TCREUR_Public/100331.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

          Wednesday, March 31, 2010, Vol. 11, No. 063



ARCANDOR AG: Sale of Metro's Kaufhof to Influence Karstadt Sale
ROHWEDDER AG: Files for Insolvency in Konstanz Court

* GERMANY: Bank-Crisis Fund to Include All Lenders


HOTEL BALATON: In Liquidation; Around 40 Jobs Affected


MARUMBA PROPERTIES: In Receivership; Barclays Appoints Deloitte


UNIPOL GRUPPO: Moody's Affirms 'D+' Financial Strength Rating


CLOCK FINANCE: S&P Affirms Ratings on Two Classes of Notes at 'B'
FAXTOR ABS: S&P Cuts Ratings on Two Classes of Notes of 'BB'


BANK ROSSIYA: Moody's Assigns 'E+' Bank Financial Strength Rating


OERLIKON CORP: Main Shareholder, Lenders Back Recapitalization



U N I T E D   K I N G D O M

ABS LONDON: Faces Liquidation; 45 Jobs Affected
ALBURN REAL: Fitch Cuts Ratings on Two Classes of Notes to 'CC'
C & R PRINT: Ceases Trading; 81 Jobs Affected
EMI GROUP: Universal Re-Enters Distribution Deal Talks
FOSTER STONE: Faces Liquidation Following CIB Investigation

JARVIS PLC: Deloitte Appointed Administrators
KENMORE CAPITAL: Savills Appointed to Sell 32 Properties
POWWOW WATER: Goes Into Administration on Cash Flow Problems
ROYAL BANK: German Invoice Unit Sold; Gets Bids for Equity Unit
WELFHED GROUP: Goes Into Liquidation

WREKIN CONSTRUCTION: Legal Proceedings Over Accounts Begin



ARCANDOR AG: Sale of Metro's Kaufhof to Influence Karstadt Sale
James Wilson at The Financial Times reports that German retail
group expects to be able to sell its Galeria Kaufhof department
stores subsidiary this year.

According to the FT, Eckhard Cordes, Metro's chief executive, said
there was private equity interest in Kaufhof.  The FT notes other
people familiar with Metro's plans said the group might look to
retain a minority stake in the event of a sale.

The FT says any sale process involving Kaufhof, which had 126
German stores at the end of the year, may also have an influence
on plans by the administrator of Arcandor to sell its Karstadt
department store subsidiary.

Arcandor's administrator wants to sell Karstadt in its entirety by
the end of April and has also cited interest from private equity
buyers, the FT discloses.  Mr. Cordes believes potential buyers
would be more interested in adding a selected number of Karstadt's
120 stores to the Kaufhof business -- something Metro has
previously shown interest in, the FT states.

The FT relates people familiar with the sale plans expect some
private equity groups to consider a deal involving both Kaufhof
and Karstadt assets.

"The business combination of Kaufhof and parts of Karstadt makes
sense in the appropriate form.  That is not new.  It continues to
make sense," the FT quoted Mr. Cordes as saying.

                        About Arcandor AG

Germany-based Arcandor AG (FRA:ARO) --
formerly KarstadtQuelle AG, is a tourism and retail group.  Its
three core business areas are tourism, mail order services and
department store retail.  The Company's business areas are covered
by its three operating segments: Thomas Cook, Primondo and
Karstadt.  Thomas Cook Group plc is a tour operator with
operations in Europe and North America, set up as a result of a
merger between MyTravel and Thomas Cook AG.  It also operates the
e-commerce platform, Thomas Cook, supporting travel services.
Primondo has a portfolio of European universal and specialty mail
order companies, including the core brand Quelle.  Karstadt
operates a range of department stores, such as cosmopolitan
stores, including KaDeWe (Kaufhaus des Westens), Karstadt
Oberpollinger and Alsterhaus; Karstadt brand department stores;
Karstadt sports department stores, offering sports goods in a
variety of retail outlets, and a portal, that offers
online shopping, among others.

As reported by the Troubled Company Reporter-Europe, a local court
in Essen formally opened insolvency proceedings for Arcandor on
September 1, 2009.  The proceedings started for the Arcandor
holding company and for 14 units, including the Karstadt
department-store chain and Primondo mail-order division.

Arcandor filed for bankruptcy protection after the German
government turned down its request for loan guarantees.  On
June 8, 2009, the government rejected two applications for help by
the company, which employs 43,000 people.  The retailer sought
loan guarantees of EUR650 million (US$904 million) from Germany's
Economy Fund program.  It also sought a further EUR437 million
from a state-owned bank.

ROHWEDDER AG: Files for Insolvency in Konstanz Court
Anke Schroter at Evertiq reports that Rohwedder AG filed for
insolvency proceedings at the German district court in Konstanz on
Friday, March 26, 2010.

The report relates the court appointed Volker Grub as preliminary
insolvency administrator.

According to the report, the company's Finland-based stand-alone
subsidiary JOT Automation is not affected by the insolvency

As reported by the Troubled Company Reporter-Europe on March 26,
2010, Bloomberg News said "intensive" efforts to secure necessary
financing failed.

