TCREUR_Public/101208.mbx         T R O U B L E D   C O M P A N Y   R E P O R T E R

                           E U R O P E

          Wednesday, December 8, 2010, Vol. 11, No. 242

                            Headlines


D E N M A R K

TDC AS: Fitch Puts 'BB' Issuer Default Rating on Positive Watch


F R A N C E

NOVASEP HOLDING: Moody's Revises Rating Release


G E R M A N Y

ECM REAL ESTATE: Creditors Back Restructuring Proposal


G R E E C E

* S&P Puts Low-B Ratings on Greek Banks on CreditWatch Negative


H U N G A R Y

* HUNGARY: Mandatory Company Liquidations Up 16% in November


I R E L A N D

ALLIED IRISH: DBRS Downgrades Subordinated Debt Rating to 'B'
BANK OF IRELAND: DBRS Downgrades Subordinated Debt Rating to 'BB'
BARRY'S HOTEL: Declan Taite Appointed as Receiver to 2 Firms
DEAN WASTE: AIB Seeks to Recover EUR6 Million Unpaid Loans
ERC IRELAND: Moody's Junks Corporate Family Rating to Caa1

HOTEL BALLINA: Goes Into Receivership
IRISH LIFE: DBRS Downgrades Rating on Subordinated Debt to 'BB'
* IRELAND: Family Businesses Hit Harder Than Global Counterparts


L U X E M B O U R G

TENZING CFO: Moody's Confirms B2 Rating on Two Classes of Notes


R U S S I A

WIMM-BILL-DANN FOODS: S&P Puts 'BB-' Rating on Positive Watch
* Fitch Assigns 'B+' Rating on Ryazan Region's Domestic Bonds


S P A I N

CAIXA GALICIA: Fitch Cuts Upper Tier 2 Sub. Debt Rating to 'BB'
CAIXANOVA: Fitch Downgrades Subordinated Debt Rating to 'BB+'
TDA FTPYME: DBRS Assigns 'B' Rating on Series B Notes


U K R A I N E

* Fitch Assigns 'B' Ratings on Ukrainian Region of Donetsk


U N I T E D   K I N G D O M

CHANDOS TIMBER: Goes Into Administration, 170 Jobs Axed
EDWARDS GROUP: Moody's Upgrades Corporate Family Rating to 'B2'
EUROPEAN DIRECTORIES: Files for Administration in United Kingdom
FOLLOWSET LTD: Hurst House Closure Results to 30+ Job Cuts
GREAT HALL: Fitch Lifts Ratings on Two Classes of Notes to CCCsf

GREENGROCERS PLC: Teignmouth Branch to Remain Open Under New Firm
MOUCHEL GROUP: Faces Potential Hostile Takeover Bids
NANT PROPERTIES: Development Site Goes Into Receivership
PERSEUS PLC: S&P Lowers Rating on Class D Notes to 'B- (sf)'
STERLINGMAX I: S&P Lowers Rating on Class B Notes to 'D (sf)'

SVG DIAMOND: Moody's Cuts Junks Ratings on Two Classes of Notes
SVG DIAMOND: Moody's Cuts Ratings on Two Classes of Notes to Ba3
* UNITED KINGDOM: Begbies Traynor Sees More Insolvencies in 2011


X X X X X X X X

* EUROPE: Governments Can't Depend on ECB Rescue


                            *********


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D E N M A R K
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TDC AS: Fitch Puts 'BB' Issuer Default Rating on Positive Watch
---------------------------------------------------------------
Fitch Ratings has placed TDC A/S's 'BB' Long-term Issuer Default
Rating and 'B' Short-term IDR on Rating Watch Positive.  At the
same time, Fitch has placed all TDC's debt instruments on RWP, as
detailed at the end of this release.  NTC S.A.'s senior unsecured
notes rating has been affirmed at 'BB-'.

The rating action follows TDC's announcement of its majority
shareholder's (NTC S.A.) planned share offering and the
confirmation that it has used DKK8.2 billion of disposal proceeds
from Sunrise to pay down senior secured bank debt, the combination
of which could significantly accelerate TDC's deleveraging.

"TDC's company-specific factors point to a comfortable 'BBB'
rating category.  However, its legacy LBO capital structure has
been a constraining factor to upwards ratings migration," says
Richard Petit, Associate Director in Fitch's European TMT team.
"Should the IPO go ahead, and TDC deleverages as planned, Fitch
would expect to upgrade its credit profile into the 'BBB'
category.

To execute the planned major corporate restructuring, TDC is
expected to buyback DKK9 billion worth of its own shares from
shareholders financed with the sums received from the Sunrise
disposal.  NTC will apply part of the proceeds from TDC's share
buyback and some of the share offering proceeds (conditional on
the IPO being successful), to repay the high yield notes in full
and revolving credit facility drawings at the NTC S.A. level.
Under these assumptions, close to DKK20 billion of debt would be
repaid, resulting in a simplified capital structure and a post-IPO
net leverage of 2.1x, a maximum level under TDC's new financial
policy.  A new post-IPO shareholder remuneration policy would be
implemented with TDC paying 40% to 50% of the expected 2011
dividend of DKK4.35 per share in Q311 and the remainder being paid
in Q112.  From 2012, the dividend payout would be set at 80% to
85% of equity free cash flow.

Prior to the announcement, TDC's 'BB' Long-term IDR was supported
by a solid domestic incumbent position with a 63% share of the
fixed broadband market thanks to ownership of Denmark's largest
cable operator, a 55% share of the pay-TV market and 42% share in
mobile.  These leading positions compare favorably with other
investment grade rated peers.  However, TDC's medium-term position
in the fixed segment is likely to come under pressure when the
regulatory decision to open access to its cable network is
effectively implemented (expected in late 2011).

The rating actions on TDC's debt instruments are

  -- TDC A/S senior secured facilities: 'BB+' placed on RWP
  -- TDC A/S senior unsecured notes: 'BB' placed on RWP

NTC S.A. unsecured notes: Affirmed at 'BB-'.  If the
recapitalization goes ahead as planned these notes will be repaid
and the rating withdrawn.


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


NOVASEP HOLDING: Moody's Revises Rating Release
-----------------------------------------------
Moody's Investors Service revised its rating release on Novasep
Holding S.A.S.

Revised release is:

Moody's Investors Service has placed the B3 corporate family
rating of Novasep Holding S.A.S. and the company's B2 probability-
of-default rating on review for possible downgrade.  Concurrently,
the rating agency has placed the B3 rating of the company's EUR270
million and US$150 million worth of senior secured notes, both
maturing in December 2016, on review for possible downgrade.

                        Ratings Rationale

"The review of Novasep's ratings reflects the company's weaker-
than-expected operating performance, with a notable decline in
profitability, which has resulted in a weakening of credit
metrics," says Marie Fischer-Sabatie, a Moody's Vice President-
Senior Analyst and lead analyst for Novasep.  "Although Moody's
was expecting Novasep to de-leverage with the aim of achieving a
debt/EBITDA ratio of below 5.5x at year-end 2011 from around 6x at
year-end 2010, the company's recent underperformance against its
business plan has impaired this process," Ms. Fischer-Sabatie
adds.

Novasep's adjusted EBITDA (excluding non-recurring income and
expenses) amounted to EUR43.3 million for the first nine months of
2010, compared with EUR49.1 million for the same period the
previous year.  This resulted in a decline in the company's
adjusted EBITDA margin to 19.5% for the first nine months of 2010,
from 23.5% for the same period a year before.  As per management
guidance, adjusted EBITDA for the full-year 2010 should be around
EUR55 million, significantly lower than the figure Moody's had
expected.  As a result, the rating agency now expects Novasep's
leverage ratio to be above 8x at year-end 2010 (on a gross debt
basis and after Moody's adjustment).

Moody's continues to recognize the long-term growth opportunities
in the contract manufacturing industry, despite some short-term
pressure as a result of consolidation and cost-cutting in the
pharmaceutical industry, as well as the company's business segment
and geographic diversity.  While the "take or pay" feature of
around half of Novasep's Synthesis contracts helps mitigate
potential revenue and cash flow volatility, the ability of the
company to book new orders with adequate returns and to convert
the increasing number of customer enquiries into new "take or pay"
contracts will be critical to it generating free cash flow going
forward.  The strong rebound of the Process activities since the
beginning of the year mitigates to some extent the weaker
performance of the Synthesis operations.

During its review process Moody's will focus on:

(i) Novasep's mid-term perspectives and the extent to which it
will be able to deleverage.

(ii) The evolution of the company's liquidity profile given
Moody's expectations of negative free cash flow generation for the
full year 2010, despite some improvements during Q3 2010.

During the process Moody's commented that it may reassess the
appropriateness of having a one-notch differential between the CFR
and the PDR.

Moody's most recent rating action on Novasep was implemented on
December 7, 2009, when the rating agency assigned a B3 CFR and B2
PDR to the company.  Concurrently, Moody's assigned a provisional
(P)B3 rating to the proposed EUR370 million senior secured notes
to be issued by Novasep.

Novasep, headquartered in Pompey, France, is a leading provider of
contract manufacturing services for life science industries and a
manufacturer of purification equipment.  Novasep reported revenues
of EUR222 million for the first none months of 2010.


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


ECM REAL ESTATE: Creditors Back Restructuring Proposal
------------------------------------------------------
Lenka Ponikelska at Bloomberg News reports that ECM Real Estate
Investments AG, which has been seeking to renegotiate terms with
bond and warrant holders, said the company's creditors supported a
proposal for restructuring ECM at a meeting on Dec. 4.

Bloomberg relates ECM said Monday in an e-mailed press release
that final documentation of the agreements will continue with the
goal of having all parties sign off on the plans by the first
quarter of 2011.

According to Bloomberg, ECM Chairman Milan Janku said in the
statement that the agreement is "crucial" for both ECM and the
creditors.

                              Loss

On Nov. 22, 2010, the Troubled Company Reporter-Europe, citing
Bloomberg News, reported ECM's loss widened in the third quarter.
ECM said late on Nov. 16 the company's net loss was EUR69.9
million (US$95 million) in the three months ended Sept. 30,
compared with a loss of EUR28 million in the same period a year
earlier, according to Bloomberg.

                      Insolvency Proceedings

As reported by the Troubled Company Reporter-Europe on Nov. 9,
2010, Bloomberg News, citing Czech newspaper Hospodarske Noviny,
said ECM is in insolvency proceedings after one of its bondholders
brought the company to court.  Bloomberg disclosed the newspaper
said the proceedings significantly curtail ECM's ability to use
its capital.

ECM Real Estate Investments AG is a developer in central Europe.
It built Prague's tallest building.



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G R E E C E
===========


* S&P Puts Low-B Ratings on Greek Banks on CreditWatch Negative
---------------------------------------------------------------
Standard & Poor's Ratings Services said that it has placed its
long- and short-term counterparty credit ratings on all of the
Greek banks it rates on CreditWatch with negative implications.
This action equally applies to all of Standard & Poor's ratings on
these banks' debt and hybrid instruments.  Specifically, the
CreditWatch action affects:

* S&P's 'BB+/B' long- and short-term ratings on National Bank of
  Greece S.A., and its 'BB/B' long- and short-term ratings on its
  strategically important Bulgarian subsidiary United Bulgarian
  Bank A.D.;

* S&P's 'BB/B' long- and short-term ratings on EFG Eurobank
  Ergasias S.A., Alpha Bank A.E., and on Piraeus Bank S.A.

S&P's CreditWatch action on the Greek banks follows its placement
of the long-term sovereign credit rating on the Hellenic Republic
(Greece, BB+/Watch Neg/B) on CreditWatch with negative
implications. S&P rarely rate financial institutions above the
long-term sovereign rating on their home country.  This is largely
due to the government's legal and regulatory powers over the
financial markets and over the banks themselves, and to the impact
that developments in the domestic economy generally have on the
banking sector.  In S&P's opinion, Greek banks are also directly
exposed, though to varying degrees, to the Hellenic Republic's
declining creditworthiness through their large portfolios of Greek
government bonds.  Consequently, if S&P were to lower the long-
term sovereign rating on Greece, S&P's ratings on the country's
banks would come under pressure.

As for UBB in particular, the CreditWatch placement mirrors that
of the ratings on its parent, NBG.  S&P would lower the ratings on
UBB if S&P were to downgrade the parent, since, under its group
methodology, S&P cannot rate a strategically important subsidiary
at the same level as its parent--unless S&P assess this
subsidiary's stand-alone credit profile as being at the same level
as S&P's rating on the parent--solely based on its view of the
parent's potential support.

