TCREUR_Public/101230.mbx         T R O U B L E D   C O M P A N Y   R E P O R T E R

                           E U R O P E

          Thursday, December 30, 2010, Vol. 11, No. 261

                            Headlines



A U S T R I A

HYPO ALPE: Ex-Croatian Prime Minister Denies Accepting Kickbacks


F R A N C E

BELVEDERE SA: CEO Asks Regulator to Investigate Stock Movements


I R E L A N D

ALLIED IRISH: Faces EUR2MM Fine for Overcharging Customers
ANGLO IRISH: Ex-Chief Drumm Spends EUR10,000 to Run Luxury Homes
ERC IRELAND: Moody's Reviews 'Caa1' Corporate Family Rating
TBS INTERNATIONAL: Lenders Extend Forbearance Until Jan. 31


U N I T E D   K I N G D O M

BLADE TOOLING: Staff Awaits Fate Following Administration
INEOS GROUP: Mulls Joint Ventures with Companies in Asia
LEHMAN BROTHERS: European Unit Loses Suits Over 5 Swap Agreements
PONTIN'S: Gets Offers From Potential Buyers, Administrators Say
ROYAL BANK: British Investors Mull Class Action in UK Courts

ROYAL BANK: Charged Less APS Fee by Government, NAO Report Shows
WHITEHAVEN RLFC: Copeland Council to Repay GBP75,000 Loan


X X X X X X X X

* Upcoming Meetings, Conferences and Seminars




                            *********


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A U S T R I A
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HYPO ALPE: Ex-Croatian Prime Minister Denies Accepting Kickbacks
----------------------------------------------------------------
Gordana Seler at Reuters reports that former Croatian Prime
Minister Ivo Sanader on Dec. 22 denied allegations he accepted
kickbacks from Hypo Alpe Adria bank, which was nationalized after
suffering serious losses in the Balkans.

Mr. Sanader, arrested in Austria earlier this month on a Croatian
warrant in a different case, testified to an inquiry by the
regional parliament in Austria's Carinthia state into the failure
of Hypo Alpe Adria bank, Reuters relates.

"I have a clear conscience with regard to Hypo. I never received
any money or commissions," Mr. Sanader said via video link to the
hearing from Salzburg, where he was being held, according to
Reuters.

Croatian prosecutors suspect Mr. Sanader of being behind a plan to
create slush funds for his conservative HDZ party during his term
as prime minister from 2004 to 2009, Reuters discloses.

Former Hypo chief executive Wolfgang Kulterer, who is awaiting
trial on charges of illegally diverting bank funds, has also
denied that the bank paid Mr. Sanader any commission, Reuters
notes.

                               Probe

As reported by the Troubled Company Reporter-Europe, the European
Commission on Tuesday, May 12, 2009, opened under EC Treaty state
aid rules an in-depth investigation into state support measures
for German Landesbank BayernLB and its Austrian subsidiary Hypo
Group Alpe Adria (HGAA).  BayernLB obtained rescue aid in the form
of a capital injection of EUR10 billion and a risk shield of
EUR4.8 billion, endorsed by the Commission on December 18, 2008.
Also in December 2008 HGAA received EUR0.7 billion capital
injection from BayernLB.  In addition, HGAA received a EUR0.9
billion capital injection from Austria on the basis of the
Austrian banking emergency rescue scheme, approved by the
Commission in December 2008.

Hypo Alpe-Adria International AG is a subsidiary of BayernLB.  It
is active in banking and leasing with a balance sheet of EUR43
billion.  In banking, HGAA serves both corporate and retail
customers and offers services ranging from traditional lending
through savings and deposits to complex investment products and
asset management services.

                           *     *     *

As reported by the Troubled Company Reporter-Europe on Aug. 5,
2010, Moody's Investors Service downgraded to Baa3 from Baa2 the
long-term debt and deposit ratings of Hypo Alpe-Adria-Bank
International AG and its ratings for subordinated liabilities to
Ba1 from Baa3.  Concurrently, the bank's short-term rating was
downgraded to P-3.  Hypo Alpe Adria's E Bank financial strength
rating, mapping to a stand-alone Baseline Credit Assessment of
Caa2, was affirmed with a stable outlook.  The multi-notch uplift
for the bank's deposit and debt ratings reflects Moody's
assessment of a very high probability of ongoing systemic support.
The outlook on the debt and deposit ratings is negative.

