TCREUR_Public/101126.mbx         T R O U B L E D   C O M P A N Y   R E P O R T E R

                           E U R O P E

           Friday, November 26, 2010, Vol. 11, No. 234



A-TEC INDUSTRIES: AE&E Gets Court Clearance to Reorganize Debt


URITUS OU: To Be Acquired by TiszaTextil


ALCATEL-LUCENT HOLDING: Moody's Puts 'B1' Rating on Senior Notes


ARCANDOR AG: Carlyle to Buy Most of Primondo Operations
PRIME 2006-1: Moody's Lowers Rating on Class E Notes to 'Ca (sf)'


* GREECE: Investors Express Doubt on Ability to Repay Debts


KAUPTHING BANK: Winding-Up Committee Mulls Debt-for-Equity Swap


ANGLO IRISH: Credit Default Swap Investors to Receive Pay-Outs
BANK OF IRELAND: Government Denies Nationalization Speculations
MCINERNEY GROUP: High Court Appoints Liquidator to Two Units


ALITALIA SPA: Chairman Doesn't Rule Out Air France Full Merger
BANCA PADOVANA: Moody's Cuts Bank Financial Strength Rating to 'D'
BOLOGNA FOOTBALL CLUB: Seeks Investors to Avert Bankruptcy
CORDUSIO RMBS: Fitch Affirms Rating on Class E Notes at 'Bsf'


EUROSAIL-NL 2007-1: Moody's Cuts Rating on E1 Notes to Caa1 (sf)


ASTRAL IMPEX: Goes Insolvent Following Default
ASTRA VAGOANE: Decline in Freight Car Demand Spurs Insolvency


SKB-BANK: Moody's Assigns 'B2' Rating to Senior Unsecured Debt

U N I T E D   K I N G D O M

ALBURN REAL: Moody's Lowers Rating on Class A Notes to 'Ba2 (sf)'
ERDC GROUP: Cuts Jobs Following Administration
FORWARD PRESS: Heads Toward Liquidation; 100 Workers Laid Off
PEARSON ADVERTISING: Goes Into Administration
STEADFAST INT'L: FRP Advisory Appointed Joint Administrators

STRATA MATRIX: Goes Into Liquidation; 12 Jobs Affected
TITAN EUROPE: S&P Downgrades Rating on Class C Notes to 'D (sf)'
UBS AG: S&P Downgrades Rating on Series 2007-47 Notes to 'D (sf)'


* EUROPE: Bondholders in Insolvent Banks Must Accept Losses
* BOOK REVIEW: Working Together -- 12 Principles for Achieving



A-TEC INDUSTRIES: AE&E Gets Court Clearance to Reorganize Debt
Zoe Schneeweiss and Boris Groendahl at Bloomberg News report that
A-Tec Industries AG's AE&E construction unit received court
clearance to reorganize debt after it failed to sell the company
or unfreeze a EUR798 million (US$1.06 billion) credit line.

Bloomberg relates A-Tec said in a statement AE&E will be managed
by an administrator after it filed for reorganization proceedings
at the Vienna Commercial Court on Wednesday.  According to
Bloomberg, AE&E said under the restructuring, which is part of the
insolvency process, creditors are being offered 20% of what they
are owed.

Bloomberg notes A-Tec said in a separate statement on Wednesday
AE&E had been trying to sell itself and potential buyers included
Austria's Andritz AG, Mass Financial Corp. of Hong Kong and
Korea's Doosan Heavy Industries and Construction Co.

A-Tec said the company will adapt its restructuring plan to
account for AE&E's filing, according to Bloomberg.

A-Tec, as cited by Bloomberg, said its Chief Executive Officer and
majority shareholder Mirko Kovats is offering its creditors a
25.1% stake in the company.

As reported by the Troubled Company Reporter-Europe on Nov. 5,
2010, Bloomberg News said the AE&E unit, which builds power plants
for clients such as utilities or steel makers, is A-Tec's biggest
unit with 60% of the group's revenue and 83% of pretax profit in
2009.  Bloomberg noted failure to keep it afloat would diminish
the funds for creditors.

On Oct. 22, 2010, the Troubled Company Reporter-Europe, citing
Bloomberg News, reported that A-Tec sought court clearance to
reorganize debt after losing access to its line of credit because
of an Australian power-station project's financial difficulties.
Bloomberg disclosed A-Tec said in a statement on Oct. 20 that the
company filed for self-administered reorganization proceedings at
the Vienna Commercial Court and appointed trustees for
bondholders.  Bloomberg said A-Tec has 90 days under Austrian law
to seek an agreement with lenders, after which it can seek full
protection from creditors.  The company has a EUR798 million
(US$1.11 billion) revolving credit facility and EUR302 million of
outstanding bonds, according to Bloomberg data.

A-Tec Industries AG is an engineering company based in Vienna,


URITUS OU: To Be Acquired by TiszaTextil
MTI-Econews reports that TiszaTextil is buying bankrupt Estonian
peer OU Uritus.

TiszaTextil managing director Zsolt Vago said the Hungarian
packaging company will operate Uritus as an independent unit under
the name TiszaTextil Eesti.

Based in Kohtla-Jarve, OU Uritus manufactures flexible
intermediate bulk containers, "big bags" with a load capacity of


ALCATEL-LUCENT HOLDING: Moody's Puts 'B1' Rating on Senior Notes
Moody's Investors Service has assigned a provisional (P)B1 rating
to Alcatel-Lucent Holding Inc.'s proposed EUR500 million worth of
senior notes, due in 2016.  Concurrently, the rating agency has
affirmed Alcatel-Lucent's other ratings with a negative outlook.
These include the company's (i) B1 corporate family rating; (ii)
B1 probability-of-default rating; and (iii) B1 rating for its
senior securities and B3 rating for its trust-preferred securities
issued by Lucent Technologies Capital Trust.

Moody's issues provisional ratings in advance of the final sale of
securities and these ratings reflect Moody's preliminary credit
opinion regarding the transaction only.  Upon a conclusive review
of the final documentation, Moody's will endeavor to assign a
definitive rating to the notes.  A definitive rating may differ
from the provisional rating.

                        Ratings Rationale

"Moody's ratings for Alcatel-Lucent reflect: (i) the pressure on
the company's revenues resulting from the generally subdued
investment behavior of telecoms carriers in developed markets, as
well as from the company's lagging position in third-generation
wireless products, with better potential for fourth-generation
long-term evolution; (ii) the price pressure on equipment as a
result of the strategies of major competitors to gain market
share, which has absorbed a proportion of the company's cost-
saving benefits; and (iii) challenges to contain cash
consumption," says Wolfgang Draack, a Moody's Senior Vice
President and lead analyst for Alcatel-Lucent.

However, these constraints are balanced by Alcatel-Lucent's: (i)
strong customer relationships and its large installed base, both
of which support its market shares; (ii) broad and advanced
product offering, complemented by services that appeal to
customers that require solutions for various communication
technologies, amid modest revenue growth for carriers; (iii)
potential for reducing expenses and generating cash by
streamlining its product portfolio, reducing corporate costs and
managing working capital; and (iv) comfortable liquidity position,
with a relatively moderately leveraged capital structure on a net-
of-cash basis.

Alcatel-Lucent's last results appear to be on track to meet most
of Moody's expectations for the maintenance of a B1 CFR, including
(i) a stabilization of revenues, with nine months 2010 sales
almost on a par with those of the previous year; (ii) positive
adjusted operating income in Q2 and Q3 2010, and expected for the
full year, as well as cash and cash equivalents exceeding 40%
(actual: 51%) of gross adjusted debt.

Nonetheless one area of concern for Moody's is Alcatel-Lucent's
cash consumption, which rose to more than EUR1.1 billion in the
first nine months of 2010.  This was a result of the company's
negative funds from operations, which remained burdened by its low
profitability and restructuring, and an inventory build-up
primarily caused by component shortages, which delayed the
installation of, and billing for, equipment.  The B1 CFR expects
Alcatel-Lucent to achieve a material reversal of cash burn in Q4
2010 and extending into Q1 2011, supported by a gradual easing of
component shortages, invoicing of work in progress without
material obsolescence charges, and the collection of receivables.

Moody's maintains its rating guidance for Alcatel-Lucent, but
accepts a temporary overshooting of the cash burn metric in view
of still substantial liquidity cushion available to the company.
The successful placement of the proposed bond would ease pressure
on this metric.  The B1 rating would come under pressure if (i)
there was an indication that Alcatel-Lucent would not be able to
sustain profitability in the coming quarters; (ii) the company's
cumulative cash consumption from January 1, 2009 (estimated to be
EUR1.6 billion by the end of September 2010) were to exceed a
quarter of its cash liquidity (EUR4.4 billion) plus the undrawn
portion of its EUR1.4 billion revolving credit facility one year
before maturity (EUR563 million due in April 2012 and EUR837
million due in April 2013) minus short-term debt of EUR1.1 billion
(calculated at 35% after Q3 2010); or (iii) the company's cash and
cash equivalents were to decline below 40% of its gross adjusted
debt (actual: 51%).

