TCREUR_Public/100121.mbx         T R O U B L E D   C O M P A N Y   R E P O R T E R

                           E U R O P E

          Thursday, January 21, 2010, Vol. 11, No. 014

                            Headlines



C Y P R U S

E-CLEAR PLC: Put Into Administration; Debts Estimated at GBP100MM


F R A N C E

PSA PEUGEOT: Cuts 5,700 French Jobs; 1,700 Workers Left Rennes


G E R M A N Y

HEIDELBERGCEMENT AG: Fitch Assigns 'BB-' Rating on Senior Notes
OLYMPIA FLEXGROUP: Files for Insolvency in Dusseldorf


H U N G A R Y

* HUNGARY: Number of Liquidation Procedures Up 37.14% in 2009


I C E L A N D

* ICELAND: To Hold Icesave Bill Referendum on March 6


I R E L A N D

ANGLO IRISH: Probe Could Take Several Months to Complete
BANK OF IRELAND: S&P Cuts Ratings on Capital Instruments to 'CC'
BANK OF IRELAND: Moody's Downgrades Ratings on Tier 1 to 'Caa1'
ERC IRELAND: S&P Puts 'B' Long-Term Rating on CreditWatch Negative
EVOLVE SOLID: Convoy Enterprise Files Winding-Up Petition

FENCORE SERVICES: Danske Bank Files Winding-Up Petition
FREE SPIRIT: Creditors Meeting Set for January 29
FS CITYWEST: Creditors Meeting Set for January 29
FS DROGHEDA: Creditors Meeting Set for January 29
FS DUNDRUM: Faces Winding-Up Petition From Gerard Harrahill

FS DUNDRUM: Creditors Meeting Set for January 29
FS SANDYFORD: Faces Winding-Up Petition From Gerard Harrahill
FS SANDYFORD: Creditors Meeting Set for January 29
HAYES OF ENNIS: Creditors Meeting Set for February 2
MILL FALLS: Creditors Meeting Set for January 29

OASIS INFORMATION: Creditors Meeting Set for January 29
SIAM THAI: Creditors Meeting Set for February 1


I T A L Y

IT HOLDING: Malo Brand Gets 10 Expressions of Interest
MARIELLA BURANI: Creditor Banks Seek "Recapitalization" Proposal


N E T H E R L A N D S

E-MAC DE: S&P Puts Four Credit Ratings on CreditWatch Negative


R U S S I A

ALROSA ZAO: Mulls IPOs for Two Mining Divisions to Repay Debt
GROUP HOLDING: S&P Affirms 'CCC+' Long-Term Corp. Credit Rating
NOVIKOMBANK ZAO: Moody's Assigns 'E+' Financial Strength Rating
VIMPEL-COMMUNICATIONS JSC: S&P Keeps 'BB+' Corporate Credit Rating
X5 RETAIL: Fourth Quarter Sales Up 23% to US$2.65 Billion


S L O V E N I A

CENTER NALOZBE: Seeks Court-Mandated Debt Settlement
ISTRABENZ D.D.: Collapse to Hit Petrol's 2009 Profits


S P A I N

NOZAR SA: Wants to Cancel EUR1.7 Bln Payments to Creditor Banks
REYAL URBIS: Debt Refinancing Talks with Creditor Banks Continue


S W E D E N

GENERAL MOTORS: Genii Capital Still Hopeful on Saab Deal


U K R A I N E

CENTRAL EUROPEAN MEDIA: Sells Ukrainian Operations for US$300MM
SHIDNO-EVROPEYSKYI: Central Bank Opts to Liquidate Business


U N I T E D   K I N G D O M

BRITISH AIRWAYS: JAL-Delta Deal Won't Affect Merger, Iberia Says
CITY SERVICES: Housing Association Acquires Halifax Site
CLARK STEPHEN: Shuts Downs After Going Into Administration
DOCDATA MEDIA: Goes Into Liquidation in the United Kingdom
DUBAI WORLD: Abu Dhabi's US$10-Bil. Funding Is "Half that Size"

GALA CORAL: Two Unsecured Creditors Mull Sale of GBP189 Mln Debt
MADOFF SECURITIES: Yacht Ownership Dispute Must Be Heard in France
PORTSMOUTH FOOTBALL: Fails to Block HMRC Winding-Up Petition
ROYAL BANK: Lays Off More Than 200 Technical Staff
WEST HAM: Sullivan, Gold Acquire 50% Stake From CB Holding

* UK: Financial Health of Businesses Improved in 2009


X X X X X X X X

* Upcoming Meetings, Conferences and Seminars




                         *********



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


E-CLEAR PLC: Put Into Administration; Debts Estimated at GBP100MM
-----------------------------------------------------------------
Mr. Justice Vos at the High Court on Tuesday approved the order
for the administration of E-Clear plc, following the failure of
the company to submit evidence of funds on Friday, January 15.

BDO has been appointed administrator.

Bruce Cartwright of PricewaterhouseCoopers LLP, Globespan's
administrator, said: "Over the last month we have sought financial
reassurance from E-Clear and are disappointed that the funds are
no longer there.  We will now work closely with BDO to maximize
the situation for Globespan creditors under exceptional
circumstances.

"Those who bought services on credit card or visa debit, that have
not been supplied, will continue to be protected by consumer card
legislation and should contact their credit card issuer."

Peter Jones and Michael Herman at The Times report that E-Clear
collapsed with debts estimated at GBP100 million, nearly three
times the amount owed to Globespan.

According to the Times, papers shown to the High Court in London
Tuesday said that E-Clear had less than GBP10 million in two bank
accounts, while the personal account of Elias Elia, the owner, was
empty.

The Times says investigators for BDO, the accountancy firm
appointed by the court to administer E-Clear, are now looking for
GBP90 million and trying to establish whether Globespan was the
victim of fraud or incompetence.

E-Clear was not represented in court Tuesday, the Times relates.
Simon Mortimer, QC, for PwC, said that E-Clear had not complied
with an order made by the court last week to prove that it had the
GBP35 million owed to Globespan, the Times recounts.

E-Clear's role was to process credit card payments made mainly by
holidaymakers and eventually to pass the money collected to travel
companies such as Globespan, the Times discloses.  However, at
some point last year the payments to travel firms dried up,
causing many to collapse, the Times recalls.

Apart from Globespan and Slovakia's SkyEurope, another potentially
large creditor identified by The Times is Sunwing, a tour operator
based in Toronto, the Times says.  Lubomir Bugan, an accountant in
Bratislava appointed to administer SkyEurope, said that the
airline was owed EUR6.3 million (GBP5.5 million) by E-Clear, while
a spokesman for Sunwing, which stopped using E-Clear in May,
declined to say how the company was owed, the Times notes.

Based in Cyprus E-Clear is a credit-card processing firm.


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


PSA PEUGEOT: Cuts 5,700 French Jobs; 1,700 Workers Left Rennes
--------------------------------------------------------------
Laurence Frost at Bloomberg News reports that PSA Peugeot Citroen
has eliminated 5,700 French jobs, exceeding a target of 3,550
voluntary departures announced last year.

Bloomberg relates Peugeot spokesman Pierre-Olivier Salmon on
Tuesday said a total of 1,700 workers have left Peugeot's factory
in Rennes, western France, where the manufacturer targeted 850
buyouts as it closed an assembly line last year.  Mr. Salmon, as
cited by Bloomberg, said the French voluntary-departure offer
remains open to workers at the site until March 31.

Bloomberg recalls about 4,000 jobs have been eliminated among the
rest of Peugeot's French workforce, which stood at 104,465
employees as of June 30, representing 55% of the global staff.

Bloomberg says Peugeot is cutting costs as it seeks to narrow the
five-percentage point gap in profit margin with rivals such as
Volkswagen AG and Daimler AG, based on 2008 earnings.

As reported by the Troubled Company Reporter-Europe on Jan. 19,
2010, Bloomberg News said Peugeot and Mitsubishi Motors Corp.'s
managers met last week in Tokyo to negotiate a deal that may give
the French carmaker a controlling stake in the Japanese company.
According to Bloomberg, two people familiar with the matter said a
transaction would involve a share swap.  Bloomberg said acquiring
a Mitsubishi stake may stretch finances at Peugeot, which had
EUR2 billion (US$2.9 billion) in net industrial debt as of June 30
and bonds rated below investment grade by Standard & Poor's.  PSA
Peugeot is rated BB+ by Standard & Poor's.

PSA Peugeot Citroen S.A. -- http://www.psa-peugeot-citroen.com/
-- is a France-based manufacturer of passenger cars and light
commercial vehicles.  It produces vehicles under the Peugeot and
Citroen brands.  In addition to its automobile division, the
Company includes Banque PSA Finance, which supports the sale of
Peugeot and Citroen vehicles by financing new vehicle and
replacement parts inventory for dealers and offering financing and
related services to car buyers; Faurecia, an automotive equipment
manufacturer focused on four component families: seats, vehicle
interior, front end and exhaust systems; Gefco, which offers
logistics services covering the entire supply chain, including
overland, sea and air transport, industrial logistics, container
management, vehicle preparation and distribution, and customs and
value added tax (VAT) representation, and Peugeot Motocycles,
which manufactures scooters and motorcycles.  In 2008, PSA Peugeot
Citroen S.A. sold over 3.2 million vehicles in 150 countries
worldwide.


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


HEIDELBERGCEMENT AG: Fitch Assigns 'BB-' Rating on Senior Notes
---------------------------------------------------------------
Fitch Ratings has assigned HeidelbergCement AG's EUR650 million
6.5% five-year and EUR750 million 7.5% 10-year notes final senior
unsecured ratings of 'BB-'.  This follows the review of final
documents, which conform to information already received.  The
final ratings are in line with HC's Long-term Issuer Default
Rating of 'BB-'.  HC's Short-term IDR is 'B'.  The Outlook on the
Long-term IDR is Positive.

The proceeds of the notes will be used to partly repay the secured
syndicated facility maturing in December 2011.  The facility had
been reduced to just over EUR2.3 billion from about EUR6.5 billion
following the EUR2.5 billion notes issue in October 2009 and the
EUR2.25 billion new equity issue in September 2009.

Fitch upgraded HC's Long-term IDR to 'BB-' from 'B' on 21 October
2009 and assigned a Positive Outlook to the Long-term IDR.  The
upgrade reflected a material reduction in the company's
refinancing risk.  The Positive Outlook reflects Fitch's
expectations that HC would progressively improve its credit
metrics, including net leverage, over the following 24 months.
This would be driven by moderate free cash flow generation, as a
result of continued cost reduction measures and containment of
capex.


OLYMPIA FLEXGROUP: Files for Insolvency in Dusseldorf
-----------------------------------------------------
Mariajose Vera at Bloomberg News reports that Olympia Flexgroup AG
filed for the opening of insolvency proceedings at a Dusseldorf
court.