Moody's decision to downgrade Hypo Alpe Adria's long-term debt
ratings by only one notch follows the recent completion of another
EUR450 million capital injection by the Republic of Austria and
EUR150 million by the State of Carinthia, as announced in December
2009.  Moody's said the E BFSR reflects Moody's view that, the
recent capital injections notwithstanding, Hypo Alpe Adria is
likely to continue to face substantial challenges in its efforts
to rebuild some of its previous financial strength.


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F R A N C E
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BELVEDERE SA: CEO Asks Regulator to Investigate Stock Movements
---------------------------------------------------------------
David Whitehouse at Bloomberg News, citing French daily La
Tribune, reports that Belvedere SA Chief Executive Officer Jacques
Rouvroy has written to France's AMF stock-market regulator seeking
an investigation into movements in the company's stock.

Bloomberg relates that Belvedere shares have almost doubled since
the start of November and increased 18% on Dec. 23.  According to
Bloomberg, an unidentified AMF spokesman, as cited by La Tribune,
said the letter had been received and declined to comment further.

                          Recovery Plan

As reported by the Troubled Company Reporter-Europe on Dec. 15,
2010, Bloomberg News said Belvedere made a preliminary payment to
bondholders of EUR23 million (US$30.8 million) and postponed its
sale of units including Marie Brizard and Polish distributors,
which had been part of its court-approved bankruptcy recovery
plan.  Belvedere's recovery plan was approved in November 2009,
detailing steps including asset sales, Bloomberg disclosed.  The
company bought Marie Brizard, whose brands include Old Lady's Gin
and Tullamore Dew Whiskey, in 2005, in part by issuing Floating
Rate Notes, according to Bloomberg.  Bloomberg said Belvedere
violated terms of the notes, which led it to file for court
protection from creditors.

Belvedere SA -- http://www.belvedere.fr/-- is a France-based
company engaged in the production and distribution of beverages.
The Company's range of products includes vodka and spirits, wines,
and other beverages, under such brands as Sobieski, William Peel,
Marie Brizard, Danzka and others.  Belvedere SA operates through
its subsidiaries, including Belvedere Czeska, Belvedere
Scandinavia, Belvedere Baltic, Belvedere Capital Management,
Sobieski SARL and Sobieski USA, among others.  It is present in a
number of countries, such as Poland, Lithuania, Bulgaria, Denmark,
France, Spain, Russia, Ukraine, the United States and others.  In
addition, the Company holds a minority stake in Abbaye de
Talloires, involved in the hotel and wellness center.


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I R E L A N D
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ALLIED IRISH: Faces EUR2MM Fine for Overcharging Customers
----------------------------------------------------------
Conor Pope at The Irish Times reports that Allied Irish Banks has
been fined EUR2 million by the Central Bank -- the largest fine in
Irish retail banking history -- after it was found to have
overcharged significant numbers of its customers over a period of
several years.

According to The Irish Times, the bank also failed to introduce
proper systems to notify them of the irregularities and to issue
refunds on a timely basis.

The Irish Times relates that the Central Bank said AIB had been in
breach of the Consumer Protection Code, which outlines how all
banks must deal with consumers, over several years, and had
breached the code in three distinct ways.

It found 258,000 customers had been overcharged an average of just
under EUR100 each, The Irish Times discloses.  There had been an
unacceptable delay in notifying customers of the overcharging and
in issuing refunds, according to The Irish Times.  It said the
bank did not have in place adequate systems and controls to ensure
compliance with the code when it came to informing customers about
refunds due, The Irish Times states.

The Central Bank said the fine reflected the numbers of errors
involved, the amount of money involved, and the number of
consumers affected, The Irish Times notes.

                         Capital Injection

As reported by the Troubled Company Reporter-Europe on Dec. 29,
2010, The Financial Times said the Irish government took a further
step towards complete ownership of Allied Irish Banks as it won
court approval on Dec. 23 to inject EUR3.7 billion (US$4.85
billion) into the bank.  Finance Minister Brian Lenihan said the
capital injection from the country's National Pension Reserve Fund
would effectively raise the government's stake to 92.8% in AIB
early next year from the 18.6% it holds after last year's
investment of EUR3.5 billion, according to the FT.

Allied Irish Banks, p.l.c., together with its subsidiaries --
http://www.aibgroup.com/-- conducts retail and commercial banking
business in Ireland.  It also provides corporate lending and
capital markets activities from its head office at Bankcentre and
from Dublin's International Financial Services Centre.  The Group
also has overseas branches in the United States, Germany, France
and Australia, among other locations.  The business of AIB Group
is conducted through four operating divisions: AIB Bank Republic
of Ireland division, Capital Markets division, AIB Bank UK
division, and Central & Eastern Europe division.  In February
2008, the Group acquired the AmCredit mortgage business in the
Baltic states of Latvia, Lithuania and Estonia.  In September
2008, the Group also acquired a 49.99% shareholding in BACB.

