TCREUR_Public/101220.mbx         T R O U B L E D   C O M P A N Y   R E P O R T E R

                           E U R O P E

           Monday, December 20, 2010, Vol. 11, No. 250

                            Headlines



A U S T R I A

A-TEC INDUSTRIES: Creditors Register EUR750 Million Claims
A-TEC INDUSTRIES: Improves Quota for Creditor Recovery to 38%


B E L G I U M

BRINK'S CO: Belgian Unit May File for Bankruptcy
SAZKA AS: Begins Talks with Bondholders on Debt Restructuring


D E N M A R K

TCD AS: S&P Raises Long-Term Corporate Credit Rating from 'BB'


F I N L A N D

STORA ENSO: S&P Gives Positive Outlook; Affirms 'BB' Rating
UPM-KYMMENE CORP: S&P Affirms BB Long-Term Corporate Credit Rating


F R A N C E

ALCATEL-LUCENT: Moody's Assigns 'B1' Rating to Senior Notes


G E R M A N Y

CONERGY AG: Deal with Creditors to Cut Debt by EUR188 Million
LANTIQ DEUTSCHLAND: Moody's Assigns 'B2' Rating to Senior Loan
* IRELAND: ECB, BoE Set Up Temporary Swap Line to Support Banks


L U X E M B O U R G

MILLICOM INTERNATIONAL: Moody's Lifts Corp. Family Rating to 'Ba1'


N E T H E R L A N D S

FAXTOR 2004-1: Moody's Raises Ratings on Class S Notes from 'Ba1'
KPNQWEST NV: 2002 Bankruptcy Probe Must Be Ended, Dutch Court Says


R U S S I A

ELEMENT LEASING: S&P Affirms 'B-' LT Counterparty Credit Rating


S P A I N

ABENGOA FINANCE: Moody's Assigns 'Ba3' Rating to Senior Notes
HIPOCAT 9: Moody's Lowers Rating on EUR16MM Notes to 'C (sf)'
HIPOCAT 10: Moody's Lowers Rating on EUR54.8MM B Notes to B1 (sf)


S W I T Z E R L A N D

SWISS LIFE: Fitch Affirms Subordinated Debt Rating at 'BB'


U K R A I N E

* Fitch Junks Ukraine's City of Odessa's Long-term Ratings


U N I T E D   K I N G D O M

ALLIANCE REMOVALS: O-license License Revoke Due to Liquidation
ASHTEAD GROUP: S&P Gives Stable Outlook; Affirms 'BB-' Rating
BRITISH AIRWAYS: S&P Gives Stable Outlook; Affirms 'BB-' Rating
CASTLEMORE SECURITIES: Salmon Harvester Buys 2 Glass Wharf Scheme
CITY GREENWICH: Fitch Downgrades Ratings on Senior Bonds to 'BB+'

DOCKGATE 20 MOTORCYCLES: Goes Into Administration, 16 Jobs Axed
DUNDEE FOOTBALL CLUB: Fails to Overturn 25-Point Deduction
FINDUS GROUP: Averts Debt Breach Following Deal with Lenders
G&S FRUIT: Saved From Collapse Following Management Buyout
KENNEDY GROUP: Coleraine Property Goes Into Administration

MSOLS LIMITED: High Court Orders Liquidation Due to Insolvency
NORTHERN ROCK: Fitch Affirms 'B' Ratings on Tier One Notes
NORTHERN ROCK: S&P Raises Rating on Tier One Notes to 'B'
ROADCHEF FINANCE: Fitch Affirms 'B+' Rating on Class A2 Notes


X X X X X X X X


* EUROPE: EU Leaders Agree to Amend Treaties to Set Up Crisis Tool
* BOND PRICING: For the Week December 13 to December 17, 2010


                            *********


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


A-TEC INDUSTRIES: Creditors Register EUR750 Million Claims
----------------------------------------------------------
Zoe Schneeweiss at Bloomberg News reports that Austria Press
Agency, citing Hans-Georg Kantner, who is a representative of
credit protection association Kreditschutzverband von 1870, said
creditors of A-Tec Industries AG have registered EUR750 million
(US$994 million) of claims.  Mr. Kantner is the spokesman of the
company's creditor committee.

According to Bloomberg, APA said EUR200 million of the claims are
senior claims, and EUR550 million are contingent claims.  The
newswire said A-Tec convertible bonds of EUR200 million are
included in the contingent claims, Bloomberg notes.

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

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


A-TEC INDUSTRIES: Improves Quota for Creditor Recovery to 38%
-------------------------------------------------------------
Zoe Schneeweiss at Bloomberg News, citing Wirtschaftsblatt,
reports that A-Tec Industries AG's reorganization administrator,
Norbert Abel, has presented the creditor committee with an
improved quota of 38%.

According to Bloomberg, the Vienna-based newspaper, citing
unidentified "insiders," said A-Tec is offering to pay creditors
the minimum quota of 30% and two "super quotas" over the next two
years, which will be paid by selling a 25.1% stake in A-Tec, which
founder and Chief Executive Officer Mirko Kovats is handing over.
This in total should amount to creditors getting 38% of what they
are owed, Bloomberg says.

Wirtschaftsblatt, as cited by Bloomberg, said the administrator in
a 105-page report to the insolvency court has suggested further
negotiations to improve the quota to as much as 40%.

The paper said that Mr. Kovats is offering to leave, Bloomberg
notes.

Separately, Bloomberg News' Ms. Schneeweiss reports Die Presse
newspaper, citing a valuation by Deloitte, which was discussed by
the A-Tec's creditor committee on Thursday, said a breakup of the
company would improve the quota for creditors to 36% from 30%.

According to Bloomberg, the Vienna-based newspaper said a sale of
the Emco tool-making unit and Brixlegg copper division would
generate about EUR200 million (US$265 million).

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

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


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B E L G I U M
=============


BRINK'S CO: Belgian Unit May File for Bankruptcy
------------------------------------------------
John Martens at Bloomberg News, citing Belga news agency, reports
that the court-appointed administrators of Brink's Co.'s Belgian
unit may seek a bankruptcy to lower the cost for potential buyers.

According to Bloomberg, administrator Alain Zenner hasn't received
any formal or conditional offers for the Belgian business so far
and would file for bankruptcy as soon as a potential buyer agrees
to take over the workforce after the bankruptcy.

As reported by the Troubled Company Reporter-Europe on Nov. 15,
2010, Bloomberg News, citing Flemish public broadcaster VRT, said
that Brink's exited the cash handling market in Belgium.

Brink's Co.'s Belgian unit that provides armored cars to transport
cash Brink's is a security and protection company headquartered in
Richmond, Virginia, United States.


SAZKA AS: Begins Talks with Bondholders on Debt Restructuring
-------------------------------------------------------------
Lenka Ponikelska at Bloomberg News reports that Sazka AS said it
started talks with bondholders on debt restructuring.

Bloomberg relates that Sazka on Friday said in a letter published
on the Czech National Bank Web site that the company is unable to
meet interest payments to bondholders in full.

According to Bloomberg, Hospodarske Noviny, citing Sazka, reported
on Friday that the company will pay only EUR4 million (US$5.3
million) to creditors on Jan. 12 compared with the EUR13.2 million
payment due.

Sazka AS is a provider of lotteries and sport betting games in the
Czech Republic.


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D E N M A R K
=============


TCD AS: S&P Raises Long-Term Corporate Credit Rating from 'BB'
--------------------------------------------------------------
Standard & Poor's Ratings Services said it raised its long-term
corporate credit ratings on Danish telecommunications operator TDC
A/S and its immediate parent NTC S.A. to 'BBB' from 'BB'.  In
addition, the short-term rating on TDC was raised to 'A-2' from
'B'.  The outlook is stable.

At the same time, the issue ratings on TDC's senior secured
facilities were raised to 'BBB' from 'BBB-', the issue ratings on
TDC's Euro Medium-Term Notes due 2012 and 2015 to 'BBB-' from
'BB', and the issue ratings on NTC's subordinated notes due 2016
were raised to 'BBB' from 'BB'.  S&P also withdrew its recovery
ratings on all of these debt instruments.

S&P removed all the ratings from CreditWatch, where they were
placed with positive implications on Sept. 20, 2010.

At the expected redemption date of the subordinated notes on Dec.
27, 2010, S&P expects to withdraw the ratings on these instruments
and on the issuer NTC.

"The upgrades reflect the significant improvement of TDC's credit
metrics and the implementation of what S&P views as a transparent
and moderate financial policy," said Standard & Poor's credit
analyst Matthias Raab.  "They also reflect the considerable
reduction of the shareholding of the group's private-equity owners
following the disposal of its Swiss subsidiary Sunrise on Oct. 28,
2010, and successful secondary offering of shares by NTC to Danish
and international institutional investors on Dec. 9."

As of Dec. 13, 2010, NTC's ownership stake in TDC was 55% (if the
over-allotment option is exercised in full), down from 88% before
the secondary offering.

Pro forma the disposal of Sunrise, the redemption of DKK8.2
billion of senior secured facilities on Nov. 12, and the full
redemption of NTC's subordinated notes (DKK10.8 billion
outstanding as of Sept. 30, 2010) on Dec. 13, 2010, S&P calculate
that as of Sept. 30, 2010, TDC's ratio of adjusted net debt to
last-12-months' EBITDA was about 2.9x (2.2x according to TDC's
calculations, which exclude special items, notably restructuring
costs, operating leases, asset retirement, and pension
obligations).  This figure represents an improvement from 4.1x as
of June 30, 2010.  In its base-case assessment, S&P expects TDC's
leverage ratio to decline to 2.6x in 2011, primarily due to lower
restructuring costs and, to a lesser extent, further modest EBITDA
margin improvements and minimal revenue growth.  In the first nine
months of 2010, TDC reported 0.2% year-on-year revenue growth from
continuing operations and a 0.9 percentage point increase of its
EBITDA margin before special items to 41.1%.

TDC has announced a leverage and ratings policy under which it
aims to achieve a net-debt-to-EBITDA ratio of 2.1x or lower and to
maintain credit metrics consistent with a 'BBB' (investment grade)
rating.

The ratings on TDC also reflect the group's position as the
leading operator in the Danish telecom market, its strong record
of improving operating efficiencies, solid capitalization, and
good free cash flow generation.  These factors are partly offset
by S&P's view of limited revenue growth in the mature and
competitive Danish market.  In addition, TDC's private-equity
sponsors still have a significant influence over the group's
financial policy, in S&P's view, and the company has no track
record of maintaining its financial policy during times of
operational stress or distressed financial markets.  Furthermore,
S&P expects TDC to generate only modest discretionary cash flow
after dividends in the medium term because its equity free cash
flow definition excludes restructuring costs.

The issue ratings on the EMTNs remain one notch below the
corporate credit rating to reflect the lower priority ranking of
the EMTN holders compared with the lenders of the senior secured
facility.  This is because of the contractual subordination of the
EMTNs to the senior secured facilities and the structural
subordination of the EMTNs to other unsecured liabilities at the
group's operating subsidiaries.  S&P currently calculate that
priority liabilities ranking ahead of the EMTNs are well in excess
of 20% of total assets, a key threshold under Standard & Poor's
rating criteria.

"The outlook is stable because S&P expects that TDC should be able
to sustain its revenue base amid tough competitive and moderate
regulatory pressures and--pro forma the disposal of Sunrise--at
least maintain its current EBITDA margin before special items of
41.1% and solid free cash generation," said Mr. Raab.


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F I N L A N D
=============


STORA ENSO: S&P Gives Positive Outlook; Affirms 'BB' Rating
-----------------------------------------------------------
Standard & Poor's Ratings Services said that it had revised its
outlook on Finland-based forest products company Stora Enso Oyj to
positive from negative.  At the same time, S&P affirmed all of its
credit ratings on Stora Enso, including the 'BB' long-term
corporate credit rating.

"The outlook revision reflects Stora Enso's significantly improved
operating cash flows and credit measures, as a result of improved
market conditions, cost saving efforts, and low spending levels,"
said Standard & Poor's credit analyst Alf Stenqvist.

Following a severe drop in demand for European forest products in
2009 and materially lower prices, including price decreases in
newsprint and magazine papers at the beginning of 2010, market
conditions in the industry have gradually improved during 2010.  A
recovery in demand and increased pulp prices have supported a
gradual recovery in paper and board prices.  Although S&P believes
that the industry will remain cyclical, the near-term industry
outlook is generally favorable, with average prices in many
segments likely to be higher in 2011 than 2010.

Stora Enso's improved operating cash flows in 2010 primarily
reflect improved demand for essentially all its business
operations, and price increases in all businesses except magazine
paper and newsprint (where prices have decreased).  In addition,
internal cost savings measures have mitigated cost inflation.  For
the first nine months of 2010, sales increased by about 16%
compared with the corresponding period in 2009, and the reported
EBITDA margin increased to 12% from 9%.

The ratings on Stora Enso reflect S&P's view of the group's fair
business risk and significant financial risk profiles.

The fair business risk profile is based on the group's exposure to
the highly competitive, commoditized, and cyclical forest product
industry (especially graphic paper), and its relatively weak,
albeit improving, profitability.  These negative factors are
balanced by strong positions in the relatively stable and less
export-dependent packaging segments, significant pulp and energy
integration including low-cost South American assets, and broad
product and geographic diversification.

The group's significant financial risk profile is based on its
cyclical and generally weak operating cash flow generation, which
is offset by a balanced capital structure with modest debt
leverage, and strong liquidity.

The positive outlook reflects Stora Enso's improved operating
performance, cash flows and credit measures, which if sustained
could lead to a higher rating within the next year.