S&P expects to resolve the CreditWatch status on the Greek banks
S&P rates within the next three months, in line with resolution of
the CreditWatch placement of the sovereign.  In doing so, in
addition to taking into account any decision regarding the long-
term sovereign rating on Greece, S&P will analyze the extent to
which S&P believes difficult economic and financial conditions,
alongside the medium-term implications of the banks' funding
profile imbalances, may affect their financial strength.

                           Ratings List

                   Outlook/CreditWatch Action

                   National Bank of Greece S.A.

                                To                  From
                                --                  ----
Counterparty Credit Rating     BB+/Watch Neg/B     BB+/Negative/B
Certificate Of Deposit         BB+/Watch Neg/B     BB+/B

                    EFG Eurobank Ergasias S.A.

                                To                  From
                                --                  ----
Counterparty Credit Rating     BB/Watch Neg/B      BB/Negative/B
Certificate Of Deposit         BB/Watch Neg/B      BB/B

                          Alpha Bank A.E.

                                 To                  From
                                 --                  ----
Counterparty Credit Rating      BB/Watch Neg/B      BB/Negative/B
Certificate Of Deposit          BB/Watch Neg/B      BB/B

                         Piraeus Bank S.A.

                                 To                  From
                                 --                  ----
Counterparty Credit Rating      BB/Watch Neg/B      BB/Negative/B
Certificate Of Deposit          BB/Watch Neg/B      BB/B

                    United Bulgarian Bank A.D.

                                 To                  From
                                 --                  ----
Counterparty Credit Rating      BB/Watch Neg/B      BB/Negative/B
Certificate Of Deposit          BB/Watch Neg/B      BB/B


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


* HUNGARY: Mandatory Company Liquidations Up 16% in November
------------------------------------------------------------
MTI-Econews, citing company information provider Opten, reports
that the number of mandatory company liquidations in Hungary
reached 1,627 in November, up 16% from the same month one year
earlier.

The number of mandatory liquidations was 16,513 in January to
November, MTI discloses.

According to MTI, Hajnalka Csorbai of Opten said the number of
company liquidations is expected to exceed 17,500 this year.


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


ALLIED IRISH: DBRS Downgrades Subordinated Debt Rating to 'B'
-------------------------------------------------------------
DBRS has downgraded the Dated Subordinated Debt and Undated
Subordinated Debt ratings of Allied Irish Banks p.l.c. (AIB or the
Group) to 'B' from 'A' to reflect the elevated risk of adverse
action by the government.  The action does not impact AIB's other
ratings, including the senior non-guaranteed debt, which remains
at A (high), Stable trend, and the government guaranteed debt,
which remains at AA, Under Review with Negative Implications.  All
ratings of non-senior debt instruments remain Under Review with
Negative Implications, where they were placed on October 1, 2010.

This rating action reflects DBRS's view that the risk of loss for
holders of subordinated debt instruments of Irish banks has
increased significantly given recent actions and various
statements by the Irish Government.  Specifically, the Irish
Government has indicated its expectations to force loss sharing
amongst junior bondholders, in certain financial institutions,
where appropriate, as a result of the recapitalization and
restructuring of the banking sector.  In DBRS's view, this risk of
burden sharing increases as government ownership in the
institution increases.  To this end, with this rating action, DBRS
has lowered the subordinated debt ratings to reflect the
heightened risk as a result of the potential of a sizeable
government ownership stake in AIB following forthcoming
recapitalization measures.  Furthermore, as discussed in the 1
October 1, 2010 press release, DBRS is concerned that the Minister
for Finance may extend the scope of its proposed resolution and
restructuring legislation addressing the issue of burden-sharing
by subordinated debt holders to the entire Irish banking sector.
This concern is elevated by the discussion on the treatment of
subordinated debt that is detailed in the EU/IMF Programme of
Financial Support for Ireland, published on December 1, 2010.  As
such, in DBRS's view, subordinated bondholders, who may be
invited to participate in future exchange offers, may consider
this potential of adverse action as compelling them to accept an
offer.

Furthermore, given the quantum of additional capital required by
the Irish Regulator to meet the newly announced 12% Core Tier 1
capital structural benchmark by February 28, 2011, DBRS
anticipates that AIB will need to raise an additional
EUR5.3 billion of capital.  This capital is in addition to the
circa EUR6.0 billion of capital, the Group is still required to
raise as part of the previously announced Prudential Capital
Assessment Review (PCAR).  Given the current environment and the
significant amount of capital needed, DBRS believes that AIB will
be challenged to raise such capital at competitive terms in the
private market.  As such, the Group may need to rely on the Irish
Government to provide some or all of the required capital, thereby
potentially significantly increasing Government ownership.

DBRS notes that this rating action is an exception to the standard
and customary notching as discussed in our published
methodologies.  DBRS has widened the notching on these instruments
due to the increased uncertainty of systematic support of
subordinated debt.

The ratings remain under review, reflecting the uncertainty to the
specific form and terms of any liability management exercise and
potential legislation.


BANK OF IRELAND: DBRS Downgrades Subordinated Debt Rating to 'BB'
-----------------------------------------------------------------
DBRS has downgraded the Dated Subordinated Debt ratings of The
Governor and Company of the Bank of Ireland (Bank of Ireland or
the Group), to BB from 'A' to reflect the elevated risk of adverse
action by the government.  The action does not impact Bank of
Ireland's other ratings, including the senior non-guaranteed debt,
which remains at A (high), Stable trend, and the government
guaranteed debt, which remains at AA, Under Review with Negative
Implications.  All ratings of non-senior debt instruments remain
Under Review with Negative Implications, where they were placed on
October 1, 2010.

This rating action reflects DBRS's view that the risk of loss for
holders of subordinated debt instruments of Bank of Ireland has
increased significantly given recent actions and various
statements by the Irish Government.  Specifically, the Irish
Government has indicated its expectations to force loss sharing
amongst junior bondholders, in certain institutions, where
appropriate, as a result of the recapitalization and restructuring
of the banking sector.  In DBRS's view, this risk of burden
sharing increases as government ownership in the institution
increases.  Furthermore, as discussed in the October 1, 2010 press
release, DBRS is concerned that the Minister for Finance may
extend the scope of its proposed resolution and restructuring
legislation addressing the issue of burden-sharing by
subordinated debt holders to the entire Irish banking sector.
This concern is elevated by the discussion on the treatment of
subordinated debt that is detailed in the EU/IMF Programme of
Financial Support for Ireland, published on December 1, 2010.  As
such, in DBRS's view, subordinated bondholders, who may be invited
to participate in future exchange offers, may consider this
potential of adverse actions as compelling them to accept an
offer.

Bank of Ireland is required by the Irish Regulator to raise an
additional EUR2.2 billion of capital to meet the newly announced
12% Core Tier 1 capital structural benchmark by February 28, 2011.
Given the level of additional capital required, the Group's still
diversified franchise, and its overall solid market positioning,
DBRS anticipates that Bank of Ireland could be successful in
generating much of this capital through internal capital
management initiatives or in the private markets, thereby limiting
the Irish government's need to increase its ownership stake in the
bank.  However, given the uncertain environment risks remain.

DBRS notes that this rating action is an exception to the standard
and customary notching as discussed in our published
methodologies.  DBRS has widened the notching on these instruments
due to the increased uncertainty of systematic support of
subordinated debt.

The ratings remain under review, reflecting the uncertainty to the
specific form and terms of any liability management exercise and
potential legislation.


BARRY'S HOTEL: Declan Taite Appointed as Receiver to 2 Firms
------------------------------------------------------------
The Sunday Business Post Online reports that Declan Taite of
advisory firm FGS has been appointed as receiver to two companies
connected to Barry's Hotel in Dublin city centre.

The Sunday Business Post Online relates that Irish Nationwide Bank
appointed Mr. Taite as receiver and manager at one of the firms,
Ravenshaw, while Ulster Bank has installed him as receiver to the
other, White Lace.  The directors of both firms are Edward Fahy
and Sinead Fahy.

Ravenshaw had outstanding loans of EUR3.7million at the end of
August 2008, according to its latest accounts, The Sunday Business
Post Online notes.

White Lace, which is a property investment holding company, had
fixed assets valued at EUR6 million at the end of March last year
and owed EUR374,500 to Ravenshaw, according to the Sunday Business
Post Online.

Barry's Hotel is a 32-bedroom hotel located in two Georgian houses
on Great Denmark Street, close to Parnell Square.  It has been in
business as a hotel for more than 120 years.


DEAN WASTE: AIB Seeks to Recover EUR6 Million Unpaid Loans
----------------------------------------------------------
Vivion Kilfeather at The Irish Examiner reports that Allied Irish
Banks is pursuing Dean Waste, which is in receivership, over
unpaid loans of EUR6 million.

The Irish Examiner relates that Mr. Justice Peter Kelly on Monday
transferred the proceedings by the bank against the company to the
Commercial Court.  He listed the matter for hearing next month,
The Irish Examiner notes.

According to The Irish Examiner, the action arises from an October
2008 facility letter, under which AIB made EUR14.8 million loan
and overdraft facilities available to the company.  The bank
claims it was agreed that the security for those facilities would
be provided in the form of a debenture, dated March 2001, in favor
of the bank over the fixed and floating assets of the company
including specific fixed charges over a number of properties, The
Irish Examiner states.

AIB informed the company last June that an event of default had
occurred arising from the fact that the defendant had called a
creditors' meeting for the purposes of commencing a creditors'
voluntary liquidation, The Irish Examiner discloses.  On June 4,
the bank demanded immediate repayment of all monies due which, on
that date, amounted to EUR6.14 million, The Irish Examiner
recounts.  According to The Irish Examiner, the bank said the
defendant had failed to pay that sum and some EUR6.19 million
remains due and owing with interest continuing to accrue.

AIB had appointed a receiver on June 8 over the assets contained
in the mortgage debenture; the goodwill associated with the names
Dean Waste and A1 Waste; the business of the defendant of skip and
bar hire and collection, including the book debts associated with
the business; and the plant, machinery and equipment of the
defendant, The Irish Examiner relates.

The Irish Examiner notes the bank said that it had called on the
directors of Dean Waste to execute a legal charge in favor of the
bank over those properties, but the directors failed to do so.

In its action, AIB seeks a declaration that EUR6.19 million is due
and owing under the 2008 loan facility, The Irish Examiner notes.
It also wants a declaration, under the March 2001 mortgage
debenture, that the EUR6.19 million stands well-charged on the
defendant company's interest in the properties identified by the
bank, according to The Irish Examiner.

Dean Waste is a waste company with registered offices at Broomhill
Road, Tallaght.


ERC IRELAND: Moody's Junks Corporate Family Rating to Caa1
----------------------------------------------------------
Moody's Investors Service has downgraded to Caa1 from B3 the
corporate family rating and probability-of-default rating of ERC
Ireland Finance Ltd, an indirect parent company of eircom Group
Ltd.  Concurrently, Moody's has downgraded these ratings to Caa3
from Caa2: (i) ERCIF's EUR350 million worth of senior unsecured
notes due in 2016; and (ii) the EUR350 million second-lien term
loan of ERC Ireland Holdings Ltd. In addition, Moody's has
downgraded to B3 from B2 the rating on ERCIH's EUR3.3 billion
senior secured facility.  The outlook on the ratings is negative.

                        Ratings Rationale

"The downgrade reflects the increased uncertainty regarding the
economic outlook in Ireland following the country's EU/IMF
bailout, and particularly the effect of austerity measures on
consumer spending, which could in turn lead to a steeper decline
in eircom's revenues than originally anticipated," says Ivan
Palacios, a Moody's Vice President-Senior Analyst and lead analyst
for eircom.

In the quarter ended September 2010, eircom's consolidated
revenues declined by 5.6% year-on-year.  This was primarily driven
by a severe 9.2% decline in eircom's mobile revenues, as the
company's mobile customer base is focused on the prepaid segment
and is therefore more exposed to changes in spending behavior.
Nevertheless, the company's cost-cutting efforts allowed it to
report stable year-on-year quarterly EBITDA of EUR168 million.

"In Moody's view, eircom will find it increasingly challenging to
continue to reduce its cost base in order to adjust to the
expected decline in its revenue," continues Mr. Palacios.
"Failure to maintain EBITDA at current levels due to a more rapid
decline in revenue could accelerate the company's breach of
covenants under its existing facilities.  Moody's had anticipated
this occurring in the quarter ended June 2011, but it could happen
even sooner," adds Mr. Palacios.

eircom is currently assessing its options regarding its long-term
financial strategy and measures to avoid the covenant breach,
including a renegotiation of covenants and/or an equity cure.
Moody's is concerned by the uncertainty regarding the timing for
the finalization of these discussions and the options being
considered by management.