                           *     *     *

As reported by the Troubled Company Reporter-Europe on Dec. 22,
2010, Standard & Poor's Ratings Services said that lowered its
rating on Allied Irish Banks PLC's nondeferrable subordinated debt
(lower Tier 2) securities to 'CCC' from 'B'.  S&P said he 'BBB/A-
2' counterparty credit ratings on AIB remain on CreditWatch with
negative implications where they were placed on Nov. 26, 2010.
Issuance guaranteed by the Republic of Ireland (A/Watch Neg/A-1)
is not affected by the rating action.  "The downgrade reflects
S&P's opinion that the likelihood of a liability management
exercise by AIB in respect of its lower Tier 2 instruments has
increased.  If the bank announces an exchange offer, S&P would
expect to characterize it as a "distressed exchange," said
Standard & Poor's credit analyst Nigel Greenwood.


ANGLO IRISH: Ex-Chief Drumm Spends EUR10,000 to Run Luxury Homes
----------------------------------------------------------------
Shane Phelan at Irish Independent reports that David Drumm, Anglo
Irish Bank's former chief executive, is spending almost EUR10,000
a month running two luxury homes he no longer lives in.

According to Irish Independent, US court records reveal the
running costs of his mansions in Cape Cod, Massachusetts, and
Malahide, Co Dublin, will come to EUR47,970 for the period between
November this year and March of 2011.  That works out at an
average of EUR9,594 a month, Irish Independent says.

The revelation came as a US bankruptcy trustee on Dec. 22 formally
put the Cape Cod property on the market with an asking price of
US$5.5 million (EUR4.2 million), Irish Independent relates.

Half of the proceeds of the sale will go to Mr. Drumm's wife,
Lorraine, Irish Independent relates discloses.

Records filed as part of the bankruptcy process reveal a host of
expenses being paid each month to maintain two mansions he co-
owns, Irish Independent notes.  According to The Irish Times, the
expenses are being met despite the fact that Mr. Drumm no longer
lives in either home and claims to have no funds.

His mansion in Malahide, in the exclusive Abington estate, has
average monthly running costs of around EUR1,500, according to
Irish Independent.

As part of a deal with bankruptcy trustee Kathleen Dwyer, these
costs will now be met by Mr. Drumm's wife until at least April 30
next year, by which time it is hoped the Chatham mansion will have
been sold, Irish Independent says.

As reported by the Troubled Company Reporter-Europe on Dec. 23,
2010, Irish Independent said the High Court Dec. 21 formally
overturned the transfer by former Mr. Drumm of his half-share in
the former family home into the sole ownership of his wife.  Irish
Independent disclosed in court proceedings against Mr. Drumm and
his wife Lorraine, Anglo had sought to overturn the May 2009
transfer of ownership of the property at Abington, Malahide, Co
Dublin, arguing it was a fraud on creditors.  The Drumms insisted
it was for tax reasons, Irish Independent noted.  Mr. Justice
Peter Kelly made an order setting aside "ab initio" the May 2009
transfer of the property from the joint ownership of David and
Lorraine Drumm into the sole name of Mrs. Drumm, according to
Irish Independent.

                      About Anglo Irish Bank

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

                        *     *     *

As reported by the Troubled Company Reporter-Europe on Dec. 1,
2010, DBRS downgraded the ratings of the Euro Dated Subordinated
Notes (specifically the EUR325.2 million Floating Rate
Subordinated Notes due 2014, EUR500 million Callable Subordinated
Floating Rate Notes due 2016 and the EUR750 million Dated
Subordinated Floating Rate Notes due 2017) (collectively referred
to as the 2017 Notes) issued by Anglo Irish Bank Corporation
Limited (Anglo Irish or the Bank) to 'D' from 'C'.  DBRS said the
downgrade follows the execution of the Bank's note exchange offer.
The default status for the exchanged and now-extinguished 2017
Notes reflects DBRS's view that bondholders were offered limited
options, which, as discussed in DBRS's press release dated
October 25, 2010, is considered a default per DBRS policy.

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


ERC IRELAND: Moody's Reviews 'Caa1' Corporate Family Rating
-----------------------------------------------------------
Moody's Investors Service has placed on review for possible
downgrade the Caa1 corporate family rating and probability-of-
default rating of ERC Ireland Finance Ltd, an indirect parent
company of eircom Group Ltd.  Concurrently, Moody's has placed on
review for possible downgrade the Caa3 ratings on (i) ERCIF's
EUR350 million worth of senior unsecured notes due in 2016; (ii)
the EUR350 million second-lien term loan of ERC Ireland Holdings
Ltd; and (iii) the B3 ratings of ERCIH's EUR3.3 billion senior
secured facility.