UPM-KYMMENE CORP: S&P Affirms BB Long-Term Corporate Credit Rating
------------------------------------------------------------------
Standard & Poor's Ratings Services said it affirmed its 'BB' long-
term and 'B' short-term corporate credit ratings on Finland-based
forest products company UPM-Kymmene Corp., as well as the 'BB'
long-term issue ratings on UPM-Kymmene's debt.  At the same time,
the long-term ratings were removed from CreditWatch, where they
were placed with negative implications on Sept. 29, 2010.  The
outlook is stable.

"The rating actions reflect UPM-Kymmene's improved operating cash
flows and credit measures, which in S&P's opinion have reduced the
downward pressure on the ratings from potential expansionary
investments in the near term, including a possible transaction
with the Finland-based publication paper company, Myllykoski
Group," said Standard & Poor's credit analyst Alf Stenqvist.

After a severe drop in demand for European forest products in 2009
and materially lower prices, market conditions in the industry
have improved.  UPM-Kymmene's cash flows and credit measures have
gradually recovered in 2010.  This, in S&P's view, reflects
improved demand, increased contributions from the group's pulp and
forest plant operations in Uruguay, and low investment spending,
which have offset the negative impact of lower publication paper
prices.

For the first nine months of 2010, UPM-Kymmene's reported EBITDA
margin increased to 15.6% from 12.5% for the corresponding period
in 2009.  The ratio of adjusted funds from operations to debt and
adjusted debt to EBITDA improved to about 26% and 3.2x
respectively for the 12 months ended Sept. 30, 2010, compared with
16.5% and 4.2x respectively for the full year 2009.  FFO to debt
for 2009 would be about 18% pro forma the inclusion of the Uruguay
operations, which the group gained full control of in December
2009.

On Sept. 29, 2010, S&P placed its long-term ratings on UPM-Kymmene
on CreditWatch with negative implications, owing to its view that
a potential acquisition of the Myllykoski Group could hamper UPM-
Kymmene's financial risk profile.  There is no certainty that such
a transaction would take place and details are not available.  S&P
believe, however, that the improvement of UPM-Kymmene's operating
performance and cash flows during 2010 and the favorable near-term
industry outlook should mitigate pressure on free cash flow and
debt levels from a potential acquisition in the near term and
allow for credit measures in line with the existing ratings.  S&P
would consider adjusted FFO of about 20% and adjusted debt to
EBITDA of about 3.5x to be commensurate with the ratings.

The ratings on UPM-Kymmene reflect S&P's view of the company's
"fair" business risk profile and "significant" financial risk
profile.  The business risk profile is supported by a cost
position and margins that are better than the industry average,
high levels of internally generated energy and pulp production,
and a diverse portfolio of forest products.  These benefits are,
however, offset by exposure to the cyclical pulp and paper
industry, which faces oversupply, and by a structural decline in
demand for graphic paper, which is putting pressure on prices.
UPM-Kymmene's financial risk profile reflects S&P's view of the
group's adequate debt leverage and cash flow generation for the
ratings, as well as strong liquidity.

"The outlook is stable because S&P expects that favorable market
conditions would support a further improvement of UPM-Kymmene's
funds from operations in the near term, which should provide a
cushion against potential pressure on free cash flows and debt
levels from expansionary investments or acquisitions," said
Mr. Stenqvist.  "S&P expects the group's near-term credit measures
to be well in line with its benchmarks for the ratings, such as
adjusted funds from operations to debt of about 20% and adjusted
debt to EBITDA of about 3.5x on average."


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F R A N C E
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ALCATEL-LUCENT: Moody's Assigns 'B1' Rating to Senior Notes
-----------------------------------------------------------
Moody's Investors Service has assigned a B1 (LGD3, 47%) rating to
the EUR500 million 8.5% senior notes due 2016 issued by Alcatel-
Lucent.  The final terms of the notes are in line with the drafts
reviewed for the provisional (P)B1 rating of the notes.

Issuer: Alcatel-Lucent

Assignments:

  -- Senior Unsecured Regular Bond/Debenture, Assigned B1

                        Ratings Rationale

Headquartered in Paris, France, Alcatel-Lucent is one of the world
leaders in providing advanced solutions for telecommunications
systems and equipment to service providers, enterprises and
governments.  The company achieved sales of EUR11.1 billion in the
first nine months of 2010.


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


CONERGY AG: Deal with Creditors to Cut Debt by EUR188 Million
-------------------------------------------------------------
Conergy AG on Friday agreed on a comprehensive, long-term
refinancing concept with its creditors.  The planned measures are
intended to markedly reduce Conergy's debt and significantly
strengthen the company's equity capital.

Under the agreement, Conergy's debt will be reduced by EUR188
million.  Subject to the approval of the general meeting, the
company plans to conduct a simplified reduction of capital stock
from just under EUR400 million to about EUR50 million and a
subsequent capital increase of up to EUR188 million with
subscription rights for shareholders.  Insofar as these
subscription rights are exercised, Conergy will use the proceeds
to reduce its existing lines of credit by a corresponding amount.
If the subscription rights are not exercised, several creditors
have pledged to contribute their loan receivables from Conergy as
a non-cash contribution up to a nominal amount of EUR188 million,
which for this purpose should be set at 60% of their nominal
value, in exchange for shares.  In both cases, Conergy's debt will
be reduced.  This will allow for a reduction of the credit
facility to EUR135 million (excluding guarantee lines) from
currently EUR323 million.  The new credit lines with a term of
four years will be provided by the remaining members of the
existing banking consortium at market terms.

These measures are subject to a number of standard terms and
conditions, such as the provision of binding information by the
responsible financial authority and municipalities, the receipt of
expert opinions on the restructuring and the non-cash contribution
as well as a partial reduction of the existing guarantee lines.

Conergy AG -- http://www.conergy.com/-- is a Hamburg, Germany-
based global manufacturer of products for the solar power
generation, operating in two business segments: Conergy PV and
EPURON.  The Conergy PV segment is divided into two divisions:
Components, developing and manufacturing system components, such
as solar cells, solar modules, module frames and electronic
components, and Sales & Systems, distributing the products to
wholesalers, installers and final customers.  The activities of
EPURON segment encompass project development and structured
financing in the field of renewable energies, through a number of
subsidiaries.  EPURON develops, finances and implements solar
farms, as well as solar thermal power plants and bioenergy
systems, mainly for institutional investors.  It has
representatives in 16 countries.  As of December 31, 2009, the
Company had 347 subsidiaries.


LANTIQ DEUTSCHLAND: Moody's Assigns 'B2' Rating to Senior Loan
--------------------------------------------------------------
Moody's Investors Service has assigned B2 ratings to the US$190
million senior secured term loan and the US$20 million revolving
credit facility of Lantiq, both maturing in November 2015.  The
final terms of the facilities are in line with the drafts reviewed
for the provisional (P)B2 rating of the loans.

Issuer: Lantiq Deutschland GmbH,

Assignments:

  -- Senior Secured Bank Credit Facility, Assigned B2

                        Ratings Rationale

Lantiq Deutschland GmbH, headquartered in Neubiberg (Munich,
Germany), is a leading designer of communications semiconductors
deployed by major carriers in traditional voice and broadband
access networks around the world.  The Lantiq group company has an
operating history of almost 25 years and employs around 1,000
employees worldwide (mostly chip designers).  Headquartered in
Neubiberg (Munich, Germany), Lantiq generated around US$450
million worth of revenues in fiscal year ending September 30,
2009.


* IRELAND: ECB, BoE Set Up Temporary Swap Line to Support Banks
---------------------------------------------------------------
Christian Vits and Joe Brennan at Bloomberg News reports that the
European Central Bank and Bank of England set up a temporary swap
line to help ease liquidity strains at Ireland's lenders in case
the sovereign-debt crisis intensifies.

Bloomberg relates that the Frankfurt-based central bank said in a
statement on Friday the Bank of England could provide up to GBP10
billion (US$15.5 billion) to the ECB in exchange for euros if
needed.  According to Bloomberg, the facility will allow funds to
be made available to the central bank in Ireland, whose four
largest lenders have U.K. units.

Irish banks have been relying increasingly on funding from central
banks amid an outflow of deposits and as wholesale funding markets
remain volatile, Bloomberg notes.

The ECB, as cited by Bloomberg, said this is a "precautionary
measure for the purpose of meeting any temporary liquidity needs
of the banking system" in Ireland in pounds.  The agreement
expires at the end of September 2011, Bloomberg states.


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


MILLICOM INTERNATIONAL: Moody's Lifts Corp. Family Rating to 'Ba1'
------------------------------------------------------------------
Moody's Investors Service has upgraded to Ba1 from Ba2 the
corporate family rating of Millicom International Cellular S.A.
The rating outlook is stable.

                        Ratings Rationale

The upgrade reflects: (i) Millicom's strong operating performance
and sustained market positions across regions; (ii) its improving
cash flow generation, with positive cash flow contribution from
Africa and (iii) expectation that the group will maintain its
strong financial metrics.

The Ba1 CFR also incorporates: (i) the risks inherent to the
countries in which Millicom operates; (ii) the increasing
competition in Millicom's markets; and (iii) the company's active
shareholder remuneration policy in the form of regular dividends
and share buybacks.

In the first nine months of 2010, Millicom's increasing subscriber
base partly offset the decline in the company's average revenue
per user.  The company managed to broadly maintain market share
across regions in this period, with revenue growth in excess of
16% -- to US$2.9 billion -- and an EBITDA margin well above 40% in
the period.  Millicom expects to maintain operating free cash
flows (as defined by the company) at 20% of revenues in 2010,
whilst the company continues to actively invest in network
coverage and capacity.

As at September 30, 2010, Millicom's reported financial leverage
was at 0.7x net debt to EBITDA.  Moody's understands the company
intends to maintain leverage within a 1.0x to 2.0x range.  The
rating agency notes that for the full-year 2010, Millicom will
have returned approximately US$1 billion to its shareholders in
the form of: (i) a regular dividend of approximately US$250
million; (ii) an extraordinary dividend of around US$500 million;
and (iii) the expected completion of a share buyback program of up
to US$300 million.  The Ba1 CFR incorporates Moody's expectation
that Millicom will continue to distribute dividends according to
its publicly stated payout ratio of 25-50% and could also continue
to use share buybacks going forward.

Following Millicom's early redemption on December 1, 2010, of the
US$460 million senior notes due 2013 and completion of its share
buyback program, the company expects to hold approximately
US$1 billion in cash at group level at year end.  Even in the
absence of parent company debt, Moody's continues to view as an
important rating consideration the maintenance of a solid
liquidity position at the parent level, given that it guarantees a
substantial amount of subsidiary debt.

Whilst Millicom's rating is impacted by its geography of
operations, the spread of operations provides the company with
some diversification to mitigate country risk.

The stable outlook reflects Moody's expectation that Millicom will
continue to grow revenue and EBITDA consistently, whilst
maintaining (i) a low level of leverage; (ii) balanced shareholder
distributions; (iii) a strong liquidity profile at the parent
level; and (iv) prudent management of financial risk and covenant
headroom at material operations.

Positive pressure on the rating could develop if: (i) Millicom's
EBITDA margin remains consistently above 40%; (ii) the company's
leverage, as adjusted by Moody's, is sustainably managed at around
1.5x; (iii) its free cash flow/debt ratio improves to above 15%;
and (iv) the company retains a minimum liquidity of US$500
million, the majority of which would be kept at the holding
company.  In addition, an upgrade would require: (i) an
appropriate balance of risk across the countries in which Millicom
operates; (ii) the maintenance of a good level of geographical
diversification of cash flows; and (iii) a proven track record
with regard to the company's new financial policy, including
dividends and share buybacks.

Downward pressure on the rating could develop as a result of: (i)
leverage that is sustainably above 2.0x following a deterioration
in Millicom's operating performance; (ii) a material debt-funded
acquisition; (iii) higher-than-anticipated shareholder
remuneration; or (iv) a combination of the above.  Any visible
increase in risk in any of the countries in which Millicom
operates or in the company's liquidity profile could also exert
pressure on the rating.

Moody's previous rating action on Millicom was implemented on
December 23, 2009, when the rating agency affirmed the company's
(i) Ba2 CFR and probability-of-default rating; and (ii) B1 rating
on its US$460 million worth of senior notes.  Concurrently,
Moody's changed the outlook on the ratings to positive from
stable.

Millicom is a mobile operator present in 14 countries across Latin
America and Africa.  The company generated US$2.9 billion in
revenues and US$1.3 billion in EBITDA in the first nine months of
2010.


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


FAXTOR 2004-1: Moody's Raises Ratings on Class S Notes from 'Ba1'
-----------------------------------------------------------------
Moody's Investors Service has upgraded the rating of one class of
notes issued by Faxtor 2004-1.  The class of notes affected by the
rating action is:

Issuer: FAXTOR ABS 2004-1 B.V.

  -- EUR8M Class S Combination Notes Notes, Upgraded to Baa2 (sf);
     previously on Apr 23, 2009 Confirmed at Ba1 (sf)

FAXTOR ABS 2004-1 B.V. is a cash flow collateralized debt
obligation backed by a portfolio of Euro denominated mezzanine
asset backed securities.

                        Ratings Rationale

The rating upgrade action of the Combo notes reflects these:

(i) the distributions received to date including scheduled
interest to the Class BE Notes and Class C Equity Notes and the
significant residual interest paid to the Class C equity notes and

(ii) the additional credit enhancement to the transaction as a
result of the partial redemption of the Class A-1 notes at a
discount earlier this year.

