds
Banking Group, and the subsequent linkage of Lloyds Offshore's
intrinsic financial strength with its parent.

Standard Bank plc: the A3/P-2/C- ratings are placed on review for
possible downgrade, as is the Baa1 long-term Issuer Rating of
Standard International Holdings.  The review for possible
downgrade will concentrate on the group's ability to mitigate
potential losses and pressure on its capital stemming from the
increased volatility in most of the emerging market countries
where Standard Bank plc operates.  The review will also focus on
the robustness of the group's risk management framework and
effectiveness of its collateral valuation and hedging positions,
which it extensively relies on for minimising its exposures and
concentration risks.

The ratings of ICICI Bank UK (Baa2/P-2/D) and of Investec Bank plc
(Baa3/P-2/D+) have been affirmed, as recent rating actions had
already incorporated the economic deterioration and the impact on
their intrinsic and Debt and Deposit ratings.

Moody's last rating action on Close Brothers Ltd was in April 2007
when the ratings were upgraded to A2/P-1/C+ from A3/P-2/C
following the implementation of Moody's JDA and BFSR
methodologies.

The last rating action on Clydesdale Bank was on March 2, 2009
when the Aa3/Prime-1 ratings were affirmed, the BFSR was
downgraded to C+ from B- and the outlook was changed to negative
from stable.

The last rating action on Co-operative Bank was on January 21,
2009 when the A2/Prime-1/C ratings were affirmed, and the outlook
was changed to negative from stable, following the announcement of
the proposed merger with Britannia Building Society.

The last rating action on Lloyds TSB Offshore was on February 16,
2009 when the long-term bank deposit rating was downgraded to A1
from Aa2, following the downgrade of its parent.

The last rating action on Standard Bank plc and SIH was on 12th of
March, 2009 following the announcement regarding the acquisition
of the Russian-based investment bank Troika-Dialog.  The ratings
of Standard Bank plc and SIH were placed on negative outlook.

Structured Finance related rating actions, if any, are not covered
by this press release.

All of the banks included in this action are headquartered in the
U.K. with the exception of Lloyds TSB Offshore that is
headquartered in Jersey.


* IMF Sees European Recovery from Economic Downturn in 2010
-----------------------------------------------------------
The International Monetary Fund (IMF) on Tuesday said that the
severe economic downturn in Europe could end during the second
half of 2010, followed by a gradual recovery, but that further
policy actions, especially in the financial sector, will be
essential to induce this recovery.  In its Spring 2009 Regional
Economic Outlook (REO) for Europe, the IMF notes economic activity
is likely to contract most in emerging economies in the region
this year, although activity may rebound slightly more in 2010
compared to the advanced economies of Europe.

For Europe's advanced countries, the IMF forecasts a 4 percent
contraction in 2009.  The advance countries are still expected to
record negative growth in 2010, though at a more moderate rate of
0.4 percent.  For Europe's emerging economies, the IMF projects a
4.9 percent decline in 2009, with a return to growth of 0.7
percent in 2010.  Inflation is expected to fall to very low levels
in many countries, but outright deflation is likely to be avoided,
according to the IMF.  The risks around this overall economic
scenario, however, still remain tilted to the downside, it warns.
With low inflation, consumers could regain confidence earlier, but
continued weak global demand could lengthen and deepen the
recession.

"The measures taken to counteract the deep recession in Europe
have provided a good foundation for a gradual recovery, but
further actions by policy makers, particularly in the financial
sector, are needed to restore market trust and confidence, and
accelerate the recovery," said Marek Belka, Director of the IMF’s
European Department.  These actions include continued provision of
liquidity and engagement in credit easing where necessary;
credible loss recognition in the financial system;
recapitalization of viable institutions by the private sector, but
with public support if needed; and ring-fencing of impaired assets
where they constitute a significant part of balance sheets, and
preferably through a private sector managed bad-bank construction
with government support and funding.

Macroeconomic policies are also needed to cushion the downturn.
Fiscal policy needs to continue to support demand, combining rapid
and extensive implementation of fiscal stimulus packages with a
commitment to future fiscal consolidation.  Monetary policy should
be used to anchor inflation expectations solidly in positive
territory, preempting deflationary risks.