"The rating action follows eircom's announcement that its CFO,
Peter Cross, has decided to leave the company," Ivan Palacios, a
Moody's Vice President-Senior Analyst and lead analyst for eircom.
"In Moody's view, Mr. Cross' departure increases the uncertainty
regarding the timing and options considered by the company to
remediate its balance sheet, which remains highly leveraged.
While the company is undertaking a search for a permanent
replacement, the search may take some time and cause delays in the
process of determining how to deal with the expected covenant
breach in 2011," adds Mr. Palacios.

In its rating action of December 3, 2010, Moody's said that the
increased uncertainty regarding the economic outlook in Ireland
following the country's EU/IMF bailout could in turn (i) lead to a
steeper decline in eircom's revenues than originally anticipated;
and (ii) accelerate the company's breach of covenants under its
existing facilities, which Moody's had expected to occur in the
quarter ended June 2011, if not sooner.

Moody's review of ERCIF's ratings will focus on the impact of the
CFO's departure on the company's plans to remediate its balance
sheet.  The rating agency believes that the risk of eircom
potentially carrying out a debt restructuring has increased.  In
addition, Moody's notes that any negative implications on the
debt-holder's recovery prospects from potential restructuring
measures involving a discounted offer on debt components of the
capital structure could be considered a distressed exchange and,
by implication, a default under Moody's methodologies.  Moody's
expects to conclude the review process within one month.

The ratings could be downgraded as a result of (i) an absence of a
detailed plan to reset covenants or receive an equity injection;
and/or (ii) indications that eircom might consider a discounted
offer on the debt components of its capital structure.

Moody's previous rating action on eircom was implemented on
December 3, 2010, when the rating agency downgraded to Caa1 from
B3 the CFR and PDR of ERCIF.

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


TBS INTERNATIONAL: Lenders Extend Forbearance Until Jan. 31
-----------------------------------------------------------
TBS International plc on Monday disclosed that its various lender
groups have agreed to extend the current forbearance period until
January 31, 2011.  During such period, the lender groups will
continue to forbear from exercising their rights and remedies
which arise from the Company's failure to make principal payments
when due.  The Company will not make principal payments due on its
financing facilities during the extended forbearance period, but
it will continue to pay interest on those facilities at the
default interest rate.  The Company and its lenders continue to
negotiate amendments to its various financing facilities that will
change the current payment schedules and cure any existing
defaults, and TBS believes that appropriate amendments to its
various financing facilities will be executed prior to the
expiration of the deferral.

Pursuant to the extended forbearance agreements, the minimum cash
liquidity covenant applicable during the forbearance period
requires the Company's cash balance, as of the last business day
of any week or its weekly average, to be at least US$15 million.


                    About TBS International plc

Dublin, Ireland-based TBS International plc (NASDAQ: TBSI)
-- http://www.tbsship.com/-- is a fully-integrated transportation
service company that provides worldwide shipping solutions to a
diverse client base of industrial shippers.

As reported in the Troubled Company Reporter on March 19, 2010,
PricewaterhouseCoopers LLP, in New York, expressed substantial
doubt about the Company's ability to continue as a going concern,
following its 2009 results.  The independent auditors noted that
the Company believes it will not be in compliance with the
financial covenants under its credit facilities during 2010, which
under the agreements would make the debt callable.  "This has
created uncertainty regarding the Company's ability to fulfill its
financial commitments as they become due."


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U N I T E D   K I N G D O M
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BLADE TOOLING: Staff Awaits Fate Following Administration
---------------------------------------------------------
BBC News reports that Blade Tooling Company Limited and Blade
Technology's staff are due to learn more about their future in the
new year after two firms went into administration.

According to BBC, staff members are expected to report back to
work on January 4.

As reported by the Troubled Company Reporter-Europe on Dec. 28,
2010, BBC said Will Wright and Mark Orton of KPMG were appointed
joint administrators of the companies on Dec. 23.  Administrators
KPMG said no redundancies have yet been made at the companies, BBC
noted.  KPMG said the businesses, which employ 57 and eight people
respectively, were continuing to trade while a buyer was sought,
according to BBC.  It added the firms have suffered as a result of
"tough" trading conditions, BBC said.


INEOS GROUP: Mulls Joint Ventures with Companies in Asia
--------------------------------------------------------
Peter Marsh at The Financial Times reports that Ineos is moving to
diversify away from its European roots through joint ventures with
companies in Asia and other emerging regions in high-growth areas
of chemicals manufacturing.