The Class S Combination Notes are comprised of 45.8% of the
original outstanding Class BE notes and 14.3% of the original
outstanding Class C (Equity) notes.  The ratings on the Class S
Combination Notes address the ultimate repayment of the "Rated
Balance" through either interest or principal payments, the Rated
Balance being equal to the initial notional minus any amounts paid
to the Combo notes.  Since closing, a total of approximately
EUR3.9M has been distributed to the Combo noteholders, which is
almost 50% of the original outstanding amount.

Since the beginning of the year, 4.6% of the portfolio was
downgraded by between 1-10 notches and 4% of the pool is currently
under review for possible downgrade.  Only 1.9% of the pool was
upgraded during this period.  Whilst the portfolio suffered some
minor credit deterioration, the transaction is performing
relatively well with all coverage tests passing comfortably and
the equity investors continue to receive residual interest since
2005.

Moody's performed a number of sensitivity analyses in addition to
the standard notching assumption applied to assets under review
for possible downgrade.  Moody's considered negative sensitivity
runs including the assumption that assets under review for
downgrade are downgraded by an additional 2 notches in addition to
the standard notching assumption.  Other analysis also included
downgrading all B1 assets and below to Ca.  The model results for
the Combo notes worsened by between 1-2 notches compared to the
standard assumption but were nevertheless still better than the
current rating.

Moody's Investors Service applied the Monte Carlo simulation
framework within CDOROM to generate default and recovery scenarios
for each asset in the portfolio and then a cash-flow model in
order to compute the associated loss to each tranche in the
structure.  The cash flow model used for this transaction, whose
description can be found in the methodology listed above, is
Moody's EMEA Cash-Flow model.

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

Moody's did not run a separate loss and cash flow analysis other
than the one already done using the CDOROM model.


KPNQWEST NV: 2002 Bankruptcy Probe Must Be Ended, Dutch Court Says
------------------------------------------------------------------
Martijn van der Starre at Bloomberg News reports that the Dutch
Supreme Court said a probe into KPNQwest NV's 2002 bankruptcy must
be ended, allowing a settlement between the firm's parent
companies, Qwest Communications International Inc. and Royal KPN
NV, and investors to be completed.

Bloomberg relates that Willem van Schendel, a spokesman for the
Supreme Court in The Hague, on Friday said the probe by court-
appointed investigators into mismanagement at KPNQwest will be
closed.  Mr. van Schendel, as cited by Bloomberg, said the ruling
overturns a decision by the Amsterdam Court of Appeal's Enterprise
Chamber.

Dutch shareholder group VEB, representing about 5,500 investors,
had agreed to complete a EUR19 million (US$25 million) settlement,
once the inquiry it had sought was dropped, Bloomberg disclosed.
Mr. Slagter said the settlement ends an eight-year-old fight over
compensation for losses suffered because of the bankruptcy,
Bloomberg notes.

According to Bloomberg, Marcel Windt, one of KPNQwest's
administrators at law firm Houthoff Buruma, said the separate
court-appointed administrators will continue with a civil lawsuit
filed against Denver-based Qwest, The Hague-based KPN and 12
executives.

As reported by the Troubled Company Reporter-Europe on Oct. 1,
2010, Bloomberg News said that Qwest, KPN and 12 executives were
sued by KPNQwest's administrators over the company's 2002
bankruptcy and EUR4.2 billion (US$5.7 billion) of unpaid debt.
Bloomberg disclosed KPNQwest was declared bankrupt in 2002 after
building a 60-city phone and Internet network just before prices
for telecommunications services collapsed.  The administrators, as
cited by Bloomberg, said the company didn't change strategy and
tripled its investments in the network, even though market prices
had fallen by as much as 80% by 1999, the year KPNQwest was
founded.

Hoofddorp, Netherlands-based KPNQwest NV is a joint venture of
Royal KPN NV and Qwest Communications International Inc.


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


ELEMENT LEASING: S&P Affirms 'B-' LT Counterparty Credit Rating
---------------------------------------------------------------
Standard & Poor's Ratings Services said that it had affirmed its
'B-' long-term and 'C' short-term counterparty credit ratings and
its 'ruBBB-' Russia national scale rating on Russia-based Element
Leasing LLC.  At the same time S&P revised the outlook to stable
from negative.

"The outlook revision reflects S&P's view that Element Leasing has
managed to stabilize its weak asset quality while improving its
funding and liquidity profile, thus enabling the company to fund
existing business and reasonably grow its leasing portfolio," said
Standard & Poor's credit analyst Victor Nikolskiy.  "This should
help it to improve cash flow and profitability in the medium
term."

The ratings on Element Leasing continue to reflect the company's
weak asset quality and profitability.  In addition, its
concentrated and confidence-sensitive funding profile and
specialized business nature make it more vulnerable to economic
and market swings.  Positive rating factors include Element
Leasing's adequate capitalization and strong business links to its
direct owner Basic Element Group (not rated), one of Russia's
largest financial and industrial groups.

The outlook reflects S&P's view that Element Leasing has managed
to stabilize its weak asset quality while improving its funding
and liquidity profile, thus enabling the company to fund existing
business and reasonably grow its leasing portfolio.  This should
help it to improve cash flow and profitability in the medium term.

"S&P would consider positive rating actions if asset quality were
to improve significantly and the liquidity profile to strengthen
and be less concentrated while capitalization remained at an
adequate level," added Mr. Nikolskiy.

S&P could consider negative rating actions if funding conditions
worsened, or if profitability and asset quality were to
deteriorate more than S&P expect.


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


ABENGOA FINANCE: Moody's Assigns 'Ba3' Rating to Senior Notes
-------------------------------------------------------------
Moody's Investors Service has assigned a Ba3 (LGD3, 47%) rating to
the US$650 million 8.875% senior notes due 2017 that have been
issued by Abengoa Finance, S.A.U. and guaranteed by Abengoa S.A.
and certain of its subsidiaries.  The final terms of the notes are
in line with the drafts reviewed for the provisional (P)Ba3 rating
of the notes.

Issuer: Abengoa Finance, S.A.U.

Assignments:

  -- Senior Unsecured Regular Bond/Debenture, Assigned Ba3

                        Ratings Rationale

Abengoa S.A. is a vertically integrated environment and energy
group whose activities span from biofuels, metal recycling and
plant engineering to utility type operation of solar energy
plants, electricity transmission networks and water treatment
plants.  Headquartered in Seville, Spain, Abengoa generated
EUR4.1 billion revenues in the first nine months 2010.


HIPOCAT 9: Moody's Lowers Rating on EUR16MM Notes to 'C (sf)'
-------------------------------------------------------------
Moody's Investors Service has downgraded the ratings of the class
A3, A4 and B notes issued by Hipocat 10 and all notes issued in
Hipocat 9.  Moody's confirmed the ratings of the class A2 notes
issued by Hipocat 10.  A detailed list of the rating actions is
provided at the end of this press release.

The ratings of all notes in Hipocat 9 were placed on review for
possible downgrade in November 2009 given the deterioration in the
performance of pool collateral and economic environment in Spain.
Class A2 and B in Hipocat 10 were placed on review for possible
downgrade in August 2010 following errors with respect to defaults
reporting.

                        Ratings Rationale

The rating action concludes the review and takes into
consideration the worse-than-expected performance of the
collateral.  It also reflects Moody's negative sector outlook for
Spanish RMBS and the weakening of the macro-economic environment
in Spain, including high unemployment rates projected for 2010.

In summer 2010, Moody's noted that the share of written-off loans
had been understated in the investor reports of the Hipocat
series.  For this review, Moody's has received from Gestion de
Activos Titulizados final restated amounts of written-off loans as
reported in latest investor reports.

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

Portfolio Expected Loss:

Moody's has reassessed its lifetime loss expectation for Hipocat 9
and 10 taking into account the collateral performance to date as
well as the current macroeconomic environment in Spain.

Moody's had already taken action on the Hipocat 10 in April 2009
and December 2009.  But collateral performance has deteriorated
further and Hipocat 10 is currently performing outside of Moody's
expectations as of the last rating review.  Hipocat 9 is
performing worse than Moody's expectations as of closing.

Cumulative write-offs rose to 4.04% and 8.48% of original pool
balance in Hipocat 9 and 10 respectively, up from 2.9% and 5.9%
respectively a year earlier.  The share of 90d+ arrears almost
halved in the 12 months to October 2010, currently standing at
1.33% of current pool balance in Hipocat 9 and 2.64% in Hipocat
10.  The rapidly increasing levels of defaulted loans ultimately
resulted in draws to reserve fund in both transactions and build-
up in unpaid Principal Deficiencies Ledger in Hipocat 10 as of the
last payment date.

Moody's expects the portfolio credit performance to continue to be
under stress, as Spanish unemployment remains elevated.  Moody's
believe that the anticipated tightening of Spanish fiscal policies
is likely to weigh on the recovery in the Spanish labor market and
constraint further Spanish households finances.  Moody's has also
concerns over the timing and degree of future recoveries in a
weaker housing market.  On the basis of the rapid increase in
defaults in the transactions and Moody's negative sector outlook
for Spanish RMBS, Moody's have updated the portfolio expected loss
assumption to 2.9% of original pool balance in Hipocat 9 and 6.2%
in Hipocat 10, up from 0.96% and 4% respectively.

MILAN Aaa CE:

Moody's has assessed the loan-by-loan information for Hipocat 9
and Hipocat 10 to determine the MILAN Aaa CE.

Moody's has increased its MILAN Aaa CE assumptions for Hipocat 9
to 17%, up from 7.65% at closing.  Milan Aaa CE for Hipocat 10 was
increased to 20%, up from 17% as at last rating review.  The
increase in the MILAN Aaa CE reflects the high LTV features of the
securitized loan pool, high geographical concentration in
Catalonia and the relatively high concentration of loans
originated to new residents.

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

      High Write-Offs Associated to Out-Of-Court Settlements

The rapid increase in loan write-offs is to a large extent
attributed to the acceleration of delinquent loans into write-off
category, most specifically when the servicer resorts to out-of-
court settlement.  Caixa Catalunya has been actively avoiding
formal repossession procedures for the non-Spanish nationals and
unemployed in favor of one-to-one solutions.  Caixa Catalunya
resorted to "dacion en pago" or "compra-venta" to avoid delaying
inevitable possession and limit ultimate losses.  "Dacion en pago"
is a voluntary agreement whereby the borrower hands over the
possession of the property to the lender to clear the outstanding
mortgage debt.  "Compra-venta" is the sale of mortgage properties
to real estate companies.  Out-of-court settlement accounted to
between 60% and 70% of total write-offs in the Hipocat 9 and 10
pools as at September 2010.

Recoveries achieved on out-of-court property repossessions have
been relatively high compared to recoveries achieved via legal
repossessions so-far.  Moody's understand that Caixa Catalunya has
facilitated the sale of the acquired properties gone through
"dacion en pago" to real estate companies (owned by the lender) or
external investors via "compra-venta" (a cash acquisition with
property sale proceeds flowing back to the Fondos).  Recoveries on
the properties sold via "compra-venta" have reached an average
recovery rate of 85% in Hipocat 10 and 92% in Hipocat 9
(calculated as the total recoveries achieved via compra-venta
divided by total write-offs associated with out-of-court
settlement).  Recoveries on legal repossessions currently
represent between 45% and 55% of total amount going through legal
proceedings (calculated as the recoveries achieved though legal
repossessions divided by write-offs amount associated with legal
repossession).

                      Transactions Features

Hipocat 9 and Hipocat 10 closed in November 2005 and July 2006
respectively.  The transactions are backed by portfolios of first-
ranking mortgage loans originated by Caixa Catalunya, now part of
Caixa d'Estalvis de Catalunya, Manresa I Tarragona (A3/P-2) and
secured on residential properties located in Spain, for an overall
balance at closing of EUR1.5 billion and EUR1.0 billion,
respectively.  The new entity, Caixa d'Estalvis de Catalunya,
Manresa I Tarragona, is operative since July 1, 2010.  Moody's was
informed that the servicing of Caixa Catalunya's mortgage
portfolio will remain on Caixa Catalunya's servicing platform

Both deals consist of the securitization of the first drawdown of
Caixa Catalunya's flexible mortgage loan.  The product, named
"Credito Total" offers the possibility of withdrawing additional
funds up to the minimum of the original loan-to-value and 80% LTV.
All loans can enjoy payment holidays of interest and principal.
The pool concentration in Catalonia represented about 70% of both
pool balances at closing.  Currently, 23% of the portfolio balance
in Hipocat 10 and 14% in Hipocat 9 corresponds to loans granted to
non-Spanish nationals.  Only a limited share of the securitized
loans has been originated via broker, representing less than a 2%
in both pools.

Some features in the deals have changed since closing:

Hedging agreement: The transactions benefit from interest rate
swaps provided by CECA (Confederacion Espanola de Cajas de
Ahorros, Aa3/P-1).  Following its downgrade, Caixa Catalunya has
been replaced as swap counterparty by CECA, which is in line with
the requirements described in Moody's report titled "the Framework
for De-linking Hedge Counterparty Risks from Global Structured
Finance Cashflow Transactions."

Treasury Bank Accounts: For both transactions, collections are
paid to Caixa d'Estalvis de Catalunya, Tarragona i Manresa (A3/P-
2) and then transferred every 24 to 48 hours to the treasury
accounts.  The treasury accounts are held at Caja de Ahorros y
Pensiones de Barcelona (Aa2/P-1).

