TCREUR_Public/090515.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

             Friday, May 15, 2009, Vol. 10, No. 95

                            Headlines

A U S T R I A

HDG CONSULTING : Claims Registration Period Ends May 25
HYPO GROUP: Moody's Reviews 'D-' BFSR for Possible Downgrade
USORA IMMO: Claims Registration Period Ends May 26
WILHELM LIPP: Claims Registration Period Ends May 26
WONDERWOOD GMBH: Claims Registration Period Ends May 25


C Y P R U S

DELANCE LTD: S&P Puts 'B' Corporate Rating on CreditWatch Negative


F R A N C E

MTI GLOBAL: In Talks with Lenders on Covenant Waivers
PERNOD RICARD: Fitch Affirms Issuer Default Rating at 'BB+'


G E R M A N Y

ASSIST BLECHTECHNIK: Claims Registration Period Ends June 10
BAUSTOFFE CREATIV: Claims Registration Period Ends July 25
BAYERISCHE LANDESBANK: Moody's Cuts Bank Strength Rating to 'D-'
COMMERZBANK AG: Fitch Junks Ratings on Various Hybrid Instruments
COMMLOC GMBH: Claims Registration Period Ends June 5

DIMEX GMBH: Claims Registration Period Ends May 29
E-M-S SALES: Claims Registration Period Ends July 3
EDSCHA BETÄTIGUNGSSYSTEME: Claims Registration Ends May 29
ELITE BUSINESS: Claims Registration Period Ends June 5
GENERAL MOTORS: Hesse Says Gov't Trust for Opel is Too Expensive

GILDEMEISTER AG: Moody's Reviews 'Ba2' Rating for Downgrade
LANDESBANK SAAR: Moody's Reviews 'D+' Bank Fin'l Strength Rating
SCHAEFFLER KG: Aims to Save US$342 Million in Labor Costs
TUI AG: Posts EUR415 Mln Group Profit in First Quarter 2009


I C E L A N D

STRAUMUR-BURDARAS: To Take Over Gudmundsson's West Ham United


I R E L A N D

EIRCOM LTD: Gov't Intervention to Protect Future Sought
EMPYREAN FINANCE: Moody's Cuts Ratings on 6 Classes of Notes to Ca
MAGI FUNDING: S&P Withdraws 'BB' Credit Rating on Class K Notes


I T A L Y

SAFILO SPA: S&P Junks Long-Term Corporate Credit Rating


K A Z A K H S T A N

DALI STROY: Creditors Must File Claims by June 12
INVEST OIL : Creditors Must File Claims by June 12
KAZTEMIRTRANS: Moody's Keeps 'Ba1' Rating; Outlook Remains Stable
LADOS KAZALY: Creditors Must File Claims by June 12
TASKYN LLP: Creditors Must File Claims by June 12

* S&P Affirms Low-B Ratings on Four Kazakh Govt-Related Entities


K Y R G Y Z S T A N

SOFIA TRADING: Creditors Must File Claims by June 5


N E T H E R L A N D S

ING GROEP: Incurs US$1.08 Billion Loss in First-Quarter


R U S S I A

CENTRAL CONSTRUCTION: Creditors Must File Claims by June 4
GALLLERY MEDIA: Moody's Cuts Corporate Family Rating to 'Caa3'
IZOLYATSIONSHCHIK LLC: Creditors Must File Claims by June 4
KURGAN AIRPORT: Creditors Must File Claims by June 4
LYAMINSKIY FIBERBOARD: V. Makarov Named Insolvency Manager

NATIONAL FACTORING: Moody's Cuts Long-Term Deposit Ratings to 'B3'
STROY-AZIYA LLC: Creditors Must File Claims by July 4


S P A I N

SANTANDER EMPRESAS: S&P Affirms Ratings on Class F Notes at 'CCC-'
TDA 25: Standard & Poor's Junks Rating on Class D Notes


S W I T Z E R L A N D

E. + M. KUNZ GMBH: Creditors Must File Proofs of Claim by May 20
EXPO WERBE: Claims Filing Deadline is May 20
GOLFPLATZ WEISSBAD: Creditors Have Until May 20 to File Claims
HELD & MUSSOI GMBH: Claims Filing Deadline is May 20
PLATFORM108 AG: Creditors Must File Claims by May 20

RESTAURANT BRUNEGG: Creditors Have Until May 20 to File Claims
SABRULIN AG: Claims Filing Deadline is May 20


U K R A I N E

AGRO-LAN LLC: Creditors Must File Claims by May 24
CHERNOMORSKY AGRICULTURAL: Creditors Must File Claims by May 24
FAF IMAGES: Creditors Must File Claims by May 23
TSENTROPROM COMPLEX: Creditors Must File Claims by May 23
UKRAINIAN FOOD: Creditors Must File Claims by May 23

* Moody's Cuts Issuer Ratings on Three Ukrainian Cities to 'B2'


U N I T E D   K I N G D O M

ABSOLUTE LEISURE: Sites Put Up for Sale Following Administration
BARRATT DEVELOPMENTS: Says No Current Plans to Raise Equity
JOHNSTON PRESS: May Breach Debt Covenants After Irish Sale Failed
MONIER GROUP: Lenders Turn Down PAI's Debt-for-Equity Swap Offer
SOVEREIGN OIL: Share Trading Resumes Today; Chairman Ellis Ousted

SUN MICROSYSTEMS: Scottish Plant Posts GBP4.5MM 2008 Pre-Tax Loss
TATA STEEL UK: Wants Lenders to Reset Terms on Corus Loan
THPA FINANCE: S&P Puts 'BB' Rating on Class C Notes on Watch Neg
UROPA SECURITIES: Fitch Junks Ratings on Four Classes of Notes
WHISTLEJACKET CAPITAL: Moody's Corrects Release; Cuts Note Ratings

* S&P Puts Ratings on 35 Tranches in 8 Euro CBMS Deals on WatchNeg
* IMF Wants European Banks to Be Subjected to "Stress Tests"

* BOOK REVIEW: Performance Evaluation of Hedge Funds


                         *********


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


HDG CONSULTING : Claims Registration Period Ends May 25
-------------------------------------------------------
Creditors owed money by Hdg Consulting GmbH & Co Kg have until
May 25, 2009, to file written proofs of claim to the court-
appointed estate administrator:

         Dr. Peter Wilhelm
         Ringstrasse 9
         3500 Krems
         Austria
         Tel: 02732/82265
         Fax: 02732/822656
         E-mail: rechtsanwalt@ra-wilhelm.at


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

         Land Court of Krems an der Donau
         Hall A
         Second Floor
         Krems an der Donau
         Austria


HYPO GROUP: Moody's Reviews 'D-' BFSR for Possible Downgrade
------------------------------------------------------------
Moody's Investors Service placed on review for possible downgrade
the D- bank financial strength rating of Hypo Group Alpe Adria,
reflecting the rating agency's concerns about the bank's
profitability and increased risks inherent in its exposure to the
Eastern European markets.  The bank's debt and deposit ratings
were downgraded to Baa1 from A2.  The rating on its subordinated
liabilities was downgraded to Baa2 from A3.  The ratings remain on
review for further possible downgrade due to the review for
possible downgrade of HGAA's BFSR.  HGAA's short term rating was
downgraded to Prime-2 from Prime-1, while the Aa2 rating for debt
backed by the Austrian federal state of Carinthia was affirmed and
still has a stable outlook.

               Downgrade of Long-Term Ratings
             Due to Changed Support Assumptions

The downgrade of HGAA's debt and deposit ratings to Baa1 from A2
reflects changes in Moody's support assumptions for the bank.  The
rating agency includes a high probability of support from HGAA's
parent, Bayerische Landesbank, in its assessment, in the light of
a capital injection from BayernLB of EUR700 million.  Furthermore,
Moody's believes that, at this stage, BayernLB's restructuring
plans are unlikely to affect the probability of support for HGAA
from its parent.

However, Moody's has lowered the regional and local government and
systemic support expectation and, notably, the federal state of
Carinthia (a 12.4% shareholder) did not participate in the capital
increase.  Nevertheless, overall HGAA remains in the high support
category.  The debt and deposit ratings remain on review for
further possible downgrade due to the ongoing review of HGAA's D-
BFSR.

              Downgrade of Hybrid Instruments
            Reflects Increased Risk Of Coupon Losses

Moody's downgraded the ratings on the hybrid securities (Tier 1
instruments) issued by HGAA's subsidiaries, Hypo Alpe Adria
(Jersey) Ltd and Hypo Alpe Adria (Jersey) II Ltd, to Caa2 from
Baa2 as a result of the rating agency's assumption of four coupon
losses for these non-cumulative perpetual instruments.  HGAA has
announced that the instruments will not pay a coupon for 2008.
The outlook on the ratings of the hybrid securities is stable as
these ratings are based on Moody's expected loss calculation.

Moody's previous rating action on HGAA was implemented on
Nov. 11, 2008, when Moody's placed on review for possible
downgrade HGAA's A2 debt and deposit ratings, subordinated debt
(rated A3), preference stock (Baa2) and short-term debt and
deposit ratings.  The D- BSFR and the Prime-1 short-term rating
were affirmed.

Based in Klagenfurt, Austria, HGAA reported 2008 net losses of
EUR520 million and total assets of EUR43.3 billion at the end of
the year.


USORA IMMO: Claims Registration Period Ends May 26
--------------------------------------------------
Creditors owed money by Usora Immo GmbH have until May 26, 2009,
to file written proofs of claim to the court-appointed estate
administrator:

         Mag.Dr. Ulla Reisch
         Kremser Gasse 4
         3100 St. Poelten
         Austria
         Tel: 02742/35 15 50
         Fax: 02742/35 15 50-5
         E-mail: office.st.poelten@ulsr.at

Creditors and other interested parties are encouraged to attend
the creditors' meeting at 11:40 a.m. on June 16, 2009, for the
examination of claims at:

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


WILHELM LIPP: Claims Registration Period Ends May 26
----------------------------------------------------
Creditors owed money by Wilhelm Lipp GmbH have until May 26, 2009,
to file written proofs of claim to the court-appointed estate
administrator:

         Dr. Walter Anzboeck
         Stiegengasse 8
         3430 Tulln
         Austria
         Tel: 02272/61 600
         Fax: 02272/61 600-20
         E-mail: anwalt@anzboeck.at

Creditors and other interested parties are encouraged to attend
the creditors' meeting at 10:40 a.m. on June 16, 2009, for the
examination of claims at:

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


WONDERWOOD GMBH: Claims Registration Period Ends May 25
-------------------------------------------------------
Creditors owed money by WonderWood GmbH have until May 25, 2009,
to file written proofs of claim to the court-appointed estate
administrator:

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

Creditors and other interested parties are encouraged to attend
the creditors' meeting at 9:45 a.m. on June 10, 2009, for the
examination of claims at:

         Land Court of Krems an der Donau
         Hall A
         Second Floor
         Krems an der Donau
         Austria


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C Y P R U S
===========


DELANCE LTD: S&P Puts 'B' Corporate Rating on CreditWatch Negative
------------------------------------------------------------------
Standard & Poor's Ratings Services said it placed its 'B' long-
term corporate credit rating on Cyprus-based Delance Ltd. on
CreditWatch with negative implications.  Delance Ltd. is the
holding company of Rolf Group, which is Russia's largest importer
and retailer of foreign-branded cars.

"The CreditWatch listing reflects our heightened concern about the
company's ability to refinance near-term maturities or replace
them with alternative sources of funding in the currently
stretched capital markets," said Standard & Poor's credit analyst
Anna Stegert.  "It also reflects the company's weak short-term
operating prospects in the difficult Russian car market."

S&P understands that Rolf has been successful in extending a large
proportion of recently matured credit lines.  Those lines,
however, have been extended only for a few more months, which
leaves the company with a relatively high amount of credit lines
maturing during the course of the second quarter of 2009.  In
S&P's view, Rolf's current liquidity sources are not sufficient to
cover those near-term maturities, so that it would have to obtain
extensions on a large proportion of its maturing lines or put
alternative funding in place.

Rolf is currently in negotiations with its lenders, but so far no
final agreement has been reached.  S&P sees a significant risk
that the company may not be able to put sufficient funding in
place given the currently difficult market environment and the
very weak Russian car market in the first quarter of 2009.

On the other hand, S&P notes that Rolf's management has plausible
possibilities to manage this period of tight liquidity.  S&P
further notes its financial leverage of below 2x debt to EBITDA,
based on preliminary 2008 financials received from the company,
which S&P considers moderate for the rating category in normal
times.  S&P also notes that the company is likely to show
significant release of working capital that should help it meet
upcoming maturities in the second half of 2009.

S&P expects to resolve the CreditWatch placement within the next
two months.  "The rating could be affirmed if Rolf is successful
in extending a sufficient portion of the group's maturing bank
loans, or if it obtains alternative funding to meet the upcoming
maturities," said Ms. Stegert.  "Failure to address these
challenges in a timely manner would likely trigger a downgrade,
potentially by more than one notch."


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


MTI GLOBAL: In Talks with Lenders on Covenant Waivers
-----------------------------------------------------
MTI Global Inc. is in breach of financial and general covenants
under the credit facilities with its principal Canadian bank and
it mezzanine lender.  In particular, the Company did not achieve
its December 31, 2008 earnings before interest, taxes and
depreciation, fixed charge coverage and funded debt to earnings
before interest, taxes and depreciation covenants or its March 31,
2009 fixed charge coverage covenant.  Furthermore, the Company is
in breach of certain general covenants it was obligated to satisfy
pursuant to waiver agreements entered into by the Company with its
Bank and Lender based on its June 30, 2008 and subsequent interim
monthly results.  The covenant violation provides the Bank and
Lender with the right to demand repayment of its indebtedness.

Subsequent to March 31, 2009, the Company is in continuing
discussions with the Bank and the Lender to obtain a waiver of the
breaches including amended covenants.

MTI Global posted a net loss for the quarter of C$4.8 million or
C$0.17 per share compared to a loss in prior year of C$900,000 or
C$0.03 per share.  Sales for the three months ended March 31,
2009, were C$13.5 million, approximately 4.2% ahead of last year's
sales of C$13.0 million.  This includes an increase of
approximately C$2.3 million, due to the impact of currency
fluctuations.

At March 31, 2009, MTI Global had C$52.1 million in total assets,
including cash and cash equivalents of C$2.5 million; C$29.4
million in total liabilities; and C$22.6 million in shareholders'
equity.

Based on the sale of the majority of its Leewood and Richmond,
Virginia silicone assets, operational changes completed to date,
and preliminary indications in the aerospace market, the Company
remains cautiously optimistic that it will report improving
results through the balance of 2009.  In view of the Canadian
dollar value against the U.S. dollar, the Company is increasingly
confident about achieving improved results with most of its
aerospace programs relocated to Mexico and the sale of the
majority of the assets of Leewood and N.A. Silicone's Richmond,
Virginia plant.  In addition, the Company is making satisfactory
progress on the disposition of the remaining silicone assets,
although the current economic climate is slowing the process.  The
Company has engaged an investment bank to assist in these
transactions.

The results for the first quarter of 2009 were better than prior
year but below expectations.  Revenues and gross margin improved
primarily through increased volume in Aerospace at Polyfab
divisions and favorable exchange rates compared to prior year.
However, the Company continued to incur lower than expected
revenues at N.A. Silicone due to the continued decline in the
North American automotive market.

                          About MTI Global

MTI Global Inc. -- http://www.mtiglobalinc.com/-- designs,
develops and manufactures custom-engineered products using
silicone and other cellular materials.  The Company serves a
variety of specialty markets focused on two main areas: Silicone
and MTI Polyfab, comprising, Aerospace and Fabricated Products.
The Company designs and fabricates energy management systems from
a variety of flexible, cellular materials.  MTI Global also
produces and distributes specialty silicone elastomer products.
MTI Global's primary markets are aerospace and mass transit.
Secondary markets include sporting goods, automotive, industrial,
institutional, electronics, and the medical market through a 51%
interest in MTI Sterne SARL of Cavaillon, France.  MTI Global's
head office and Canadian manufacturing operations are located in
Mississauga, Ontario, with international manufacturing operations
located in Milton, Florida and a contract manufacturer venture in
Ensenada, Mexico.  The Company also maintains engineering support
centers in Brazil and Toulouse, France.