"The downgrade also reflects Moody's concerns regarding eircom's
capital structure, which remains highly leveraged, and on the
recovery expectations for debt-holders, which may be impacted by
the increased uncertain macroeconomic environment in Ireland.
Therefore, Moody's believes that the risk of eircom potentially
carrying out a debt restructuring has increased," adds
Mr. Palacios.

Any negative implications on the debt-holder's recovery prospects
from potential restructuring measures involving a discounted offer
on debt components of the capital structure could be considered a
distressed exchange and, by implication, a default under Moody's
methodologies.

The negative outlook on the ratings mainly reflects: (i) the
significant risk of eircom breaching covenants over the short
term; (ii) the lack of clarity with regard to the company's long-
term capital structure plans; and (iii) the uncertain
macroeconomic environment.  Further downward pressure on the
ratings could occur as a result of (i) an absence of a detailed
plan to reset covenants or bring additional equity; and/or (ii)
indications that eircom might consider a discounted offer on the
debt components of its capital structure.

In Moody's view, upward pressure on the ratings is unlikely over
the short term, as a result of the negative outlook.  However, the
rating outlook could be stabilized if eircom proactively manages
the covenant situation while maintaining its current financial
profile, with a debt/EBITDA ratio of around 5.5x.  Upward pressure
could be exerted on the rating over the medium term if the
business plan is successfully executed and an equity injection
allows eircom to rebalance its capital structure and maintain
adequate headroom under financial covenants.

Moody's previous rating action on eircom was implemented on
September 2, 2010, when the rating agency downgraded to B3 from B2
the CFR and PDR of ERCIF.

ERCIF (previously known as BCM Ireland Finance Ltd) and ERCIH
(previously known as BCM Ireland Holdings Ltd) are holding
companies of eircom, the principal provider of fixed-line
telecommunications services in Ireland and, following its
acquisition of Meteor, the third-largest mobile operator in the
country.  In the year ended June 30, 2010, eircom generated
revenues of EUR1.82 billion and adjusted EBITDA (as reported by
the company) of EUR679 million.


HOTEL BALLINA: Goes Into Receivership
-------------------------------------
The Sunday Business Post Online reports that Hotel Ballina,
falling victim to the downturn in the hospitality sector, has gone
into receivership.

ACC Bank has installed KPMG accountant Kieran Wallace as receiver
to Hotel Ballina, according to the Sunday Business Post Online.

ACC Bank is owed about EUR10 million from the development of Hotel
Ballina in recent years, and became concerned about its exposure,
the Sunday Business Post Online relates.  According to the report,
the bank took control of the property last week based on a charge
agreed in 2008.

Hotel Ballina, previously known as the Ramada Manor House hotel,
is a four-star hotel that includes a spa and leisure centre, and
conference facilities for up to 700 people.  The firm behind the
hotel, FCF Development, has its registered office in Sligo and is
owned by John Fallon, Stephen Fallon, and Eugene Cawley.


IRISH LIFE: DBRS Downgrades Rating on Subordinated Debt to 'BB'
---------------------------------------------------------------
DBRS has downgraded the Dated Subordinated Debt rating of Irish
Life & Permanent plc (IL&P or the Group) to BB from BBB to reflect
the increased risk of adverse action by the government.  The
action does not impact IL&P's other ratings, including the senior
non-guaranteed debt, which remains at BBB (high), Stable trend,
and the government guaranteed debt, which remains at AA, Under
Review with Negative Implications.  The ratings of the Dated
Subordinated Debt remain Under Review with Negative Implications,
where they were placed on October 1, 2010.

This rating action reflects DBRS's view that the risk of loss for
holders of subordinated debt instruments of Irish banks has
increased significantly given recent actions and various
statements by the Irish Government.  Specifically, the Irish
Government has indicated its expectations to force loss sharing
amongst junior bondholders, in certain financial institutions,
where appropriate, as a result of the recapitalization and
restructuring of the banking sector.  In DBRS's view this risk of
burden sharing increases as government ownership in the
institution increases.  Furthermore, as discussed in our 1 October
2010 press release, DBRS is concerned that the Minister for
Finance may extend the scope of its proposed resolution and
restructuring legislation addressing the issue of burden-sharing
by subordinated debt holders to the entire Irish banking sector.
This concern is elevated by the discussion on the treatment of
subordinated debt that is detailed in the EU/IMF Programme of
Financial Support for Ireland, published on December 1, 2010.  As
such, in DBRS's view, subordinated debt holders, who may be
invited to participate in future exchange offers, may consider
this potential of adverse actions as compelling them to accept an
offer.

Importantly, DBRS recognizes that, to date, IL&P has not received
any capital support from the Irish Government and is not
participating in NAMA.  Nonetheless, the rating action and the
rating reflects the change in DBRS's view that should IL&P require
systematic support in the future, subordinated debt holders would
likely be adversely impacted.  IL&P is required by the Irish
Regulator to raise an additional EUR100 million of capital to meet
the newly announced 12% Core Tier 1 capital structural benchmark
by the end of May 2011.  The Group expects to achieve the capital
raise through its own sources.

DBRS notes that this rating action is an exception to the standard
and customary notching as discussed in our published
methodologies.  DBRS has widened the notching on these instruments
due to the increased uncertainty of systematic support of
subordinated debt.

The ratings remain under review, reflecting the uncertainty to the
specific form and terms of any liability management exercise and
potential legislation.


* IRELAND: Family Businesses Hit Harder Than Global Counterparts
----------------------------------------------------------------
Emmet Oliver at Irish Independent reports that a survey from
PricewaterhouseCoopers (PwC) showed that the financial crisis has
hit Irish family businesses nearly twice as hard as their
international counterparts.

Almost three-quarters or 70% of Irish family firms have seen
operating profits fall over the past year compared with just a
third globally, Irish Independent discloses.  More than two-thirds
or 68% have seen demand for their products and services fall
compared with a third or 34% globally, Irish Independent notes.

According to Irish Independent, the vast majority or 84% of Irish
respondents believed the key challenge facing their business was
current market conditions.  Irish Independent says other key
challenges were competition, government policy, including
regulation, legislation and public spending as well as exchange
rates.

The PwC Family Business Survey covered small and mid-sized family
companies in 35 countries, Irish Independent discloses.


===================
L U X E M B O U R G
===================


TENZING CFO: Moody's Confirms B2 Rating on Two Classes of Notes
---------------------------------------------------------------
Moody's Investors Service has upgraded its ratings of three
classes of notes and confirmed the ratings of three classes of
notes issued by Tenzing CFO, S.A.  The transaction is a CDO
referencing a portfolio of private equity investments essentially
constituted of venture capital funds and buyout funds.

The rating actions are:

  -- US$55M A Notes, Upgraded to A2 (sf); previously on Mar 26,
     2009 Downgraded to Baa2 (sf) and Remained On Review for
     Possible Downgrade

  -- US$16M B1 Notes, Upgraded to Baa3 (sf); previously on Mar 26,
     2009 Downgraded to Ba2 (sf) and Remained On Review for
     Possible Downgrade

  -- EUR21M B2 Notes, Upgraded to Baa3 (sf); previously on Mar 26,
     2009 Downgraded to Ba2 (sf) and Remained On Review for
     Possible Downgrade

  -- US$33M C Notes, Confirmed at Ba3 (sf); previously on Mar 26,
     2009 Downgraded to Ba3 (sf) and Remained On Review for
     Possible Downgrade

  -- US$8.5M D1 Notes, Confirmed at B2 (sf); previously on Mar 26,
     2009 Downgraded to B2 (sf) and Remained On Review for
     Possible Downgrade

  -- EUR10M D2 Notes, Confirmed at B2 (sf); previously on Mar 26,
     2009 Downgraded to B2 (sf) and Remained On Review for
     Possible Downgrade

                        Ratings Rationale

Tenzing is a bankruptcy remote special purpose company
incorporated with limited liability in Luxembourg for the sole
purpose of acquiring its interest in the portfolio and certain
other assets securing the notes, and issuing the notes.

The rating actions are primarily a result of Moody's updated
surveillance approach assumptions pertaining to CFO referencing
private equity interest and the evolution of the performance of
the private equity transaction since the closing of the
transaction as well as the improvement in timely information
provided for the transaction.  The ratings were kept on watch for
downgrade on the 26 of March, 2009 as the approach was being
reviewed.

Moody's updated surveillance approach:

In its updated surveillance approach, Moody's relies on the
Internal Rate of Return of each underlying fund as a primary
performance indicator.  Moody's believes that the shape of the
distribution that best fits the historical data is a student-t
distribution with three degrees of freedom.  The base case assumes
the equivalent volatility for primary funds to be 52% for VC funds
and 26% for buyout funds.  The mean is assumed at 10% for both
types of funds.

The timing of the cash-flows is an additional required input in
Moody's surveillance approach.  Based on historical analysis,
Moody's chose a set of deterministic cash-flows shapes for
distributions and drawn-downs, which represent Moody's "J-curve
assumptions".  Under these assumptions, draw-downs are expected to
be mostly concentrated in the first three to four years following
the initial commitment while the cash-flow distributions are
spread over a ten-year period and mostly concentrated between year
six and ten.

Moody's obtained historical performance data and further adjusted
the data using public equity equivalent analysis as well as
equivalent research pursued by scholars and researchers.

In its approach, Moody's used a Gaussian copula model for the
dependency structure of the final IRRs of the funds.  The
correlation between VC funds and buyout funds is assumed at 40% in
the base case.  The intra-correlation is assumed at 50%.

In addition, Moody's assumptions of the final returns of primary
funds were adjusted given the seasoning of the underlying funds
already invested in this transaction.  The standard deviation of
the IRR related to the funded portion of the underlying funds was
reduced by a factor of three and the correlation between the
funded portion and the unfunded portion was reduced to 20%.

A model derives the aggregated cash flow projection at the CFO
level based on Moody's dependence and J-curve assumptions for each
random IRR drawn from the student-t distribution.  For each
simulation, the aggregated cash-flows resulting from the asset
modeling is flushed into a simplified waterfall based on the
transaction's documentation.  The model then derives an expected
loss for each rated tranche.  The modeling on the liability side
is handled by the standard EMEA cash flow model, whose description
can be found in "Moody's Approach to Rating Collateralized Loan
Obligations" rating methodology published in August 2009.

In reaching its rating decisions, Moody's also considered these
important factors:

(1) Cash flow sensitivity analysis

Moody's assessed expected cash flows on the rated tranches based
on the updated surveillance approach.  In addition to the base
case described above, the agency considered various scenarios
related to the IRR distribution, the dependency structure and the
timing of distributions and drawdowns via the J-curve.
Sensitivity to interest rate and foreign exchange fluctuations was
also analyzed.  The observed model outputs volatility in these
sensitivity runs was deemed consistent with the current rating
levels and available notes coverage.

(2) Coverage Position

The coverage position is a balance sheet indicator assessing how
the current fair-value of the assets compare to the liabilities.
The Asset Coverage Test was 425% for the Class A notes and 153%
for the Class D notes in September 2010.

(3) NAV

The NAV per share improved from 736 US$ in March 2009 to 792 US$
as of June 2010, as compared to 1,000 US$ at closing.

(4) Liquidity Position

By nature, private-equity investors commit capital that will be
drawn in the future.  The liquidity available is constituted of
the cash outstanding, the future distributions and the additional
protection provided by the liquidity facility.  This funds expense
payments and draw-downs to private-equity investors.  The current
modeling assumes that undrawn commitments will be fully drawn.
The presence of a liquidity facility renders the risk of a default
on an interest payment remote.

Moody's received and took into account a third party due diligence
report on the underlying assets or financial instruments in this
transaction and the due diligence report had a positive impact on
the rating.


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


WIMM-BILL-DANN FOODS: S&P Puts 'BB-' Rating on Positive Watch
-------------------------------------------------------------
Standard & Poor's Ratings Services said that it had placed its
'BB-' long-term corporate credit and 'ruAA-' Russia national scale
ratings on Russia's largest dairy and fruit juice producer Wimm-
Bill-Dann Foods OJSC on CreditWatch with positive implications.

"The CreditWatch placement reflects uncertainty about the
potential implications of PepsiCo Inc.'s intention to acquire a
66% interest in Wimm-Bill-Dann for US$3.8 billion pending required
government approval," said Standard & Poor's credit analyst Anton
Geyze.