Rohwedder AG -- is a Germany-based
company that supplies automation system solutions for the
assembly, production and testing technology within two segments.
Within the Mechatronics Production Solutions segment the Company
concentrates on Assembly Technologies in Europe and North America,
offering automation solutions for the automotive industry; and
Micro Technologies, which specializes in assembly solutions for
the production of micro products.  The Electronics Production
Solutions segment includes MIMOT Surface Mount Technologies, which
provides surface mount device placement technology products;
Mobile Device Solutions, focusing on automation solutions for the
mobile communication industry; Standard Products, which offers
products through the brand JOT Automation; and Customer Specific
Solutions, providing fully automatic and semiautomatic as well as
manual solutions.  The Company operates through numerous direct
and indirect subsidiaries as well as affiliated companies.

* GERMANY: Bank-Crisis Fund to Include All Lenders
Rainer Buergin and Brian Parkin at Bloomberg News report that
German Chancellor Angela Merkel's plan to get banks to pay into a
crisis-prevention fund will include all lenders, while possibly
omitting insurers from the pool of contributors.

A copy of the plan, obtained by Bloomberg News, shows that fees
paid to the new fund will be set according to banks' risk exposure
and their "inter-connectivity" in the financial system.

A "differentiated evaluation" of risk may apply to some lenders
such as mortgage banks, suggesting their fees may be lower,
Bloomberg quoted Leo Dautzenberg, the ruling Christian Democrats'
finance spokesman in parliament, said in an interview, according
to Bloomberg.

Bloomberg relates Mr. Dautzenberg said Ms. Merkel's coalition has
yet to determine how it will levy fees as well as set a ceiling
for the fund's size.  He said he expects the restructuring fund
plan to become law "by the middle of the year," Bloomberg notes.

The bank fund is part of a package of regulations aimed at
bolstering the finance system, Bloomberg states.


HOTEL BALATON: In Liquidation; Around 40 Jobs Affected
MTI-Econews, citing regional daily Zalai Hirlap, reports that
three-star Hotel Balaton in Zalaegerszeg has gone under
liquidation and closed due to unpaid debts, resulting in the loss
of around 40 jobs.

The report relates Semira Spa, which operated the hotel and the
wellness section, accumulated major debts with the water utility
company Zalaviz, and owes a major amount to the electricity
supplier as well.

According to the report, the paper said bookings have fallen by
25%-28% recently in Zalaegerszeg, and plant closures have led to a
decline in business tourism.


MARUMBA PROPERTIES: In Receivership; Barclays Appoints Deloitte
Ian Kehoe at The Sunday Business Post reports that Marumba
Properties has gone into receivership.

The report relates Barclays Bank appointed David Carson, an
accountant with Deloitte, as receiver to the company.  The
appointment came on the heels of a 2007 charge registered against
the company's assets.

Citing company filings, the report says Barclays has a charge
against all the company's freehold and leasehold assets, and all
its property.  According to the report, in its most recent
accounts, Marumba Properties said its loan facilities had expired,
and that they were presently being renegotiated.

The report notes the company said it had investments valued at
EUR25 million, and liabilities of EUR15 million.

Marumba Properties is a Dublin-based property company controlled
by businessman Bernard McNamara and two other developers, David
Courtney and Bernard Doyle.


UNIPOL GRUPPO: Moody's Affirms 'D+' Financial Strength Rating
Moody's Investors Service downgraded the insurance financial
strength rating of UGF Assicurazioni S.p.A., the main insurance
operating of the group, to A2 from A1 and its subordinated debt
rating to Baa1 from A3.  Moody's also downgraded the senior rating
of Unipol Gruppo Finanziario S.p.A., the holding company, to Baa2
from Baa1 and the long-term deposit rating of UGF Banca, the
banking subsidiary, to Baa2 from Baa1.  The outlook on these
ratings remains negative.  UGF Banca's P-2 short-term deposit
rating and D+ BFSR (mapping to a Baseline Credit Assessment of
Baa3 with negative outlook) are unaffected.

The ratings' action follows the release of 2009 financials and
reflects the sharp deterioration in the group's insurance
underwriting profitability and the continuous loss, albeit small,
in the banking business.  The group also announced a capital
increase for a maximum of EUR500 million via a EUR400 million
right issue and a warrant issue to be converted into shares in
2013 for a maximum value of EUR100 million.

For the year 2009, the group reported a bottom line consolidated
loss of EUR769 million; the sizeable loss was the result of large
impairments in the equity investment portfolio for EUR611 million
as well as the abrupt worsening of the P&C underwriting result.
The combined ratio increased to 108.0% in 2009 from 98.7% in 2008
principally as a result of a 9.7 percentage points worsening in
the direct business loss ratio.  This was mainly due to a
deterioration in motor TPL, reflecting to some degree market-wide
changes to pricing and tariffs in the Italian market -- which
contributed for an increase in the loss ratio by 6.8 percentage
points.  Moody's notes, more positively, that the management has
taken some steps to readdress the deterioration of the P&C result
and expects a reversal of this negative trend in 2010.  The group
has, inter alia, increased motor tariffs in 2009 and initiated
restructuring initiatives including the closure of some of the
least profitable agencies and portfolio pruning in the motor fleet
and health lines.  However, Moody's expects profitability to
remain below levels seen historically.