PERNOD RICARD: Fitch Affirms Issuer Default Rating at 'BB+'
-----------------------------------------------------------
Fitch Ratings has revised its Outlook on Pernod Ricard SA to
Stable from Negative after the French wine and spirit maker
confirmed it has successfully completed a EUR1 billion rights
issue.  The agency has simultaneously affirmed Pernod's Long-term
Issuer Default and senior unsecured ratings at 'BB+',
respectively, and Short-term IDR at 'B'.

"The rating action reflects Fitch's increased confidence about
Pernod's ability to deliver on its de-leveraging targets,
resulting in a strengthened position within the company's 'BB+'
rating," said Giulio Lombardi, Senior Director in Fitch's European
Retail and Consumer Products Group.  "With the confirmation that
the rights issue announced on April 7, 2009 has been successfully
finalized, Fitch believes Pernod is on track to reducing its net
debt/EBITDA towards the planned 4x mark despite unfavorable
developments in its sales during the latest financial quarters
ending in December 2008 and March 2009."

The ratings could benefit if Pernod successfully de-leverages
through cash flow generation and planned asset disposals over the
next few quarters and achieves leverage comfortably below 4x on a
sustainable basis.


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


ASSIST BLECHTECHNIK: Claims Registration Period Ends June 10
------------------------------------------------------------
Creditors of Assist Blechtechnik Beteiligungsgesellschaft mbH have
until June 10, 2009, to register their claims with court-appointed
insolvency manager.

Creditors and other interested parties are encouraged to attend
the meeting at 8:30 a.m. on July 7, 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
         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. Peter Neu
         Elberfelder Strasse 39
         42853 Remscheid
         Germany
         Tel: 02191/499 18-10
         Fax: 02191/499 18-50
         Website: www.atn-ra.de

The court opened bankruptcy proceedings against the company on
May 1, 2009.  Consequently, all pending proceedings against the
company have been automatically stayed.

The Debtor can be reached at:

         Assist Blechtechnik Beteiligungsgesellschaft mbH
         Attn: Rolf Mestemacher, Claus Carsten,
               Stefan Beidatsch and
               Arnd Oswald, Managers
         Leverkuser Str. 65
         42897 Remscheid
         Germany


BAUSTOFFE CREATIV: Claims Registration Period Ends July 25
----------------------------------------------------------
Creditors of Baustoffe Creativ GmbH have until July 25, 2009, to
register their claims with court-appointed insolvency manager.

Creditors and other interested parties are encouraged to attend
the meeting at 10:30 a.m. on Aug. 18, 2009, at which time the
insolvency manager will present his first report.

The meeting of creditors will be held at:

         The District Court of Bad Kreuznach
         Hall A4
         Hofgartenstr. 2
         55545 Bad Kreuznach
         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. Robert Schiebe
         Hindenburgstr. 32
         55118 Mainz
         Germany
         Tel: 06131/61923-0
         Fax: 06131/61923-11
         E-mail: r.schiebe@schiebe.de

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:

         Baustoffe Creativ GmbH
         Attn: Karin Sophie Bussmer, manager
         Albert-Rosenkranz-Str. 7
         55543 Bad Kreuznach
         Germany


BAYERISCHE LANDESBANK: Moody's Cuts Bank Strength Rating to 'D-'
----------------------------------------------------------------
Moody's Investors Service downgraded the bank financial strength
rating of Bayerische Landesbank to D- from C-.  The long-term
senior debt and deposit ratings were downgraded to A1 from Aa2 and
the subordinated liabilities to A2 from Aa3.  At the same time,
Moody's downgraded various hybrid instruments of BayernLB group
entities, as detailed below.

Moody's affirmed, with a stable outlook, BayernLB's Aaa ratings
for obligations qualifying for the grandfathering of
"Anstaltslast" and "Gewaehrtraegerhaftung" (maintenance and
guarantee obligations, respectively, of the federal state of
Bavaria), which were abolished in July 2005, and the Aaa ratings
guaranteed by the Federal Republic of Germany.  The bank's Prime-1
short-term rating was also affirmed.  The rating actions conclude
the review of BayernLB initiated on  Dec. 2, 2008.  All the
ratings carry a stable outlook.

     Downgrade of BFSR Due to Asset Quality Pressure and Low
      Profitability, Partially Buffered by Recapitalization

The downgrade of BayernLB's BFSR to D-, which translates to a
Baseline Credit Assessment of Ba3, reflects Moody's expectations
that the economic environment will remain challenging for the bank
with regards to its considerable exposure to weakening Central and
Eastern European markets and cyclical industries, including the
automotive, aviation and real estate sectors.  Consequently, the
bank faces increasing pressure on its asset quality (exacerbated
by some concentration risks in its loan portfolio), revenues and
earnings.  Moody's believes that BayernLB is unlikely to post a
profit before 2010 or 2011.

"The historically low profitability in BayernLB's key segments
only provides a small buffer for the bank to absorb a likely
increase in risk provisioning due to the continuing downturn in
the global economy," said Dominique Nutolo, a Frankfurt-based
Moody's Assistant Vice President and lead analyst for BayernLB.

As positive factors, Moody's recognizes the bank's strengthened
capital base as a result of an injection of EUR10 billion from the
federal state of Bavaria and a second-loss EUR4.8 billion risk
shield for the bank's EUR20 billion structured credit portfolio.
The rating agency recognizes that the recent significant
recapitalization measures provide the bank with a substantially
larger capital buffer to absorb likely further losses in all asset
classes.  It also believes that the risk shield effectively
reduces BayernLB's exposure to structured assets and reduces its
earnings volatility.  Moreover, Moody's acknowledges the liquidity
support from the funding guarantees of the German financial market
stabilization fund (the SoFFin), which amount to EUR15 billion.

Moody's further expects that the bank will focus on de-risking its
current business profile, which may have positive rating
implications in the long run.  However, targeted restructuring
measures remain dependent on the approval of the European
Commission, which, according to information received from
BayernLB, will not be granted before July 2009.  As a result,
major uncertainties remain with regard to the bank's future
business profile.

Overall, Moody's believes that the D- BFSR better reflects the
mixed profile of BayernLB, with its relatively low historical
profitability and the challenges posed by the weak economic
environment on the one hand, and its strengthened capital base
along with the risk protection from further losses relating to its
structured credit portfolio on the other.

Senior Debt Ratings Benefit From Strong Sector, Shareholder and
                         Systemic Support

BayernLB's A1 long-term debt and deposit ratings continue to
benefit from Moody's assessment of a high probability of co-
operative, regional local government and systemic support.
Moody's notes that the dependence of BayernLB's strong investment-
grade ratings on outside support has increased, which is reflected
by the increased (eight-notch) uplift from the Ba3 BCA.

    Downgrade of Hybrid Instruments Reflects Increased Risk Of
                          Coupon Losses

Moody's does not expect BayernLB to make any interest payments on
its hybrid capital instruments for 2008 unless it is contractually
obliged to do so, based on the rating agency's expectations
regarding the bank's future profitability and the bank's earlier
announcement on the matter.  Moody's understands that this was a
European Commission condition for approving state aid provided by
the federal state of Bavaria.  Accordingly, Moody's took these
rating actions:

1) Moody's downgraded BayernLB's Upper Tier 2 "Genussscheine"
   Series 11 due at the end of 2010 to Caa1 from Aa3.  The
   downgrade reflected Moody's view of the relatively high
   likelihood of three missed coupons.  BayernLB has already
   announced that it will not pay coupons for 2008 due to
   insufficient distributable profits.  While coupon payments are
   cumulative, Moody's does not expect a deferred payment of those
   coupons as it considers a return to profitability before the
   end of 2010 as unlikely.

2) The "Genussscheine" Series 12 due at the end of 2019 were
   downgraded to B2 from Aa3 as a result of the increased
   likelihood of three coupon losses.  The downgrade was less
   severe than that applied to the Series 11 "Genussscheine"
   because of the fact that the instrument only matures in 2019
   and therefore that payment of the cumulative deferred coupons
   in the future is more likely.

3) Moody's also downgraded the rated Tier 1 securities issued by
   BayernLB Capital Trust I to Caa1 from A1.  The downgrade
   reflected the increased likelihood of two coupon losses.
   Moody's understands that the distributable profit trigger for
   coupon payments was breached in 2008.  However, Moody's
   understands that the instrument's coupon is being served for
   2008 given the contractual obligation to pay in the event of a
   subsidiary -- in this case Landesbank Saar -- declaring a
   payment on a parity or junior ranking security (dividend
   pusher).

Rating Impact on Subsidiaries

1) Landesbank Saar's D+ BFSR was placed on review for possible
   downgrade reflecting concerns about the bank's profitability
   and increased risks inherent in its SME loan portfolio against
   the deepening recession in Germany.  The bank's debt and
   deposit ratings were downgraded to A1 from Aa2 as a consequence
   of the rating downgrade of BayernLB.

The support assumptions for the bank were not changed and remain
in the "very high" bucket.  Moody's believes that at this stage
BayernLB's restructuring plans do not affect the expected support
for Landesbank Saar from its parent.  The outlook on the long-term
ratings is stable, reflecting Moody's expectation that any
downgrade of the bank's BFSR would likely be mild and would not
adversely affect the long-term ratings.

2) Hypo Group Alpe Adria's D- BFSR was placed on review for
   possible downgrade reflecting the rating agency's concerns
   about the bank's profitability and increased risks inherent in
   its exposure to the Eastern European markets.  The debt and
   deposit ratings of HGAA were downgraded to Baa1 from A2.  The
   rating for the subordinated liabilities was downgraded to Baa2
   from A3.  The short-term rating was downgraded to Prime-2 from
   Prime-1.  The Aa2 rating for debt backed by the Austrian
   federal state of Carinthia (a 12.4% shareholder) was affirmed
   with its stable outlook.

The downgrades reflect changes in the support assumptions.
Moody's includes a high probability of support from HGAA's parent,
BayernLB, in its assessment, in the light of a capital injection
from BayernLB of EUR700 million.  Furthermore, the rating agency
believes that, at this stage, BayernLB's restructuring plans are
unlikely to affect the probability of support for HGAA from its
parent.

However, Moody's has lowered the probability of regional and local
government and systemic support for the bank and, notably, the
federal state of Carinthia did not participate in the capital
increase.  Nevertheless, overall HGAA remains in the high support
category.  HGAA's debt and deposit ratings remain on review for
further possible downgrade due to the review of its D- BFSR.

Moody's downgraded the ratings on the hybrid securities (Tier 1
instruments) issued by HGAA's subsidiaries, Hypo Alpe Adria
(Jersey) Ltd and Hypo Alpe Adria (Jersey) II Ltd, to Caa2 from
Baa2 as a result of the rating agency's assumption of four coupon
losses for these non-cumulative perpetual instruments.  HGAA has
announced that the instruments will not pay a coupon for 2008.
The outlook on the rating of the hybrid securities is stable as
these ratings are based on Moody's expected loss calculation.

3) This press release does not cover these subsidiaries:
   MKB Bank Rt (Hungary) and MKB Union Bank AD (Bulgaria) as these
   entities will be covered in a separate press release.

The ratings for covered bonds of BayernLB are also not covered by
this press release.

Moody's previous rating action on BayernLB was on 2 December 2008,
when the bank's ratings were placed on review for possible
downgrade.

Based in Munich, Germany, BayernLB reported 2008 net losses of
EUR5.1 billion and total assets of EUR422 billion at the end of
the year.


COMMERZBANK AG: Fitch Junks Ratings on Various Hybrid Instruments
-----------------------------------------------------------------
Fitch Ratings has downgraded several hybrid capital instruments
issued by Commerzbank AG (rated 'A+'/Stable) and its subsidiary
EUROHYPO AG (rated 'A'/Rating Watch Negative) to 'CCC' from 'B+'.
All ratings remain on Rating Watch Negative.  A rating breakdown
of the hybrid capital instruments is provided at the end of this
comment.

The rating actions follow Fitch's assessment of the recent
completion of a European Commission review to consider the
injection of EUR10bn into Commerzbank by Germany's Financial
Market Stabilization Fund.  The EC has approved the injection,
subject to certain conditions.  In light of this decision, both
Commerzbank and EUROHYPO will only pay their coupons on hybrid
capital instruments if sufficient distributable profit is
available without the reversal of accruals or special reserves
according to section 340g of the German Commercial Code for the
financial year 2009 and 2010.

The downgrade of the hybrid capital instruments reflects Fitch's
assumption that the likelihood of accounting losses for the
financial year ending 31 December 2009, according to German
accounting principles, has risen materially at Commerzbank and
EUROHYPO with the severe economic downturn and anticipated
restructuring charges being the key risk factors to financial
performance.  As such, the possibility of a coupon deferral has
risen materially as Fitch believes that the banks' financial
flexibility will be limited in the foreseeable future.

Fitch understands that any coupon payments on Dresdner Funding
Trust I-IV are linked to capital triggers rather than profit
triggers.  In addition, the agency notes that these funding trusts
will become parity instruments with existing hybrid capital
instruments issued by Commerzbank Capital Funding Trust I-III and
that Commerzbank has stated its intention to make payments on
those hybrid capital instruments where it is contractually obliged
to do so.  However, given the remaining uncertainty about the
positions taken by the domestic authorities on the deferral of
interest payments with respect to institutions in receipt of state
support and pending legislation, in Fitch's view, the bank's
flexibility to pay the coupon on the funding trust could be
materially limited.

The rating actions with respect to the hybrid capital instruments
are:

  -- Commerzbank Capital Funding Trust I/II, Delaware (US)
     downgraded to 'CCC' from 'B+'; remain on RWN

  -- Dresdner Funding Trust I-IV downgraded to 'CCC' from 'B+';
     remain on RWN

  -- EUROHYPO Capital Funding Trust I/II downgraded to 'CCC' from
     'B+'; remain on RWN


COMMLOC GMBH: Claims Registration Period Ends June 5
----------------------------------------------------
Creditors of Comdata CommLoc 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 10:30 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 Duesseldorf
         Meeting Hall A 341
         Fourth Floor
         Muehlenstrasse 34
         40213 Duesseldorf
         Germany

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

The insolvency manager can be reached at:

         Georg Kreplin
         Breite Strasse 27
         40213 Duesseldorf
         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:

         CommLoc GmbH
         Attn: Harald Sawaryn, Manager
         Bismarckstrasse 98
         40210 Duesseldorf
         Germany


DIMEX GMBH: Claims Registration Period Ends May 29
--------------------------------------------------
Creditors of Dimex GmbH have until May 29, 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 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 Tuebingen
         Room 1.01
         Schulberg 14
         72074 Tuebingen
         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:

         Gerhard Walter
         Beim Kupferhammer 5/4
         72070 Tuebingen
         Germany
         Tel: 07071/945661
         Fax: 07071/945668

The court opened bankruptcy proceedings against the company on
May 1, 2009.  Consequently, all pending proceedings against the
company have been automatically stayed.

The Debtor can be reached at:

         Dimex GmbH
         Daimlerstrasse 21
         72147 Nehren
         Germany

         Attn: Sven Goebel, Manager
         Buchholzstrasse 45
         06618 Naumburg
         Germany


E-M-S SALES: Claims Registration Period Ends July 3
---------------------------------------------------
Creditors of E-M-S sales GmbH The DVD Company have until July 3,
2009, to register their claims with court-appointed insolvency
manager.

Creditors and other interested parties are encouraged to attend
the meeting at 10:30 a.m. on July 24, 2009, at which time the
insolvency manager will present his first report.

The meeting of creditors will be held at:

         The District Court of Dortmund
         Hall 3.201
         Gerichtsplatz 22
         44135 Dortmund
         Germany

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

The insolvency manager can be reached at:

         Dr. Christoph Schulte-Kaubruegger
         Koenigswall 21
         44137 Dortmund
         Germany

The court opened bankruptcy proceedings against the company on
May 1, 2009.  Consequently, all pending proceedings against the
company have been automatically stayed.

