TCREUR_Public/100812.mbx         T R O U B L E D   C O M P A N Y   R E P O R T E R

                           E U R O P E

          Thursday, August 12, 2010, Vol. 11, No. 158

                            Headlines



A U S T R I A

CAT OIL: Moody's Upgrades Corporate Family Rating to 'Ba3'


F R A N C E

INT'L POWER: Moody's Puts Low-B Ratings on Review for Upgrade


G E R M A N Y

ADAM OPEL: Expected to Return to Profit by 2012, CEO Says
ARCANDOR AG: Court Extends Deadline for Karstadt Talks to Sept. 2
ARCANDOR AG: Valovis Agrees on "Most Points" With karstadt Buyer
S-CORE 2007-1: S&P Downgrades Ratings on Various Classes of Notes


I C E L A N D

KAUPTHING BANK: Creditors Back Request for Moratorium Extension


I R E L A N D

ELAN CORP: Cancels Plan to Spin Off EDT Subsidiary
MCINERNEY HOLDINGS: Oaktree In Talks to Inject New Capital

* IRELAND: Company Law Needs Amendment to Aid Small Ailing Firms


N E T H E R L A N D S

JUBILEE CDO: S&P Downgrades Rating on Class D Notes to 'B+'
NXP BV: S&P Puts 'CCC+' Rating on CreditWatch Positive


R U S S I A

EUROCHEM OJSC: Fitch Assigns 'BB' Senior Unsec. Rating on Bonds


S P A I N

CAMPOFRIO FOOD: Moody's Gives Positive Outlook; Retains B1 Ratings


U K R A I N E

NADRA BANK: Completes Restructuring of Foreign Debt


U N I T E D   K I N G D O M

ABBOT GROUP: S&P Junks Corporate Credit Rating From 'B-'
AEOLUS CDO: S&P Cuts Ratings on All Classes of 2005-3 Notes to D
ARGOS SPORTS: Faces Liquidation Following Insolvency Probe
BRADFORD & BINGLEY: BBAG Lodges Appeal in Compensation Bid
CHASE SAUNDERS: In Liquidation; Owes More Than GBP2.2 Million

CLAVIS SECURITIES: Fitch Affirms BB Rating on Class B2, B2a Notes
LADBROKES PLC: Half-Year Profits Hurt by Horse Racing Losses
LEHMAN BROTHERS: Christie's to Auction Artworks on September 29
LIVERPOOL FOOTBALL: Sahara Drops Out of Bidding Race
MORTGAGES PLC: Fitch Affirms Low-B Ratings on Class E Notes

TUI AG: Travel Unit Losses Widen in Nine Months Ended June 30

* UK: Pub Insolvencies Down to 115 in 2Q2010, Baker Tilly Says
* UK: EFG Loans for Small Businesses Capped at GBP74 Million
* UK: Courts Could Enforce US Bankruptcy Judgments
* UK: Insolvency Licensing Bodies Need to Address CVA Stigma
* UK: Councils Unlikely to Recoup Investments in Iceland Banks


X X X X X X X X

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A U S T R I A
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CAT OIL: Moody's Upgrades Corporate Family Rating to 'Ba3'
----------------------------------------------------------
Moody's Investors Service has upgraded the corporate family rating
of C.A.T. Oil AG to Ba3 from B1.  The outlook on the rating is
stable.

"Moody's decision to upgrade CAToil's CFR to Ba3 primarily
reflects the robust operating and financial profile demonstrated
by the company during the industry-wide downturn," said Victoria
Maisuradze, a Moody's Vice President Senior Credit Officer.
"Although, in 2009, CAToil's operations were negatively affected
by reduced demand, fierce price competition and rouble
devaluation, the company managed to successfully withstand the
crisis, validating its competitive business model and proving its
efficient management," added Ms Maisuradze.  Indeed, CAToil
visibly improved its profitability and cash flow generation in
2009 compared to 2008, through: (i) an increase in the volume of
services, which was a result of the company's strengthened
position in its core business segments, fracturing and
sidetracking; (ii) the higher contribution from higher value-added
sidetracking operations; (iii) increased capacity utilization and
efficiency improvements; and (iv) the implementation of a cost-
cutting program.

The higher CFR also factors in CAToil's debt-free capital
structure.  In 2009, CAToil's leverage metrics significantly
strengthened relative to Moody's initial expectations embedded in
the rating assessment in February 2008, when the rating agency
assigned a first-time CFR to the company of B1.  In assigning the
B1 CFR, Moody's took into consideration CAToil's ambitious
EUR140 million growth program, which envisaged diversification
into conventional drilling and seismic services and which the
company planned to finance primarily with debt.  The rating agency
considers it prudent that CAToil has decided to deviate from its
initial aggressive growth strategy -- due to adverse market
environment -- which allowed the company to successfully absorb
the pressure from additional operating and financial risks related
to the implementation of its large investment program.

In addition, the rating takes into account CAToil's strong
liquidity position, supported by: (i) conservative financial
and capex policies; (ii) a cash balance of EUR32 million; and
(iii) EUR56 million worth of undrawn credit facilities available
to the company as of the end of Q1 2010.

The stable outlook is supported by Moody's expectation that CAToil
will deliver on its operational and financial medium-term targets,
which does not envisage any material capacity expansion or step up
in leverage.  Moody's also expects the company to preserve its
market share on key product lines and maintain a strong liquidity
profile.  The stable outlook also reflects the rating agency's
expectation that CAToil will maintain its current medium term
strategy, financial policies and strong customer relationships.
As the company's focus is on organic growth, Moody's does not
factor any sizeable acquisitions into the current rating.

At present there is limited scope for a further upgrade in the
rating given the company's small size and limited diversification
both in terms of products and geographical coverage.  Over the
longer term the rating could be considered for an upgrade if
CAToil were to substantially strengthen its revenue base through
further product diversification, while maintaining a healthy level
of profitability and returns supported by robust liquidity.

The rating could come under downward pressure if: (i) CAToil were
to increase its leverage above the expected levels, either through
more aggressive debt-financed capex or due to lower profitability,
so that the company's adjusted debt/EBITDA and adjusted
debt/capitalization ratios deteriorate to the level of 2x and 30%,
respectively; (ii) the company's operating performance were to
deteriorate due to the loss of a major customer; and/or
(iii) exploration and production activity were to decline and
have a negative impact on CAToil's business fundamentals, by
exerting significant pressure on its market position, or capacity
to generate sufficient cash flow to enable the company to maintain
the adjusted Retained Cash Flow -- to -- Debt ratio of at least
50%, and maintain a solid liquidity profile.

The last rating action on CAToil was implemented on March 7, 2008,
when Moody's assigned a first-time B1 CFR with a stable outlook.

C.A.T. Oil AG is an Austria-based holding entity that wholly owns
five operating subsidiaries in Russia.  The company is a niche
player in the overall OFS market, with a strong position in
fracturing, sidetracking and complimentary services, which it
provides to the major oil & gas companies in Russia and
Kazakhstan.  In 2009, the company generated sales of
EUR228 million.


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F R A N C E
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INT'L POWER: Moody's Puts Low-B Ratings on Review for Upgrade
-------------------------------------------------------------
Moody's Investors Service placed International Power plc's ratings
on review for possible upgrade following an announcement by GDF
SUEZ SA and International Power plc that they have reached an
agreement regarding a combination.  Ratings affected are IPR's Ba2
Corporate Family Rating, Ba3 Issuer rating and Ba3 instrument
rating for IPR's EUR250 million 7.25% senior unsecured bonds due
2017.  The transaction will be structured as a contribution of GDF
SUEZ's Energy International Business Areas (outside Europe) and
certain assets in the UK and Turkey into IPR in exchange for newly
issued IPR shares in order to create an enlarged International
Power.  Following completion of the combination, IPR shareholders
will own 30 per cent the enlarged IPR and GDF SUEZ will own 70 per
cent.

The transaction remains subject to certain approvals, including
IPR shareholder approvals and clearance from relevant competition
authorities, and is planned to close by late 2010 at the earliest.
Moody's decision to place IPR's ratings on review for upgrade
reflects (i) Moody's assumption that the transaction will be
completed in a form consistent with the structure as announced by
IPR and GDF SUEZ on August 10, 2010, (ii) the credit rating of the
enlarged IPR's Parent, GDF Suez (Aa3, on review for possible
downgrade), (iii) the transformation of the enlarged International
Power into a global leader in the development of independent power
projects, given the increased scale and increased geographical
diversity; and (iv) the expected improved financial ratios of the
enlarged IPR.

The joint press release from IPR and GDF Suez references an
"anticipated investment grade credit rating" which would
constitute a multi-notch rating change.  IPR's financial metrics
currently act as a key constraint on the ratings, so if these are
to be repositioned at a materially stronger level, then an
investment grade rating may be achievable, especially after
factoring in the "financing support from GDF Suez" which is also
mentioned in the joint announcement.  However it is impossible to
reposition the ratings with any certainty until there is greater
clarity on the future business and financing structure including
i) the future asset base; ii) rationalization plans; iii) the
amount and structure of debt within the enlarged group; iv) the
nature of and limitations on support from GDF Suez; and v) Moody's
view on structural subordination.