The banking operations reported a loss of EUR16 million in 2009,
driven by losses in UGF Merchant, the corporate bank, despite a
comprehensive review of the loan portfolio in the previous year
which resulted in a EUR112 million loss in 2008.  The downgrade of
the long term deposit rating of UGF Banca to Baa2 from Baa1
mirrors the one notch downgrade in UGF.  The long term deposit
ratings continues to benefit from a very high expectation of
support from UGF.  This gives one notch of uplift from the bank's
Baa3 Baseline Credit Assessment, and any further downgrade to the
parent's ratings could be expected to lead to a downgrade for the
bank.  The rating agency added that the negative outlook for the
Baa3 BCA reflects the bank's deteriorating asset quality and loss
in 2009, as a result of which the bank is becoming more weakly
positioned within the D+ BFSR category.

The capital position of the group (FGD coverage) has slightly
improved to 1.4x in 2009 from 1.3x in 2008 under Solvency I.
Capitalisation was supported by a recovery in the value of the
available for sales reserves and the issuance of EUR300 million
Tier II by UGF Banca.  The large equity impairments booked via the
profit & loss in 2009 had a neutral impact on capital given that
they were already part of AFS reserves.  On March 25, 2010 the
group announced a capital increase for a maximum of EUR500 million
which would be submitted to the extraordinary shareholder's
meeting in April 2010.  The capital increase would allow the
company to maintain an adequate capitalization following the
acquisition of Arca Vita S.p.A. for EUR274 million, which was
announced at the end of last year and is pending regulatory
approval.  Finsoe S.p.A., UGF's majority shareholders, is
understood to be willing to subscribe to its portion of equity
rights, representing approximately 50% of ordinary shares, and the
remaining part is underwritten by the Italian investment bank
Mediobanca -- Banca di Credito Finanziario S.p.A..

The negative outlook on the Group's ratings reflects the
possibility that the ratings could be lowered if earnings continue
to remain depressed and the combined ratio does not improve
towards 100% in 2010 and below in subsequent years.  The ratings
could also be lowered if there is a material deterioration of the
group's market position, risk profile and capital structure that
could compromise Unipol Group's fundamentals.

These ratings were downgraded and carry a negative outlook:

* UGF Assicurazioni S.p.A. -- insurance financial strength rating:
  to A2 from A1;

* UGF Assicurazioni S.p.A. -- subordinated debt rating: to Baa1
  from A3;

* Unipol Gruppo Finanziario SpA -- senior rating to Baa2 from

* UGF Banca -- long-term deposits to Baa2 from Baa1.

These ratings were affirmed and carry a stable outlook

* UGF Banca -- short terms rating: Prime-2
* UGF Banca -- D+ BFSR

The last rating action on Unipol was on March 31, 2009, when
Moody's revised the outlook to negative from stable of the A1
insurance financial strength rating of UGF Assicurazioni S.p.A and
of the Baa1 long-term deposit rating of UGF Banca.

Unipol Gruppo Finanziario S.p.A., based in Bologna, Italy, is the
parent company of UGF Assicurazioni S.p.A. and UGF Banca.  As of
December 30, 2009, Unipol Gruppo Finanziario S.p.A. reported
consolidated Net Premium Income of EUR7,420 million and
Shareholders Equity at EUR3,826 million (EUR3,705 million as of
year-end 2008).


CLOCK FINANCE: S&P Affirms Ratings on Two Classes of Notes at 'B'
Standard & Poor's Ratings Services raised its credit ratings on
the class B1, B2, C1, and C2 notes in CLOCK Finance No. 1 B.V.  At
the same time, S&P affirmed its ratings on classes A, D, E, F1,
and F2.

The rating actions follow an in-depth review of the transaction's
performance to date, including the defaults S&P has observed in
the pool since closing, the concentration of the remaining
reference portfolio, and the reduced default horizon remaining.

In its view, the transaction has performed better than S&P assumed
in its initial analysis.  Since closing, 25 referenced assets
representing 0.60% of the initial reference portfolio balance have
been subject to credit events.  Of the CHF28.6 million notional
affected by credit events, the issuer has allocated
CHF13.3 million as losses to the (unrated) class G notes.
However, this includes a number of credit events for which the
recovery process is not yet complete, which may lead to an
adjustment of the loss allocation amount.

The transaction is scheduled to mature in February 2013, and
credit events occurring after this date will not be eligible for
loss allocation.  Given the reduced default horizon as of and the
solid actual performance to date with credit events below S&P's
base case, S&P believes it likely that overall losses will remain
below its initial expectation.

S&P's review also included an analysis of the concentration of
borrower groups in the reference portfolio.  In S&P's view, the
concentration levels are commensurate with current levels of
credit enhancement, but the idiosyncratic risk they represent
limits the potential for upgrades, especially for the junior notes
in the capital structure.  The top 50 obligors account for a
cumulative exposure of 23% of the total reference pool.