An upgrade of the CFR would likely require Alcatel-Lucent to
achieve comparable sales growth exceeding 5%, which would be
evidence of a robust market and an indication that the company
will be able to maintain leading positions with key customers.
Equally, positive pressure on the rating would result from the
retention of cost savings, which would indicate that the company's
EBITA margin was trending towards the mid-single-digits, and
importantly, a return to net cash generation following
restructuring.  In Moody's view, Alcatel-Lucent will not be able
to accomplish this during 2010 and will find it challenging to
achieve in 2011.

Issuer: Alcatel-Lucent


  -- Senior Unsecured Regular Bond/Debenture, Assigned (P)B1,
     LGD3, 47%

Moody's last rating action for Alcatel-Lucent was the downgrade to
B1 from Ba3 for the CFR with a continuing negative outlook on
February 18, 2009.

Headquartered in Paris, France, Alcatel-Lucent is one of the world
leaders in providing advanced solutions for telecommunications
systems and equipment to service providers, enterprises and
governments with sales of EUR11.1 billion in the first nine months


ARCANDOR AG: Carlyle to Buy Most of Primondo Operations
Martin Arnold and James Wilson at The Financial Times report that
Carlyle Group said on Wednesday it would buy most of the Primondo
mail-order and e-commerce retail operations of Arcandor, which
filed for insolvency last year, including Baby Walz, the chain of
baby products and apparel stores.

According to the FT, the companies covered by the deal, including
Denmark's Bon'A Parte clothing mail order business and Germany's
Planet Sports online store for board sports equipment and apparel,
make about EUR500 million (US$666 million) in total annual

Carlyle, the FT says, plans to expand the businesses, which employ
2,000 people and generate more than 85% of their revenues in
Germany, into other European countries.

No value was put on the deal with Carlyle, which typically invests
EUR150 million-EUR500 million in each of its European buy-outs,
the FT notes.

The other businesses being sold to Carlyle include the Elegance
women's apparel chain, the Mirabeau furniture retailer and a 50%
stake in the Vertbaudet Germany children's clothing joint venture
with France's Redcats, the FT discloses.

The FT relates a person familiar with the deal said the speciality
mail-order and e-commerce businesses had been kept ring-fenced
from Arcandor's insolvency and had proved more resilient to the
downturn than many of its other activities.

                        About Arcandor AG

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

As reported by the Troubled Company Reporter-Europe, a local court
in Essen formally opened insolvency proceedings for Arcandor on
September 1, 2009.  The proceedings started for the Arcandor
holding company and for 14 units, including the Karstadt
department-store chain and Primondo mail-order division.  Arcandor
filed for bankruptcy protection after the German government turned
down its request for loan guarantees.  On June 8, 2009, the
government rejected two applications for help by the company,
which employs 43,000 people.  The retailer sought loan guarantees
of EUR650 million (US$904 million) from Germany's Economy Fund
program.  It also sought a further EUR437 million from a state-
owned bank.

PRIME 2006-1: Moody's Lowers Rating on Class E Notes to 'Ca (sf)'
Moody's Investors Service took these rating actions on five
classes of notes issued by Prime 2006-1 Funding Limited
Partnership and EUR9,000,000 PRIME 2006-1 Funding Linked Notes due
2013/15 issued by Landesbank Baden-Wuerttemberg:

Issuer: Prime 2006-1 Funding Limited Partnership

  -- EUR119.6M A Notes, Downgraded to Baa1 (sf); previously on Oct
     29, 2009 Downgraded to A1 (sf) and Remained On Review for
     Possible Downgrade

  -- EUR15M B Notes, Downgraded to B1 (sf); previously on Oct 29,
     2009 Downgraded to Ba1 (sf) and Remained On Review for
     Possible Downgrade

  -- EUR20M C Notes, Downgraded to Caa2 (sf); previously on Oct
     29, 2009 Downgraded to B2 (sf) and Remained On Review for
     Possible Downgrade

  -- EUR13.9M D Notes, Downgraded to Caa3 (sf); previously on Oct
     29, 2009 Downgraded to Caa2 (sf) and Remained On Review for
     Possible Downgrade

  -- EUR13M E Notes, Downgraded to Ca (sf); previously on Oct 29,
     2009 Downgraded to Caa3 (sf) and Remained On Review for
     Possible Downgrade

Issuer: LBBW

  -- EUR9M PRIME 2006-1 Funding Linked Notes due 2013/15 Notes,
     Downgraded to Caa1 (sf); previously on Oct 29, 2009
     Downgraded to B3 (sf) and Placed Under Review for Possible

EUR9,000,000 Prime 2006-1 Funding Linked Notes is a combination
note issued by LBBW under a term note program.  It is a
repackaging of a portion of Classes A and E of SME CDO notes
issued by Prime 2006-1 Funding Limited Partnership.  The cash
flows of the two classes are passed through to the combination
notes.  With respect to the combination notes, the rating
addresses the expected loss posed to investors by the legal final
maturity as a proportion of the Rated Balance, where the Rated
Balance is equal, at any time, to the principal amount of the
combination notes on the closing date minus the aggregate of all
payments made from the closing date to such date, either through
interest or principal payments.  The current rated balance amounts
to EUR6.4 million according to Moody's calculation.  The rating
incorporates the additional expected loss deriving from LBBW
(Aa2/P-1/C-) as the issuer of the combination notes.

                        Ratings Rationale

Prime 2006-1 Funding Limited Partnership is a cash flow CDO backed
by profit participation agreements ("Genussrechte") with or
without loss participations which are all subordinated bullet
loans issued by German small and medium-sized companies.

The underlying portfolio of Prime 2006-1 currently totals EUR185.5
million with exposure to 26 obligors as per the investors report
dated November 2, 2010.  The Class A notes have been paid down by
EUR15.7 million since closing.

The rating actions are driven by the observed credit deterioration
in the underlying pool, as well as increased stresses applied by
Moody's in order to anticipate further deterioration suggested by
recent information included in the reports and obtained from
discussions with the originators.  Moody's notes as well that the
rating actions also reflect the methodology adjustments addressing
the profit and loss participation features embedded in the
portfolio Genussrechte.  Under these methodology adjustments
reduced coupons with maturity extensions were modelled with
varying levels of severity corresponding to the ratings of the
assets.  This was in place of a rating migration approach to
assessing likelihood of interest and/or principal deferral as
modelled at closing, facilitating the use of CDOROM to model asset

The credit deterioration is evidenced by an additional EUR18.5
million of principal deficiencies experienced since last rating
action (29 October 2009).  Since inception of the transaction
EUR39.5 million principal deficiencies have been reported,
including EUR8.5 million of early terminations repaid at par.  The
principal deficiency ledger has been paid down to EUR23.7 million
at the last payment date.  In addition, the weighted average
credit quality of the portfolio has migrated from Ba2 to B2 since
October 2009.  The credit quality is based on LBBW's and HSH's
internal ratings mapped to Moody's rating scale.

In its analysis, Moody's applied a number of stressed assumptions
as per its standard methodology.  This includes a 30% stress to
the probability of defaults of each obligor, forward looking
stresses, as well as an increased inter-asset correlation (from 3%
to 5%) in order to reflect the borrower concentration within
Germany.  These assumptions mirror Moody's expectations that
default rates for these pools are likely to remain at elevated
levels despite improvements in the German economy.  In addition,
due to the subordinated position of the loans in the obligors'
capital structure, Moody's assumes a zero recovery rate upon asset

In reaching its ratings decisions, Moody's also incorporated the
qualitative performance information on individual obligors
provided by Altium Mitkap AG as financial advisor in the latest
investor report as well as additional information provided by the
loan originators on their performance expectations.  This
information was key to address the potential for elevated
refinancing difficulties likely to be faced by an increasing
number of the weaker obligors over the coming years to scheduled

Moody's notes as well that this portfolio shows high concentration
levels, as the top five obligors represent close to 40.5% of the
pool, with the lowest mapped ratings at Ba3.  In order to measure
the risk associated with such low granularity, Moody's conducted
several sensitivity analyses , including the application of
stresses applicable to concentrated pools with non publicly rated
issuers, as outlined in Moody's Methodology, "Updated approach to
the usage of credit estimates in rated transactions" (October
2009).  The volatility of the rating outputs in such sensitivity
runs was deemed consistent with the current ratings in light of
the collateralization levels available on the different tranches,
which are these: Class A 151.2%, Class B 132.1%, Class C 113.1%,
Class D 102.8%, Class E 94.7%.

Moody's also took into consideration the fact that obligations in
this pool provide for maturity extension and coupon deferral, both
linked to breach of certain loss triggers.  On the one hand, a
maturity extension would expose the transaction to poorly
performing entities for longer than scheduled.  On the other hand,
a maturity extension may allow the extending borrower to recover
during the extension period.  While coupon deferral is cumulative,
a default following deferral would lead to the deferred past
coupon payments to be lost in addition to the principal amount.
Moody's addresses the these specific risk by modelling a maturity
extension of up to 2 years for the debt obligations and reducing
the coupon earned from the debt obligations.  Both of these
adjustments depend on the current rating level of each obligation.