The last rating action was on May 4, 2010, when Moody's assigned a
Ba3 rating to the EUR250 million senior unsecured bonds due 2017
issued by IPR.  At the same time, Moody's affirmed the issuer
rating at Ba3 and the stable outlook.

Headquartered in Paris, GDF SUEZ SA is one of the world's leading
energy providers.  In Q1 2010, it reported group turnover of
EUR23.8 billion and EBITDA of EUR 5.2 billion.

IPR is a globally diversified power project holding company with a
portfolio of equity interests in electricity generation and
associated assets.  It has more than 20 GW (net) of capacity, from
more than 50 Power Generation Plants located across 21 developed
and developing economies, with 31% of net generation capacity in
North America, 32% in Europe, 12% in the Middle East, 16% in
Australia and 9% in Asia.  IPR is a FTSE-100 listed company on the
London Stock Exchange.


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G E R M A N Y
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ADAM OPEL: Expected to Return to Profit by 2012, CEO Says
---------------------------------------------------------
Aaron Kirchfeld at Bloomberg News reports that Nick Reilly, Opel's
chief executive officer, told Frankfurter Rundschau that the
German carmaker should return to a profit by 2012 at the latest.

According to Bloomberg, Mr. Reilly said in the interview General
Motor Co.'s Opel unit aims to boost its market share in Germany to
a double- digit percentage amount from about 8%.

Adam Opel GmbH -- http://www.opel.com/-- is General Motors
Corp.'s German wholly owned subsidiary.  Opel started making cars
in 1899.  Opel makes passenger cars (including the Astra, Corsa,
and Vectra) and light commercial vehicles (Combo and Movano).  Its
high-performance VXR range includes souped-up versions of Opel
models like the Meriva minivan, the Corsa hatchback, and the Astra
sports compact.  Opel is GM's largest subsidiary outside North
America.

                           *     *     *

As reported by the Troubled Company Reporter-Europe, Bloomberg
News said GM decided in June this year to fund Opel's EUR3.3
billion (US$4.3 billion) restructuring itself, after failing to
secure aid from European countries.  As reported by the Troubled
Company Reporter-Europe on June 11, 2010, Bloomberg News said
Germany turned down GM's request for EUR1.1 billion (US$1.3
billion) in aid for its money-losing Opel division, forcing the
automaker to seek new ways to reorganize the unit.  Bloomberg
disclosed Opel sought EUR333 million in guarantees from the U.K.,
EUR437 million from Austria and Spain combined and EUR50 million
in project financing from Poland.  Bloomberg said he Opel-Vauxhall
reorganization program includes eliminating 8,300 jobs from a
European workforce of 48,000 employees.


ARCANDOR AG: Court Extends Deadline for Karstadt Talks to Sept. 2
-----------------------------------------------------------------
William Launder at Dow Jones Newswires reports that Karstadt's
insolvency administrator said Tuesday that an Essen-Germany court
has extended a deadline to September 2 for billionaire investor
Nicholas Berggruen and creditors of German retailer Karstadt to
complete negotiations tied to Mr. Berggruen's plan to acquire
Arcandor AG's insolvent department store chain.

According to Dow Jones, the insolvency administrator said Mr.
Berggruen and Karstadt's creditors must sign a final agreement on
the takeover by September 2, ahead of a final court ruling
scheduled for September 3.

The insolvency administrator said all parties involved have
signaled that they are confident in reaching a final agreement,
and plans for a creditors' meeting are to be presented shortly,
Dow Jones notes.

As reported by the Troubled Company Reporter-Europe on Aug. 5,
2010, Dow Jones said Mr. Berggruen, who signed a deal to acquire
Karstadt in June, wants more time to work out formal details in
negotiations with Karstadt's creditors, including Valovis Bank and
the Highstreet real-estate consortium led by Goldman Sachs Group
Inc.  Dow Jones disclosed Mr. Berggruen's deal to acquire Karstadt
is conditional on reaching an agreement with the department store
chain's creditors on issues including lower rents and lease
agreements.

                        About Arcandor AG

Germany-based Arcandor AG (FRA:ARO) -- http://www.arcandor.com/--
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, karstadt.de 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.


ARCANDOR AG: Valovis Agrees on "Most Points" With karstadt Buyer
----------------------------------------------------------------
Holger Elfes at Bloomberg News reports that Karstadt creditor
Valovis Bank AG said it reached agreement on "most open points"
with Nicolas Berggruen, bringing the billionaire's proposed
takeover of Arcandor AG's insolvent German department-store chain
a step closer.

According to Bloomberg, Valovis said in an e-mail late Monday that
the bank is still waiting for a statement from Karstadt's main
landlord, the Goldman Sachs-controlled Highstreet group, on how it
will repay a loan worth EUR850 million (US$1.12 billion) due in
2014.  Mr. Berggruen's purchase depends on early repayment of the
loan, Bloomberg notes.

As reported by the Troubled Company Reporter-Europe on July 28,
2010, Bloomberg News said Valovis wants an early repayment of the
loan as lower rents would cause liability and legal risks
under Mr. Berggruen's demands.

                        About Arcandor AG

Germany-based Arcandor AG (FRA:ARO) -- http://www.arcandor.com/--
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, karstadt.de 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.


S-CORE 2007-1: S&P Downgrades Ratings on Various Classes of Notes
-----------------------------------------------------------------
Standard & Poor's Ratings Services lowered its credit ratings on
S-CORE 2007-1 GmbH's class A2, B, C, D, and E notes.  At the same
time, S&P has affirmed the ratings on the class A1 and F notes.

The rating actions follow a default of interest payments on the
class E notes on the July 2010 payment date.  The non-payment was
triggered through the transaction's principal deficiency ledger
(PDL) mechanism, which diverts interest due to the junior notes
toward principal redemptions.

In the second quarter of 2010, two of the obligors in the pool
backing the transaction became insolvent, triggering principal
deficiency events and the EUR8 million principal balance of the
defaulted loans was credited to the PDL.  The current PDL balance
is EUR21.15 million, up from EUR10.96 million in January 2010.  At
this level, the PDL sub-ledger for class E is at its maximum
balance, and the one for class D is credited with a balance of
EUR1.45 million.

S&P has lowered the ratings on the class A2, B, C, and D notes to
reflect the reduced credit enhancement available to them.  S&P has
lowered the rating on the class D notes to 'CCC' to reflect the
fact that through the PDL mechanism, a small number of principal
deficiency events could lead to missed interest payments on this
class.

S&P has affirmed the ratings on the class A1 notes, as its
analysis indicates that the credit enhancement available to these
notes remains commensurate with a 'AA' rating.

                           Ratings List

                        S-CORE 2007-1 GmbH
         EUR509.65 Million Asset-Backed Floating-Rate Notes
                 And Class F Floating-Rate Notes

                         Ratings Lowered

                                   Rating
                                   ------
                  Class       To            From
                  -----       --            ----
                  A2          BB+           BBB-
                  B           BB-           BB
                  C           B             B+
                  D           CCC           B
                  E           D             CCC

                         Ratings Affirmed

                        Class       Rating
                        -----       ------
                        A1          AA
                        F           D


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I C E L A N D
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KAUPTHING BANK: Creditors Back Request for Moratorium Extension
---------------------------------------------------------------
Omar R. Valdimarsson at Bloomberg News, citing VB.is, reports that
creditors of Kaupthing Bank hf backed the bank's request to seek
court approval to extend a moratorium on settling its obligations.

According to Bloomberg, the Reykjavik-based news site said that
the moratorium, which was due to expire on Aug. 12, can't be
extended beyond Nov. 24.

                       About Kaupthing Bank

Headquartered in Reykjavik, Kaupthing Bank --
http://www.kaupthing.com/-- 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.


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I R E L A N D
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ELAN CORP: Cancels Plan to Spin Off EDT Subsidiary
--------------------------------------------------
Geoff Percival at The Irish Examiner reports that Elan has shelved
plans to spin-off its Athlone-based drug delivery business EDT
(Elan Drug Technologies) due to negative market conditions.

"Given that market conditions, at this time, are not conducive to
an appropriate valuation, Elan has determined that it will not
start a process to pursue a separation of the EDT business at this
time," the report quoted Elan as saying in a statement issued
Tuesday.

The original thinking behind the EDT move was to inject necessary
capital into Elan as a whole, the report notes.

The report relates Elan also said Tuesday that it intends to
eliminate around US$500 million in outstanding debt, which is due
to mature in November of next year and the same month in 2013.
Part of that will see the repayment -- in cash -- of some of the
company's overall debt and also a refinancing of remaining debt,
the report says.  Overall, this activity should lower Elan's total
debt levels by around 20% -- or US$300 million -- from US$1.54
billion to around US$1.24 billion, the report states.

Last month, Elan posted a US$215 million net loss for the first
half of the year, the report discloses.

                      About Elan Corporation

Headquartered in Dublin, Ireland, Elan Corporation, plc --
http://www.elan.com/-- is a neuroscience-based biotechnology
company.  Its principal research and development, manufacturing
and marketing facilities are located in Ireland and the United
States.  Elan's operations are organized into two business units:
Biopharmaceuticals and Elan Drug Technologies.  Biopharmaceuticals
engages in research, development and commercial activities
primarily in neuroscience, autoimmune and severe chronic pain.
EDT focuses on the specialty pharmaceutical industry, including
specialized drug delivery and manufacturing.