CLOCK Finance No. 1 is Credit Suisse's first collateralized loan
obligation of loans to small and midsize enterprises (SMEs), set
up to transfer the risk associated with a pool of payment
obligations under framework-lending agreements between Credit
Suisse and certain Swiss SMEs.  CLOCK Finance No. 1 is a synthetic

                           Ratings List

                     CLOCK Finance No. 1 B.V.
    CHF328.6 Million, EUR213.4 Million Denominated Asset-Backed
                       Floating-Rate Notes

                          Ratings Raised

                Class           To            From
                -----           --            ----
                B1              AA+           AA
                B2              AA+           AA
                C1              A+            A
                C2              A+            A

                         Ratings Affirmed

                     Class           Rating
                     -----           ------
                     A               AAA
                     D               BBB
                     E               BB
                     F1              B
                     F2              B

FAXTOR ABS: S&P Cuts Ratings on Two Classes of Notes of 'BB'
Standard & Poor's Ratings Services lowered its credit ratings on
FAXTOR ABS 2003-1 B.V.'s class A3E, A3F, BE, and BF notes.  At the
same time, S&P affirmed the ratings on the class A1E, A2E, and A2F

The rating actions follow S&P's assessment of a deterioration in
the credit quality of the underlying portfolio.  According to
S&P's analysis, the percentage of assets that S&P calculate to be
rated below investment-grade (below 'BBB-') is currently about 41%
compared with about 16% at closing.  S&P's analysis also shows
that out of the assets S&P consider to be rated below investment-
grade, S&P calculate about 6% are rated 'CCC+' and below.  In
S&P's view, this deterioration in the portfolio's credit quality
has led to an increase in scenario default rates.

S&P notes that the transaction is in its amortization phase and
the weighted-average life of the portfolio has reduced.  S&P has
also observed a recent increase in the credit enhancement
available for all rated notes.  However, S&P's cash flow analysis
indicates that in relation to the class A3E, A3F, BE, and BF notes
these factors are not sufficient to compensate for the increased

As a result, the existing ratings on the class A3E, A3F, BE, and
BF notes are no longer consistent with the available credit
enhancement, in its opinion, and S&P has therefore lowered the
ratings on these notes.

S&P has affirmed the ratings on the class A1E, A2E, and A2F notes
because these notes have sufficient credit enhancement, in its
view, to support their existing ratings.  Since the the
transaction is in its amortization phase, only about 62% of the
original class A1E principal amount remains.

According to the latest available trustee report the
overcollateralization test ratios, interest coverage ratios, and
weighted-average spread test are passing.

FAXTOR ABS 2003-1 is a managed cash flow collateralized debt
obligation involving primarily prime European residential and
commercial mortgage-backed securities and loans to small and
midsize enterprises that closed in May 2003.

                           Ratings List

                      FAXTOR ABS 2003-1 B.V.
    EUR308 Million Asset-Backed Fixed- and Floating-Rate Notes

                         Ratings Lowered

               Class           To               From
               -----           --               ----
               A-3 E           A                AA
               A-3F            A                AA
               B E             BB               BBB
               B F             BB               BBB

                         Ratings Affirmed

                     Class           Rating
                     -----           ------
                     A-1 E           AAA
                     A-2 E           AAA
                     A-2 F           AAA


BANK ROSSIYA: Moody's Assigns 'E+' Bank Financial Strength Rating
Moody's Investors Service has assigned these global scale ratings
to Bank Rossiya: 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 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 NSR carries no specific

According to Moody's, Bank Rossiya's E+ BFSR, which translates
into a Baseline Credit Assessment of B2, is underpinned by: (i)
the bank's satisfactory liquidity position as evidenced by a high
share of liquid assets -- accounting for half of the bank's
balance sheet; (ii) the bank's strong efficiency and sound
recurring earning power over the recent years; and (iii) its
established relationships with a number of large corporate

However, Moody's notes that Bank Rossiya's ratings are constrained
by (i) a very high single-name concentration in the loan book and
the customer deposit base as the top 20 loan exposures exceed 400%
of the bank's shareholders' equity and the top 10 largest
depositors contribute over 50% of the bank's non-equity funding;
(ii) the bank's complex group structure; (iii) high level of
related-party exposure; and (iv) the vulnerability of the bank's
franchise which is, at times, based on a personal rather than an
institutional relationship.

According to Moody's, any possible upgrade of Bank Rossiya's
ratings will be contingent on the bank's ability to improve its
corporate governance procedures and risk positioning profile,
resulting in a material decrease of related-party lending and
concentrations on the both sides of its balance sheet.

Conversely, the rating agency observes that Bank Rossiya's ratings
might be adversely affected: (i) in the event of any impairment of
the bank's loan book beyond the level currently indicated by
Moody's base-case stress-testing results, or (ii) if relationships
with its major clients were to weaken, leading to a notable
outflow of the bank's deposit base which is currently highly

Moody's notes that Bank Rossiya's local and foreign currency
deposit ratings do not factor in any probability of systemic
support in the event of a stress situation, given the bank'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 St. Petersburg, Bank Rossiya reported total
assets of RUB112.3 billion (US$3.7 billion) and shareholders'
equity of RUB8.1 billion (US$270 million), in accordance with
Russian GAAP as at December 31, 2009.


OERLIKON CORP: Main Shareholder, Lenders Back Recapitalization
Haig Simonian at The Financial Times reports that Oerlikon said on
Monday its main shareholder and bankers had agreed a CHF1 billion
(US$939 million) recapitalization to restore the company to a more
stable financial footing.

According to the FT, the main part of the plan involves a 19:1
rights issue, priced at CHF3.72 a share -- a fraction of the
group's share price.

The rights issue would be taken up fully by Russian oligarch
Viktor Vekselberg's Renova holding company, which owns about 45%
of Oerlikon, the FT says.  Renova, which has suffered a severe
loss on its stake since investing in 2006, would contribute CHF447
million-CHF400 million in cash and the rest via a conversion of
debt, the FT discloses.