According to the FT, the company is particularly keen on deals
with Chinese companies in the production of acrylonitrile, a raw
material used in carbon fiber, a light yet strong substance that
is becoming increasingly important in industries such as aircraft
and car manufacturing.

The plans by Ineos come as the group is emerging from a difficult
period in which its future was threatened by high debt and a
collapse in earnings triggered by a slump in demand caused by the
recession, the FT notes.

The FT relates that Tom Crotty, a senior Ineos director, said the
company hoped to form joint ventures in acrylonitrile production
with Chinese chemicals manufacturers.  In such joint ventures, the
Chinese companies would gain from Ineos's technological know-how,
the FT says.  The company, meanwhile, would increase its
operations in a part of the world where it is weak, the FT states.

Mr. Crotty, as cited by the FT, said that in the next two years
Ineos could form "four or five" joint ventures as a way to
increase its operations outside Europe and the US.

                         About INEOS Group

INEOS Group is a diversified chemical company consisting of
several businesses.  Product lines include ethylene oxide-based
specialty and intermediate chemicals, fluorochemicals used as
refrigerants and propellants, and phenol and acetate products.
INEOS Chlor makes chlor-alkali chemicals, and INEOS Films and
Compounds manufactures PVC and PET films.  INEOS Group was formed
in 1998 after a management buyout led by CEO Jim Ratcliffe, who
controls the group.  Mr. Ratcliffe has placed INEOS among the
world's top chemical companies (with ExxonMobil, Dow, and BASF)
through his many and varied acquisitions.

                          *     *     *

As reported by the Troubled Company Reporter-Europe on Nov. 2,
2010, Moody's Investors Service undertook a series of rating
actions related to Ineos Group Holdings plc and its various debt
instruments in conjunction with upgrading the corporate family
rating by one notch to B3 and assigning a stable outlook:

(i) The ratings on the first lien senior secured bank facilities
and notes were upgraded by one notch to B1,

(ii) The ratings on 2015 second lien senior secured loans were
upgraded by one notch to Caa1, and

(iii) The ratings on 2016 senior guaranteed notes were upgraded by
one notch to Caa2.


LEHMAN BROTHERS: European Unit Loses Suits Over 5 Swap Agreements
-----------------------------------------------------------------
James Lumley and Lindsay Fortado reporting for Bloomberg News said
in a December 21 report that Lehman Brothers Holdings Inc.'s
former U.K. unit lost a lawsuit over five swaps agreements and
can't force the parties on the other side of the deals to pay the
bank.

The refusal of the five counterparties mentioned in the cases to
pay on the interest-rate swaps will cost Lehman Brothers
International Europe around US$90 million, the judgment said,
according to the report.

U.K. judge Justice Michael Briggs rejected the LBIE
Administrators' argument that the condition precedent in Section
2(a)(iii) of the ISDA Master Agreements should be interpreted as
being subject to a limitation that it may only be relied upon for
a "reasonable time" and their argument that a Non-defaulting
Party had any obligation to designate an Early Termination Date.

According to news reports, the U.K. Court found that Section
2(a)(iii) is "suspensive" in effect, overturning the non-binding
comments in the Marine Trade case that Section 2(a)(iii) is a
once-and-for-all test.

The U.K. Court also held that there was no breach of the anti-
deprivation principle under English insolvency law in the context
of the swaps between the parties, reports said.

LBIE lawyer William Trower said at a hearing December 6 that the
bank wanted clarification of rules established by the
International Swaps and Derivatives Association, or ISDA,
Bloomberg related.  Justice Briggs said in his ruling that his
decision should only be applied to the five swaps at issue in
this case, the news agency added.

LBIE had about 2,000 open swap transactions at the time it went
into administration in September 2008.  Of those, at least 1,693
had been closed at the time of the insolvency filing.

"This is a decision on these five interest rate swaps, rather
than one which may automatically be relied upon in relation to
all possible circumstances when an ISDA Master Agreement might be
used," Justice Briggs said, Bloomberg related.

Stephanie Howel, spokeswoman at PricewaterhouseCoopers, the
administrators to LBIE, didn't immediately respond to a message
seeking comment.

In related news, Dow Jones Newswires reported on December 23 that
a Lehman Brothers Europe International case that centers on the
right of the bank's clients to access billions in ring-fenced
money will be heard by the UK Supreme Court, a court spokesman
said.