Paying Agent: Caixa d'Estalvis de Catalunya, Tarragona i Manresa
(A3/P2).  Caixa Catalunya was downgraded on June 15, 2009, from
A2/P-1 to A3/P-2.  Given Caixa Catalunya has been acting as paying
agent in the transaction since closing, it is contemplated in the
transaction documents that the gestora will need to find a P-1
rated replacement or guarantor upon the downgrade below P-1 of the
paying agent within 30 days.  Moody's understands that Caixa
Catalunya has identified eligible counterparty to act as paying
agent but no remedial action has yet been taken in that respect.

Reserve fund and Principal deficiency ledger: The rapidly
increasing levels of defaulted loans ultimately resulted in draws
to the reserve funds.  The reserve fund is currently fully
depleted in Hipocat 10 and is at 50% of target in Hipocat 9.  The
amortization of the mezzanine and junior notes is likely to remain
sequential as a consequence of this breach of pro-rata
amortization triggers.  Hipocat 10 has recorded EUR5.5 million of
unpaid PDL as at the last IPD.

Amortization of the senior notes to remain sequential in Hipocat
10: Class A4 has a planned amortization and, on any IPD, EUR12.5
million are deposited and retained in a dedicated account for the
repayment of this class which will be amortized with a bullet
payment at the legal maturity on April 2012.  A liquidity
facility, provided by Calyon Spanish branch, is in place to ensure
payment of this series at its maturity date.  A total of EUR125
million are currently retained in the Withholding Principal
Account held at Caja de Ahorros y Pensiones de Barcelona (Aa2/P-
1).  All remaining available funds in excess to the amount
retained to pay class A4 notes are applied to repay class A2 and
A3 notes.  These two classes do not follow a pro-rata
amortization, instead 50% of the available funds are used to
amortize A3 and 50% to amortize A2 (the outstanding A2 and A3
notes balances were respectively EUR367 million and EUR246.5
million as at October 2010).  Class A notes in Hipocat 10 is to
switch to pro rata subject to a performance trigger -- to be hit
if the outstanding balance of loans more than 90 days and less
than 18 months in arrears exceeds 25% of the initial pool balance.
Moody's considers this trigger very unlikely to be breached, as
the outstanding balance of loans more than 90 days is currently
1.37% of initial pool balance.  Moody's expects that Class A4 and
A3 will be redeemed before Class A2 which is reflected in the
different rating for Class A3/A4 and Class A2.

Insufficient Liquidity/Breach of Interest Defferral Trigger in
                            Hipocat 10

The reserve fund in Hipocat 10 is fully depleted and that no other
sources of liquidity are available in the deal.  Moody's believes
that the absence of liquidity in the transaction could impair the
ability of the issuer to make timely payment of interest on the
notes, particularly in case of a servicing transfer.  Moody's
considers that the risk of a missed payment of interest on the
class A3 and A4 of Hipocat 10 is not commensurate with a Aaa-
rating.  Moody's has therefore downgraded the rating for these
classes of notes.

Class C interests in Hipocat 10 were deferred on the interest
payment date falling on 26th July 2010, when cumulative write-offs
exceeded interest deferral trigger level of 7% of original pool
balance.  Under the revised expected loss assumption for Hipocat
10, the downgrade of class B in Hipocat 10 considers the very high
probability that interest will be deferred also for this class of
notes.  IDT level for the class B is set at 11% of original pool
balnce.

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

                     List of Rating Actions

Issuer: HIPOCAT 10 FONDO DE TITULIZACION DE ACTIVOS

  -- EUR733M A2 Notes, Confirmed at Aa2 (sf); previously on Aug
     11, 2010 Aa2 (sf) Placed Under Review for Possible Downgrade

  -- EUR300M A3 Notes, Downgraded to Aa1 (sf); previously on Jun
     5, 2009 Aaa (sf) Placed Under Review for Possible Downgrade

  -- EUR200M A4 Notes, Downgraded to Aa1 (sf); previously on Jun
     5, 2009 Aaa (sf) Placed Under Review for Possible Downgrade

  -- EUR54.8M B Notes, Downgraded to B1 (sf); previously on Aug
     11, 2010 Ba1 (sf) Placed Under Review for Possible Downgrade

Issuer: Hipocat 9 Fondo De Titulizacion De Activos

  -- EUR500M A2a Certificate, Downgraded to Aa1 (sf); previously
     on Nov 30, 2009 Aaa (sf) Placed Under Review for Possible
     Downgrade

  -- EUR236.2M A2b Certificate, Downgraded to Aa1 (sf); previously
     on Nov 30, 2009 Aaa (sf) Placed Under Review for Possible
     Downgrade

  -- EUR22M B Certificate, Downgraded to Aa3 (sf); previously on
     Nov 30, 2009 Aa2 (sf) Placed Under Review for Possible
     Downgrade

  -- EUR18.3M C Certificate, Downgraded to A3 (sf); previously on
     Nov 30, 2009 A2 (sf) Placed Under Review for Possible
     Downgrade

  -- EUR23.5M D Certificate, Downgraded to B1 (sf); previously on
     Nov 30, 2009 Baa3 (sf) Placed Under Review for Possible
     Downgrade

  -- EUR16M E Certificate, Downgraded to C (sf); previously on Nov
     30, 2009 Caa3 (sf) Placed Under Review for Possible Downgrade

Moody's adopts all necessary measures so that the information it
uses in assigning a credit rating is of sufficient quality and
from sources Moody's considers to be reliable including, when
appropriate, independent third-party sources.  However, Moody's is
not an auditor and cannot in every instance independently verify
or validate information received in the rating process.


HIPOCAT 10: Moody's Lowers Rating on EUR54.8MM B Notes to B1 (sf)
-----------------------------------------------------------------
Moody's Investors Service has downgraded the ratings of the class
A3, A4 and B notes issued by Hipocat 10 and all notes issued in
Hipocat 9.  Moody's confirmed the ratings of the class A2 notes
issued by Hipocat 10.  A detailed list of the rating actions is
provided at the end of this press release.

The ratings of all notes in Hipocat 9 were placed on review for
possible downgrade in November 2009 given the deterioration in the
performance of pool collateral and economic environment in Spain.
Class A2 and B in Hipocat 10 were placed on review for possible
downgrade in August 2010 following errors with respect to defaults
reporting.

                        Ratings Rationale

The rating action concludes the review and takes into
consideration the worse-than-expected performance of the
collateral.  It also reflects Moody's negative sector outlook for
Spanish RMBS and the weakening of the macro-economic environment
in Spain, including high unemployment rates projected for 2010.

In summer 2010, Moody's noted that the share of written-off loans
had been understated in the investor reports of the Hipocat
series.  For this review, Moody's has received from Gestion de
Activos Titulizados final restated amounts of written-off loans as
reported in latest investor reports.

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

Portfolio Expected Loss:

Moody's has reassessed its lifetime loss expectation for Hipocat 9
and 10 taking into account the collateral performance to date as
well as the current macroeconomic environment in Spain.

Moody's had already taken action on the Hipocat 10 in April 2009
and December 2009.  But collateral performance has deteriorated
further and Hipocat 10 is currently performing outside of Moody's
expectations as of the last rating review.  Hipocat 9 is
performing worse than Moody's expectations as of closing.

Cumulative write-offs rose to 4.04% and 8.48% of original pool
balance in Hipocat 9 and 10 respectively, up from 2.9% and 5.9%
respectively a year earlier.  The share of 90d+ arrears almost
halved in the 12 months to October 2010, currently standing at
1.33% of current pool balance in Hipocat 9 and 2.64% in Hipocat
10.  The rapidly increasing levels of defaulted loans ultimately
resulted in draws to reserve fund in both transactions and build-
up in unpaid Principal Deficiencies Ledger in Hipocat 10 as of the
last payment date.

Moody's expects the portfolio credit performance to continue to be
under stress, as Spanish unemployment remains elevated.  Moody's
believe that the anticipated tightening of Spanish fiscal policies
is likely to weigh on the recovery in the Spanish labor market and
constraint further Spanish households finances.  Moody's has also
concerns over the timing and degree of future recoveries in a
weaker housing market.  On the basis of the rapid increase in
defaults in the transactions and Moody's negative sector outlook
for Spanish RMBS, Moody's have updated the portfolio expected loss
assumption to 2.9% of original pool balance in Hipocat 9 and 6.2%
in Hipocat 10, up from 0.96% and 4% respectively.

MILAN Aaa CE:

Moody's has assessed the loan-by-loan information for Hipocat 9
and Hipocat 10 to determine the MILAN Aaa CE.

Moody's has increased its MILAN Aaa CE assumptions for Hipocat 9
to 17%, up from 7.65% at closing.  Milan Aaa CE for Hipocat 10 was
increased to 20%, up from 17% as at last rating review.  The
increase in the MILAN Aaa CE reflects the high LTV features of the
securitized loan pool, high geographical concentration in
Catalonia and the relatively high concentration of loans
originated to new residents.

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

      High Write-Offs Associated to Out-Of-Court Settlements

The rapid increase in loan write-offs is to a large extent
attributed to the acceleration of delinquent loans into write-off
category, most specifically when the servicer resorts to out-of-
court settlement.  Caixa Catalunya has been actively avoiding
formal repossession procedures for the non-Spanish nationals and
unemployed in favor of one-to-one solutions.  Caixa Catalunya
resorted to "dacion en pago" or "compra-venta" to avoid delaying
inevitable possession and limit ultimate losses.  "Dacion en pago"
is a voluntary agreement whereby the borrower hands over the
possession of the property to the lender to clear the outstanding
mortgage debt.  "Compra-venta" is the sale of mortgage properties
to real estate companies.  Out-of-court settlement accounted to
between 60% and 70% of total write-offs in the Hipocat 9 and 10
pools as at September 2010.

Recoveries achieved on out-of-court property repossessions have
been relatively high compared to recoveries achieved via legal
repossessions so-far.  Moody's understand that Caixa Catalunya has
facilitated the sale of the acquired properties gone through
"dacion en pago" to real estate companies (owned by the lender) or
external investors via "compra-venta" (a cash acquisition with
property sale proceeds flowing back to the Fondos).  Recoveries on
the properties sold via "compra-venta" have reached an average
recovery rate of 85% in Hipocat 10 and 92% in Hipocat 9
(calculated as the total recoveries achieved via compra-venta
divided by total write-offs associated with out-of-court
settlement).  Recoveries on legal repossessions currently
represent between 45% and 55% of total amount going through legal
proceedings (calculated as the recoveries achieved though legal
repossessions divided by write-offs amount associated with legal
repossession).

                      Transactions Features

Hipocat 9 and Hipocat 10 closed in November 2005 and July 2006
respectively.  The transactions are backed by portfolios of first-
ranking mortgage loans originated by Caixa Catalunya, now part of
Caixa d'Estalvis de Catalunya, Manresa I Tarragona (A3/P-2) and
secured on residential properties located in Spain, for an overall
balance at closing of EUR1.5 billion and EUR1.0 billion,
respectively.  The new entity, Caixa d'Estalvis de Catalunya,
Manresa I Tarragona, is operative since July 1, 2010.  Moody's was
informed that the servicing of Caixa Catalunya's mortgage
portfolio will remain on Caixa Catalunya's servicing platform

Both deals consist of the securitization of the first drawdown of
Caixa Catalunya's flexible mortgage loan.  The product, named
"Credito Total" offers the possibility of withdrawing additional
funds up to the minimum of the original loan-to-value and 80% LTV.
All loans can enjoy payment holidays of interest and principal.
The pool concentration in Catalonia represented about 70% of both
pool balances at closing.  Currently, 23% of the portfolio balance
in Hipocat 10 and 14% in Hipocat 9 corresponds to loans granted to
non-Spanish nationals.  Only a limited share of the securitized
loans has been originated via broker, representing less than a 2%
in both pools.

Some features in the deals have changed since closing:

Hedging agreement: The transactions benefit from interest rate
swaps provided by CECA (Confederacion Espanola de Cajas de
Ahorros, Aa3/P-1).  Following its downgrade, Caixa Catalunya has
been replaced as swap counterparty by CECA, which is in line with
the requirements described in Moody's report titled "the Framework
for De-linking Hedge Counterparty Risks from Global Structured
Finance Cashflow Transactions."

Treasury Bank Accounts: For both transactions, collections are
paid to Caixa d'Estalvis de Catalunya, Tarragona i Manresa (A3/P-
2) and then transferred every 24 to 48 hours to the treasury
accounts.  The treasury accounts are held at Caja de Ahorros y
Pensiones de Barcelona (Aa2/P-1).

Paying Agent: Caixa d'Estalvis de Catalunya, Tarragona i Manresa
(A3/P2).  Caixa Catalunya was downgraded on June 15, 2009, from
A2/P-1 to A3/P-2.  Given Caixa Catalunya has been acting as paying
agent in the transaction since closing, it is contemplated in the
transaction documents that the gestora will need to find a P-1
rated replacement or guarantor upon the downgrade below P-1 of the
paying agent within 30 days.  Moody's understands that Caixa
Catalunya has identified eligible counterparty to act as paying
agent but no remedial action has yet been taken in that respect.

Reserve fund and Principal deficiency ledger: The rapidly
increasing levels of defaulted loans ultimately resulted in draws
to the reserve funds.  The reserve fund is currently fully
depleted in Hipocat 10 and is at 50% of target in Hipocat 9.  The
amortization of the mezzanine and junior notes is likely to remain
sequential as a consequence of this breach of pro-rata
amortization triggers.  Hipocat 10 has recorded EUR5.5 million of
unpaid PDL as at the last IPD.