In connection with this acquisition, PepsiCo (A/Stable/A-1) will
also offer to acquire the remaining 34% of Wimm-Bill-Dann through
an offer following completion of the 66% acquisition at such time
and on terms as are mandated by Russian legislation.

Applying S&P's corporate criteria on parent-subsidiary links, S&P
believes economic incentive is the most important factor on which
to base its judgment about the degree of linkage between PepsiCo
and Wimm-Bill-Dann.

"If the 66% acquisition takes place, S&P could upgrade or affirm
the rating on Wimm-Bill-Dann, depending on its view of the parent-
subsidiary link between PepsiCo and Wimm-Bill-Dann," said
Mr. Geyze.

The ratings on Wimm-Bill-Dann are constrained by what Standard &
Poor's sees as the company's limited geographic diversity and
exposure to a volatile emerging-market economy.  Further
constraints include intense competition with international and
local producers, low profitability compared with that of global
producers, and an increasingly aggressive financial policy.  S&P
considers these factors to be offset by Wimm-Bill-Dann's leading
position in Russia's dairy products market, its countrywide
production and distribution coverage, and currently adequate
liquidity.

S&P expects to resolve the CreditWatch within the next three
months, during which time S&P plan to obtain more information on
PepsiCo's future policy regarding this acquisition.

Any rating action will also be subject to clarification about
Wimm-Bill-Dann's financial policy, including investment plans,
liquidity management, and target leverage levels.


* Fitch Assigns 'B+' Rating on Ryazan Region's Domestic Bonds
-------------------------------------------------------------
Fitch Ratings has assigned the Ryazan Region's RUB2.1 billion
domestic bond (ISIN RU000A0JR5G5), due November 27, 2014, final
ratings of Long-term local currency 'B+' and National Long-term
'A(rus)'.

The region's Long-term foreign and local currency ratings are both
'B+'.  The region has a Short-term foreign currency rating of 'B'
and a National Long-term rating of 'A(rus)'.  The Outlooks on the
Long-term ratings are Stable.

The bond has a fixed step-down coupon.  The initial coupon rate
was set by the issuer at 8.8%.  The principal will be amortized by
30% of the initial bond issue value on November 29, 2012 and by
another 30% on November 28, 2013.  The remaining 40% will be
redeemed on November 27, 2014.  The proceeds from the bond issue
will be used to finance the region's budget deficit.

Ryazan is located in central Russia, bordering the Moscow region
to the north.  It contributed 0.4% of Russia's GDP in 2008 and
accounted for 0.8% of its population.


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


CAIXA GALICIA: Fitch Cuts Upper Tier 2 Sub. Debt Rating to 'BB'
---------------------------------------------------------------
Fitch Ratings has downgraded Caja de Ahorros de Galicia's and
Caixa de Aforros de Vigo, Ourense e Pontevedra's ratings, removed
them from Rating Watch and withdrawn them.  The agency has
simultaneously assigned ratings to the newly-formed Caixa de
Aforros de Galicia, Vigo, Ourense e Pontevedra (Novacaixagalicia).

The rating actions follow the formalization of the merger process
of Caixa Galicia and Caixanova into Novacaixagalicia, which will
receive EUR1,162 million of temporary financial support from
Spain's Fund for Orderly Bank Restructuring in the form of
convertible preference shares.  The two entities have ceased to
exist and all their assets and liabilities have been transferred
into the new entity.  Debt issues of the former Caixa Galicia and
the former Caixanova have been transferred to Novacaixagalicia and
their ratings are now based on the new entity's IDRs, and are also
provided below.

The merger of Caixa Galicia and Caixanova forms a larger entity
(total aggregate assets of EUR78 billion at end-H110), with
greater critical mass.  However, Fitch notes that Spain's weak
economy and the downturn in the property sector, to which the new
caja remains exposed (24% of total loans), could bring further
pressure on both asset quality and the caja's modest
profitability.  In addition, the new caja has to face a notable
restructuring process, which includes integration risks, the
closure of 22% of the branch network and a 17% staff reduction.
These elements, coupled with wholesale funding uncertainties and
Spain's deposit competition, will weigh on profit generation.  If
the new caja fails to defend its asset quality and profitability
and sustain its deposit base; while reinforcing core capital,
there could be downward rating pressure.

The ratings assigned to the new entity also address its large
retail franchise in Galicia and sound management.  Funding and
liquidity is under pressure due to the weak state of the debt
markets for many Spanish banks.  Liquidity is currently supported
by the caja's enhanced level of customer deposits (72% of total
net loans at end-H110) and available liquid assets of around EUR10
billion, which should help absorb debt maturities for 2011-2012
(EUR7.7 billion).  Despite the restructuring and pressures from
Spain's difficult operating environment, Fitch believes that
profitability should benefit from the achievement of synergies.

The merged entity is at risk from the loan book (73% of aggregate
assets at end-H110) and the constituent cajas' credit quality have
suffered from the rise in unemployment in expansion areas and
defaulted large real estate/construction companies.  Nonetheless,
the aggregate impaired/total loans ratio stabilized at 5.4% at
end-H110, helped by foreclosures (3.7% of total loans) and
accelerated charge-offs.  Single-name concentration from combined
credit/equity risks, although declining, is still high.  However,
Fitch views positively the caja's higher estimated coverage of 65%
on impaired assets (including impaired loans and foreclosed
assets) by end-2010, thanks to the bringing forward of EUR2.9
billion asset impairments, directly charged against equity.

FROB funds and revaluation reserves arising from the merger
support capital and help counterbalance the front-loading of asset
impairments through equity.  Fitch estimates Tier 1 ratio at the
outset to be c.7.6%.  Novacaixagalicia aims to reach a regulatory
Tier 1 ratio of 9.7% by end-2015 (core capital ratio of 7.1%),
which is largely based on its plans to strengthen capital through
the sale of securities and equity stakes and/or the disposal of
part of its retail banking assets.  Restructuring costs will be
absorbed via the profit and loss statements and should ultimately
enhance cost efficiency, which has typically been limited at both
of the cajas.

Fitch considers that Novacaixagalicia's planned de-leveraging of
the balance-sheet, particularly the partial disposal of retail
banking activities, could be challenging in the current
environment.  However, strict oversight by Spain's FROB and the
Bank of Spain and the high cost of FROB funds provide a stimulus
to manage the merger well, and return the financial assistance in
a five-year regulatory timeframe.

Novacaixagalicia is Spain's fifth-largest financial institution
within the cajas' sector by total end-2009 assets (considering
other mergers underway).  It is based in the north-east region of
Galicia and focuses on retail banking.  To date, it has 7,285
employees and 1,381 branches.

The rating actions on the cajas and their debt issues are:

Caixa Galicia:

  -- Long-term IDR: downgraded to 'BBB-' from 'BBB', removed from
     RWE and withdrawn

  -- Short-term IDR: affirmed at 'F3'; removed from RWP and
     withdrawn

  -- Individual rating: downgraded to 'C/D' from 'C', removed from
     RWN and withdrawn

  -- Support Rating: affirmed at '3' and withdrawn

  -- Support Rating Floor: affirmed at 'BB+' and withdrawn

  -- Upper tier 2 subordinated debt: downgraded to 'BB' from
     'BB+'; removed from RWE

  -- Preferred Stock: downgraded to 'B+' from 'BB-', removed from
     RWE

  -- State-guaranteed debt: affirmed at 'AA+'

Caixanova:

  -- Long-term IDR: downgraded to 'BBB-' from 'BBB+'; removed from
     RWN and withdrawn

  -- Short-term IDR: downgraded to 'F3' from 'F2'; removed from
     RWN and withdrawn

  -- Individual rating: downgraded to 'C/D' from 'C'; removed from
     RWN and withdrawn

  -- Support Rating: affirmed at '3' and withdrawn

  -- Support Rating Floor: affirmed at 'BB+' and withdrawn

  -- Senior unsecured debt: downgraded to 'BBB-' from 'BBB+';
     removed from RWN

  -- Subordinated debt: downgraded to 'BB+' from 'BBB'; removed
     from RWN

  -- Upper tier 2 subordinated debt: downgraded to 'BB' from 'BBB-
     '; removed from RWN

  -- State-guaranteed debt: affirmed 'AA+'

All debt issues of Caixanova and Caixa Galicia have been
transferred to Novacaixagalicia.

The impact on Caixanova's covered bonds, from the rating action,
if any, will be detailed in a separate comment.

Novacaixagalicia:

  -- Long-term IDR: assigned at 'BBB-'; Outlook Negative
  -- Short-term IDR: assigned at 'F3'
  -- Individual rating: assigned at 'C/D'
  -- Support Rating: assigned at '3'
  -- Support Rating Floor: assigned at 'BB+'

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


CAIXANOVA: Fitch Downgrades Subordinated Debt Rating to 'BB+'
-------------------------------------------------------------
Fitch Ratings has downgraded Caja de Ahorros de Galicia's and
Caixa de Aforros de Vigo, Ourense e Pontevedra's ratings, removed
them from Rating Watch and withdrawn them.  The agency has
simultaneously assigned ratings to the newly-formed Caixa de
Aforros de Galicia, Vigo, Ourense e Pontevedra (Novacaixagalicia).

The rating actions follow the formalization of the merger process
of Caixa Galicia and Caixanova into Novacaixagalicia, which will
receive EUR1,162 million of temporary financial support from
Spain's Fund for Orderly Bank Restructuring in the form of
convertible preference shares.  The two entities have ceased to
exist and all their assets and liabilities have been transferred
into the new entity.  Debt issues of the former Caixa Galicia and
the former Caixanova have been transferred to Novacaixagalicia and
their ratings are now based on the new entity's IDRs, and are also
provided below.

The merger of Caixa Galicia and Caixanova forms a larger entity
(total aggregate assets of EUR78 billion at end-H110), with
greater critical mass.  However, Fitch notes that Spain's weak
economy and the downturn in the property sector, to which the new
caja remains exposed (24% of total loans), could bring further
pressure on both asset quality and the caja's modest
profitability.  In addition, the new caja has to face a notable
restructuring process, which includes integration risks, the
closure of 22% of the branch network and a 17% staff reduction.
These elements, coupled with wholesale funding uncertainties and
Spain's deposit competition, will weigh on profit generation.  If
the new caja fails to defend its asset quality and profitability
and sustain its deposit base; while reinforcing core capital,
there could be downward rating pressure.

The ratings assigned to the new entity also address its large
retail franchise in Galicia and sound management.  Funding and
liquidity is under pressure due to the weak state of the debt
markets for many Spanish banks.  Liquidity is currently supported
by the caja's enhanced level of customer deposits (72% of total
net loans at end-H110) and available liquid assets of around EUR10
billion, which should help absorb debt maturities for 2011-2012
(EUR7.7 billion).  Despite the restructuring and pressures from
Spain's difficult operating environment, Fitch believes that
profitability should benefit from the achievement of synergies.

The merged entity is at risk from the loan book (73% of aggregate
assets at end-H110) and the constituent cajas' credit quality have
suffered from the rise in unemployment in expansion areas and
defaulted large real estate/construction companies.  Nonetheless,
the aggregate impaired/total loans ratio stabilized at 5.4% at
end-H110, helped by foreclosures (3.7% of total loans) and
accelerated charge-offs.  Single-name concentration from combined
credit/equity risks, although declining, is still high.  However,
Fitch views positively the caja's higher estimated coverage of 65%
on impaired assets (including impaired loans and foreclosed
assets) by end-2010, thanks to the bringing forward of EUR2.9
billion asset impairments, directly charged against equity.

FROB funds and revaluation reserves arising from the merger
support capital and help counterbalance the front-loading of asset
impairments through equity.  Fitch estimates Tier 1 ratio at the
outset to be c.7.6%.  Novacaixagalicia aims to reach a regulatory
Tier 1 ratio of 9.7% by end-2015 (core capital ratio of 7.1%),
which is largely based on its plans to strengthen capital through
the sale of securities and equity stakes and/or the disposal of
part of its retail banking assets.  Restructuring costs will be
absorbed via the profit and loss statements and should ultimately
enhance cost efficiency, which has typically been limited at both
of the cajas.

Fitch considers that Novacaixagalicia's planned de-leveraging of
the balance-sheet, particularly the partial disposal of retail
banking activities, could be challenging in the current
environment.  However, strict oversight by Spain's FROB and the
Bank of Spain and the high cost of FROB funds provide a stimulus
to manage the merger well, and return the financial assistance in
a five-year regulatory timeframe.