The Debtor can be reached at:

         E-M-S sales GmbH The DVD Company
         Attn: Werner Wirsing-Luke, Manager
         Schleefstr. 3
         44287 Dortmund
         Germany


EDSCHA BETÄTIGUNGSSYSTEME: Claims Registration Ends May 29
----------------------------------------------------------
Creditors of Edscha Betatigungssysteme GmbH have until May 29,
2009, to register their claims with court-appointed insolvency
manager.

Creditors and other interested parties are encouraged to attend
the meeting at 10:08 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 Wuppertal
         Meeting Room A234
         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. Joerg Nerlich
         Laurentiusstr. 21 – 23
         42103 Wuppertal
         Germany
         Tel: 0202/40 86 150
         Fax: 02024086159

The court opened bankruptcy proceedings against the company on
May 1, 2009.  Consequently, all pending proceedings against the
company have been automatically stayed.

The Debtor can be reached at:

         Edscha Betatigungssysteme GmbH
         Attn: Dr. Manfred Puhlmann, Manager
         Hohenhagener St. 26-28
         42855 Remscheid
         Germany


ELITE BUSINESS: Claims Registration Period Ends June 5
------------------------------------------------------
Creditors of Elite Business Solutions 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 09:35 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 Wuppertal
         Meeting Room A234
         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. Dietmar Penzlin
         Rathausstrasse 2
         20095 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:

         Elite Business Solutions GmbH
         Attm: Sardar Muhammad Zaigham-Ul-Naeem Khan, Manager
         Achtern Born 66
         22549 Hamburg
         Germany


GENERAL MOTORS: Hesse Says Gov't Trust for Opel is Too Expensive
----------------------------------------------------------------
Bloomberg News reports an official at the German state of Hesse
said the state would oppose as too expensive a federal proposal
for a temporary takeover of General Motors Corp.'s Adam Opel GmbH
unit if the parent company files for bankruptcy.

Hesse, home to Opel's headquarters city of Russelsheim, may be
ready to guarantee short-term "bridging" loans rather than co-
managing the division in a trust, Deputy Prime Minister Joerg-Uwe
Hahn told Bloomberg News in a telephone interview from his office
in the state capital of Wiesbaden.

"State and federally backed loan guarantees are conceivable to
create a financial bridge for Opel if GM files for insolvency, but
we can't become its trustees," Bloomberg News quoted Minister Hahn
as saying.  "The scope of such guarantees must be narrow and
temporary."

Citing Bloomberg News, the Troubled Company Reporter-Europe on
May 13, 2009, reported that a spokesman for the Economy Ministry
in Berlin said Germany may consider government loan guarantees for
Opel if GM files for bankruptcy and a deal with an investor to
take over the German unit is "close at hand".  Under the possible
scenario envisaged by Economy Minister Karl-Theodor zu Guttenberg,
a private trust would take over Opel from GM, Berlin's Economy
Ministry spokesman Felix Probst told Bloomberg News in a telephone
interview.  "In such a fiduciary solution, one might offer
government guarantees," Mr. Probst said.

On May 6, 2009, the Troubled Company Reporter, citing The Wall
Street Journal,  reported that a senior German official said Opel
might close one of its plants if it merges with Fiat SpA.
According to the WSJ, Fiat CEO Sergio Marchionne met with German
officials Monday last week to present his plan for merging the
company with GM's European operations, which include Opel and
British automaker Vauxhall.  Citing Mr. zu Guttenberg, WSJ said
Mr. Marchionne proposed that Opel should keep three of its four
plants in Germany.  Mr. zu Guttenberg said that the plan left in
doubt the fate of Opel's engine plant in Kaiserslautern, according
to WSJ.  Mr. zu Guttenberg said Mr. Marchionne assured that
potential layoffs in Germany won't be "too dramatic," WSJ noted.
Mr. Marchionne, according to WSJ, hasn't said whether he intends
to eliminate jobs in Europe.  Automakers need to rein in
production costs to survive, WSJ said, citing Mr. Marchionne.  WSJ
noted that Mr. Marchionne would have to wrest concessions from
labor unions in Italy and Germany, which both have laws making it
difficult to lay off workers.

                   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$$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 roughlyUS$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.


GILDEMEISTER AG: Moody's Reviews 'Ba2' Rating for Downgrade
-----------------------------------------------------------
Moody's Investors Service has placed Gildemeister's Ba2 Corporate
Family Rating and Probability of Default Rating under review for
possible downgrade.

The rating review was prompted by a severe cyclical contraction of
order intakes for machine tools combined with lower revenues for
spare parts and maintenance services, which could depress the
company's revenues and profitability, cash generation ability and
liquidity cushion over the next few quarters beyond the
requirements for the current rating category.  While Gildemeister
has previously been strongly positioned in the Ba2 rating category
on the back of strong performance in the recent upturn with some
headroom for a typical cyclical contraction, the magnitude and the
speed of the current cyclical contraction, as evidenced by the
significant reduction in order intake by 60% in the first quarter
of 2009 are unprecedented and add downwards pressure on the
rating.

The review therefore will focus on:

1) Prospects for medium term machine tools order volumes, pricing
   and the stability of the services segment to offset the impact
   of lower machine tool sales

2) Cost structure flexibility and additional cost base adjustments
   to mitigate the impact of upcoming revenue contraction on
   operating performance

3) The company's ability to continue positive free cash flow
   generation

4) Sufficiency of the company's liquidity cushion to withstand an
   extended period of business contraction including the ability
   to preserve a sufficient headroom under financial covenants.

Moody's expects the review to be concluded within the next weeks.

Moody's recognizes that reduced order intake is a direct
consequence of the depressed global macroeconomic environment, as
Gildemeister's end-customers in most industries are significantly
scaling back production and investments due to weaker business
prospects.  Given the strong correlation between Gildemeister's
operating performance and the global macroeconomic climate,
Moody's expects that Gildemeister may be challenged by continued
low order intake over the next few quarters, as the rating agency
does not anticipate a material recovery of global growth according
to Moody's Global Macro Risk Scenarios for 2009 and 2010.

As a consequence of significant top-line revenue pressure, Moody's
believes Gildemeister will be challenged to adequately and timely
adjust its cost base over the next few quarters in line with lower
volumes to preserve sufficient capacity utilization rates.
Moody's also notes that the current economic downturn has
diminished funding options for investments in capital-intensive
machinery, like that manufactured by Gildemeister.  As a
consequence of this decreased funding availability, the absolute
amount of payments on account, which typically are an important
funding source for heavy manufacturing companies, could be lower
going forward and increase Gildemeister's underlying funding needs
over the near term.

Moody's continues to recognize Gildemeister's market position as a
leading manufacturer of metal-cutting machine tools, combined with
its strong technological expertise with the expectation of an
improved market position and improving cost position as a result
of the cooperation with its competitor Mori Seiki.  The rating
does favorably consider the company's solid segmental
diversification and product offering as well as its broad customer
diversification.

The company has generated strong operating performance and cash
generation in the recent cyclical upturn, evidenced by RCF to Net
debt of around 35% in 2008 and positive free cash flow since 2006.
Moody's believes Gildemeister's ratings remain constrained by the
potential erosion of these credit metrics and its liquidity
profile amid the challenging market environment, also given the
company's limited absolute scale and geographic concentration in
Europe, which exposes its operating performance to the cyclicality
of this region.

On Review for Possible Downgrade:

Issuer: Gildemeister AG

  -- Probability of Default Rating, Placed on Review for Possible
     Downgrade, currently Ba2

  -- Corporate Family Rating, Placed on Review for Possible
     Downgrade, currently Ba2

Outlook Actions:

Issuer: Gildemeister AG

  -- Outlook, Changed To Rating Under Review From Stable

The last rating action was implemented on December 10, 2007, when
Moody's upgraded Gildemeister's ratings to Ba2 from Ba3 with a
stable outlook.

Headquartered in Bielefeld, Germany, Gildemeister is a leading
global manufacturer of metal-cutting machine tools (both milling
machines and lathes) and a provider of maintenance services.  In
2008, Gildemeister generated revenues of EUR1.9 billion.


LANDESBANK SAAR: Moody's Reviews 'D+' Bank Fin'l Strength Rating
----------------------------------------------------------------
Moody's Investors Service placed on review for possible downgrade
the D+ bank financial strength rating of Landesbank Saar,
reflecting the rating agency's concerns about the bank's
profitability and increased risks inherent in its loan portfolio
in the context of the deepening recession in Germany.  The bank's
debt and deposit ratings were downgraded to A1 from Aa2 as a
consequence of the rating downgrade of its parent, Bayerische
Landesbank.  The Prime-1 short term rating was affirmed.

The support assumptions incorporated into SaarLB's debt and
deposit ratings have not been changed and Moody's still assumes a
very high probability of parental support.  The rating agency
believes that, at this stage, BayernLB's restructuring plans do
not affect SaarLB's ratings.  The outlook on the long-term ratings
is stable, reflecting Moody's expectation that any downgrade of
the bank's BFSR would likely be mild and would not adversely
affect the long-term ratings.

Moody's previous rating action on SaarLB was implemented on
December 2, 2008 when, following a rating action on BayernLB,
Moody's placed SaarLB's Aa2 debt and deposit ratings on review for
possible downgrade.  Its D+ BSFR and Prime-1 short-term rating
were affirmed.

Based in Saarbruecken, Germany, SaarLB reported 2008 net losses of
EUR81 million and total assets of EUR20.6 billion at the end of
the year.


SCHAEFFLER KG: Aims to Save US$342 Million in Labor Costs
---------------------------------------------------------
Chris Reiter at Bloomberg News reports that Schaeffler KG intends
to save EUR250 million (US$342 million) in labor costs by trimming
work hours and wages, offering buyouts, and cutting bonus payments
while attempting to limit firings.  The reduction would entail
eliminating about 4,500 jobs, or 6.8 percent of the workforce, if
carried out solely by job cuts, the company said in a statement
obtained by Bloomberg News.

"This decision comes in reaction to sales decreases as a result of
the economic crisis since late fall of last year and reduced sales
expectations for the next few years," the report quoted the
company as saying in the statement.

Schaeffler, the report relates, anticipates that 2009 sales will
fall to EUR7.5 billion, or 15 percent below 2007 revenue.

As reported in the Troubled Company Reporter-Europe on April 9,
2009, Bloomberg News said Schaeffler agreed with lenders on a EUR1
billion loan, winning time to restructure and seek extra funds
from the German government.  Bloomberg News said the credit line
may help Schaeffler persuade Chancellor Angela Merkel's
government, which said Feb. 10 that it would reopen aid
negotiations if the company agrees on a reorganization plan with
its lenders.  According to the report, Schaeffler's owners, Maria-
Elisabeth Schaeffler and her son Georg, are fighting a breakup and
the family has said it’s prepared to give up a large stake in the
company.

As reported in the Troubled Company Reporter-Europe on Feb. 12,
2009, Bloomberg News said Schaeffler's lenders may be forced to
swap debt for shares after the company failed to attract new money
to cut borrowings.  According to Bloomberg News, the Schaeffler
family have offered to sell a stake in the company after an
unsuccessful search for other investors.  The company, which is
now struggling to pay EUR11 billion (US$14 billion) in debt from
its purchase of a 49.9% stake in Continental AG on January 8,
2009, has called on the German government for aid.  According to
Bloomberg News, Schaeffler's previous attempt for government aid
was ruled out by Ms. Merkel.  According to Bloomberg News,
Schaeffler's troubles have piled up since its July 15 hostile bid
for Continental, a company three times its size.  According to the
news agency, Schaeffler expected that derivatives contracts and
what was then a low-ball bid would secure a stake of 30 percent to
50 percent.  Instead, 82.4 percent of Continental's capital was
tendered, adding to a 7.8 percent holding, as investors sold amid
collapsing markets, the news agency said.

                       About Schaeffler KG

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


TUI AG: Posts EUR415 Mln Group Profit in First Quarter 2009
-----------------------------------------------------------
Following the sale of a majority stake in Hapag-Lloyd AG, TUI AG
posted a substantial Group profit in the first quarter of 2009,
using it to reduce Group debt.  While a seasonally typical
negative Group result of around 279 million euro was reported in
the previous year, a Group profit of around 415 million euro was
generated this year due to the book gain of 990 million euro
resulting from the divestment of shipping.  At the same time, net
debt was reduced from 4.1 billion euro as at December 31, 2008 to
currently 2.6 billion euro.  Basic earnings per share rose from -
0.69 euro to 2.18 euro.  For the year as a whole, TUI expects its
Group result to be positive and improve substantially year-on-
year.  With the tourism business expected to be stable, this will
be driven by lower integration expenses in tourism and the
realization of the book gain from the sale of container shipping.

The operative development of the tourism business matched
expectations in the first quarter of 2009.  Operating earnings
were down year-on-year.  This was due to the Easter business not
being included in quarterly figures this year and special adverse
effects within TUI Travel, in particular in France and
Scandinavia.  Due to the planned capacity cuts in TUI Travel,
turnover by tourism fell by almost 15 per cent to around 3.1
billion euro (previous year: 3.6 billion euro).  Underlying EBITA
by the tourism division declined by 25 per cent to - 276 million
euro (previous year: - 221 million euro).  The development of the
shipping division was characterised by the worsening effects of
the global economic crisis, as expected.  Turnover by the division
decreased by around 23 per cent to around 1.1 billion euro
(previous year: 1.4 billion euro).  Operating earnings fell from
around 18 million euro in the first quarter of 2008 to currently -
222 million euro.

Detailed development of tourism

                            TUI Travel

Turnover by TUI Travel declined by almost 16 per cent year-on-year
to 2.9 billion euro (previous year: 3.5 billion euro) in the first
quarter.  The decrease was attributable to the capacity reductions
in the Mainstream segment and the year-on-year weakening of the
exchange rate of the British pound sterling against the euro.  The
development also reflects the Easter effect.  In the current
financial year the strong-margin and high-turnover Easter business
falls into the second quarter.

Operating earnings were seasonally negative in the first quarter.
Declining by around 20 per cent, underlying EBITA amounted to -
289 million euro (previous year: - 240 million euro). Apart from
the Easter business not falling into the first quarter, the
reasons for the decline in earnings included above all the
political unrest impacting the business in France and Scandinavia.
Business in France was adversely affected by political unrest in
Madagascar and the French West Indies.  The Group's Scandinavian
tour operators were affected by the unrest in Thailand.

Thanks to active capacity management, the expected decline in
demand caused by the economic crisis was cushioned.  Both pricing
and load factors of the contracted capacity were maintained at
high levels despite a softening in bookings.

In the first quarter, TUI Travel had to carry adjustments for
special one-off effects worth a total of 75 million euro.

                     TUI Hotels & Resorts

The Group's hotel sector achieved a year-on-year increase in
turnover of 2 per cent to around 96 million euro (previous year:
94 million euro) in the first quarter.  Operating earnings showed
an almost stable development and accounted for 12.7 million euro
(previous year: 13.2 million euro).  Average capacity rose by 5.6
per cent across all hotel brands.  Average revenues per bednight
grew by 6 per cent.
Cruises

At 58 million euro, the cruises sector reported a stable
development of turnover in the first quarter, matching 2008
levels.  The almost balanced operating earnings of - 0.1 million
euro (previous year: 6 million euro) were impacted by
proportionate start-up costs for TUI Cruises and the termination
of an Antarctic voyage of a Hapag-Lloyd Kreuzfahrten cruise ship.
Detailed development of container shipping (discontinued
operation)

Container shipping, the majority stake in which was sold at the
end of March, recorded a 23 per cent decline in turnover to around
1.1 billion euro in the first quarter (previous year: 1.4 billion
euro).  Underlying earnings by the sector fell by 240 million euro
to - 222 million euro (previous year: 18 million euro).  The
decrease in turnover and earnings is attributable to a 15 per cent
fall in transport volumes and a 14 per cent decline in freight
rate levels.  On the other hand, the US dollar exchange rate rose
by 13 per cent against the euro.

Outlook

For tourism, its core business, TUI expects an overall decline in
turnover due to a fall in business volumes and a persistently weak
exchange rate of the British pound sterling.  Operating earnings
by tourism are expected to show an overall stable development.