Elan shares trade on the New York, London and Dublin Stock
Exchanges.

                           *     *     *

As reported by the Troubled Company Reporter-Europe on April 21,
2010, Moody's Investors Service commented that the announcement by
Elan Corporation, plc, that it is exploring the separation of its
Elan Delivery Technologies business does not currently affect
Elan's rating or rating outlook until there is more clarity around
the terms of any transaction.  Elan is currently rated B2
(Corporate Family Rating) with a positive rating outlook.


MCINERNEY HOLDINGS: Oaktree In Talks to Inject New Capital
----------------------------------------------------------
US private equity group Oaktree Capital is in talks to take
control of McInerney Holdings, the debt-laden Irish housebuilder,
according to sources close to the talks, Ed Hammond and Anousha
Sakoui at The Financial Times report, citing sources close to the
talks.

According to the FT, Oaktree, which specializes in investing in
distressed companies, has been in talks about a possible equity
injection of up to EUR40 million of new capital into the
housebuilder.

The FT says as part of such a debt restructuring McInerney's
lenders, which include Lloyds, RBS and BBVA, are expected to write
off some of their debt before injecting the capital.

"McInerney still has good land holdings and so the logic is that
if Oaktree puts in the right amount of money, then it will have
the working capital to get going again," the FT quoted a source
familiar with the discussions as saying.

The company confirmed that it had been in breach of some of its
banking covenants since the end of last year, the FT notes.

On Aug. 11, 2010, the Troubled Company Reporter-Europe, citing The
Irish Examiner, reported that McInerney on Monday said that it is
at an advanced stage of securing a major capital injection for the
troubled group to prevent it going into receivership.  The Irish
Examiner disclosed sources close to the deal said it is understood
that a recapitalization deal is close to completion and looks to
be 90% certain at this stage.  In a statement on Monday McInerney,
as cited by The Irish Examiner, said the overall restructuring was
at an advanced stage and involves "a leading international equity
partner regarding a substantial injection of new capital".
Talks have been ongoing since April 2010 and due diligence has
been continuing for the past two months, and at one point involved
a number of potential investors, The Irish Examiner noted.  The
Irish Examiner said the group owes EUR236 million, of which EUR111
million is due to Bank of Ireland, Anglo Irish Bank and KBC
Ireland.  It has been struggling since the property bubble burst,
The Irish Examiner stated.

McInerney Holdings plc -- http://www.mcinerneyholdings.eu/-- is a
home builder and regional home builder in the North and Midlands
of England.  It also undertakes commercial and leisure projects in
Ireland, United Kingdom and Spain.  It operates in Ireland, the
United Kingdom and Spain.  The main trading activities of the
Company's Irish home building business during the year ended
December 31, 2008 consisted of construction of private houses,
trading in developed sites and land, development of residential
land for third-parties and in joint-ventures, and contracting for
third-parties.  The Company's commercial property development
division, Hillview Developments Ltd (Hillview), develops
industrial units in the Greater Dublin area.  Hillview completed
1,223 square meters of industrial units as of December 31, 2008.
Its Spanish division, Alanda Group, is developing freehold
apartment schemes.  As of December 31, 2008, the Company completed
1,359 private and contracting residential units in Ireland, the
United Kingdom and Spain.


* IRELAND: Company Law Needs Amendment to Aid Small Ailing Firms
----------------------------------------------------------------
Peter Flanagan at Irish Independent reports that management
consultancy Catalyst Management Partners and solicitors Lavery
Kirby Gilmartin solicitors are proposing to open an Irish Chapter
of the Turnaround Management Association.

The TMA is a professional community dedicated to corporate renewal
and turnaround management for failing companies, the report
discloses.

According to the report, CMP and Lavery Kirby Gilmartin say there
is a need to develop a new professional community to provide
advice to businesses needing assistance, as well as to
professionals specializing in corporate renewal.

The report notes Christiane Hutchinson, managing director of CMP,
believes an Irish TMA will be invaluable to companies here and has
called on the government to amend company law to allow struggling
small businesses more breathing space from creditors and a chance
to turnaround their business.

"Irish law is very strict on insolvency.  If you cannot pay your
debts on time then you are under a legal obligation to liquidate
your firm, otherwise you become personally liable," the report
quoted Ms. Hutchinson as saying.

At the moment there are few provisions in Irish law that allow a
company to get protection from its creditors while it undergoes an
internal restructuring, the report discloses.

CMP say that in many cases viable businesses can get into
difficulty due to short term cash flow issues rather than because
of a catastrophic failure of the business, the report relates.

The report recalls in January they submitted a proposed amendment
to company law that would allow for a Company Voluntary
Arrangement (CVA) or a form of light examinership, similar to what
already exists in the UK.

The report says under a CVA, a company could receive temporary
protection from creditors and restructure its debts and business,
and would also cost a fraction of a conventional examinership
hearing, which can run to hundreds of thousands of euro.

"Light examinership could be an option for smaller firms.  Their
difficulty is the expense incurred of going through a full legal
process.  We feel that some sort of cut off, perhaps EUR5 million,
could apply to businesses," Ms. Hutchinson said, according to the
report.

If a light examinership option was introduced, especially for
small business, then a restructuring, or turnaround process, would
follow once the courts had accepted an application from the
business, the report states.  It is here, that the Irish chapter
of the TMA would step in, the report notes.

"We see the TMA as being a vehicle for this type of work, which is
quite different from insolvency.  It is not just about the law,
but about turning companies around.  Setting up an Irish TMA will
allow us to tap into that international experience of the other
chapters," Ms. Hutchinson, as cited in the report, said.


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


JUBILEE CDO: S&P Downgrades Rating on Class D Notes to 'B+'
-----------------------------------------------------------
Standard & Poor's Ratings Services lowered its credit rating on
Jubilee CDO VI B.V.'s class D notes.  At the same time, S&P
affirmed the ratings on all the other class of notes.

S&P has lowered the rating on the class D notes to 'B+'.  The
rating is affected by the application of S&P's supplemental tests
and more especially the largest obligor test, one of the two
supplemental stress tests S&P introduced as part of its criteria
update.  The result of these tests is to cap the rating on the
class D notes at 'B+'.

Jubilee CDO VI is a cash flow collateralized loan obligation
transaction that securitizes loans to primarily speculative-grade
corporate firms and closed on Aug. 24, 2006.


NXP BV: S&P Puts 'CCC+' Rating on CreditWatch Positive
------------------------------------------------------
Standard & Poor's Ratings Services said that it has placed on
CreditWatch with positive implications its 'CCC+' long-term
corporate credit rating on Dutch semiconductor manufacturer NXP
B.V., following the announcement of the company's initial public
offering.

"S&P anticipate that NXP will apply the bulk of net IPO proceeds
of US$442 million to reduce debt, which could result in a somewhat
less aggressive maturity schedule and somewhat lower leverage,"
said Standard & Poor's credit analyst Patrice Cochelin.

On March 31, 2010, NXP reported gross consolidated debt of $5.2
billion.

NXP's preliminary second-quarter results also support S&P's
anticipation of continued improvement of operating performance in
the near term.  NXP had positive income from operations in the
quarter while reporting only a US$28 million reduction in its cash
balances, in spite of a US$50 million negative currency impact.
This suggests that the company generated positive free cash flow
after interest payments of US$110 million.

S&P expects NXP's currently high leverage to decline somewhat
during 2010 based on S&P's anticipation for higher earnings and
application of IPO proceeds to debt reduction.  S&P calculate that
lease- and pension-adjusted gross debt represented about 11x
EBITDA for the past 12 months and about 7x for the first quarter
annualized.

S&P expects to resolve the CreditWatch in the next two to three
months, after meeting with NXP's management.

"At this stage, S&P believes that S&P could raise the long-term
corporate credit rating by one notch, to 'B-'," said Mr. Cochelin.

Factors influencing the outcome of the CreditWatch resolution are
likely to include, in S&P's opinion, its perception of NXP's
potential to sustain its margins and improve cash generation, and
how S&P sees any progress toward debt reduction and debt maturity
management.  S&P anticipate that NXP's high leverage, the modest
size of its IPO injection compared with its overall debt burden,
potentially volatile operating performance, and aggressive
financial policy track record, are likely to continue constraining
the ratings, leaving them at the bottom of the 'B' category at
best.


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


EUROCHEM OJSC: Fitch Assigns 'BB' Senior Unsec. Rating on Bonds
---------------------------------------------------------------
Fitch Ratings has assigned Russia-based OJSC EuroChem Mineral and
Chemical Company's 8.90% RUB5 billion domestic bonds, due 2018, a
senior unsecured rating of 'BB' and a National senior unsecured
rating of 'AA-(rus)'.

Fitch has simultaneously withdrawn the expected Long-term local
currency senior unsecured rating of 'BB' and National Long-term
rating of 'AA-(rus)' it had assigned on April 15, 2010 to
EuroChem's planned RUB10 billion issue, as the company did not
proceed with the issue.

The bonds are a structured as a senior unsecured obligation of
Eurochem and have a maturity of eight-years with a bondholder put
option at year five.  Fitch notes that sureties from EuroChem's
Novomoskovskiy Azot nitrogen plant and Kovdorskiy GOK apatite mine
place the domestic bonds in a stronger position structurally than
the existing senior unsecured US$290 million loan participation
notes.