Bloomberg relates the company in a statement distributed by the
DGAP newswire Tuesday the operating subsidiaries Olympia
Personaldienstleistungen Deutschland GmbH, Olympia European
Service Center B.V. and Olympia Nederland B.V. are not affected by
the filing.

Olympia Flexgroup AG -- http://www.olympiaflexgroup.com/-- is a
European personnel services company.


=============
H U N G A R Y
=============


* HUNGARY: Number of Liquidation Procedures Up 37.14% in 2009
-------------------------------------------------------------
The number of voluntary and compulsory liquidation procedures rose
37.14% yr/yr to 29,136 in Hungary last year, MTI Econews reports,
citing the Hungarian unit of French credit-insurance company
Coface.

According to the report, Coface said that the number of compulsory
liquidations rose 30% in Hungary last year, while the number of
voluntary liquidations rose 44%.

The number of filings for bankruptcy protection rose sevenfold to
120 last year as a result of a change in the country's bankruptcy
law, the report notes.

Coface said the greatest number of 2009 liquidation procedures
were initiated against retail- and wholesale-trade companies,
which accounted for 24% of all liquidation procedures last year,
followed by construction-industry companies, which accounted for
20% of all liquidation procedures, the report discloses.


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


* ICELAND: To Hold Icesave Bill Referendum on March 6
-----------------------------------------------------
BBC News reports that Iceland has confirmed it will hold a
referendum on March 6 on whether to repay the U.K. and the
Netherlands debts owed from the collapse of Icesave bank.

As reported by the Troubled Company Reporter-Europe on Jan. 20,
2010, Bloomberg News, citng Svenska Dagbladet, disclosed Iceland's
Finance Minister Steingrimur Sigfusson warned of the consequences
of a 'no' vote in the Icesave referendum.  According to Bloomberg,
Mr. Sigfusson told the newspaper the issue was too complex to be
put to popular vote and that he hoped a new agreement could be
reached through talks with Britain and the Netherlands.

As reported by the Troubled Company Reporter-Europe on Jan. 18,
2010, Bloomberg News said Iceland's opposition parties aren't
likely to strike a new depositor accord with the government and
want the current bill put to a referendum that most polls show
voters will reject.

"I don't support" the current bill "being cancelled at this point
in time," Bloomberg quoted Bjarni Benediktsson, chairman of the
opposition Independence Party that governed Iceland when its banks
collapsed more than a year ago, as saying in an interview.  "At
the moment, there are no new proposals on the table on behalf of
the opposition or the government."  Mr. Benediktsson, as cited by
Bloomberg, said "In order for the opposition to be a part of any
deal, we need to see some substantial changes to the agreement."

Bloomberg recalled President Olafur R. Grimsson on Jan. 5 blocked
the so-called Icesave depositor bill that had set out to restore
relations with the U.K. and Netherlands and keep emergency loans
flowing.  Mr. Benediktsson's party rejected the current bill,
which obliges Iceland to guarantee a US$5.5 billion loan from the
U.K. and Netherlands to cover depositor claims stemming from the
failure of Landsbanki, Bloobmerg disclosed.

According to The Daily Telegraph's Rowena Mason the financial aid
for Iceland looks set to be delayed by its failure to reach a
GBP2.3 billion compensation deal with Britain and the Netherlands
over its collapsed Icesave accounts.


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


ANGLO IRISH: Probe Could Take Several Months to Complete
--------------------------------------------------------
Geoff Percival at Irish Examiner reports that the Joint Oireachtas
Committee on Enterprise, Trade and Employment heard Tuesday that
the high-level investigation into dealings at Anglo Irish Bank
prior to its nationalization last year is likely to continue for
several months before reaching a conclusion.

"We don't know how many months, precisely, but there are several
more months worth of work to complete," the report quoted Paul
Appleby, director of corporate enforcement, as saying.

According to the report, Mr. Appleby said the Anglo investigation
is "the biggest and most complex" probe undertaken by his office.

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

                           *     *     *

As reported by the Troubled Company Reporter-Europe on Nov. 9,
2009, Fitch affirmed Anglo Irish Bank Corporation Ltd.'s
individual rating at 'E'.


BANK OF IRELAND: S&P Cuts Ratings on Capital Instruments to 'CC'
----------------------------------------------------------------
Standard & Poor's Ratings Services said that it lowered its
ratings on deferrable capital instruments issued by Bank of
Ireland (the trading name of the Governor and Company of the Bank
of Ireland; A/Watch Neg/A-1) to 'CC' from 'CCC'.

This action follows the announcement by BOI that, at the request
of the European Commission, BOI is deferring all coupon payments
which it is not legally obliged to pay.  The EC has indicated
that, in line with its policy and pending its assessment of BOI's
restructuring plan, BOI should not make coupon payments on its
Tier 1 and upper Tier 2 capital instruments unless under a binding
legal obligation to do so.  BOI has agreed to this request by the
EC.

S&P has lowered the ratings on all of BOI's rated Tier 1 and upper
Tier 2 instruments to 'CC' as a result of BOI's stated intention
to defer upcoming payments and also S&P's understanding that the
hybrid instrument on which the next coupon payment is due -- the
$800 mil. perpetual preferred securities issued by BOI Capital
Funding (No.  2) LP -- contains optional deferral language and
also a dividend stopper clause.  In S&P's view, the latter appears
to require that nonpayment of coupons on this instrument triggers
nonpayment on parity and junior instruments.  S&P will lower the
issue ratings to 'C' as coupon dates are passed.

BOI said in its announcement that the cessation of distributions
on capital instruments triggers coupon suspension on the
EUR3.5 billion government preference shares injected by the Irish
government in March 2009.  The next coupon on this instrument is
due on Feb. 20, 2010.  In the event that coupons are not paid, BOI
must settle shares in lieu no later than upon resumption of other
junior coupons and dividends.  BOI has said that, together with
the Irish Ministry of Finance, it is in discussions with the EC
regarding this matter, as part of its wider discussions on the
bank's restructuring plan.

                           Ratings List

                          Bank of Ireland
          US$150 mil. 6.187% hybrid (ISIN: IE0000750319)
                 (next coupon due March 30, 2010)

                     To                From
                     --                ----
                     CC                CCC

                GBP18.761 mil. 12% non-cum pfd stk
       (ISIN: IE0000730808) (next coupon due Feb. 20, 2010)

                     To                From
                     --                ----
                     CC                CCC

            EUR63.487 mil. pfd stk (ISIN: IE0000730790)
                 (next coupon due Feb. 20, 2010)

                     To                From
                     --                ----
                     CC                CCC

                  BOI Capital Funding (No.1) LP
         EUR600 mil. 6.25% fxd/var non-cum perp callable*
       (ISIN: XS0213178295) (next coupon due March 3, 2010)

                     To                From
                     --                ----
                     CC                CCC

                  BOI Capital Funding (No.2) LP
      US$800 mil./fltg rate gtd non-voting non-cum callable
           perp pfd secs hybrid* (ISIN: US055967AA11)
                  (next coupon due Feb. 1, 2010)

                     To                From
                     --                ----
                     CC                CCC

                  BOI Capital Funding (No.3) LP
       US$400 mil./fltg rate gtd non-voting non-cum callable
           perp pref secs hybrid* (ISIN: US05568AAA88)
                  (next coupon due Feb. 4, 2010)

                     To                From
                     --                ----
                     CC                CCC

                  BOI Capital Funding (No.4) LP
    GBP500 mil. var rate fxd/fltg rate gtd non-voting non-cum
               perp pref secs* (ISIN: XS0268599999)
                 (next coupon due April 3, 2010)

                     To                From
                     --                ----
                     CC                CCC

                  Bank of Ireland UK Holdings PLC
        EUR600 mil step-up callable perp pfd secs hybrid*
      (ISIN: XS0125611482) (next coupon due March 7, 2010)

                     To                From
                     --                ----
                     CC                CCC

         GBP350 mil. 6.25% callable perp pfd secs hybrid*
       (ISIN: XS0165122655) (next coupon due March 7, 2010)

                     To                From
                     --                ----
                     CC                CCC

           * Subordinated guarantee by Bank of Ireland.


BANK OF IRELAND: Moody's Downgrades Ratings on Tier 1 to 'Caa1'
---------------------------------------------------------------
Moody's Investors Service has downgraded the non-cumulative Tier 1
instruments issued directly and indirectly by Bank of Ireland to
Caa1 (stable outlook) from B3 (negative outlook).  The rating
action follows the bank's announcement of January 19 that it will
not pay the upcoming distribution on two non-cumulative perpetual
preferred securities.

The bank's cumulative Tier 1 securities and junior subordinated
debt were affirmed at B1 (negative outlook) and Ba3 (negative
outlook) respectively.  The other ratings of the bank including
the D BFSR, the A1 long-term bank deposit and senior debt rating,
the A2 dated subordinated debt rating, the Ba3 junior subordinated
debt rating, and the Aa1-rated government guaranteed debt were all
unaffected.

Bank of Ireland announced on January 19, 2010, that the European
Commission has requested that the bank should not make payments on
its Tier 1 and Upper Tier 2 capital instruments unless it has a
legal obligation to do so.  Bank of Ireland has been required to
submit a restructuring plan due to the substantial State Aid that
it has received over the past year, in the form of the
EUR3.5 billion preference share injection into the bank by the
Irish government.  In addition the bank will also be a major
participant in the National Asset Management Agency (NAMA), an
asset management company that will acquire land and development
loans, as well as related lending, from five Irish institutions.
The restructuring plan is currently lodged with the European
Commission.

As a result of this the bank will not pay the upcoming
distributions on the US$800 million non-cumulative perpetual
preferred securities issued by BOI Capital Funding (No. 2) and on
the US$400 million non-cumulative perpetual preferred securities
issued by BOI Capital Funding (No. 3).  The non-payment of these
distributions will trigger the "dividend stopper" on these
securities and therefore the bank will also be unable to declare
or pay distributions, for one calendar year, on its ordinary
equity, the EUR3.5 billion of preference shares issued to the
Irish government, and on "junior share capital" or "parity
securities" which includes the Tier 1 securities issued out of BOI
Capital Funding (No. 1) and BOI Capital Funding (No. 4), the
preference stock issued out of the bank itself and the cumulative
preferred securities issued through Bank of Ireland UK Holdings
plc.

The downgrade of the non-cumulative instruments last year to B3
was based on an expected-loss approach and reflected Moody's
assumption that the bank would likely omit coupons for at least a
two-year period, in line with other European bank's that have
benefited from substantial State Aid.  The further downgrade by
one notch to Caa1 incorporates i) the certainty achieved about the
coupon deferrals as well as ii) the remaining uncertainty about
the bank's financial strength beyond the 2-year time horizon,
which also adds uncertainty about future coupon payments.  The
outlook for the securities is stable reflecting Moody's
conservative expected loss assumptions in terms of the likelihood
and time horizon of missed coupons, as well as the lower
sensitivity of these instruments to the bank's intrinsic financial
strength.