Amortization of the senior notes to remain sequential in Hipocat
10: Class A4 has a planned amortization and, on any IPD, EUR12.5
million are deposited and retained in a dedicated account for the
repayment of this class which will be amortized with a bullet
payment at the legal maturity on April 2012.  A liquidity
facility, provided by Calyon Spanish branch, is in place to ensure
payment of this series at its maturity date.  A total of EUR125
million are currently retained in the Withholding Principal
Account held at Caja de Ahorros y Pensiones de Barcelona (Aa2/P-
1).  All remaining available funds in excess to the amount
retained to pay class A4 notes are applied to repay class A2 and
A3 notes.  These two classes do not follow a pro-rata
amortization, instead 50% of the available funds are used to
amortize A3 and 50% to amortize A2 (the outstanding A2 and A3
notes balances were respectively EUR367 million and EUR246.5
million as at October 2010).  Class A notes in Hipocat 10 is to
switch to pro rata subject to a performance trigger -- to be hit
if the outstanding balance of loans more than 90 days and less
than 18 months in arrears exceeds 25% of the initial pool balance.
Moody's considers this trigger very unlikely to be breached, as
the outstanding balance of loans more than 90 days is currently
1.37% of initial pool balance.  Moody's expects that Class A4 and
A3 will be redeemed before Class A2 which is reflected in the
different rating for Class A3/A4 and Class A2.

Insufficient Liquidity/Breach of Interest Defferral Trigger in
                            Hipocat 10

The reserve fund in Hipocat 10 is fully depleted and that no other
sources of liquidity are available in the deal.  Moody's believes
that the absence of liquidity in the transaction could impair the
ability of the issuer to make timely payment of interest on the
notes, particularly in case of a servicing transfer.  Moody's
considers that the risk of a missed payment of interest on the
class A3 and A4 of Hipocat 10 is not commensurate with a Aaa-
rating.  Moody's has therefore downgraded the rating for these
classes of notes.

Class C interests in Hipocat 10 were deferred on the interest
payment date falling on 26th July 2010, when cumulative write-offs
exceeded interest deferral trigger level of 7% of original pool
balance.  Under the revised expected loss assumption for Hipocat
10, the downgrade of class B in Hipocat 10 considers the very high
probability that interest will be deferred also for this class of
notes.  IDT level for the class B is set at 11% of original pool
balnce.

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

                     List of Rating Actions

Issuer: HIPOCAT 10 FONDO DE TITULIZACION DE ACTIVOS

  -- EUR733M A2 Notes, Confirmed at Aa2 (sf); previously on Aug
     11, 2010 Aa2 (sf) Placed Under Review for Possible Downgrade

  -- EUR300M A3 Notes, Downgraded to Aa1 (sf); previously on Jun
     5, 2009 Aaa (sf) Placed Under Review for Possible Downgrade

  -- EUR200M A4 Notes, Downgraded to Aa1 (sf); previously on Jun
     5, 2009 Aaa (sf) Placed Under Review for Possible Downgrade

  -- EUR54.8M B Notes, Downgraded to B1 (sf); previously on Aug
     11, 2010 Ba1 (sf) Placed Under Review for Possible Downgrade

Issuer: Hipocat 9 Fondo De Titulizacion De Activos

  -- EUR500M A2a Certificate, Downgraded to Aa1 (sf); previously
     on Nov 30, 2009 Aaa (sf) Placed Under Review for Possible
     Downgrade

  -- EUR236.2M A2b Certificate, Downgraded to Aa1 (sf); previously
     on Nov 30, 2009 Aaa (sf) Placed Under Review for Possible
     Downgrade

  -- EUR22M B Certificate, Downgraded to Aa3 (sf); previously on
     Nov 30, 2009 Aa2 (sf) Placed Under Review for Possible
     Downgrade

  -- EUR18.3M C Certificate, Downgraded to A3 (sf); previously on
     Nov 30, 2009 A2 (sf) Placed Under Review for Possible
     Downgrade

  -- EUR23.5M D Certificate, Downgraded to B1 (sf); previously on
     Nov 30, 2009 Baa3 (sf) Placed Under Review for Possible
     Downgrade

  -- EUR16M E Certificate, Downgraded to C (sf); previously on Nov
     30, 2009 Caa3 (sf) Placed Under Review for Possible Downgrade

Moody's adopts all necessary measures so that the information it
uses in assigning a credit rating is of sufficient quality and
from sources Moody's considers to be reliable including, when
appropriate, independent third-party sources.  However, Moody's is
not an auditor and cannot in every instance independently verify
or validate information received in the rating process.


=====================
S W I T Z E R L A N D
=====================


SWISS LIFE: Fitch Affirms Subordinated Debt Rating at 'BB'
----------------------------------------------------------
Fitch Ratings has affirmed Swiss Life AG's Insurer Financial
Strength at 'BBB', Long-term Issuer Default Rating at 'BBB-' and
subordinated debt at 'BB'.  Swiss Life Holding's IDR was also
affirmed at 'BB+'.  The Outlook on the IFS rating and IDRs has
been changed to Stable from Negative.

Simultaneously, the ratings have been withdrawn.  The agency will
no longer provide ratings or analytical coverage for the Swiss
Life group.  The ratings of the group and the subordinated debt
are no longer considered by Fitch to be relevant to the agency's
coverage.

The affirmation and change in Outlook reflect the improvement of a
number of key financial indicators, as well as Swiss Life's
leading market position in Switzerland and the company's capital
position, which remains commensurate with its rating level.

Swiss Life Group's solvency ratio was 190% at end-H12010.  Swiss
Life made IFRS net profits on continuing operations of CHF269
million in H12010 and CHF324 million in 2009, compared with a loss
of CHF1,143 million in 2008.  There has also been a large reversal
in the unrealized loss position of the company.  The off-balance
sheet unrealized losses on loans and receivables of CHF2.3 billion
in 2008 moved to an unrealized gain position of CHF0.6 billion in
2009.  The performance of AWD, the distribution subsidiary
acquired by Swiss Life in 2008, has also improved, with the
company reporting operating profits in H22009 and H12010, compared
to losses in prior periods.

However, the company's new business profit margins remain low
compared with peers and Fitch expects profitability to remain
subdued, in the context of the low interest rate environment.


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


* Fitch Junks Ukraine's City of Odessa's Long-term Ratings
----------------------------------------------------------
Fitch Ratings has downgraded Ukraine's City of Odessa's Long-term
foreign and local currency ratings to 'CC' from 'B-',
respectively, and downgraded the National Long-term rating to 'B-
(ukr)' from 'BBB+(ukr)'.  The ratings have been placed on Rating
Watch Negative.  A full list of rating actions is provided at the
end of this commentary.

The downgrades follow Odessa's intention to extend, in view of the
city's weak liquidity, the maturity profile of the CHF10 million
bank loan provided by BNP Paribas due to be repaid on December 29,
2010.  The new repayment agreed by the city council, if accepted
by BNP, will be in stages with CHF4 million due on December 29,
2010, CHF2 million on April 30, 2011 and CHF4 million on
August 31, 2011.  Nevertheless, Fitch notes that the original
terms and conditions will remain, including the interest rate.
Odessa's 'CC' Long-term rating reflects the now high probability
that it will default on this foreign loan.  Also, Odessa is due to
repay on December 30 its UAH5 million domestic bond, which Fitch
believes the city will honor.

The RWN will be resolved once Odessa signs the restructuring loan
agreement with BNP.  If there is no material improvement to the
final terms of the agreement to creditors, Fitch will consider the
extension of the loan repayment as a material reduction in the
original terms of the agreement and therefore a coercive debt
exchange.  A CDE will be viewed a 'Restricted Default' as outlined
in Fitch's global criteria report 'Coercive Debt Exchange
Criteria'.  If BNP does not agree to the restructuring, it is
highly likely that the city will default on the loan on 29
December 2010.

Rating actions are:

  -- Long-term foreign currency rating: downgraded to 'CC' from
     'B-'; placed on RWN

  -- Long-term local currency rating: downgraded to 'CC' from 'B-
     '; placed on RWN

  -- Short-term foreign currency rating: downgraded to 'C' from
     'B'

  -- National Long-term rating: downgraded to 'B-(ukr)' from
     'BBB+(ukr)'; placed on RWN


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


ALLIANCE REMOVALS: O-license License Revoke Due to Liquidation
--------------------------------------------------------------
Roger Brown at RoadTransport.com reports that South East and
Metropolitan Deputy Traffic Commissioner Miles Dorrington has
revoked Alliance Removals and Storage Ltd's O-license after its
director failed to disclose at a public inquiry in July that the
firm was in liquidation.

RoadTransport.com relates that following a second public inquiry
in September, the DTC held that the company was not of good
repute, that director Jayson Barrett had lost his good repute as
an individual, director or partner, and disqualified him from
holding or obtaining an O-licence for nine months.

RoadTransport.com discloses that Alliance Removals and Storage had
held an O-licence authorizing four vehicles and one trailer, with
directors Barrett and his wife Joanne.

At the July public inquiry, RoadTransport.com notes, the DTC
allowed the surrender of the firm's O-licence and accepted a new
application from a new company - Alliance Home Delivery Service --
with the same directors.  However, the DTC's office subsequently
discovered that Alliance Removals and Storage had gone into
administration earlier in the year.

According to RoadTransport.com, Mr. Barrett told Dorrington at the
September public inquiry that he did not mention the liquidation
because he feared the application for a new O-licence would not be
granted.  Mr. Barrett accepted he had withheld the information
from the DTC at the public inquiry and misled him,
RoadTransport.com adds.

Based in Storrington, West Sussex, Alliance Removals and Storage
Ltd -- http://www.allianceremovals.co.uk/-- provides removals,
storage and distribution services.


ASHTEAD GROUP: S&P Gives Stable Outlook; Affirms 'BB-' Rating
-------------------------------------------------------------
Standard & Poor's Rating Services said that it revised its outlook
on the U.K.-based plant-hire firm Ashtead Group PLC to stable from
negative.  At the same time, S&P affirmed its 'BB-' long-term
corporate credit rating on Ashtead, as well as its 'BB+' senior
secured and 'B+' second-lien debt ratings on the group.

"The outlook revision reflects an improvement in Ashtead's
financial ratios that has been supported by a gradual improvement
in conditions in the U.S. construction equipment rental market,
stronger earnings in the group's Sunbelt division, and signs of
stabilization in the U.K. market," said Standard & Poor's credit
analyst Abigail Klimovich.

"Despite the weakness in the nonresidential construction industry,
which S&P anticipate will continue until 2012, S&P believes that
increased rental penetration in the U.S. equipment market and
Ashtead's strong market positions should allow the group to
sustain its credit metrics at levels that S&P considers
commensurate with a 'BB-' rating."

In the six months to October 2010, Ashtead reported revenues of
GBP484 million and EBITDA of GBP160 million, up 5% and 6%,
respectively, on the same period in the prior year at constant
exchange rates.

For the rolling 12 months to Oct. 31, 2010, the ratio of adjusted
funds from operations to adjusted debt was 23.9% and the ratio of
adjusted debt to adjusted EBITDA was 3.3x.  S&P currently
considers a ratio of adjusted debt to adjusted EBITDA of no more
than 3.5x to be commensurate with S&P's 'BB-' rating on Ashtead.

The ratings on Ashtead reflect high operational leverage
associated with the equipment rental industry, limited forward
visibility on revenues, the cyclical nature of demand, and
Ashtead's aggressive leverage.  S&P believes that these risks are
partly offset by a well-maintained fleet of rental equipment,
along with Ashtead's capacity to reduce investment requirements
significantly.

In S&P's view, Ashtead has an adequate liquidity position.  S&P
believes that Ashtead should be able to maintain adjusted FFO to
adjusted debt of at least 20% and adjusted debt to adjusted EBITDA
of no more than 3.5x on a sustainable basis.

S&P could lower the rating if ratios, including adjusted debt to
EBITDA, were to deteriorate materially either during or at the
tail-end of the current economic cycle; or if the asset values
underlying the group's borrowing base were to deteriorate so far
as to constrain liquidity significantly.

S&P views rating upside as unlikely in the next 18 months, given
Ashtead's exposure to still-fragile, although gradually improving,
market conditions, the weak outlook for the construction industry,
and the fact that the ratings already factor in a strengthening of
the group's credit metrics.


BRITISH AIRWAYS: S&P Gives Stable Outlook; Affirms 'BB-' Rating
---------------------------------------------------------------
Standard & Poor's Rating Services said that it revised its outlook
on U.K.-based airline group, British Airways PLC to stable from
negative.  S&P also affirmed its 'BB-' long-term corporate credit
and senior unsecured debt ratings on BA.  The recovery rating on
the senior unsecured debt is unchanged at '4', indicating S&P's
expectation of average (30%-50%) recovery in the event of a
payment default.

In addition, S&P affirmed its 'B-' rating on the nonvoting
cumulative preferred securities issued by British Airways Finance
(Jersey) L.P. and guaranteed by BA.  Under its criteria, S&P rate
preferred stock at least three notches below the corporate credit
rating.

"The outlook revision reflects a recovery in BA's financial ratios
following the successful implementation of substantial cost-saving
measures, an upturn in conditions in the global airline industry,
and a modest improvement in the group's pension deficit thanks to
stronger equity markets," said Standard & Poor's credit analyst
Stuart Clements.  "Despite some anticipated pressure from
increasing fuel prices, S&P believes that the revival in the
trading environment should allow BA to sustain the improvements in
its credit metrics."

After posting operating losses for the past two years, BA reported
an operating profit of GBP178 million for the rolling 12 months to
Sept. 30, 2010.  This was driven by strong cost control, improving
industry conditions, and, in particular, stronger yields enhanced
by recovering demand for long-haul premium travel.