Eurochem's existing ratings are:

  -- Long-term foreign currency Issuer Default Rating: 'BB';
     Outlook Negative

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

  -- Long-term local currency IDR: 'BB'; Outlook Negative

  -- US$290m loan participation notes (LPNs): Long-term foreign
     currency senior unsecured rating 'BB'

  -- National Long-term rating: 'AA-(rus)'; Outlook Negative


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


CAMPOFRIO FOOD: Moody's Gives Positive Outlook; Retains B1 Ratings
------------------------------------------------------------------
Moody's Investors Service has changed the outlook on the ratings
of Campofrio Food Group S.A. to positive from stable.  The
company's B1 corporate family rating, B1 probability of default
and B1 rating on the EUR500 million senior unsecured notes remain
unchanged.

"The change in outlook to positive from stable reflects the
company's improved credit metrics for the first six months of
2010," said Mr. Chetan Modi, Senior Vice President in Moody's
Corporate Finance Group."  Despite negative pressure on its
product mix and prices fuelled by customers favoring cheaper
products in light of the current uncertain economic environment,
Moody's notes that Campofrio has been able to enhance its
profitability thanks to optimized raw material sourcing and
productivity gains," added Mr. Modi.  According to Campofrio's
non-audited statements, the company's EBITA margin increased to
around 6% in H1 2010 compared with 4.7% at the end of 2009.

The positive outlook is also supported by Campofrio's liquidity
position.  Campofrio has indicated that as of June 30, 2010, it
had access to funds amounting to around EUR411 million, split
between EUR167 million of cash reported on balance sheet,
EUR55 million of committed revolving credit facilities --
currently undrawn, and maturing in October 2011 -- and
EUR189 million of bilateral facilities also currently undrawn.
Driven by improved management of working capital, Campofrio almost
doubled its cash flow from operations in the first half of 2010 to
EUR46 million from EUR25 million over the same period last year.

As the rest of the year unfolds, Moody's anticipates that
Campofrio should continue to gain synergies from its restructuring
plan and benefit from further efficiency gains in France in
particular.  Moody's also notes that the second half of the fiscal
year is typically stronger for Campofrio with higher sales during
the Christmas holiday season, which should further help the
company in delivering stronger performance and strengthen its
position in its rating category.  As a result, Moody's expects
that debt/EBITDA should decrease to close to 4.5x, RCF/net debt
should increase to the low teens and the EBITA margin should
increase to close to 6% by the end of 2010 (all ratios as adjusted
by Moody's).

Moody's believes the ratings could potentially be upgraded if
there is an improvement in the company's profitability leading to
EBITA margins of close to 7% and EBITA/interest above 2.0x, or if
Campofrio improves cash retention to an RCF/net debt ratio in the
mid-teens, which would in turn lead to a gross debt/EBITDA ratio
of close to 4.0x.  Conversely, significant debt-funded
acquisitions or a higher-than-expected return to shareholders
could exert negative pressure on the ratings.

The last rating action was implemented on October 20, 2009, when
Moody's assigned a B1 CFR and PDR to Campofrio.  At the time,
Moody's also assigned a provisional (P)B1 senior unsecured rating
to the EUR500 million notes due 2016 to be issued by Campofrio.

Based in Madrid, Spain, Campofrio is the largest meat producer in
Europe, with a turnover of around EUR2 billion.  The company is
the result of the merger of Campofrio Alimentacion with Groupe
Smithfield completed in December 2008 in an all-share transaction.


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


NADRA BANK: Completes Restructuring of Foreign Debt
---------------------------------------------------
Daryna Krasnolutska at Bloomberg News reports that VAT Nadra Bank,
under temporary administration by Ukraine's central bank, said it
finished restructuring foreign debt as the lender seeks to qualify
for government aid.

Bloomberg relates Nadra on Monday said the bank has restructured
US$877 million of international obligations, including Eurobonds.
The bank did not provide the terms of its agreement with
creditors.

According to Bloomberg, the central bank's first deputy governor,
Anatoliy Shapovalov, said April 28 that Nadra needs UAH10 billion
(US$1.26 billion) to bolster the bank's capital.

The government plans to hire an international auditing firm to
complete a review of Nadra's finances by the end of October before
providing additional capital, Bloomberg says, citing an agreement
with the International Monetary Fund, published Aug. 6 on the
Washington-based lender's website.

Bloomberg notes the memorandum said Ukraine plans to reach
agreement by the end of November with an investor who will restore
Nadra's profitability, and the bank will be completely
recapitalized by the end of the year.  If recapitalization isn't
possible, the government will "promptly" liquidate it, Bloomberg
states.

Bloomberg recalls he Natsionalnyi Bank Ukrainy put Nadra into
temporary administration in February 2009 after the lender ran out
of cash during the global financial crisis.

Nadra KB VAT (Commercial Bank Nadra OJSC) --
http://www.nadra.com.ua/-- is a Ukraine-based nation-wide
universal commercial bank.  It provides financial services to
three client segments: individuals, small and medium-sized
enterprises and corporate clients.  Its customer services platform
comprises a network of branches located in all Ukrainian major
cities, numerous Automated Teller Machines (ATM) and Point of Sale
terminals, as well as an electronic contact center.  Nadra KB VAT
has in its offer micro-loans, credit lines, overdrafts, personal
and corporate credit and debit cards, current accounts, time
deposits, cash management services, deposit taking, cash
management and account services, corporate cards and securities
transactions.


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


ABBOT GROUP: S&P Junks Corporate Credit Rating From 'B-'
--------------------------------------------------------
Standard & Poor's Ratings Services said that it has lowered to
'CCC' from 'B-' its long-term corporate credit rating on U.K.-
based oil services company Abbot Group Ltd. (intermediate holding
company and owner of KCA Deutag Drilling Group Ltd.) and related
entity Turbo Alpha Ltd. The ratings were removed from CreditWatch,
where they were placed with negative implications on Nov. 16,
2009.  The outlook is negative.

The issue ratings on Turbo Alpha's senior secured bank facilities,
which are guaranteed by Abbot, were also lowered to 'CCC', while
the recovery ratings of '3' on these facilities remain unchanged.
At the same time, S&P withdrew the ratings on the proposed
US$500 million senior unsecured notes, since Turbo Beta PLC has
cancelled this issuance.

"The ratings reflect Abbot Group's withdrawal of its planned
US$500 million bond issue due to adverse market conditions," said
Standard & Poor's credit analyst Karl Nietvelt.

Consequently, the mezzanine facilities will not be refinanced and
the envisaged US$200 million equity injection will not take place.
S&P also views a breach of mezzanine covenant as likely by the end
of September 2010.  S&P views all of these as likely to result in
increased uncertainty of any future amendment agreement and in
increased default risk.

In addition, S&P understands Abbot is planning to send a proposal
to its senior banking group including in respect of a senior
covenant waiver requirement needed by Aug. 15, 2010.  Even if the
senior banks were to consent, S&P believes that the future
position of the mezzanine creditors-in respect of a new remedial
package, if any -- will remain difficult to predict.

The rating on Abbot Group factors in S&P's assessment of its
"highly leveraged" financial risk profile, as evidenced by its
very high debt in combination with likely near-term covenant
breaches.  S&P estimates adjusted funds from operations to debt of
around 5% at year-end 2010.  S&P qualifies its business risk
profile as "weak," given the cyclicality of the drilling and oil
services industry even though Abbot's land drilling and platform
management activities in the Eastern Hemisphere are less volatile
than those of its North American peers.

"The negative outlook reflects the uncertainty resulting from
potential near-term covenant breaches," said Mr. Nietvelt.

Even if a waiver from the senior lenders was obtained by the
Aug. 15 deadline to avoid a covenant breach, the likely breach on
the mezzanine covenant at end-September creates further
uncertainty.  As shown by the unsuccessful recent high-yield bond
placement, S&P believes that the position of the mezzanine
creditors in particular is difficult to predict and could
complicate a future solution between senior creditors,
subordinated mezzanine creditors, and shareholders.

Further downward ratings pressure is likely if S&P sees adverse
consequences from any covenant default, or any tightening of
liquidity, or in the absence of an amendment agreement in the
coming months.  On the other hand, the ratings could stabilize or
move upward if the group is able to put into place a new improved
covenant package, refinance the mezzanine debt, improve liquidity
and/or benefit from an equity injection.


AEOLUS CDO: S&P Cuts Ratings on All Classes of 2005-3 Notes to D
----------------------------------------------------------------
Standard & Poor's Ratings Services lowered its credit ratings on
all classes of Aeolus CDO Ltd.'s series 2005-3 notes.

The rating actions follow S&P's receipt of a notice from the
trustee of an early termination of the transaction.  From the
early redemption payment date report the trustee provided to us on
Aug. 6, 2010, and dated June 15, 2010, S&P sees that none of the
rated notes received their full principal amount outstanding.

The transaction structure includes a credit default swap whereby
Aeolus CDO acts as credit protection seller and Morgan Stanley
Capital Services as credit protection buyer, for a reference
portfolio of largely European subprime residential mortgage-backed
securities, commercial mortgage-backed securities, and corporate
collateralized debt obligations.  The trustee has informed us that
no credit event has been called under the CDS.  The capital
structure includes an unfunded super senior portion with the notes
only being issued against the lower part of the capital structure.