Novacaixagalicia is Spain's fifth-largest financial institution
within the cajas' sector by total end-2009 assets (considering
other mergers underway).  It is based in the north-east region of
Galicia and focuses on retail banking.  To date, it has 7,285
employees and 1,381 branches.

The rating actions on the cajas and their debt issues are:

Caixa Galicia:

  -- Long-term IDR: downgraded to 'BBB-' from 'BBB', removed from
     RWE and withdrawn

  -- Short-term IDR: affirmed at 'F3'; removed from RWP and
     withdrawn

  -- Individual rating: downgraded to 'C/D' from 'C', removed from
     RWN and withdrawn

  -- Support Rating: affirmed at '3' and withdrawn

  -- Support Rating Floor: affirmed at 'BB+' and withdrawn

  -- Upper tier 2 subordinated debt: downgraded to 'BB' from
     'BB+'; removed from RWE

  -- Preferred Stock: downgraded to 'B+' from 'BB-', removed from
     RWE

  -- State-guaranteed debt: affirmed at 'AA+'

Caixanova:

  -- Long-term IDR: downgraded to 'BBB-' from 'BBB+'; removed from
     RWN and withdrawn

  -- Short-term IDR: downgraded to 'F3' from 'F2'; removed from
     RWN and withdrawn

  -- Individual rating: downgraded to 'C/D' from 'C'; removed from
     RWN and withdrawn

  -- Support Rating: affirmed at '3' and withdrawn

  -- Support Rating Floor: affirmed at 'BB+' and withdrawn

  -- Senior unsecured debt: downgraded to 'BBB-' from 'BBB+';
     removed from RWN

  -- Subordinated debt: downgraded to 'BB+' from 'BBB'; removed
     from RWN

  -- Upper tier 2 subordinated debt: downgraded to 'BB' from 'BBB-
     '; removed from RWN

  -- State-guaranteed debt: affirmed 'AA+'

All debt issues of Caixanova and Caixa Galicia have been
transferred to Novacaixagalicia.

The impact on Caixanova's covered bonds, from the rating action,
if any, will be detailed in a separate comment.

Novacaixagalicia:

  -- Long-term IDR: assigned at 'BBB-'; Outlook Negative
  -- Short-term IDR: assigned at 'F3'
  -- Individual rating: assigned at 'C/D'
  -- Support Rating: assigned at '3'
  -- Support Rating Floor: assigned at 'BB+'

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


TDA FTPYME: DBRS Assigns 'B' Rating on Series B Notes
-----------------------------------------------------
DBRS Ratings Limited ("DBRS") has assigned ratings of AAA (sf)
to the EUR62.50 million Series A1 Notes, AAA (sf) to the
EUR250.00 million Series A2(G) Notes and B (low) (sf) to the
EUR127.50 million Series B Notes issued by TDA FTPYME PASTOR 9,
F.T.A., (the "Issuer").  The transaction is a cashflow
securitization collateralized primarily by a portfolio of bank
loans originated by Banco Pastor, S.A. ("Banco Pastor") to
Spanish small-and medium-sized enterprises ("SMEs").  The
transaction has a portfolio notional amount of EUR440.00 million.
As of November 26, 2010, the transaction included 3,384 loans with
a weighted average seasoning of 1.4 years and a weighted average
time to maturity of 9.4 years.

These ratings are based upon DBRS' review of the following
analytical considerations:

-- Transaction structure, the form and sufficiency of available
    credit enhancement.

-- Credit enhancement is in the form of subordination and
    reserve funded through a subordinated loan.  A current credit
    enhancement level of 44.77% is sufficient to support an AAA
    (sf) rating of the Series A1 and Series A2(G) Notes.

-- Funded at the beginning of the transaction through the
    issuance of a subordinated loan granted by Originator, the
    cash reserve, initially at 15.80% of the deal balance or
    EUR69.50 million is allowed to step down to the minimum of
    EUR34.75 million once sufficient Notes have amortized such
    that the cash reserve is 31.60% of the outstanding balance of
    the Notes.  The reserve will not be reduced in the first two
    years of the transaction, except to pay for interest or
    principal shortfalls for the Series A1, Series A2(G) Notes
    and Series B Notes, and/or when the outstanding balance of
    the assets in arrears (90+ Days Past Due) is higher than 1%.

-- The ability of the transaction to withstand stressed cash
    flow assumptions and repay investors according to the terms
    in which they have invested.  For this transaction, the
    provisional ratings of the Series A1 and Series A2(G) Notes
    address the timely payments of interest, as defined in the
    transaction documents, and the timely payments of principal
    on each Payment Date during the transaction and, in any case,
    at their Legal Final Maturities on the July 22, 2053.
    Interest and principal payments on the notes will be made
    quarterly, generally on the 22nd of the month, with the first
    payment date on the April 26, 2011.

-- The transaction parties' financial strength and capabilities
    to perform their respective duties, and the quality of
    origination, underwriting and servicing practices.

-- Soundness of the legal structure and presence of legal
    opinions which address the true sale of the assets to the
    trust and the non-consolidation of the special purpose
    vehicle, as well as the consistency with the DBRS Legal
    Criteria for European Structured Finance Transactions.

DBRS made appropriate adjustments to the model parameters based on
the analysis of historical performance data provided by the
originator and servicer and incorporated the assessment of the
current economic environment in Spain.


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


* Fitch Assigns 'B' Ratings on Ukrainian Region of Donetsk
----------------------------------------------------------
Fitch Ratings has assigned the Ukrainian Region of Donetsk Long-
term foreign and local currency ratings of 'B', a Short-term
foreign currency rating of 'B' and a National Long-term rating of
'AA(ukr)'.  The Outlooks for the Long-term ratings are Stable.

The ratings on the Donetsk region reflect its strong economy,
satisfactory budgetary performance, and zero direct risk and
contingent liabilities.  The ratings also factor in strong
reliance of the regional budget on central government decisions
and the overall evolving institutional framework in the country.
An upgrade of the sovereign ratings, coupled with maintaining the
sound budgetary performance of the region, would be positive for
the ratings.  Downward rating pressure would arise from
deterioration in the region's budgetary performance caused by an
inability to control operating expenditure.

The region has a strong economy with GRP per capita exceeding the
national average by 28% in 2008.  The industrial sector is well-
developed and dominated by metallurgy, which represents around 40%
of industrial output.  This makes the region's economy exposed to
price and demand fluctuations on the commodities market.  The
region's industrial output declined 22% yoy in 2009 as a result of
the recent economic downturn.  The administration forecasts fast
rebound of the economy in 2010 following the recovery of the
commodities market with industrial output set to grow 10% yoy in
2010 and a further 5% in 2011.

Budgetary performance remained satisfactory in 2009 despite the
adverse economic environment.  The operating balance accounted for
11.5% of operating revenue in 2009, almost in line with 2008
results.  Performance was supported by stable tax proceeds as
personal income tax, which is a major regional tax, has little
volatility to economic cycles.  Increasing current transfers from
the central government also helped underpin operating revenue
growth.  Fitch expects the operating margin will remain at 10%-11%
in 2010-2012.

According to the legislation of Ukraine regional governments are
not allowed either to borrow or issue guarantees, which limit the
financing ability of the regions.  Regional public companies are
able to contract debt obligations.  However, the debt of Donetsk's
PSEs was fully redeemed in 2009, leaving the region free from
direct risk and contingent liabilities.  Legislative changes to
the borrowing rights of the regions are not expected in the medium
term.

The regional government has close links to the central government
and is largely dependent on the decisions of the National Finance
Ministry.  This leads to low independence of the region's
financial policy, and an absence of long-term budget planning.
Fitch believes, however, that the stabilization of the country's
political environment after the election of the new President in
early 2010 lends predictability to the institutional framework.
In turn the regional administration is able to implement measures
to increase the efficiency of budgetary system and promote the
region's investment potential.


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


CHANDOS TIMBER: Goes Into Administration, 170 Jobs Axed
-------------------------------------------------------
Builder Merchants Journal reports that Chandos Timber Engineering
has gone into administration with the loss of 170 jobs and is
blaming both the Rok Plc bad debts and the downturn in
construction.

Administrators from accounts Cowgill Holloway are trying to sell
the assets of the business, which include a GBP4 million purpose
built factory on the outskirts of the town, according to Builder
Merchants Journal.

"We had some potential buyers but they were more interested in
buying the assets and not taking on the liabilities.  Due to there
being no working capital, we had no choice but to let go of 170
staff," Builder Merchant Journal quoted administrator Jason
Elliott as saying.

Headquartered in Rochdale, England, Chandos Timber Engineering is
a timber frame supplier.


EDWARDS GROUP: Moody's Upgrades Corporate Family Rating to 'B2'
---------------------------------------------------------------
Moody's Investor's Service upgraded the corporate family rating
and the probability of default rating for Edwards Group Limited to
B2 from B3.  The rating outlook has been changed to positive from
stable.

                        Ratings Rationale

"During the first nine months of 2010 Edwards reported a strong
rebound of revenues and operating profitability supported by
sizeable restructuring activities, growth initiatives and
currently favorable market conditions.  The rating upgrade mirrors
the reduction of the company's leverage level resulting from the
improved profitability and a strengthening generation of funds
from operations and a positive free cash flow," says Oliver Giani,
Vice President at Moody's and lead analyst for Edwards.  "This
allowed the company to meet Moody's expectations for a positive
rating move -- however, Moody's notes that there is still some
uncertainty regarding Edwards' financial policy driven by its
private equity sponsors.  Moreover, Moody's views the company's
revenues and operating margins to remain cyclical and more or less
volatile," he added.

The B2 Corporate Family Rating balances (i) Moody's expectation
for a sustainable improvement in key credit metrics during the
economic recovery despite the company's exposure to volatile end
markets, (ii) the company's leading market positions and strong
competitive position, (iii) continuous initiatives to reduce costs
and innovate products as well as (iv) the successful execution of
the disposal of non-core activities with the relatively low
product diversity and high dependency on structural swings and the
foreign exchange risk resulting from the fact that a high portion
of revenues are billed in US-Dollars with a significant cost base
mainly in the UK, although actions are underway to transition most
of the manufacturing operations away from this location.

In the first nine months of 2010, Edwards' overall sales increased
markedly by 77% (measured in US$ terms) versus 2009, primarily
driven by a 176% growth of its Semiconductor Equipment segment as
a result of the strong recovery in the end market conditions and
improved market share of Edwards.  In line with the favorable
revenue growth, the company's EBITDA margin for LTM ending in
September 2010 improved to 13.4% (0.1% in FY2009) supported by
recurring benefits from the major restructuring programs that the
group implemented over the past three years.  In addition, cash
generation benefited from strengthened funds from operations,
working capital releases as well as limited capital spending,
resulting in a turnaround in the group's FCF/debt ratio to 13.7%
from a negative -9.2% in the previous year.  Likewise, RCF
coverage of net debt as per end of September 2010 improved
materially to 9.8% from -9.5% the year before.

The increased profitability was a key driver for the reduction in
leverage.  For LTM September 2010 Moody's calculate a leverage of
5.7x Debt / EBITDA compared to >800x during FY 2009.  Net debt
reduced slightly by GBP33 million to GBP323 million leading to an
improvement of Net Debt / EBITDA ratio from >700x per year-end of
2009 to 4.2x per Q3 2010.  Going forward, Moody's expects Edwards
to be able to show further leverage reduction.

Despite Moody's expectation of further strengthening of Edwards'
credit metrics, Moody's note uncertainty remains with regard to
the company's financial risk profile.  In particular, Moody's
understand that Edwards' private equity sponsors might choose to
pursue a more aggressive financial policy in the near to mid-term,
as evidenced by its appointment of several investment banks to
advise it on a range of strategic options for the business
including a sale or an initial public offering in September 2010.

The positive outlook assigned reflects Moody's expectation that
Edwards will be able to sustain current profitability levels with
reported operating margin in the medium to high teens, which the
group is expected to achieve on the back of (i) resilient revenue
growth supported by currently favorable industry conditions; and
(ii) cost savings and efficiency improvements resulting from its
ongoing restructuring program.  This should allow the group to
further improve cash generation and cash coverage ratios, as
indicated by FFO/Debt above 10% and a positive free cash flow
supporting a further reduction in leverage over the next 12 to 18
months.

For a rating upgrade to be considered, the agency expects the
company to sustainably exhibit leverage materially below 4.5x Debt
/ EBITDA and interest coverage above 2.5x EBITA.