A recovery in equity markets has also lifted pension asset values
and helped reduce the net deficit in BA's New Airways Pension
Scheme.  This reduction, combined with strengthening operational
cash flow, has supported a good recovery in BA's financial ratios.
For the rolling 12 months to Sept. 30, 2010, the ratio of fully
adjusted funds from operations to adjusted debt was 15.5%, and the
ratio of adjusted debt to adjusted EBITDA was 5.3x, both
substantially better than 2.9% and 18.0x, respectively, in the
same period of the prior year.  S&P considers a ratio of FFO to
adjusted debt of at least 12% to be commensurate with S&P's
current 'BB-' rating on BA.

In S&P's view, BA has a strong liquidity position and an ability
to partially mitigate increasing fuel costs through surcharges and
hedging.  However, the airline industry remains highly cyclical
and challenging, subject to volatile and increasing fuel costs and
intense competition.  Downward pressure on the ratings could arise
from deterioration in BA's operating performance as a result of a
further economic downturn reducing passenger demand; a weakening
of industry supply discipline; or a rise in adjusted debt,
possibly due to significant acquisition activity resulting in
weakened credit measures.

A continued recovery in both industry conditions and BA's trading
performance, perhaps combined with a reducing pensions deficit
that led to an improvement in key credit ratios, could result in a
positive rating development.  Assuming an unchanged business risk
profile, S&P currently consider that a ratio of FFO to debt of
between 20% and 25% on a sustained basis would be commensurate
with a 'BB' rating on BA.


CASTLEMORE SECURITIES: Salmon Harvester Buys 2 Glass Wharf Scheme
-----------------------------------------------------------------
Insider Media Limited reports that the two Glass Wharf projects in
Bristol have been bought by Salmon Harvester Properties and the
company is looking into developing the 140,000 sq ft GBP40 million
office scheme.  The report relates that the project was previously
owned by Castlemore Securities until the company went into
administration.

Salmon Harvester Properties bought the Two Glass Wharf projects
from administrator PwC in December, according Insider Media
Limited.

Insider Media Limited relates that the site was bought for GBP5
million and marks the debut purchase for a GBP25 million
commercial land-banking fund.  When a tenant is found, the
property is expected to be sold into NFU Mutual's Life Fund,
Insider Media Limited notes.

The agents involved in the scheme are Alder King and Lambert Smith
Hampton.  Hoddell Stotesbury Morgan advised Salmon Harvester in
the purchase.


CITY GREENWICH: Fitch Downgrades Ratings on Senior Bonds to 'BB+'
-----------------------------------------------------------------
Fitch Ratings has downgraded City Greenwich Lewisham Rail Link
plc's GBP165 million senior secured bonds due 2020 to 'BB+' from
'BBB-'.  The Outlook is Stable.

Through the UK government's private finance initiative, CGL holds
a 24.5 year concession (until March 2021) to build and maintain a
portion of the Docklands Light Railway network (the Lewisham
Extension) that serves the Greenwich and Canary Wharf areas.  In
January 2010, the concession payment mechanism was switched to a
wholly usage based fee, so patronage is now the key rating driver.

Despite the growth of 3.6% in the nine months to September 2010
relative to the same period in 2009, recent actual and forecast
patronage over the remaining period of concession remains
materially below Fitch's expectations from December 2008 when
Fitch downgraded the bonds to 'BBB-' with Negative Outlook.  Fitch
has also taken into consideration that updated traffic forecasts
prepared by the traffic consultants on the company's behalf have
consistently been in the lower range of expectations.

Patronage was down by 4.5% to 17.72m passengers in 2008 relative
to 2007.  The overall reduction can be attributed to disruption
caused by the upgrade of the extension to increase train capacity
from two to three cars (three-car project) and banking/financial
job losses due to the economic crisis.  In 2009, patronage grew by
3.2% to 18.29m passengers.

The latest financial forecasts presented by the company as of June
2010 show a minimum and average ex-cash annual debt service
coverage ratios of 0.90x (June 2011) and 1.63x, respectively.  The
projected DSCRs thus remain low for a project now fully exposed to
patronage risk, especially when compared with peers which are not
exposed to traffic risk (investment grade light rail availability-
based projects).

The cash lock-up ratio, set at a minimum DSCR of 1.2x (excluding
cash), was triggered in December 2009 and the project is expected
to trap cash for all reporting periods up to and including the 12
months until June 2012.  The healthy cash position should enable
the company to comfortably meet its debt service obligations in
the shorter term where, due to lower patronage, the operating cash
flow is not expected to cover debt service payments until June
2011.

Fitch further notes that some of the transaction's structural
features are relatively weak, including: a six-month interest-only
debt service reserve account, the lack of a maintenance reserve
account and the fact that the equity sponsors have already been
economically paid out.

The Stable Outlook reflects the resumption of patronage on a
growth trend, thanks to the expected stabilization of the
employment base in Isle of Dogs (including Canary Wharf).  The
project is also likely to benefit from the forthcoming Olympic
Games in the summer of 2012, the development of the Stratford
Regional Centre as well as general tourism around Greenwich and
Cutty Sark, which are already included in Fitch's forecast.


DOCKGATE 20 MOTORCYCLES: Goes Into Administration, 16 Jobs Axed
---------------------------------------------------------------
Visordown News reports that Dockgate 20 Motorcycles Ltd, the owner
of Dockgate 20 and Thames Valley Harley-Davidson, has gone into
administration as of Wednesday, December 15, 2010.

Administrators David Rubin & Partners LLP have been appointed to
handle the details, according to Visordown News.

Visordown News notes that Dockgate 20 Motorcycles was to
'relocate' with the loss of 16 jobs.

Dockgate 20 Motorcycles Ltd is a London Harley dealer.


DUNDEE FOOTBALL CLUB: Fails to Overturn 25-Point Deduction
----------------------------------------------------------
Flower of Scotland reports that Dundee Football Club failed to
overturn their 25-point deduction when their appeal was heard by
the Scottish Football League at Hampden on December 17, 2010.

As reported in the Troubled Company Reporter-Europe on
November 29, 2010, The Courier said that the Dundee Football Club
decided to appeal the 25-point penalty imposed on them after
falling into administration for the second time.   According to
The Courier, no Scottish club has ever successfully appealed
against a punishment handed down for entering administration but
Brian Jackson, of administrators PKF, claimed that Dundee Football
Club may consider a legal appeal if, as expected, the SFL clubs
uphold the board's decision.

Flower of Scotland discloses that the major debate has been around
the level of punishment itself; given the SFL has no set
punishment for going into administration, with each occasion being
treated on its own merit.

Dundee Football Club -- http://www.thedees.co.uk/-- is a Scottish
football club.


FINDUS GROUP: Averts Debt Breach Following Deal with Lenders
------------------------------------------------------------
Martin Arnold and Anousha Sakoui at The Financial Times report
that Findus Group has reached an agreement with its lenders to
avoid breaching the terms of its GBP730 million (US$1.14 billion)
of debt.

According to the FT, a person familiar with the situation said
Findus, bought by private equity group Lion Capital for GBP1.1
billion in 2008, is likely to need further financial
restructuring.

Hit by the rising cost of raw materials, such as salmon, and the
adverse impact of currency movements, Findus was at risk of
breaching its banking covenants for the fourth quarter, the FT
says.

The FT relates that on Thursday, Findus agreed to pay its lenders
a fee in return for being granted a waiver on its debt covenants.
In exchange for a fee of 25 basis points, Findus has won approval
from lenders to relax the permitted leverage ratio from 5.6 times
earnings to net debt to 6.2 times, the FT discloses.  However, the
reprieve applies only for December, the FT notes.  The company is
likely to need to return to lenders for a longer-term solution to
its debts early next year, the FT says, citing the person familiar
with the matter.

The options open to the company are believed to include a full
resetting of its covenants, a refinancing of its debts, injection
of new capital or sale of assets, the FT states.  However, an
equity injection is expected to be unappealing to Lion Capital as
it could make its fundraising plans more difficult, according to
the FT.

The Findus Group is a multinational food business headquartered in
the UK and with operations around Europe.  It is the parent Group
of Young's, Findus and The Seafood Company.


G&S FRUIT: Saved From Collapse Following Management Buyout
----------------------------------------------------------
Gazette & Herald reports that G&S Fruit Supplies has been saved
from collapse by a management buyout.  The report relates that G&S
Fruit Supplies was put into administration by its three directors
last month but was bought back by them the same day.

The company has been renamed Allfresh Catering Supplies Limited.
The buyout secured 70 jobs.  One accounts department employee was
made redundant following administration, according to Gazette &
Herald.

"The directors put the G&S Fruit Supplies into administration
because the bank weren't prepared to provide ongoing support to
the business," Gazette & Herald quoted James Benson, part-time
finance director at Allfresh Catering Supplies, as saying.

Mr. Benson, Gazette & Herald notes, said that cash flow problems
were exacerbated by a harsh winter last year.

Gazette & Herald adds that Alan Grace, managing director who set
up G&S with fellow director Paul Slater in 1997, said that he and
his fellow directors were working with the administrators to
achieve the best result for G&S creditors.

G&S Fruit Supplies is a fruit and vegetable wholesaler near
Devizes.


KENNEDY GROUP: Coleraine Property Goes Into Administration
----------------------------------------------------------
BBC News reports that parts of the Kennedy Group, the Coleraine
property business, were placed into administration earlier this
year after one of the companies was unable to stick to an
agreement to reduce its overdraft.  BBC News relates that J
Kennedy and Co Contractors, and three related firms, went into
administration at the request of the Bank of Ireland which was
owed just over GBP1 million.

The administrators report said the firm had been badly affected by
the property crash, and by July this year, its overdraft was
"significantly in excess of its limit," according to BBC News.

BBC News says that the company agreed a repayment plan but could
only sustain it until early October when the directors decided the
firm could no longer continue trading.  At that time, the company
said the downturn in the construction industry, "coupled with the
lack of support available within the banking sector", had left the
directors "no option" but to cease operations, BBC News relates.

BBC News discloses that following administration, its staff of 41
were all made redundant.

The administrators, from financial consultancy Ernst and Young,
said J Kennedy and Co Contractors is owed "significant amounts"
from other Kennedy Group companies and that they are investigating
how much of that money is likely to be paid back, the report
notes.  BBC News relates that the other companies -- Kennedy Crane
Hire, Kennedy Concrete Products and J Kennedy and Company
(Manufacturing)-- which went into administration at the same time,
all provided services to the contracting business.

The bulk of the Kennedy Group, which has a portfolio of retail and
leisure assets, continues to trade, the report adds.

Coleraine property business was a construction arm of Kennedy
Group and most of its work was for other Kennedy Group companies.


MSOLS LIMITED: High Court Orders Liquidation Due to Insolvency
--------------------------------------------------------------
The Fonecast reports that MSols Limited, which traded as 'Mobile
Rainbow', has been ordered into liquidation at the High Court.

The Fonecast says the Insolvency Service found it had made no
proper provision to make the cash back payments it offered, which
led to over a thousand customer complaints.

According to The Fonecast, the grounds alleged for the winding up
were:

   * Unscrupulous business practice and lack of commercial
     probity;

   * false and misleading accounts;

   * improper distribution to shareholders;

   * insolvency;

   * inaccurate particulars filed at Companies House; and

   * failure to co-operate.

MSols Limited sold mobile phone packages online through a number
of Web sites.  It had a business address in Watford but was mostly
operated and managed from India.


NORTHERN ROCK: Fitch Affirms 'B' Ratings on Tier One Notes
----------------------------------------------------------
Fitch Ratings has affirmed Northern Rock (Asset Management) plc's
Long-term Issuer Default Rating at 'A+'.  The Outlook is Stable.
The Short-term IDR has been affirmed at 'F1+', and the Support
Rating at '1'.  The Support Rating Floor has been affirmed at
'A+'.  A full rating breakdown is provided at the end of this
comment.

NRAM's Long-term and Short-term IDR, Support Rating and Support
Rating Floor reflect the continuing guarantee from the UK (rated
'AAA'/ 'F1+') for the senior unsecured debt until maturity.  Fitch
considers that the UK government would be willing to provide
unguaranteed support to the company at the same level that is
'A+', as other major non-government owned, non-guaranteed UK
institutions.

Senior unsecured debt securities continue to be rated in line with
the UK sovereign on the strength of the government guarantee.

The rating of the lower tier 2 debt securities reflects the
absence of a direct guarantee and also Fitch's expectation that
they will be repaid in full on maturity.  However, as NRAM is
being wound down in government ownership, there remains a greater
risk of eventual incomplete repayment of principal than in other
going concerns.

During 2010, NRAM has strengthened its capital base by GBP780
million with a buyback of subordinated debt securities.  The
company also returned to operating profit earlier than expected in
H110 as a result of loans performing better than forecast.  NRAM
is now owned by UK Asset Resolution, which also owns Bradford &
Bingley.  Joint management of the two institutions should lead to
a more focused approach and cost savings.  NRAM holds about GBP50
billion of residential mortgage loans on its balance sheet and is
entirely wholesale and government funded.  The UK government has
committed to provide up to GBP1.6 billion of capital, if required

Coupons are being paid on NRAM's Tier One Notes leading to a
rating of 'B', while the non-performing Reserve Capital
Instruments and upper tier 2 debt securities are rated at 'C'.
Fitch considers that on eventual liquidation of NRAM it is
possible that hybrid debt noteholders will receive little
principal.