On Aug. 6, the trustee informed us that the terms and conditions
of the notes were amended through the execution of an amendment
deed on June 8, between Aeolus CDO and the various transaction
parties.

These amendments included a change to the final maturity date of
the notes to June 15, 2010 (originally Dec. 22, 2066), and the
designation of an early termination of the CDS agreement on that
date, with the issuer being the sole affected party.  Upon an
early termination, according to the transaction documents, if the
issuer is the sole affected party all termination payments due by
the issuer to the CDS counterparty are payable senior to any
payments made to the noteholders.  From the early redemption
payment date report, S&P note that the proceeds available for
final distribution were applied to first pay senior expenses
followed by payments due by the issuer to the CDS counterparty.
No amounts remained available for distribution to the noteholders.

From the information the trustee provided to us, S&P note that the
requisite amounts of the class A, B, and D noteholders approved
the amendments via an extraordinary resolution, and the requisite
amounts of the class C noteholders via a written resolution.  S&P
did not receive notice of these amendments before they were
executed.

As a result of the nonpayment of the full amounts due to the
noteholders on the amended maturity date of June 15, 2010, S&P has
lowered the ratings on all classes of notes to 'D'.

Aeolus CDO 2005-3 closed in October 2005.

                           Ratings List

                         Ratings Lowered

                          Aeolus CDO Ltd.
      EUR84 Million Secured Credit-Linked Floating-Rate Notes
                          Series 2005-3
                                  Rating
                                  ------
                 Class      To              From
                 -----      --              ----
                 A          D               A+
                 B          D               BBB
                 C          D               BB
                 D          D               CCC


ARGOS SPORTS: Faces Liquidation Following Insolvency Probe
----------------------------------------------------------
A Yorkshire-based company which received advance payment from
numerous customers for sports equipment which it then failed to
supply has been wound up in the High Court following an
investigation by Company Investigations of the Insolvency Service.

Argos Sports (UK) Limited, which has no connection with the high
street retailer known as Argos, sold sports equipment to the
public through the website www.argos-sports.co.uk.  The company's
trading succeeded that of an associated company, Argos Sports
Limited, which went into compulsory liquidation in July 2008 with
an estimated deficiency of GBP1.18 million, mainly comprised of
liabilities to suppliers of sports equipment.  Argos Sports (UK)
Limited appears to have used the same website as that previously
used by Argos Sports Limited in order to effect internet sales and
there were common features in the control of the companies, even
though they did not share named company officers.

Commenting on the case, Investigation Supervisor, Colin Cronin of
The Insolvency Service, said; "Companies that deliberately set out
to mislead customers and fail to produce the goods and services
they claim to offer undermine the confidence the public has in
business.  The Insolvency Service regards this as serious
misconduct and the action taken in this matter sends a clear and
simple message to company directors -- if you run a business that
seeks to cheat customers and trading partners you will be closed
down."

In winding-up Argos Sports (UK) Limited the High Court found that
there was a lack of transparency in the control of the company
such that past and present directors could either not be traced or
explain with any clarity the sequence of governance of the
company.  In particular, numerous complaints had been made by
members of the public to the Consumer Direct division of the
Office of Fair Trading during a period when the true ownership and
control of the company could not be established.  The complaints
typically involved a failure by the company to supply goods paid
for in advance by customers.  In addition, no accounting records
were produced during the investigation to explain how the
company's income of GBP1.8 million was spent and whether the
transactions shown on the company's bank account (particularly
substantial loan transactions) were in the best interest of the
company and its creditors.

Argos Sports (UK) Limited was incorporated under the style Fitness
Equipments (UK) Limited on May 9, 2007 and changed its name to
Argos Sports (UK) Limited on November 5, 2008.  Its registered
office and trading address was latterly at Unit 20, Campus Road,
Listerhills Science Park, Bradford BD7 1HR.


BRADFORD & BINGLEY: BBAG Lodges Appeal in Compensation Bid
----------------------------------------------------------
Chris Holland at Telegraph and Argus reports that campaigners on
behalf of nearly one million former Bradford & Bingley
shareholders have lodged a formal appeal against the decision not
to compensate them after the break-up and part-nationalization of
the mortgage bank in 2008.

According to the report, David Blundell, chairman of the Bradford
& Bingley Action Group, has written to Peter Clokey, the
independent valuer appointed by the previous government, who
decided last month that no compensation should be awarded to
holders of B&B shares, which are now worthless.

The report says Mr. Blundell is also urging individual
shareholders to write to the Treasury Select Committee pressing
for an inquiry into the B&B affair -- a move being called for by
Shipley MP Philip Davies -- and to write to their local MPs urging
support for the campaign.

He has also pledged that, whatever the outcome of the appeal, BBAG
would continue to demand an independent inquiry into events
leading up to B&B's nationalization, the report notes.

The group is challenging the decision that B&B should be valued as
if in administration, the report discloses.  It claims that
Mr. Clokey based his valuation on the assumption of all government
funding being withdrawn, whether it was or would have been if the
company had not been nationalized, the report states.  That forced
him into concluding that B&B should be valued on the basis that it
is in administration, the report relates.

                            Liquidation

As reported by the Troubled Company Reporter-Europe on Jan. 26,
2010, the European Commission approved under EU state aid rules
government measures granted for the liquidation of Bradford &
Bingley.  Following Bradford & Bingley's split-up and
nationalization of the part containing the impaired assets in
2008, the UK authorities notified a liquidation plan for the bank.
The Commission authorized the measures, because they are
appropriate and necessary for an orderly winding down of the bank
while taking into account the necessity to preserve the confidence
of creditors in the financial system and remedy a serious
disturbance of the UK economy.  The Commission therefore concluded
that the plan is compatible with Article 107(3)(b) of the Treaty
on the Functioning of the European Union, that allows aid to
remedy a serious disturbance in a Member State's economy.

The decision in the case of Bradford & Bingley, together with the
decision taken on Dunfermline, is closing the chapter of UK bank
restructuring prompted by State aid in the context of the
financial crisis.

By September 2008, the bank had fallen into difficulties due to
its dependence on wholesale funding and its risky loan portfolio,
which resulted in the withdrawal of its license to accept deposits
by the UK Financial Services Authority.  The UK authorities
decided to nationalize and wind down the bank while it was still
solvent, sell its retail deposit book and branches to Abbey
National and provide the remaining part of the business with a
working capital facility and guarantee arrangements.  These
measures were authorized by the Commission as rescue aid on
October 1, 2008, under which the UK was obliged to submit
liquidation or restructuring plan for Bradford & Bingley.

The liquidation plan submitted by the UK foresees a prolongation
of the rescue measures previously authorized, which are now
extended for the liquidation of the bank, and a potential capital
injection.

The Commission concluded that the liquidation plan ensures an
orderly winding down of Bradford & Bingley in a manner which
maintains financial stability.  The liquidation period covers more
that 10 years.  However, once the bank is no longer active in the
market, competitive distortions are limited.  The wind-down can be
accelerated by a sale of the remaining assets when market
conditions improve.

                     About Bradford & Bingley

Headquartered in Bingley, United Kingdom, Bradford & Bingley plc
provided specialist mortgages and savings products.  It operated
197 branches and 141 agencies spread across the UK.  Its market
share of net new mortgage lending at the end of the 2007 was 7.7%.

                           *     *     *

As reported by the Troubled Company Reporter-Europe on June 4,
2010, Fitch Ratings affirmed the ratings on Bradford & Bingley's
lower tier 2 subordinated debt securities, upper tier 2
subordinated debt securities and tier 1 subordinated debt
securities affirmed at 'C'.


CHASE SAUNDERS: In Liquidation; Owes More Than GBP2.2 Million
-------------------------------------------------------------
Debt Management Today reports that Chase Saunders Ltd. has been
liquidated, owing creditors more than GBP2.2 million.

Chase Saunders was voluntarily wound up by its directors following
a General Meeting on June 30, the report says, citing an Equifax
alert.

The directors have partly blamed a legal dispute with the Office
of Fair Trading for the firm's failure, the report notes.

The creditors' report, from the company's liquidator, Colin Thomas
Burke of Milner Boardman & Partners, states that Chase Saunders
went into liquidation with debts of GBP2,225,541.50, the report
discloses.  At the time of its demise, the limited company had
just GBP7,407.50 of cash in the bank, the report states.  It owed
nearly GBP432,000 to HMRC and almost GBP58,000 to the Royal Bank
of Scotland, according to the report.

The report relates the debt management company had invested
heavily in online campaigns, spending GBP125,000 on Search Engine
Optimisation and GBP500,000 on Pay-Per-Click.  However this
backfired when the OFT restricted the company's usage of its
website last year, as it was seen to be in direct competition with
those of debt charities, the report recounts.

Based in Manchester, Chase Saunders Ltd. was a debt management
firm operating in the intermediary sector.


CLAVIS SECURITIES: Fitch Affirms BB Rating on Class B2, B2a Notes
-----------------------------------------------------------------
Fitch Ratings has affirmed the ratings of Clavis Securities plc
2006-1 and 2007-1.

