TCREUR_Public/100510.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

            Monday, May 10, 2010, Vol. 11, No. 090



SPAR NORD: Moody's Assigns 'Ba1' Rating on Hybrid Tier 1 Notes


HYPO REAL ESTATE: Court to Hear Witnesses Over Ex-Chief Firing
ROHWEDDER AG: Ex-Chief Seeks Investors to Buy Back Business


* GREECE: EU Agrees to Set Up Fund to Halt Crisis Contagion
* GREECE: German Lawmakers Approve EUR22.4 Bil. Bailout Loan
* GREECE: Banks, Insurers to Provide EUR8.1 Bil. in Financing


KAUPTHING BANK: Ex-CEO Arrested in Collapse Probe


CLOVERIE PLC: Moody's Junks Ratings on Four Classes of Notes
MICHAEL TIMONEY: Judge Grants GBP5.6-Mil. Summary Judgment


COLT GROUP: S&P Gives Positive Outlook; Affirms 'BB-' Rating


BANK BPH: To Post Loss This Year; Mulls Job Cuts


CREDIT EUROPE: Fitch 'BB-' Assigns Issuer Default Rating
TATNEFT OAO: Fitch Affirms Issuer Default Rating at 'BB'

U N I T E D   K I N G D O M

ALBURN REAL: S&P Junks Ratings on Three Classes of Notes
BRITISH AIRWAYS: Cabin Crew Rejects Latest Pay Offer to End Row
EMI GROUP: Terra Firma Investors to Vote on Cash Call Today
I-LEVEL: Engine Buys Social Media Unit Jam
PORTSMOUTH FOOTBALL: Debts Soar to GBP135MM, Administrators Say

RANGERS FOOTBALL: Fans May Boycott Lloyds on Lack of Support
ROYAL BANK: Posts GBP248 Mil. Net Loss in First Quarter 2010
WINDERMERE XI: S&P Lowers Ratings on Two Classes of Notes to 'D'


* BOND PRICING: For the Week May 3 to May 7, 2010



SPAR NORD: Moody's Assigns 'Ba1' Rating on Hybrid Tier 1 Notes
Moody's Investors Service has assigned a Ba1 rating to the
DKK350 million (EUR47 million) outstanding perpetual hybrid Tier 1
securities issued by Spar Nord Bank A/S.

In accordance with the revised hybrid methodology published in
November 2009, Moody's used Spar Nord's Baa1 adjusted Baseline
Credit Assessment as the starting point and notched down based on
these features of the instrument:

Coupon skip is mandatory following the breach of an available free
reserve trigger, in which case the deferral would be non-
cumulative, providing stronger loss absorption capacity while the
issuer is going concern.  Following the breach of a minimum
regulatory capital trigger, interest deferral is optional and
cumulative.  A permanent principal write-down is possible if share
capital is reduced to zero in a restructuring outside of a
liquidation.  Taking into account their deeply subordinated claim
in liquidation, this leads to these instruments being rated at
three notches below BCA level.

The previous rating action on Spar Nord Bank A/S was implemented
on 26 February 2010, when the bank's junior subordinated debt
ratings were downgraded to Baa3 from Baa2.

Spar Nord reported a pre-tax profit for the first three months of
2010 of DKK11 million, down 78% year-on-year.  The reduction was
driven mainly by a lower net interest income (down 15% year-on-
year), reflecting the lower interest rate environment and reduced
loan book, and higher staff costs (up 11% year-on-year), half of
which extraordinary costs related to redundancies.

Spar Nord's Tier 1 capital was 13.2% at end-March 2010, unchanged
from YE2009.

Headquartered in Aalborg, Denmark, Spar Nord Bank A/S reported
total assets of DKK69 billion (EUR9 billion) at the end of March


HYPO REAL ESTATE: Court to Hear Witnesses Over Ex-Chief Firing
Oliver Suess and Karin Matussek at Bloomberg News report that a
Munich court said it needs to hear expert witnesses to decide
whether Hypo Real Estate Holding AG was entitled to fire former
Chief Executive Officer Georg Funke and other top managers over
the lender's bailout.

Bloomberg relates Presiding Judge Helmut Krenek on Thursday said
testimony from experts is needed to decide whether breaches of
duty by Mr. Funke, former Chief Financial Officer Markus Fell and
ex-management board member Frank Lamby were severe enough to
justify the firings.

Bloomberg recalls the contracts of the three executives, who sued
for wrongful dismissal, were terminated in December 2008.

According to Bloomberg, the court will review whether the managers
fulfilled their due diligence obligations related to the
EUR5.3-billion (US$6.8 billion) 2007 acquisition of Dublin-based
Depfa Bank Plc and the lender's refinancing strategy.

Bloomberg says Messrs. Funke and Fell are seeking to invalidate
their firings and demand salary payments for parts of 2009, as
well as pension payments, while Mr. Lamby is seeking pay for
January 2009.

Bloomberg notes the judge said at the court hearing financial and
legal experts will have to testify about whether Hypo Real
Estate's managers had an obligation to conduct a group-wide
liquidity stress test and establish an emergency plan.  The court
plans to issue a ruling on the cases Jan. 27, 2011, Bloomberg

The cases are LG Muenchen, 5HK O 2122/09, LG Muenchen, 5HK
O 2683/09, LG Muenchen 5HK O 1762/09, LG Muenchen, 5HK O 1644/09
and 5HK O 270/09.

                       About Hypo Real Estate

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

ROHWEDDER AG: Ex-Chief Seeks Investors to Buy Back Business
Ragnhild Kjetland at Bloomberg News, citing newspaper Sueddeutsche
Zeitung, reports that Joachim Rohwedder, former chairman and chief
executive officer of Rohwedder AG, is seeking investors to buy
back the company.  According to Bloomberg, Mr. Rohwedder told the
newspaper in an interview he has just started the search for
investors and has until the end of May to make an offer.

As reported by the Troubled Company Reporter-Europe, Rohwedder AG
applied to the Konstanz district court on March 26, 2010, to
initiate insolvency proceedings.  According to the report, once
the insolvency proceedings have been initiated, Rohwedder would
cease doing business and would liquidate.  Shareholders are not
expected to recover anything.

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.


* GREECE: EU Agrees to Set Up Fund to Halt Crisis Contagion
James G. Neuger and Gregory Viscusi at Bloomberg News report that
European leaders agreed to set up an emergency fund to halt the
spread of Greece's fiscal woes.

According to Bloomberg, leaders of the 16 euro countries said the
workings of the financial backstop will be hammered out before the
markets open today, May 10.

Bloomberg notes European officials declined to disclose the size
of the stabilization fund, to be made up of money borrowed by the
European Union's central authorities with guarantees by national

"When the markets re-open [to]day, we will have in place a
mechanism to defend the euro," Bloomberg quoted French President
Nicolas Sarkozy, as saying.  "If you don't think that's
significant, you haven't been to many EU summits."

* GREECE: German Lawmakers Approve EUR22.4 Bil. Bailout Loan
Tony Czuczka and Patrick Donahue at Bloomberg News report that
German lawmakers approved loans of as much as EUR22.4 billion
(US$28.6 billion) for cash-stricken Greece.

Bloomberg relates the lower house of parliament in Berlin voted
390 to 72 in favor of Germany's share of the EUR110-billion
lifeline from the euro-region and International Monetary Fund that
will allow Greece to avoid default.

