/raid1/www/Hosts/bankrupt/TCREUR

/raid1/www/Hosts/bankrupt/TCREUR_Public/110128.mbx T R O U B L E D C O M P A N Y R E P O R T E R E U R O P E Friday, January 28, 2011, Vol. 12, No. 20 Headlines B U L G A R I A MKB UNIONBANK: Moody's Lowers Financial Strength Rating to 'E+' F R A N C E CMA CGM: Mulls Up to U$800 Million High-Yield Bond Issue GROUPE VIAL: Toulon Court Grants Creditor Protection for Two Units H U N G A R Y BKV: Budapest Needs Government Funding to Avert Bankruptcy MORAKERT: Csongrad Court Orders Liquidation * HUNGARY: Budapest Needs Drastic Measures to Avert Bankruptcy I R E L A N D QUINN INSURANCE: Forensic Review by Ernst & Young Well Advanced * IRELAND: Larger Bank Loan Losses Expected in Second Stress Tests I T A L Y COMPAGNIA ITALPETROLI: Unicredit in Talks to Sell AS Roma PARMALAT SPA: Some Investors Want to Replace Current Board N E T H E R L A N D S BUHRS: Friedheim International Seals Firm Distribution Deal R U S S I A MOBILE TELESYSTEMS: Moody's Reviews 'Ba2' Rating for Downgrade S P A I N PROMOTORA DE INFORMACIONES: Plans to Cut Workforce by 18% U N I T E D K I N G D O M COUGAR LEISURE: Administrators Close Market Street Bar EXETER NORTHCOTT: Collier Holdings Buys Emmanuel Hall JF PRINT: Ceases Trading, Goes Into Liquidation KIDDERMINSTER HARRIERS: Board Accepts Chris Swan's Takeover Bid QUEEN OF THE SOUTH: Dismisses Administration Talk X X X X X X X X * BOOK REVIEW: Legal Aspects of Health Care Reimbursement ********* =============== B U L G A R I A =============== MKB UNIONBANK: Moody's Lowers Financial Strength Rating to 'E+' --------------------------------------------------------------- Moody's Investors Service downgraded the standalone bank financial strength rating of MKB Unionbank AD to E+ from D-. The E+ BFSR maps to a baseline credit assessment (BCA) of B1. In the same rating action, Moody's has also downgraded the bank's long-term deposit ratings to Ba3 from Ba2. The Not Prime short-term deposit ratings remain unchanged. All ratings are assigned a stable outlook. The rating agency notes that the downgrade of MKB-UB's BFSR by one notch to E+ reflects the impact of the weak economic conditions in Bulgaria on the bank's financial fundamentals, mainly its asset quality metrics and profitability, which have been under pressure since 2009. More specifically, delinquencies in MKB-UB's loan portfolio have been rising over the past two years, in line with a similar trend in the system, and have resulted in increased credit losses particularly in the microfinance and the SME sector. "Although MKB-UB has managed to contain the growth in problem loans in the last two quarters of 2010, NPLs have grown significantly since the beginning of 2009," says Elena Panayiotou, a Moody's Analyst and lead analyst of the Bulgarian banks. Moody's notes that MKB-UB received two capital injections during 2010, from its direct parent, MKB Bank Rt, and its capital metrics currently stand at comfortable levels. The bank's loss absorption capacity, however, is weakened by the high levels of net non- performing loans relative to its equity. Moody's also notes that MKB-UB remains profitable, but its net interest margin is relatively low. "Although MKB-UB's earning power remains adequate, its net profitability is impaired by the elevated credit costs which have grown considerably during the recent quarters," adds Ms. Panayiotou. The bank funds its balance sheet mainly through customer deposits, which have grown during 2010. However, it also relies, to a significant extent, on funding from its direct parent, MKB Bank Rt, which itself has been affected by the deteriorating economic conditions in its own market. Moody's still imputes a high probability of support to MKB-UB from its immediate parent bank, and this leads to a one notch uplift from the BCA, resulting in Ba3 deposit ratings. Moody's previous rating action on MKB-UB was implemented on November 27, 2009, when the bank's ratings were all affirmed with a negative outlook. The principal methodologies used in rating MKB-UB are Moody's "Bank Financial Strength Ratings: Global Methodology", published in February 2007 and "Incorporation of Joint-Default Analysis into Moody's Bank Ratings: A Refined Methodology", published in March 2007, and available on www.moodys.com Other methodologies and factors that may have been considered in the process of rating this issuer can also be found on Moody's Web site. Headquartered in Sofia, Bulgaria, MKB-UB reported unaudited consolidated total assets of BGN1.606 billion at the end of September 2010. =========== F R A N C E =========== CMA CGM: Mulls Up to U$800 Million High-Yield Bond Issue -------------------------------------------------------- Karen Eeuwens and John Glover at Bloomberg News report that CMA CGM SA Chief Financial Officer Olivier Dubois said on Wednesday in a conference call for bondholders that the company plans to issue a high-yield bond of US$700 million to US$800 million to refinance existing debt. The notes will be sold