Finally, Moody's notes that the transaction generates material
excess spread cash flows that have allowed it to substantially
cure the PDL and will continue to partially mitigate the impact of
defaults as well as potential coupon deferrals.

Sources of additional performance uncertainties include:

1) Low portfolio granularity: The performance of the portfolio
   depends to a large extent on the credit conditions of a few
   large obligors that are rated non investment grade, especially
   when they experience jump to default. Due to the pool's lack of
   granularity, Moody's supplements its base case scenario with
   individual scenario analysis.

2) There is the potential for elevated refinancing difficulty
   regarding the subordinated debt instruments in this portfolio,
   particularly among obligors with weaker credit quality.

Moody's Investors Service did not receive or take into account a
third party due diligence report on the underlying assets or
financial instruments related to the monitoring of this
transaction in the past 6 months.


* GREECE: Investors Express Doubt on Ability to Repay Debts
Maria Petrakis at Bloomberg News reports that Greece's EUR110
billion (US$149 billion) rescue has failed to restrain borrowing
costs as investors remain skeptical about the nation's ability to
pay its debts once the aid package expires.

"The market has substantial doubts on the longevity of any Greek
rescue," said Bill Blain, a strategist at Matrix Corporate Capital
LLP in London, according to Bloomberg.  "Ultimately, if nothing
else changes, Greece will still need a restructuring down the

The cost of insuring Greek debt against default is at its highest
since June 29, Bloomberg notes.  Investors demand 9.2 points more
yield to lend to the country than to Germany, the highest premium
in the euro region and near the May 7 record of 9.65 points, as
bondholders question whether Greece can plug its budget shortfall,
Bloomberg says.

Bloomberg relates the International Monetary Fund said Greece
needs to cut health spending, rein in deficits at state-owned
companies and boost tax collection.

Finance Minister George Papaconstantinou has announced EUR14
billion of revenue measures and spending cuts that aim to trim the
shortfall by EUR5 billion, Bloomberg discloses.  Bloomberg notes
the deficit will be 9.4% of gross domestic product this year,
above an original 8.1% target agreed in May, and 7.4 percent next
year, according to the budget.

"We remain skeptical about its ability to cut the deficit
further," Giada Giani, an economist at Citigroup in London, wrote
on Nov. 23, according to Bloomberg.  That's partly due to concerns
that this year's deficit will miss the latest targets and "because
we see it unlikely that meaningful improvements in tax collection
will materialize in the short-term."

Greece will receive EUR9 billion in December and January from the
EU and IMF following this week's assessment, Bloomberg states.
That's in addition to the EUR29 billion it's been given since the
May accord, when deficit concern pushed its borrowing costs to
record highs, leaving it shut out of financial markets, Bloomberg


KAUPTHING BANK: Winding-Up Committee Mulls Debt-for-Equity Swap
Omar R. Valdimarsson at Bloomberg News reports that creditors of
Kaupthing Bank hf may get their claims settled in about a year as
the bank's winding-up committee looks into the option of swapping
debt for equity.

"We could see issuing some kind of financial instruments to the
creditors in a year's time," said Olafur Gardarsson, the head of
Kaupthing's winding-up committee, in an interview, according to
Bloomberg.  "Those who need the money can cash out and others that
want to see a greater return on their investment can choose to sit
back and wait."

Kaupthing, which failed in October 2008 after it was unable to
access wholesale markets, faces total claims of about US$56
billion, Bloomberg says, citing a creditors report published last
month.  Bloomberg notes data provided by brokerage H.F. Verdbref
hf show investors who bought bonds in the bank can expect 26.25
cents back on the euro.

Creditors will have the freedom to choose how their claims are
settled as far as is possible, Mr. Gardarsson, as cited by
Bloomberg, said.  Each creditor will learn the status of his claim
on Dec. 3, Bloomberg states.

After handling the claims, Kaupthing "has the opportunity to enter
a composition agreement," Bloomberg quoted Mr. Gardarsson as
saying.  "How each claim was handled doesn't really matter;
whether they were approved or rejected."

Creditors can choose to run the bank as an asset management
company or "they could change this into a company in full
operation, which would then issue new loans and be a fully
functioning company," Mr. Gardarsson said, according to Bloomberg.
"We have to find a variety of exit points" for creditors with
different demands."

As reported by the Troubled Company Reporter-Europe on Nov. 24,
2010, Kaupthing's resolution committee, citing a ruling by the
District Court of Reykjavik, said in an e-mailed statement on
Monday that the bank formally entered winding-up procedures,
according to Bloomberg News.  Bloomberg disclosed the committee
said the move won't impact the bank's ability to hold its assets
until maturity "if deemed beneficial rather than disposing of them
immediately."  The committee, as cited by Bloomberg, said it will
continue to be responsible for the claims process.

                       About Kaupthing Bank

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

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


ANGLO IRISH: Credit Default Swap Investors to Receive Pay-Outs
Anousha Sakoui and Tracy Alloway at The Financial Times report
that investors who bought protection against Anglo Irish Bank
defaulting on its debt are to receive pay-outs, after an industry
ruling on the bank's restructuring of its bonds.

According to the FT, an auction will be held to settle US$379
million of credit default swaps linked to the bonds of the Irish
lender, in the first decision of its kind for a eurozone bank.

The FT relates the International Swaps and Derivatives
Association, the trade body for the derivatives market, said on
Wednesday that a committee had decided that Anglo's recent bond
tender plans constituted a so-called "restructuring credit event".

As a result, the providers of credit default swaps to bondholders,
a form of insurance against debt default, will have to make pay-
outs, the FT notes.  The FT says a credit event auction will
settle the price at which this pay-out will take place.

As reported by the Troubled Company Reporter-Europe on Nov. 24,
2010, The Irish Times said Anglo has cleared the first hurdle in
securing a deal with investors in the bank's subordinated bonds,
netting a gain by offering the investors just 20% of the face
value of their debt.  The Irish Times disclosed in a closely
watched debt exchange to share Anglo losses with the bondholders,
the bank secured the agreement of 92% of the investors holding
loan notes of EUR750 million due in 2017.  The Irish Times said
the bank has made the same offer to provide new bonds at a value
of 20% of the original value of the debt to investors in two of
Anglo's other subordinated bonds due in 2014 and 2016.  The Irish
Times noted investors who decline the offer will only receive one
cent for every EUR1,000 of debt they owe in a proposal that was
described by analysts as tantamount to default.  A final vote on
the 2014 and 2016 notes will be held on December 22 in an exchange
that is seen as a bellwether for a similar burden-sharing move at
Irish Nationwide Building Society, The Irish Times stated.

                     About Anglo Irish Bank

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

                         *     *     *

As reported by the Troubled Company Reporter-Europe on Oct. 29,
2010, 2010, Standard & Poor's Ratings Services lowered its rating
on Anglo Irish Bank Corp. Ltd.'s nondeferrable dated subordinated
debt (lower Tier 2) securities to 'D' from 'CCC'.  The downgrade
of the lower Tier 2 debt rating reflects S&P's opinion that the
bank's exchange offer is a "distressed exchange" and tantamount to
default in accordance with its criteria.

BANK OF IRELAND: Government Denies Nationalization Speculations
Geoff Percival at The Irish Examiner reports that the Irish
government has denied that it is set effectively to nationalize
Bank of Ireland -- on top of Allied Irish Banks -- by the end of
this week.

The Irish Examiner notes that while a near-total nationalization
of AIB and an increase in the state's stake in Bank of Ireland,
from its current 36% level, has been widely touted in recent
weeks, reports in the British press in the last couple of days
have ratcheted up the speculation -- by suggesting that a further
stake is likely to be bought in Bank of Ireland, as part of the
planned EUR85 billion rescue package being negotiated with
International Monetary Fund/European Union representatives.

According to The Irish Examiner, a Department of Finance
spokesperson said that no such decision had been reached.  The
spokesperson added that any decision as to the future profile of
the Irish banking system -- including shareholdings in the two
main banks -- would only follow the publication of the four-year
economic recovery plan, the passing of Budget 2011 early next
month and the conclusion of the overall bailout talks, which could
continue well into December, The Irish Examiner relates.

Both of the banks in question declined to comment on speculation,
on Wednesday, The Irish Examiner states.

Headquartered in Dublin, Bank of Ireland -- provides a range of banking and
other financial services.  These include checking and deposit
services, overdrafts, term loans, mortgages, business and
corporate lending, international asset financing, leasing,
installment credit, debt factoring, foreign exchange facilities,
interest and exchange rate hedging instruments, executor, trustee,
life assurance and pension and investment fund management, fund
administration and custodial services and financial advisory
services, including mergers and acquisitions and underwriting.
The Company organizes its businesses into Retail Republic of
Ireland, Bank of Ireland Life, Capital Markets, UK Financial
Services and Group Centre.  It has operations throughout Ireland,
the United Kingdom, Europe and the United States.

                           *     *     *

As reported by the Troubled Company Reporter-Europe on Nov. 4,
2010, Moody's Investors Service assigned A3/P-2 bank deposit
ratings and a D+ bank financial strength rating to Bank of Ireland
(UK) plc.  Moody's said the outlook is stable.