According to Bloomberg, Finance Minister Wolfgang Schaeuble told
lawmakers in the lower house, or Bundestag, that a Greek default
would be "devastating".  Bloomberg notes Mr. Schaeuble urged
approval of the aid package as essential for the euro's stability
and the future of the whole European Union.  "We have no better
alternative," Bloomberg quoted Mr. Schaeuble as saying.  "Any
other way would be more expensive and more dangerous."


Karin Matussek at Bloomberg News reports that German participation
in the GBP110-billion (US$140 billion) aid package for Greece was
challenged by five academics who claim the rescue violates their
constitutional rights and European Union treaties.

According to Bloomberg, a group of economists and university
professors are seeking an emergency ruling blocking German
approval for the package as part of a complaint at the Federal
Constitutional Court in Karlsruhe.  Bloomberg says the men argue
the aid package violates the "no bailout-clause" in EU governing

* GREECE: Banks, Insurers to Provide EUR8.1 Bil. in Financing
Aaron Kirchfeld at Bloomberg News reports that the German Finance
Ministry said German financial companies, including Deutsche Bank
AG and Allianz SE, agreed to provide EUR8.1 billion (US$10.3
billion) in financing to Greece to bolster the debt-stricken

Banks and insurers will make available EUR4.8 billion in financing
to replace Greek government bonds expiring by May 6, 2013, by
purchasing new bonds or providing other forms of financing,
Bloomberg says, citing a statement distributed by the Finance
Ministry Friday.  According to Bloomberg, they will also replace
EUR3.3 billion in expiring credit lines with new ones or other

Bloomberg notes companies that have publicly pledged to support
the measures include Deutsche Bank and Commerzbank AG, Germany's
two biggest lenders, DZ Bank AG, HVB Group, Allianz and Munich Re.

The country's banks have EUR34.4 billion and insurers EUR9 billion
in exposure to Greece in the form of loans and bonds, Bloomberg
discloses, citing German financial regulator BaFin.


KAUPTHING BANK: Ex-CEO Arrested in Collapse Probe
Hreidar Mar Sigurdsson, the former chief executive officer of
Kaupthing Bank hf, was arrested after an investigation into the
collapse of Iceland's largest bank, Elizabeth Amon at Bloomberg
News reports, citing two people familiar with the probe.

Bloomberg relates Iceland's special prosecutor said in a statement
Reykjavik police arrested one person, who they didn't identify, on
suspicion of forgery, market manipulation and violating the law in
pursuit of personal financial gain,

According to Bloomberg, the prosecutor said the individual is
being held in solitary confinement to protect the integrity of the

Times Online reports the Prosecutor Olafur Thor Hauksson said that
he planned to ask that the former banker be kept in custody for
two weeks to prevent the possibility of him tampering with
evidence or interfering with the investigation.

Times Online recalls Mr. Hauksson was appointed by the Iceland's
post-crisis government to investigate whether there was any
criminal activity in the lead up to the banking crash that
crippled Iceland's economy, sending its currency into a tailspin,
frightening off foreign investors and forcing out the country's
former leaders.

Times Online notes Britain's Serious Fraud Office is still
conducting its own investigation into suspected fraud at
Kaupthing, with a focus on efforts by the bank to attract British
investors to its "high yield" deposit account, Kaupthing Edge.

Times Online recounts when it opened the investigation in
December, the British agency said that it would work with the
Icelandic special prosecutor because it also looked closely at a
series of decisions that appear to have allowed substantial value
to be extracted from the bank in the weeks and days before its

                       About Kaupthing Bank

Headquartered in Reykjavik, Kaupthing Bank -- is Iceland's largest bank and among
the Nordic region's 10 largest banking groups.  With operations in
more than a dozen countries, the bank offers a range of services
including retail banking, corporate finance, asset management,
brokerage, private banking, treasury, and private wealth
management.  Kaupthing was created by the 2003 merger of
Bunadarbanki and Kaupthing Bank.  In October 2008 the Icelandic
government assumed control of Kaupthing Bank after taking similar
measures with rivals Landsbanki and Glitnir.

As reported by the Troubled Company Reporter on Nov. 30, 2008,
Olafur Gardasson, assistant for Kaupthing Bank hf., in a
proceeding under Act No. 21/1991, pending before the Reykjavik
District Court, and foreign representative of the Debtor, filed a
petition under chapter 15 of title 11 of the United States Code in
the United States Bankruptcy Court for the Southern District of
New York commencing the Debtor's chapter 15 case ancillary to the
Icelandic Proceeding and seeking recognition for the Icelandic
Proceeding as a "foreign main proceeding" under the Bankruptcy
Code and relief in aid of the Icelandic Proceeding.


CLOVERIE PLC: Moody's Junks Ratings on Four Classes of Notes
Moody's Investors Service has taken these rating actions on notes
issued by Cloverie Plc under Series 2004-72, 2004-77 & 2005-04
(relating to the US Onyx AAA portfolio) and Series 2005-07
(relating to the US Onyx VIII portfolio).

Issuer: Cloverie plc - Series 2004-72 and 2004-77 and 2005-04

  -- EUR30,000,000 Class C Secured Floating Rate Portfolio Linked
     Notes due 2024, Downgraded to Caa3; previously on Feb 23,
     2010 Downgraded to Ba1

  -- EUR50,000,000 Class C Secured Floating Rate Series 77,
     Downgraded to Caa3; previously on Feb 23, 2010 Downgraded to

  -- US$50,000,000 Class C Secured Floating Rate Series 2005-04,
     Downgraded to Caa3; previously on Feb 23, 2010 Downgraded to

Issuer: Cloverie Plc - Series 2005-07 (US Onyx)

  -- US$25,000,000 Class C Secured Floating Rate Series 2005-07,
     Downgraded to Caa3; previously on Mar 11, 2009 Downgraded to

The transactions are synthetic collateralized debt obligations
backed by static portfolios of US RMBS securities all originated
in 2004 and 2005.  Upon a credit event, losses on the defaulted
securities are fixed at 20%.  These synthetic transactions are
structured in such a way so as to replicate certain features of
cashflow transactions through the use of excess spread and a
payment waterfall.

Moody's notes that the rating actions taken are a result of a
deterioration of the credit quality of the reference portfolios.
This can be observed through a decline in the average credit
rating (as measured by an increase in the Weighted Average Rating
Factor or "WARF").  The current portfolio WARF is 453 versus a
WARF of 262 at the time of the previous rating action in Feb 2010
for US Onyx AAA.  For the US Onyx VIII portfolio, the current WARF
is 786 compared to 363 in Jan 2009.

In particular, Moody's notes a significant risk of credit event on
two US Onyx AAA portfolio securities, namely RASC Series 2004-KS7
Trust Class A-II-B3, currently rated Caa2, and RASC Series 2004-
KS9 Trust Class A-II-3, rated B3.  There are also two securities
with a high risk of credit event in the US Onyx VIII portfolio,
RASC Series 2004-KS9 Trust Class A-II-3 and CWALT, Inc. Mortgage
Pass-Through Certificates, Series 2005-14 Cl.  2-A-3 currently
rated Caa2.  These securities remain on watch for downgrade.  The
default of these two securities could lead to losses on the rated
notes as the credit enhancement is thin and the benefit provided
by the excess spread mechanism, which offsets losses by residual
interest, is uncertain and highly dependent on the timing of
default and amortization of the portfolio securities.