As compared to the trend seen in most other UK non-conforming
transactions, where the volume of loans in arrears has been
stabilizing, the two Clavis transactions continue to report rising
arrears.  As of June 2010 interest payment date, the volume of
loans in arrears by more than three months made up 10.8% (Clavis
2006-1) and 11.8% (Clavis 2007-1) of the current outstanding
balance.  Based on the loan-by-loan level data received, Fitch was
able to identify that such loans are to borrowers with high loan-
to-value ratios: 82.8% and 85.1% of the arrears in the respective
transactions carry current LTVs that are greater than 80%,
compared to 61.1% and 75% of loans with more than 80% LTV in the
overall pools of Clavis 2006-1 and Clavis 2007-1.  Self-certified
arrears borrowers make up 57.4% (Clavis 2006-1) and 42.3% (Clavis
2007-1) of the total delinquent portfolio, 90% of which have
interest-only loans.

At present, the notes in both transactions are amortizing pro rata
indicating that the performance of loans in arrears by more than
three months in both transactions remains within the transaction
limits.  In addition, the reserve fund of Clavis 2006-1 has
amortized to its floor amount of GBP2.6 million, which has also
had an impact on the slow pace at which the credit enhancement
levels of this transaction have increased since close.  Meanwhile,
the reserve fund of Clavis 2007-1 remains at its initial amount of
GBP4.7 million.  Due to the breach in the cumulative foreclosures
trigger, set at 2.25% of the initial pool balance, the reserve
fund of Clavis 2007-1 is not allowed to amortize.

To date both transactions have generated sufficient excess spread
necessary to clear the losses incurred.  In addition, at certain
IPDs in the past the issuer has captured excess spread at the
bottom of the interest revenue priority of payments, which then
forms part of available interest revenue at this interest payment
date.  These amounts currently stand at GBP0.15 million and GBP0.2
million in Clavis 2006-1 and Clavis 2007-1 respectively.  This is
a positive for the transaction but as this is an optional capture
of excess spread Fitch does not give any credit to this amount.

Cumulative losses in these deals have remained low, compared with
other UK non-conforming transactions.  As of June 2010, they stood
at 0.4% (Clavis 2006-1) and 0.7% (Clavis 2007-1) of the initial
pool balances.  Average loss severity as reported by the servicer
stood at 27% and 32.5% of Clavis 2006-1 and Clavis 2007-1
respectively.

As outstanding repossessions remain at current lows, Fitch
believes that both issuers will continue to clear losses using
excess spread.  However, as the transactions continue to
deleverage, the risk of negative selection will become more
prominent.  In the long-term, the rise in interest rates is
expected to impact the performance of these transactions, at which
stage repossessions and losses will begin to rise, increasing the
likelihood of reserve fund draws.

The rating actions are:

Clavis Securities plc Series 2006-01:

  -- Class A3a (ISIN XS0255457706): affirmed at 'AAA'; Outlook
     Stable; assigned Loss Severity Rating 'LS-1'

  -- Class A3b (ISIN XS0255438748): affirmed at 'AAA'; Outlook
     Stable; assigned Loss Severity Rating 'LS-1'

  -- Class M1a (ISIN XS0255424441): affirmed at 'AA'; Outlook
     Stable; assigned Loss Severity Rating 'LS-3'

  -- Class M1b (ISIN XS0255439043): affirmed at 'AA'; Outlook
     Stable; assigned Loss Severity Rating 'LS-3'

  -- Class M2a (ISIN XS0255425414): affirmed at 'A'; Outlook
     Stable; assigned Loss Severity Rating 'LS-3'

  -- Class B1a (ISIN XS0255425927); affirmed at 'BBB'; Outlook
     Stable; assigned Loss Severity Rating 'LS-4'

  -- Class B1b (ISIN XS0255440728); affirmed at 'BBB'; Outlook
     Stable; assigned Loss Severity Rating 'LS-4'

  -- Class B2a (ISIN XS0255426818); affirmed at 'BB'; Outlook
     Stable; assigned Loss Severity Rating 'LS-4'

Clavis Securities plc Series 2007-01:

  -- Class A3a (ISIN XS0302268361): affirmed at 'AAA'; Outlook
     Stable; assigned Loss Severity Rating 'LS-1'

  -- Class A3b (ISIN XS0302269096): affirmed at 'AAA'; Outlook
     Stable; assigned Loss Severity Rating 'LS-1'

  -- Class AZa (ISIN XS0302268445): affirmed at 'AAA'; Outlook
     Stable; assigned Loss Severity Rating 'LS-1'

  -- Class M1a (ISIN XS0302269682): affirmed at 'AA'; Outlook
     Stable; assigned Loss Severity Rating 'LS-3'

  -- Class M1b (ISIN XS0302270854): affirmed at 'AA'; Outlook
     Stable; assigned Loss Severity Rating 'LS-3'

  -- Class M2a (ISIN XS0302270185): affirmed at 'A'; Outlook
     Stable; assigned Loss Severity Rating 'LS-4'

  -- Class M2b (ISIN XS0302271662): affirmed at 'A'; Outlook
     Stable; assigned Loss Severity Rating 'LS-4'

  -- Class B1a (ISIN XS0302270268): affirmed at 'BBB'; Outlook
     Stable; assigned Loss Severity Rating 'LS-4'

  -- Class B1b (ISIN XS0302271829): affirmed at 'BBB'; Outlook
     Stable; assigned Loss Severity Rating 'LS-4'

  -- Class B2 (ISIN XS0302270342): affirmed at 'BB'; Outlook
     Stable; assigned Loss Severity Rating 'LS-5'


LADBROKES PLC: Half-Year Profits Hurt by Horse Racing Losses
------------------------------------------------------------
Christopher Thompson at The Financial Times reports that Ladbrokes
announced an interim dividend of 3.85 pence despite depressed
profits.

According to the FT, pre-tax profits were GBP105.1 million in its
half-year results, down from GBP130 million, despite a strong
World Cup boost.  However, that was more than offset by reduced
sales, down to GBP500 million from GBP565 million, led by a
decline in "over the counter" bets at Ladbrokes' 2,700 shops,
which declined 7.1%, the FT notes.

The FT says a string of horse racing losses compounded the
decline, particularly this summer's Royal Ascot, in which the high
street betting stalwart took losses in 21 out of 30 races.

In Europe, Ireland and Belgium the company showed increases in
pre-tax profit, while in Spain it halved its losses compared with
last year to GBP0.9 million, the FT discloses.

Ladbrokes plc -- http://www.ladbrokesplc.com/-- is a betting and
gaming company.  The Company operates in five segments.  The
United Kingdom Retail segment comprises betting activities in the
shop estate in Great Britain.  The Other European Retail segment
comprises all activities connected with the Ireland, Belgium and
Italy shop estates.  The eGaming segment comprises betting and
gaming activities from online operations.  The Telephone Betting
segment comprises activities relating to bets taken on the
telephone.  The Other segment comprises international development
operations and the start up of its Spanish joint venture.  As of
December 31, 2008, Ladbrokes plc had approximately 8,800 betting
shops in Great Britain.  On February 4, 2008, the Company acquired
100% of Agenzie Scommesse SRL, a betting company in Italy.
Ladbrokes.com is a primary betting and gaming Websites with over
725,000 active customers betting in 13 languages and 18
currencies.

                           *      *      *

As reported by the Troubled Company Reporter-Europe on April 26,
2010, Fitch Ratings said notwithstanding recent improvements,
Ladbrokes continues to face operational challenges.  Specifically,
the prospects for a recovery in UK consumer spending remains
constrained by high unemployment and an uncertain post-election
policy environment in addition to continuing competition and
increased consolidation risks in the internet gaming space, Fitch
said.  Furthermore, Ladbrokes' post-dividend free cash flow may
remain limited in the longer term.  The company carries a current
Long-term Issuer Default Rating of 'BB+' from Fitch with a
Negative Outlook.


LEHMAN BROTHERS: Christie's to Auction Artworks on September 29
---------------------------------------------------------------
Christie's announce the auction of Lehman Brothers: Artwork and
Ephemera which will take place at South Kensington on September
29, 2010, offering artworks and selected items of interest which
once adorned the walls and offices of the British and European
arms of the former banking powerhouse Lehman Brothers.

This auction is taking place under the direction of the joint
administrators of Lehman Brothers Limited ('LBL') and of Lehmans
Brothers International (Europe) ('LBIE') who are partners at
PricewaterhouseCoopers LLP.  The Joint Administrators were
appointed on September 15, 2008, to wind down LBL and LBIE in as
orderly a way as possible, and in order to achieve the maximum
value from the companies for the return to creditors.  This
auction forms part of the Administrators' strategy in realizing
the assets held in the companies for the maximum value.

From works of art by Lucian Freud and Gary Hume to beautiful
porcelain objets d'art and the sign which adorned the company's
offices in Canary Wharf, London, the auction will offer a diverse
selection of items and works of art including Post-War and
Contemporary pieces, maritime pictures and sporting works of art.
Individual estimates start at GBP250 with all works estimated
under GBP1,000 being offered without reserve.  The collection
being offered at Christies South Kensington on September 29, 2010
is expected to realize in the region of GBP2 million.  New York
Mercantile Exchange, 1991, by Andreas Gursky will be offered from
the same collection at the Post-War and Contemporary Evening
Auction at Christie's, King Street, on 14 October 2010
(estimate:GBP100,000 to GBP150,000).