The cumulative preferred securities (with non-cash settlement
through ACSM), issued through Bank of Ireland UK Holdings plc, and
the cumulative junior subordinated debt of the bank, remain rated
at B1 and Ba3 respectively.  The cumulative tier 1 securities have
largely the same features as junior subordinated debt on a going
concern basis, but rank with preferred securities in liquidation.
Under a going concern assumption, the expected loss for investors
in both the cumulative preferred securities and the junior
subordinated debt should therefore be clearly lower than for the
non-cumulative preference shares.

Moody's notes that the terms of the preference shares issued to
the Irish government means that the holder of these securities
(the National Pensions Reserve Fund Commission of Ireland) becomes
entitled to be issued with ordinary stock of Bank of Ireland in
lieu of the cash dividend that is expected now not to be paid.
However Bank of Ireland's discussions with the Commission are
ongoing and therefore it is not certain that this will be the
final outcome.

Correction Of Bank Of Ireland Preference Stock:

Moody's has also corrected the rating of the Bank of Ireland
preference stock (ISIN: IE0000730808 and IE0000730790).  These
securities had been identified as cumulative tier 1 instruments
instead of non-cumulative tier 1 instruments and therefore on 4
June 2009 should have been downgraded with non-cumulative
preference stock from B1 to B3.  Instead the rating of these
securities was mistakenly affirmed at B1.

These securities have also been downgraded to Caa1, in line with
the other non-cumulative preference stock of the bank.

Ratings Affected:

These securities were downgraded to Caa1 (stable outlook)

* Bank of Ireland preference stock GBP50 million (ISIN:
  IE0000730808)

* Bank of Ireland preference stock EUR66 million and EUR 40million
  (ISIN:IE0000730790)

* BOI Capital Funding (No. 1) preferred securities EUR600 million
  (ISIN: XS0213178295)

* BOI Capital Funding (No. 2) preferred securities US$800 million
  (ISIN: US055967AA11)

* BOI Capital Funding (No. 3) preferred securities US$400 million
  (ISIN: US05568AAA88)

* BOI Capital Funding (No. 4) preferred securities GBP500 million
  (ISIN: XS0268599999)

The last rating action on Bank of Ireland was on September 9,
2009, when the bank's junior subordinated debt was downgraded to
Ba3 (negative outlook) from Baa3 (stable outlook).

Based in Dublin, Ireland, Bank of Ireland reported total assets of
EUR184.3 billion as of September 30, 2009.


ERC IRELAND: S&P Puts 'B' Long-Term Rating on CreditWatch Negative
------------------------------------------------------------------
Standard & Poor's Ratings Services said that it has placed on
CreditWatch with negative implications its 'B' long-term corporate
credit ratings on ERC Ireland Preferred Equity Ltd., ERC Ireland
Finance Ltd., and ERC Ireland Holdings Ltd., the parent companies
of leading Ireland-based telecommunications provider eircom Group
Ltd. (eircom; not rated).  The group reported total debt of
EUR3.6 billion and unrestricted cash of EUR217 million on
Sept. 30, 2009.

"The rating action reflects S&P's opinion that various financial
covenants present in ERCIF's senior secured facilities could be
breached over the coming three to four quarters, and S&P's
concerns about a potential lack of appropriate or timely measures
being taken to prevent this from occurring," said Standard &
Poor's credit analyst Xavier Buffon.

S&P thinks that the range of feasible measures to address this
situation could be narrowed, and the risk of breach increased, by
the current challenging combination of ongoing revenue pressures,
tough competition and regulatory scrutiny, restructuring measures
and fixed outlays required to preserve operating margins and
market positions, and possible future cash contributions to fund
the pension deficit.

In addition, S&P is uncertain regarding the future orientation of
strategy and financial policy to be set by the new owner
(Singapore Technologies Telemedia Pte. Ltd.; not rated), which S&P
think, although not necessarily negative per se compared with
previously, may further delay any timely measure to address the
covenant situation.

"At this stage, S&P think that any low-single-digit sequential
erosion in revenues in the next quarters, assuming roughly flat
margins, could be enough for at least one financial covenant to be
breached in about one year, given that limits will step down,"
said Mr. Buffon.

To resolve the CreditWatch status, S&P will seek more information
from management regarding the future headroom levels it foresees
and possible measures it may contemplate to address any risk of
covenant breach.  Should S&P conclude that risks of breach within
one year or so remain significant, and that appropriate, timely,
and non-credit-dilutive measures are unlikely to occur to address
the situation, S&P could lower the ratings.


EVOLVE SOLID: Convoy Enterprise Files Winding-Up Petition
---------------------------------------------------------
Convoy Enterprise Centre Limited has filed a petition to wind up
Evolve Solid Surface Limited.  The petitioner's solicitor is Canny
Corbett Solicitors.

The winding-up petition will be heard on February 1, 2010.

The registered address of Evolve Solid Surface Limited is at:

          Unit 5E
          Convoy Enterprise Centre
          Convoy
          Co. Donegal
          Ireland


FENCORE SERVICES: Danske Bank Files Winding-Up Petition
-------------------------------------------------------
Danske Bank A/S trading as National Irish Bank has filed a
petition to wind up Fencore Services Limited.  The petitioner's
solicitor is McCann Fitzgerald.

The winding-up petition will be heard on February 8, 2010.

The registered address of Fencore Services Limited is at:

         24 Clonskeagh Road
         Dublin 6
         Ireland


FREE SPIRIT: Creditors Meeting Set for January 29
-------------------------------------------------
A meeting of creditors of Free Spirit and Beauty Limited will take
place at 9:00 a.m. on January 29, 2010 at:

         The Harcourt Hotel
         60 Harcourt Street
         Dublin 2
         Ireland

The registered address of the company is at:

         Unit 1
         Custom House Square
         Dublin 1
         Ireland


FS CITYWEST: Creditors Meeting Set for January 29
-------------------------------------------------
A meeting of creditors of FS Citywest Limited will take place at
10:00 a.m. on January 29, 2010 at:

         The Harcourt Hotel
         60 Harcourt Street
         Dublin 2
         Ireland

The registered address of the company is at:

         Unit 27
         Citywest Shopping Centre
         Citywest
         Dublin 24
         Ireland


FS DROGHEDA: Creditors Meeting Set for January 29
-------------------------------------------------
A meeting of creditors of FS Drogheda Limited will take place at
11:00 a.m. on January 29, 2010 at:

         The Harcourt Hotel
         60 Harcourt Street
         Dublin 2
         Ireland

The registered address of the company is at:

         Unit 22
         Laurence Town Centre
         Drogheda
         Co. Louth
         Ireland


FS DUNDRUM: Faces Winding-Up Petition From Gerard Harrahill
-----------------------------------------------------------
Gerard Harrahill has filed a petition to wind up FS Dundrum
Limited.  The petitioner's solicitor is Frances Cooke.

The winding-up petition will be heard on February 1, 2010.

The registered address of is at:

         4th Floor
         Dundrum Shopping Centre
         Dundrum
         Dublin 14
         Ireland


FS DUNDRUM: Creditors Meeting Set for January 29
------------------------------------------------
A meeting of creditors of FS Dundrum Limited will take place at
9:30 a.m. on January 29, 2010 at:

         The Harcourt Hotel
         60 Harcourt Street
         Dublin 2
         Ireland

The registered address of the company is at:

         4th Floor
         Dundrum Shopping Centre
         Dundrum
         Dublin 14
         Ireland


FS SANDYFORD: Faces Winding-Up Petition From Gerard Harrahill
-------------------------------------------------------------
Gerard Harrahill has filed a petition to wind up FS Sandyford
Limited.  The petitioner's solicitor is Frances Cooke.

The winding-up petition will be heard on February 1, 2010.

The registered address of is at:

         Unit 1A
         Beacon South Quarter
         Sandyford
         Dublin 18
         Ireland


FS SANDYFORD: Creditors Meeting Set for January 29
--------------------------------------------------
A meeting of creditors of FS Sandyford Limited will take place at
10:30 a.m. on January 29, 2010 at:

         The Harcourt Hotel
         60 Harcourt Street
         Dublin 2
         Ireland

The registered address of the company is at:

         Unit 1A
         Beacon South Quarter
         Sandyford
         Dublin 18
         Ireland


HAYES OF ENNIS: Creditors Meeting Set for February 2
----------------------------------------------------
A meeting of creditors of Hayes of Ennis Limited will take place
at 3:30 p.m. on February 2, 2010 at:

         Auburn Hotel
         Gort Road
         Ennis
         Co. Clare
         Ireland

The registered address of the company is at:

         C/o Mitsubishi Motors
         Kilrush Road
         Ennis
         Co. Clare
         Ireland


MILL FALLS: Creditors Meeting Set for January 29
------------------------------------------------
A meeting of creditors of Mill Falls Developments Limited will
take place at 4:30 p.m. on January 29, 2010 at:

         The Devon Inn Hotel
         Templeglantine
         Limerick
         Ireland

The registered address of the company is at:

         Courtenay House Hotel
         Newcastle West
         Co. Limerick
         Ireland


OASIS INFORMATION: Creditors Meeting Set for January 29
-------------------------------------------------------
A meeting of creditors of Oasis Information Systems Limited will
take place at 2:30 p.m. on January 29, 2010 at the offices of:

         Michael O'Hanlon & Company
         Main Street
         Loughrea
         Co. Galway
         Ireland

The registered address of the company is at:

         Main Street
         Loughrea
         Co. Galway
         Ireland


SIAM THAI: Creditors Meeting Set for February 1
-----------------------------------------------
A meeting of creditors of Siam Thai Restaurant Southside Limited
will take place at 3:00 p.m. on February 1, 2010 at:

         The Holiday Inn Hotel
         98-107 Pearse Street
         Dublin 2
         Ireland

The registered address of the company is at:

         21 Brehons Chair
         Kellystown Road
         Rathfarnham
         Dublin 16
         Ireland


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


IT HOLDING: Malo Brand Gets 10 Expressions of Interest
------------------------------------------------------
Paola Longo and Jennifer Clark at Dow Jones Newswires report that
IT Holding SpA on Tuesday filed the necessary paperwork to sell
its cashmere brand, Malo.

According to Dow Jones, Stanislao Chimenti, one of three
commissioners hired by the government to oversee the Italian
fashion group's turnaround plan, said the company has received
about 10 expressions of interest to buy Malo.

Dow Jones notes that no date for the Malo auction has been set,
but Mr. Chimenti hopes it can take place by mid-February.

Citing people familiar with the situation, Dow Jones says most of
the interested bidders for Malo are Italian clothing manufacturers
or private equity firms.

Malo, a luxury cashmere knitwear brand set up in Florence in 1972,
has about 150 staff and 13 shops, including one on Madison Avenue
in New York, Dow Jones discloses.

The sale is subject for approval by the Industry Ministry, Dow
Jones states.