Moody's also explained that in arriving at the rating action noted
above, the ratings of subprime, Alt-A and Option-ARM RMBS which
are currently on review for possible downgrade were stressed.  For
purposes of monitoring its ratings of SF CDOs with exposure to
2005-2007 vintage RMBS, Moody's used certain projections of the
lifetime average cumulative losses as set forth in Moody's press
releases dated January 13th for subprime, January 14th for Alt-A,
and January 27th for Option-ARM.  Based on the anticipated ratings
impact of the updated cumulative loss numbers, the stress varied
based on vintage, current rating, and RMBS asset type.  For
purposes of monitoring its ratings of SF CDOs with exposure to
pre-2005 vintage RMBS, Moody's considered the various factors
indicating continued negative performance that were described in
Moody's press releases dated April 8th for subprime, April 12th
for Option-ARM and April 13th for Alt-A.  Such seasoned deals will
have varying stress based on RMBS asset type.

For 2005 Alt-A and Option-ARM securities, securities that are
currently rated Aaa or Aa were stressed by eleven notches, and
securities currently rated A or Baa were stressed by eight
notches.  Those securities currently rated in the Ba or B range
were stressed to Caa3, while current Caa securities were treated
as Ca.

For 2005 subprime RMBS, those currently rated Aa, A or Baa were
stressed by five notches, Ba rated securities were stressed to
Caa3, and B or Caa securities were treated as Ca.

Moody's noted that the stresses applicable to categories of 2005-
2007 subprime RMBS that are not listed above will be two notches
if the RMBS ratings are on review for possible downgrade.

For pre-2005 Alt-A, Aaa rated securities were stressed by four
notches, Aa rated securities by six notches, and A or Baa rated
securities by nine notches.  Pre-2005 Option-ARM securities
currently rated Aaa were stressed by two notches, Aa and A by six
notches, and Baa by nine notches.

For pre-2005 subprime, Aaa and Aa rated securities were stressed
by two notches, A rated securities were stressed by six notches,
and Baa rated securities were stressed by nine notches.

All subprime, Alt-A and Option-ARM RMBS securities which
originated prior to 2005, are currently rated Ba or below, and are
also currently on review for possible downgrade have been stressed
to Ca.

Moody's further explained that these stresses are based on a
preliminary sample analysis of deals from a given vintage and
asset type, and that they will be utilized in its SF CDO rating
analysis while subprime, Alt-A and Option-ARM securities remain on
review for downgrade.  Current public ratings will be used for
securities that have undergone an in depth review by Moody's RMBS
team, and that are no longer on review for downgrade.

Moody's also performed a number of sensitivity analyses with
various assumptions of weighted average life for each portfolio
security and for the rated liabilities.

Moody's continues to monitor this transaction using primarily the
methodology and its supplements for SF CDOs as described in
Moody's Special Report below:

  -- Moody's Approach to Rating SF CDOs (August 2009)

In deriving its ratings, Moody's uses the collateral instrument's
current rating-based expected loss, Moody's recovery rate table,
and the original rating of the instrument along with its average
life to infer an unadjusted default probability.  In addition to
the quantitative factors that are explicitly modeled, qualitative
factors are part of rating committee considerations.  These
qualitative factors include the structural protections in each
transaction, the recent deal performance in the current market
environment, the legal environment, and specific documentation
features.  All information available to rating committees,
including macroeconomic forecasts, input from other Moody's
analytical groups, market factors, and judgments regarding the
nature and severity of credit stress on the transactions, may
influence the final rating decision.

MICHAEL TIMONEY: Judge Grants GBP5.6-Mil. Summary Judgment
Donegal Democrat reports that the High Court's Mr. Justice Peter
Kelly has granted a summary judgment of GBP5.6 million against
Michael and Maureen Timoney, directors of Michael Timoney and Son
Development Ltd.

According to the report, ACC Bank obtained the order on foot of
guarantees for three commercial loans given to the company in 2004
and 2006.

The report notes that while the couple's counsel asked for a
three-month postponement on the order to allow the receiver a
chance to sell some of the 23 properties the company has built at
Ballinamore, Co. Leitrim, it was agreed that it was unlikely any
of the properties would sell during the time.

Michael Timoney and Son Development Ltd. went into receivership on
Jan. 19.


COLT GROUP: S&P Gives Positive Outlook; Affirms 'BB-' Rating
Standard & Poor's Ratings Services said that it revised its
outlook on European business communications and IT managed
services provider Colt Group S.A. and Colt Technology Services
Ltd. to positive from stable.  At the same time, S&P affirmed the
'BB-' long-term corporate credit ratings on all Colt entities.

"The outlook revision reflects that Colt has steadily improved its
profitability, continues to generate free operating cash flow, and
maintains healthy credit metrics," said Standard & Poor's credit
analyst Helen O'Toole.

The ratings are constrained by Colt's lack of a clear, publicly
communicated financial policy and by business risk considerations
that include: the highly competitive nature of the
telecommunications industry; Colt's scale compared with its major
competitors; relatively high customer churn, with short contracts
for some of its telecoms services; and its exposure to intrinsic
technological telecoms risks.

S&P believes these constraints are mitigated by S&P's view of
Colt's "intermediate" financial risk profile, which is supported
by Colt's solid credit metrics, adequate liquidity position, and
positive free operating cash flow generation.  In addition,
supportive major shareholders FMR LLC (A+/Stable/A-1), FIL Ltd.
(BBB+/Stable/A-2), and other Fidelity entities, have provided
significant financial support in the past.

In 2009, the group's total revenues declined by 3.2% versus 2008,
to EUR1,622.5 million, mainly due to a steep 12% decline in voice
revenues (41% of total revenues) due to regulatory and pricing
pressures.  Revenue continued to decline in the first quarter of
2010.  Data revenue growth decelerated in 2009 to 0.5% as demand
for older data products fell.  However, this was more than offset
by high demand for Colt's Ethernet services.  Colt's managed
services division continued to perform well, recording 24.6% year-
on-year growth in revenues, mainly due to new data-center
contracts.  Managed services now account for just under 10% of
total group revenues.  The shifting revenue mix away from lower-
margin voice products toward higher-margin data and managed
services has improved Colt's profitability, such that the group's
reported EBITDA margin increased to 19.6% in 2009 from 16.5% in
2007.  The EBITDA margin was also boosted by cost-control
measures: selling, general, and administration costs were reduced
by 4.7% in financial 2009.

"The positive outlook reflects S&P's view that if Colt continues
to improve its profitability measures through the changing
business mix and cost-control measures, while maintaining an
adequate liquidity profile and continuing to generate sustainable
positive FOCF, S&P could upgrade the ratings by one notch," said
Ms. O'Toole.

Furthermore, the outlook reflects S&P's view that Colt will take a
prudent approach to any return of funds to shareholders or
business expansion.  There is capacity for debt incurrence at the
current rating, provided that any releveraging of the group's
balance sheet is controlled and implemented relatively gradually,
and that adjusted debt to EBITDA remains below 2.0x.  A rapid
increase in debt to 2.0x EBITDA, in particular for the
distribution of funds to shareholders, could delay or constrain
any rating upside, however.