before June 30 to refinance unsecured revolving credit lines and some of CMA's outstanding bonds, Bloomberg says, citing a transcript of the call. The bonds won't be underwritten, Bloomberg states. CMA is reorganizing its debt after freight prices collapsed in the global economic slump and shippers were forced to take delivery of new vessels ordered before the crisis, Bloomberg relates. It opened talks with lenders to restructure US$5.2 billion of obligations in September 2009, Bloomberg recounts. CMA, according to the transcript, agreed to increase the interest margin it pays on its bank debt by 150 basis points as part of the restructuring, with the all-in margin capped at between 200 basis points and 250 basis points on the most senior part of the company's financing, Bloomberg discloses. Bloomberg says lenders must accept the restructuring proposal in writing by the end of January as noted in the transcript. According to Bloomberg, a spokeswoman for the company declined to comment on the information contained in the transcript or confirm the amount of debt being restructured. France-based CMA CGM -- http://www.cma-cgm.com/-- ships freight PDQ. The marine transportation company is one of the world's leading container carriers. Through subsidiaries it operates a fleet of about 370 vessels that serve more than 400 ports around the globe, and it maintains a network of about 650 facilities in about 150 countries. In addition to hauling containers by sea, CMA CGM provides logistics services, arranging the transportation of containerized freight by river, road, and rail. The company's tourism division arranges cruises and other travel services. Jacques Saade founded the company in 1978. GROUPE VIAL: Toulon Court Grants Creditor Protection for Two Units ------------------------------------------------------------------ Steve Rhinds at Bloomberg News reports that Groupe Vial said a commercial court in Toulon, France, has approved a Jan. 14 application for creditor protection for two of its holding companies. According to Bloomberg, Groupe Vial related in an e-mailed statement on Wednesday that the two companies will be placed under observation for a period of two months while renegotiating their debt. Paris-based Groupe Vial manufactures and distributes millwork and joinery products. ============= H U N G A R Y ============= BKV: Budapest Needs Government Funding to Avert Bankruptcy ---------------------------------------------------------- MTI-Econews reports the Janos Atkari, the chief financial advisor of Budapest Mayor Istvan Tarlos, told the business newspaper Vilaggazdasag in an interview published on Wednesday that the city will require government funding in order to avert bankruptcy, particularly for BKV. MTI relates that Mr. Atkari said on Jan. 13 that the Budapest municipal council would like the government to assume control of a 50%c stake in BKV, providing the company with HUF19 billion in order to ensure its further operations. On Aug. 30, 2010, the Troubled Company Reporter-Europe, citing MTI-Econews, reported that the National Economy Ministry said the Hungarian government decided to set up a "bankruptcy committee" in order to settle the finances of BKV. The Ministry said the setting up the bankruptcy committee would be the first step in consolidating BKV's financial position, and the government intended to negotiate on the company's future and a financial bailout package with the new city municipality, MTI disclosed. BKV is Budapest's public transport company. MORAKERT: Csongrad Court Orders Liquidation ------------------------------------------- MTI-Econews, citing regional daily Delmagyarorszag, reports that the Court of Csongrad County in southeastern Hungary has ordered to put Morakert into liquidation. Morakert's accumulated debts reached HUF3.6 billion in 2010, including HUF1.1 billion owed to suppliers, MTI discloses. According to MTI, the paper noted that about half of the money owed to suppliers was paid with the cooperation of the Hungarian Development Bank, state-owned Datesz and a factoring company, and the rest will depend on what can be realized from the liquidation. MTI relates that Zoltan Nogradi, an MP from the region, told the paper Morakert continues to operate during the liquidation procedure, and it will work in state ownership thereafter. Morakert is a farm cooperative in Hungary. * HUNGARY: Budapest Needs Drastic Measures to Avert Bankruptcy -------------------------------------------------------------- MTI-Econews reports that Janos Atkari, the chief financial advisor of Budapest Mayor Istvan Tarlos, told the business newspaper Vilaggazdasag in an interview published on Wednesday that the city needs to take forceful and immediate measures to raise revenue and cut expenditures in order to avoid becoming insolvent by the end of 2012, or in 2013. According to MTI, Mr. Atkari said that Budapest needs a greater array of taxes at its disposal such as a real-estate appreciation tax and possibly congestion