MCINERNEY GROUP: High Court Appoints Liquidator to Two Units
Tim Healy at Irish Independent reports that the High Court on
Wednesday appointed William O'Riordan as liquidator to McInerney
Construction (Holdings) Ltd and McInerney Contracting Dublin Ltd,
two of five companies in the McInerney construction group.

Irish Independent relates the move came after Mr. O'Riordan, who
was appointed interim examiner to the firms last August, indicated
survival proposals for the group would now only apply to two of
its companies -- McInerney Homes Ltd and McInerney Contracting
Ltd.  Mr. Riordan finalized an investment plan for the two
companies last Sunday, Irish Independent discloses.

According to Irish Independent, the court heard McInerney
Construction (Holdings) and McInerney Contracting Dublin, two the
other three companies in the group, are not being included and
court protection for them could be lifted.

Mr. Justice Kelly, as cited by Irish Independent, said in view of
the circumstances where the examiner said it is not possible to
find an investor for two companies, the court had little option
but to appoint a liquidator to them.  He ordered their directors,
Enda Cunningham, Mark Shakespeare and John Crowley to file a
statement of their affairs within 21 days to the court, Irish
Independent discloses.

John Hennessy, acting for the companies, said protection could
also be lifted for the fifth company, McInerney Holdings plc, but
there was no need for a winding-up order as the company's fortunes
had changed and it was able to pay it debts, Irish Independent
notes.  The court was told that the firm -- essentially a company
that managed borrowings -- had significant assets over
liabilities, Irish Independent states.

McInerney Holdings plc -- 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.


ALITALIA SPA: Chairman Doesn't Rule Out Air France Full Merger
Tommaso Ebhardt at Bloomberg News reports that Alitalia SpA
Chairman Roberto Colaninno said he doesn't rule out a merger with
Air France-KLM Group once the Italian carrier improves its

"Our goal is to make the company profitable, then we'll talk about
other plans," Mr. Colaninno said in Milan on Wednesday, according
to Bloomberg.  Asked if he rules out a combination with Air
France, which owns 25% of Alitalia, Mr. Colaninno, as cited by
Bloomberg, said, "in life, I don't exclude anything."

As reported by the Troubled Company Reporter-Europe on Nov. 2,
2010, Alitalia Chief Executive Officer Rocco Sabelli told Il Sole
24 Ore in an interview that the airline expects to report a full-
year 2010 loss and break even at the operating level in 2011,
according to Bloomberg.  Bloomberg disclosed the CEO told the
financial newspaper that the airline forecasts a loss of about
EUR30 million (US$42 million) in the fourth quarter.

                         About Alitalia

Based in Rome, Alitalia S.p.A. --
provides air travel services for passengers and air transport of
cargo on national, international and inter-continental routes,
including United States, Canada, Japan and Argentina.  The Italian
government owns 49.9% of Alitalia.

On August 29, 2008, Alitalia declared insolvency and commenced
extraordinary administration procedure at the Tribunal of Rome.
Italian Prime Minister Silvio Berlusconi appointed Mr. Fantozzi as
extraordinary commissioner.  Under the Bankruptcy Bill, the
Administrator has supplanted the directors and other management of

As reported in the Troubled Company Reporter-Europe on November 7,
2008, Alitalia filed for Chapter 15 protection with the U.S.
Bankruptcy Court in the Southern District of New York.  Italy's
national airline experienced financial difficulties for a number
of years caused, in large measure, by a combination of competition
from low-cost air carriers, poor management and onerous union
obligations, according to papers filed with the court.

In the petition filed October 29, 2008, Prof. Augusto Fantozzi,
the appointed administrator, said the airline's financial
difficulties had been and exacerbated by spiraling fuel prices.

Despite a EUR1.4 billion state-backed restructuring in 1997,
Alitalia posted net losses of EUR256 million and EUR907 million in
2000 and 2001 respectively.  Alitalia posted EUR93 million in net
profits in 2002 after a EUR1.4 billion capital injection.  The
carrier booked annual net losses of EUR520 million in 2003, EUR813
million in 2004, EUR168 million in 2005, EUR625.6 million in 2006,
and EUR494.64 million in 2007.

BANCA PADOVANA: Moody's Cuts Bank Financial Strength Rating to 'D'
Moody's Investors Service has lowered the standalone bank
financial strength rating of Banca Padovana Credito Cooperativo to
D- from D+, translating into a Ba3 rating on the long-term scale
from Ba1 previously.  At the same time, its Baa3/P-3 long- and
short-term deposit ratings were affirmed.  The D- BFSR and Baa3
long-term deposit rating both have a negative outlook.

                         Rating Rationale

According to Moody's, the lowering of the BFSR to D- reflects
Banca Padovana's lower capital levels, weak asset-quality
indicators and risk-management practices, as well as continued
pressure on profitability, which has affected its ability to
generate capital.

Banca Padovana reported a EUR12 million net loss at year-end 2009
due to substantial loan-loss provisions of EUR46 million, which
absorbed 140% of the bank's pre-provision income, against 72% in
2008 and 25% in 2007.  Moody's said that it expects weak
profitability to persist for 2010 and 2011 given the current
unfavorable interest-rate environment (the net interest margin was
2.2% in 2009 from 3.1% in 2008) and the challenging outlook for
Banca Padovana's local economy.  Banca Padovana's problem loans as
a percentage of gross loans was 9.54% at year-end 2009,
representing a considerable increase from 4.96% in 2008, although
its coverage ratio is in line with levels seen in previous years
(50%).  Moreover, there is significant concentration towards the
real estate industry.  Banca Padovana's capital ratios also
weakened notably.  Following losses in 2009, its Tier 1 capital
ratio was 9.5% at year-end 2009, compared to 12.3% at the end of
2007.; Moody's said that it believes that lower Tier 1 capital
ratios will persist in the medium term, and has incorporated this
assumption into its analysis.

With regard to Banca Padovana's deposit ratings, Moody's said that
these were unaffected by the downgrade of the bank's BFSR.  The
deposit rating benefits from Moody's expectation of a low
probability of systemic support and moderate probability of co-
operative support for Banca Padovana from the BCC network, which
now result in a three-notch uplift from its BFSR, when translated
to the long-term rating scale.

According to Moody's the negative outlook on the ratings reflects
the ongoing weakness of the local economy, and the uncertainties
regarding the bank's asset quality and profitability.  It also
reflects the challenges it is facing to reinforce its risk-
management procedures, which were shown to be weak during the
financial crisis.

A stable outlook on the ratings could come from (i) a sustainable
improvement of profitability so that net income would represent
above 1% of its risk-weighted assets; (ii) a decrease in borrower
and sector concentration levels, with the top 20 borrowers
representing less than 750% of pre-provision income; and (iii)
reinforced risk-management practices.

Downward pressure on the ratings could result from (i) failure to
improve financials, particularly capitalization and profitability
and/or (ii) pressure on liquidity, stemming from a decrease in
retail confidence.

Headquartered in Campodarsego, Italy, Banca Padovana reported
total consolidated assets of EUR2.3 billion at the end of 2009.

BOLOGNA FOOTBALL CLUB: Seeks Investors to Avert Bankruptcy
Alberto Cagliano at Deutsche Presse-Agentur reports Italian Serie
A side Bologna F.C. has asked a merchant bank to find investors
willing to rescue the club from its deep financial crisis.

According to Deutsche Presse-Agentur, Bologna's Web site announced
late Tuesday that Intermedia Finance was analyzing the club's
books after a meeting with owners Sergio Porcedda and minority
stakeholder Alessandro Menarini.

Deutsche Presse-Agentur relates Mr. Porcedda acquired 80% of the
shares in June, with former owner Mr. Menarini retaining 20%, but
the club has since failed to pay taxes and players' stipends.

Last week, the Italian football federation (FIGC) put the club
under investigation, Deutsche Presse-Agentur discloses.  Deutsche
Presse-Agentur says Bologna could receive a point penalty, be
relegated or face bankruptcy.

Deutsche Presse-Agentur notes Mr. Porcedda told public prosecutors
that a broker did not provide the club with a guarantee worth more
than EUR10 million (US$13.4 million dollars) from an Italian bank.

Bologna Football Club 1909 is an Italian football club based in
Bologna, Emilia-Romagna.

CORDUSIO RMBS: Fitch Affirms Rating on Class E Notes at 'Bsf'
Fitch Ratings has affirmed 16 tranches of four Cordusio RMBS
S.r.l. transactions, a series of Italian prime RMBS deals
comprising loans originated by Unicredit S.p.A. Bank
('A'/Negative/'F1').  The Outlooks on the class B notes of
Cordusio RMBS S.r.l. and Cordusio RMBS 2 S.r.l. have been revised
to Stable from Positive, reflecting the decreased likelihood of
upgrades in the short-term due to mortgage market volatility.  A
full list of rating actions is at the end of this comment.

The rating affirmations in the two more seasoned transactions,
Cordusio 1 and 2, were driven by the high seasoning of the pools
and the limited defaults in both transactions.

For the less seasoned deals, Cordusio RMBS 3 -- UBCasa 1 S.r.l.
and Cordusio RMBS Securitization S.r.l. -- Series 2007, the
affirmations reflect declining default growth rates and a slight
recovery in excess spread, which has led to an improvement in the
cash reserves.