The rating could come under pressure if Colt's ongoing operating
performance were to be materially weaker than S&P anticipates as a
result of increased customer churn or competition, if there were
to be a significant deterioration in the group's current liquidity
position and cash generation, or if leverage were to increase very
rapidly, such that adjusted debt to EBITDA exceeded 2.0x over the
next year.


BANK BPH: To Post Loss This Year; Mulls Job Cuts
Marta Waldoch and Nathaniel Espino at Bloomberg News report that
Bank BPH SA will post a loss this year as it cuts jobs and exits
some businesses.

According to Bloomberg, BPH said in a statement Friday the bank,
which had a net loss of PLN54.4 million (US$16.4 million) in the
first three months of this year, plans to cut as many as 1,514
jobs by the end of 2011.

BPH, Bloomberg says, is struggling with a slowing economy in
Poland after it merged with GE's other banking unit in the eastern
European country.

BPH, as cited by Bloomberg, said provisions for bad debt almost
tripled in the first quarter, driven mostly by defaults on the
consumer-loan portfolio.

Bank BPH SA -- is a Poland-based bank
offering its services for corporate and individual clients.  Bank
BPH SA specializes in the provision of underwriting, leasing,
factoring and other financial services; the issuance of banking
securities; the issuance of payment cards; the purchase and sale
of receivables, and the issuance of convertible bonds. In
addition, Bank BPH SA is engaged in the purchase and sale of
property and receivables secured by mortgage; the provision of
consultancy services; the safekeeping of valuables and securities,
and allied activities. Bank BPH SA provides its clients with
banking services via network of branches and automated teller
machines (ATM), as well as online.  On December 31, 2009, it
merger with GE Money Bank SA.  Bank BPH SA belongs to General
Electric Capital Corporation capital group.

                          *     *     *

As reported by the Troubled Company Reporter-Europe on Jan. 6,
2010, Moody's Investors Service upgraded Bank BPH SA's bank
financial strength rating to D, mapping to a baseline
credit assessment of Ba2, from a BFSR of D- (BCA of Ba3).  The
rating has a stable outlook.


CREDIT EUROPE: Fitch 'BB-' Assigns Issuer Default Rating
Fitch Ratings has assigned Russia's Credit Europe Bank Ltd a Long-
term Issuer Default Rating of 'BB-' with a Stable Outlook.

CEBR's IDRs are underpinned by potential support from its parent
bank, the Netherlands-based Credit Europe Bank N.V. (rated
'BB'/Stable).  CEBR's Individual rating reflects its relatively
small size, weak funding profile, high degree of balance sheet
concentrations, a high share of foreign currency lending in the
corporate book and a high level of unsecured lending in both the
retail and corporate books.  However, it also considers CEBR's
expertise and successful track record in retail lending and
considerable loss absorption capacity, which is supported by
strong internal capital generation.

Retail loans accounted for just over half of the gross loan book
at end-2009.  Foreign currency loans accounted for about 77% in
the corporate book (including SMEs) but only 10% in the retail
book.  Unsecured lending accounted for a considerable 39% of the
corporate loan book and a high 48% of the retail book on a net
basis at end-2009.  Exposure to top 20 borrowers accounted for
almost 70% of corporate loans (including SMEs) and 139% of equity.

Non-performing loans (NPLs, defined as loans overdue for over 90
days) increased to 7% of gross loans at end-2009 from 4.5% at end-
2008.  In addition, 2.5% of gross loans were renegotiated.
However, the current level of capitalization (regulatory ratio of
24.03% at end-Q110) provides CEBR with considerable loss
absorption.  Fitch estimates that, at end-Q110, CEBR could have
more than doubled its statutory loan impairment reserves to about
32% of its gross loans from the current level of 15%, without
breaching its minimum regulatory capital requirement of 10%.

Wholesale funding accounted for a high 61% of total liabilities at
end-2009 while domestically sourced customer deposits represented
only 19%.  Customer deposits sourced abroad via third parties
(mostly related entities) accounted for another 19% of liabilities
but are, in Fitch's view, less stable than domestic deposits.
Parent funding accounted for 25% of liabilities at end-2009.

The liquidity position of CEBR is supported by parent funding (up
to the maximum of EUR750m).  Following the repayment of a Eurobond
in mid-April 2010, CEBR had about RUB10.5bn in cash and equivalent
and about RUB1.6bn of available for repo and unpledged securities.
Fitch expects CEBR's liquidity position to improve further
following a Eurobond issue in mid-May 2010.

CEBR (former Finansbank Russia Ltd.) is a small commercial bank
with a strong retail focus.  CEBR is controlled by CEB which is
part of Credit Europe Group.  CEG is part of a larger FIBA Holding
A.S., a Turkish conglomerate owned by Husnu Ozyegin, a prominent
Turkish banker and businessman.

CEBR's ratings have been assigned are:

  -- Long-term foreign and local currency IDRs: 'BB-'; Outlook

  -- National Long-term rating: 'A+(rus)'; Outlook Stable

  -- Short-term foreign currency IDR: 'B'

  -- Individual Rating: 'D'

  -- Support Rating: '3'

In Fitch's rating criteria, a bank's standalone risk is reflected
in Fitch's Individual ratings and the prospect of external support
is reflected in Fitch's Support ratings.  Collectively these
ratings drive Fitch's Long- and Short-term IDRs.

TATNEFT OAO: Fitch Affirms Issuer Default Rating at 'BB'
Fitch Ratings has affirmed Tatneft's Long-term Issuer Default
Rating at 'BB' and its Short-term IDR at 'B'.  The Outlook on the
Long-term IDR is Stable.

The affirmation of Tatneft's ratings reflects: improved corporate
governance; substantial and developed hydrocarbon reserves and the
remaining life of these reserves; progress on a new refinery; and
commensurate credit metrics.

Tatneft's ratings are constrained by the characteristics of its
asset base which reflects its mature oil reserves with a high
sulphur content, high lifting costs and a low basic replacement
ratio.  In addition, the company's limited proprietary refining
capacity results in lower profitability, compared with Russian
peers, and higher sensitivity to volatile oil prices.

During 2009, Tatneft benefited from lower (-29%) production and
export taxes, as the federal government has shown its willingness
to reduce the tax burden on the oil industry, and reduced
operating expenditure (-10%).  Despite significantly lower oil
prices (-24% in rouble terms), the company reported significantly
stronger EBITDA (+82%) and an EBITDA margin compared with 2008.
Fitch expects cost inflation to result in a somewhat weaker EBITDA
margin in 2010.

Tatneft's ratings are based on its standalone profile.  Tatneft is
36% (indirectly) owned by the Republic of Tatarstan
('BBB-'/Stable/'F3'), but its overall legal, operational and
strategic links with the republic are relatively modest.  Fitch
considers support to be largely intangible and notes certain
constraints, including that the company's dividends appear not to
be fully discretionary.  Tatarstan's ability to direct financial
support from the republic's banking sector to Tatneft is
relatively limited, while the republic's dependence on Tatneft is
high compared with its industry peers.