TUI Travel's current trading for the summer season is developing
in line with expectations. Total customers for the summer season
are 15 per cent down year-on-year, with booked turnover 13 per
cent down.  At the same time, TUI Travel has cut its capacity by
14 per cent.  This active capacity management proved its worth in
the winter season and is expected to contribute towards achieving
the pricing and load factor targets for the summer, too.  The
special one-off effects arising in the first quarter will be
followed by sustainable integration synergies as the year
progresses.  Provided the summer business will be good, overall
earnings are therefore expected to improve slightly.  As before,
earnings by TUI Hotels & Resorts are expected to show a stable
development.  A final assessment of the extent to which the
effects of the swine flu will impact TUI Travel and the hotel
business cannot yet be provided.  Earnings by the cruises sector
will be clearly down year-on-year due to the proportionate start-
up costs for TUI Cruises.

Container shipping is expected to record a marked decline in
earnings due to the global economic crisis.  The at equity result
of Hapag-Lloyd to be included in consolidated financial statements
as of the second quarter will therefore be negative.

Nevertheless, the overall Group result for the financial year 2009
is expected to be positive and improve considerably year-on-year.
This will be due to the lower integration expenses in tourism and
the book profit from the sale of container shipping.

TUI AG -- http://www.tui-group.com/en/-- is a Germany-based
company mainly engaged in the tourism sector, focusing on the
markets of Central, Northern and Western Europe.  TUI owns a
network of travel agencies and tour operators, including air
tours, Thomson, First Choice and TUI Deutschland.  It also
operates several airlines, including Corsairfly, Thomsonfly and
First Choice Airways, among others.  The Company is structured
into three segments: TUI Travel, TUI Hotels and Resorts, and
Cruises.  TUI Travel comprises the Company's distribution, tour
operating, airline and incoming activities and services over 30
million customers in 180 countries.  The TUI Hotels and Resorts
division offers a portfolio of 238 hotels, located in Spain,
Greece, Egypt, France, Turkey, Tunisia, the Balearics and the
Caribbean, among others.  The Cruises sector comprises Hapag-Lloyd
Kreuzfahrten GmbH and TUI Cruises which provide luxury cruises,
and cruises within the German-speaking countries, respectively.

                            *    *    *

TUI AG currently carries Moody's Investors Service's 'B2' long-
term corporate family rating, 'B3' senior secured rating, 'Caa1'
junior subordinated rating and 'B2' probability of default rating
with negative outlook.


=============
I C E L A N D
=============


STRAUMUR-BURDARAS: To Take Over Gudmundsson's West Ham United
-------------------------------------------------------------
Owen Gibson at The Guardian reported Bjorgolfur Gudmundsson's
creditors, led by the Icelandic bank Straumur-Burdaras, is
expected to take control of his football club West Ham United at
the end of the season.

According to the report, the personal liabilities of
Mr. Gudmundsson, who holds a 95% stake in West Ham, stand at
GBP301 million.  The report relates the club's outgoing owner
admitted that he has no idea whether he is bankrupt or even if he
will be able to keep his home.  The report discloses
three-quarters of the assets he had at the end of last year were
tied up in Landsbanki and Straumur, which have both been taken
over by financial regulators.

Straumur, itself taken over by Iceland's Financial Supervisory
Authority under new laws introduced by the government last year
when the country's banking system collapsed, and other creditors
will appoint a new board but are expected to retain the existing
executive team and will expect the club to be largely self-
financing, the report states.  The report says they are likely to
commit to running it on a cost neutral basis until the economic
cycle turns and they can make a sale.

The report recalls Mr. Gudmundsson bought his stake in West Ham in
2006 for GBP85 million and assumed GBP22 million of debt.

Straumur-Burdaras Fjarfestingabanki hf a.k.a Straumur-Burdaras
Investment Bank hf --- http://www.straumur.net/--- is an Iceland-
based investment bank.  It provides such services as debt
financing, corporate advisory and capital market services.  The
Bank's Corporate Finance team identifies, structures and executes
public and private market transactions, while the Debt Finance
team originates and underwrites the required debt financing.  In
addition, it acts as a co-investor in selected projects.  The
Capital Markets team provides securities brokerage services for
companies, institutional investors, mutual funds, and high-net-
worth individuals.  Capital Markets also manages new share
offerings and bond issuance for companies and institutions.  The
Bank operates primarily in Northern and Central Europe, in such
countries as Iceland, Denmark, Sweden, Finland, the Czech
Republic, Poland, Slovakia, Romania and the United Kingdom.  It
has eight wholly owned subsidiaries in Iceland, Luxembourg, the
Netherlands and Finland.

                        *     *     *

As reported in the Troubled Company Reporter-Europe on March 11,
2009, Fitch Ratings downgraded Straumur-Burdaras Investment Bank's
Long-term Issuer Default rating  to 'D' from 'B' and Short-term
IDR to 'D' from 'B' and removed them from Rating Watch Negative.


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


EIRCOM LTD: Gov't Intervention to Protect Future Sought
-------------------------------------------------------
Breakingnews.ie reports that the Communication Workers Union is
calling for the Irish government's intervention to protect the
long-term future of Eircom.

The report relates the union said the company is part of Ireland's
national infrastructure and the government should intervene for
the good of the economy.

According to the report, the company, which is struggling with
debts of EUR3.8 billion, needs to cut costs by around
EUR130 million in 2010 and 2011 in order to remain viable.

                         Cost Reductions

finfacts.ie reports on Tuesday Eircom has reached an agreeement
with union representatives on "stage one of the company's
restructuring program," providing for 1,200 job cuts and voluntary
pay reductions of between 5% and 10%.

The Eircom agreement, finfact.ie says, includes a group wide
freeze on base pay for two years until June 2011, reductions in
the order of 25% for certain staff allowances such as in
subsistence and mileage rates and the elimination of other
traditional arrangements.

The company's stage two cost reductions have a target completion
date of July 1, 2009, finfacts.ie notes.

Headquartered in Dublin, Ireland, eircom Limited --
http://www.eircom.ie-- is Ireland's leading fixed-line
communications company.  It provides domestic and international
voice and data communications for both the retail and wholesale
carrier markets. eircom also offers GSM-based wireless service
through its Meteor Mobile Communications subsidiary.  Its other
offerings include Internet access, managed data networking
services, directory assistance, customer premise equipment, public
payphones, and domestic alarm systems and monitoring services.


EMPYREAN FINANCE: Moody's Cuts Ratings on 6 Classes of Notes to Ca
------------------------------------------------------------------
Moody's Investors Service has downgraded its ratings of eight
classes of CDO notes issued by Empyrean Finance.

The transaction is a static synthetic CDO referencing a pool of
235 corporate and sovereign entities, with approximately 14% of
the pool consisting of financial services entities.  According to
Moody's, 12% 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 actions.

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:

Empyrean Finance

(1) The AUD6,000,000 Class A-1A7 Floating Rate Secured Portfolio
Credit-Linked Notes due 2013

  -- Current Rating: Caa3
  -- Prior Rating: B3
  -- Prior Rating Date: 10 March 2009, downgraded to B3 from Baa1

(2) The EUR20,000,000 Class A-1E7 Floating Rate Secured Portfolio
Credit-Linked Notes due 2013

  -- Current Rating: Caa3
  -- Prior Rating: B2
  -- Prior Rating Date: 10 March 2009, downgraded to B2 from Baa1

(3) The AUD24,000,000 B-1A7 Floating Rate Secured Portfolio
Credit-Linked Notes due 2013

  -- Current Rating: Ca
  -- Prior Rating: Caa3
  -- Prior Rating Date: 10 March 2009, downgraded to Caa3 from Ba2

(4) The US$10,000,000 Class B-1bU7 Senior Floating Rate Secured
Portfolio Credit-Linked Notes due 2013

  -- Current Rating: Ca
  -- Prior Rating: Caa3
  -- Prior Rating Date: 10 March 2009, downgraded to Caa3 from Ba2

(5) The US$7,500,000 Class B-1U7 Senior Floating Rate Secured
Portfolio Credit-Linked Notes due 2013

  -- Current Rating: Ca
  -- Prior Rating: Caa3
  -- Prior Rating Date: 10 March 2009, downgraded to Caa3 from Ba2

(6) The EUR11,500,000 B-2E7 Fixed Rate Secured Portfolio Credit-
Linked Notes due 2013

  -- Current Rating: Ca
  -- Prior Rating: Caa3
  -- Prior Rating Date: 10 March 2009, downgraded to Caa3 from Ba2

7) The GBP 139,200,000 Class B-2G7 Fixed Rate Secured Portfolio
Credit-Linked Notes due 2013

  -- Current Rating: Ca
  -- Prior Rating: Caa3
  -- Prior Rating Date: 10 March 2009, downgraded to Caa3 from Ba2

(8) US$5,000,000 Class B-2U7 Fixed Rate Secured Portfolio Credit-
Linked Notes due 2013

  -- Current Rating: Ca
  -- Prior Rating: Caa3
  -- Prior Rating Date: 10 March 2009, downgraded to Caa3 from B3


MAGI FUNDING: S&P Withdraws 'BB' Credit Rating on Class K Notes
---------------------------------------------------------------
Standard & Poor's Ratings Services removed from CreditWatch
negative and then withdrew its credit rating on the class K
combination notes issued by Magi Funding I PLC.

In February 2008, the noteholder split the class K combination
notes into their constituent parts—the class C notes and the
subordinated notes.  The class C notes are rated while the
subordinated notes are not.  S&P were notified of this split in
March 2008 but due to an administrative error did not withdraw the
rating on the class K notes.  S&P has incorrectly maintained a
rating on the class K notes since then.

The error came to light as a result of us placing the class K
notes on CreditWatch negative on May 7.  The rating action
corrects the error.

                           Ratings List

     Ratings Removed From CreditWatch Negative And Withdrawn

                        Magi Funding I PLC
                EUR300 Million Floating-Rate Notes

                             Rating
                             ------
           Class   To                     From
           -----   --                     ----
           K       BB                     BB/Watch Neg
                   NR                     BB

                         NR - Not rated.


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


SAFILO SPA: S&P Junks Long-Term Corporate Credit Rating
-------------------------------------------------------
Standard & Poor's Ratings Services said that it lowered to 'CCC+'
from 'B-' its long-term corporate credit rating on Italy-based
eyewear manufacturer Safilo SpA.  At the same time, S&P lowered to
'CCC' from 'CCC+' the issue rating on Safilo's EUR195 million
9.625% senior subordinated notes due 2013, issued by Safilo
Capital International S.A.  The recovery rating on the debt is
unchanged at '5', indicating S&P's expectation of a modest (10%-
30%) recovery in the event of a payment default.  All ratings
remain on CreditWatch, where they were placed with negative
implications on Feb. 13, 2009.

The rating actions reflect Standard & Poor's view that the
persistent downturn in discretionary consumer spending will
continue to affect Safilo's operating performance and liquidity.

"In particular, the CreditWatch placement relays our concern over
near-term debt service: Safilo's free operating cash flow could be
insufficient to cover current short-term debt maturities," said
Standard & Poor's credit analyst Diego Festa.

These include the payment of approximately EUR40 million of the
amortizing Facility A of the senior bank loan due December 2011,
as well as the roll-over of the uncommitted bilateral lines.  In
S&P's view, the combination of higher debt levels and ongoing
pressure on profitability is considerably reducing headroom in
Safilo's available cash resources, which mainly consist of the
undrawn portion on the senior revolving credit facility due 2012.
This means that Safilo will be relying on continued bank support
to ensure an unimpeded flow of funding over the short term.

"In addition, S&P understands that Only 3T SpA, the parent company
that owns 39% of Safilo, is studying different initiatives to
strengthen the capital structure of the group.  The progress of
any such initiatives has not been made public.  At this stage, the
uncertainty over the timing and terms of any transaction does not
allow us to quantify the potential impact on Safilo's financial
risk profile," continued Mr. Festa.

According to Safilo's unaudited results, net sales in the first
quarter of financial 2009 were down by 11.7% year on year, and
EBITDA was down by 35.4%.  The EBITDA margin fell 380 basis points
to 10.5%.  With revenues falling, Safilo's high fixed costs--
including those for marketing, staff, and operating leases--weigh
heavily on profitability.  In the same period, FOCF was negative
at EUR42.8 million from negative EUR17.4 million in 2008.  This
fall in FOCF was the main cause of an increase in reported net
debt to EUR617.7 million from EUR570.0 million on Dec. 31, 2008.
On March 31, 2009, the annualized ratio of reported net debt to
EBITDA was 5.6x.

S&P expects to reassess the CreditWatch placement within the next
three months, taking into account Safilo's progress in its
negotiations with its banking group.  In S&P's view, Safilo will
need to maintain prudent financial policies and treasury
management to adjust to the currently sluggish trading
environment, and to conserve cash, to ease pressure on the
ratings.  The outcome of the CreditWatch status will depend on the
level of success that Safilo achieves in the renegotiation of its
funding.

Any affirmative or positive rating action would require evidence
that the company has secured the necessary funding to mitigate the
current negative cash flow trends and ongoing pressure on
liquidity.


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


DALI STROY: Creditors Must File Claims by June 12
-------------------------------------------------
LLP Dali Stroy has gone into liquidation.  Creditors have until
June 12, 2009, to submit proofs of claim to:

         Dostyk Ave. 188
         Almaty
         Kazakhstan


INVEST OIL : Creditors Must File Claims by June 12
--------------------------------------------------
LLP Invest Oil Service has gone into liquidation.  Creditors have
until June 12, 2009, to submit proofs of claim to:

          Evraziya ave. 71-20
          Uralsk
          West Kazakhstan
          Kazakhstan


KAZTEMIRTRANS: Moody's Keeps 'Ba1' Rating; Outlook Remains Stable
-----------------------------------------------------------------
Moody's Investors Service took a number of rating actions on
Kazakh Government-Related Issuers reflecting the downgrade of the
Local Currency rating of the Government of Kazakhstan to Baa2 from
Baa1 on May 12, 2009, and the change of outlook of the sovereign
ratings to negative from stable.  The various actions are:

  -- The ratings of KazMunaiGas NC, Kaztransgas, Intergas Central
     Asia and Kaztransoil are downgraded to Baa2 from Baa1.  Their
     outlooks are changed to negative from stable; The rating of
     KazMunayGas E&P is unchanged at Baa2 but the outlook is
     changed to negative from stable.

  -- The rating of Food Contract Corporation is downgraded to Baa3
     from Baa2.  The outlook is changed to negative from stable.
     The downgrade reflects that despite high support providing
     substantial uplift from BCA (itself weakly positioned)
     Moody's think the rating cannot match that of the sovereign.

  -- The ratings of Kazakhstan Temir Zholy at Baa2, Kazakhstan
     Electricity Grid Operating Company at Baa2 and Kazpost at
     Baa3 are not affected but the outlooks are changed to
     negative from stable.

  -- The ratings of Kaztemirtrans at Ba1 and Kazatomprom at Baa3
     are not affected by the action on the sovereign ratings. The
     outlooks of Kaztemirtrans and Kazatomprom remain stable.

All Baseline Credit Assessments remain unchanged.

The change of outlooks to negative reflects the fact that a
downgrade of the sovereign rating would expectedly imply a
downgrade of the GRI.

The last rating actions on these issuers were:

* On 24 May 2006 when Moody's upgraded Food Contract Corporation
  to Baa2 from Baa3 with a stable outlook

* On 17 November 2006 when Moody's assigned a Baa1 rating with a
  stable outlook to Kaztransgas

* On 28 November 2006 when Moody's upgraded Intergas Central Asia
  to Baa1 with a stable outlook

* On 15 December 2006 when Moody's upgraded Kaztransoil to Baa1
  with a stable outlook

* On 3 May 2007 when Moody's assigned a Baa1 with stable outlook
  to KazMunaiGas NC

* On 27 December 2007 when Moody's assigned a Baa2 with a stable
  outlook to KazMunaiGas Exploration and Production

* On 4 February 2009 when Moody's assigned a Baa3 with stable
  outlook to Kazpost

* On 27 February 2009 when Moody's downgraded KEGOC to Baa2 with a
  stable outlook

* On 27 April 2009, when Moody's downgraded KTZ to Baa2 with a
  stable outlook.