charging of vehicles in order to generate sufficient revenue, noting that cities in Hungary currently have the right to impose only the local business tax. Mr. Atkari noted that parliament must invest cities with the authority to levy taxes, MTI relates. ============= I R E L A N D ============= QUINN INSURANCE: Forensic Review by Ernst & Young Well Advanced --------------------------------------------------------------- Simon Carswell at The Irish Times reports that sources close to Quinn Group said that a forensic review of internal financial results and guarantees within the business is well advanced. It is understood that Ernst Young has made substantial progress on the review, which was requested by the group's creditors as part of a refinancing of the EUR1.28 billion of debt which fell due last October, according to The Irish Times. Ernst Young, The Irish Times says, is assessing the extent of internal guarantees provided by subsidiary companies within the group. The restructuring of the group's debts has been delayed and is unlikely to be completed until there is clarity around the sale of Quinn Insurance and the completion of the forensic review, The Irish Times discloses. According to The Irish Times, the bondholders and lenders have sought a substantially reduced role for Sean Quinn in the group he founded. The group has said that Mr. Quinn is crucial to the future profitability of the business, The Irish Times relates. The Irish Times notes that creditors have shown a reluctance to Mr. Quinn taking the role of chairman at a restructured manufacturing group. Instead, the group has proposed the role of "founder" or a similar title which may be acceptable to the lenders, The Irish Times states. A preferred bidder for the insurer, which is in administration, is expected to be named in the coming weeks, The Irish Times says. Anglo and US insurer Liberty Mutual have submitted a joint bid for Quinn Insurance, which had historically been the most profitable part of the Quinn Group, The Irish Times notes. About Quinn Insurance Quinn Insurance is owned by Sean Quinn, Ireland's richest man, and his family. The company has more than 20% of the motor and health insurance market in Ireland. Employing almost 2,800 people in Britain and Ireland, it was founded in 1996 and entered the UK market in 2004. As reported by the Troubled Company Reporter-Europe, The Irish Times said the Financial Regulator put Quinn Insurance into administration in March 2010 after his office discovered guarantees had been provided by the insurer's subsidiaries as far back as 2005 on Quinn Group debts of more than EUR1.2 billion. The regulator said the guarantees reduced the amount the firm had in reserve to protect policyholders against possible claims, putting 1.3 million customers at risk, according to The Irish Times. * IRELAND: Larger Bank Loan Losses Expected in Second Stress Tests ------------------------------------------------------------------ Simon Carswell at The Irish Times reports that Patrick Honohan, governor of the Central Bank of Ireland, has said that loan losses at the banks may be "a little larger" than was expected under the new regulator's first round of stress tests last year. According to The Irish Times, the Central Bank will complete the second round of capital stress tests on the banks by the end of March. The liquidity of the banks will also be tested in this round, The Irish Times says. Mr. Honohan did not outline the scale of the expected loan losses in March, The Irish Times notes. He said the Irish banks had not yet convinced markets they had reached the bottom of the banks' losses, but providing clear information about their loan books should help ease concerns, The Irish Times relates. To ensure the banks are fully protected against further shocks, Mr. Honohan has insisted they "overcapitalize" above a new core tier one capital ratio of 12%, according to The Irish Times. The further recapitalization of the banks is being funded by EUR10 billion of the EUR85 billion aid deal agreed with the EU and IMF, The Irish Times states. The plan is designed to wean the banks off cheap funding from the European Central Bank and the Central Bank, which had together propped up the Irish banks, including overseas lenders based in Ireland, with discounted funding of EUR183 billion, The Irish Times discloses. Mr. Honohan, as cited by The Irish Times, said the Central Bank would set out a timeframe for reducing the banks' reliance on such funding. ========= I T A L Y ========= COMPAGNIA ITALPETROLI: Unicredit in Talks to Sell AS Roma --------------------------------------------------------- Francesca Cinelli at Bloomberg News, citing MF newspaper, reports that UniCredit SpA is in talks with U.S. billionaire Thomas Di Benedetto, a partner in the Boston Red Sox, to sell Italian soccer club AS Roma SpA. As reported by the Troubled Company Reporter-Europe on Oct. 19, 2010, The Financial Times said that AS Roma received nearly a dozen expressions of