Downward rating pressure would arise if (i) Edwards were unable to
sustain its current profitability metrics, as indicated by
reported operating profit margin; (ii) operating profit interest
coverage as reported failed to show a continuing upward slope from
the current level of 3.7x (October 2009 - September 2010) or (iii)
the group was unable to retain its cash position at a minimum
level of GBP100 million.  Also, indications that leverage could
exceed 5.5x Net debt / EBITDA or interest cover fall materially
below 2x EBITA could trigger a downward migration.

Upgrades:

Issuer: Edwards (Cayman Island II) Limited

  -- Senior Secured Bank Credit Facility, Upgraded to a range of
     Caa1 to Ba2 from a range of Caa2 to Ba3

Issuer: Edwards Group Limited

  -- Probability of Default Rating, Upgraded to B2 from B3
  -- Corporate Family Rating, Upgraded to B2 from B3

Outlook Actions:

Issuer: Edwards (Cayman Island II) Limited

  -- Outlook, Changed To Positive From Stable

Issuer: Edwards Group Limited

  -- Outlook, Changed To Positive From Stable

Moody's previous rating action on Edwards was implemented on 28
May 2009, when the company's rating was downgraded to B3 from B1.

Edwards Group Limited, headquartered in Crawley / United Kingdom,
formerly known as BOC Edwards, is a spin-off from Linde which sold
the company following the takeover of BOC in May 2007 to CCMP
Capital.  The company has a global leading position in the
manufacturing of highly engineered vacuum and abatement systems.
The company produces over 5,000 products ranging from simple
vacuum gauges to complex vacuum solutions for silicon
semiconductor and flat panel display processing serving
approximately 250 Semiconductor, 150 Emerging Technologies and
20,000 General Vacuum customers.  During 2009 Edwards generated
revenues of GBP371 million (approximately US$580 million) from
continuing operations.


EUROPEAN DIRECTORIES: Files for Administration in United Kingdom
----------------------------------------------------------------
European Directories (DH6) BV filed for administration in London,
Isabell Witt at Bloomberg News reports, citing Peter Spratt, the
company's administrator at PricewaterhouseCoopers.

European Directories -- http://www.europeandirectories.com/-- is
a pan-European local search and lead generation group with its
headquarters located in London.  The company has 4,750 employees
and over 700,000 customers.


FOLLOWSET LTD: Hurst House Closure Results to 30+ Job Cuts
----------------------------------------------------------
BBC News reports that Hurst House hotel is closing with the loss
of more than 30 jobs.  BBC News relates that Followset Ltd, the
company behind Hurst House, went into administration on Nov. 24,
2010.

According to BBC News, administrators Grant Thornton said they had
hoped to secure a sale of the hotel as a going concern but that
had not been possible.

Alistair Wardell of Grant Thornton said the closure of Hurst House
had affected more than 30 full and part-time positions, BBC News
notes.

"We have regrettably taken the decision to close the hotel due to
the difficulties of trading in administration whilst a sale was
pursued," BBC News quoted Mr. Wardell as saying.  "We continue to
hope for a sale in the short term in the absence of which the
hotel will be marketed."

As reported in the Troubled Company Reporter-Europe on December 2,
2010, Cateresearch said that Hurst House has been placed in
administration for the second time in just over two years.
According to the report, Hurst House first went into
administration in August 2008.  It was bought out of
administration by Neil Morrissey's former business partner Matt
Roberts, with the help of private investors including Jeremy
Stone, a bioscience entrepreneur.

Actor Neil Morrissey co-owned Hurst House, a Grade II listed 17-
bedroom hotel, between 2001 and 2008.  BBC News relates that
Followset Ltd had taken over Hurst House at the end of Mr.
Morrissey's involvement.

Hurst House is situated in a converted 16th century Grade II-
listed dairy farm.  The hotel first came to prominence when it was
owned by actor Neil Morrissey.  Followset Ltd is the company
behind Hurst House.


GREAT HALL: Fitch Lifts Ratings on Two Classes of Notes to CCCsf
----------------------------------------------------------------
Fitch Ratings has revised the Outlooks on 14 tranches of Great
Hall Mortgages Plc No.1, a series of three UK non-conforming
transactions to Stable from Negative.  It has also upgraded two
tranches and affirmed the rest.

The investor reports for September 2010 show an improvement in
asset performance compared with 2008 and 2009.  Majority of the
loans in the pools have reverted to variable rates, and are linked
to either the Bank of England Base Rate or Libor.  In Fitch's view
the current low interest rate environment has led to improved
borrower affordability, as evidenced by the declining trend in
three-month plus arrears across all three transactions.  As of the
last interest payment date in September 2010, loans in arrears by
more than three months in arrears ranged from 8.2% (GHM 2006-1) to
9.6% (GHM 2007-2).  The stable arrears trend is consistent with
most other Fitch-rated UK non-conforming transactions.
Consequently the level of repossessions during 2010 has declined
from levels seen in 2009.  Over the upcoming payment dates, the
number of new repossessions and sales are expected to remain
limited, as low interest rates continue to drive borrower
affordability.

With the decline in repossessions and losses incurred from the
sale of repossessed properties, the issuers were able to generate
sufficient funds needed to replenish the drawn reserve funds.  As
of 18 September 2010, the reserve funds for all three transactions
remained fully funded.  The full replenishment of the reserve fund
in GHM 2007-2 led to an increase in the credit support available
to the class Ea and Eb notes.  In addition, in Fitch's view, the
improved performance has reduced the default probability of these
notes, which is reflected in the upgrade of the tranches to
'CCCsf'.

Despite the presence of BBR loans in the pools, none of the three
GHM deals have a basis hedge in place.  As of the last interest
payment date, the mismatch between BBR and Libor remained low
(23bps).  In Fitch's view, the absence of a basis hedge could put
pressure on excess spread levels should the mismatch reach levels
seen in 2008 (120bps) and may lead to reserve fund draws in the
future.  As of 18 September 2010, the proportion of BBR-linked
loans ranged from 50.5% (GHM2007-2) to 63.2% (GHM2007-1) compared
with 8.1% (GHM2006-1) and 37.8% (GHM2007-1) at transaction close.

The transaction structures include pro-rata and reserve fund
amortization triggers, some of which have either been breached or
are expected to be breached in the upcoming quarters.  Continued
sequential note amortization and fully funded reserves are
expected to lead to a further increase in the credit support
available to the senior tranches, which is reflected in the
affirmation of the ratings on these notes.

The underlying pools comprise a high proportion of buy-to-let and
self-certified borrowers, with high loan-to-value ratios,
characteristics all of which Fitch considers adverse and
associates with higher default probabilities.  Fitch believes that
an increase in interest rates, which is expected at the end of
2011, would potentially have a negative impact on the ability of
such borrowers to meet their monthly debt payments, and
subsequently lead to deterioration in the performance of these
transactions.

The rating actions are:

Great Hall Mortgages No. 1 plc (Series 2006-1):

  -- Class A2a (ISIN XS0276086393) affirmed at 'AAAsf'; Outlook
     Stable; Loss Severity (LS) Rating 'LS-1'

  -- Class A2b (ISIN XS0276092797) affirmed at 'AAAsf'; Outlook
     Stable; 'LS-1'

  -- Class Ba (ISIN XS0276086989) affirmed at 'AAsf'; Outlook
     Stable; 'LS-3'

  -- Class Bb (ISIN XS0276093332) affirmed at 'AAsf'; Outlook
     Stable; 'LS-3'

  -- Class Ca (ISIN XS0276087524) affirmed at 'A-sf'; Outlook
     revised to Stable from Negative; 'LS-3'

  -- Class Cb (ISIN XS0276093928) affirmed at 'A-sf'; Outlook
     revised to Stable from Negative; 'LS-3'

  -- Class Da (ISIN XS0276088506) affirmed at 'BBsf'; Outlook
     revised to Stable from Negative; 'LS-3'

  -- Class Db (ISIN XS0276095030) affirmed at 'BBsf'; Outlook
     revised to Stable from Negative; 'LS-3'

  -- Class Ea (ISIN XS0276089223) affirmed at 'Bsf'; Outlook
     revised to Stable from Negative; Loss Severity rating revised
     to 'LS-4' from 'LS-5'

Great Hall Mortgages No. 1 plc (Series 2007-1):

  -- Class A2a (ISIN XS0288626525) affirmed at 'AAAsf'; Outlook
     Stable; 'LS-1'

  -- Class A2b (ISIN XS0288627507) affirmed at 'AAAsf'; Outlook
     Stable; 'LS-1'

  -- Class Ba (ISIN XS0288628224) affirmed at 'AAsf'; Outlook
     Stable; 'LS-3'

  -- Class Bb (ISIN XS0288628810) affirmed at 'AAsf'; Outlook
     Stable; 'LS-3'

  -- Class Ca (ISIN XS0288629545) affirmed at 'BBB+sf'; Outlook
     revised to Stable from Negative; 'LS-3'

  -- Class Cb (ISIN XS0288630121) affirmed at 'BBB+sf'; Outlook
     revised to Stable from Negative; 'LS-3'

  -- Class Da (ISIN XS0288630394) affirmed at 'Bsf'; Outlook
     revised to Stable from Negative; 'LS-3'

  -- Class Db (ISIN XS0288630550) affirmed at 'Bsf'; Outlook
     revised to Stable from Negative; 'LS-3'

  -- Class Ea (ISIN XS0288630808) affirmed at 'CCCsf'; Recovery
     Rating 'RR2'

Great Hall Mortgages No. 1 plc (Series 2007-2):

  -- Class Aa (ISIN XS0308354504) affirmed at 'AAAsf'; Outlook
     Stable; 'LS-1'

  -- Class Ab (ISIN XS0308354843) affirmed at 'AAAsf'; Outlook
     Stable; 'LS-1'

  -- Class Ac (ISIN XS0308462141) affirmed at 'AAAsf'; Outlook
     Stable; 'LS-1'

  -- Class Ba (ISIN XS0308356970) affirmed at 'Asf'; Outlook
     revised to Stable from Negative; 'LS-3'

  -- Class Ca (ISIN XS0308357358) affirmed at 'BBBsf'; Outlook
     revised to Stable from Negative; 'Loss Severity rating
     revised to 'LS-4' from 'LS-3'

  -- Class Cb (ISIN XS0308355733) affirmed at 'BBBsf'; Outlook
     revised to Stable from Negative; 'Loss Severity rating
     revised to 'LS-4' from 'LS-3'

  -- Class Da (ISIN XS0308357788) affirmed at 'Bsf'; Outlook
     revised to Stable from Negative; 'LS-4'

  -- Class Db (ISIN XS0308356111) affirmed at 'Bsf'; Outlook
     revised to Stable from Negative; 'LS-4'

  -- Class Ea (ISIN XS0308357861) upgraded to 'CCCsf' from 'CCsf';
     Recovery Rating revised to 'RR2' from 'RR4'

  -- Class Eb (ISIN XS0308356467) upgraded to 'CCCsf' from 'CCsf';
     Recovery Rating revised to 'RR2' from 'RR4'


GREENGROCERS PLC: Teignmouth Branch to Remain Open Under New Firm
-----------------------------------------------------------------
This is South Devon reports that Greengrocers Stokes Plc's
Teignmouth Branch in South Devon been saved from the threat of
closure, assuring the future of 14 jobs.  The report relates that
Stokes, in Bank Street, has been taken over by a new Bristol-based
company Stokes & Johnson, weeks after Greengrocers Stokes Plc went
into administration.

Greengrocers Stokes Plc went into administration in October.  KPMG
was appointed joint administrators.  At that time, according to
This is South Devon, it was announced that the company's 17
branches, including those in Torquay, Paignton, Brixham,
Teignmouth, Dawlish and Totnes, would continue to trade, but the
Newton Abbot branch was earmarked for closure.

KPMG was seeking a buyer for the business as a going concern, This
is South Devon notes.  The Torquay store has since closed.

The Teignmouth branch shop managers are Dave Crohurst and Ben
Slater.

"We are still trading as normal.  We have been taken over by a
company called Stokes & Johnson, based in Bristol, along with
branches in Exeter and Exmouth," the report quoted Mr. Slater as
saying.

A KPMG spokeswoman confirmed that the Teignmouth, Exeter and
Exmouth shops had been sold to Stokes & Johnson on October 28,
This is South Devon reports.  "A total of 41 employees transferred
over to the new firm: 14 in Teignmouth, 16 in Exmouth, and 11 in
Exeter," the report quoted the KPMG spokeswoman as saying.

Greengrocers Stokes Plc is the largest independent greengrocer in
the UK.


MOUCHEL GROUP: Faces Potential Hostile Takeover Bids
----------------------------------------------------
The Scotsman reports that Mouchel Group plc Monday said it is
facing potential hostile takeover bids after financial fears have
seen its shares plunge.