The Stable Outlook reflects the assumption that Tatneft will
successfully refinance its US$2bn facility, due in July 2010, and
raise adequate funding to finish its capex plans.  Fitch expects
the company's credit metrics to be noticeably weaker during 2010-
2012, but still commensurate with the current ratings.  Under
Fitch's oil price assumptions, net funds from operations (FFO)
leverage is expected to remain below 2x and FFO interest coverage
is anticipated to remain around 10x.

Tatneft raised US$1.5 billion (RUB48bn) in three- and five-year
pre-export facilities in October 2009 to co-finance the remaining
refinery-related capex.  However, the increased cost of funding --
despite a pledge over oil export receivables as security -- is
expected to lead to weaker interest coverage in 2010 compared with
2009.  Tatneft is expected to finalize negotiations on refinancing
its existing US$2 billion secured facility by June 2010.

U N I T E D   K I N G D O M

ALBURN REAL: S&P Junks Ratings on Three Classes of Notes
Standard & Poor's Ratings Services lowered its credit ratings on
Alburn Real Estate Capital Ltd.'s class B, C, D, and E notes.  At
the same time, S&P affirmed the class A notes.

The rating actions reflect S&P's view that the likelihood that the
class B to E notes will repay in full by legal final maturity has

At closing, Alburn used the proceeds from the note issuance to
make a senior ranking secured loan to the borrower.  A portfolio
of 45 properties located across the U.K. secures the loan.  In
S&P's opinion, the properties are generally what S&P would
categorize as secondary quality.  The outstanding senior loan (and
note) balance is GBP185.2 million.  The loan is due to mature in
October 2013 and legal final maturity of the notes is October

In April 2010, the reported market value of the properties was
GBP135.045 million, resulting in senior and whole loan-to-value
(LTV) ratios of 133.7% and 142.5%, respectively.  The reported
market value shows virtually no change from the April 2009 market
value.  However, reported annual income fell to GBP14.80 million
from GBP16.00 million over the same period.

Additionally, the April 2010 reported estimated rental value of
the properties indicates the portfolio is over-rented.

In S&P's opinion, the secondary nature of the portfolio, potential
for loss of income from lease expiries, and decline in estimated
rental value are all factors that are likely to restrict material
value appreciation of the asset portfolio.

However, S&P believes that the class A notes and possibly the
class B notes could be repaid in full if the borrower is able to
successfully sell down a large proportion of the portfolio.  In
such circumstances, S&P believes that by the legal final maturity
date the issuer could repay the class A notes either from sale
proceeds or from refinancing.  Similarly, repayment of the class B
notes could also be achieved albeit with a significantly greater
degree of uncertainty, in S&P's view.

Further rating actions are possible as the timing and amount of
sale proceeds becomes known.

                           Ratings List

                  Alburn Real Estate Capital Ltd.
       GBP188.05 Million Commercial Mortgage-Backed Secured
                       Floating-Rate Notes

                         Ratings Lowered

               Class           To               From
               -----           --               ----
               B               B                BB
               C               CCC              BB-
               D               CCC-             B
               E               CCC-             B-

                         Rating Affirmed

                      Class           Rating
                      -----           ------
                      A               BBB-

BRITISH AIRWAYS: Cabin Crew Rejects Latest Pay Offer to End Row
Pilita Clark at The Financial Times reports that British Airways
plc's cabin crew rejected the airline's latest offer to resolve a
long-running row over staffing levels, raising the prospect of a
third strike at the loss-making carrier this year.

According to the FT, leaders of the Unite union representing the
flight attendants will meet today, May 10, to decide what form of
action to take after around 81% of their 12,000 BA members voted
against the offer in a ballot that closed at midnight on Thursday,
April 6.  There was a turnout of 71%, the FT states.

The FT relates Unite's joint general secretaries, Derek Simpson
and Tony Woodley, called on the airline to take notice of the
result and immediately address outstanding concerns.

The Troubled Company Reporter-Europe, citing the Financial Times,
reported on May 5, 2010, that Mr. Woodley said Unite could not
recommend the proposal because BA had laid down "vindictive and
discriminatory" conditions for restoring the discounted travel
rights withdrawn from striking crew after the March stoppages.
Mr. Woodley, as cited by the FT, said BA had also failed to
address "draconian" disciplinary actions against more than 50
staff suspended on mostly "entirely trivial" charges arising from
the dispute.  The FT disclosed Mr. Woodley said unless the
management resolved these issues, after what most expect to be a
vote against the new offer, "an early resumption of industrial
action is not only possible but likely".

As reported by the Troubled Company Reporter-Europe on May 3,
2010, Bloomberg News said that BA's cabin crew began voting on
April 30 on the latest pay deal.  Bloomberg disclosed the
airline's latest proposal involves a two-year pay deal pegging
wages for 12,000 flight attendants to U.K. inflation from the
start of next year.  The plan would also restore 184 crew posts
removed in November, and introduce monthly travel payments in lieu
of scrapping other allowances, according to Bloomberg.

                      About British Airways

Headquartered in Harmondsworth, England, British Airways Plc,
along with its subsidiaries, (LON:BAY) -- 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,

                           *     *     *

As reported in the Troubled Company Reporter-Europe on March 19,
2010, Moody's Investors Service lowered to B1 from Ba3 the
Corporate Family and Probability of Default Ratings of British
Airways plc; and the senior unsecured and subordinate ratings to
B2 and B3, respectively.  Moody's said the outlook is stable.
This concludes the review that was initiated on November 10, 2009.

The rating action reflects Moody's view that credit metrics will
not be commensurate with the previous rating category in the
medium term.  Moody's expect furthermore that metrics will be
burdened in the foreseeable future by the company's significant
pension deficit, which was at GBP2.6 billion for the APS and NAPS
schemes combined as of September 2009 (under IAS).  Moody's
nevertheless understand that under the current agreement with the
trade unions, the cash contributions to these deficits will be
frozen at GBP330 million per year for three years, subject to
approval by the Pensions Regulator and the trustees.

EMI GROUP: Terra Firma Investors to Vote on Cash Call Today
Martin Arnold at The Financial Times reports that Guy Hands,
chairman of Terra Firma, faces a crucial test today, May 10, when
his investors will vote on whether to pump an extra GBP105 million
into EMI to stop the music group falling into the hands of its
lender Citigroup.

According to the FT, Mr. Hands needs to secure three-quarters of
the votes cast by its investors -- adjusted for the size of their
commitments -- to shore up EMI's finances for at least another

The FT relates people close to Mr. Hands said he was confident of
securing enough votes to raise the cash he needed from investors
to make up shortfalls in EMI's earnings this year against the
music company's loan covenants.

The FT says if investors do not agree to provide the extra money,
Mr. Hands is expected to seek to raise the cash from large
co-investors, such as Canada Pension Plan, which could dilute the
Terra Firma investors.

Terra Firma must tell Citigroup, which holds all of EMI's GBP3.2
billion debts, by Friday, May 14, whether it has enough resources
to "cure" breaches of the music group's covenants for the year to
March 2011, the FT states.

The FT notes if investors agree to put up the GBP105 million,
Mr. Hands is planning to ask them to provide a further GBP255
million to ensure EMI respects the terms of its loans until they
mature in 2015.

Terra Firma has invested 30% of its last two funds in the music
group, the FT discloses.

EMI Group Ltd. -- 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.