                  ISDA Reacts to LBIE Judgment

The International Swaps and Derivatives Association, Inc., who
sought and was granted permission to intervene in the swaps case,
found the U.K. Court's rulings surprising and is at odds with the
market's expectations, according to a news report by Risk Center,
a financial risk management media company.  Nothing in the ISDA
Master Agreement suggests that those suspended obligations would
be extinguished at the end of the transaction's term, the ISDA
said, according to the report.

According to the same report, even before the Lehman case had
been brought, the ISDA had started the process of preparing a
form of amendment to Section 2(a)(iii) in response to concerns
raised by supervisors, including the U.K. Treasury, as to the
potential effect of Section 2(a)(iii) following the failure of a
major financial institution.  This process will continue, and
whatever the ultimate outcome of the Lehman case after any
appeals, the ISDA said it will consult with its members to agree
a form of amendment to Section 2(a)(iii) that ISDA will make
available to market participants in order to enable them to amend
their ISDA Master Agreements.

                       About Lehman Brothers

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

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

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

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

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

                 International Operations Collapse

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

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

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


PONTIN'S: Gets Offers From Potential Buyers, Administrators Say
---------------------------------------------------------------
ThisisSomerset reports that administrators for Pontin's say a
number of bidders have made offers for the firm.

According to ThisisSomerset, KPMG will shortlist the bids before
starting negotiations with potential buyers.

It is thought unlikely that the sale will be concluded before
2011, ThisisSomerset says.

ThisisSomerset relates that administrators said it was "business
as usual".

Newspaper reports suggest interested parties were mainly property
developers looking to redevelop the sites for housing,
ThisisSomerset notes.

As reported by the Troubled Company Reporter-Europe on Nov. 16,
2010, BBC News said Pontin's was profitable but had been a victim
of the credit crunch and had
gone into administration because its bank had withdrawn its
support.

Pontin's, known for its Bluecoats entertainers, was established in
1946 and at its height owned more than 30 parks.  It was founded
by Fred Pontin, who was well ahead of his rivals when he spotted
the trend for self-catering holiday villages.


ROYAL BANK: British Investors Mull Class Action in UK Courts
------------------------------------------------------------
Victoria Thomson at The Scotsman reports that Royal Bank of
Scotland could face a class action lawsuit in the UK courts as a
number of British investors are understood to be mulling a joint
challenge.

According to The Scotsman, it is believed a group of mostly
institutional investors are looking into launching a case early
next year amid continued question marks over RBS's decision to tap
investors for GBP12 billion shortly before it went cap in hand to
the government for a taxpayer bail-out.

RBS is the subject of several class action cases in the US but,
until now, UK investors have pursued their grievances individually
or sought to take action across the Atlantic where it is thought
such actions are easier to win, The Scotsman discloses.

If the case goes ahead, it would be the first time the bank would
face a combined lawsuit from a number investors in the British
courts, The Scotsman notes.

As reported by the Troubled Company Reporter-Europe, BBC News said
the Financial Services Authority ruled on December 2 that RBS had
made bad decisions ahead of a government bail-out in 2008, but
cleared it of any wrongdoing, BBC discloses.  The FSA
investigation followed the near-collapse of RBS, which was saved
only after the government stepped in with a rescue package
that has left the taxpayer owning 84% of the bank, BBC disclosed.
It accused RBS executives of poor judgment in connection with the
acquisition of Dutch bank ABN Amro, which left the UK bank
severely undercapitalized going into the 2008 financial crisis,
according to BBC.

                            About RBS

The Royal Bank of Scotland Group plc (NYSE:RBS) --
http://www.rbs.com/-- is a holding company of The Royal Bank of
Scotland plc (Royal Bank) and National Westminster Bank Plc
(NatWest), which are United Kingdom-based clearing banks.  The
company's activities are organized in six business divisions:
Corporate Markets (comprising Global Banking and Markets and
United Kingdom Corporate Banking), Retail Markets (comprising
Retail and Wealth Management), Ulster Bank, Citizens, RBS
Insurance and Manufacturing.  On October 17, 2007, RFS Holdings
B.V. (RFS Holdings), a company jointly owned by RBS, Fortis N.V.,
Fortis SA/NV and Banco Santander S.A. (the Consortium Banks) and
controlled by RBS, completed the acquisition of ABN AMRO Holding
N.V. (ABN AMRO).  In July 2008, the company disposed of its entire
interest in Global Voice Group Ltd.


ROYAL BANK: Charged Less APS Fee by Government, NAO Report Shows
----------------------------------------------------------------
Philip Aldrick at The Daily Telegraph reports that the Government
could have charged Lloyds Banking Group and Royal Bank of Scotland
an extra GBP3.9 billion to use the Asset Protection Scheme (APS)
for their toxic debts.