As reported by the Troubled Company Reporter-Europe, IT Holding
was granted bankruptcy protection in February along with all of
its units after failing to make payments to lenders and suppliers.

                       About IT Holding SpA

Based in Milan, Italy, IT Holding SpA (BIT:ITH) --
http://www.itholding.com/-- operates in the luxury goods market.
The company and its subsidiaries design, produce and distribute
apparel, accessories, eyewear and perfumes.  Its brand portfolio
embraces: owned brands, Gianfranco Ferre, Malo, Exte, as well as
licensed brands, Versace Jeans Couture, Versace Sport, Just
Cavalli, C'N'C Costume National and Galliano.  The company's
production facilities are located in Italy.  IT Holding SpA has a
worldwide distribution network, including 39 directly operated
stores, 274 monobrand stores and over 6,000 department and
specialty stores.  In order to be present in the most significant
markets, IT Holding SpA has dedicated market companies: ITTIERRE
SpA, ITTIERRE France SA, ITTIERRE Moden GmbH, IT USA HOLDING Inc
and IT Asia Pacific Limited, among others.


MARIELLA BURANI: Creditor Banks Seek "Recapitalization" Proposal
----------------------------------------------------------------
Armorel Kenna at Bloomberg News, citing newswire Ansa, reports
that Mariella Burani Fashion Group SpA's creditor banks asked for
a "recapitalization" proposal this week from the company, which
has EUR500 million (US$710 million) of debt.

According to Bloomberg, the Italian newswire said the banks are
scheduled to meet today, Jan. 21.

Mariella Burani Fashion Group SpA -- http://www.mariellaburani.it/
-- is an Italy-based company, operating in the fashion market.  It
designs, produces and distributes a range of apparel, knitwear,
leather accessories, jewelry and footwear.  The Company divides
its operation into four divisions: Clothing Division, Leather
Division, Digital Fashion and Fashion Jewellery.  The Company's
brand portfolio comprises the Company's own brands, such as
Mariella Burani, Rene Lezard, Amuleti J, Blossom Burani, Ter et
Bantine, Braccialini, FrancescoBiasia, Baldinini, Coccinelle,
Sebastian, Facco Gioielli, Valente, Rosato and Calgaro, among
others, and the licensed brands: Vivienne Westwood (Anglomania),
Emmanuel Ungaro (Fuchsia), Alviero Martini, Thierry Mugler
(Mugler), Patrizia Pepe (bimbo), Missoni, Warner Bros, Miss Sixty,
Sweet Years, Gherardini e John Galliano, among others.  Among the
subsidiaries there are: Mariella Burani Retail Srl, Antichi
Pelletteri SpA, Coccinelle Store France SA and Mandarina Duck
Gmbh.


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


E-MAC DE: S&P Puts Four Credit Ratings on CreditWatch Negative
--------------------------------------------------------------
Standard & Poor's Ratings Services placed on CreditWatch negative
its credit ratings on the 18 classes in four GMAC-RFC Servicing
GmbH transactions: E-MAC DE 2005-I B.V., E-MAC DE 2006-I B.V., E-
MAC DE 2006-II B.V., and E-MAC DE 2007-I B.V.  At the same time,
the ratings on the class E notes in each transaction remain
unaffected.

S&P based the actions on historically poor performance in these
transactions compared with the rest of the German market.

This is shown by the total arrears figures for the loan portfolios
in each E-MAC DE transaction.  At the end of December, arrears
were between 9.6% and 13.1%, compared with about 3.0%-4.0% in the
rest of the market.  Also, the low constant prepayment rates of
between 1% and 4% compared with roughly 10% typically seen in
other German transactions suggests that the borrowers in these
transactions are struggling to re-mortgage.

According to S&P's understanding of the German mortgage market,
the main reason the borrowers in these transactions are struggling
to re-mortgage is due to their high loan-to-value ratios.  At the
time of the loans' origination, S&P understand that only a few
German originators would lend above an LTV ratio of 90% (mainly
GMAC-RFC Servicing GmbH).  From what S&P currently see in the
German market, there is effectively no-one operating in the high
LTV market.

The poor historical performance of these loans has led us to
revise S&P's approach to calculating the foreclosure frequency on
the mortgage loans in GMAC-RFC's transactions.

As seen in the E-MAC DE 2009-1 B.V.  transaction, for example, S&P
applied higher multiples to S&P's base foreclosure frequency for
the higher LTV ratio loans, and, in its 'AAA' rating scenarios,
S&P reduced (by applying a haircut) the market valuations of the
properties.

Due to the long foreclosure process in the German market (24-30
months from when the loan is first overdue) S&P is now starting to
see losses come through in these transactions.  In the most recent
period, E-MAC DE 2006-I drew on its reserve, and S&P expects
losses to increase across the transactions as the loans that fell
into arrears (from mid-2007 through the recession period) work
through their foreclosure process.

S&P expects to resolve the CreditWatch placements over the next 90
days, in which time S&P will perform a full credit and cash flow
analysis.

GMAC-RFC's German mortgage loans back the E-MAC DE transactions.
GMAC-RFC predominantly made the loans to borrowers unable to
achieve mainstream lending due largely to high LTV ratios.

                           Ratings List

                       E-MAC DE 2005-I B.V.
       EUR301.5 Million Mortgage-Backed Floating-Rate Notes

              Ratings Placed On CreditWatch Negative

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

                        Rating Unaffected

                        Class       Rating
                        -----       ------
                        E           B

                       E-MAC DE 2006-I B.V.
       EUR502.5 Million Mortgage-Backed Floating-Rate Notes

              Ratings Placed On CreditWatch Negative

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

                        Rating Unaffected

                        Class       Rating
                        -----       ------
                        E           B

                      E-MAC DE 2006-II B.V.
       EUR703.5 Million Mortgage-Backed Floating-Rate Notes

              Ratings Placed On CreditWatch Negative

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

                        Rating Unaffected

                        Class       Rating
                        -----       ------
                        E           B

                       E-MAC DE 2007-I B.V.
       EUR569.9 Million Mortgage-Backed Floating-Rate Notes

              Ratings Placed On CreditWatch Negative

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

                        Rating Unaffected

                        Class       Rating
                        -----       ------
                        E           B


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


ALROSA ZAO: Mulls IPOs for Two Mining Divisions to Repay Debt
-------------------------------------------------------------
Ilya Khrennikov at Bloomberg News reports that ZAO Alrosa may hold
initial public offerings for at least two mining divisions to fund
projects and repay debt.

According to Bloomberg, Alrosa spokesman Andrei Polyakov on
Tuesday said the state diamond monopoly is considering IPOs and
bond sales for OAO Alrosa-Nurba, operating in Siberia, and OAO
Alrosa-Africa, with mines in Angola.  Bloomberg relates Mr.
Polyakov said OAO Severalmaz, in northern Russia, may sell shares
publicly or through a private placement.

Bloomberg recalls Alrosa said last month it had RUR112 billion
(US$3.8 billion) of borrowings, while it planned to sell RUR44
billion of bonds in 2010 and may offer dollar-denominated debt.

                           About Alrosa

ALROSA Company Ltd. -- http://eng.alrosa.ru/eng/-- is Russia's
largest diamond company engaged in the exploration, mining,
manufacture and sales of diamonds and one of the world's major
rough diamond producers.  ALROSA produces about 20% of the world's
rough diamond output and accounts for almost 100% of all rough
diamonds produced in Russia.

                          *     *     *

ALROSA Co. Ltd. continues to carry a 'BB-' long-term corporate
credit rating from Standard & Poor's Ratings Services.


GROUP HOLDING: S&P Affirms 'CCC+' Long-Term Corp. Credit Rating
---------------------------------------------------------------
Standard & Poor's Ratings Services said that it had affirmed its
'CCC+' long-term corporate credit and 'ruBB' Russia national scale
ratings on Russian fruit distributor JFC Group Holding Ltd. (BVI).

The ratings were subsequently withdrawn at JFC Group's request.
The outlook at the time of withdrawal was negative.


NOVIKOMBANK ZAO: Moody's Assigns 'E+' Financial Strength Rating
---------------------------------------------------------------
Moody's Investors Service assigned these global scale ratings to
Novikombank (NB): an E+ bank financial strength rating, and B2
long-term and Not Prime short-term local and foreign currency
deposit ratings.  Concurrently, Moody's Interfax Rating Agency
assigned a Baa1.ru long-term national scale rating to the bank.
Moscow-based Moody's Interfax is majority-owned by Moody's, a
leading global rating agency.  The outlook on the long-term global
scale ratings is stable, while the national scale rating does not
carry a specific outlook.

According to Moody's, NB's E+ BFSR, which translates into a
baseline credit assessment of B2, is underpinned by: (i) NB's
strengthening niche franchise, which benefits from its strategic
co-operation with the Russian state corporation Russian
Technologies (RT); (ii) its adequate liquidity and stable funding
base; and (iii) its sufficient capitalization and loan loss
provisioning levels.  Moody's also notes that a Strategic Co-
operation Agreement with RT signed in February 2009 forms the
basis for further business development and new opportunities for
NB.

However, the ratings are constrained by (i) NB's susceptibility to
political risks over the medium to long term, as RT's possible
reorganization or changes to the political landscape in Russia may
have an adverse effect on the bank's business model; (ii) the
weakening of the bank's financial fundamentals, particularly asset
quality, due to the currently difficult economic conditions in
Russia; (iii) the relatively high single-name concentrations on
both sides of the balance sheet; and (iv) corporate governance
deficiencies.

According to Moody's, any possible upgrade of NB's ratings will be
contingent on the bank's ability to materially strengthen its
franchise, reduce concentrations and display a sustainable track
record of profitable performance.

Conversely, any material adverse changes in the bank's risk
profile, particularly a weakening liquidity position or if the
bank were to fail to maintain control over its asset quality might
have an adverse impact on the bank's ratings.  The global scale
ratings would also be adversely affected if the bank's strategic
fit within the RT Group were to weaken.

Moody's notes that the bank's local and foreign currency deposit
ratings do not factor in any probability of systemic support in
the event of a stress situation given NB's very low market shares
and relatively low importance to the country's banking system.
Although support from the bank's shareholders cannot be ruled out,
its extent and timeliness are uncertain.

Headquartered in Moscow, NB reported total assets of
RUB38.6 billion (US$1.3 billion) and total capital of RUB6.5
billion (or US$215.0 million), according to Russian GAAP as at
December 31, 2009.


VIMPEL-COMMUNICATIONS JSC: S&P Keeps 'BB+' Corporate Credit Rating
------------------------------------------------------------------
Standard & Poor's Ratings Services said that it had revised its
outlook on Russian telecoms operator Vimpel-Communications (JSC)
to stable from negative.  At the same time, the 'BB+' long-term
corporate credit rating on VimpelCom, its related entities, and
their respective issue ratings were affirmed.