interest from investors, including individuals from the US, China, Russia and India. AS Roma, which has a market capitalization of EUR140 million (US$196 million), was put up for sale by UniCredit in lieu of long outstanding debt repayments owed to the bank by the club's parent company, Compagnia Italpetroli SpA. Financial sources said the club could potentially fetch EUR170 million to EUR200 million, according to the FT. UniCredit took control of AS Roma in July in an attempt to recoup at least some of the long overdue repayments on the EUR400 million of debt held by Italpetroli, the FT disclosed. The bank appointed Rothschild as advisers to the sale, the FT related. UniCredit owns 49%t of Italpetroli, which in turn owns 67% of AS Roma, with the rest listed on the Milan stock exchange, according to the FT. Headquartered in Rome, Italy, Compagnia Italpetroli SpA operates as an oil storage company. The company also offers petroleum refining services. PARMALAT SPA: Some Investors Want to Replace Current Board ---------------------------------------------------------- Armorel Kenna at Bloomberg News, citing daily Corriere della Sera, reports that some investors of Parmalat SpA may seek to replace the current board, including Chief Executive Officer Enrico Bondi. According to Bloomberg, Corriere reported that shareholders with a combined 17% in the company are preparing a list of new board members. Bloomberg says the investors want a reorganization of Parmalat's Italian business, which is facing increased competition. Bloomberg notes that Corriere said investors also want a higher dividend if the company doesn't make acquisitions. The company is scheduled to elect a board in April, Bloomberg discloses. "A change in the current management team could speed up the restructuring process," Bloomberg quoted Exane BNP Paribas analyst Michele Baldelli, who raised his rating to "neutral" from "underperform" on Wednesday, as saying. Mr. Baldelli, as cited by Bloomberg, said new managers could also usher in "a more shareholder-friendly use of excess cash." Parmalat has recovered about EUR2 billion (US$2.7 billion) in legal settlements from banks and auditors that it accused of sustaining the fraud that led to Italy's biggest corporate bankruptcy in 2003, Bloomberg relates. In bankruptcy proceedings, Parmalat disclosed more than EUR14 billion of debt, about eight times the amount reported by its former management, Bloomberg notes. About Parmalat S.p.A. Headquartered in Milan, Italy, Parmalat S.p.A. -- http://www.parmalat.net/-- sells nameplate milk products that can be stored at room temperature for months. It also has about 40 brand product lines, which include yogurt, cheese, butter, cakes and cookies, breads, pizza, snack foods and vegetable sauces, soups and juices. The Company's U.S. operations filed for Chapter 11 protection on February 24, 2004 (Bankr. S.D.N.Y. Case No. 04-11139). Gary Holtzer, Esq., and Marcia L. Goldstein, Esq., at Weil Gotshal & Manges LLP, represent the Debtors. When the U.S. Debtors filed for bankruptcy protection, they reported more than US$200 million in assets and debts. The U.S. Debtors emerged from bankruptcy on April 13, 2005. Parmalat S.p.A. and its Italian affiliates filed separate petitions for Extraordinary Administration before the Italian Ministry of Productive Activities and the Civil and Criminal District Court of the City of Parma, Italy on December 24, 2003. Dr. Enrico Bondi was appointed Extraordinary Commissioner in each of the cases. The Parma Court has declared the units insolvent. On June 22, 2004, Dr. Bondi filed a Sec. 304 Petition, Case No. 04-14268, in the United States Bankruptcy Court for the Southern District of New York. Parmalat has three financing arms: Dairy Holdings Ltd., Parmalat Capital Finance Ltd., and Food Holdings Ltd. Dairy Holdings and Food Holdings are Cayman Island special-purpose vehicles established by Parmalat S.p.A. The Finance Companies are under separate winding up petitions before the Grand Court of the Cayman Islands. Gordon I. MacRae and James Cleaver of Kroll (Cayman) Ltd. serve as Joint Provisional Liquidators in the cases. On January 20, 2004, the Liquidators filed Sec. 304 petition, Case No. 04-10362, in the United States Bankruptcy Court for the Southern District of New York. In May 2006, the Cayman Island Court appointed Messrs. MacRae and Cleaver as Joint Official Liquidators. Gregory M. Petrick, Esq., at Cadwalader, Wickersham & Taft LLP, and Richard I. Janvey, Esq., at Janvey, Gordon, Herlands Randolph, represent the Finance Companies in the Sec. 304 case. The Honorable Robert D. Drain presided over the Parmalat Debtors' U.S. cases. On June 21, 2007, the U.S. Court granted Parmalat permanent injunction. ===================== N E T H E R L A N D S ===================== BUHRS: Friedheim International Seals Firm Distribution Deal ----------------------------------------------------------- Adam Hooker at PrintWeek reports that finishing equipment manufacturer