LADOS KAZALY: Creditors Must File Claims by June 12
---------------------------------------------------
Creditors of LLP Lados Kazaly have until June 12, 2009, to submit
proofs of claim to:

         Shokai St. 20
         Kyzylorda
         Kazakhstan

The Specialized Inter-Regional Economic Court of Kyzylorda
commenced bankruptcy proceedings against the company on
Feb. 10, 2009, after finding it insolvent.

The Court is located at:

         The Specialized Inter-Regional
         Economic Court of Kyzylorda region
         Aiteke bi St. 29
         Kyzylorda
         Kazakhstan


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

         The Specialized Inter-Regional
         Economic Court of Almaty
         Tauelsyzdyk Str. 75
         Taldykorgan
         Almaty
         Kazakhstan

The Specialized Inter-Regional Economic Court of Almaty commenced
bankruptcy proceedings against the company on Dec. 12, 2008, after
finding it insolvent.


* S&P Affirms Low-B Ratings on Four Kazakh Govt-Related Entities
----------------------------------------------------------------
Standard & Poor's Ratings Services said that it had revised its
outlooks on four Kazakh government-related entities to stable from
negative.  At the same time, all ratings on all four GREs were
affirmed.

The entities affected are:

  -- Kazakh Agrarian Credit Corp.
  -- Kazpost (JSC)
  -- Mortgage Guarantee Fund of Kazakhstan (JSC)
  -- KazAgroGarant

The outlook revision follows Standard & Poor's revision of its
outlook on the Republic of Kazakhstan (foreign currency
BBB-/Stable/A-3; local currency BBB/Stable/A-3; Kazakhstan
national scale 'kzAAA').

"The action reflects our view of the GREs as important tools of
Kazakh government policy and their close ties to the government,"
said Standard & Poor's credit analyst Boris Kopeykin.  Therefore,
S&P expects a high probability of extraordinary support from the
government to each of these entities in case of emergency.

"We apply our top down approach when rating these entities,
stepping down from the rating on the sovereign," said Mr.
Kopeykin.

The difference in a GREs importance and closeness to the
government is reflected in the varying levels of notching down
from the local currency sovereign rating, from two notches below
the sovereign rating for KACC, to three notches for MGFK,
KazAgroGarant, and Kazpost.

                           Ratings List

          CreditWatch/Outlook Action; Ratings Affirmed

                   Kazakh Agrarian Credit Corp.

                                  To               From
                                  --               ----
Issuer credit rating              BB+/Stable/B     BB+/Negative/B
Kazakhstan national scale rating  kzAA-            kzAA-

                           Kazpost (JSC)

                                  To               From
                                  --               ----
Issuer credit rating              BB/Stable/--     BB/Negative/--
Kazakhstan national scale rating  kzA+             kzA+

           Mortgage Guarantee Fund of Kazakhstan (JSC)

                                  To               From
                                  --               ----
Issuer credit rating              BB/Stable/--     BB/Negative/--
Kazakhstan national scale rating  kzA              kzA

                          KazAgroGarant

                                  To               From
                                  --               ----
Issuer credit rating              BB/Stable/B      BB/Negative/B
Kazakhstan national scale rating  kzA              kzA

     N.B.: This list does not include all ratings affected.


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


SOFIA TRADING: Creditors Must File Claims by June 5
---------------------------------------------------
LLC Sofia Trading Co has shut down.  Creditors have until June 5,
2009, to submit proofs of claim to:

            Micro District Vostok-5, 28-31
            Bishkek
            Kyrgyzstan


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


ING GROEP: Incurs US$1.08 Billion Loss in First-Quarter
-------------------------------------------------------
Martijn van der Starre at Bloomberg News reports that ING Groep NV
posted a third consecutive quarterly net loss of EUR793 million
(US$1.08 billion) in the first-quarter 2009 because of equity
writedowns, higher loan-loss provisions and reorganization costs.

Loan-loss provisions rose to EUR772 million from EUR98 million,
the report says.

The company had a EUR1.54 billion profit a year earlier, ING said
in a statement obtained by Bloomberg News.

In the fourth quarter of 2008, ING incurred a net loss of EUR3.7
billion.  In the third quarter of 2008, ING incurred a net loss of
EUR478 million.

According to Bloomberg News, ING plans to raise as much as EUR8
billion selling assets to boost capital and is cutting 7,000 jobs
in a bid to reduce operating costs by EUR1 billion this year.

Chief Executive Officer Jan Hommen, as cited in the report, said
the company will dispose of as many as 15 businesses and expects
the asset sales to free up about EUR4 billion in capital.

Bloomberg News recalls ING received a EUR10 billion government
lifeline in October and transferred the risk on most Alt-A
mortgage assets to the Dutch state.

Headquartered in Amsterdam, Netherlands, ING Groep N.V. (NYSE:ING)
--- http://www.ing.com/--- is a global financial institution
offering banking, investments, life insurance and retirement
services.  The Company serves more than 85 million private,
corporate and institutional customers in Europe, North and Latin
America, Asia and Australia.  ING has six business lines:
Insurance Europe, Insurance Americas, Insurance Asia/Pacific,
Wholesale Banking, Retail Banking and ING Direct.  In July 2008,
the Company completed the acquisition of CitiStreet LLC, a
retirement plan and benefit service and administration company in
United States. In November 2008, ING Groep N.V. increased its
stake in joint venture Billington Holdings PLC from 50% to 100%.
In February 2009, the Company announced that it closed the sale of
its Taiwanese life insurance business to Fubon Financial Holding
Co. Ltd.  In April 2009, the Company sold its non-state pension
fund business and its holding company in Russia to Aviva plc.


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


CENTRAL CONSTRUCTION: Creditors Must File Claims by June 4
----------------------------------------------------------
The Arbitration Court of Samarskaya commenced bankruptcy
proceedings against LLC Central Construction Technology Laboratory
(TIN 6323079295, PSRN 1046301091935) after finding the company
insolvent.  The case is docketed under Case No. ?-55-1244/2009.

Creditors have until June 4, 2009, to submit proofs of claims to:

         M. Kharitonov
         Insolvency Manager
         Apt. 19
         Prospect S. Razina 42
         Tolyatti
         445027 Samarskaya
         Russia

The Debtor can be reached at:

         LLC Central Construction Technology Laboratory
         Yuzhnoe Shosse 15-102
         445047 Tolyatti
         Russia


GALLLERY MEDIA: Moody's Cuts Corporate Family Rating to 'Caa3'
--------------------------------------------------------------
Moody's Investors Service has downgraded the corporate family
rating of Gallery Media Group Ltd., the existing bond rating of
Gallery Capital SA, and probability of default rating from Caa2 to
Caa3, and placed all ratings on review for downgrade.

The action was prompted by the announcement by the company that it
has appointed advisors for the potential financial restructuring
of the company.  The downgrade is triggered by the increased
probability of default combined with Moody's concerns over the
weak prospects of recovery.

Moody's previous rating action on Gallery was on the March 26,
2009, when the rating agency downgraded the Caa1 ratings to Caa2
and assigned a negative outlook.  The action reflected Moody's
concerns over Gallery's ability to service its debt given
weakening cash flow generation and limited visibility with regard
to sales, profitability and working capital requirements, and
anticipated higher probability of default in the second half of
2010 in the absence of a recapitalization and external financing.

Gallery's ratings were assigned by evaluating factors Moody's
believe are relevant to the credit profile of the issuer, such as
i) the business risk and competitive position of the company
versus others within its industry; ii) the capital structure and
financial risk of the company; iii) the projected performance of
the company over the near to intermediate term; and iv)
management's track record and tolerance for risk.  These
attributes were compared against other issuers both within and
outside of Gallery's core industry and Gallery's ratings are
believed to be comparable to those of other issuers of similar
credit risk.

Headquartered in Moscow, Russia, Gallery currently operates the
second-largest outdoor advertising network after News Outdoor in
Russia and Ukraine (based on revenues and the number of
advertising faces owned).  During the year of 2008, Gallery
reported revenues of US$212 million and adjusted for imputed tax
EBITDA of US$59.6 million.  Net loss for the year 2008 amounted to
US$156.2 million, reflecting significant impairment losses on the
Russian and Ukrainian assets, and foreign exchange losses.


IZOLYATSIONSHCHIK LLC: Creditors Must File Claims by June 4
-----------------------------------------------------------
Creditors of LLC Izolyatsionshchik (TIN 7449040107, PSRN
1037402700477) (Construction Company) have until June 4, 2009, to
submit proofs of claims to:

         Ye.Mikhaylova
         Insolvency Manager
         Sh.Rustaveli St. 25a/4
         454078 Chelyabinsk
         Russia

The Arbitration Court of Chelyabinskaya commenced bankruptcy
proceedings against the company after finding it insolvent.  The
case is docketed under Case No. ?76–4044/2009–20-4.

The Debtor can be reached at:

         LLC Izolyatsionshchik
         Maslennikova St. 15/1
         Chelyabinsk
         Russia


KURGAN AIRPORT: Creditors Must File Claims by June 4
----------------------------------------------------
Creditors of OJSC Kurgan Airport (TIN 4501080974, PSRN
1024500529184) have until June 4, 2009, to submit proofs of claims
to:

         N. Shadrin
         Temporary Insolvency Manager
         Post User Box 3454
         640026 Kurgan
         Russia

The Arbitration Court of Kurganskaya will convene at 9:00 a.m. on
Sept. 2, 2009, to hear bankruptcy supervision procedure on the
company.  The case is docketed under Case No. ?34–1088/2009.

The Debtor can be reached at:

         OJSC Kurgan Airport
         640015 Kurganskaya
          Russia


LYAMINSKIY FIBERBOARD: V. Makarov Named Insolvency Manager
----------------------------------------------------------
The Arbitration Court of Permskiy appointed V.Makarov as
insolvency manager for LLC Lyaminskiy FiberBoard Plant (TIN
5905223394, PSRN 1035900834507).  The case is docketed under Case
No.A 13184/08.  He can be reached at:

         Perovskoy 25/2-83
         450092 Ufa
         Bashkortostan
         Russia

The Debtor can be reached at:

         LLC Lyaminskiy FiberBoard Plant
         Zavodskaya St. 10
         Lyamino
         Permskiy
         Russia


NATIONAL FACTORING: Moody's Cuts Long-Term Deposit Ratings to 'B3'
------------------------------------------------------------------
Moody's Investors Service has downgraded the long-term foreign and
local currency deposit ratings of National Factoring Company CJSC
to B3 from B2.  The Not-Prime foreign and local currency short-
term ratings as well as the E+ BFSR remain unchanged.  The rating
action concludes the review process initiated in December 2008 and
reflects the impact of the current operating environment in Russia
on NFC.  The outlook on the deposit and debt ratings as well as on
the BFSR is negative.  At the same time, Moody's Interfax Rating
Agency, which is majority-owned by Moody's, has downgraded NFC's
long-term National Scale Rating to Baa3.ru from Baa1.ru.

The downgrade of NFC reflects the significant decrease in
business; its factoring book has already halved compared to pre-
crisis levels and is expected to decline further with accompanying
deterioration of profitability and efficiency indicators.
According to Moody's, this decrease (excluding the general
reduction of financing limits in response to the crisis) was also
due to the bank's significant reliance on short-term wholesale
sources of funding in the previous years, which it was not able to
refinance due to the current instability on the financial markets.
As a result, the bank became largely dependant on only two sources
of funding: (i) under a RUB3.2 billion (US$100 million) limit from
its sister bank, Bank Uralsib (D- BFSR, with negative outlook)
with ca. 60% of its non-equity funding derived from this source,
and (ii) from the Central Bank of Russia with over 36% of non-
equity funding coming from the CBR.

Moody's notes that the cash inflows from the repayment of NFC's
factoring book are sufficient to cover the repayment of its
current obligations in case there is no (or minimal) additional
factoring financing, a scenario which could possibly lead to
substantial defaults of clients and/or loss of a significant
portion of NFC's franchise.  Instead, the bank relies
significantly on rollover of funding from Bank Uralsib and the
CBR, thus avoiding a drastic decline in its factoring book.
However, they are short term in nature and there is some degree of
uncertainty as regards their suitability for long-term business
support.  As a result, in the longer term, these sources may
become unstable and NFC may need to secure alternative funding or
significantly scale down its business further.

Moody's notes that NFC has experienced a substantial rise in
problem loans which currently accounts for ca. 10% of the
factoring book.  At the same time, Moody's notes that the bank is
highly capitalized, as reflected in the current low leverage (Tier
1 ratio of over 30% at year-end 2008 and current equity to asset
ratio of over 40%) which enables it to comfortably cover credit
risks.  Moody's has applied a number of scenarios (base-case and
stressed) to NFC's loan book and observed that the bank is well
positioned to absorb substantial asset quality deterioration
without breaching regulatory ratios under both scenarios.

The negative outlook reflects Moody's opinion that there is a
potential for further pressure on NFC's franchise and financial
metrics as a result of a prolonged and severe economic downturn in
Russia, which suppresses the bank's funding and liquidity profile
as well as asset quality.

Moody's previous rating action on NFC was on Dec. 18, 2008, when
the ratings were placed on review for a possible downgrade.

Based in Moscow, NFC is one of the largest companies in the
Russian factoring sector.  It reported total consolidated assets
of US$330 million and total equity of US$85 million under IFRS at
year-end-2008.


STROY-AZIYA LLC: Creditors Must File Claims by July 4
-----------------------------------------------------
Creditors of LLC Stroy-Aziya (TIN 7420008125, PSRN 1047409500247)
(Construction) have until July 4, 2009, to submit proofs of claims
to:

         M. Moiseev
         Insolvency Manager
         Post User Box 249
         620014 Yekaterinburg
         Russia

The Arbitration Court of Chelyabinskaya will convene at 3:00 p.m.
on June 23, 2009, to hear bankruptcy proceedings on the company.
The case is docketed under Case No. ?76–7404/2008–34–71.

The Debtor can be reached at:

         LLC Stroy-Aziya
         Yelagina St. 491
         Chebarkul
         Chelyabinskaya
         Russia


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


SANTANDER EMPRESAS: S&P Affirms Ratings on Class F Notes at 'CCC-'
------------------------------------------------------------------
Standard & Poor's Ratings Services took various rating actions on
the notes issued by Fondo de Titulizacion de Activos Santander
Empresas 3 and Fondo de Titulizacion de Activos Santander Empresas
4.

In these two transactions, S&P:

  -- Lowered and removed from CreditWatch negative its ratings on
     the class B notes;

  -- Lowered its ratings on the class C notes;

  -- Lowered its rating on the class D notes issued by Santander
     Empresas 4; and

  —- Affirmed all the other classes of notes.

In January 2009 S&P lowered the ratings on the class C, D, and E
notes issued by Santander Empresas 3 and 4 (see "Related Research"
below).  At the same time, S&P placed the class B notes in both
transactions on CreditWatch negative due to the worsening
performance of the underlying pools.

The rating actions follow an update to S&P's credit and cash flow
analysis based on the most recent transaction information and
loan-level data S&P received from the originator, Banco Santander
S.A. (AA/Negative/A-1+).

S&P's analysis focused on risks related to obligor concentrations,
in particular real estate and construction sector exposures, and
the concentration of loans granted for development, as well as
risks related to loan prepayment profiles.  Moreover, S&P assesses
specific risk embedded in the pools as determined by particular
products or classes of borrowers that are performing worse than
others.  For loan payment profiles, S&P focused on the risk posed
by loans with bullet maturities.

According to the most recent investor reports, the collateral in
these transactions show a decreased concentration in the real
estate and construction industry compared with the previous
reporting period: 23.98% for Santander Empresas 3 and 32.30% for
Santander Empresas 4, compared with 28.02% and 38.23%,
respectively.  This change is due to a reclassification of the
industry sector, which took place at the beginning of this year.