"The outlook revision primarily reflects the improvement in
VimpelCom's liquidity position over the last 12 months, but also
its robust operating performance, good cash flow generation, and
prudent financial management," said Standard & Poor's credit
analyst Alexander GriazNov.

In the first nine months of 2009, VimpelCom generated free
operating cash flow of Russian ruble 86.2 billion ($2.9 billion),
which allowed the company to repay its short-term debt maturities
and accumulate meaningful cash balances, which will secure the
company's liquidity position in the next 12
months.

The rating on VimpelCom remains constrained by S&P's view of the
company's aggressive growth orientation, reduced financial
flexibility, intensifying competition, and an ever more saturated
Russian mobile market and consequent declining growth potential.
The rating is supported, in S&P's view, by VimpelCom's strong
positions in key markets, sound business growth with economies of
scale and robust profitability, and strong cash generation.

The stable outlook reflects S&P's expectation of continuing strong
operating performance and stable cash flow generation.  S&P
expects the company to continue demonstrating a relatively prudent
approach to financial policy management, which would include
avoiding any opportunistic acquisitions, limiting its
international expansion, and keeping shareholder distributions at
a moderate level.  S&P also expects that the company will align
its capital-expenditure budget with liquidity needs to avoid
excessive reliance on refinancing.

"Ratings downside could result in case of major underperformance,
including that caused by weakening macroeconomic conditions in
Russia.  S&P could also lower the rating in case of a substantial
increase in VimpelCom financial aggressiveness, such as sizeable
acquisitions or debt-financed shareholder distributions, that
would lead to deterioration of the debt-to-EBITDA ratio above 2x,"
said Mr. Griaznov.

Ratings upside is fairly limited in the next 12 months, as it
would require a relatively rapid deleveraging, unforeseen at this
stage, and implementation of a more conservative hedging policy.
It would also require a longer track record of financial prudence
and clarification of the dividend policy.


X5 RETAIL: Fourth Quarter Sales Up 23% to US$2.65 Billion
---------------------------------------------------------
Anastasia Ustinova at Bloomberg News reports that X5 Retail Group
NV said its fourth-quarter sales rose 23% to RUR78.6 billion
(US$2.65 billion) after new discount stores lured cash-strapped
shoppers.

According to Bloomberg, same-store sales grew 7% and traffic
increased 5% from the year-earlier period.

"X5 remains very relevant for consumers, as it continues to invest
in prices to drive traffic," Bloomberg quoted Mikhail Terentiev,
an analyst at Nomura Holdings Inc. in Moscow, who has a "buy"
rating on X5, as saying.

X5 Retail Group N.V. -- http://www.x5.ru/-- acts as a holding
company for the group of companies that operate retail grocery
stores.  The Company, together with its subsidiaries, is engaged
in the development and operation of grocery retail stores.  As at
December 31, 2008, the Company operated a retail chain of
softdiscount, supermarket and hypermarket stores under the brand
names Pyaterochka, Perekrestok and Karusel, in Russia, including,
but not limited to Moscow, St. Petersburg, Nizhniy Novgorod,
Krasnodar, Kazan, Samara, Lipetsk, Chelyabinsk, Perm, Ekaterinburg
and Kiev.  As at December 31, 2008, the Company operated a total
of 207 supermarkets, 848 discounter stores, and 46 hypermarkets.
In addition as at December 31, 2008, its franchisees operated 607
stores across Russia.  In March 2008, the Company acquired Kama-
Retail Company.  In June 2008, the Company acquired Formata
Holding B.V.

                         *     *     *

As reported by the Troubled Company Reporter-Europe on Dec. 1,
2009, Standard & Poor's Ratings Services said that its ratings and
outlook on X5 Retail Group N.V. (BB-/Negative/--), owner of
Russia's largest grocery retail network, remain unchanged after
the company announced the acquisition of 100% of the business and
assets of Russian supermarket chain Paterson.  S&P said it remains
concerned about the company's liquidity position due to its high
level of uncommitted lines, but do not expect this transaction to
have a negative impact on it.


===============
S L O V E N I A
===============


CENTER NALOZBE: Seeks Court-Mandated Debt Settlement
----------------------------------------------------
STA reports that Center Nalozbe proposed to the Maribor District
Court on Monday to start court-mandated debt settlement.

The court in turn put on hold receivership proceedings for the
firm, the report says.

Center Nalozbe is one of the troubled financial firms in what is
considered to have been a management buyout chain at brewery
Pivovarna Lasko.


ISTRABENZ D.D.: Collapse to Hit Petrol's 2009 Profits
-----------------------------------------------------
Marja Novak at Reuters reports that Petrol Group d.d. expects net
profit in 2009 well below a forecast EUR40.8 million (US$58.37
million) mainly because of a costly investment in energy and
tourism group Istrabenz d.d.

Petrol owns 32.6% of Istrabenz which went insolvent last year and
is in talks with creditors on how to repay debts, Reuters
discloses.

According to Reuters, Petrol bought the stake in 2007 for about
EUR200 million but Istrabenz's share price lost 68.8% over the
past year and the company's market capitalization has sunk to
EUR36.2 million.

Reuters relates management board member Janez Zivko said Petrol
will further cut the value of its investment in Istrabenz and some
other companies, which will be reflected in lower 2009 profit but
gave no details.

Istrabenz d.d. -- http://www.istrabenz.si/-- is a Slovenia-based
holding responsible for the asset management and supervision of
the Istrabenz Group members.  The Company has developed
investments in the number of divisions: Energy, which covers the
gas business, production and distribution of energy, transshipment
and storage of oil derivatives; Tourism, which offers hotel,
catering, wellness and congress services; Investments, which deals
with advertising, financial services and technical consulting;
Food, which markets food products, and Information Technology that
provides information support to the companies of the Istrabenz
Group.  As of December 31, 2008 Istrabenz Group comprised 77
companies.  The Company operates a number of subsidiaries,
including wholly owned Istrabenz Turizem dd and Istrabenz Marina
Invest doo.


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


NOZAR SA: Wants to Cancel EUR1.7 Bln Payments to Creditor Banks
---------------------------------------------------------------
Emma Ross-Thomas at Bloomberg News, citing Expansion, reports that
the administrators of Nozar SA are seeking a judicial ruling to
cancel payments the company made to banks since 2007.

According to Bloomberg, the newspaper said Nozar paid creditor
banks EUR1.7 billion (US$2.4 billion) via debt-for-asset swaps
between December 2007 and September 2009.

As reported by the Troubled Company Reporter-Europe on Sept. 15,
2009, Bloomberg News said that Nozar filed for protection from
creditors after it failed to reach an agreement with banks to
refinance EUR700 million (US$1 billion) of debt.  Bloomberg
disclosed the company's banks include Caja Madrid, Banco Bilbao
Vizcaya Argentaria SA, La Caixa, Banco Popular SA and Caixa
Galicia.  According Bloomberg, Spanish newspaper Expansion said
Nozar's total debt could total EUR2 billion.

Nozar SA is a privately held Spanish property developer based in
Madrid.


REYAL URBIS: Debt Refinancing Talks with Creditor Banks Continue
----------------------------------------------------------------
Enza Tedesco at Dow Jones Newswires reports that Reyal Urbis SA
said Monday it is still negotiating a debt refinancing proposal
with its creditor banks and said that no agreement has yet been
reached.

Dow Jones relates in a filing to the Spanish stock market
regulator, the company said it "has already started the process to
obtain the financing entities' consent to its refinancing
proposal."

According to Dow Jones, as part of Reyal Urbis' proposal, the
company had asked its creditors for a grace period on its debt and
interest payments until Dec. 31, 2012.

The company, which has a EUR4.8 billion debt load with more than
50 banks, has also asked for a bridge loan to guarantee the
execution of its business plan in coming years, Dow Jones notes.

                        About Reyal Urbis

Headquartered in Madrid, Spain, Reyal Urbis SA --
http://www.reyalurbis.com/-- is a company engaged in the real
estate sector.  The Company's business is structured in four
areas: residential development, owned portfolio, land management
and Rafaelhoteles.  In the residential development area, the
Company is involved in the construction of middle-range urban
residences, as well as property project and land management.  The
Company's owned portfolio area comprises the management of
residential and non-residential properties, such as offices,
shopping centers, commercial space and industrial warehouses,
among others.  In the land management area, the Company owns more
than 300 land plots located in 40 cities in Spain and Portugal.
The Rafaelhoteles area is operated by its subsidiary Rafael
Hoteles SAU, which is active in the management of the
Rafaelhoteles hotel chain.  In addition, through Urbis USA Inc,
the Company has operations established in Miami, the United
States.


===========
S W E D E N
===========


GENERAL MOTORS: Genii Capital Still Hopeful on Saab Deal
--------------------------------------------------------
Reuters reports that Genii Capital said liquidators had yet to
start removing vital assets from Swedish carmaker Saab's
facilities.

According to Reuters, the investment firm said it remained upbeat
about its chances of buying the loss-making firm from General
Motors Co.

Reuters relates a spokesman for the Luxembourg-based Genii on
Tuesday said that no action has yet been taken that would make the
firm any less attractive to prospective buyers, with GM still in
talks with at least one party over a possible sale of Saab.

"We are still optimistic that a deal can be concluded with one of
the parties," Reuters quoted Lars Carlstrom, who is coordinating
the bid, backed by Formula One mogul Bernie Ecclestone, as saying.

"As we understand it, the wind-down is on hold until a statement
from GM on the sale . . . we're still hopeful."

Citing The Financial Times, the Troubled Company Reporter-Europe
reported on Jan. 14, 2010, that Genii on Jan. 13 made a revised
bid for Saab even as GM began to wind down its Swedish unit.

"We have submitted further information to GM showing that we have
the long-term financial capacity and the management know-how to
turn Saab round," the FT quoted Mr. Carlstroem as saying.  He said
Mr. Ecclestone, the billionaire British chief executive of the F1
organization, had a central role in the group and would invest his
own money if the bid was successful, the FT noted.

As reported by the Troubled Company Reporter-Europe, GM confirmed
in a public statement dated January 8, 2010, that it has commenced
wind down of its Swedish unit Saab.  GM, however, said it has
received proposals for Saab and is evaluating those proposals.  GM
has hired AlixPartners to supervise the wind down of Saab and has
sought approval from appropriate authority in Sweden.  According
to GM, wind down of Saab will take several months, and will ensure
that employees, dealers and suppliers are adequately protected.

                       About General Motors

General Motors Company -- http://www.gm.com/-- is one of the
world's largest automakers, tracing its roots back to 1908.  With
its global headquarters in Detroit, GM employs 209,000 people in
every major region of the world and does business in some 140
countries.  GM and its strategic partners produce cars and trucks
in 34 countries, and sell and service these vehicles through these
brands: Buick, Cadillac, Chevrolet, GMC, GM Daewoo, Holden, Opel,
Vauxhall and Wuling.  GM's largest national market is the United
States, followed by China, Brazil, the United Kingdom, Canada,
Russia and Germany.  GM's OnStar subsidiary is the industry leader
in vehicle safety, security and information services.