According to The Daily Telegraph, RBS placed GBP282 billion in the
fully-formed APS in November 2009, when the minimum exit fee was
also set at GBP2.5 billion.  The Government also injected another
GBP25.5 billion into the bank, lifting the taxpayer's stake to
83%, The Daily Telegraph recounts.  The Daily Telegraph relates
that in a report on the giant taxpayer-backed insurance scheme,
which was set up in 2009 to prevent the lenders' collapse, the
National Audit Office said an exit fee of GBP4.4 billion "could
have been justified."

Under the terms of the deal struck with RBS, the bank will bear
the first GBP60 billion of losses and 10% of any subsequent hit,
The Daily Telegraph states.  As of September, losses on APS assets
stood at GBP37 billion, The Daily Telegraph notes.  The NAO found
that the taxpayer will bear a cost, after fees, if losses on the
GBP282 billion portfolio top GBP76 billion, according to The Daily
Telegraph.

The Daily Telegraph says once losses reach GBP73 billion, the
report also found, "the financial incentive on RBS to restrict
further losses would weaken significantly".

The Asset Protection Agency, which is responsible for ensuring RBS
runs the APS assets in the taxpayers' best interests, has
estimated "there may be a temporary breach of the first loss by
the end of 2011, but subsequent recoveries are expected to keep
the lifetime expected net loss at GBP57 billion", the NAO pointed
out, according to The Daily Telegraph.

                            About RBS

The Royal Bank of Scotland Group plc (NYSE:RBS) --
http://www.rbs.com/-- is a holding company of The Royal Bank of
Scotland plc (Royal Bank) and National Westminster Bank Plc
(NatWest), which are United Kingdom-based clearing banks.  The
company's activities are organized in six business divisions:
Corporate Markets (comprising Global Banking and Markets and
United Kingdom Corporate Banking), Retail Markets (comprising
Retail and Wealth Management), Ulster Bank, Citizens, RBS
Insurance and Manufacturing.  On October 17, 2007, RFS Holdings
B.V. (RFS Holdings), a company jointly owned by RBS, Fortis N.V.,
Fortis SA/NV and Banco Santander S.A. (the Consortium Banks) and
controlled by RBS, completed the acquisition of ABN AMRO Holding
N.V. (ABN AMRO).  In July 2008, the company disposed of its entire
interest in Global Voice Group Ltd.


WHITEHAVEN RLFC: Copeland Council to Repay GBP75,000 Loan
---------------------------------------------------------
Alan Irving at News & Star reports that a GBP75,000 loan given to
Whitehaven RLFC will be repaid by Copeland's council tax payers.

According to News & Star, the council agreed to act as guarantors
for the loan from the West Cumbria Development Fund (WCDF) to help
the rugby league club stay in business.  But when the club went
into administration in September, effectively clearing its
GBP300,000 debt, the move triggered the need to repay the loan,
News & Star relates.

The issue was top of the agenda at the WCDF's recent board
meeting, but Copeland Council has now said that it will repay the
loan rather than WCDF having to formally call it in, News & Star
discloses.

The council also faces having to pay back a GBP50,000 bank
overdraft which it agreed to guarantee to help Whitehaven RLFC
survive around the same time as the GBP75,000 loan, News & Star
notes.

Some council insiders say there may be a possibility of the
council being indemnified against the potential loss, according to
News & Star.

Whitehaven RLFC is a rugby league club playing in Whitehaven in
West Cumbria.  They play in Co-operative Championship.


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


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

January 26-28, 2011
  TURNAROUND MANAGEMENT ASSOCIATION
     TMA Distressed Investing Conference
        Aria Las Vegas
           Contact: http://www.turnaround.org/

Jan. 27-28, 2011
  AMERICAN BANKRUPTCY INSTITUTE
     Rocky Mountain Bankruptcy Conference
        Westin Tabor Center, Denver, Colo.
           Contact: 1-703-739-0800; http://www.abiworld.org/

Feb. 3-5, 2011
  AMERICAN BANKRUPTCY INSTITUTE
     Caribbean Insolvency Symposium
        Westin Casuarina Resort & Spa, Grand Cayman Island
           Contact: 1-703-739-0800; http://www.abiworld.org/

Feb. 24-25, 2011
  AMERICAN BANKRUPTCY INSTITUTE
     Valcon
        Four Seasons Las Vegas, Las Vegas, Nev.
           Contact: 1-703-739-0800; http://www.abiworld.org/