The rating actions are:

  -- Long-term IDR: affirmed at 'A+' Outlook Stable

  -- Short-term IDR: affirmed at 'F1+'

  -- Support Rating: affirmed at '1'

  -- Support Rating Floor: affirmed at 'A+'

  -- Senior unsecured debt securities: affirmed at 'AAA'

  -- Short term debt: affirmed at F1+

  -- Lower Tier 2 debt: affirmed at 'BBB'

  -- Upper Tier 2 debt: affirmed at 'C': ISINs: XS0098556961,
     XS0125284777, US66567FAA03, US66567HAA68, US66567GAW06,
     US66567EAW57

  -- Reserve Capital Instruments: affirmed at 'C': ISIN:
     XS0117031194

  -- Tier One Notes: affirmed at 'B': ISIN: XS0152710439


NORTHERN ROCK: S&P Raises Rating on Tier One Notes to 'B'
---------------------------------------------------------
Standard & Poor's Ratings Services said that it has raised the
rating on the 7.053% callable perpetual Tier One Notes issued by
Northern Rock (Asset Management) PLC (A/Stable/A-1) to 'B' from
'C'.  This rating action follows the completion of the tender
offer launched on Nov. 9, 2010 by NRAM and Bradford & Bingley PLC
(--/--/A-1) for a total of six of their Tier 1 and Upper Tier 2
issues, including the TONs.  The counterparty credit ratings on
NRAM and B&B, and the issue ratings on their other debt
securities, are unaffected.

On Nov. 9, 2010, S&P said that S&P viewed the tender offer as a
distressed exchange under S&P's criteria.  Accordingly, S&P
lowered the issue rating on NRAM's TONs to 'C' from 'B'.  S&P said
that, if some TONs remained outstanding following completion of
the tender offer, S&P would review the issue rating and would
likely raise it back to 'B'.

On Dec. 6, 2010, NRAM announced that it had decided to accept all
GBP89.575 million in aggregate nominal amount of TONs validly
tendered for purchase under the offer.

S&P has reviewed the issue rating on the TONs in light of the
completion of the tender offer and have decided to raise it back
to 'B'.  This rating level reflects S&P's view that NRAM is likely
to continue to pay TONs coupons for the foreseeable future.

                          Ratings List

               Northern Rock (Asset Management) PLC
    GBP110.43mn 7.053% callable perp core tier one nts hybrid

                                  To                  From
                                  --                  ----
                                  B                   C


ROADCHEF FINANCE: Fitch Affirms 'B+' Rating on Class A2 Notes
-------------------------------------------------------------
Fitch Ratings has affirmed RoadChef Finance Ltd's class A2 and B
notes respectively at 'B+' and 'B-'.  Both classes of notes were
also removed from Rating Watch Negative, and assigned a Negative
Outlook.

The affirmation reflects the transaction's improved financial
performance with 52-week EBITDA for the quarter ending 2 October
2010 growing by 19.8% to GBP23.0 million.  This increase was
mainly achieved through heavy cuts in both site and central
overheads, notably in utilities and salaries.  RoadChef also
positively benefited from the new rental income generated through
the BP forecourts rental agreements signed in 2009.

Management has proven to be proactive thus far and whilst still
closely controlling its operating costs, is now seeking to reverse
the negative sales trend by investing heavily in its catering
facilities, notably in opening new McDonald's sites, phasing out
the less compelling Wimpy's burger outlets, refurbishing its Costa
sites and further developing its in-house HotFood Co.  The agency
views this positively as RoadChef's facilities were in need of
critical development capex.  For next year, the agency believes
that EBITDA could reach over GBP24.4 million, potentially allowing
RoadChef to service its debt (estimated at c.GBP18.7 million) in
October 2011 without any further support from its sponsor, Delek
group.

The Negative Outlook reflects Fitch's concerns about the UK's
economic outlook with the future VAT increase to 20.0% from 17.5%
and public funding cuts potentially resulting in more job losses,
all of which could further undermine consumers' fragile
discretionary spending, which RoadChef's sales are exposed to.  In
addition, Fitch has some concerns over the sustainability of the
savings (notably in utilities), the execution risks entailed in
RoadChef's new developments and the increased operating leverage
due to the financing obtained for both McDonald's and Costa
developments.

RoadChef is a securitization of cash flow from 16 UK motorway
services areas operated by RoadChef, the third-largest UK MSA
operator with approximately 19% market share (with over 60m
visitors per annum).  The group generates revenues from catering
services, forecourt retail, fuel sales, amenity retail, lodging
services as well as fees from gaming, ATM, parking and other
services.


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


* EUROPE: EU Leaders Agree to Amend Treaties to Set Up Crisis Tool
------------------------------------------------------------------
James G. Neuger and Jonathan Stearns at Bloomberg News report that
European Union leaders agreed to amend the bloc's treaties to
create a permanent debt-crisis mechanism in 2013 as they struggled
to bridge divisions over immediate steps to stabilize bond
markets.

Bloomberg relates that a day after the European Central Bank armed
itself with more capital to resist the crisis, the EU started to
discuss measures such as offering shorter-term credits or using
the bloc's main rescue fund to buy bonds of distressed countries.

For now, Germany ruled out topping up the current EUR750 billion
(US$1 trillion) emergency fund or rushing aid to Portugal or
Spain, reinforcing skepticism in markets about Europe's search for
the right formula to quell the fiscal contagion that threatens the
euro, Bloomberg discloses.

The future setup "is to some extent window-dressing as it does not
solve the current crisis," said Carsten Brzeski, an economist at
ING Group NV in Brussels, according to Bloomberg.  "European
leaders failed to address the issue of debt sustainability and
possible insolvency problems prior to 2013."

Luxembourg Prime Minister Jean-Claude Juncker said deliberations
are under way over more flexible use of the main EUR440 billion
component of the fund instead of waiting until the last minute to
arrange all-or-nothing lifelines like the EUR85 billion package
granted to Ireland on Nov. 28, Bloomberg discloses.  Asked whether
shorter-term credits or bond purchasing are up for debate,
Mr. Juncker, as cited by Bloomberg, said measures being considered
are "exactly those that you mentioned."  Such steps would ease
strains on the ECB, which has bought EUR72 billion of weaker
countries' debt since May to stabilize markets, Bloomberg says.

On Thursday, the ECB shored up its capital base to guard against
losses from the purchases, voting to almost double its capital to
EUR10.76 billion, Bloomberg notes.

"Let's be candid," International Monetary Fund Managing Director
Dominique Strauss-Kahn said in an interview on "Charlie Rose" on
PBS, according to Bloomberg.  "The European Union needs a little
more time, until maybe the beginning of next year, to be able to
produce a comprehensive package."


* BOND PRICING: For the Week December 13 to December 17, 2010
-------------------------------------------------------------

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

AUSTRIA
-------
HYPO TIROL BANK         3.000     6/1/2020       EUR     72.55
RAIFF ZENTRALBK         4.500    9/28/2035       EUR    102.70

CZECH REPUBLIC
--------------
SAZKA                   9.000    7/12/2021       EUR     65.08

FINLAND
-------
MUNI FINANCE PLC        0.500    3/17/2025       CAD     54.03
MUNI FINANCE PLC        0.250    6/28/2040       CAD     24.03
MUNI FINANCE PLC        1.000    6/30/2017       ZAR     58.80
MUNI FINANCE PLC        0.500    9/24/2020       CAD     69.05
MUNI FINANCE PLC        1.000    2/27/2018       AUD     65.12

FRANCE
------
AIR FRANCE-KLM          4.970     4/1/2015       EUR     16.38
ALCATEL SA              4.750     1/1/2011       EUR     16.83
ALCATEL-LUCENT          5.000     1/1/2015       EUR      3.35
ALTRAN TECHNOLOG        6.720     1/1/2015       EUR      4.87
ATOS ORIGIN SA          2.500     1/1/2016       EUR     55.26
CALYON                  6.000    6/18/2047       EUR     37.62
CAP GEMINI SOGET        1.000     1/1/2012       EUR     43.43
CAP GEMINI SOGET        3.500     1/1/2014       EUR     42.88
CLUB MEDITERRANE        6.110    11/1/2015       EUR     18.30
CLUB MEDITERRANE        5.000     6/8/2012       EUR     15.75
EURAZEO                 6.250    6/10/2014       EUR     59.16
FAURECIA                4.500     1/1/2015       EUR     24.71
MAUREL ET PROM          7.125    7/31/2015       EUR     13.62
MAUREL ET PROM          7.125    7/31/2014       EUR     16.39
NEXANS SA               4.000     1/1/2016       EUR     67.08
ORPEA                   3.875     1/1/2016       EUR     45.59
PEUGEOT SA              4.450     1/1/2016       EUR     34.29
PUBLICIS GROUPE         1.000    1/18/2018       EUR     49.04
PUBLICIS GROUPE         3.125    7/30/2014       EUR     40.25
RHODIA SA               0.500     1/1/2014       EUR     48.88
SOC AIR FRANCE          2.750     4/1/2020       EUR     21.88
SOITEC                  6.250     9/9/2014       EUR     10.11
TEM                     4.250     1/1/2015       EUR     57.43
THEOLIA                 2.700     1/1/2041       EUR     10.99
VALEO                   2.375     1/1/2011       EUR     47.39
ZLOMREX INT FIN         8.500     2/1/2014       EUR     70.38
ZLOMREX INT FIN         8.500     2/1/2014       EUR     70.38

GERMANY
-------
DEUTSCHE BK LOND        3.000    5/18/2012       CHF     65.86
DEUTSCHE BK LOND        0.500    8/25/2017       BRL     53.36
ESCADA AG               7.500     4/1/2012       EUR     17.75
HSH NORDBANK AG         4.375    2/14/2017       EUR     53.97
L-BANK FOERDERBK        0.500    5/10/2027       CAD     49.42
LB BADEN-WUERTT         2.500    1/30/2034       EUR     73.57
QIMONDA FINANCE         6.750    3/22/2013       USD      4.00
RENTENBANK              1.000    3/29/2017       NZD     74.00
SOLON AG SOLAR          1.375    12/6/2012       EUR     28.44

GREECE
------
ATHENS URBAN TRN        4.851    9/19/2016       EUR     70.51
ATHENS URBAN TRN        5.008    7/18/2017       EUR     66.30
HELLENIC REP I/L        2.900    7/25/2025       EUR     49.03
HELLENIC REP I/L        2.300    7/25/2030       EUR     49.36
HELLENIC REPUB          5.000    3/11/2019       EUR     63.80
HELLENIC REPUB          5.250     2/1/2016       JPY     69.54
HELLENIC REPUB          5.800    7/14/2015       JPY     74.15
HELLENIC REPUB          4.590     4/8/2016       EUR     70.70
HELLENIC REPUB          6.140    4/14/2028       EUR     65.46
HELLENIC REPUB          5.000    8/22/2016       JPY     64.01
HELLENIC REPUB          5.200    7/17/2034       EUR     60.62
HELLENIC REPUBLI        3.600    7/20/2016       EUR     64.55
HELLENIC REPUBLI        5.300    3/20/2026       EUR     61.04
HELLENIC REPUBLI        4.600    7/20/2018       EUR     63.02
HELLENIC REPUBLI        6.000    7/19/2019       EUR     67.51
HELLENIC REPUBLI        4.700    3/20/2024       EUR     59.76
HELLENIC REPUBLI        5.900    4/20/2017       EUR     68.99
HELLENIC REPUBLI        4.500    9/20/2037       EUR     54.67
HELLENIC REPUBLI        4.600    9/20/2040       EUR     54.51
HELLENIC REPUBLI        6.250    6/19/2020       EUR     68.66
HELLENIC REPUBLI        3.700    7/20/2015       EUR     68.84
HELLENIC REPUBLI        4.500    5/20/2014       EUR     75.81
HELLENIC REPUBLI        4.300    7/20/2017       EUR     63.18
NATIONAL BK GREE        3.875    10/7/2016       EUR     75.31
YIOULA GLASSWORK        9.000    12/1/2015       EUR     75.41
YIOULA GLASSWORK        9.000    12/1/2015       EUR     75.13

IRELAND
-------
AIB MORTGAGE BNK        5.000     3/1/2030       EUR     54.31
AIB MORTGAGE BNK        5.000    2/12/2030       EUR     54.36
AIB MORTGAGE BNK        5.580    4/28/2028       EUR     60.57
ALLIED IRISH BKS       10.750    3/29/2017       EUR     25.75
ALLIED IRISH BKS       10.750    3/29/2017       USD     28.95
ALLIED IRISH BKS       12.500    6/25/2019       GBP     25.25
ALLIED IRISH BKS       12.500    6/25/2019       EUR     26.38
ALLIED IRISH BKS       11.500    3/29/2022       GBP     24.91
ALLIED IRISH BKS        7.875     7/5/2023       GBP     25.56
ALLIED IRISH BKS        5.250    3/10/2025       GBP     25.34
ANGLO IRISH BANK        4.000    4/23/2018       EUR     49.61
BANK OF IRELAND        10.000    2/12/2020       GBP     54.74
BANK OF IRELAND         9.250     9/7/2020       GBP     49.17
BANK OF IRELAND         4.875    1/22/2018       GBP     50.53
BANK OF IRELAND        10.750    6/22/2018       GBP     55.08
BANK OF IRELAND         4.625    2/27/2019       EUR     52.20
BANK OF IRELAND        10.000    2/12/2020       EUR     55.13
BANK OF IRELAND         5.600    9/18/2023       EUR     48.02
BK IRELAND MTGE         5.400    11/6/2029       EUR     59.81
BK IRELAND MTGE         5.760     9/7/2029       EUR     62.95
BK IRELAND MTGE         5.450     3/1/2030       EUR     59.35
DEPFA ACS BANK          5.125    3/16/2037       USD     66.15
DEPFA ACS BANK          5.125    3/16/2037       USD     65.39
DEPFA ACS BANK          6.000    10/7/2035       USD     76.32
DEPFA ACS BANK          4.900    8/24/2035       CAD     64.11
DEPFA ACS BANK          3.250    7/31/2031       CHF     70.13
DEPFA ACS BANK          3.278    7/17/2026       CHF     75.96
DEPFA ACS BANK          0.500     3/3/2025       CAD     35.67
IRISH NATIONWIDE        5.500    1/10/2018       GBP     34.97
IRISH NATIONWIDE       13.000    8/12/2016       GBP     22.44
UT2 FUNDING PLC         5.321    6/30/2016       EUR     73.88