As of April 2009, 90+ day delinquencies accounted for 1.98% of
Santander Empresas 3's current portfolio, up from 1.77% in October
2008.  In comparison, Santander Empresas 4's performance is
worsening faster, with 90+ delinquency rates almost doubling over
the same period—up to 3.35% from 1.82% of the outstanding
collateral balance.

Gross cumulative defaults remain fairly low at 0.29% and 0.42% of
Santander Empresas 3 and 4's respective initial collateral
balances.  However, in recent months both transactions have
experienced a substantial increase in defaults.  From October 2008
to April 2009, Santander Empresas 3's gross cumulative defaults
doubled to EUR10.26 million from EUR5.00 million, while in
Santander Empresas 4 they increased to EUR14.94 million from less
than EUR0.49 million.

Both transactions feature an early amortization mechanism, which
pays down senior notes based on the current balance of defaulted
loans.  In Santander Empresas 3, this resulted in a draw of
EUR0.5 million on the cash reserve on the January payment date
and, despite an April replenishment of EUR0.2 million, it remains
below its required level of EUR45.5 million.  In Santander
Empresas 4, the cash reserve was drawn for two consecutive payment
dates, January and April, and it is now equal to EUR36.1 million
and is below its required level of EUR46 million.

S&P expects the default rates in both transactions to continue to
increase.  S&P's analysis of the data provided suggests that a
large portion of loans due in 2009 have bullet maturities and a
significant percentage of loans due in 2009 and 2010 are currently
in arrears.  If borrowers fail to refinance, there will be a
further increase in default rates that may cause further draws on
both cash reserves.

Increasing defaults raise the likelihood of a breach of the
deferral of interest trigger.  A breach occurs when gross
cumulative defaults for Santander Empresas 3 and 4 reach 4.70% and
3.90% of the initial collateral balance for class E, 5.60% and
4.80% for class D, 6.50% and 6.50% for class C, and 7.85% and
8.95% for class B.  If this trigger is breached for a particular
class of notes, interest would be deferred on that class as the
structure diverts cash to repay the 'AAA' rated notes.

Given S&P's expectations for the collateral performance and the
current credit enhancement available, S&P's credit and cash flow
analysis show that the class B and C notes in Santander Empresas 3
and the class B, C, and D notes in Santander Empresas 4 can no
longer maintain their current ratings.

                           Ratings List

                         Ratings Lowered

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

                                       Rating
                                       ------
            Class                To               From
            -----                --               ----
            C                   BBB+                A-

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

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

      Ratings Lowered And Removed From Creditwatch Negative

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

                                       Rating
                                       ------
            Class                To               From
            -----                --               ----
            B                   A+                 AA/Watch Neg

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

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

                         Ratings Affirmed

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

                     Classes             Rating
                     -------             ------
                     A2                  AAA
                     A3                  AAA
                     D                   BB
                     E                   B
                     F                   CCC-

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

                     Classes             Rating
                     -------             ------
                     A1                  AAA
                     A2                  AAA
                     A3                  AAA
                     E                   B-
                     F                   CCC-


TDA 25: Standard & Poor's Junks Rating on Class D Notes
-------------------------------------------------------
Standard & Poor's Ratings Services placed on CreditWatch negative
its credit ratings on the class A, B, and C notes issued by TDA
25, Fondo de Titulizacion de Activos.  At the same time, S&P
lowered the rating on the class D notes.  The rating on the class
NAS-I0 notes is affirmed.

S&P's credit analysis of the most recent transaction information
that S&P has received showed that the credit enhancement available
for TDA 25's class A, B, and C notes might not be sufficient to
maintain the current ratings.

The reserve fund has been fully depleted due to defaults and low
levels of available excess spread.  TDA 25 features a structural
mechanism that traps excess spread to provide for gross defaults,
and due and unpaid principal of nondefaulted loans.  Levels of
available excess spread in the first three years after closing are
limited due to the NAS-IO class of notes, which pay a coupon
senior in the waterfall based on a notional amount related to the
class A notes.  The NAS-IO class matures in September 2009 and S&P
has consequently affirmed S&P's rating on that class.

If gross cumulative defaults reach the level of a trigger for
deferral of interest, set at 3.9% of the initial balance of the
pool for the class D notes, the interest on this class will be
paid after amortization of the senior classes.  On the March
interest payment date, cumulative defaults as a percentage of the
initial balance of the pool were 2.89%.  With the current level of
90+ day delinquencies (including the outstanding balance of
defaulted loans) standing at 14.51% (well above the average of the
Spanish residential mortgage-backed securities market), in S&P's
view, deferral of interest on the class D notes could happen as
soon as the next IPD.  Therefore, S&P has lowered its rating on
the class D notes.

The triggers for deferral of interest on the class B and C notes
are set at gross cumulative default levels of 6.4% and 4.9%,
respectively.  S&P has placed its ratings on these classes on
CreditWatch negative, while S&P assess any increased likelihood of
these levels being reached.  S&P expects to resolve these
CreditWatch placements after the June IPD.

S&P has seen limited recoveries to date, due to the length of the
foreclosure period.  The originators of this transaction are two
Spanish financial entities: Banco Gallego, S.A., and Union de
Credito para la Financiacion Mobiliaria e Inmobiliaria, Credifimo,
E.F.C., S.A.U.  The loans, mainly originated in Andalucia, Madrid,
and Galicia, have first-ranking securities and were for the
purpose of property acquisition.

                           Ratings List

             TDA 25, Fondo de Titulizacion de Activos
   EUR265 Million Residential Mortgage-Backed Floating-Rate Notes

                          Rating Lowered

                                   Rating
                                   ------
            Class      To                        From
            -----      --                        ----
            D          CCC                       B

              Ratings Placed on Creditwatch Negative

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

                         Rating Affirmed

                          NAS-IO    AAA


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


E. + M. KUNZ GMBH: Creditors Must File Proofs of Claim by May 20
----------------------------------------------------------------
Creditors of E. + M. Kunz GmbH are requested to file their proofs
of claim by May 20, 2009, to:

         Eduard Kunz and Martha Kunz
         Liquidators
         Moosstrasse 33
         2543 Lengnau
         Switzerland

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


EXPO WERBE: Claims Filing Deadline is May 20
--------------------------------------------
Creditors of expo Werbe AG are requested to file their proofs of
claim by May 20, 2009, to:

         Christof Kummer
         Fiduciaire Le Lac SA
         Route Principale 20
         1786 Sugiez
         Switzerland

The company is currently undergoing liquidation in Bas-Vully.  The
decision about liquidation was accepted at an extraordinary
general meeting held on March 26, 2009.


GOLFPLATZ WEISSBAD: Creditors Have Until May 20 to File Claims
--------------------------------------------------------------
Creditors of Golfplatz Weissbad AG are requested to file their
proofs of claim by May 20, 2009, to:

         Michael Manser
         Oberer Graben 26
         9000 St. Gallen
         Switzerland

The company is currently undergoing liquidation in Appenzell.  The
decision about liquidation was accepted at a general meeting held
on Sept. 4, 2008.


HELD & MUSSOI GMBH: Claims Filing Deadline is May 20
----------------------------------------------------
Creditors of Held & Mussoi GmbH are requested to file their proofs
of claim by May 20, 2009, to:

         Gubler Treuhand AG
         Liquidator
         Eichgutstrasse 2
         8401 Winterthur
         Switzerland

The company is currently undergoing liquidation in Tagerwilen.
The decision about liquidation was accepted at an extraordinary
shareholders' meeting held on March 2, 2009.


PLATFORM108 AG: Creditors Must File Claims by May 20
----------------------------------------------------
Creditors of platform108 AG are requested to file their proofs of
claim by May 20, 2009, to:

         Markus Bolliger
         Liquidator
         Sahlistrasse 19
         3012 Bern
         Switzerland

The company is currently undergoing liquidation in Bottighofen.
The decision about liquidation was accepted at an extraordinary
shareholders' meeting held on March 26, 2009.


RESTAURANT BRUNEGG: Creditors Have Until May 20 to File Claims
--------------------------------------------------------------
Creditors of Restaurant Brunegg GmbH are requested to file their
proofs of claim by May 20, 2009, to:

         Philipp Stalder
         Entlisbergstrasse 73
         8038 Zurich
         Switzerland

The company is currently undergoing liquidation in Zürich.  The
decision about liquidation was accepted at a shareholders' meeting
held on March 19, 2009.


SABRULIN AG: Claims Filing Deadline is May 20
---------------------------------------------
Creditors of Sabrulin AG are requested to file their proofs of
claim by May 20, 2009, to:

         Christof Kummer
         Fiduciaire Le Lac AG
         Route Principale 20
         1786 Sugiez
         Switzerland

The company is currently undergoing liquidation in Bas-Vully.  The
decision about liquidation was accepted at an extraordinary
general meeting held on March 26, 2009.


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


AGRO-LAN LLC: Creditors Must File Claims by May 24
----------------------------------------------------
Creditors of LLC Agro-Lan (code EDRPOU 33483793) have until
May 24, 2009, to submit proofs of claim to:

         A. Bondar
         Insolvency Manager
         Post Office Box 14
         03110 Kiev
         Ukraine

The Economic Court of Kiev commenced bankruptcy proceedings
against the company on April 13, 2008.  The case is docketed under
Case No. B3/258-08/11.

The Court is located at:

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

The Debtor can be reached at:

         LLC Agro-Lan
         Zavodskaya St. 1
         Staroye
         Borispol
         08362 Kiev
         Ukraine


CHERNOMORSKY AGRICULTURAL: Creditors Must File Claims by May 24
---------------------------------------------------------------
Creditors of OJSC Chernomorsky Agricultural Chemistry (code EDRPOU
05489773) have until May 24, 2009, to submit proofs of claim to:

         O. Borisenko
         Insolvency Manager
         Office 165
         Kuybishev St. 15
         Simferopol
         AR Krym
         Ukraine

The Economic Court of AR Krym commenced bankruptcy proceedings
against the company on April 9,2009.  The case is docketed under
Case No. 2-4/6620-2007.

The Court is located at:

         The Economic Court of AR Krym
         R. Luxembourg St. 29/Rechnaya St. 11
         95000 Simferopol
         AR Krym
         Ukraine

The Debtor can be reached at:

         OJSC Chernomorsky Agricultural Chemistry
         Industrialnaya St. 5
         98400 Tchernomorskoye
         AR Krym
         Ukraine


FAF IMAGES: Creditors Must File Claims by May 23
------------------------------------------------
Creditors of LLC Faf Images Ukraine (code EDRPOU 33509292) have
until May 23, 2009, to submit proofs of claim to:

              D. Panchenko
              Insolvency Manager
              Office 40
              Svetly lane 14
              65101 Odessa
              Ukraine

The Economic Court of Odessa commenced bankruptcy proceedings
against the company on 03/10/2009.  The case is docketed under
Case No 2/27-09-683.

The Court is located at:

              The Economic Court of Odessa region
              Shevchenko avenue 29
              65032 Odessa
              Ukraine


TSENTROPROM COMPLEX: Creditors Must File Claims by May 23
---------------------------------------------------------
Creditors of LLC Tsentroprom Complex (code EDRPOU 34329253) have
until May 23, 2009, to submit proofs of claim to:

         N. Gushul
         Insolvency Manager
         Office 5
         Sechevikh Streltsov St. 1
         Gvozdets
         Kolomiya
         Ivano-Frankovsk
         Ukraine

The Economic Court of Kharkov commenced bankruptcy proceedings
against the company on April 13, 2009.  The case is docketed under
Case No. B-39/67-09.

The Court is located at:

         The Economic Court of Kharkov
         Svoboda Square 5
         61022 Kharkov
         Ukraine


UKRAINIAN FOOD: Creditors Must File Claims by May 23
----------------------------------------------------
Creditors of LLC Company Ukrainian Food Service (code EDRPOU
25460487) have until May 23, 2009, to submit proofs of claim to:

         O. Kulagin
         Insolvency Manager
         Office 1
         Artem St. 11
         Yubileynoye
         Lugansk
         Ukraine

The Economic Court of Lugansk commenced bankruptcy proceedings
against the company on April 9, 2009.  The case is docketed under
Case No. 12/20b.

The Court is located at:

         The Economic Court of Lugansk
         Heroes of GPW Square 3-a
         91000 Lugansk
         Ukraine

The Debtor can be reached at:

         LLC Company Ukrainian Food Service
         Shevchenko Quarter 14
         Lugansk
         Ukraine


* Moody's Cuts Issuer Ratings on Three Ukrainian Cities to 'B2'
---------------------------------------------------------------
Moody's Investors Service has downgraded the foreign and local
currency issuer ratings of the City of Kyiv, City of Kharkiv and
City of Berdyansk (Ukraine) to B2 from B1.  At the same time,
Moody's also downgraded Kyiv's foreign currency debt rating and
Berdyansk's local currency debt rating to B2 from B1, and
Berdyansk's national scale issuer and debt ratings to A3.ua from
Aa3.ua.  The outlook for all the ratings is negative.  The action
concludes the review for possible downgrade initiated by Moody's
on Feb. 26, 2009.

"The rating action reflects a further deterioration in the
creditworthiness of Ukrainian municipalities resulting from the
ongoing economic recession in Ukraine as well as domestic market
dislocation," explained Alexander Proklov, a Moody's Senior
Analyst and lead analyst for Kyiv, Kharkiv and Berdyansk.  The
rating action follows Moody's recent decision (12 May 2009) to
downgrade the Ukrainian government's foreign and local currency
bond ratings to B2 from B1.

"Moody's believes the combination of tax revenue shortage, weak
liquidity profiles and strictly limited access to the financial
market exerts significant pressure on the credit profiles of these
three Ukrainian cities," explained Mr. Proklov.  Further weakening
in municipal operating balances is likely over the next 12 to 18
months, while the worsening nationwide economic environment could
impair the capacity of the central government to bail out
Ukrainian sub-sovereigns.

At the same time, the cities' favorable maturity debt profiles and
the municipal tax base, which is more resilient to economic shocks
than that of the sovereign, could partially mitigate the short-
term refinancing risks.  "The ability of Ukrainian cities to
manage the aforementioned pressures and to avoid the structural
impairment of their debt service capacity remains a key factor in
Moody's analysis," said Mr. Proklov.

The last rating action on Kyiv, Kharkiv and Berdyansk was
implemented on Feb. 26, 2009, when Moody's placed the B1 ratings
under review for possible downgrade.


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


ABSOLUTE LEISURE: Sites Put Up for Sale Following Administration
----------------------------------------------------------------
Emma Eversham at bighospitality.co.uk reports that sites owned by
by Newcastle-based pub, restaurant, nightclub and hotel operator
Absolute Leisure have been put for sale after the company was
placed into administration.

According to the report, sites on sale include the Lounge pub and
nightclub and 260-cover Coco'mos restaurant in Newcastle, the 19-
room New Angel Hotel in Whitby and the Tuxedo Princess nightclub,
previously sited in Gateshead Quay.

The report recalls administrators Begbies Traynor were called in
last week after it emerged the company could no longer go on
trading as a result of the economic downturn.


BARRATT DEVELOPMENTS: Says No Current Plans to Raise Equity
-----------------------------------------------------------
Lorraine Turner and Victoria Byran at Reuters reports that Barratt
Developments Plc said it would not raise equity at the moment,
insisting debt was in line with plan and it expected to be able to
meet loan covenants.

Reuters relates Barratt chief executive Mark Clare told reporters
on Wednesday "There is no activity.  There are no current plans
(to raise equity).  We are focusing on managing within the current
covenant structure that we have".

Reuters discloses in a note to clients on Wednesday Robin Hardy at
KBC Peel Hunt said "The ideal from Barratt was a rights issue but
it was not to be".  Mr. Hunt, as cited by Reuters, said "Without
new equity the risk profile starts to look less comfortable".

According Telegraph.co.uk, Barratt, which posted an interim pre-
tax loss of GBP592.4 million in February, including a land
writedown of GBP494 million, remains under pressure from its
GBP1.42 billion debt pile.  Reuters says analyst still fear the
company's debt may push it close to breaching loan-to-value
banking covenants.

On May 13, 2009, Barratt published its Interim Management
Statement covering the 19 week period from January 1, 2009 to
May 10, 2009.