In all four transactions, note amortization is purely sequential.
As a result, credit enhancement levels for both Cordusio 3 and 4
have increased since the transaction's close, despite reserve fund

Loans in arrears by more than 12 months are classified as
defaulted in all four Cordusio transactions.  The deals feature a
provisioning mechanism, which utilizes excess spread to write off
loans rolling through to default.  The transactions' interest
deferral triggers are linked to gross cumulative default levels,
and in Fitch's view, these triggers are unlikely to be breached in
the next 18 months.

Cordusio 1 and Cordusio 2's structures include amortizing reserve
funds, which can only be used to cover interest shortfalls, and
are therefore not included in the credit enhancement levels.
Cordusio 3 and Cordusio 4's reserve funds can be used to clear
provisioned amounts allocated to the principal deficiency ledgers,
thus providing credit support to the notes.  Over the past two
quarters, period defaults in Cordusio 3 and 4 have declined, and
both reserve funds are replenishing.  As of September 2010, they
stood at 83% and 67% of their target amount, respectively.  Fitch
expects the cash reserves of Cordusio 3 and Cordusio 4 to
gradually replenish during 2011, but the agency still has concerns
about the future performance of the underlying assets, which is
reflected in the Negative Outlooks on the junior tranches.

Less than 2% of the underlying pools of all deals remain exposed
to loan modification schemes granted by Unicredit's Arca and ABI
Famiglie programs.  Under such schemes, Unicredit grants an
unsecured loan to the borrower, who then uses these proceeds to
pay the mortgage installments due to the issuer.  The payment
scheme is for a period of up to 12 months, and ultimately results
in a payment holiday for the borrower.  The Arca scheme does not
discharge the borrower from his obligations towards the issuer.
Some of the loans that are benefiting from the Arca initiative are
included in the arrears figures, depending on the stage they were
at on the date they were granted the scheme.  As the underlying
borrowers are currently making no payments, Fitch applied an
additional stress to such loans in its analysis.  In the agency's
view, upon expiry of the payment holiday period, unless the
borrowers are able to cover their payments, such loans could be
classified as defaulted and put additional pressure on the issuer
available funds.

More than half of the loans in the Cordusio series are linked to
three-month Euribor, and are benefiting from the current low
rates.  In Fitch's view, the current low interest rate environment
is a key factor behind the stabilization in arrears reported in
the August 2010 investor reports.  However, Fitch remains cautious
about the future performance of the four deals, especially the
loans currently in payment holiday.  In Fitch's view, an increase
in interest rates could have a negative impact on borrower
affordability, and thereby put a strain on excess spread levels
generated by the transactions.

The rating actions are:

Cordusio RMBS S.r.l (Cordusio 1):

  -- Class A2 (ISIN IT0003844948): affirmed at 'AAAsf'; Outlook
     Stable; assigned Loss Severity Rating of 'LS-1'

  -- Class B (ISIN IT0003844955): affirmed at 'AA+sf'; Outlook
     revised to Stable from Positive; assigned LS Rating of 'LS-1'

  -- Class C (ISIN IT0003844963): affirmed at 'BBBsf'; Outlook
     Stable; assigned LS Rating of 'LS-1'

Cordusio RMBS 2 S.r.l (Cordusio 2):

  -- Class A2 (ISIN IT0004087174): affirmed at 'AAAsf'; Outlook
     Stable; assigned LS Rating of 'LS-1'

  -- Class B (ISIN IT0004087182): affirmed at 'AAsf'; Outlook
     revised to Stable from Positive; assigned LS Rating of 'LS-1'

  -- Class C (ISIN IT0004087190): affirmed at 'BBB+sf'; Outlook
     Stable; assigned LS Rating of 'LS-1'

Cordusio RMBS 3 - UBCasa 1 S.r.l (Cordusio 3):

  -- Class A2 (ISIN IT0004144892): affirmed at 'AAAsf'; Outlook
     Stable; assigned LS Rating of 'LS-1'

  -- Class B (ISIN IT0004144900): affirmed at 'AAsf'; Outlook
     Stable; assigned LS Rating of 'LS-1'

  -- Class C (ISIN IT0004144934): affirmed at 'A+sf'; Outlook
     Stable; assigned LS Rating of 'LS-1'

  -- Class D (ISIN IT0004144959): affirmed at 'BBB+sf'; Outlook
     Negative; assigned LS Rating of 'LS-1'

Cordusio RMBS Securitisation S.r.l. - Series 2007 (Cordusio 4):

  -- Class A2 (IT0004231236): affirmed at 'AAAsf'; Outlook Stable;
     LS Rating of 'LS-1'

  -- Class A3 (IT0004231244): affirmed at 'AAAsf'; Outlook Stable;
     LS Rating of 'LS-1'

  -- Class B (IT0004231285): affirmed at 'AAsf'; Outlook Stable;
     LS Rating of 'LS-2'

  -- Class C (IT0004231293): affirmed at 'Asf'; Outlook Stable; LS
     Rating of 'LS-2'

  -- Class D (IT0004231301): affirmed at 'BBBsf'; Outlook
     Negative; LS Rating of 'LS-1'

  -- Class E (IT0004231319): affirmed at 'Bsf'; Outlook Negative;
     LS Rating of 'LS-3'


EUROSAIL-NL 2007-1: Moody's Cuts Rating on E1 Notes to Caa1 (sf)
Moody's Investors Service has downgraded the ratings of the class
A, B, C, D, and E1 notes issued by Eurosail-NL 2007-1 and
confirmed the ratings of the class ET issued by Eurosail-NL 2007-
1, the Class A notes issued by Eurosail-NL 2007-2, the class A1
and A2 notes issued by EMF-NL Prime 2008-A, and the class A1 notes
issued by EMF-NL 2008-2

Issuer: EMF-NL Prime 2008-A B.V.

  -- EUR50M A1 Notes, Confirmed at Aa1 (sf); previously on Dec 15,
     2008 Downgraded to Aa1 (sf) and Remained On Review for
     Possible Downgrade

  -- EUR110M A2 Notes, Confirmed at Aa1 (sf); previously on Dec
     15, 2008 Downgraded to Aa1 (sf) and Remained On Review for
     Possible Downgrade

Issuer: EMF--NL 2008-2 B.V.

  -- EUR173.85M A1 Notes, Confirmed at Aa1 (sf); previously on Dec
     15, 2008 Downgraded to Aa1 (sf) and Remained On Review for
     Possible Downgrade

Issuer: Eurosail-NL 2007-1 B.V.

  -- EUR306.25M A Notes, Downgraded to Aa1 (sf); previously on Sep
     17, 2008 Aaa (sf) Placed Under Review for Possible Downgrade

  -- EUR14.525M B Notes, Downgraded to Aa2 (sf); previously on Sep
     17, 2008 Aa1 (sf) Placed Under Review for Possible Downgrade

  -- EUR14M C Notes, Downgraded to A2 (sf); previously on Sep 17,
     2008 Aa3 (sf) Placed Under Review for Possible Downgrade

  -- EUR12.775M D Notes, Downgraded to Ba1 (sf); previously on Sep
     17, 2008 Baa2 (sf) Placed Under Review for Possible Downgrade

  -- EUR2.45M E1 Notes, Downgraded to Caa1 (sf); previously on Jan
     28, 2009 Downgraded to B2 (sf) and Remained On Review for
     Possible Downgrade

  -- EUR11.2M ET Notes, Confirmed at Caa1 (sf); previously on Jan
     28, 2009 Downgraded to Caa1 (sf) and Remained On Review for
     Possible Downgrade

Issuer: Eurosail-NL 2007-2 B.V.

  -- EUR280M A Notes, Confirmed at Aaa (sf); previously on Sep 17,
     2008 Aaa (sf) Placed Under Review for Possible Downgrade

                        Ratings Rationale

The ratings of the notes in the four transactions were initially
placed on review for possible downgrade on September 17, 2008,
because of their exposure to ELQ Hypotheken NV (at that time a
wholly owned subsidiary of Lehman Brothers Holding Inc).

The rating action concludes the review and takes into
consideration the operational risk concerns highlighted at the
time the notes were placed on review and the worse-than-expected
performance of the collateral.  It also reflects Moody's stable
sector outlook for Dutch RMBS.