I-LEVEL: Engine Buys Social Media Unit Jam
Matt Williams at reports that Engine has
acquired Jam, the social media unit of i-level, for an undisclosed

According to the report, Alex Miller, the agency's managing
director will join Engine as part of the deal, along with head of
strategy Jamie Kenny, director Richard Costa-d'sa and the 20-
strong Jam team.

Jam is the only standalone division in i-level, the report notes.
It is not known whether the administrator will consider selling
off any other departments in similar deals, the report states.

As reported by the Troubled Company Reporter-Europe on May 7,
2010, the Financial Times said i-level went into administration
after losing a large contract for government advertising. The FT
disclosed Zolfo Cooper was called in as administrator by
i-level's directors on May 4 after the agency suffered cashflow

i-level is an independent digital marketing agency.  The agency
has about 140 employees, in disciplines including online display
advertising, search marketing, social media and mobile marketing,
according to the Financial Times.

PORTSMOUTH FOOTBALL: Debts Soar to GBP135MM, Administrators Say
BBC News reports that Portsmouth's administrators have revealed
the relegated Premier League club's debts now stand at GBP135
million from GBP120 million in April.

The report relates the news comes on the day creditors have
approved the drafting of a debt-repayment plan that will enable
the club to emerge from administration.

According to the report, the club is offering to pay at least 20
pence in the pound over five years, and Pompey's current owner
Balram Chainrai has said small creditors (those owed less than
GBP2,500) and charities will be paid in full at a total cost to
him of almost GBP200,000.

The report says the new plan -- a Company Voluntary Arrangement
(CVA) -- will be drawn up by the club's joint administrators from
UHY Hacker Young and distributed within 10 business days of
Thursday's meeting.

Another meeting will then be arranged within 14-28 days to approve
the CVA, which will require the backing of 75% of the club's
unsecured creditors (based on amounts owed), the report states.

Portsmouth's so-called "football creditors" must be repaid first
and in full under football's rules, the report discloses.
Mr. Chainrai will also get his outstanding GBP14.2 million loan
repaid in full but his three predecessors -- Sacha Gaydamak,
Sulaiman Al-Fahim and Ali Al-Faraj-- will have to accept the same
reduced rations on offer to the non-football, unsecured creditors,
the report says.

Under the draft plan, the company Portsmouth City Football Club
will be liquidated after nine months and a new one set up, the
report notes.

It was made clear in Thursday's meeting that the alternative to
this plan would mean the creditors would see nothing, the report

As reported by the Troubled Company Reporter-Europe, Bloomberg
News said Portsmouth on Feb. 26 became the first team in England's
Premier League to go into administration after U.K. authorities
tried to force its closure over unpaid tax of GBP12.1 million.

Portsmouth Football Club Ltd. --
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.

RANGERS FOOTBALL: Fans May Boycott Lloyds on Lack of Support
BBC News reports that Lloyds Banking Group has been warned that
Rangers fans will boycott it unless it continues to support the
club, which owed the bank GBP31 million.

BBC relates that at the bank's annual general meeting in
Edinburgh, shareholder John Macpherson warned a boycott could lead
to more than GBP2 billion of business being withdrawn.

According to BBC, Mr. Macpherson, who has shares in both the bank
and Rangers, warned Lloyds chairman Sir Win Bischoff the global
community of fans and the club shareholders intended to withdraw
all deposits and savings from Lloyds Banking Group and its
subsidiaries unless the bank becomes more supportive to the club.
BBC notes Mr. Macpherson said this could lead to Lloyds "losing
anything between GBP1.2 billion to GBP2.6 billion between
investments, shares and the closure of all accounts".

As reported by the Troubled Company Reporter-Europe on March 10,
2010, Murray International Holdings, the majority owner of Ranger,
was in takeover talks with a London-based property developer.  The
FT disclosed Sir David Murray has been seeking to sell the club,
which is heavily indebted to Lloyds Banking Group, for some
months.  Rangers' operations are said to be in the control of the
bank, with senior staff employed on short-term arrangements, the
FT said.  According to the FT, a statement on the club's Web site
said that Murray International Holdings were in informal talks
with interested parties, including Andrew Ellis, a former director
of Queen's Park Rangers.

Rangers Football Club PLC --
-- is a United Kingdom-based company engaged in the operation of a
professional football club.  The Company has launched its own
Internet television station,  The station combines
the use of Internet television programming alongside traditional
Web-based services.  Services offered include the streaming of
home matches and on-demand streaming of domestic and European
games, which include dedicated pre-match, half-time and post-match
commentary.  The Company will produce dedicated news magazine and
feature programs, while the fans can also access a library of
classic European, Old Firm and Scottish Premier League (SPL)
action.  Its own dedicated television studio at Ibrox provides
onsite production, editing and encoding facilities to produce
content for distribution on all media platforms.

ROYAL BANK: Posts GBP248 Mil. Net Loss in First Quarter 2010
Andrew MacAskill and Jon Menon at Bloomberg News report that Royal
Bank of Scotland posted a net loss of GBP248 million for the first
quarter of 2010, compared with GBP902 million in the year-earlier

Bloomberg notes RBS said in a statement Friday profit at its
investment bank fell 58% to GBP1.47 billion (US$2.2 billion) from
a profit of GBP3.47 billion a year earlier.

According to Bloomberg, the government, which owns 83% of RBS, has
about a GBP4-billion paper loss on its GBP45.5-billion investment.

Bloomberg relates RBS Finance Director Bruce Van Saun said the
bank held about GBP1.5 billion in Greek debt and about GBP400
million of unrealized losses.

RBS Chief Executive Officer Stephen Hester, as cited by Bloomberg,
said the lender is continuing to sustain "damaging losses" at its
investment bank as a result of staff departures because of
restraints on pay, with more than 1,000 investment bank employees
left last year.  "We spend a massive amount of time on the issue,
if RBS does not have good people then it does not have a
recovery," Bloomberg quoted Mr. Hester as saying.

Bloomberg notes RBS said impairments dropped 14% to GBP2.68
billion in the first quarter from GBP3.1 billion in the last
quarter of 2009.

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.

WINDERMERE XI: S&P Lowers Ratings on Two Classes of Notes to 'D'
Standard & Poor's Ratings Services lowered its credit ratings on
all classes of Windermere XI CMBS PLC's notes after Windermere XI
allocated principal losses to its class D and E notes at the most
recent interest payment date.

In March 2010, the servicer sold the property that secured the
Shrewsbury Mortgage loan for GBP61.10 million, and made available
to the issuer the net sale proceeds of GBP55.87 million to repay
the notes.  The outstanding loan balance was GBP75.37 million.

On the April 2010 note interest payment date, the issuer used the
net sale proceeds of GBP55.87 million to partially repay the class
A notes.  It also allocated the Shrewsbury Mortgage loan losses to
the class D and E notes.  As a consequence of the loss allocation,
the issuer reduced the principal balance of the class E notes to
zero, and reduced the principal balance of the class D notes by
approximately 38% to GBP19.38 million.

S&P has lowered its ratings on the class D and E notes to 'D' to
reflect these losses, and have also downgraded the class A, B, and
C notes to reflect S&P's opinion of the creditworthiness of the
remaining loans.

The Westville Mortgage loan is currently in special servicing and
has been accelerated.  A portfolio of 15 secondary properties
across the U.K. secures this loan, the current balance of which is
GBP74.22 million.