                            Revenues

Total sales outlets for the period averaged 474, with effective
sales outlets averaging 414.  Total sales outlets are expected to
average around 500 for the Group's financial year.

Visitor levels per site for the 19 week period were down 6%
compared to the prior year comparable period.  However, since
January 1, 2009, the company has seen visitor levels per site up
approximately 17% on the first half of the financial year.

Total net reservations averaged 243 per week over the last 19
weeks with private net reservations averaging 223 per week.  This
equates to 0.47 private sales per week per site, up 4.4% on the
same period last year and up 20.5% compared to the first half.

Over the last six weeks, since March 30, visitors per site were up
7.8% and net private reservations were up 58.8% compared with the
depressed level in the same period last year.

Cancellation rates have averaged approximately 16% for the period,
compared to 25.7% in the prior year.  The company has adopted an
increasingly cautious approach to the recording of reservations,
reflecting its concerns over the availability of mortgage finance.
It expects the cancellations rate to trend upwards in keeping with
normal seasonal trends as we approach the June year end.

                          Order Book

The forward order book currently stands at GBP778.2 million
equating to 5,253 plots up from GBP455.8 million and 3,529 plots
at January 1, 2009.  Of the current forward order book, GBP437.9
million (56%) is contracted.

                        Balance Sheet

Barratt said all elements of cash investment continue to be
tightly controlled driving progress to reduce debt.

The company expects total land spend for the financial year to be
around GBP300 million.  It is investing in land, where it is
contractually committed to do so, or where there are investment
opportunities requiring limited funding in the near term.  At
current sales rates, the Group's landbank equates to approximately
5.3 years' supply.

Work in progress is being closely managed on a site by site, unit
by unit basis.  Unreserved roof to complete units, which stood at
3,822 units at December 31, 2008 have reduced by 37% to 2,405 at
May 10, 2009.

Stock levels continue to decline, and as at May 10, the company
had 771 unreserved stock units, equating to 3.5 weeks supply at
current sales rates.  This is down 47% from the holding of 1,465
units at December 31, 2008.

Part exchange stock levels have continued to fall, and the company
currently has 73 unreserved units compared to 346 at December 31,
2008, down 79%.

                            Outlook

Barratt said there are early signs that some stability is
returning to the new homes market, and the Spring selling season
has shown improved visitor traffic and reservation levels compared
to the first half of our financial year.  Over time, it is hoped
that the measures introduced to increase mortgage lending will
provide additional support to the market.  However volumes are
currently at low levels, mortgage finance remains constrained and
visibility is limited.  The company said it remains cautious as to
near term trading prospects.

                    About Barratt Developments

Barratt Developments Plc -- http://www.barrattdevelopments.co.uk
-- is a United Kingdom-based company engaged in housebuilding and
commercial development.  The subsidiaries of the Company include
BDW Trading Limited, KingsOak Homes Limited, Barratt Commercial
Limited, Barratt North Scotland Limited, Wilson Bowden Limited,
David Wilson Homes Limited and Ward Homes Limited, all of which
are engaged in housebuilding and development, and Wilson Bowden
Developments Limited, which is involved in commercial development.
The Company offers a product range from first-time buyer homes to
luxury apartments and family homes.  It operates throughout Great
Britain, and as of June 30, 2008, it was selling from 585 sites
spread over 32 divisions.  It has built 2,833 homes for the
housing association partners.  As of June 30, 2008, the Company's
overall housebuilding operation delivered 18,588 completions.


JOHNSTON PRESS: May Breach Debt Covenants After Irish Sale Failed
-----------------------------------------------------------------
Amanda Andrews at Telegraph.co.uk reports Johnston Press plc
issued a profit warning and said the failure to sell its Irish
business meant there was a "strong likelihood" it would breach
banking covenants, sending shares in the company down almost 30%
to 19.25p on Wednesday.

Telegraph.co.uk relates the group said in its preliminary results
in March that, if the sale of the Irish business was not
successfully completed, there would be a strong likelihood of a
breach of a financial covenant in the group's debt facilities
during 2009.

"While there was considerable interest shown from both trade and
financial buyers, the board decided that it was not at a
sufficiently high price to be in the company's best interest," the
Scotsman quoted the company as saying.

Johnston, as cited by the Scotsman, said it remained in
discussions to refinance its debt and expected to have new
facilities in place, replacing the current ones that expire in
2010, before its half-year announcement in late August.  Net debt
at the end of April was GBP448 million, down GBP29 million from
the start of the year, the Scotsman states.

According to the Scotsman, the company said it continued to cut
costs, with year-on-year costs expected to be down by more than
GBP30 million.  It however warned that cost savings will not be
sufficient enough to offset the fall in advertising revenues which
are running "below market expectations ", Telegraph.co.uk notes.
Telegraph.co.uk discloses in the 19 weeks to May 9, total
advertising revenues slumped 34.4pc compared to the same period
last year.

Johnston Press plc, along with its subsidiaries, --
http://www.johnstonpress.co.uk--  is engaged in publishing of
local and regional weekly, evening and morning newspapers, both
paid-for and free, together with associated Websites, as well as
specialist publications in paper, online or via mobile
technologies.  The Company operates in two business segments:
newspaper publishing (in print and online) and contract printing.
It has operations in the United Kingdom and the Republic of
Ireland.  The Company's subsidiaries include Johnston Publishing
Ltd, Johnston Press (Ireland) Ltd, Johnston (Falkirk) Ltd,
Strachan & Livingston Ltd, Wilfred Edmunds Ltd, North Notts
Newspapers Ltd, Yorkshire Weekly Newspaper Group Ltd, Sussex
Newspapers Ltd, T R Beckett Ltd, Halifax Courier Ltd and Isle of
Man Newspapers Ltd, among others.  On March 7, 2008, the Company
acquired Clonnad Ltd, which publishes one title, South Tipp Today.


MONIER GROUP: Lenders Turn Down PAI's Debt-for-Equity Swap Offer
----------------------------------------------------------------
Tessa Walsh and Tom Freke at Reuters report that sources said on
Tuesday lenders to Monier Group rejected a debt-for-equity swap
proposal from private equity firm Paribas Affaires Industrielles.

The report discloses according to an investor, PAI's debt-for-
equity offer asked Monier Group's lenders, which comprise more
than 100 banks and hedge funds, to slash the group's debt from
around EUR1.7 billion to EUR600 million in return for a cash
injection of up to EUR150 million.  The investor, as cited in the
report, said the private equity firm offered lenders around 24
percent of the company and offered the management a small 3-4
percent stake, which would have given it 72-73 percent of the
company.  The group's lenders, however, turned down the offer as
they want a bigger stake in the company in exchange for such a
large drop in their debt, the report says citing three sources.
Goldman Sachs is advising PAI and Monier Group, the report states.

Monier Group, which was bought by PAI in December 2006 in a EUR2.4
billion buyout, faces a looming interest payment on June 30 and
possible covenant breach after a steep drop in earnings before
interest, tax, depreciation and amortization, the report discloses
citing a source with knowledge of the deal.

The report relates two sources said the lenders are now awaiting a
formal counter offer from a group of distressed investors.
According to the report, an investor said Apollo Management,
TowerBrook Capital and York Capital, which own around 40 percent
of Monier Group's debt, made an informal alternative offer to
lenders last Thursday.

Monier Group -- http://www.monier.co.uk/-- supplies pitched-
roofing products, roofing components and chimney systems.  It has
more than 200 production sites and activities in 46 countries,
including the United Kingdom, Germany, Poland, among others.  In
2006, Monier employed more than 12,000 people, generating sales of
over EUR1.6 billion.


SOVEREIGN OIL: Share Trading Resumes Today; Chairman Ellis Ousted
-----------------------------------------------------------------
Hamish Rutherford at the Scotsman reports that shares in Sovereign
Oilfield Group Plc will resume trading today, May 15, after
the company sold two of its businesses to cut its debt.

The report recalls the company had its shares suspended from the
stock exchange seven months ago.  According to the report, the
company failed to publish its annual report within six months of
its financial year end due to funding uncertainties.

On Monday, the company announced the sale of two of its
businesses, Vetec and Labtech, for GBP5.45 million, with the cash
used to pay down its debt.  The report relates the group said the
sale, which was a condition imposed on the group by its lenders,
including HBoS and Merrill Lynch, for continuing to support the
the company, would enable it to publish its annual report for the
year to March 31, 2008, and its results for the six months to
October 3.

                         Chairman Ousted

Mark Williamson at the Herald reports that the company has sacked
its chairman Robert Ellis without compensation following an
apparent boardroom fall-out.

The Herald relates in a stock exchange announcement, the company
said Mr. Ellis, which was appointed in November to help lead a
vital refinancing, had his contract as a director and chairman
"terminated with immediate effect".

Sovereign, the Herald says, is still trying to agree a refinancing
that directors have been discussing with lenders for around six
months.

Headquartered in Aberdeen, Sovereign Oilfield Group Plc -- http://
www.sovereign-oil.com/ -- provides engineering products, technical
services, and human resources to the oil and gas sector through 14
operating subsidiaries.  The Company operates in two principal
areas of activity, that of fabrication and manufacturing services,
and selling and renting drilling equipment.  Its customers include
oil and gas companies, and smaller oilfield engineering companies
and other oilfield service companies.  On April 18, 2007,
sovereign acquired Labtech services limited and associated
companies, and Vertec Limited and its subsidiary.  Labtech
services limited and Vertec Limited specialize in the design,
engineering and manufacture of onshore and offshore cabins,
containers, baskets, air conditioning and refrigeration units.  On
February 28, 2007, the Company acquired Findgolden Limited and its
subsidiaries, RDT Precision Engineers Limited and Roller Precision
Products Limited.  On January 22, 2007, it acquired Forfab
Limited.


SUN MICROSYSTEMS: Scottish Plant Posts GBP4.5MM 2008 Pre-Tax Loss
-----------------------------------------------------------------
Sun Microsystem Inc's Scottish plant made a pre-tax loss of GBP4.5
million in the year to June 30, 2008, compared to a profit of
GBP2.5 million in the year to June 2007, the Scotsman reported.

Citing newly filed annual accounts, the report disclosed the
Linlithgow-based operation's turnover rose from GBP40 million to
GBP41.8 million.  The report recalled in December Sun Microsystems
announced plans to close its manufacturing operation at the site
with the loss of about 130 jobs.   The company, the report noted,
remains a major employer in the area, with some 500 staff.

                      About Sun Microsystems

Headquartered in Santa Clara, California, Sun Microsystems Inc.
(NASDAQ: JAVA) -- http://sun.com/-- provides network computing
infrastructure product and service solutions worldwide.  Sun
Microsystems conducts business in 100 countries around the
globe, including Brazil, Argentina, India, Hungary, United
Kingdom, among others.

                          *     *     *

As reported by the Troubled Company Reporter on April 22, 2009,
Moody's placed the Ba1 corporate family and probability of
default ratings of Sun Microsystems, Inc., on review for possible
upgrade following the company's announcement that it has entered
into a definitive agreement to be purchased by Oracle for US$9.50
per share or approximately US$7.4 billion in cash (US$5.6 billion
net of the company's cash and debt).  The transaction, which has
been approved by Sun's board of directors, is expected to close
this summer, subject to shareholder and regulatory approval as
well as standard closing conditions.

According to the TCR on April 22, 2009, Standard & Poor's Ratings
Services said that it revised its CreditWatch listing, including
that for its  'BB+' corporate credit rating, on Santa Clara,
California-based Sun Microsystems Inc. to CreditWatch with
positive implications from CreditWatch with developing
implications.


TATA STEEL UK: Wants Lenders to Reset Terms on Corus Loan
---------------------------------------------------------
Times of India reports that Tata Steel UK Limited, a subsidiary of
India's Tata Steel Limited, has asked its lenders to reset the
terms and conditions of the debt it took to buy Corus.

According to the report, Tata Steel UK, which bought Corus for
GBP6.7 billion in 2006, sought an easing on the terms of the loans
as the economic slowdown could hit its earnings, straining its
ability to service the loan.

Tata Steel UK, as cited in the report, said it will pre-pay over
GBP200 million of debt as part of the covenant reset package to
de-leverage its European operations.  Tata Steel UK, the report
says, intends to repay GBP200 million through additional support
from its Indian parent.

The report relates the Tata Steel management, during the last
analysts conference, had said that UK arm would repay US$450
million of debt in FY10.  With the company deciding on an early
repayment of US$300 million (GBP200 million), the balance is
US$150 million, the report states.  The Tata Steel group's cash
balances, as of February, stood at US$1,134 million, while its
debt stood at US$9,000 million, the report discloses.

                     About Tata Steel Limited

Headquartered in Mumbai, India, Tata Steel Limited --
http://www.tatasteel.com/-- is a diversified steel producer.
It has operations in 24 countries and commercial presence in
over 50 countries.  Its operations predominantly relate to
manufacture of steel and ferro alloys and minerals business.
Other business segments comprises of tubes and bearings.  Tata
Metaliks Limited, which is engaged in the business of
manufacturing and selling pig iron, became a subsidiary of the
Company with effect from Feb. 1, 2008.

                   About Tata Steel UK Limited

Tata Steel UK Limited is the 100% subsidiary of Tata Steel Ltd,
and is the holding company for its European steel operations,
which principally consists of the Corus group.

                          *     *     *

As reported in the Troubled Company Reporter-Asia Pacific on
April 7, 2009, Fitch Ratings downgraded Tata Steel Limited's Long-
term foreign currency Issuer Default Rating to 'BB+' from 'BBB-'
(BBB minus), and its National Long-term rating to 'AA(ind)' from
'AAA(ind)'.  Simultaneously, Fitch also downgraded Tata Steel
U.K. Ltd's Long-term foreign currency IDR to 'B+' from 'BB'.  The
Outlook on all the ratings continues to be Negative.

The TCR-AP reported on March 6, 2009, that Moody's Investors
Service downgraded the corporate family rating of Tata Steel Ltd
to Ba2 from Ba1.  The rating remains on review for possible
further downgrade.


THPA FINANCE: S&P Puts 'BB' Rating on Class C Notes on Watch Neg
----------------------------------------------------------------
Standard & Poor's Ratings Services placed on CreditWatch negative
the ratings on all classes of notes issued by THPA Finance Ltd.

These actions follow the May 8 announcement by Tata Steel Ltd.
(BB-/Negative), that it has opened consultations that may result
in a decision to "mothball" its Corus Teesside Cast Products plant
in northeast England.  According to Tata Steel, this announcement
was prompted by the decision of a consortium of international slab
steel buyers to seek the termination of their 10-year off-take
agreement with TCP.

The CreditWatch negative placements reflect that the loss of a
major customer, such as Corus, is likely to have adverse long-term
consequences for the business risk profile of THPA.  As
highlighted in S&P's last transaction update, THPA has a
substantial exposure to Corus, which accounts for more than 20% of
total revenues.

S&P notes that the class B and class C notes could be particularly
vulnerable to a suspension of the TCP plant, and may experience a
multinotch downgrade.

Currently, S&P understands that Tata Steel is using legal means to
ensure that the terms of the 10-year off-take agreement (initiated
in January 2005) are fully enforced.  In addition, S&P further
understand that Corus is also exploring alternative options.
However, due to the present macroeconomic environment and current
demand prospects for steel, and despite Tata Steel's efforts to
enforce the contract and the possibility of finding alternative
off-takers for the TCP's slab steel, in S&P's view, it is unlikely
that the TCP plant will continue to operate at Teesside.

S&P aims to resolve the CreditWatch placements within three
months, during which Tata Steel may take a decision regarding the
long-term future of the TCP plant.  S&P will reassess the business
risk profile of THPA after discussing with management the long-
term implications of the solution chosen for the TCP plant's
operations and THPA's long-term business plans.  If the TCP plant
is closed permanently, it is possible that S&P may lower the
ratings by more than one notch.  If no decision is reached within
three months, S&P will nonetheless review the transaction in light
of the heightened long-term uncertainty on the TCP plant's
operations at Teesside and publish S&P's findings at that time.