The remaining CHF553 million would be offered to other
shareholders, and if not taken up would be underwritten fully by
Oerlikon's lenders under a debt for equity swap, the FT states.

The banks would waive between CHF25 million and CHF125 million of
debt, with the degree of forgiveness depending on the take-up of
the rights issue, the FT says.

Full approval of the plan remains dependent on the backing of all
of the lenders, although Renova and Oerlikon's main banks have
supported the project, the FT notes.

OC Oerlikon Corporation AG Pfaeffikon --
-- is a Swiss company engaged in the industrial sector.  The
Company divides its activities into six segments: Oerlikon
Textile, providing equipment for the textile production; Oerlikon
Coating, offering protective coatings for precision tools and
components; Oerlikon Solar, which provides solutions for the
manufacturing of thin film silicon solar modules; Oerlikon Vacuum,
providing systems for producing vacuums and conveying process
gases; Oerlikon Drive Systems, which offers propulsion technology,
and Oerlikon Advanced Technologies, providing aerospace and
production systems for nanotechnology applications.  The Company's
solutions are used in a range of industries, including the solar
energy, clean technologies, automotive, information technology
(IT), textile, machinery and tool manufacturing industry, as well
as in the process, space and advanced nanotechnology applications.
The Company operates worldwide through 180 sites in 37 countries.


Fitch Ratings has assigned Turkish Metropolitan Municipality of
Eskisehir Long-term foreign and local currency ratings of 'BB-'
and a National Long-term rating of 'A(tur)'.  The Outlook is

The ratings reflect MME's significant debt burden and weakened
fiscal performance in the present economic crisis.  They also take
into account the municipality's coherent and focused approach to
local governance and good track record of debt service.  MME's
debt payback ratio (debt/current balance) rose to 10.5 years in
2009 after having been largely stable at an average 5.4 years in
2005-2008, due to significant debt-funded investments.  The
payback ratio is expected to fall below eight years by 2011,
albeit remaining above previous years' average over the medium
term.  In 2009 the municipality started to borrow in local
currency.  However, at end-2009 80% of debt was still denominated
in foreign currency, creating considerable FX risk.

MME's operating margins, which averaged 43% in 2005-2009 and
strong in the international context, allow the municipality to
carry out its investment-driven responsibilities.  Despite the
economic slowdown, which is likely to impact revenue growth, Fitch
projects operating margins to still average around 40% in the next
three years given the municipality's proven track record of
operating expenditure restraint.

MME's local socio-economic profile is above the national average
and the metropolitan area has further diversified its revenue
sources in terms of sectors and markets.  Eskisehir benefits from
good transport links to the country's main hubs, Istanbul and

Eskisehir is in western central Anatolia and is one of Turkey's 16
metropolitan areas, with a population of about 650,000.  The
administration's main responsibilities relate to investment,
primarily in infrastructure.  It also provides metropolitan
services such as public transport and fire protection.

U N I T E D   K I N G D O M

ABS LONDON: Faces Liquidation; 45 Jobs Affected
Nick Whitten at H&V News reports that ABS London has ceased
trading, resulting in the loss of 45 jobs.

According to the report, the company has come under increasing
pressure during the recession with two county court judgments made
against the company in recent weeks totaling GBP12,924 -- one on
March 9 for GBP1,840 and one on the March 10 for GBP11,084.

The report relates the directors took the decision to stop trading
this week and will put the firm into voluntary liquidation in two
weeks' time, on April 14.

The company has not filed accounts for nearly two years, with the
most recent figures for the year to March 31, 2008, the report
notes.  The accounts show the firm's pre-tax profit increased to
GBP533,561 from GBP179,624 the prior year which the directors said
was down to a 29% increase in turnover, the report discloses.

ABS London, formerly Airtech Ltd., is a building services
contractor based in London.  The company has a turnovr of GBP24

ALBURN REAL: Fitch Cuts Ratings on Two Classes of Notes to 'CC'
Fitch Ratings has downgraded Alburn Real Estate Capital Limited's
notes and assigned Recovery Ratings to the junior tranches.  The
transaction is a commercial mortgage-backed securitization due in
October 2016.

  -- GBP123m class A (XS0285749833): downgraded to 'A' from 'AA-';
     Outlook Negative

  -- GBP19.8m class B (XS0285751904): downgraded to 'BB' from 'A-
     '; Outlook Negative

  -- GBP18.5m class C (XS0285753272): downgraded to 'CCC' from
     'BB-'; assigned a Recovery Rating of 'RR4'

  -- GBP18.5m class D (XS0285753942): downgraded to 'CC' from 'B-
     '; assigned a Recovery Rating of 'RR6'

  -- GBP5.4m class E (XS0285755053): downgraded to 'CC' from
     'CCC'; assigned a Recovery Rating of 'RR6'

The downgrades reflect ongoing negative market conditions for the
secondary and tertiary segments of the UK property market and
their impact on the creditworthiness of this transaction.