The ratings of the notes take into account the credit quality of
the underlying mortgage loan pool, from which Moody's determined
the MILAN Aaa Credit Enhancement and the lifetime losses
(portfolio expected loss), as well as the transaction structure as
assessed in Moody's cash flow analysis.  The expected loss and the
Milan Aaa CE are the two key parameters used by Moody's to
calibrate its loss distribution curve, used in the cash-flow model
to rate European RMBS transactions

Portfolio expected Loss: Moody's has reassessed its lifetime loss
expectation for all four transactions taking into account the
collateral performance to date as well as the current
macroeconomic environment in the Netherlands.  Moody's notes that
all four transactions are performing worse than Moody's
expectations as of closing.  The share of loans more than 90 days
in arrears on the October 2010 IPDs, as a percentage of current
pool balance, has increased to 6.95% for Eurosail-NL 2007-1, 7.65%
for Eurosail-NL 2007-2, 8.90% for EMF-NL Prime 2008-A, and 9.11%
for EMF-NL 2008-2.  Cumulative losses have also risen rapidly,
reaching in October 2010 (as a percentage of original balance)
1.85% for Eurosail-NL 2007-1, 1.61% for Eurosail-NL 2007-2, 0.52%
for EMF-NL Prime 2008-A, and 0.65% for EMF-NL 2008-2.  On the
basis of the increase in losses in the transactions and the
increase in arrears, Moody's have updated the portfolio expected
loss assumption to 4.00% of original pool balance, up from 2.50%
at January 2009 for Eurosail-NL 2007-1; to 4.25% of original pool
balance, up from 2.50% at closing for Eurosail-NL 2007-2; to 4.00%
of original pool balance, up from 2.00% at closing for EMF-NL
Prime 2008-A; and to 4.00% of original pool balance, up from 2.75%
at closing for EMF-NL 2008-2.  The primary source of assumption
uncertainty, given the stable outlook for the Dutch market is the
performance of the self-employed and credit impaired borrowers in
the portfolios.

MILAN Aaa CE: Moody's has assessed the loan-by-loan information
for all four transactions to determine the MILAN Aaa CE.  Moody's
has increased its MILAN Aaa CE assumptions: to 24%, up from 23.24%
as at January 2009 for Eurosail-NL 2007-1; 26%, up from 22.78% at
closing for Eurosail-NL 2007-2; 28%, up from 17.08% at closing for
EMF-NL Prime 2008-A; 28%, up from 25.84% at closing for EMF-NL
2008-2.  The increase in the MILAN Aaa CE, especially in the EMF-
NL Prime 2008-A transaction reflects the exposure to loans
originated to self-employed and self-certified borrowers who have
been performing materially worse than expected.

Operational Risk Analysis: Moody's has analyzed the potential
operational risks associated with the servicing and cash
management functions in these four transactions.  Moody's
undertook a site visit in October 2010 and were satisfied that the
servicing standards have improved since Moody's previous site
visit in spring 2008.  There has also been a change in ownership
following the management buyout from the Lehman bankruptcy estate
at the end of 2009.  In addition, Moody's notes that as per
Moody's press release of 23 April 2009, ELQ has appointed ATC
Financial Services B.V. to act as a back-up cash administrator for
the four transactions.  In particular, ATC has committed that
within two business days from termination of ELQ's role as cash
manager, it would take over ELQ's obligations with respect to
payments to be made under the swap and interest payments under the
notes.  Moody's concerns regarding the risk of a cash management
disruption have been mitigated by the presence of these hot back-
up agreements for all four transactions.  However, there are no
longer liquidity facilities in place for either of the EMF-NL
Prime 2008-A and EMF-NL 2008-2 transactions as the provider,
Lehman Brothers Bankhaus AG is a subsidiary of Lehman Brothers
Holding Inc. that filed for bankruptcy on 15 September 2008.  As
stated in the press release of 15 December 2008, Moody's believes
that "the absence of a liquidity facility in these transactions
could impair the ability of the issuer to make timely payment of
interest on the Notes, particularly in the case of a servicing
disruption." Moody's considers that the risk of a missed payment
of interest is not commensurate with a Aaa-rating.  Therefore, due
to the lack of liquidity facilities in both the EMF-NL series, the
ratings of the class A1 and A2 notes in EMF-NL Prime 2008-A and
the class A1 notes in EMF-NL 2008-2 have been confirmed at Aa1
(sf).  The ratings of the class A2 notes in Eurosail-NL 2007-2
were able to maintain their Aaa (sf) rating as they benefit from a
liquidity facility, strong credit enhancement, and hot back-up
agreements for both servicing and cash administration.  Moody's
notes that the key driver for the downgrades of the class A, B, C,
D and E1 notes in Eurosail-NL 2007-1 was performance rather than
operational concerns as this transaction has a liquidity facility
and adequate hot back-up arrangements in place.

The rating addresses the expected loss posed to investors by the
legal final maturity of the notes.  In Moody's opinion, the
structures allow for timely payment of interest and principal with
respect of the notes by the legal final maturity.  Moody's ratings
only address the credit risk associated with the transactions.
Other non-credit risks have not been addressed, but may have a
significant effect on yield to investors.

Eurosail-NL 2007-1 closed in July 2007.  The transaction is backed
by a portfolio of first-ranking mortgage loans originated by ELQ
Portefeuille I B.V. and secured on residential properties located
in Netherlands.  The loans were originated between 2005 and 2007,
with the current weighted average loan-to-foreclosure-value
standing at 95.78%.  As at the July IPD, the pool had 75.6% of
borrowers with negative credit history, 46.9% were classified as
self-employed and 50.5% were classified as self-certified.  There
is 23% credit enhancement for the senior most class A notes.

Eurosail-NL 2007-2 closed in November 2007.  The transaction has
similar collateral to that of Eurosail-NL 2007-1 and is backed by
a portfolio of first-ranking mortgage loans originated by ELQ
Portefeuille I B.V. and secured on residential properties located
in Netherlands.  The loans were originated between 2005 and 2007,
with the current weighted average loan-to-foreclosure-value
standing at 101.61%.  As at the July IPD, the pool had 70.8% of
borrowers with negative credit history, 38.2% were classified as
self-employed and 43.9% were classified as self-certified.
Moody's notes that despite the increase in the Milan Aaa CE and
Moody's life time loss expectation, the credit enhancement of 31%
is sufficient to maintain a Aaa rating for the class A notes.

EMF-NL Prime 2008-A closed in May 2008.  This transaction differs
from the previous two Eurosail-NL transactions in the composition
of its collateral.  The transaction is backed by a portfolio of
loans originated by ELQ Portefeuille I B.V. and Quion 50 B.V. and
are secured on residential properties located in the Netherlands.
This transaction does not include any borrowers with negative
credit history and the pool is made up of 100% self-certified
borrowers.  Of this pool, as at the July IPD, 75.2% were
classified as self-employed and the remainder as "other".  The
current weighted average loan-to-foreclosure-value is 98.37%, as
the October IPD.  The reserve fund for this transaction continues
to be drawn and is currently at 93.4% of target.  The main driver
for the reserve fund being below target is the one-off payment the
issuer made as part of the swap replacement process in January
2009.  the credit enhancement for the A1 and A2 notes is 19%.

EMF-NL 2008-2 closed in August 2008.  The transaction consists of
a combination of collateral originated by ELQ Portefeuille I B.V.
and Quion 50 B.V.  The portfolio are all first-ranking mortgage
loans secured on residential properties located in the
Netherlands.  The current weighted average loan-to-foreclosure-
value is 99.96%, as the October IPD.  As at the July IPD, 53.8% of
borrowers had a negative credit history, 49.3% were classified as
self-employed, and 65.5% as self-certified.  The credit
enhancement on the class A1 notes is 20%.

Moody's Investors Service did not receive or take into account a
third party due diligence report on the underlying assets or
financial instruments related to the monitoring of this
transaction in the past six months.


ASTRAL IMPEX: Goes Insolvent Following Default
Mirabela Tiron at Ziarul Financiar reports that Astral Impex has
gone insolvent.

According to Ziarul Financiar, siblings Ioan and Floare Cuc,
owners of Astral Impex, decided that having the company, whose
business stood at RON516 million (EUR120 million) last year, file
for insolvency was the only way to go in a bid to overcome the
current crisis.

Looking at its 2009 turnover, the default of Astral Impex is the
biggest insolvency in the local economy so far, Ziarul Financiar

Astral Impex is a dietary and organic foods supplier based in
Arad, Romania.

ASTRA VAGOANE: Decline in Freight Car Demand Spurs Insolvency
Mirabela Tiron at Ziarul Financiar reports that Astra Vagoane has
gone insolvent.

According to Ziarul Financiar, Cristian Burci, Astra Vagoane's
owner, decided that having the company file for insolvency was the
only way to go in a bid to overcome the current crisis.

Ziarul Financiar notes almost 5,000 employees were affected by the
insolvency of Mr. Burci's three companies -- Astra Vagoane Arad,
Romvag Caracal and Meva Turnu Severin -- this month.

"Although the three companies had contracts signed with Germany's
Deutsche Bahn, Austria's OBB and with companies from Switzerland
and France until 2013, the decline in demand for freight
transportation and implicitly for freight cars caused them to ask
for deferments and rescheduling of the contracts signed," Ziarul
Financiar quoted Anca Rusu, an IRS spokesperson, as saying.

Headquartered in Arad, Romania, Astra Vagoane manufactures long-
distance passenger coaches, passenger saloon coaches, rail dining
cars and sleeping cars for the railway industry.


SKB-BANK: Moody's Assigns 'B2' Rating to Senior Unsecured Debt
Moody's Investors Service has assigned a B2 long-term global local
currency debt rating to SKB-Bank's senior unsecured debt.  The
rating carries a stable outlook.  Any subsequent senior unsecured
debt issuance by SKB-Bank will be rated at the same rating level
subject to there being no material change in the bank's overall
credit rating.