Barry Gilbertson, partner at PricewaterhouseCoopers LLP,
responsible for releasing value from the real estate and other
fixed assets, commented "The brothers Lehman collected artwork
which adorned their offices since the 19th century.  Over the
subsequent years, of course, as the business expanded and the
leadership changed, so did their corporate taste in art.  We are
excited to be working with Christies to offer the art collection
owned by the companies in Administration. The auction date was
selected to approximately coincide with the second anniversary of
the Administrations."

"We think that there are many people around the world who would
like to acquire some art with a Lehman connection, and we have
therefore timed the sale to ensure that potential buyers can view
and bid efficiently online.  As with the Enron auction, some seven
years ago, when we had bids from 43 countries, we expect internet
bidding to be fast and furious -- having the capacity to cope with
a large volume of global bidding was one of the key reasons why we
chose Christie's."

Benjamin Clark, Director of Corporate Collections & Museum
Services at Christie's London: "Christie's is pleased to have been
selected by the Administrators from PricewaterhouseCoopers LLP as
their partner in offering and releasing the maximum possible value
from the Lehman Brothers property.  The international Corporate
Collection team at Christie's guides corporate clients on an
international, national, and regional level through all aspects of
collecting, from valuations, insurance and curatorial advice to
acquisitions and sales.  We look forward to presenting what is a
fascinating glimpse into the history of what was a giant of the
financial world, and to welcoming both new and established
international collectors to the auction in London in September."

Selected contents of the collection:

   -- Modern art includes Madonna by Gary Hume (b.1962) (estimate:
GBP70,000 to GBP100,000) (illustrated left); Head of Bruce
Bernard, a signed etching by Lucian Freud (B. 1922) (estimate:
GBP8,000 to GBP12,000) and The White Hyacinth by Mary Fedden
(b.1915) (estimate: GBP7,000 to GBP10,000), as well as works by
Wim Wenders and Sean Scully.

   -- Old masters include The ship Frankfield off Table Bay by
Samuel Walters (1811-1882) (estimate: GBP15,000 to GBP25,000); The
Mare Dolly with jockey; a race beyond by the celebrated sporting
artist Francis Sartorius (1734-1804) (estimate: GBP7,000 to
GBP10,000); and A frigate in 3 positions off the Dover Coast by
Thomas Luny (1759-1837) (estimate: GBP10,000 to GBP15,000).

   -- Other assorted highlights include the sign which adorned the
company's offices in Canary Wharf (estimate: GBP2,000 to GBP3,000)
and the commemorative plaque from those offices from their opening
by the Rt. Hon. Gordon Brown M.P. in 2004 as he served as
Chancellor of the Exchequer (estimate:GBP1,000 to GBP1,500); as
well as tea caddies, cigar boxes, books and Chinese ceramics.

   -- New York Mercantile Exchange, 1991, by Andreas Gursky will
be offered from this collection at the Post-War and Contemporary
Evening Auction at Christie's, King Street, on October 14, 2010
(estimate: GBP100,000 to GBP150,000).

                     About Lehman Brothers

Lehman Brothers Holdings Inc. -- http://www.lehman.com/-- was the
fourth largest investment bank in the United States.  For more
than 150 years, Lehman Brothers has been a leader in the global
financial markets by serving the financial needs of corporations,
governmental units, institutional clients and individuals
worldwide.

Lehman Brothers filed for Chapter 11 bankruptcy September 15, 2008
(Bankr. S.D.N.Y. Case No. 08-13555).  Lehman's bankruptcy petition
listed US$639 billion in assets and US$613 billion in debts,
effectively making the firm's bankruptcy filing the largest in
U.S. history.  Several other affiliates followed thereafter.

The Debtors' bankruptcy cases are handled by Judge James M. Peck.
Harvey R. Miller, Esq., Richard P. Krasnow, Esq., Lori R. Fife,
Esq., Shai Y. Waisman, Esq., and Jacqueline Marcus, Esq., at Weil,
Gotshal & Manges, LLP, in New York, represent Lehman.  Epiq
Bankruptcy Solutions serves as claims and noticing agent.

On September 19, 2008, the Honorable Gerard E. Lynch, Judge of the
U.S. District Court for the Southern District of New York, entered
an order commencing liquidation of Lehman Brothers, Inc., pursuant
to the provisions of the Securities Investor Protection Act (Case
No. 08-CIV-8119 (GEL)).  James W. Giddens has been appointed as
trustee for the SIPA liquidation of the business of LBI

The Bankruptcy Court has approved Barclays Bank Plc's purchase
of Lehman Brothers' North American investment banking and
capital markets operations and supporting infrastructure for
US$1.75 billion.  Nomura Holdings Inc., the largest brokerage
house in Japan, purchased LBHI's operations in Europe for US$2
plus the retention of most of employees.  Nomura also bought
Lehman's operations in the Asia Pacific for US$225 million.

              International Operations Collapse

Lehman Brothers International (Europe), the principal UK trading
company in the Lehman group, was placed into administration,
together with Lehman Brothers Ltd, LB Holdings PLC and LB UK RE
Holdings Ltd.  Tony Lomas, Steven Pearson, Dan Schwarzmann and
Mike Jervis, partners at PricewaterhouseCoopers LLP, have been
appointed as joint administrators to Lehman Brothers International
(Europe) on September 15, 2008.  The joint administrators have
been appointed to wind down the business.

Lehman Brothers Japan Inc. and Lehman Brothers Holdings Japan Inc.
filed for bankruptcy in the Tokyo District Court on September 16.
Lehman Brothers Japan Inc. reported about JPY3.4 trillion
(US$33 billion) in liabilities in its petition.

Bankruptcy Creditors' Service, Inc., publishes Lehman Brothers
Bankruptcy News.  The newsletter tracks the Chapter 11 proceeding
undertaken by Lehman Brothers Holdings, Inc., and other insolvency
and bankruptcy proceedings undertaken by its affiliates.
(http://bankrupt.com/newsstand/or 215/945-7000)


LIVERPOOL FOOTBALL: Sahara Drops Out of Bidding Race
----------------------------------------------------
Sahara India Pariwar, an Indian conglomerate that sponsors the
national cricket team, has pulled out from the race to acquire the
English Premier League team Liverpool Football Club due to debt
concerns, James Fontanella-Khan at The Financial Times reports,
citing people familiar with the matter.

According to the FT, a person involved in the deal said on Tuesday
that the Indian group controlled by billionaire industrialist
Subrata Roy had been trying to negotiate an agreement with the
English club for several months, but Liverpool FC's high debt
exposure stalled the negotiation.

In the latest full-year results released in May, Liverpool FC
reported that its losses had swollen to GBP54.9 million, up from
GBP40.9 million, and its total debt had risen to GBP351 million,
the FT notes.

Liverpool Football Club and Athletic Grounds owns and operates one
of the more popular and most successful franchises in the UK
Premier League.  Known as The Reds, Liverpool has won 18 first
division titles and seven FA Cups since it was founded by John
Houlding in 1892.  In addition to the football club, the company
owns and operates Anfield Stadium, Liverpool's home ground.  The
company generates revenue primarily through sponsorships,
broadcasting fees, and ticket sales.  The company was acquired by
US businessmen George Gillett and Tom Hicks in 2007.


MORTGAGES PLC: Fitch Affirms Low-B Ratings on Class E Notes
-----------------------------------------------------------
Fitch Ratings has affirmed two Mortgages Plc transactions.  The
Outlooks on the classes D and E of Mortgages No. 6 Plc have been
revised to Stable from Negative to reflect the improved
performance of the underlying assets in the pool.

The issuer of Mortgages No. 6 Plc reported a switch to pro rata
note amortization in July 2010, resulting from the improved
performance of the underlying assets.  This in turn has led to a
decline in the volume of loans in arrears by more than three
months to levels below 20%, as required by the transaction
documentation.  Although the decline in arrears is beneficial for
the transaction, as the issuer is able to generate significant
levels of excess spread, the switch to pro-rata amortization will
slow down the pace at which the credit support of the tranches
will increase from this point on.  For this reason, Fitch believes
that the class B notes will not be eligible for an upgrade in the
medium term, which is why the Outlook on this class of notes was
revised to Stable from Positive.

Meanwhile, the stabilization in arrears in Mortgages No. 7 Plc has
led to a significant decline in the volume of outstanding
repossessions from levels seen in the last four years.
Subsequently, the volume of losses incurred each period has also
decreased, which has meant that the issuer was able to utilize the
excess spread generated in the last four interest payment dates
towards the replenishment of the reserve fund.  As of July 2010,
the reserve fund stood at 88.6% of its target amount.  Fitch
expects the reserve fund to reach its target amount of GBP7.5
million by Q111, at which stage the switch to pro rata
amortization will only depend on the percentage of loans in
arrears by more than three months, which are required to be below
20% of the current pool.  The amortization of the reserve fund
will also depend on the level of cumulative losses the transaction
incurs.  Such losses currently stand at 1.1% and need to remain
below 1.25% of the initial pool.  Fitch's expectations are that
any switch to pro rata amortization and/or reserve fund
amortization, will both be short-lived as both the arrears and
cumulative loss triggers are expected to be breached in higher
interest rate scenarios, which will drive further performance of
loans in the underlying pools.  For this reason the agency has
maintained the Negative Outlook on the class E notes of Mortgages
No. 7.