The Government Income Portfolio loan is due to mature in October
2010.  The loan is secured by a portfolio of 21 office properties
that S&P would generally consider to be secondary quality.  The
properties are located across the U.K. and are let entirely, or
mostly, to government-related entities.  The current loan balance
is GBP114.60 million.

The three other loans in the pool (Devonshire House, Long Acre,
and CAA House) are due to mature between January 2012 and April
2014, and are each secured against a single office property in

                           Ratings List

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

                         Ratings Lowered

               Class           To              From
               -----           --              ----
               A               BBB+            A
               B               BBB-            BBB
               C               B-              B
               D               D               CCC
               E               D               CCC


* BOND PRICING: For the Week May 3 to May 7, 2010

Issuer              Coupon    Maturity Currency  Price
------              ------    -------- --------  -----

KOMMUNALKREDIT        4.900   6/23/2031     EUR   72.63
KOMMUNALKREDIT        4.440  12/20/2030     EUR   69.38
OESTER VOLKSBK        5.270    2/8/2027     EUR   97.82
OESTER VOLKSBK        5.450    8/2/2019     EUR   72.63
REPUBLIC OF AUST      2.452  10/10/2025     EUR   78.66

FORTIS BANK           8.750   12/7/2010     EUR   19.11

PETROL AD-SOFIA       8.375  10/26/2011     EUR   51.85

INTERPIPE LTD         8.750    8/2/2010     USD   77.48

TRYG FORSIKRING       4.500  12/19/2025     EUR   74.61

MUNI FINANCE PLC      0.250   6/28/2040     CAD   22.31
MUNI FINANCE PLC      0.500   3/17/2025     CAD   49.29
MUNI FINANCE PLC      1.000   2/27/2018     AUD   64.34
MUNI FINANCE PLC      1.000  10/30/2017     AUD   65.66
MUNI FINANCE PLC      1.000  11/21/2016     NZD   65.57
MUNI FINANCE PLC      0.500   9/24/2020     CAD   63.08

AIR FRANCE-KLM        4.970    4/1/2015     EUR   15.69
ALCATEL SA            4.750    1/1/2011     EUR   16.24
ALCATEL-LUCENT        5.000    1/1/2015     EUR    3.48
ALTRAN TECHNOLOG      6.720    1/1/2015     EUR    5.15
ATOS ORIGIN SA        2.500    1/1/2016     EUR   54.38
CALYON                6.000   6/18/2047     EUR   47.68
CAP GEMINI SOGET      1.000    1/1/2012     EUR   44.76
CAP GEMINI SOGET      3.500    1/1/2014     EUR   44.93
CLUB MEDITERRANE      4.375   11/1/2010     EUR   49.22
DEXIA MUNI AGNCY      1.000  12/23/2024     EUR   62.43
EURAZEO               6.250   6/10/2014     EUR   59.52
FAURECIA              4.500    1/1/2015     EUR   21.46
GROUPE VIAL           2.500    1/1/2014     EUR   18.54
MAUREL ET PROM        7.125   7/31/2014     EUR   18.74
NEXANS SA             4.000    1/1/2016     EUR   70.70
PEUGEOT SA            4.450    1/1/2016     EUR   30.82
PUBLICIS GROUPE       3.125   7/30/2014     EUR   36.28
PUBLICIS GROUPE       1.000   1/18/2018     EUR   46.36
RHODIA SA             0.500    1/1/2014     EUR   46.29
SOC AIR FRANCE        2.750    4/1/2020     EUR   21.06
SOITEC                6.250    9/9/2014     EUR   12.52
TEM                   4.250    1/1/2015     EUR   58.59
THEOLIA               2.000    1/1/2014     EUR   14.14
VALEO                 2.375    1/1/2011     EUR   46.67
ZLOMREX INT FIN       8.500    2/1/2014     EUR   45.38
ZLOMREX INT FIN       8.500    2/1/2014     EUR   45.38

DEPFA PFANDBRIEF      6.759   2/22/2019     EUR   65.39
DEUTSCHE BK LOND      1.000   3/31/2027     USD   46.31
DEUTSCHE BK LOND      3.000   5/18/2012     CHF   71.91
ESCADA AG             7.500    4/1/2012     EUR   16.24
EUROHYPO AG           5.000   5/15/2027     EUR   94.81
L-BANK FOERDERBK      0.500   5/10/2027     CAD   44.55
LB BADEN-WUERTT       5.250  10/20/2015     EUR   33.97
LB BADEN-WUERTT       2.500   1/30/2034     EUR   67.10
QIMONDA FINANCE       6.750   3/22/2013     USD    4.00
RENTENBANK            1.000   3/29/2017     NZD   70.53
SOLON AG SOLAR        1.375   12/6/2012     EUR   45.96

HELLENIC REP I/L      2.900   7/25/2025     EUR   74.44
HELLENIC REP I/L      2.300   7/25/2030     EUR   64.46
HELLENIC REPUBLI      4.500   9/20/2037     EUR   69.26
HELLENIC REPUBLI      4.600   9/20/2040     EUR   69.37
YIOULA GLASSWORK      9.000   12/1/2015     EUR   62.01
YIOULA GLASSWORK      9.000   12/1/2015     EUR   61.13

REP OF HUNGARY        2.110  10/26/2017     JPY   86.85

ALLIED IRISH BKS      5.625  11/29/2030     GBP   74.25
ALLIED IRISH BKS      5.250   3/10/2025     GBP   75.75
DEPFA ACS BANK        5.125   3/16/2037     USD   75.32
DEPFA ACS BANK        5.125   3/16/2037     USD   74.67
DEPFA ACS BANK        0.500    3/3/2025     CAD   31.67
DEPFA ACS BANK        4.900   8/24/2035     CAD   69.72
DEPFA ACS BANK        5.250   3/31/2025     CAD   72.54
IRISH NATIONWIDE      5.500   1/10/2018     GBP   64.87


BANCA INTESA SPA      6.984    2/7/2035     EUR   57.88
BEATRICE FOODS        1.000  11/19/2026     USD   29.00

ARCELORMITTAL         7.250    4/1/2014     EUR   35.98
BREEZE                4.524   4/19/2027     EUR   68.75
GALLERY CAPITAL      10.125   5/15/2013     USD   19.95
GLOBAL YATIRIM H      9.250   7/31/2012     USD   73.13
HELLAS III            8.500  10/15/2013     EUR   35.56
IT HOLDING FIN        9.875  11/15/2012     EUR   14.98
LA VEGGIA FIN         7.125  11/14/2004     EUR   50.00
LIGHTHOUSE INTL       8.000   4/30/2014     EUR   70.05
LIGHTHOUSE INTL       8.000   4/30/2014     EUR   70.65