The rating of B2 was assigned to these debt instruments:

  -- RUB2.0 billion Senior Unsecured Regular Bond due 05 June

                        Ratings Rationale

The assigned rating is in line with SKB-Bank's global local
currency deposit rating, which is, in turn, based on the bank's E+
BFSR (mapping to a baseline credit assessment of B2).

SKB-Bank's rating is constrained by a high level of concentration
in the loan book together with relatively low capital adequacy
levels and modest profitability metrics.  More positively Moody's
acknowledges SKB-Bank's established banking franchise in
Sverdlovsk Oblast and adjacent regions, clear strategy and
developed product mix.

Headquartered in Yekaterinburg, Russia, SKB-Bank reported total
assets of RUB59 billion (US$2.0 billion) and net income of
RUB156 million according to IFRS at YE 2009.

U N I T E D   K I N G D O M

ALBURN REAL: Moody's Lowers Rating on Class A Notes to 'Ba2 (sf)'
Moody's Investors Service has downgraded this Class of Notes
issued by Alburn Real Estate Capital Ltd (amounts reflect initial

  -- GBP125.05M Class A Secured Floating Rate Notes due 2016,
     Downgraded to Ba2 (sf); previously on May 22, 2009 Downgraded
     to Baa3 (sf)

Moody's does not rate classes B to E.

                        Ratings Rationale

The rating action follows Moody's annual review of the
transaction.  It is mainly driven by Moody's diminished
expectations for the portfolio value over the next 3 to 4 years.

As of the October 2010 Interest Payment Date, the portfolio was
valued by CBRE at approximately GBP133.7 million showing a 45%
decline compared to January 2008.  GBP4.8 million was standing on
a cash reserve account (GBP3.6 million cash injected by the
borrower in November 2007 plus GBP1.2 million swept according to
the terms of last year's restructuring).  This resulted in a loan-
to-value of 146.8% (143.2% with the cash reserve) on the whole

Moody's expects that the value of the portfolio will continue to
decline until 2012 before it only slightly increases to revert to
its current level in 2013.  In Moody's view, this is due to (i)
the secondary and tertiary nature of the properties in the pool
and (ii) Moody's expectation that cash flows will decrease further
given the adverse rollover profile (nearly 42.5% of the leases
expire by 2013).  In addition, Moody's anticipates that the
borrower will not sweep significant cash flows over the next 3
years.  As a consequence, Moody's expect the whole loan LTV to
stand at 145% in 2011, 149% in 2012 and 141% in 2013.

The decline in value is also likely to trigger a covenant breach
in April 2011 when the covenant holiday comes to an end.  However,
Moody's assumption is that the servicer will not enforce on the
loan immediately but rather wait until maturity, as he might
expect value to improve over time but also as the swap marked-to-
market is currently against the Issuer (GBP23.7 million at the
last IPD but likely to reduce to 0 in October 2013 as it is co-
terminus with the loan).

Moody's nonetheless anticipates a very high amount of losses on
the whole loan.  In 2013, Moody's expect an LTV on the Class A of
86%.  As the likelihood of higher than expected losses on the
whole loan has increased substantially, this provides only little
protection to Class A bondholders and results in the rating

Alburn Real Estate Capital Limited closed in February 2007 and
represents the true-sale securitization of an initially GBP188
million senior loan secured by a portfolio of 45 properties
throughout the UK.  The property pool consists of office (73% of
the pool), industrial (15%) and retail (12%) properties.  There is
also a GBP12 million junior loan which has not been securitized in
this transaction but is secured by the same properties.  The
senior and junior loans form the GBP200 million whole Loan, which
matures in October 2013.  At closing, the whole loan exhibited a
loan-to-value of 80% based on the underwriter's market value for
the properties of GBP250 million.

The transaction was restructured in September 2009.

In addition, as expected in July 2010, a tender offer on the notes
was initiated in October 2010 by an entity related to the

Additional research on the transaction, including the pre-sale
report as well as previous press releases, can be found on

Moody's Investors Service did not receive or take into account a
third-party due diligence report on the underlying assets or
financial instruments related to the monitoring of this
transaction in the past six month.

Moody's rating is primarily sensitive to the underlying market
value of the property portfolio.  The current tender offer was
initiated by an entity related to the borrower.  Therefore, its
failure could potentially reduce the commitment of the borrower,
also acting as property manager, and impact significantly the
portfolio cash flows and value over time.  However, Moody's
believe this scenario is unlikely.  If the borrower were to
completely disengage from the transaction, Moody's believe that
the servicer, acting in the best interest of all noteholders,
would appoint a new property manager.

Primary sources of assumption uncertainty are the macro-economic
recovery, the current high stimulus monetary and fiscal policies
and the level of long-term interest rates as well as the ability
of banks to successfully re-capitalize in the next few years.  For
UK commercial real estate markets, Moody's anticipate that (i)
lending will gradually improve while remaining subject to strict
underwriting criteria and heavily dependent on the underlying
property quality, (ii) values will overall stabilize but with a
strong differentiation between prime and secondary properties and
(iii) occupational markets will remain under pressure in the short
term and will only slowly recover in the medium term in line with
the anticipated macro-economic recovery.  Overall, Moody's central
global scenario assumes a sluggish recovery in most of the world
largest economies, returning to trend growth with elevated fiscal
deficits and persistent unemployment levels.

ERDC GROUP: Cuts Jobs Following Administration
ERDC Group has reduced its workforce to 79 from more than 200,
from its peak in 2006, after the appointment of the joint
administrators, BBC News reports.  Blair Nimmo and Gary Fraser of
KPMG have been appointed joint administrators.

According to BBC News, the company has now ceased trading, with 73
employees made redundant.  The report relates that six employees
have been retained to assist the joint administrators in realizing
the company's business and assets.

As reported in the Troubled Company Europe on November 23, 2010,
Herald Scotland said that ERDC has gone into administration.  An
unnamed receptionist told Herald Scotland the firm "had closed"
and directed inquiries to the offices of KPMG, a group that
specializes in restructuring insolvent companies.  Herald Scotland
noted that staff at the Edinburgh headquarters was informed of the
move at a meeting and the firm's Web site has been shut down since

Headquartered in Edinburgh, ERDC is a civil engineering company
which supplied artificial turf for Rangers' and Hearts' training
grounds.  The company is a provider of ground construction and
engineering services as well as sports surfaces.  It was founded
in 1955.

FORWARD PRESS: Heads Toward Liquidation; 100 Workers Laid Off
Philip Jones at The Bookseller reports that poetry publisher
Forward Press has ceased trading and is expected to be put into
liquidation on November 29, 2010.

The company also made all of its 100 staff redundant, reports.

Insolvency practitioner Ian Yerrill of Gerald Edelman Business
Recovery Professionals has been appointed to assist meetings of
creditors for the purposes of the winding-up, The Bookseller says.

"I am under instruction to convene meetings of members and
creditors for the specific purpose of winding-up the company's
affairs under a creditors' voluntary liquidation. The meetings are
scheduled to be held on November 29, 2010, and it is anticipated
that the company will go into liquidation on that day," Mr.
Yerrill told The Bookseller.

The Bookseller says Forward Press described itself as a "bridge to
publication", and had a turnover of about GBP5 million.  It did
not charge authors' for publication, but also did not pay

Founded in 1989, Forward Press --
-- once claimed to be the world's largest publisher of new poetry,
employing 100 people, across eight imprints.  It also operated
printing presses.

PEARSON ADVERTISING: Goes Into Administration
Karen Dent at The Journal reports that public spending cuts have
helped push Pearson Advertising & Marketing Ltd into
administration with the loss of almost all staff.  The report
relates that Pearson Advertising appointed administrators KPMG
after experiencing trading difficulties.

According to The Journal, the company specialized in public sector
recruitment, which slowed dramatically both before and after the
Government's Comprehensive Spending Review last month and is not
thought likely to recover for some time.  The report relates that
KPMG said because of this, selling the business as a going concern
was not a viable option.

The Journal notes that KPMG has made 39 of the company's 40
workers redundant and is winding up the business.  It has kept on
one member of the finance team remained employed for the short
term to assist the administrators, the report says.

The company had a workforce of almost 60 people at the start of
the year.

Pearson Advertising, The Journal discloses, saw its turnover slump
from GBP15.4 million in 2009 to GBP10.3 million in the year to the
end of March 2010.  Pre-tax profits more than halved to GBP74,000
from GBP164,000 in the same period, the report notes.

At the time, The Journal relates, the company blamed "extremely
tough recessionary conditions" for the drop in turnover but said
it had performed better than expected after re-organizing the
company into separate commercial digital and employer
communications divisions.  It said this saved GBP900,000 over the
year but it admitted it was still struggling, the report adds.

Headquartered in Stockton, Pearson Advertising & Marketing Ltd is
a recruitment and marketing business.  The company has an office
in Seaton Burn near Newcastle.

STEADFAST INT'L: FRP Advisory Appointed Joint Administrators
Glyn Mummery and Paul Atkinson, partners at FRP Advisory LLP, the
specialist restructuring, recovery and insolvency firm, were
appointed Joint Administrators to Steadfast Television Limited
(STL) and Steadfast International Limited (SIL) on November 12,

STL is an independent television production company that produces
programs for both UK and overseas broadcasters, including the BBC,
ITV and Five.  SIL manages the worldwide distribution, pre-sales
and co-production activities of both STL's programs and third
party productions.