The property portfolio is granular but of low-tier secondary or
tertiary nature.  A significant part of the portfolio's office
component is located in less established market locations and the
biggest retail property is under-performing due to the weak
economic environment and overall poor asset quality.  As a result,
Fitch believes that the portfolio will continue to be affected by
the currently prevailing yield gap between prime and
secondary/tertiary quality assets.  While the portfolio's net
operating income has only experienced a modest decline --
approximately 6%, the majority of which has occurred in the last
12 months -- since closing in February 2007, Fitch is of the
opinion that the current status of the occupational markets will
likely further affect the portfolio's performance in the short- to

The collateral was last re-valued at GBP134.5 million in October
2009, reflecting a market value decline of approximately 46% since
closing and of 4% since the last revaluation (April 2009).  Fitch
estimates that, as a result of general appreciation experienced by
prime and top-tier secondary UK properties, the collateral
portfolio's value is likely to have grown by a modest 4% since the
last desktop revaluation in October 2009.  In the agency's
analysis, this appreciation only relates to a handful of above-
average quality properties in the portfolio.  On this basis, the
underlying loan shows a current Fitch loan-to-value ratio of 128%,
compared to a reported LTV of 134%.

Since closing, the reported forward-looking interest coverage
ratio has decreased to 1.3x from 1.46x.  The transaction benefits
from scheduled amortization, which would result in an exit LTV of
131% on the basis of the portfolio's reported value, and an exit
LTV of 125% on the basis of Fitch's estimate.  As a result of the
restructuring approved in September 2009, amortization proceeds
are now allocated on a sequential basis to the rated notes and the
original LTV covenant is waived until April 2011, when looser
covenants will apply (135%, gradually decreasing to 125% at loan
maturity).  Moreover, surplus funds which, according to the
amended credit agreement, could further amortize the loan, are
currently trapped to build up sufficient reserves to offset
potential swap breakage costs if a loan event of default arises
prior to loan maturity (October 2013).  The subordinated GBP11.8
million loan continues to receive interest payments but scheduled
amortization is diverted to the same cash trap account.

Alburn Real Estate Capital Limited is a securitization of the A-
note of a single commercial mortgage loan arranged by N M
Rothschild & Sons ('A-'/Stable/'F1').  The loan is secured by
first-ranking mortgages over 45 commercial properties located
across the UK, comprising 29 offices, 13 industrial properties,
two retail properties and one shopping centre.

C & R PRINT: Ceases Trading; 81 Jobs Affected
Margaret Canning at Belfast Telegraph reports that C & R Print,
which bought the assets of Graham & Heslip in a pre-pack
administration deal three months ago, stopped trading after just
five months in business, resulting in the loss of 81 jobs.

According to the report, it has emerged that suppliers owed large
sums of money by Graham & Heslip refused to do business with the
new company, which was set up in October.

"It is a very unfortunate.  The new company bought the assets of
Graham & Heslip and took over all its employees.  But suppliers of
Graham & Heslip refused to do business with them and effectively
blackballed them," the report quoted insolvency practitioner John
Gordon of Napier & Sons, who is advising the directors, as saying.

The report relates Mr. Gordon said he had looked at the
possibility of making around 40 of the workforce redundant and
continuing trading but said an increase in the cost of paper was
"the final straw".  Mr. Gordon said he was filing papers to enable
the company to petition the court to go into liquidation, the
report notes.

It is understood the company owes around GBP900,000, including
GBP500,000 in redundancy, pay in lieu of notice, arrears of wages
and holiday pay, the report states.

The report recalls Graham & Heslip went into administration owing
GBP3.1 million to unsecured creditors with the largest debt of
GBP790,370 owed to McNaughton Paper.

EMI GROUP: Universal Re-Enters Distribution Deal Talks
Universal Music Group has re-entered talks for a music
distribution deal with EMI Group Ltd., Dana Cimilluca and Ethan
Smith at The Wall Street Journal report, citing people familiar
with the matter.

According to the Journal, the people said the deal under
consideration would involve an upfront payment of about GBP200
million, or about US$300 million, for a roughly five-year deal
that would give Universal the right to distribute EMI artists in
the Americas, including Latin America.

The Journal says the deal could represent a last-minute reprieve
for EMI and its private equity owners, Terra Firma Capital
Partners Ltd., which are facing a deadline of Wednesday to come up
with cash to head off a default on borrowings from Citigroup Inc.

The Journal notes one of the people said the two sides are
scrambling to put together a deal in the next 24 hours.

The Journal recalls Universal said last week said publicly that it
was not in talks with Terra Firma.  Over the weekend, Terra Firma
approached Universal with another proposal, the Journal says
citing a person familiar with the matter.

In a March 30 report the Journal said at risk of default is a
GBP950 million loan backed by EMI Music, the recorded-music arm of
the company.

                       Going Concern Doubt

As reported by the Troubled Company Reporter-Europe on Feb. 8,
2010, The Financial Times said KPMG, EMI Group's accountants,
raised "significant doubt" about the company's ability to continue
as a going concern.  According to the FT, accounts for the year to
March 2009, released on Feb. 9, however, make clear that even if
Terra Firma secures this equity, it will face another "significant
shortfall" against a test on covenants in its loans by March 2011.
The FT said unless it can persuade Citigroup to restructure its
GBP3.2 billion in loans by then, investors face further cash

EMI -- is the fourth largest record
company in terms of market share (behind Universal Music Group,
Sony Music Entertainment, and Warner Music Group).  It houses
recorded music segment EMI Music and EMI Music Publishing.  EMI
Music distributes CDs, videos, and other formats primarily through
imprints and divisions such as Capitol Records and Virgin, and
sports a roster of artists such as The Beastie Boys, Norah Jones,
and Lenny Kravitz.  EMI Music Publishing, the world's largest
music publisher, handles the rights to more than a million songs.
EMI Music operates through regional divisions (EMI Music North
America, International, and UK & Ireland).  Private equity firm
Terra Firma owns EMI.