According to The Scotsman, the Group, which develops
infrastructure for councils and government agencies, said it had
received recent approaches, but believes that those approaches do
not "reflect the true value of the company."

The Scotsman relates that Mouchel, whose Scottish operations are
based in Dundee, Edinburgh, Glasgow, Perth and Stirling, has been
hit by a drop in demand after the change of UK government in May
as departments have reined in spending and postponed or scaled
down projects.  Its shares have slumped in recent weeks as
investors have headed for the exit amid concerns over the impact
of spending cuts, The Scotsman notes.

                        Deloitte Review

As reported by the Troubled Company Reporter-Europe on Dec. 7,
2010, Mouchel, as cited by The Financial Times said its bankers
had appointed Deloitte to conduct a review of the business ahead
of an expected refinancing.  The company said the banking
syndicate, including Royal Bank of Scotland, Lloyds Banking Group
and Barclays, had drafted in the professional services firm,
according to the FT.  The FT disclosed people familiar with the
situation said the "limited scope review", conducted with the
agreement of the company, would focus on the likely effect of
government spending cuts on Mouchel's contracts.  The analysts
said the move by lenders was unsurprising given that Mouchel had
said in October it was in talks to refinance its GBP180 million
(US$281 million) credit facilities, the FT noted.  Mouchel issued
a profit warning a fortnight before its full-year results, after
an audit led by PwC prompted a "more cautious view" of how much
the group expected to be paid for several public sector projects,
the FT said.  Investec analyst John Lawson, as cited by the FT,
said the move to appoint Deloitte highlighted worries about
whether the business could "continue as a going concern.  We
cannot rule out further profit warnings".

Mouchel Group plc -- http://www.mouchel.com/-- is a consulting
and business services company supporting clients in developing and
managing their infrastructure assets.  The Company operates in
three segments: Government Services, Regulated Industries and
Highways.  The Government Services segment provides a range of
services to central and local government together with health and
education authorities.  The Regulated Industries segment provides
a portfolio of consulting, design, asset modeling and asset
management, and is a provider in the water sector.  It supports
the development of new product and systems technologies in the
areas of leakage management, flood prevention, water treatment and
public health.  The Highways segment delivers a planning, design,
maintenance and operations service to highway authorities.  It
enables the management of the movement of people, goods and
services.


NANT PROPERTIES: Development Site Goes Into Receivership
--------------------------------------------------------
Mike Philips of Property Week reports that a city development site
close to the Lloyds of London building has gone into receivership,
and is set to be sold in the New Year.  The site has planning
consent for a 6-storey scheme with a gross area of 41,000 sq. ft.
and a net lettable area of 32,000 sq. ft.

According to Property Week, Jones Lang LaSalle was appointed
receiver to two companies, Nant Properties and Afon Properties,
which own the site at 21 Lime Street.  The report relates that
Dunbar was the lender to the scheme.

Mr. LaSalle, Property Week notes, is currently in discussions with
the bank over the strategy for the site, which could fetch around
GBP10 million.

The ultimate controlling party of the scheme is Chruchill
Securities, whose founder, David Rees, recently passed away, the
report notes.

Nant Properties is a property company based in the United Kingdom.


PERSEUS PLC: S&P Lowers Rating on Class D Notes to 'B- (sf)'
------------------------------------------------------------
Standard & Poor's Ratings Services raised its credit ratings on
Perseus (European Loan Conduit No. 22) PLC's class A2 and A3
notes, affirmed its rating on the class B notes, and lowered its
ratings on the class C and D notes.

The rating actions follow a review of all the remaining loans in
this transaction after the borrower fully repaid the Ladysmith
loan post-maturity, partially prepaid the Mapeley loan, and
partially repaid the Major Belle loan.  The actions reflect S&P's
opinion of the creditworthiness of the underlying loan portfolio
and the notes.  This is mainly due to:

* S&P's reassessment of the recoverable proceeds of several
  assets;

* The potential note interest shortfalls as two loans have
  transferred into special servicing (Major Belle and Columbus
  Court); and

* The improved credit characteristics of the notes at the top of
  the capital structure following loan repayments and prepayments.

The upgrade of the class A2 and A3 notes follows recent sequential
note prepayments as a result of the loan payments as detailed
above.  These prepayments have increased credit enhancement of
most classes, although other factors such as S&P's revised
expectations of recovery values have caused us to raise the rating
of the class A2 and A3 notes.  Additionally, S&P has affirmed the
rating of the class B notes.

Four loans now back ELOC 22's notes, two of which are in special
servicing, the credit characteristics of which are summarized
below.

S&P has revised significantly downward its view on the recoverable
proceeds of the property backing the Major Belle loan, the
smallest loan in the pool at about 11.6% of the pool balance.  The
loan is backed by a single office property (Centre City,
Birmingham) leased to 18 tenants.  About GBP2 million (roughly
76%) of the aggregate rents comes from Legal and General, the
Secretary of State for Environment, and some others who have
leases expiring in the next three years.  The building was
originally built in the 1970s and later refurbished in the early
1990s.  S&P understands that the property has been partly
refurbished in recent years (although some floors have been in a
shell condition for the past two years).

S&P's view of the recoverable proceeds has worsened given the
current average age of this property, the short leases remaining,
and the costs that could be incurred to completely refurbish it.
S&P understands that rents recently agreed for the Major Belle
property are low compared with reported rents for similar
properties in the area.  S&P notes too that reportedly, properties
for sale in a similar location and with similar specification have
not attracted material interest.

Although this loan has partially repaid and shows improved
reported loan-to-value ratios as a result, in view of the above,
under its stress scenarios, S&P believes this loan may have
difficulty in refinancing and may incur losses.

The Columbus Court loan and the Yate loan are performing in line
with S&P's expectations.  S&P notes that the Mapeley loan is
showing some signs of pressure given increased vacancies, and that
the Columbus Court loan, while in default, may be refinanced in
the coming months according to the special servicer.

The loan balances of the four loans range from GBP23.0 million to
GBP69.6 million, of which 46.7% of these by loan balance are in
special servicing.  The reported LTV ratios for these loans are
between 35.5% and 65.6%, with an average of 55.60%, according to
the most recent servicer report for the quarter ending Oct. 26,
2010.  S&P notes some of the valuations backing these ratios date
back as far as 2005.  The lowest debt service coverage ratio among
these borrowers is 1.55x, while the highest is 14.7x.

Additionally, S&P has also revised its ratings downwards due to
potential interest shortfalls occurring on the lower-rated classes
due to the likely recurring special servicing fees and expenses.
These fees and expenses (which cannot be paid by excess cash or
drawn from the liquidity facility) may arise from the two loans
that recently defaulted at maturity.  Accordingly, S&P has lowered
its rating on the class D notes.

ELOC 22 is a true sale CMBS transaction, which closed in December
2005.  The transaction is currently backed by four loans secured
on properties in the U.K.  The outstanding principal balance of
the transaction is GBP198.2 million.  Morgan Stanley Bank
International originated all of the loans between December 2004
and December 2005.

                          Ratings List

            Perseus (European Loan Conduit No. 22) PLC
GBP514.538 Million Commercial Mortgage-Backed Floating-Rate Notes

                         Rating Affirmed

                       Class       Rating
                       -----       ------
                       B           A+ (sf)

                         Ratings Raised

                                 Rating
                                 ------
            Class       To                    From
            -----       --                    ----
            A2          AAA (sf)              AA (sf)
            A3          AA+ (sf)              AA- (sf)

                         Ratings Lowered

                                 Rating
                                 ------
            Class       To                    From
            -----       --                    ----
            C           BB (sf)               BBB (sf)
            D           B- (sf)               BB (sf)


STERLINGMAX I: S&P Lowers Rating on Class B Notes to 'D (sf)'
-------------------------------------------------------------
Standard & Poor's Ratings Services lowered to 'D (sf)' its credit
rating on STERLINGMAX I MBS Ltd.'s class B notes.  S&P also
lowered its ratings on classes A-1, A-2, C, and D, and affirmed
its 'CCC- (sf)' rating on the class F-2 combination notes.

At the same time, S&P removed from CreditWatch negative its
ratings on classes A-2, B, C, and D.

The rating actions follow S&P's receipt of the issuer's event of
default notice dated Nov. 25, 2010.  This states that there were
insufficient proceeds to pay in full the interest due on the class
B notes on the November 2010 payment date.

On Oct. 11, 2010, S&P lowered to 'BB (sf)' and placed on
CreditWatch negative its rating on the class B notes citing an
increased risk of interest shortfalls on these notes once the
reinvestment period ended on Nov. 19, 2010.

From the transaction's recent monthly and payment date reports,
S&P notes that interest due on the class B notes on the November
payment date was GBP85,054.64.  The issuer had proceeds to pay
noteholders GBP76,786.85, leaving an unpaid amount of GBP8,267.79.
Given that class B is in interest default, S&P has lowered its
rating on the class to 'D (sf)'.

S&P understands that when an event of default has occurred and is
continuing, the holders of most senior outstanding class of notes
may direct the issuer to declare the notes immediately due and
payable.  Following such direction, the trustee is likely, in
S&P's opinion, to take steps to liquidate the collateral and
distribute the proceeds.

In circumstance such as this, S&P would generally lower the rating
on the most senior notes to the 'BB' level, to reflect the
potential market value risk associated with portfolio liquidation.
However, according to S&P's analysis the outstanding amount of
class A-1 is less than 26% of the amount of performing collateral,
and so, in its opinion, the credit risk of the notes remains
commensurate with an investment grade rating.  S&P has therefore
lowered the rating to 'BBB (sf)'.

S&P has lowered its rating on class A-2 to the 'CCC' level, and
its ratings on classes D and E to the 'CCC-' level, to reflect its
opinion of the risks that classes other than the A-1 notes may
experience principal losses if the collateral is liquidated.

S&P considers that its 'CCC- (sf)' rating remains appropriate on
the class F-2 combination notes, which rely for repayment on cash
flows from the class D notes and the unrated class E-1 notes.  S&P
is therefore affirming the rating on this class.

STERLINGMAX I MBS is a cash flow collateralized debt obligation
comprising mostly U.K. residential and commercial mortgage-backed
securities, and commercial asset-backed securities.

                          Ratings List

                     STERLINGMAX I MBS Ltd.
     GBP157 Million Secured Floating-Rate and Residual Notes[1]

                         Ratings Lowered

                              Rating
                              ------
   Class           To                      From
   -----           --                      ----
   A-1             BBB (sf)                AAA (sf)
   A-2             CCC (sf)                BBB (sf)/Watch Neg
   B               D (sf)                  BB (sf)/Watch Neg
   C               CCC- (sf)               BB- (sf)/Watch Neg
   D               CCC- (sf)               BB- (sf)/Watch Neg

                         Rating Affirmed

                    Class           Rating
                    -----           ------
                    F-2             CCC- (sf)

[1] S&P's ratings on the class A-1, A-2, and B notes address the
    timely payment of interest and principal, while the ratings on
    the class C and D notes address the ultimate repayment of
    interest and principal.  The rating on class F-2 addresses
    ultimate repayment of principal from available cash flows.


SVG DIAMOND: Moody's Cuts Junks Ratings on Two Classes of Notes
---------------------------------------------------------------
Moody's Investors Service has downgraded its ratings of seven
classes of notes issued by SVG Diamond Private Equity II plc.  The
transaction is a CDO referencing a portfolio of private equity
investments essentially constituted of venture capital funds,
buyout funds and Mezzanine funds.

The rating actions are:

Issuer: SVG Diamond Private Equity II Plc

  -- EUR55M A-1 Notes, Downgraded to Baa2 (sf); previously on Mar
     26, 2009 Downgraded to A2 (sf) and Placed Under Review for
     Possible Downgrade

  -- US$71.6M A-2 Notes, Downgraded to Baa2 (sf); previously on
     Mar 26, 2009 Downgraded to A2 (sf) and Placed Under Review
     for Possible Downgrade

  -- EUR76.5M B-1 Notes, Downgraded to Ba2 (sf); previously on Mar
     26, 2009 Downgraded to A3 (sf) and Placed Under Review for
     Possible Downgrade

  -- US$40M B-2 Notes, Downgraded to Ba2 (sf); previously on Mar
     26, 2009 Downgraded to A3 (sf) and Placed Under Review for
     Possible Downgrade

  -- US$47.8M C Notes, Downgraded to B1 (sf); previously on Mar
     26, 2009 Downgraded to Baa1 (sf) and Placed Under Review for
     Possible Downgrade

  -- EUR43M M-1 Notes, Downgraded to Caa2 (sf); previously on Mar
     26, 2009 Downgraded to Ba2 (sf) and Placed Under Review for
     Possible Downgrade

  -- US$20.3M M-2 Notes, Downgraded to Caa2 (sf); previously on
     Mar 26, 2009 Downgraded to Ba2 (sf) and Placed Under Review
     for Possible Downgrade

                        Ratings Rationale

SVG Diamond Private Equity II is a bankruptcy remote special
purpose company incorporated with limited liability in Ireland for
the sole purpose of acquiring its interest in the portfolio and
certain other assets securing the notes, and issuing the notes.