The two companies' financial difficulties stem from adverse market
conditions, brought about by a significant reduction in the number
of programs being commissioned by broadcasters. Attempts to sell
the businesses earlier this year were unsuccessful.

Commenting on the case, Glyn said: "Unfortunately, it was not
viable to trade on the businesses and we have therefore been
working directly with commissioning broadcasters, with regard to a
small number of incomplete productions and exploring potential
alternative arrangements for the completion of these programs."

"Our strategy now is to focus upon the best means for maximizing
realizations for the general body of creditors, including the
rights relating to STL's catalogue of productions, which consists
of over 160 hours of content. This includes titles such as Sky
Cops, Cops Cars & Criminals, Brit Cops, CCTV, UK Border Force and
Send in the Dogs."

Steadfast, is an independent Producer and Distributor of
Television programs.  Steadfast Television makes high quality
programs for broadcast in the UK and Steadfast International
distributes these programs around the World.  As well as in-house
produced productions, Steadfast International acquires third party
programming. Steadfast titles cover a wide range of non-fiction

STRATA MATRIX: Goes Into Liquidation; 12 Jobs Affected
BBC News reports that bilingual PR firm Strata Matrix has gone
into liquidation with the loss of 12 jobs.

BBC News relates Chairman and founder Wyn Melville-Jones said his
firm had been the victim of the tough economic climate.

"After 31 years it's tough to take, but it's really down to the
recession and the public sector cutbacks," BBC News quoted
Mr. Melville-Jones as saying.  "They were due to come in next
April, but a lot of organizations have been operating cuts for
many months and this has effected our workload."

Mr. Melville-Jones said he had worked through previous recessions,
but this one had created a "darker and and deeper hole" than
previous economic downturns, BBC News relates.

Founded in Aberystwyth in 1979, Strata Matrix is one of the first
bilingual public relations companies in Wales.

TITAN EUROPE: S&P Downgrades Rating on Class C Notes to 'D (sf)'
Standard & Poor's Ratings Services lowered its credit rating on
Titan Europe 2007-3 Ltd.'s class C notes to 'D (sf)' from 'CCC-
(sf)'.  The ratings on all other classes of notes are unaffected.

This rating action follows a continued shortfall in interest
payments on the October 2010 interest payment date for the class C
notes.  The October 2010 interest shortfall was the consequence,
in S&P's view, of the unanticipated delay in the distribution of
proceeds from the August 2010 sale of the property backing the
Metro loan.  The delay in proceeds collection does not adversely
affect S&P's view of the creditworthiness of the loan.

According to the latest investor report, the sale proceeds were
not made available to the issuer on the October 2010 note IPD, due
to outstanding disputes over remaining third-party costs.  S&P
also understand from the report that the special servicer, Hudson
Advisors Germany GmbH (ABOVE AVERAGE/Stable), expects the matter
to be resolved by the January 2011 note interest payment date.

S&P still believes that deferred interest on the class A2 and B
classes is likely to be repaid in full upon completion of the loan
work-out and accordingly, the credit ratings on these notes remain
on CreditWatch positive.  S&P continues to anticipate interest
shortfalls to accrue on the class C and D notes (rated 'D' (sf))
because of the special serviced loan Bacchus.

Titan Europe 2007-3 is a true-sale CMBS transaction secured
against 15 U.K. loans.  The transaction's expected maturity date
and legal maturity date are October 2013 and October 2016,

UBS AG: S&P Downgrades Rating on Series 2007-47 Notes to 'D (sf)'
Standard & Poor's Ratings Services lowered its rating on the notes
from UBS AG (London Branch)'s REVE SPC Series 2007-47, a synthetic
collateralized debt obligation transaction.

The downgrade reflects deterioration in the performance of the
transaction due to credit events in the underlying reference
portfolio, and the subsequent reduction of the principal balance
to zero.

                         Rating Lowered

                     UBS AG (London Branch)
                        REVE SPC 2007-47

                   Class       To      From
                   -----       --      ----
                   Series 47   D (sf)  CCC- (sf)


* EUROPE: Bondholders in Insolvent Banks Must Accept Losses
Paul Dobson at Bloomberg News reports that FXPro Financial
Services Ltd. said bondholders of European banks should be
prepared to accept losses because voters are becoming increasingly
unwilling and unable to fund bailouts.

"The taxpayer has no realistic prospect of being able to save
their banks, such is the magnitude of their bad loans and their
extraordinary dependence on central bank support," Michael Derks,
chief strategist in London at foreign-exchange firm FXPro, wrote
in a research note on Wednesday according to Bloomberg.  "Both
junior and senior bondholders in these insolvent banks need to
suffer huge haircuts," he said.

"By insisting that bondholders share the burden, German Chancellor
Angela Merkel may just manage to prevent the euro from imploding,"
Mr. Derks wrote, according to Bloomberg.

* BOOK REVIEW: Working Together -- 12 Principles for Achieving
               Excellence in Managing Projects, Teams, and

Author: James P. Lewis
Publisher: Beard Books
Hardcover: 208 pages
Listprice: US$34.95
Review by Henry Berry

Working Together is about the passionate implementation of a set
of management principles that were instrumental in the development
of new airplanes at the Boeing Company and, in particular, the
groundbreaking Boeing 777 aircraft.

The chief engineer of the Boeing 777 program when it was
undertaken in the early 1980s was Alan Mulally.  He was soon
promoted to general manager of the project and, in 1986, was named
president of Commercial Airplanes.  Mr. Mulally remained with
Boeing for 37 years, eventually leading Boeing Commercial
Airplanes to a turnaround that began in 1996.  And if the name
sounds more than familiar, it should: in September 2006, Ford
Motor Company named Mr. Mulally its new President and CEO, citing
his record of success during his long tenure at Boeing.  Through
all of those years, Mr. Mulally made the "working together"
principles and practices his gospel.  He has been a vocal advocate
of both the principles and this book by James Lewis even during
his highly visible transition to Ford.

Working Together chronicles the application of Mr. Mulally's
leadership principles during his years at Boeing, especially
during the execution of the 777 project.  The 12 principles
espoused in "working together" comprise a management philosophy
that enabled Boeing "to dramatically increase production on all of
our airplanes, improve our entire production system, and develop a
number of new airplanes all simultaneously," as Mr. Mulally notes
in the Foreword to the book.

The value and effectiveness of working together is conveyed in a
dramatic way by the author. Lewis introduces the high stakes that
Boeing faced in developing the 777.  At first, the company bit off
more than it could chew.  Fired by the enthusiasms and passions of
employees exemplified by Mr. Mulally, Boeing pursued an ideal that
exceeded its capacity to meet. At one point, Boeing had to "stop
global production for lack of parts."  Boeing was losing money,
risking its future, and disappointing its customers, investors,
and employees.

But the roots of its problems were basically a lack of proper
preparedness and organization.  With Mr. Mulally in charge,
operations were revised according to the model of working
together.  Work processes were reinforced, reinvigorated, and
closely monitored.  Practices such as focused agendas for
meetings, clear assignments, communication among disparate
employee segments, solicitation of input, and keeping a project on
track, were implemented. Boeing underwent a transformation from a
company in danger of permanently damaging its reputation and
competence, to a company that reaffirmed its preeminence in the
field of airplane design and production.

As he took over the reins at Ford, Mr. Mulally observed that many
of the challenges he addressed in commercial airline manufacturing
are analogous to the issues he will now face at the car
manufacturing giant.  He stated, "I'm looking forward to working
closely with Bill [Ford] in the ongoing turnaround of this great
company.  I'm also eager to begin engagement with the leadership
team.  I believe strongly in teamwork and I fully expect that our
efforts will be a productive collaboration."

James P. Lewis is President of Lewis Institute, Inc., a training
and consulting company specializing in project management, which
he founded in 1981.  He also teaches seminars on the subject in
the United States, England, and Asia.


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

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

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

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


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

Troubled Company Reporter-Europe is a daily newsletter co-
published by Bankruptcy Creditors' Service, Inc., Fairless Hills,
Pennsylvania, USA, and Beard Group, Inc., Frederick, Maryland USA.
Valerie U. Pascual, Marites O. Claro, Rousel Elaine T. Fernandez,
Joy A. Agravante, Frauline S. Abangan and Peter A. Chapman,

Copyright 2010.  All rights reserved.  ISSN 1529-2754.

This material is copyrighted and any commercial use, resale or
publication in any form (including e-mail forwarding, electronic
re-mailing and photocopying) is strictly prohibited without prior
written permission of the publishers.

Information contained herein is obtained from sources believed to
be reliable, but is not guaranteed.

The TCR Europe subscription rate is US$625 per half-year,
delivered via e-mail.  Additional e-mail subscriptions for members
of the same firm for the term of the initial subscription or
balance thereof are US$25 each.  For subscription information,
contact Christopher Beard at 240/629-3300.

                 * * * End of Transmission * * *