                           Ratings List

              Ratings Placed on Creditwatch Negative

                         THPA Finance Ltd.
    GBP305 Million Fixed- And Floating-Rate Asset-Backed Notes

                                   Rating
                                   ------
           Class             To                    From
           -----             --                    ----
           A2                A/Watch Neg           A
           B                 BBB/Watch Neg         BBB
           C                 BB/Watch Neg          BB


UROPA SECURITIES: Fitch Junks Ratings on Four Classes of Notes
--------------------------------------------------------------
Fitch Ratings has downgraded seven tranches of Uropa Securities
plc Series 2007-01B residential mortgage-backed notes.  Fitch has
also revised the Outlooks to Negative from Stable on five tranches
and assigned Recovery Ratings to four classes.  The downgrades
follow two reserve fund draws that have reduced the available
credit enhancement to the junior notes, and also the high loss
severity realized on sold repossessions.  Further losses are
expected as a result of the deterioration in the UK's housing and
lending markets.  A full rating breakdown is provided at the end
of this comment.

The latest investor report for April 2009 shows an increase in
loans in arrears by more than three months to 10.5% of the current
portfolio balance from 5.7% in January 2009.  Fitch attributes the
increase in loans in arrears to a combination of the method of
arrears calculation and the current challenging economic
environment.  The transaction currently has 87 properties in
repossession with a loan balance of GBP11.7m, equivalent to 2.3%
of the current portfolio balance.

Fitch's house price decline expectation calls for a 30% peak-to-
trough drop.  As such, the agency believes that the loss severity
realized on repossessed properties will continue to rise.  At the
last interest payment date the period loss severity (as calculated
by Fitch) stood at 31% from 48 loans sold.  Given the volume of
loans in late stage arrears and currently in possessions the
agency believes that further losses are likely and will result in
further reserve fund draws, ultimately utilizing the whole reserve
fund.  The reserve fund is currently 30.8% of its required amount,
significantly reducing credit enhancement of the most junior
notes.

The Negative Outlooks on all but the most senior notes reflect
Fitch's concerns over the growing volume of loans in arrears or
possession in the transaction and the potential level of losses
that this may result in.  Further negative rating action will
occur if loss severity levels continue to increase, and if the
number of loans in arrears being repossessed increases.

The rating actions are:

Uropa Securities plc Series 2007-01B:

  -- Class A1a (ISIN XS0311801806): affirmed at 'AAA'; Outlook
     Stable; assigned a Loss Severity Rating of 'LS-2'

  -- Class A1b (ISIN XS0311805203): affirmed at 'AAA'; Outlook
     Stable; assigned a Loss Severity Rating of 'LS-2'

  -- Class A1c (ISIN XS0311806862): affirmed at 'AAA'; Outlook
     Stable; assigned a Loss Severity Rating of 'LS-2'

  -- Class A2b (ISIN XS0311807167): affirmed at 'AAA'; Outlook
     Stable; assigned a Loss Severity Rating of 'LS-2'

  -- Class A3a (ISIN XS0311807753): affirmed at 'AAA'; Outlook
     Stable; assigned a Loss Severity Rating of 'LS-2'

  -- Class A3b (ISIN XS0311808561): affirmed at 'AAA'; Outlook
     Stable; assigned a Loss Severity Rating of 'LS-2'

  -- Class A4a (ISIN XS0311809452): affirmed at 'AAA'; Outlook
     revised to Negative from Stable; assigned a Loss Severity
     Rating of 'LS-4'

  -- Class A4b (ISIN XS0311809882): affirmed at 'AAA'; Outlook
     revised to Negative from Stable; assigned a Loss Severity
     Rating of 'LS-4'

  -- Class M1a (ISIN XS0311810385): downgraded to 'A-' from 'AA-';
     Outlook revised to Negative from Stable; assigned a Loss
     Severity Rating of 'LS-5'

  -- Class M1b (ISIN XS0311811193): downgraded to 'A-' from 'AA-';
     Outlook revised to Negative from Stable; assigned a Loss
     Severity Rating of 'LS-5'

  -- Class M2a (ISIN XS0311813058): downgraded to 'BB' from 'A-';
     Outlook revised to Negative from Stable; assigned a Loss
     Severity Rating of 'LS-5'

  -- Class B1a (ISIN XS0311815855): downgraded to 'CCC' from
     'BBB'; assigned a Recovery Rating of 'RR2'

  -- Class B1b (ISIN XS0311816150): downgraded to 'CCC' from
     'BBB'; assigned a Recovery Rating of 'RR2'

  -- Class B2a (ISIN XS0311816408): downgraded to 'CC' from 'BB';
     assigned a Recovery Rating of 'RR3'

  -- Class D (ISIN XS0311819923): downgraded to 'C' from 'BB';
     assigned a Recovery Rating of 'RR6'

Fitch will continue to monitor the performance of these
transactions, and may take rating actions as deemed necessary.


WHISTLEJACKET CAPITAL: Moody's Corrects Release; Cuts Note Ratings
------------------------------------------------------------------
Moody's Investors Service has made a correction to its previous
rating release on  Whistlejacket Capital Limited.

                       Revised Release

Moody's Investors Service has downgraded and will withdraw the
Euro and US Medium Term Note Programme ratings of Whistlejacket
Capital Limited, a structured investment vehicle previously
managed by Standard Chartered Bank.  Receivers were appointed to
Whistejacket on Feb. 12, 2008, and the trustee, BNY Corporate
Trustee Services Limited, accelerated all outstanding debt on
Feb. 15, 2008 pursuant to the Trust Deed for the transaction.

On April 30, 2009, the Receivers of Whistlejacket announced they
had conducted an auction and liquidated a portion of the portfolio
achieving an aggregate price of 67.1% of the par amount of assets.
On May 8, 2009, the Receivers announced that, taking into account
the portfolio sale distribution and an earlier distribution, their
estimate is that holders of Senior Notes have recovered
approximately 71% of the total amount due on each senior note.
Moody's note that the Receiver expects to make a future
distribution.

The rating actions reflect the losses that have been crystallized
for holders of Whistlejacket's senior debt, based purely on the
announcements made to the Irish Stock Exchange.

The last rating action was taken following the acceleration of the
senior debt.  The B2 rating then assigned to the medium term notes
was based on the likelihood of a high recovery were the vehicle to
continue to avoid asset sales.  Whistlejacket had not liquidated
any portfolio assets prior to the auction on April 30, 2009; and
all interest and principal proceeds remaining after paying senior
expenses have been used to repay the senior creditors pro-rata.

Moody's analyzed this transaction using primarily the methodology
and its supplements for CDOs as described in Moody's Special
Reports below:

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

  -- Moody's Approach to Rating SF CDO (March 2009)

The rating actions are:

Whislejacket Capital Ltd and Whistlejacket Capital LLC

(1) Euro and US Medium Term Note Programmes

  -- Current Rating: C and Not Prime

  -- Prior Rating: B2 and Not Prime

  -- Prior Rating Date: 21 February 2008, downgraded to B2 and Not
     Prime from Ba2 and Not Prime.

Moody's expects to withdraw all assigned ratings upon confirmation
of the redemption or cancellation of outstanding notes.


* S&P Puts Ratings on 35 Tranches in 8 Euro CBMS Deals on WatchNeg
------------------------------------------------------------------
Standard & Poor's Ratings Services placed on CreditWatch negative
35 tranches in eight European commercial mortgage-backed
securities transactions.  At the same time, S&P kept on
CreditWatch negative 14 tranches in three European CMBS
transactions affected by this review and already on CreditWatch
negative for other reasons.

The affected tranches have a principal balance of about EUR2.3
billion (for euro-denominated transactions) and GBP2.9 billion
(for British-pound-sterling-denominated transactions).  The
CreditWatch placements affect approximately 61% (by number) of the
transactions that closed between July 1, 2007 and July 1, 2008.

These rating actions follow S&P's current review of all European
CMBS transactions.  Over the coming months, S&P will review
transactions that closed in each half-year period going back to
2005.  There are a small number of transactions that closed before
that date and they will be considered in a separate review.  The
next group to be reviewed will comprise transactions that closed
in the first half of 2007.

Commercial real estate debt and capital markets have been under
pressure over the past 18 months, with market value declines in
many markets led by a sharp increase in capitalization rates.  S&P
expects further downward pressure on values, with drops in net
operating income and falls in market rents likely as economic
activity contracts in Europe.  S&P believes that the difficulties
of the European banking sector and its disinclination to lend on
European commercial real estate collateral are well known.

S&P conducts ongoing surveillance of CMBS transactions.  However,
with a refinance peak in 2011 to 2013 in European CMBS, S&P intend
to have a special focus in this CreditWatch review on the updated
assessment of loan refinance risk.

Even though S&P continue to believe that class A notes will not
suffer an eventual loss, all else being equal, the risks to these
tranches have, in S&P's view, materially increased.  S&P consider
that downgrades, including of senior notes, could be possible in
future.

S&P currently expect to resolve the majority of the CreditWatch
actions in the sector, following a review of each CMBS
transaction, not later than September 30, 2009.  Based on the
available information, S&P does not currently expect the average
downgrade to exceed two rating categories.

In assigning CreditWatch placements, S&P apply its existing
criteria "Framework For Credit Analysis In European CMBS
Transactions" in the context of the article "Standard & Poor's To
Explicitly Recognize Credit Stability As An Important Rating
Factor".

                          Ratings List

              Ratings Placed on Creditwatch Negative

                     Duncannon CRE CDO I PLC
      EUR810 Million Senior and Mezzanine Deferrable-Interest
                       Floating-Rate Notes

                                   Rating
                                   ------
                Class      To                     From
                -----      --                     ----
                X          AA/Watch Neg           AA
                A          AA/Watch Neg           AA
                RCF        AA/Watch Neg           AA
                B          A/Watch Neg            A
                C1 Def     BBB/Watch Neg          BBB
                C2 Def     BBB-/Watch Neg         BBB-
                D1 Def     BB+/Watch Neg          BB+
                D2 Def     BB/Watch Neg           BB
                D3 Def     BB-/Watch Neg          BB-
                E1 Def     B/Watch Neg            B
                E2 Def     B-/Watch Neg           B-

                     Epic (Value Retail) Ltd.
   EUR338 Million Commercial Mortgage-Backed Floating-Rate Notes

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

                    Epic Opera (Arlington) Ltd.
   GBP800 Million Commercial Mortgage-Backed Floating-Rate Notes

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

                Prominent CMBS Conduit No. 2 Ltd.
  GBP454.3 Million Commercial Mortgage-Backed Floating-Rate Notes

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

               Taurus CMBS (Pan-Europe) 2007-1 Ltd.
  EUR549.95 Million and CHF0.1 Million Commercial Mortgage-Backed
                Floating-Rate Notes

                                   Rating
                                   ------
                Class      To                     From
                -----      --                     ----
                F          BB/Watch Neg           BB

           Ulysses (European Loan Conduit No. 27) PLC
  GBP429 Million Commercial Mortgage-Backed Floating-Rate Notes

                                   Rating
                                   ------
                Class      To                     From
                -----      --                     ----
                A          AAA/Watch Neg          AAA
                X1         AAA/Watch Neg          AAA
                B          AAA/Watch Neg          AAA
                C          AA/Watch Neg           AA
                D          A/Watch Neg            A
                E          BBB/Watch Neg          BBB

            Vulcan (European Loan Conduit No. 28) Ltd.
   EUR1,076.415 Million Commercial Mortgage-Backed Variable- and
                       Floating-Rate Notes

                                   Rating
                                   ------
                Class      To                     From
                -----      --                     ----
                D          A/Watch Neg            A
                E          BBB/Watch Neg          BBB
                F          BBB-/Watch Neg         BBB-
                G          BB/Watch Neg           BB

            Xuthus (European Loan Conduit No. 29) S.A.
   EUR695.05 Million Commercial Mortgage-Backed Floating-Rate and
                       Variable-Rate Notes

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

            Ratings Remaining on Creditwatch Negative

                   Diversity Funding No. 1 Ltd.
         GBP1,144.6 Million Variable Reference Rate Notes

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

                 Windermere XI CMBS PLC
GBP707.76 Million Commercial Mortgage-Backed Floating-Rate Notes

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

                    Windermere XIV CMBS Ltd.
  EUR1,111,885,000 Commercial Mortgage-Backed Floating-Rate Notes

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


* IMF Wants European Banks to Be Subjected to "Stress Tests"
------------------------------------------------------------
BBC News reports the International Monetary Fund (IMF) has called
for European banks to be subjected to "stress tests" like those
applied to US banks.

The report relates IMF's Europe director Marek Belka said such
tests would help restore confidence to the banking sector and get
banks to come clean on losses.  Mr. Belka, as cited in the report,
said national supervisors in each country should carry out the
tests.

IMF in its spring forecasts said Europe's advanced economies will
shrink by 4% in 2009 and 0.4% in 2010, while it expects Europe's
emerging economies to contract by 4.9% in 2009, before returning
to growth of 0.7% next year, the report discloses.

"Europe is facing the economic storm of a lifetime and it urgently
needs to weatherproof its institutions," the report quoted Mr.
Belka as saying.


* BOOK REVIEW: Performance Evaluation of Hedge Funds
----------------------------------------------------
Edited by Greg N. Gregoriou, Fabrice Rouah, and Komlan Sedzro
Publisher: Beard Books
Hardcover: 203 pages
Listprice: US$59.95
Review by Henry Berry

Hedge funds can be traced back to 1949 when Alfred Winslow Jones
formed the first one to "hedge" his investments in the stock
market by betting that some stocks would go up and others down.
However, it has only been within the past decade that hedge funds
have exploded in growth.  The rise of global markets and the
uncertainties that have arisen from the valuation of different
currencies have given a boost to hedge funds.  In 1998, there were
approximately 3,500 hedge funds, managing capital of about
US$150 billion.  By mid-2006, 9,000 hedge funds were managing
US$1.2 trillion in assets.

Despite their growing prominence in the investment community,
hedge funds are only vaguely understood by most people.
Performance Evaluation of Hedge Funds addresses this shortcoming.
The book describes the structure, workings, purpose, and goals of
hedge funds. While hedge funds are loosely defined as "funds with
no rules," the editors define these funds more usefully as
"privately pooled investments, usually structured as a partnership
between the fund managers and the investors."  The authors then
expand upon this definition by explaining what sorts of
investments hedge funds are, the work of the managers, and the
reasons investors join a hedge fund and what they are looking for
in doing so.

For example, hedge funds are characterized as an "important avenue
for investors opting to diversify their traditional portfolios and
better control risk" -- an apt characterization considering their
tremendous growth over the last decade.  The qualifications to
join a hedge fund generally include a net worth in excess of
US$1 million; thus, funds are for high net-worth individuals and
institutional investors such as foundations, life insurance
companies, endowments, and investment banks.  However, there are
many individuals with net worths below US$1 million that take part
in hedge funds by pooling funds in financial entities that are
then eligible for a hedge fund.

This book discusses why hedge funds have become "notorious as
speculating vehicles," in part because of highly publicized
incidents, both pro and con.  For example, George Soros made
US$1 billion in 1992 by betting against the British pound.
Conversely, the hedge fund Long-Term Capital Management (LTCP)
imploded in 1998, with losses totalling US$4.6 billion.
Nonetheless, these are the exceptions rather than the rule, and
the editors offer statistics, studies, and other research showing
that the "volatility of hedge funds is closer to that of bonds
than mutual funds or equities."

After clarifying what hedge funds are and are not, the book
explains how to analyze hedge fund performance and select a
successful hedge fund.  It is here that the book has its greatest
utility, and the text is supplemented with graphs, tables, and
formulas.

The analysis makes one thing clear: for some investors, hedge
funds are an investment worth considering.  Most have a
demonstrable record of investment performance and the risk is low,
contrary to common perception. Investors who have the necessary
capital to invest in a hedge fund or readers who aspire to join
that select club will want to absorb the research, information,
analyses, commentary, and guidance of this unique book.

Greg N. Gregoriou teaches at U. S. and Canadian universities and
does research for large corporations. Fabrice Rouah also teaches
at the university level and does financial research.  Komlan
Sedzro is a professor of finance at the University of Quebec and
an advisor to the Montreal Derivatives Exchange.

                            *********

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 * * *