In Fitch's view, given the shorter level of seasoning, Mortgages
No. 7 Plc carries a higher degree of risk.  To date, the
performance of this less seasoned transaction has been worse than
that of Mortgages No. 6 Plc.  The volume of arrears, outstanding
repossessions, and losses in Mortgages No. 6 Plc are all
significantly lower than in Mortgages No. 7 Plc, which is why
Fitch maintained the Negative Outlook on the class D notes of
Mortgages No. 7 Plc.

The rating actions are:

Mortgages No. 6 plc:

  -- Class A2 (ISIN XS0206259888): affirmed at 'AAA'; Outlook
     Stable; assigned Loss Severity Rating 'LS-1'

  -- Class B (ISIN XS0206260464): affirmed at 'AA+'; Outlook
     revised to Stable from Positive; assigned Loss Severity
     Rating 'LS-2'

  -- Class C (ISIN XS0206260894): affirmed at 'A+'; Outlook
     Stable; assigned Loss Severity Rating 'LS-3'

  -- Class D (ISIN XS0206261603): affirmed at 'BBB+'; Outlook
     revised to Stable from Negative; assigned Loss Severity
     Rating 'LS-3'

  -- Class E (ISIN XS0206261942): affirmed at 'BB+'; Outlook
     revised to Stable from Negative; assigned Loss Severity
     Rating 'LS-4'

Mortgages No. 7 plc:

  -- Class A2 (ISIN XS0225922110): affirmed at 'AAA'; Outlook
     Stable; assigned Loss Severity Rating 'LS-1'

  -- Class B (ISIN XS0225922383): affirmed at 'AA+'; Outlook
     Stable; assigned Loss Severity Rating 'LS-3'

  -- Class C (ISIN XS0225922466): affirmed at 'A+'; Outlook
     Stable; assigned Loss Severity Rating 'LS-3'

  -- Class D (ISIN XS0225922623): affirmed at 'BBB+'; Outlook
     Negative; assigned Loss Severity Rating 'LS-4'

  -- Class E (ISIN XS0225922896): affirmed at 'BB'; Outlook
     Negative; assigned Loss Severity Rating 'LS-5'


TUI AG: Travel Unit Losses Widen in Nine Months Ended June 30
-------------------------------------------------------------
Philip Stafford at The Financial Times reports Tui Travel, a unit
of Tui AG, said it had not been able to claw back losses from the
first half in its third quarter, traditionally one of its
strongest periods, and that profits would be at the low end of
market expectations.

The FT notes Paul Bowtell, chief financial officer, also said weak
demand had continued into July.

For the nine months to June 30, Tui said revenues fell 7% to
GBP8.3 billion while pre-tax losses widened from GBP411 million to
GBP540 million, the FT discloses.  Analysts had forecast Tui's
underlying profits for the year would be between GBP645 million
and GBP764 million, the FT states.

Tui, the FT says, blamed volcanic ash disruption, uncertainty
created by the emergency Budget and good weather in the UK, which
all contributed to customers delaying purchases of holidays.

The group also raised the total cost of the volcanic ash
disruption in Europe during the spring from GBP90 million to
GBP105 million and hit out at authorities for refusing to
compensate the industry for the cost of repatriating stranded
passengers, the FT relates.

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

                           *     *     *

As reported by the Troubled Company Reporter-Europe on Aug. 3,
2010, Standard & Poor's Ratings Services said that it affirmed its
'B-' long-term corporate credit rating on Germany-based tourism
and shipping conglomerate TUI AG and removed it from CreditWatch,
where it was originally placed with negative implications on July
29, 2009.  S&P said the outlook is negative.  At the same time,
the issue ratings of 'CCC+' on the senior unsecured debt, and of
'CCC-' on the junior subordinated debt, were affirmed and removed
from CreditWatch negative.


* UK: Pub Insolvencies Down to 115 in 2Q2010, Baker Tilly Says
--------------------------------------------------------------
Andy Parsons at Conveying News reports that the number of
insolvencies in the pub industry in the United Kingdom fell in the
second quarter of 2010.

According to the report, figures from insolvency firm Baker Tilly
Restructuring and Recovery show that 115 pubs were declared
insolvent during the second quarter of the year, compared to 124
in the first quarter.


* UK: EFG Loans for Small Businesses Capped at GBP74 Million
------------------------------------------------------------
Richard Tyler at The Daily Telegraph reports that official
statistics show that the U.K. government's flagship small business
loan guarantee scheme received less public money at the height of
the recession than its much smaller predecessor.

According to the report, the Enterprise Finance Guarantee Scheme
had been billed to make GBP1.3 billion available to struggling
small firms by providing a 75% state guarantee to encourage banks
to lend, but the public funding was capped at GBP74 million, less
than 10% of the total GBP788 million lent under the scheme by
banks to the end of March.  This compared with GBP78.3 million the
Business Department spent on loan defaults on a predecessor
scheme, called the Small Firms Loan Guarantee, which covered
issuing banks for losses on the full 75% of a loan's value, the
report notes.

The report says the findings will raise questions over the
previous government's use of public money to help businesses
during the recession.  Business groups had raised concerns that
some viable businesses had been turned down for EFG loans and
those that were approved were required to provide onerous personal
guarantees, the report states.


* UK: Courts Could Enforce US Bankruptcy Judgments
--------------------------------------------------
Jane Croft at The Financial Times reports that bankruptcy
decisions made by US courts could be enforceable in England and
Wales after an important court ruling that lawyers say could have
implications for former UK clients of collapsed bank Lehman
Brothers and those of the fraudster Bernard Madoff.

The FT relates the Court of Appeal recently ruled in the case of a
trust created by Eurofinance SA that English courts could
recognize overseas insolvency proceedings made by US courts.

Previously US bankruptcy judgments were not enforceable in the UK
unless a separate UK action had been started on the same grounds,
the FT notes.

According to the FT, lawyers say the judgment could have an impact
on UK victims of the Bernard Madoff scandal as the Madoff trustee
may now be able to instigate "clawback" proceedings in the US
against UK victims who may have received more money than they
should have from Madoff's assets.

In the case of Lehman, trustees of the failed investment bank in
the US might be able to seek direct support from the UK courts in
enforcing US bankruptcy judgments, the FT states.


* UK: Insolvency Licensing Bodies Need to Address CVA Stigma
------------------------------------------------------------
Rachael Singh at Accountancy Age reports that a quick response
from insolvency licensing bodies Insolvency Practitioners
Association and the Association of Chartered Certified Accountants
could stop Company Voluntary Arrangements becoming "stigmatized"
and set the record straight as to why CVAs are often a viable
insolvency process for struggling businesses.

According to the report, in cases where there is more than one
licensor, one of them will conduct an overall investigation,
sending its findings to other licensors involved once the overall
complaint has been handled.  The report says in this complaint,
ACCA will take the lead regulatory body role.

The bodies believe it is not an "effective use of resources" for
both licensors to conduct separate investigations, the reports
notes.

The decision of which body will take the lead investigator role is
based on a number of factors, including which licensor receives
the complaint first, or which regulator is larger, the report
discloses.

The report relates the call for action from the licensors came
after a high profile complaint by a judge against two
practitioners.  In an appeal against a CVA for Sixty UK, which
owns the Miss Sixty clothes brand and Energie clothes shops,
justice Henderson heavily criticized administrators Nick O'Reilly
and Peter Hollis for proposing a deal that he found was unfair to
some creditors, the report says.


* UK: Councils Unlikely to Recoup Investments in Iceland Banks
--------------------------------------------------------------
William Green at Newcastle Journal reports that millions of pounds
of public money invested in Icelandic banks is unlikely to be
returned.

According to the report, a number of councils in the North East,
along with Northumbria Police Authority, had pounds GBP28 million
invested in Icelandic banks before they faltered two years ago.

Northumberland County Council, which invested GBP23 million in
failed banks, stands to lose GBP9.1 million, while Gateshead
Council, which deposited GBP2.7 million, has estimated losses in
its accounts of GBP460,361, the report discloses.  Gateshead also
provides support for Northumbria Police Authority, which invested
GBP3 million, the report notes.

The report says nationwide, around 120 authorities invested pounds
GBP1 billion in failed Icelandic banks.  Just GBP143 million has
been returned, putting financial pressure on town halls already
facing spending cuts, the report states.

According to the report, total losses hinge on a court case
deciding whether UK councils will get "priority" status ahead of
other creditors.

Northumberland County Council expects to lose GBP364,000 from a
pounds GBP4 million investment in Landsbanki, a return of 71% of
the original investment, including interest up to April 2009, the
report says.  But its estimated return would fall to 38% if the
council does not get priority status, the report notes.


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


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

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

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

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

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

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

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



                            *********

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

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

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

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

                            *********


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

Troubled Company Reporter -- Europe is a daily newsletter co-
published by Bankruptcy Creditors' Service, Inc., Fairless
Hills, Pennsylvania, USA, and Beard Group, Inc., Frederick,
Maryland USA.  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
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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 * * *