Mar. 4, 2011
  AMERICAN BANKRUPTCY INSTITUTE
     Bankruptcy Battleground West
        Hyatt Regency Century Plaza, Los Angeles, Calif.
           Contact: 1-703-739-0800; http://www.abiworld.org/

Mar. 7-9, 2011
  AMERICAN BANKRUPTCY INSTITUTE
     Conrad Duberstein Moot Court Competition
        Duberstein U.S. Courthouse, New York, N.Y.
           Contact: 1-703-739-0800; http://www.abiworld.org/

Mar. 10, 2011
  AMERICAN BANKRUPTCY INSTITUTE
     Nuts and Bolts - Florida
        Tampa, Fla.
           Contact: 1-703-739-0800; http://www.abiworld.org/

Mar. 10-12, 2011
  AMERICAN BANKRUPTCY INSTITUTE
     SUCL/ Alexander L. Paskay Seminar on
     Bankruptcy Law and Practice
        Marriott Tampa Waterside, Tampa, Fla.
           Contact: 1-703-739-0800; http://www.abiworld.org/

Mar. 17-19, 2011
  AMERICAN BANKRUPTCY INSTITUTE
     Byrne Judicial Clerkship Institute
        Pepperdine University School of Law, Malibu, Calif.
           Contact: 1-703-739-0800; http://www.abiworld.org/

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

April 27-29, 2011
  TURNAROUND MANAGEMENT ASSOCIATION
     TMA Spring Conference
        JW Marriott, Chicago, IL
           Contact: http://www.turnaround.org/

May 5, 2011
  AMERICAN BANKRUPTCY INSTITUTE
     Nuts and Bolts - New York City
        Association of the Bar of the City of New York,
        New York, N.Y.
           Contact: 1-703-739-0800; http://www.abiworld.org/

May 6, 2011
  AMERICAN BANKRUPTCY INSTITUTE
     New York City Bankruptcy Conference
        Hilton New York, New York, N.Y.
           Contact: 1-703-739-0800; http://www.abiworld.org/

June 6, 2011
  AMERICAN BANKRUPTCY INSTITUTE
     Canadian-American Cross-Border Insolvency Symposium
        Fairmont Royal York, Toronto, Ont.
           Contact: 1-703-739-0800; http://www.abiworld.org/

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

July 21-24, 2011
  AMERICAN BANKRUPTCY INSTITUTE
     Northeast Bankruptcy Conference
        Hyatt Regency Newport, Newport, R.I.
           Contact: 1-703-739-0800; http://www.abiworld.org/

July 27-30, 2011
  AMERICAN BANKRUPTCY INSTITUTE
     Southeast Bankruptcy Workshop
        The Sanctuary at Kiawah Island, Kiawah Island, S.C.
           Contact: 1-703-739-0800; http://www.abiworld.org/

Aug. 4-6, 2011
  AMERICAN BANKRUPTCY INSTITUTE
     Mid-Atlantic Bankruptcy Workshop
        Hotel Hershey, Hershey, Pa.
           Contact: 1-703-739-0800; http://www.abiworld.org/

Oct. 14, 2011
  AMERICAN BANKRUPTCY INSTITUTE
     NCBJ/ABI Educational Program
        Tampa Convention Center, Tampa, Fla.
           Contact: 1-703-739-0800; http://www.abiworld.org/

Oct. __, 2011
  AMERICAN BANKRUPTCY INSTITUTE
     International Insolvency Symposium
        Dublin, Ireland
           Contact: 1-703-739-0800; http://www.abiworld.org/

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

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

Apr. 19-22, 2012
  AMERICAN BANKRUPTCY INSTITUTE
     Annual Spring Meeting
        Gaylord National Resort & Convention Center,
        National Harbor, Md.
           Contact: 1-703-739-0800; http://www.abiworld.org/

July 14-17, 2012
  AMERICAN BANKRUPTCY INSTITUTE
     Southeast Bankruptcy Workshop
        The Ritz-Carlton Amelia Island, Amelia Island, Fla.
           Contact: 1-703-739-0800; http://www.abiworld.org/

Aug. 2-4, 2012
  AMERICAN BANKRUPTCY INSTITUTE
     Mid-Atlantic Bankruptcy Workshop
        Hyatt Regency Chesapeake Bay, Cambridge, Md.
           Contact: 1-703-739-0800; http://www.abiworld.org/

Nov. 29 - Dec. 2, 2012
  AMERICAN BANKRUPTCY INSTITUTE
     Winter Leadership Conference
        JW Marriott Starr Pass Resort & Spa, Tucson, Ariz.
           Contact: 1-703-739-0800; http://www.abiworld.org/


                            *********

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

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

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

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


                            *********


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

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