FOSTER STONE: Faces Liquidation Following CIB Investigation
A South London letting agent that repeatedly failed to protect the
landlords' and tenants' monies has been ordered into liquidation
in the High Court on grounds of public interest following a
Government investigation.

The investigation by Company Investigations (CI) of the Insolvency
Service found that Foster Stone Limited repeatedly breached
agreements with both landlords and tenants and failed to protect
tenants' deposits and landlords' monies in relation to rent and
administrative fees.  As a result numerous complaints were made
resulting in 31 county court judgments against the company
totaling 82,177.

The company's business was primarily operated through its website  Visitors to the company's trading address
found the premises seemingly unoccupied, although they were
apparently watched by a security camera above the door.

The grounds for winding up the company were that it:

   1. Failed to co-operate with the investigation;

   2. Failed to deal with deposits received from tenants in
      accordance with an authorized scheme in accordance with the
      Housing Act 2004;

   3. Made misleading statements on its website and purported We
      feel sure that your experience with us will go a long way
      towards changing your perception of the property industry
      for the better;

   4. Failed to file accounts and annual returns;

   5. Made unexplained payments and was insolvent.

In ordering the company into liquidation Mr. Registrar Simmonds
said that he was satisfied that the evidence before him, supported
by the earlier appointment of a provisional liquidator by
Mr. Justice Sales, showed there was a strong prima facie case that
the company should be wound up in the public interest.

Foster Stone Limited was incorporated on January 19, 2007.  Its
registered office is at 7 St Olavs Court, Lower Road, London, SE16
2XB.  Timothy Foster is the sole recorded director (appointed on
March 15, 2007), the other registered director Michael John Allen
(appointed on January 19, 2007) having resigned on March 23, 2007.
The company secretary until February 21, 2007 is shown to have
been John Allen and thereafter James Cooper.

The company and those behind it have failed to co-operate with the
investigation.  The information available suggests that the
following have been involved in its business:

   -- James Bonham,
   -- Karl Richardson,
   -- Martin Bentley,
   -- Simon Talbot,
   -- Adam Bridge, and
   -- Giles Handley.

Giles Handley is presently disqualified from acting in the
promotion or management of a company in respect of his involvement
in two earlier companies that similarly traded as letting

Cyber Lets Limited was incorporated on December 8, 2003 and its
registered office address was also at Lower Road (37 City Business
Centre, Lower Road, Surrey Quays, London SE16 2XB).  Mr. Handley
was appointed a director on incorporation and resigned on 27
January 27, 2005.  The company was placed into creditors'
voluntary liquidation on August 31, 2005 shortly after CIB had
commenced statutory inquiries into this company.  Following CIB's
investigation, Mr. Handley was disqualified for a period of 6
years. Limited was incorporated on January 18, 2005.
Mr. Handley was appointed a director on incorporation and resigned
shortly afterwards on February 15, 2005.  On 15 June 2007 the
company entered into creditors' voluntary liquidation and on
July 23, 2009 he undertook not to be a director for a period of 7

The petition to wind up Foster Stone Limited in the public
interest was issued in the High Court on December 9, 2009 under
section 124A of the Insolvency Act 1986.

On the application of the Secretary of State (and without notice
to the company) the Official Receiver was appointed by the Court
as provisional liquidator of the company on December 10, 2009.
The role of the Official Receiver was to protect the assets and
financial records of the company pending determination of the

The company, which did not oppose the winding up action, was
ordered into liquidation on March 3, 2010.

The Companies Investigation Branch carries out confidential
enquiries on behalf of the Secretary of State for Business,
Innovation & Skills (BIS).

The Insolvency Service administers the insolvency regime
investigating all compulsory liquidations and individual
insolvencies (bankruptcies) through the Official Receiver to
establish why they became insolvent.  The Service also authorizes
and regulates the insolvency profession; deals with
disqualification of directors in corporate failures; assesses and
pays statutory entitlement to redundancy payments when an employer
cannot or will not pay employees; provides banking and investment
services for bankruptcy and liquidation estate funds; and advises
ministers and other government departments on insolvency law and

All public inquiries concerning the affairs of the company should
be made to:

          The Official Receiver
          Public Interest Unit
          4th Floor
          21 Bloomsbury Street
          London, WC1B 3SS
          Telephone: 020 7637 1110

JARVIS PLC: Deloitte Appointed Administrators
Nick Edwards, Neville Kahn, Phil Bowers and Ian Brown, partners in
Deloitte, have been appointed as Joint Administrators of Jarvis
Plc and its subsidiary Jarvis Accommodation Services Ltd.,
following an application to Court by the Directors.

The Administrators are in the process of performing a rapid
assessment of the financial position of the Companies, and
commencing discussions with key stakeholders in order to formulate
a strategy to stabilize the business.

Nick Edwards, Deloitte partner and Joint Administrator, commented:
"Unfortunately, Jarvis Plc reached a position where a substantial
funding gap meant they were unable to continue trading.  Our
immediate priority will be to work with stakeholders to stabilize
the business while we identify which parts of the business we can
continue to trade and seek buyers for as going concerns."