"What is mostly needed is a robust approach to coordination, in
particular on financial and regional macroeconomic stability,"
Belka said.  "Europe is the most economically integrated market
economy in the world, and yet the policies to address the crisis
have been undertaken at the national level.  Without a well-
coordinated effort in these areas, neither fiscal nor monetary
policy efforts will work as effectively as they must to make sure
that Europe is as vibrant and prosperous after the crisis as it
was before.  Europe is facing the economic storm of a lifetime and
it urgently needs to weatherproof its institutions," added Belka,
who also called for improving the EU's financial stability
framework, going beyond the recommendations suggested earlier in
2009 in the report by the High-Level Group of Financial
Supervision in the EU, chaired by Jacques de Larosière.

Brief Summary of the Analytic Chapters in the 2009 Spring REO

Chapter 2 of the 2009 Spring REO, entitled "Fiscal Policy in
Advanced Economies: Effectiveness, Coordination, and Solvency
Issues," concludes that while it is important for countries to
support their economies in the face of an unprecedented slowdown,
a clear and credible commitment to long-run fiscal discipline is
now more essential than ever before: any loss of market confidence
may lead to increases in long-term real interest rates and debt-
service costs, partly offsetting the stimulus effects of measures
taken to deal with the crisis and further adding to financing
pressures.  Any short-term fiscal action will have to be cast
within a credible medium-term fiscal framework and envisage a
fiscal correction as the crisis abates.

Chapter 3, entitled "European Emerging Market in Crisis: Impact
and Recovery," looks at the impact of the global financial crisis
on emerging Europe and finds that for emerging market countries
that became EU members, adherence to EU rules and institutions has
helped to mitigate the impact of the crisis, although it has not
shielded them completely.  Also, the so called "EU halo effect"—or
the phenomenon of lower bond spreads for New Member States in
spite of rising vulnerabilities in some countries—has disappeared,
while cross-country differences have increased.  The chapter
concludes that while the external environment and structural
reform efforts will matter, the banking sector, which has played a
central role in the run-up to the crisis, holds a key to the speed
of recovery from the crisis.  In the short term, bank
recapitalizations seem unavoidable to prevent recessions from
becoming protracted.  In the medium term, recovery efforts will
need to be supported by a strengthening of financial stability
arrangements, including for cross-border activities, and the
introduction of more forward-looking provisioning policies.


* Upcoming Meetings, Conferences and Seminars
---------------------------------------------
May 12-15, 2009
AMERICAN BANKRUPTCY INSTITUTE
    Litigation Skills Symposium
       Tulane University, New Orleans, La.
          Contact: http://www.abiworld.org/

May 14-16, 2009
ALI-ABA
    Chapter 11 Business Reorganizations
       Langham Hotel, Boston, Massachusetts
          Contact: http://www.ali-aba.org

June 10-13, 2009
ASSOCIATION OF INSOLVENCY & RESTRUCTURING ADVISORS
    25th Annual Bankruptcy & Restructuring Conference
       The Ritz-Carlton Orlando Grande Lakes
          Orlando, Florida
             Contact: http://www.aria.org/

June 11-14, 2009
AMERICAN BANKRUPTCY INSTITUTE
    Central States Bankruptcy Workshop
       Grand Traverse Resort and Spa
          Traverse City, Michigan
             Contact: http://www.abiworld.org/

June 21-24, 2009
INTERNATIONAL ASSOCIATION OF RESTRUCTURING, INSOLVENCY &
    BANKRUPTCY PROFESSIONALS
       8th International World Congress
          TBA
             Contact: http://www.insol.org/

July 16-19, 2009
AMERICAN BANKRUPTCY INSTITUTE
    Northeast Bankruptcy Conference
       Mt. Washington Inn
          Bretton Woods, New Hampshire
             Contact: http://www.abiworld.org/

July 29-Aug. 1, 2009
AMERICAN BANKRUPTCY INSTITUTE
    Southeast Bankruptcy Conference
       The Westin Hilton Head Island Resort & Spa,
       Hilton Head Island, S.C.
          Contact: http://www.abiworld.org/