GM acquired its operations from General Motors Company, n/k/a
Motors Liquidation Company, on July 10, 2009, pursuant to a sale
under Section 363 of the Bankruptcy Code.  Motors Liquidation or
Old GM is the subject of a pending Chapter 11 reorganization case
before the U.S. Bankruptcy Court for the Southern District of New
York.

At September 30, 2009, GM had US$107.45 billion in total assets
against US$135.60 billion in total liabilities.

                    About Motors Liquidation

General Motors Corporation and three of its affiliates filed for
Chapter 11 protection on June 1, 2009 (Bankr. S.D.N.Y. Lead Case
No. 09-50026).  General Motors changed its name to Motors
Liquidation Co. following the sale of its key assets to a company
60.8% owned by the U.S. Government.

The Honorable Robert E. Gerber presides over the Chapter 11 cases.
Harvey R. Miller, Esq., Stephen Karotkin, Esq., and Joseph H.
Smolinsky, Esq., at Weil, Gotshal & Manges LLP, assist the Debtors
in their restructuring efforts.  Al Koch at AP Services, LLC, an
affiliate of AlixPartners, LLP, serves as the Chief Executive
Officer for Motors Liquidation Company.  GM is also represented by
Jenner & Block LLP and Honigman Miller Schwartz and Cohn LLP as
counsel.  Cravath, Swaine, & Moore LLP is providing legal advice
to the GM Board of Directors.  GM's financial advisors are Morgan
Stanley, Evercore Partners and the Blackstone Group LLP.

Bankruptcy Creditors' Service, Inc., publishes General Motors
Bankruptcy News.  The newsletter tracks the Chapter 11 proceeding
undertaken by General Motors Corp. and its various affiliates.
(http://bankrupt.com/newsstand/or 215/945-7000)


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


CENTRAL EUROPEAN MEDIA: Sells Ukrainian Operations for US$300MM
---------------------------------------------------------------
Central European Media Enterprises Ltd. has entered into an
agreement with Harley Trading Limited to sell 100% of the Studio
1+1 and Kino channels for cash consideration of US$300 million
plus an estimated US$19 million to fund cash expenses of the
Studio 1+1 group between signing and closing of the transaction.
The purchaser will make a payment of US$30 million to CME on
February 1, 2010, and the balance of the purchase price will be
paid at closing.  The transaction is expected to close in the
second half of April 2010.

Adrian Sarbu, President and CEO of CME, commented, "The sale of
our Ukrainian operations is the best strategic option for CME in
the current environment.  It will allow us to concentrate on our
existing operations in the European Union and EU accession
countries.  The sale will provide us with greater operational and
strategic flexibility, increase our liquidity and sharpen our
focus on developing our broadcasting, Internet and content
business.  I look forward to continuing to work with Igor
Kolomoisky, who will remain a director and shareholder of CME."

Igor Kolomoisky, added, "I have been working with CME for three
years and I have great respect for their achievements in the
Ukrainian market.  CME built a strong brand with Studio 1+1 in
Ukraine and developed a lot of talent over the last 13 years.  I
will continue to develop the TV stations successfully managed by
CME in the past."

CME is a vertically integrated media company operating leading
broadcasting, internet and TV content businesses in seven Central
and Eastern European countries with an aggregate population of
approximately 97 million people.  CME's television stations are
located in Bulgaria (Pro.bg and Ring.bg), Croatia (Nova TV), Czech
Republic (TV Nova, Nova Cinema, Nova Sport and MTV Czech), Romania
(PRO TV, PRO TVA International, Acasa, PRO Cinema, Sport.ro and
MTV Romania), Slovakia (TV MarkA-za, Doma), Slovenia (POP TV,
Kanal A and TV Pika) and Ukraine (Studio 1+1, Studio 1+1
International and Kino).  CME is traded on the NASDAQ and the
Prague Stock Exchange under the ticker symbol "CETV."

                   About Central European Media

Headquartered in Bermuda, Central European Media Enterprises Ltd.
-- http://www.cetv-net.com/-- invests in, develops and operates
commercial television channels in Central and Eastern Europe.  At
present, the Company has operations in Bulgaria, Croatia, the
Czech Republic, Romania, the Slovak Republic, Slovenia and
Ukraine.  The Company holds its assets through a series of Dutch
and Netherlands Antilles holding companies.  It has ownership
interests in license companies and operating companies in each
market in which it operates.  Operations are conducted either by
the license companies themselves or by separate operating
companies.  The Company generates revenues primarily through
entering into agreements with advertisers, advertising agencies
and sponsors to place advertising on air of the television
channels that it operates.

                           *     *    *

As reported by the Troubled Company Reporter-Latin America on
November 13, 2009, Standard & Poor's Ratings Services said it has
lowered its long-term corporate credit rating on Bermuda-based
emerging markets TV broadcaster Central European Media Enterprises
Ltd. to 'B-' from 'B'.  The outlook is negative.


SHIDNO-EVROPEYSKYI: Central Bank Opts to Liquidate Business
-----------------------------------------------------------
Daryna Krasnolutska at Bloomberg News reports that Ukraine's
central bank said it will liquidate AKB Shidno-Evropeyskyi.

According to Bloomberg, the Kiev-based Natsionalnyi Bank Ukrainy
said in a statement on it Web site Tuesday it took the decision to
end the bank's operations on Dec. 18.

Bloomberg recalls the central bank put Kiev-based Shidno-
Evropeyskyi under temporary administration on Oct. 5 to stabilize
it after the lender ran out of cash.


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


BRITISH AIRWAYS: JAL-Delta Deal Won't Affect Merger, Iberia Says
----------------------------------------------------------------
Paul Tobin at Bloomberg News reports that Iberia Lineas Aereas de
Espana SA said a possible deal involving Japan Airlines Corp. and
Delta Air Lines Inc. would have no impact on the planned merger
between the Spanish carrier and British Airways Plc.

According to Bloomberg, a spokeswoman for Madrid-based Iberia said
the merger with British Airways is not related to JAL.

The spokeswoman declined to comment on JAL's bankruptcy filing,
Bloomberg notes.

As reported by the Troubled Company Reporter-Europe, The Times
said British Airways, which fears a GBP1 billion fall in revenue
this year, is determined to cut GBP140 million from its annual
staff budget after being hit by a sharp rise in the price of fuel
and fewer premium passengers during the recession.  The Times
disclosed the airline suffered losses of GBP400 million last year
and lost money in the key summer months of 2009.

                       About British Airways

Headquartered in Harmondsworth, England, British Airways Plc,
along with its subsidiaries, (LON:BAY) -- http://www.ba.com/-- is
engaged in the operation of international and domestic scheduled
air services for the carriage of passengers, freight and mail and
the provision of ancillary services.  The Company's principal
place of business is Heathrow.  It also operates a worldwide air
cargo business, in conjunction with its scheduled passenger
services.  The Company operates international scheduled airline
route networks together with its codeshare and franchise partners,
and flies to more than 300 destinations worldwide.  During the
fiscal year ended March 31, 2009 (fiscal 2009), the Company
carried more than 33 million passengers.  It carried 777,000 tons
of cargo to destinations in Europe, the Americas and throughout
the world.  In July 2008, the Company's subsidiary, BA European
Limited (trading as OpenSkies), acquired the French airline,
L'Avion.

                           *     *     *

As reported in the Troubled Company Reporter-Europe on Nov. 12,
2009, Moody's placed the Ba3 Corporate Family and Probability of
Default Ratings of British Airways plc and the senior unsecured
and subordinate ratings of B1 and B2 under review for possible
downgrade.


CITY SERVICES: Housing Association Acquires Halifax Site
--------------------------------------------------------
Jennifer Rigby at Property Week reports that Pennine Housing
Assocation has bought City Services' 9.18-acre site at Gannex
Mills at Elland, near Halifax for an undisclosed sum.

According to the report, the site was previously set to be
redeveloped as a GBP35 million office scheme by City Services,
trading as Clayton Homes, before the company went into
administration in August 2009.

Matthew Scholey of Eddisons sold the site on behalf of City
Services, which is in administration, the report relates.


CLARK STEPHEN: Shuts Downs After Going Into Administration
----------------------------------------------------------
Adam Hooker at Print Week reports that Clark Stephen has closed
its doors after going into administration just before Christmas.

The report recalls Ian McGregor, of Begbies Traynor, was appointed
as administrator of the company on Dec. 23 last year.

Initially, three sales staff were made redundant on the same day,
when the company closed down for Christmas, the report recounts.

According to the report, a spokeswoman for Begbies Traynor said
the company reopened on Jan. 4 to complete a number of contracts,
however, the remaining 16 staff were made redundant on the
following day.

"The administrator is seeking a sale of the business, but it has
closed its doors," the report quoted the spokeswoman as saying.

Point-of-purchase specialist Clark Stephen had offices in Glasgow
and London.


DOCDATA MEDIA: Goes Into Liquidation in the United Kingdom
-----------------------------------------------------------
The Management Board of DOCDATA N.V. announced that the company
docdata media Ltd. (United Kingdom) has been liquidated.  This
company performed until the moment of sale of its activities as
per end of January 2009 business activities for CD and DVD
replication and Audio Cassette manufacturing in Telford (United
Kingdom).

As a consequence of the liquidation of docdata media, the Dutch
fiscal unity headed by DOCDATA can make an allowance for a
liquidation loss in the 2009 financial year.  Accordingly, a
liquidation loss of over EUR15 million will be deducted from the
2009 taxable profit of the fiscal unity.  As a result of expansion
of the rules for backward loss relief starting 2010, the resulting
negative taxable amount of the DOCDATA fiscal unity for the year
2009 can be offset against taxable profits for the years 2006 and
2007.  In relation to this liquidation DOCDATA will be able to
record a tax gain of approximately EUR4 million in 2009 with
respect to the liquidation loss.

DOCDATA will publish the 2009 year-end results on Thursday,
February 18, 2010.  Until that time, the Management Board of
DOCDATA will make no further announcements.  As announced in the
interim notice on October 26, 2009, the Management Board will
present an update of the strategy 'Vision 2010: Gear to Growth' at
the publication of the 2009 year-end results.  The Management
Board intends to give a follow-up and a further refinement to the
current strategy for the years 2010 till 2012.  They will also
further address the remaining business activities for CD and DVD
replication, with regard to the future expectations and the
applicable policies for the accounting and the valuation of these
business activities as per December 31, 2009.

Docdata -- http://www.docdata.com/-- is an Internet service
company.  The company has operations in The Netherlands, Germany
and the United Kingdom.


DUBAI WORLD: Abu Dhabi's US$10-Bil. Funding Is "Half that Size"
---------------------------------------------------------------
Abu Dhabi's US$10 billion funding for Dubai is actually half that
size, according to Maria Abi-Habib at The Wall Street Journal,
citing a spokeswoman for the Dubai Department of Finance.
According to the Wall Street Journal, the disclosure raises
questions about the United Arab Emirates' plans for paying down
Dubai's mountain of debt.