Citing The Associated Press, the Troubled Company Reporter-Europe
reported on March 29, 2010, that that Jarvis PLC on March 25 it
wass going into administration, a form of bankruptcy protection,
after failing to reach agreements with lenders to support its
operations.  According to AP, Jarvis said it had been hit by
cutbacks in railway maintenance work.  AP disclosed trading in
Jarvis shares was suspended March 24 on the London Stock Exchange.

Jarvis plc -- is a United Kingdom-
based company engaged in rail infrastructure renewal and
enhancement, plant hire, freight and facilities management.  The
Company is organized into three segments: Rail, Plant and
Accommodation Services.  Rail segment provides rail infrastructure
works to the United Kingdom rail industry, including rail renewal,
major track development, electrical and signaling services.  Plant
segment provides on-track machinery, small plant equipment and
manages a fleet of purpose-built vehicles for the rail and other
industries; provides bulk haulage and container freight services.
Accommodation Services segment undertakes facilities management
operations.  Jarvis Rail Limited (Jarvis Rail) is the rail
engineering arm of the business, which undertakes rail enhancement
projects, signaling and telecommunications, overhead line and
track renewals nationwide.

KENMORE CAPITAL: Savills Appointed to Sell 32 Properties
The Joint Administrators to Kenmore Capital Ltd. and Kenmore
Capital 2 Ltd., Rob Caven and Martin Ellis of Grant Thornton UK
LLP, confirm the appointment of Savills as agent for sale in
respect of 32 of Kenmore's UK properties.

"There has been, and continues to be, considerable market interest
in the Kenmore properties.  The numerous enquiries we have
received range from those expressing interest in the whole
portfolio to those expressing interest in individual properties.
In exploring all options to recover sums for creditors, we intend
to market test such demand," said Rob Caven, Joint Administrator.

The properties to which Savills have been appointed as agent for
sale include a mixture of offices, industrial, shopping centers,
retail, leisure and developments.  Details relating to the
properties for sale can be found at or by
contacting Savills.  Inquiries should be addressed to 0131 247
3800 or

POWWOW WATER: Goes Into Administration on Cash Flow Problems
------------------------------------------------------------ reports that office water cooler company PowWow was
taken into administration on March 25 by Deloitte.

According to the report, cash flow problems were said to be the
cause of PowWow's collapse, and rather than operating it as a
going concern the decision was taken to close the firm, effective

PowWow Water is headquartered in Oxfordshire.

ROYAL BANK: German Invoice Unit Sold; Gets Bids for Equity Unit
Sharlene Goff at The Financial Times reports that Royal Bank of
Scotland has taken further steps to rid itself of non-core
businesses as it sold a German invoice financing business and
received numerous bids for its European private equity unit.

The FT relates the bank sold RBS Factoring, its invoice finance
business in Germany, to GE Capital for an undisclosed sum.

According to the FT, people close to the sales process said the
bank has received close to 10 bids for the European arm of its
private equity portfolio ahead of this week's deadline for buyers
to express their interest.

The FT says buyers include Lexington Partners and Alpinvest
Partners, which invest in secondary private equity interests, and
Credit Suisse, the Swiss bank.

The European portfolio -- which accounts for about a third of the
bank's total private equity division -- is expected to sell for
about EUR250 million (GBP225 million), the FT states.  RBS hopes
to complete the sale by the middle of this year, the FT notes.

The sale is part of a drive by RBS, which is 70%-owned by the
government, to dispose of non-core businesses as it looks to
strengthen its capital reserves and streamline its bloated balance
sheet, the FT discloses.

UBS is advising RBS on the asset sales, the FT says.

The Royal Bank of Scotland Group plc (NYSE:RBS) -- 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 March 29,
2010, Standard & Poor's Ratings Services said that it lowered its
ratings on "may pay" Tier 1 securities issued or guaranteed by The
Royal Bank of Scotland Group PLC (A/Stable/A-1) to 'C' from 'CC'.
At the same time, the rating on the RBSG-related security issued
by Argon Capital PLC was similarly lowered to 'C' from 'CC'.  The
counterparty credit ratings and stand-alone credit profiles of
RBSG and subsidiaries, and the ratings on other debt securities
issued by these entities, are unaffected.

WELFHED GROUP: Goes Into Liquidation
Linlithgow Gazette reports that the WELFHED group has gone into

According to the report, the group was meant to be a central buyer
to help community food groups source affordable good food across
the county.

The group was awarded a GBP1 million lottery grant to supply fresh
fruits and vegetables in West Lothian, the report says.

WREKIN CONSTRUCTION: Legal Proceedings Over Accounts Begin
BBC News reports that administrators for Wrekin Construction have
started legal action over a number of "unusual transactions" in
the firm's accounts.

The report recalls Wrekin Construction went into administration in
2009 after the Royal Bank of Scotland withdrew its services.

According to the report, joint administrators Ernst & Young and
Eversheds LLP said accountants had found irregularities in the
insolvent firm's books and company records.

The report notes the administrators said proceedings had started
in relation to "certain transactions", but to avoid prejudicing
any future claims, they did not wish to comment further.

Wrekin Construction was based in Shifnal, Shropshire and made 420
people redundant at sites which included Yorkshire,
Northamptonshire and Cheshire when it went into administration in
March 2009, the report recounts.


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

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  Go to 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-Fernandez, Joy A. Agravante and Peter A. Chapman,

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 * * *