ITALY
-----
ABRUZZO REGION          4.450     3/1/2037       EUR     73.16
CITY OF TURIN           5.270    6/26/2038       EUR     66.03
CO BACOLI               3.671    3/31/2026       EUR     69.57
CO BRAONE               4.620    6/30/2036       EUR     72.47
CO BRAONE               4.567    6/30/2037       EUR     73.56
CO CASTELMASSA          3.960    3/31/2026       EUR     72.56
CO CAZZAGO SAN M        4.462    6/30/2037       EUR     70.56
CO CISON VALMARI        4.495    6/30/2031       EUR     73.29
CO GAVARDO              4.767    6/30/2037       EUR     73.82
CO PROVAGLIO DI         4.572    6/30/2037       EUR     71.67
CO PROVAGLIO DI         4.687    6/30/2036       EUR     73.20
CO SPOLETO              3.711    3/31/2026       EUR     69.95
CO VOBARNO              4.572    6/30/2037       EUR     71.67
COMU MONT LEOGRA        3.685    1/15/2026       EUR     69.96
COMU MONT LEOGRA        4.362    1/13/2037       EUR     69.61
PRALBOINO               4.567    6/30/2037       EUR     71.64
PROV DI VARESE          4.871    7/31/2047       EUR     73.56
PRVASCOLI PICENO        4.077    3/15/2026       EUR     72.89
TELECOM ITALIA          5.250    3/17/2055       EUR     74.67

LUXEMBOURG
----------
ARCELORMITTAL           7.250     4/1/2014       EUR     32.93
BREEZE FINANCE          6.708    4/19/2027       EUR     64.50
DEXIA BQ INT LUX        2.390    12/7/2021       EUR     72.86
LIGHTHOUSE INTL         8.000    4/30/2014       EUR     36.50
LIGHTHOUSE INTL         8.000    4/30/2014       EUR     37.25

NETHERLANDS
-----------
APP INTL FINANCE       11.750    10/1/2005       USD      0.01
BK NED GEMEENTEN        0.500    2/24/2025       CAD     53.29
BRIT INSURANCE          6.625    12/9/2030       GBP     66.36
DGS INTL FIN BV        10.000     6/1/2007       USD      0.01
ELEC DE CAR FIN         8.500    4/10/2018       USD     55.69
INDAH KIAT INTL        12.500    6/15/2006       USD      0.01
IVG FINANCE BV          1.750    3/29/2017       EUR     73.97
NATL INVESTER BK       25.983     5/7/2029       EUR     23.69
NED WATERSCHAPBK        0.500    3/11/2025       CAD     53.99
Q-CELLS INTERNAT        5.750    5/26/2014       EUR     67.37
RABOBANK                2.805    8/28/2020       AUD     74.45
RABOBANK                6.900     6/6/2017       RUB     91.77
RBS NV EX-ABN NV        6.316    6/29/2035       EUR     67.83
SIDETUR FINANCE        10.000    4/20/2016       USD     74.88
TJIWI KIMIA FIN        13.250     8/1/2001       USD      0.02

NORWAY
------
EKSPORTFINANS           0.500     5/9/2030       CAD     34.99
KOMMUNALBANKEN          0.500    9/24/2014       BRL     71.65

PORTUGAL
--------
CAIXA GERAL DEPO        5.380    10/1/2038       EUR     67.92
CAIXA GERAL DEPO        5.320     8/5/2021       EUR     73.22
CAIXA GERAL DEPO        4.400    10/8/2019       EUR     71.58
CAIXA GERAL DEPO        4.250    1/27/2020       EUR     77.38
METRO DE LISBOA         4.061    12/4/2026       EUR     73.39
PARPUBLICA              3.567    9/22/2020       EUR     70.73
PORTUGUESE OT'S         4.100    4/15/2037       EUR     70.31

RUSSIA
------
APK ARKADA             17.500    5/23/2012       RUB      0.38
ARKTEL-INVEST          12.000     4/9/2012       RUB      0.05
BARENTSEV FINANS       20.000     7/4/2011       RUB    101.53
DVTG-FINANS            17.000    8/29/2013       RUB      9.00
EUROKOMMERZ            16.000    3/15/2011       RUB      0.01
IART                   12.000     8/4/2013       RUB      1.00
IZHAVTO                18.000     6/9/2011       RUB     11.31
M-INDUSTRIYA           12.250    8/16/2011       RUB     27.03
MACROMIR-FINANS         7.750     7/3/2012       RUB      0.30
MIG-FINANS              0.100     9/6/2011       RUB      1.00
MIRAX                  14.990    5/17/2011       RUB     29.03
MIRAX                  17.000    9/17/2012       RUB     17.55
MOSMART FINANS          0.010    4/12/2012       RUB      2.11
MOSOBLGAZ              12.000    5/17/2011       RUB     72.50
MOSOBLTRUSTINVES       20.000    3/26/2011       RUB      6.99
NOK                    12.500    8/26/2014       RUB      0.40
NOK                    10.000    9/22/2011       RUB      8.51
NOVYE TORGOVYE S       15.000    4/26/2011       RUB     65.40
RYBINSKKABEL            0.010    2/28/2012       RUB      0.04
SAHO                   10.000    5/21/2012       RUB     50.00
SATURN                  8.500     6/6/2014       RUB      1.00
SEVENTH CONTINE         9.000    6/14/2012       RUB     50.01
SEVKABEL-FINANS        10.500    3/27/2012       RUB      3.40
SVOBODNY SOKOL          0.100    5/24/2011       RUB     70.00
TECHNOSILA-INVES        7.000    5/26/2011       RUB     10.20
TERNA-FINANS            1.000    11/4/2011       RUB      4.01
TRANSFIN-M             10.750    8/10/2012       RUB    100.00
VESTER-FINANS          15.250    8/11/2011       RUB      4.81
VKM-LEASING FINA        1.000    5/18/2011       RUB     80.00

SPAIN
-----
AYT CEDULAS CAJA        4.750    5/25/2027       EUR     71.24
AYT CEDULAS CAJA        3.750    6/30/2025       EUR     62.86
BANCAJA                 1.500    5/22/2018       EUR     63.01
BANCAJA EMI SA          2.755    5/11/2037       JPY     68.58
BANCO GUIPUZCOAN        1.500    4/18/2022       EUR     58.65
CAJA CASTIL-MAN         1.500    6/23/2021       EUR     54.71
CAJA MADRID             4.125    3/24/2036       EUR     70.62
CAJA MADRID             5.755    2/26/2028       EUR     73.97
CAJA MADRID             4.000     2/3/2025       EUR     77.29
CEDULAS TDA 6           3.875    5/23/2025       EUR     64.20
CEDULAS TDA A-5         4.250    3/28/2027       EUR     65.35
CEDULAS TDA A-6         4.250    4/10/2031       EUR     59.29
COMUNIDAD ARAGON        4.646    7/11/2036       EUR     74.08
GEN DE CATALUNYA        5.400    5/13/2030       EUR     74.54
GEN DE CATALUNYA        4.220    4/26/2035       EUR     69.89
GENERAL DE ALQUI        2.750    8/20/2012       EUR     71.73
IM CEDULAS 5            3.500    6/15/2020       EUR     74.00
IM CEDULAS 7            4.000    3/31/2021       EUR     75.93
JUNTA LA MANCHA         3.875    1/31/2036       EUR     58.43

SWEDEN
------
SWEDISH EXP CRED        8.000    11/4/2011       USD      9.30
SWEDISH EXP CRED        0.500    9/29/2015       BRL     66.11
SWEDISH EXP CRED        9.000    8/12/2011       USD     10.15

SWITZERLAND
-----------
UBS AG                 13.700    5/23/2012       USD     14.15
UBS AG                 10.580    6/29/2011       USD     39.57
UBS AG                 13.300    5/23/2012       USD      4.03
UBS AG JERSEY          16.160    3/31/2011       USD     42.07
UBS AG JERSEY          13.900    1/31/2011       USD     33.88
UBS AG JERSEY          14.640    1/31/2011       USD     35.68
UBS AG JERSEY          16.170    1/31/2011       USD     12.57
UBS AG JERSEY          10.000    2/11/2011       USD     58.25
UBS AG JERSEY          15.250    2/11/2011       USD     11.25
UBS AG JERSEY          11.000    2/28/2011       USD     70.05
UBS AG JERSEY          12.800    2/28/2011       USD     33.33
UBS AG JERSEY          11.400    3/18/2011       USD     25.01
UBS AG JERSEY          10.990    3/31/2011       USD     31.36
UBS AG JERSEY          10.820    4/21/2011       USD     21.09
UBS AG JERSEY          10.650    4/29/2011       USD     15.50
UBS AG JERSEY          10.760    7/29/2011       USD     10.43
UBS AG JERSEY          12.160    7/29/2011       USD     25.10
UBS AG JERSEY          12.640    7/29/2011       USD     34.30
UBS AG JERSEY          10.280    8/19/2011       USD     35.67
UBS AG JERSEY          10.360    8/19/2011       USD     53.58
UBS AG JERSEY          11.150    8/31/2011       USD     39.91
UBS AG JERSEY           9.350    9/21/2011       USD     69.83
UBS AG JERSEY           9.450    9/21/2011       USD     50.48
UBS AG JERSEY           3.220    7/31/2012       EUR     46.36

UNITED KINGDOM
--------------
BANK OF SCOTLAND        6.984     2/7/2035       EUR     73.98
BARCLAYS BK PLC        10.950    5/23/2011       USD     65.68
BARCLAYS BK PLC        13.000    5/23/2011       USD     23.10
BARCLAYS BK PLC        10.510    5/31/2011       USD     13.12
BARCLAYS BK PLC         9.400    7/31/2012       USD     11.46
BARCLAYS BK PLC         9.500    8/31/2012       USD     29.99
BARCLAYS BK PLC        10.800    7/31/2012       USD     27.67
BARCLAYS BK PLC         9.250    8/31/2012       USD     35.27
BARCLAYS BK PLC         7.610    6/30/2011       USD     52.25
BARCLAYS BK PLC         9.000    6/30/2011       USD     43.97
BARCLAYS BK PLC         7.500    9/22/2011       USD     16.88
BARCLAYS BK PLC         8.750    9/22/2011       USD     72.21
BARCLAYS BK PLC         8.800    9/22/2011       USD     16.37
BARCLAYS BK PLC        13.050    4/27/2012       USD     27.15
BARCLAYS BK PLC        12.950    4/20/2012       USD     23.97
BARCLAYS BK PLC         8.550    1/23/2012       USD     11.57
BARCLAYS BK PLC        10.350    1/23/2012       USD     21.00
BRADFORD&BIN BLD        5.500    1/15/2018       GBP     45.57
BRADFORD&BIN BLD        4.910     2/1/2047       EUR     68.29
BRADFORD&BIN PLC        7.625    2/16/2049       GBP     47.93
BRADFORD&BIN PLC        6.625    6/16/2023       GBP     43.47
CO-OPERATIVE BNK        5.875    3/28/2033       GBP     70.08
DISCOVERY EDUCAT        1.948    3/31/2037       GBP     65.37
EFG HELLAS PLC          6.010     1/9/2036       EUR     21.63
EFG HELLAS PLC          5.400    11/2/2047       EUR     52.63
ENTERPRISE INNS         6.375    9/26/2031       GBP     71.05
HBOS PLC                6.000    11/1/2033       USD     69.99
HBOS PLC                6.000    11/1/2033       USD     69.99
HBOS PLC                4.500    3/18/2030       EUR     74.21
HEALTHCARE SUPP         2.067    2/19/2043       GBP     68.29
KEELE RESIDENT          2.108    1/31/2047       GBP     74.10
NORTHERN ROCK           4.574    1/13/2015       GBP     76.68
NORTHERN ROCK           5.750    2/28/2017       GBP     71.33
PUNCH TAVERNS           6.468    4/15/2033       GBP     40.06
PUNCH TAVERNS           7.567    4/15/2026       GBP     49.01
PUNCH TAVERNS           8.374    7/15/2029       GBP     51.07
ROYAL BK SCOTLND        6.316    6/29/2030       EUR     68.37
RSL COMM PLC            9.125     3/1/2008       USD      1.31
RSL COMM PLC           10.125     3/1/2008       USD      1.31
SKIPTON BUILDING        6.750    5/30/2022       GBP     64.81
SKIPTON BUILDING        5.625    1/18/2018       GBP     71.87
TXU EASTERN FNDG        6.750    5/15/2009       USD      2.88
TXU EASTERN FNDG        6.450    5/15/2005       USD      2.88
UNIQUE PUB FIN          7.395    3/28/2024       GBP     74.48
UNIQUE PUB FIN          6.464    3/30/2032       GBP     63.56
WESSEX WATER FIN        1.369    7/31/2057       GBP     31.66


                            *********

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, Julie Anne G. Lopez, Frauline S. Abangan and
Peter A. Chapman, Editors.

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

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

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

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


                 * * * End of Transmission * * *