The Journal relates that that spokeswoman on Monday said the
US$10 billion bailout, which was announced in December, includes
US$5 billion in funds separately announced in November by two Abu
Dhabi-controlled banks.

Ms. Abi-Habib says it is unclear how the reduction in funding will
affect Dubai's finances or its plans to restructure debt.  She
notes Dubai has been criticized for a lack of transparency around
its debt restructuring.

Ms. Abi-Habib points out the disclosure cuts by 20% the funds that
analysts had assumed Abu Dhabi, the capital of the U.A.E. and its
financial powerhouse, had committed to Dubai over the course of
last year.  While both governments have disclosed little about the
series of bailouts, analysts had widely interpreted the total
funding commitment from Abu Dhabi and the federal government to
Dubai at US$25 billion.  Dubai's disclosure Monday reduces that to
US$20 billion.

The Journal notes Dubai announced earlier this month a new media
office to coordinate the emirate's communications strategy.  The
Journal says Ahmed Al Shaikh, director of the new office, wasn't
reachable for comment Monday.  The Journal also relates a
spokesman for the federal government in Abu Dhabi was unable to
comment on the matter.

The Journal recalls that Dubai, struggling under total debt
estimated as high as US$80 billion, announced in February 2009
that the U.A.E. federal government would buy US$10 billion of
bonds issued by Dubai.  The proceeds would go to pay down debt and
unpaid bills.

In late November, Dubai said two Abu Dhabi banks would subscribe
to another US$5 billion worth of bonds.  Hours later, however,
Dubai shocked global investors by announcing its corporate
flagship, Dubai World, would request a debt standstill from
lenders.

In December, Dubai said Abu Dhabi had agreed to extend another
US$10 billion to help shore up finances.  Dubai said US$4.1
billion of that would go to pay off a bond maturing that same day,
and the rest to provide interest expenses and working capital for
the company through April 2010.

Abu Dhabi and Dubai are two of seven, semi-independent emirates
that make up the U.A.E.

                        6-Month Standstill

In November 2009, the Troubled Company Reporter ran a story
about Dubai World seeking a six-month standstill on its debt
obligations.  The government of Dubai said it would restructure
Dubai World and has appointed Deloitte LLP to lead the
restructuring effort, naming an executive at the consultancy as
the group's "chief restructuring officer."

Bloomberg News' Arif Sharif and Laura Cochrane said Dubai World
has US$59 billion in liabilities.  Bloomberg said Dubai
accumulated US$80 billion of debt by expanding in banking, real
estate and transportation before credit markets seized up last
year.

The Wall Street Journal said Standard & Poor's in an October
report estimated Dubai World could be responsible for as much as
50% of Dubai's total government and corporate debt load of some
USUS$80 billion to US$90 billion.

                          Large Exposure

As reported by the Troubled Company Reporter-Europe on Dec. 1,
2009, The Wall Street Journal's Chip Cummins, Dana Cimilluca and
Sara Schaefer Munoz, citing a person familiar with the matter,
said that U.K.'s Royal Bank of Scotland Group PLC, HSBC Holdings
PLC, Barclays PLC, Lloyds Banking Group PLC, Standard Chartered
PLC and ING Groep NV of the Netherlands, are among the
international banks that have large exposure in Dubai World.

RBS has lent roughly US$1 billion to Dubai World, another person
said, according to the Journal.  Sources also told the Journal
Barclays's exposure to Dubai World is roughly US$200 million, and
that exposure is effectively hedged.

David Robertson at The (U.K) Times reported Credit Suisse has
estimated that European banks could have EUR40 billion
(GBP36 billion) in loans to Dubai and much of this could be at
risk if the Gulf emirate defaults.

The Journal, citing people familiar with the matter, said the
banks with the greatest exposure to Dubai World are Abu Dhabi
Commercial Bank and Emirate NBD PJSC, people familiar with the
matter said.

Dow Jones Newswires' Margot Patrick related that a report by the
Emirates Banks Association said the top eight foreign banks in the
United Arab Emirates by lending volume -- HSBC, Standard
Chartered, Barclays, HSBC, Royal Bank of Scotland's ABN Amro,
Citigroup Inc., BNP Paribas SA, Lloyds and Credit Agricole SA's
Calyon, -- extended about USUS$36 billion in loans in 2008
throughout the federation, without breaking down the loans by
emirate or type of borrower.

                        About Dubai World

Dubai World -- http://www.dubaiworld.ae/-- is Dubai's flag bearer
in global investments.  As a holding company it operates a highly
diversified spectrum of industrial segments and plays a major role
in the emirate's rapid economic growth.  Dubai World's investment
spans four strategic growth areas of 21st Century commerce namely,
Transport & Logistics, Drydocks & Maritime, Urban Development and
Investment & Financial Services.  Dubai World's portfolio includes
DP World, one of the largest marine terminal operators in the
world; Drydocks World & Dubai Maritime City designed to turn Dubai
into a major ship-building and maritime hub; Economic Zones World
which operates several free zones around the world including Jafza
and TechnoPark in Dubai; Nakheel the property developer behind
iconic projects such as The Palm Islands and The World among
others; Limitless the international real estate master planner
with current development projects in various parts of the world;
Leisurecorp a global sports and leisure investment group,
reshaping the industry by unlocking value across investment,
development and brand opportunities; Dubai World Africa which
oversees the regional development and portfolio of investments in
the African continent; and Istithmar World, the group's investment
arm that has a global footprint in finance, capital, leisure,
aviation and various other business ventures.

The Sun Never Sets on Dubai World, its Web site says.


GALA CORAL: Two Unsecured Creditors Mull Sale of GBP189 Mln Debt
----------------------------------------------------------------
Gala Coral Group Ltd.'s two biggest unsecured creditors,
Intermediate Capital Group Plc and Park Square Capital LLP, may
sell GBP189 million (US$309 million) of debt they hold in the
company, Patricia Kuo at Bloomberg News reports, citing two people
with knowledge of the situation.

According to Bloomberg, the people, who declined to be identified
because the information is private, said ICG and Park Square
started seeking bids Tuesday for the so-called mezzanine debt.
Bloomberg notes the people said investors must submit bids by next
week.

Gala, Bloomberg discloses, is in talks to restructure GBP2.5
billion of debt after the U.K.'s 2007 ban on smoking in public
places hurt its bingo and casino business.  The people, as cited
by Bloomberg, said Gala's borrowing includes more than GBP1.8
billion of senior loans, and about GBP540 million of mezzanine
debt.

Bloomberg recalls people familiar with the talks said on Jan. 8
ICG and Park Square, both based in London, are selling their debt
after Gala's senior creditors asked junior lenders to inject about
GBP150 million into the company.  According to Bloomberg, the
people said the request may force holders of mezzanine debt to
revise their proposed debt-for-equity swap for Gala.

Anousha Sakoui and Roger Blitz at the Financial Times report Neil
Goulden, chairman of Gala Coral, said "We are aware that ICG and
Park Square have put their mezzanine debt up for sale.  We are
hopeful it will end any lingering uncertainty and lead to a
restructuring solution in the next couple of weeks."

The FT says the move would help the two funds decide on what terms
to participate in any new capital-raising by Gala Coral as part of
a debt restructuring, and would make a decision whether to sell
next week.

According to the FT, the funds are understood to be seeking a
price of around 70% of the face value of their debt.  The FT notes
one of the people close to the situation there are currently bids
for around 65% of face value.

Gala Coral Group Ltd. -- http://www.galacoral.co.uk/-- is one of
the leading gaming companies in the U.K., with operations
encompassing bingo, casinos, and sports betting.  It runs more
than 150 bingo halls throughout the country, as well as some 30
casinos.  The company is also a leading bookmarker with nearly
1,600 betting shops and online betting sites.  Gala Coral Group
was formed in 2005 when Gala Group acquired Coral Eurobet.  The
company is jointly owned by private equity firms Cinven Group,
Candover Investments, and Permira.


MADOFF SECURITIES: Yacht Ownership Dispute Must Be Heard in France
------------------------------------------------------------------
Lindsay Fortado at Bloomberg News reports that investment firm
Financiere Meeschaert told a London court that the ownership of
Bernard Madoff's US$7 million yacht that was seized in the south
of France should be decided by a French judge.

Bloomberg relates Vasanti Selvaratnam, the firm's lawyer, said at
a hearing in London on Tuesday the yacht, called "Bull," was
seized by French authorities last year at Meeschaert's request.

Bloomberg, citing Mr. Selvaratnam, says the firm, which invested
"large sums of money on behalf of its clients in the Ponzi scheme
operated by Mr. Madoff," brought a lawsuit in France seeking
control of the yacht to return money to its clients.

Mr. Selvaratnam, as cited by Bloomberg, said Grant Thornton LLP,
the liquidators for London-based Madoff Securities International
Ltd., have "initiated proceedings" to gain control of the yacht in
France, the U.K. and the Cayman Islands, where the boat is
registered.

"The liquidators have sought to establish their ownership in a
number of jurisdictions," Bloomberg quoted Mr. Selvaratnam as
saying.  "The dispute as to ownership must be heard in France."

As reported by the Troubled Company Reporter-Europe on Jan. 5,
2010 The Sunday Times said Madoff Securities International,
Mr. Madoff's London-based investment business, has been formally
placed into liquidation.  The Sunday Times disclosed  liquidators
were on Dec. 31 appointed to wind up the London business, which
has been described by investigators as a personal "piggy bank" for
Mr. Madoff and his family.  The move followed a winding up
petition from Stephen Raven, the former chief executive of Madoff
Securities International, who is believed to be owed wages,
according to The Sunday Times.

                About BLMIS and Madoff Securities

London-based Madoff Securities International Limited is a money
management business of Bernard L. Madoff in the United Kingdom.

Bernard L. Madoff Investment Securities LLC and Bernard L.
Madoff orchestrated the largest Ponzi scheme in history, with
losses topping US$50 billion.

On December 15, 2008, the Honorable Louis A. Stanton of the
U.S. District Court for the Southern District of New York granted
the application of the Securities Investor Protection Corporation
for a decree adjudicating that the customers of BLMIS are in need
of the protection afforded by the Securities Investor Protection
Act of 1970.  The District Court's Protective Order (i) appointed
Irving H. Picard, Esq., as trustee for the liquidation of BLMIS,
(ii) appointed Baker & Hostetler LLP as his counsel, and (iii)
removed the SIPA Liquidation proceeding to the Bankruptcy Court
(Bankr. S.D.N.Y. Adv. Pro. No. 08-01789) (Lifland, J.).