Aug. 6-8, 2009
AMERICAN BANKRUPTCY INSTITUTE
    Mid-Atlantic Bankruptcy Conference
       Hotel Hershey, Hershey, Pa.
          Contact: http://www.abiworld.org/

Sept. 10-11, 2009
AMERICAN BANKRUPTCY INSTITUTE
    Complex Financial Restructuring Program
       Hyatt Regency Lake Tahoe, Incline Village, Nevada
          Contact: http://www.abiworld.org/

Sept. 10-12, 2009
AMERICAN BANKRUPTCY INSTITUTE
    17th Annual Southwest Bankruptcy Conference
       Hyatt Regency Lake Tahoe, Incline Village, Nevada
          Contact: http://www.abiworld.org/

Oct. 2, 2009
AMERICAN BANKRUPTCY INSTITUTE
    ABI/GULC "Views from the Bench"
       Georgetown University Law Center, Washington, D.C.
          Contact: http://www.abiworld.org/

Oct. 5-9, 2009
TURNAROUND MANAGEMENT ASSOCIATION
    TMA Annual Convention
       Marriott Desert Ridge, Phoenix, Arizona
          Contact: 312-578-6900; http://www.turnaround.org/

Oct. 20, 2009
AMERICAN BANKRUPTCY INSTITUTE
    NCBJ/ABI Educational Program
       Paris Las Vegas, Las Vegas, Nev.
          Contact: http://www.abiworld.org/

Dec. 3-5, 2009
AMERICAN BANKRUPTCY INSTITUTE
    21st Annual Winter Leadership Conference
       La Quinta Resort & Spa, La Quinta, California
          Contact: 1-703-739-0800; http://www.abiworld.org/

Apr. 29-May 2, 2010
AMERICAN BANKRUPTCY INSTITUTE
    Annual Spring Meeting
       Gaylord National Resort & Convention Center, Maryland
          Contact: 1-703-739-0800; http://www.abiworld.org/

June 17-20, 2010
AMERICAN BANKRUPTCY INSTITUTE
    Central States Bankruptcy Workshop
       Grand Traverse Resort and Spa, Traverse City, Michigan
          Contact: 1-703-739-0800; http://www.abiworld.org/

July 7-10, 2010
AMERICAN BANKRUPTCY INSTITUTE
    Northeast Bankruptcy Conference
       Ocean Edge Resort, Brewster, Massachusetts
          Contact: 1-703-739-0800; http://www.abiworld.org/

July 14-17, 2010
AMERICAN BANKRUPTCY INSTITUTE
    Southeast Bankruptcy Conference
       The Ritz-Carlton Amelia Island, Amelia, Fla.
          Contact: http://www.abiworld.org/

Aug. 5-7, 2010
AMERICAN BANKRUPTCY INSTITUTE
    Mid-Atlantic Bankruptcy Workshop
       Hyatt Regency Chesapeake Bay, Cambridge, Maryland
          Contact: 1-703-739-0800; http://www.abiworld.org/

Oct. 4-8, 2010
TURNAROUND MANAGEMENT ASSOCIATION
    TMA Annual Convention
       JW Marriott Grande Lakes, Orlando, Florida
          Contact: http://www.turnaround.org/

Dec. 2-4, 2010
AMERICAN BANKRUPTCY INSTITUTE
    22nd Annual Winter Leadership Conference
       Camelback Inn, Scottsdale, Arizona
          Contact: 1-703-739-0800; http://www.abiworld.org/

Mar. 31-Apr. 3, 2011
AMERICAN BANKRUPTCY INSTITUTE
    Annual Spring Meeting
       Gaylord National Resort & Convention Center, Maryland
          Contact: 1-703-739-0800; http://www.abiworld.org/

June 9-12, 2011
AMERICAN BANKRUPTCY INSTITUTE
    Central States Bankruptcy Workshop
       Grand Traverse Resort and Spa
          Traverse City, Michigan
             Contact: http://www.abiworld.org/

Dec. 1-3, 2011
AMERICAN BANKRUPTCY INSTITUTE
    23rd Annual Winter Leadership Conference
       La Quinta Resort & Spa, La Quinta, California
          Contact: 1-703-739-0800; http://www.abiworld.org/

                            *********

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 * * *