APP INTL FINANCE     11.750   10/1/2005     USD    1.05
ARPENI PR INVEST      8.750    5/3/2013     USD   61.88
ARPENI PR INVEST      8.750    5/3/2013     USD   61.88
BK NED GEMEENTEN      0.500   6/27/2018     CAD   70.34
BK NED GEMEENTEN      0.500   2/24/2025     CAD   48.67
BRIT INSURANCE        6.625   12/9/2030     GBP   75.50
DGS INTL FIN BV      10.000    6/1/2007     USD    0.01
ELEC DE CAR FIN       8.500   4/10/2018     USD   59.25
EM.TV FINANCE BV      5.250    5/8/2013     EUR    5.35
ENERGY GROUP O/S      7.550  10/15/2027     USD   18.00
ENERGY GROUP O/S      7.425  10/15/2017     USD   18.00
INDAH KIAT INTL      12.500   6/15/2006     USD    0.01
INDAH KIAT INTL      11.875   6/15/2002     USD    0.01
NATL INVESTER BK     25.983    5/7/2029     EUR   42.78
NED WATERSCHAPBK      0.500   3/11/2025     CAD   49.33
Q-CELLS INTERNAT      5.750   5/26/2014     EUR   68.50
Q-CELLS INTERNAT      1.375   2/28/2012     EUR   70.51
RBS NV EX-ABN NV      2.910   6/21/2036     JPY   75.65
RBS NV EX-ABN NV      7.540   6/29/2035     EUR   73.08
TEMIR CAPITAL         9.500   5/21/2014     USD   33.00
TEMIR CAPITAL         9.000  11/24/2011     USD   30.50
TURANALEM FIN BV      8.500   2/10/2015     USD   48.30
TURANALEM FIN BV      7.875    6/2/2010     USD   46.75
TURANALEM FIN BV      8.250   1/22/2037     USD   47.01
TURANALEM FIN BV      8.250   1/22/2037     USD   48.49
TURANALEM FIN BV      8.000   3/24/2014     USD   46.25
TURANALEM FIN BV      7.750   4/25/2013     USD   47.37
TURANALEM FIN BV      8.000   3/24/2014     USD   47.00

EKSPORTFINANS         0.500    5/9/2030     CAD   38.40
NORSKE SKOGIND        7.000   6/26/2017     EUR   72.56

POLAND-REGD-RSTA      2.810  11/16/2037     JPY   70.63
REP OF POLAND         4.250   7/20/2055     EUR   73.35
REP OF POLAND         3.300   6/16/2038     JPY   72.98
REP OF POLAND         3.220    8/4/2034     JPY   74.30
REP OF POLAND         2.648   3/29/2034     JPY   65.35

MRSK URALA            8.150   5/22/2012     RUB   89.99
SIBIRTELECOM          9.750   9/16/2010     RUB  100.99
VOLGATELECOM          9.500  11/30/2010     RUB   99.92

BANCAJA EMI SA        2.755   5/11/2037     JPY   70.95
BBVA SUB CAP UNI      2.750  10/22/2035     JPY   69.87
MINICENTRALES         4.810  11/29/2034     EUR   67.69

SWEDISH EXP CRED      0.500  12/17/2027     USD   44.01

CYTOS BIOTECH         2.875   2/20/2012     CHF   56.74
UBS AG JERSEY         9.000   7/19/2010     USD   60.00
UBS AG JERSEY         9.350   7/27/2010     USD   60.65
UBS AG JERSEY         9.000   8/13/2010     USD   65.10
UBS AG JERSEY         9.500   8/31/2010     USD   66.85
UBS AG JERSEY        10.000  10/25/2010     USD   66.35
UBS AG JERSEY         3.220   7/31/2012     EUR   61.70
UBS AG JERSEY        10.140  12/30/2011     USD   14.92
UBS AG JERSEY         9.350   9/21/2011     USD   67.10
UBS AG JERSEY        11.150   8/31/2011     USD   41.10
UBS AG JERSEY        10.360   8/19/2011     USD   54.60
UBS AG JERSEY        10.650   4/29/2011     USD   16.30
UBS AG JERSEY        11.030   4/21/2011     USD   21.50
UBS AG JERSEY        10.820   4/21/2011     USD   22.29
UBS AG JERSEY        16.160   3/31/2011     USD   45.15
UBS AG JERSEY        10.990   3/31/2011     USD   30.88
UBS AG JERSEY        11.400   3/18/2011     USD   25.78
UBS AG JERSEY        11.330   3/18/2011     USD   18.08
UBS AG JERSEY        12.800   2/28/2011     USD   35.02
UBS AG JERSEY         8.250   2/28/2011     USD   70.78
UBS AG JERSEY        15.250   2/11/2011     USD   12.32
UBS AG JERSEY        10.000   2/11/2011     USD   61.60
UBS AG JERSEY        16.170   1/31/2011     USD   13.78
UBS AG JERSEY        14.640   1/31/2011     USD   38.55
UBS AG JERSEY        13.900   1/31/2011     USD   36.15
UBS AG JERSEY        13.000   6/16/2011     USD   50.87
UBS AG JERSEY         9.000   5/18/2010     USD   61.43
UBS AG JERSEY         9.000   6/11/2010     USD   60.10
UBS AG JERSEY         9.000    7/2/2010     USD   60.30

ALPHA CREDIT GRP      2.940    3/4/2035     JPY   42.16
BARCLAYS BK PLC       7.610   6/30/2011     USD   54.33
BARCLAYS BK PLC      11.650   5/20/2010     USD   38.91
BARCLAYS BK PLC      10.600   7/21/2011     USD   42.37
BARCLAYS BK PLC       9.000   6/30/2011     USD   44.71
BARCLAYS BK PLC       8.550   1/23/2012     USD   11.55
BRADFORD&BIN BLD      5.500   1/15/2018     GBP   32.48
BRADFORD&BIN BLD      2.875  10/16/2031     CHF   74.33
BRADFORD&BIN BLD      5.750  12/12/2022     GBP   32.96
BRADFORD&BIN PLC      6.625   6/16/2023     GBP   30.21
BROADGATE FINANC      5.098    4/5/2033     GBP   74.66
EFG HELLAS PLC        2.760   5/11/2035     JPY   70.64
ENTERPRISE INNS       6.375   9/26/2031     GBP   75.52
F&C ASSET MNGMT       6.750  12/20/2026     GBP   69.86
NATL GRID GAS         1.771   3/30/2037     GBP   45.56
NATL GRID GAS         1.754  10/17/2036     GBP   47.23
NBG FINANCE PLC       2.755   6/28/2035     JPY   74.12
NOMURA BANK INTL      0.800  12/21/2020     EUR   60.79
NORTHERN ROCK         4.574   1/13/2015     GBP   75.11
NORTHERN ROCK         5.750   2/28/2017     GBP   66.20
NORTHERN ROCK         9.375  10/17/2021     GBP   76.50
OJSC BANK NADRA       9.250   6/28/2010     USD   39.50
PUNCH TAVERNS         6.468   4/15/2033     GBP   72.08
ROYAL BK SCOTLND      4.243   1/12/2046     EUR   58.51
ROYAL BK SCOTLND      4.700    7/3/2018     USD   72.64
RSL COMM PLC          9.875  11/15/2009     USD    3.00
SPIRIT ISSUER         5.472  12/28/2028     GBP   76.00
TXU EASTERN FNDG      6.450   5/15/2005     USD    2.38
TXU EASTERN FNDG      6.750   5/15/2009     USD    2.38
UNIQUE PUB FIN        6.464   3/30/2032     GBP   66.72
WESSEX WATER FIN      1.369   7/31/2057     GBP   22.33


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.  Joy A. Agravante, Valerie U. Pascual, Marites O.
Claro, Rousel Elaine T. Fernandez, Frauline S. Abangan 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 * * *