On April 13, 2009, former BLMIS clients filed an involuntary
Chapter 7 bankruptcy petition against Bernard Madoff (Bankr.
S.D.N.Y. 09-11893).  The case is before Hon. Burton Lifland.  The
petitioning creditors -- Blumenthal & Associates Florida General
Partnership, Martin Rappaport Charitable Remainder Unitrust,
Martin Rappaport, Marc Cherno, and Steven Morganstern -- assert
$64 million in claims against Mr. Madoff based on the balances
contained in the last statements they got from BLMIS.

On April 14, 2009, Grant Thornton UK LLP as receiver placed Madoff
Securities International Limited in London under bankruptcy
protection pursuant to Chapter 15 of the U.S. Bankruptcy Code
(Bankr. S.D. Fla. 09-16751).  Roughly US$100 million to US$500
million in assets and more than US$1 billion in debts were listed
for Madoff Securities.

The Chapter 15 case was later transferred to Manhattan.  In June
2009, Judge Lifland approved the consolidation of the Madoff SIPA
proceedings and the bankruptcy case.

Judge Denny Chin of the U.S. District Court for the Southern
District of New York on June 29, 2009, sentenced Mr. Madoff to
150 years of life imprisonment for defrauding investors in
United States v. Madoff, No. 09-CR-213 (S.D.N.Y.).


PORTSMOUTH FOOTBALL: Fails to Block HMRC Winding-Up Petition
------------------------------------------------------------
BBC News reports that Portsmouth Football Club has failed to block
a winding-up petition from HM Revenue & Customs at the High Court.

The report recalls HMRC had applied for the petition on Dec. 23
but the club argued the VAT part of its tax bill was too high.

According to the report, the High Court judge dismissed
Portsmouth's claim and the hearing is expected to go ahead on
Feb. 10.

The report relates the judge said the issues involved in the case
were "difficult" and granted the football club permission to
appeal against his ruling.

"At the High Court [Tuesday} Mr. Justice Newey dismissed an
application from Portsmouth City Football Club Limited for a
winding-up petition to be struck out," the report quoted a
spokesperson for the Judicial Communications Office said.  "We now
expect that, subject to any appeal, the petition will in due
course be heard by the High Court in the usual way."

If it goes against Portsmouth, it would push the club a step
closer to administration, the report says.  The report notes if it
were to succeed, the club said, "this would result in the judge's
ruling being reversed and HMRC's petition being struck out,
without the petition proceeding to the final hearing".

                            Arbitration

Reuters reports Portsmouth threatened to take the Premier League
to arbitration unless they lift their transfer embargo on the
club.

Reuters relates Marc Jacob, Portsmouth's executive director, told
The News newspaper the club also want GBP2 million (US$3.26
million) of their TV revenue returned to them.

Reuters recalls the transfer embargo was imposed last October when
Portsmouth failed to pay debts to a number of clubs following
player transfers.  However, Portsmouth claim the debts have been
paid so the embargo should be lifted, Reuters notes.

"The Premier League are withholding the balance of monies they owe
us because they believe that we still owe other football clubs
money," Mr. Jacob was quoted as saying by The News, according to
Reuters.

"We have now paid off the three UK clubs.  We have agreed with
Rennes and Lens to accept certain payments now and then defer a
schedule of payments going forward.  We are finalizing the
agreement with Udinese.

"The total amount that we directed the Premier League to discharge
and pay these clubs is approximately GBP5 million (pounds).  So
there is a net balance due to the club approaching GBP2 million.
We cannot see how they can keep the money and also continue with
the embargo."

Citing Bloomberg News, the Troubled Company Reporter-Europe
reported on Jan. 18, 2010, that English soccer's Premier League
will divert Portsmouth's GBP7-million (US$11.4 million) share of
broadcast revenue to clubs owed money by Pompey on player trades.
According to Bloomberg, Portsmouth owes about GBP10 million to
Premier League and foreign clubs including Chelsea, Udinese and
Rennes.

Portsmouth Football Club Ltd. -- http://www.portsmouthfc.co.uk/--
operates Portsmouth FC, a professional soccer team that plays in
the English Premier League.  Established in 1898, the club boasts
two FA Cups, its last in 2008, and two first division
championships.  Portsmouth FC's home ground is at Fratton Park;
the football team is known to supporters as Pompey.  Dubai
businessman Sulaiman Al-Fahim purchased the club from Alexandre
Gaydamak in 2009.  A French businessman of Russian decent,
Gaydamak had controlled Portsmouth Football Club since 2006.


ROYAL BANK: Lays Off More Than 200 Technical Staff
--------------------------------------------------
Ed Carty at Press Association reports that more than 200 jobs are
being cut at Royal Bank of Scotland.

The report says some 196 workers in Dublin are being laid off with
a further 25 in Belfast being made redundant.

The report notes all staff work in the bank's back-room technical
support services looking after IT and telecommunications.

The report relates RBS said that some workers will be offered
transfers to hubs in parts of Britain and also at other locations.
According to the report, the bank said the redundancies were part
of planned job cuts it warned of last April.

                             About RBS

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

                           *     *     *

As reported by the Troubled Company Reporter-Europe on Dec. 22,
2009, Fitch Ratings upgraded The Royal Bank of Scotland Group's
(RBS Group) and The Royal Bank of Scotland's Individual Ratings to
'D/E' from 'E' and removed the Rating Watch Positive.  The upgrade
of the Individual Ratings reflects improvements in the group's
capital combined with some progress in restructuring the balance
sheet.


WEST HAM: Sullivan, Gold Acquire 50% Stake From CB Holding
----------------------------------------------------------
Roger Blitz at The Financial Times reports that David Sullivan,
the pornography publisher, and David Gold, owner of the Ann
Summers sex shops, have together bought 50% of West Ham United in
a deal that valued the club at GBP105 million.

According to the FT, Mr. Sullivan said he had supported West Ham
all his life and then called on other "Irons" fans to join them as
co-investors to help the club tackle debts he estimated at
GBP110 million.

"We would not buy this club at all if this wasn't West Ham," the
FT quoted Mr. Sullivan, who fought off interest from other
parties, as saying.  "It makes no commercial sense for anyone to
buy this club and it's amazing two other people wanted to buy it."

The FT says West Ham's debt problems are partly of its own making.
It owes Sheffield United more than GBP20 million for breaking
rules on players' third-party ownership and has a severance
payment outstanding to Alan Curbishley, a former manager, the FT
discloses.  Like other clubs it also has a large wage bill and
unpaid transfer fees to settle, the FT notes.

The FT relates Mr. Sullivan bought the 50% stake in West Ham from
CB Holding, which is owned by Iceland's Straumur-Burdaras
investment bank.  CB Holding took over West Ham in June after
Bjorgolfur Gudmundsson, former chairman of Landsbanki, the
now-nationalized Icelandic bank, who bought West Ham in 2006 for
GBP85 mollion, was declared bankrupt, the FT recalls.

West Ham United plc -- http://www.whufc.com/-- operates the
professional football team West Ham United FC, known to its
supporters as "The Hammers."  Competing in the English Premier
League, the club was founded in 1895 as Thames Ironworks FC and
boasts three FA Cups.  West Ham United generates revenue primarily
through sponsorships and broadcasting rights, as well as through
gate receipts.  It plays host at Boleyn Ground in London.


* UK: Financial Health of Businesses Improved in 2009
-----------------------------------------------------
The financial health of businesses in the UK saw a significant
improvement in 2009, while the annual rate of business
insolvencies (1) increased at a slower rate compared to 2008,
according to the latest Insolvency Index from Experian(R), the
global information services company.

The average financial strength score(2) for businesses in Great
Britain improved steadily throughout 2009 rising from 79.46 in
January 2009 to 81.37 in December 2009.  According to Experian,
this has been helped by an overall improvement in the time it
takes businesses to pay their suppliers.

Despite peaking in the year in the first half of 2009, the sharp
fall in business failures during the second half of the year
helped alleviate the final number of insolvencies in 2009.  Total
insolvencies increased by only 12% during 2009, compared to the
29.3% increase during 2008, bringing the annual insolvency rate
for 2009 to 1.25%.

In addition, during December the rate of business insolvencies was
0.11%, lower than the 0.12% recorded in the same month the
previous year (December 2008).

Rolf Hickmann, Managing Director of pH, an Experian company, said:
"In 2009 businesses in Great Britain managed to climb back to a
better place financially.

"Last year, it became clear that the businesses most successful at
avoiding insolvency were the very smallest and the very largest
ones.  The highest insolvency rates in 2009 were among mid range
businesses.

"Many more businesses are taking steps to protect themselves from
the risks of not getting paid, the impact on them if a key
supplier or customer goes bust and indeed the risk of insolvency
within their own businesses.  With this in mind, businesses need
to not only proceed with caution when it comes to both new and
existing business clients, but also ensure that their own house in
order, so that they themselves are appealing prospects for
business.

Key highlights for 2009, included:

North East saw the highest levels of insolvencies throughout the
year.

Scotland maintained the lowest rate of insolvencies in 2009.

Although businesses in Greater London struggled most in terms of
financial stability, with the lowest financial strength score
throughout the year, it was the region to see the biggest
improvement.  Businesses saw their financial strength score rise
from 77.85 in January to 80.25 in December.

Businesses in South West maintained the highest financial strength
score during each month of 2009.

The smallest of businesses those with 1 to 2 employees (0.75%) had
the lowest annual rate of insolvencies, followed by the largest
businesses those with 501 or more employees (1.64%).

Businesses in the plastics and rubber sector had the highest
annual insolvencies rate in 2009 (3.26%).

Health and house businesses saw the biggest improvement their
annual insolvency rate from 3.14% in 2008 to 1.38% in 2009.

(1) The insolvency rate is calculated by comparing the number of
businesses that failed with the total business population in Great
Britain.

(2) The financial strength score predicts the likelihood of a
business failing in the next 12 months, with 100 being the least
likely to default and 1 being the most likely.


===============
X X X X X X X X
===============


* Upcoming Meetings, Conferences and Seminars
---------------------------------------------

January 27-29, 2010
TURNAROUND MANAGEMENT ASSOCIATION
    Distressed Investing Conference, Bellagio, Las Vegas
       Contact: http://www.turnaround.org/

Feb. 21-23, 2010
INSOL
    International Annual Regional Conference
       Madinat Jumeirah, Dubai, UAE
          Contact: 44-0-20-7929-6679 or http://www.insol.org/

April 20-22, 2010
TURNAROUND MANAGEMENT ASSOCIATION
    Sheraton New York Hotel and Towers, New York, NY
       Contact: http://www.turnaround.org/

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

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

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

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

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

Oct. 6-8, 2010
TURNAROUND MANAGEMENT ASSOCIATION
    TMA Annual Convention
       JW Marriott Grande Lakes, Orlando, Florida
          Contact: http://www.turnaround.org/

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

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

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

October 25-27, 2011
TURNAROUND MANAGEMENT ASSOCIATION
    Hilton San Diego Bayfront, San Diego, CA
       Contact: http://www.turnaround.org/

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


                            *********

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

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

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

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

                            *********


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

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

Copyright 2010.  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 * * *