The rating actions are primarily a result of Moody's updated
surveillance approach assumptions pertaining to CFO referencing
private equity interest and the evolution of the performance of
the private equity transaction since the closing of the
transaction.  The ratings were kept on watch for downgrade on
March 26, 2009 as the approach was being reviewed.

Moody's updated surveillance approach:

In its updated surveillance approach, Moody's relies on the
Internal Rate of Return of each underlying fund as a primary
performance indicator.  Moody's believes that the shape of the
distribution that best fits the historical data is a student-t
distribution with three degrees of freedom.  The base case assumes
the equivalent volatility for primary funds to be 52% for VC funds
and 26% for buyout funds.  The mean is assumed at 10% for both
types of funds.

The timing of the cash-flows is an additional required input in
Moody's surveillance approach.  Based on historical analysis,
Moody's chose a set of deterministic cash-flows shapes for
distributions and drawn-downs, which represent Moody's "J-curve
assumptions".  Under these assumptions, draw-downs are expected to
be mostly concentrated in the first three to four years following
the initial commitment while the cash-flow distributions are
spread over a ten-year period and mostly concentrated between year
six and ten.

Moody's obtained historical performance data and further adjusted
the data using public equity equivalent analysis as well as
equivalent research pursued by scholars and researchers.

In its approach, Moody's used a Gaussian copula model for the
dependency structure of the final IRRs of the funds.  The
correlation between VC funds and buyout funds is assumed at 40% in
the base case.  The intra-correlation is assumed at 50%.

In addition, Moody's assumptions of the final returns of primary
funds were adjusted given the seasoning of the underlying funds
already invested in this transaction.  The standard deviation of
the IRR related to the funded portion of the underlying funds was
reduced by a factor of three and the correlation between the
funded portion and the unfunded portion was reduced to 20%.

A model derives the aggregated cash flow projection at the CFO
level based on Moody's dependence and J-curve assumptions for each
random IRR drawn from the student-t distribution.  For each
simulation, the aggregated cash-flows resulting from the asset
modeling is flushed into a simplified waterfall based on the
transaction's documentation.  The model then derives an expected
loss for each rated tranche.  The modeling on the liability side
is handled by the standard EMEA cash flow model, whose description
can be found in "Moody's Approach to Rating Collateralized Loan
Obligations" rating methodology published in August 2009.

In reaching its rating decisions, Moody's also considered these
important factors:

(1) Cash flow sensitivity analysis

Moody's assessed expected cash flows on the rated tranches based
on the updated surveillance approach.  In addition to the base
case described above, the agency considered various scenarios
related to the IRR distribution, the dependency structure and the
timing of distributions and drawdowns via the J-curve.
Sensitivity to interest rate and foreign exchange fluctuations was
also analyzed.  The observed model outputs volatility in these
sensitivity runs was deemed consistent with the current rating
levels and available notes coverage.

(2) Coverage Position

The coverage position is a balance sheet indicator assessing how
the current fair-value of the assets compare to the liabilities.
The Subordination Test level was 18.04% at the end of October 2010
and the test is failing since the test threshold is 22.25%.

(3) NAV

The NAV per share improved from 0.26 EUR in September 2009 to 0.33
EUR as of March 2010, as compared to approximately 1 EUR at
closing.

(4) Liquidity Position

By nature, private-equity investors commit capital that will be
drawn in the future.  The liquidity available is constituted of
the cash outstanding, the future distributions and the additional
protection provided by the liquidity facility.  This funds expense
payments and draw-downs to private-equity investors.  The current
modeling assumes that undrawn commitments will be fully drawn.
The presence of a liquidity facility renders the risk of a default
on an interest payment remote.

Moody's received and took into account a third party due diligence
report on the underlying assets or financial instruments in this
transaction and the due diligence report had a neutral impact on
the rating.


SVG DIAMOND: Moody's Cuts Ratings on Two Classes of Notes to Ba3
----------------------------------------------------------------
Moody's Investors Service has downgraded its ratings of seven
classes of notes issued by SVG Diamond Private Equity plc.  The
transaction is a CDO referencing a portfolio of private equity
investments essentially constituted of buyout funds.

The rating actions are:

Issuer: SVG Diamond Private Equity plc

  -- EUR40M A-1 Notes, Downgraded to A1 (sf); previously on Mar
     26, 2009 Downgraded to Aa1 (sf) and Placed Under Review for
     Possible Downgrade

  -- US$55M A-2 Notes, Downgraded to A1 (sf); previously on Mar
     26, 2009 Downgraded to Aa1 (sf) and Placed Under Review for
     Possible Downgrade

  -- EUR58.5M B-1 Notes, Downgraded to Baa3 (sf); previously on
     Mar 26, 2009 Downgraded to Aa3 (sf) and Placed Under Review
     for Possible Downgrade

  -- US$26.3M B-2 Notes, Downgraded to Baa3 (sf); previously on
     Mar 26, 2009 Downgraded to Aa3 (sf) and Placed Under Review
     for Possible Downgrade

  -- EUR15M C-1 Notes, Downgraded to Ba1 (sf); previously on Mar
     26, 2009 Downgraded to A3 (sf) and Placed Under Review for
     Possible Downgrade

  -- EUR40M M-1 Notes, Downgraded to Ba3 (sf); previously on Mar
     26, 2009 Downgraded to Baa3 (sf) and Placed Under Review for
     Possible Downgrade

  -- US$49M M-2 Notes, Downgraded to Ba3 (sf); previously on Mar
     26, 2009 Downgraded to Baa3 (sf) and Placed Under Review for
     Possible Downgrade

                        Ratings Rationale

SVG Diamond Private Equity is a bankruptcy remote special purpose
company incorporated with limited liability in Ireland for the
sole purpose of acquiring its interest in the portfolio and
certain other assets securing the notes, and issuing the notes.

The rating actions are primarily a result of Moody's updated
surveillance approach assumptions pertaining to CFO referencing
private equity interest and the evolution of the performance of
the private equity transaction since the closing of the
transaction.  The ratings were kept on watch for downgrade on the
26 of March, 2009 as the approach was being reviewed.

Moody's updated surveillance approach:

In its updated surveillance approach, Moody's relies on the
Internal Rate of Return of each underlying fund as a primary
performance indicator.  Moody's believes that the shape of the
distribution that best fits the historical data is a student-t
distribution with three degrees of freedom.  The base case assumes
the equivalent volatility for primary funds to be 52% for VC funds
and 26% for buyout funds.  The mean is assumed at 10% for both
types of funds.

The timing of the cash-flows is an additional required input in
Moody's surveillance approach.  Based on historical analysis,
Moody's chose a set of deterministic cash-flows shapes for
distributions and drawn-downs, which represent Moody's "J-curve
assumptions".  Under these assumptions, draw-downs are expected to
be mostly concentrated in the first three to four years following
the initial commitment while the cash-flow distributions are
spread over a ten-year period and mostly concentrated between year
six and ten.

Moody's obtained historical performance data and further adjusted
the data using public equity equivalent analysis as well as
equivalent research pursued by scholars and researchers.

In its approach, Moody's used a Gaussian copula model for the
dependency structure of the final IRRs of the funds.  The
correlation between VC funds and buyout funds is assumed at 40% in
the base case.  The intra-correlation is assumed at 50%.

In addition, Moody's assumptions of the final returns of primary
funds were adjusted given the seasoning of the underlying funds
already invested in this transaction.  The standard deviation of
the IRR related to the funded portion of the underlying funds was
reduced by a factor of three and the correlation between the
funded portion and the unfunded portion was reduced to 20%.

A model derives the aggregated cash flow projection at the CFO
level based on Moody's dependence and J-curve assumptions for each
random IRR drawn from the student-t distribution.  For each
simulation, the aggregated cash-flows resulting from the asset
modeling is flushed into a simplified waterfall based on the
transaction's documentation.  The model then derives an expected
loss for each rated tranche.  The modeling on the liability side
is handled by the standard EMEA cash flow model, whose description
can be found in "Moody's Approach to Rating Collateralized Loan
Obligations" rating methodology published in August 2009.

In reaching its rating decisions, Moody's also considered these
important factors:

(1) Cash flow sensitivity analysis

Moody's assessed expected cash flows on the rated tranches based
on the updated surveillance approach.  In addition to the base
case described above, the agency considered various scenarios
related to the IRR distribution, the dependency structure and the
timing of distributions and drawdowns via the J-curve.
Sensitivity to interest rate and foreign exchange fluctuations was
also analyzed.  The observed model outputs volatility in these
sensitivity runs was deemed consistent with the current rating
levels and available notes coverage.

(2) Coverage Position

The coverage position is a balance sheet indicator assessing how
the current fair-value of the assets compare to the liabilities.
The Subordination Test level was 35.87% at the end of October 2010
and the test is passing since the test threshold is 22.25%.

(3) NAV

The NAV per share improved from 0.77 EUR in September 2009 to 0.90
EUR as of March 2010, as compared to approximately 1 EUR at
closing.

(4) Liquidity Position

By nature, private-equity investors commit capital that will be
drawn in the future.  The liquidity available is constituted of
the cash outstanding, the future distributions and the additional
protection provided by the liquidity facility.  This funds expense
payments and draw-downs to private-equity investors.  The current
modeling assumes that undrawn commitments will be fully drawn.
The presence of a liquidity facility renders the risk of a default
on an interest payment remote.

Moody's received and took into account a third party due diligence
report on the underlying assets or financial instruments in this
transaction and the due diligence report had a neutral impact on
the rating.


* UNITED KINGDOM: Begbies Traynor Sees More Insolvencies in 2011
----------------------------------------------------------------
The Press Association reports that insolvency specialist Begbies
Traynor expects more insolvencies in 2011 as the Government's
Budget cuts start to bite.

Begbies Traynor said that the number of companies falling into
administration remained lower than expected in the fourth quarter
of the year because of temporary Government support initiatives
and the lenience of creditors, The Press Association discloses.

The Press Association says that government statistics recently
showed the number of UK insolvencies in the third quarter of 2010
was 18% lower than the same period the previous year.

Begbies Traynor issued a profit warning after a decline in the
number of companies hitting the wall, according to The Press
Association.


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


* EUROPE: Governments Can't Depend on ECB Rescue
------------------------------------------------
Jurjen van de Pol at Bloomberg News reports that European Central
Bank Governing Council member Nout Wellink said it is not the
central bank's task to rescue euro-area countries with funding
problems.

"It's not up to the ECB to save countries where governments run
the risk of becoming insolvent," Mr. Wellink, who also heads the
Dutch central bank, said at a panel discussion in Amsterdam on
Monday, according to Bloomberg.  "We are not here to take over, on
our balance sheet, the risks of the national economies of Europe."

Bloomberg says the Frankfurt-based ECB wants governments to take
the lead in quelling the turmoil that threatens to spread to other
countries from Ireland and Greece.

Bloomberg relates last week that the central bank snapped up
Portuguese and Irish bonds after ECB President Jean-Claude Trichet
assured investors that policy makers will delay the withdrawal of
emergency liquidity.

According to Bloomberg, Mr. Wellink said Monday he's "not in
favor" of a joint euro-area bond because it would weaken the
financial system as it is "a hidden way of burden sharing."

German Chancellor Angela Merkel, who heads Europe's largest
economy, also rejects the common bonds and reiterated in Berlin
that she opposes adding to the rescue fund for indebted nations,
Bloomberg discloses.


                            *********

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

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

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

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


                            *********


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

Troubled Company Reporter-Europe is a daily newsletter co-
published by Bankruptcy Creditors' Service, Inc., Fairless Hills,
Pennsylvania, USA, and Beard Group, Inc., Frederick, Maryland USA.
Valerie U. Pascual, Marites O. Claro, Rousel Elaine T. Fernandez,
Joy A. Agravante, Ivy B. Magdadaro, 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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Information contained herein is obtained from sources believed to
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                 * * * End of Transmission * * *