Friedheim International has taken on the distributorship for Buhrs poly and paper wrapping machines. The report relates that Friedheim International will be responsible for the sales, service and spare parts provision for Buhrs. As reported in the Troubled Company Reporter-Europe on August 27, 2010, PrintWeek said that Buhrs has been sold to Value 8 and Solo Capital. According to the report, the two investment companies have each taken a 50% stake and bought all of the assets of Buhrs for an undisclosed sum. Buhrs went into administration in July when its credit facility was removed. PrintWeek discloses that the agreement is effective immediately and Friedheim International has taken on three staff that will now be based out of its Hemel Hempstead headquarters. Buhrs is a finishing equipment manufacturer based in the Netherlands. =========== R U S S I A =========== MOBILE TELESYSTEMS: Moody's Reviews 'Ba2' Rating for Downgrade -------------------------------------------------------------- Moody's Investors Service placed on review for possible downgrade the Ba2 corporate family rating, probability of default rating and senior unsecured instrument ratings of Mobile TeleSystems OSJC. On January 24, 2011, MTS made an offer to purchase any and all of the outstanding USD400 million 2012 notes issued by Mobile TeleSystems Finance S.A., a wholly-owned finance subsidiary of MTS registered in Luxembourg, and guaranteed by MTS. At the same time noteholders were asked to consent to amendments to the Indenture dated 28 January 2005. The amendments would eliminate substantially all of the restrictive covenants as well as event of default and related provisions other than the covenant to pay interest and premium, if any, and the principal of the 2012 notes when due. Tendering of any notes automatically constitutes consent to the amendments. On the same day, the noteholders of the US$750 million 2020 loan participation notes issued by MTS International Funding, another wholly-owned finance subsidiary of MTS, were asked to consent to the waiver of various specified clauses in the loan agreement to remove the potential for cross default with MTS Finance due to a failure to make a payment. As per the documentation, the background to these actions is that a final award that was made by the London Court of International Arbitration on January 5, 2011, in favor of Nomihold Securities Ltd against MTS Finance in concluding the arbitration of a dispute in the amount of US$175.88 million plus interest and related costs. MTS Finance is considering its options with respect to making the payment to fulfill the terms of the award. However, a failure by MTS Finance to make the payment on or prior to 5 March 2011 might result in Nomihold suing MTS Finance, which could possibly lead to the bankruptcy, insolvency or bankruptcy-related reorganization of MTS Finance. This in turn could give rise to an event of default under the terms of the indenture of the 2012 notes as well as the 2020 loan participation notes, or under the terms of other debt instruments. It is also possible that MTS Finance and MTS could be prevented from making timely payments of principal and interest due on the 2012 notes. Although it is Moody's opinion that this transaction does not materially affect the capacity of the MTS group to service its financial debt and that the probability of material losses for creditors appears relatively modest at this point in time, there are execution risks and, in particular, there is no certainty of payment timeliness although Moody's believes that MTS is willing to fully service its financial debt. Furthermore, this is an unusual transaction and Moody's will assess during the review process whether the execution uncertainties or unintended consequences could have a negative effect on MTS's creditworthiness and its ratings. The review for possible downgrade will therefore focus on: 1) Understanding the implications of the transaction, particularly were it to fail, on MTS's creditworthiness 2) Investigating the likelihood that MTS could be prevented from making timely payments to the residual noteholders who do not choose to participate in the 2012 notes purchase 3) Assessing MTS's ability to handle any liquidity implications: (i) in a scenario where an event of default does occur, triggering cross default, with the possible result that most or all of its debt is accelerated; or (ii) in the aftermath of a potentially successful transaction 4) Reviewing management strategy in relation to financial policy and debt structure Moody's will monitor the potential impact of this transaction on other rated group companies, including Comstar-United TeleSystems, Moscow City Telephone Network and majority shareholder Sistema Joint Stock Financial Corporation, but views it as less likely and is not at present placing other group ratings on review for possible downgrade. Moody's last rating action was implemented on June 16, 2010, when it assigned a (P)Ba2 senior unsecured instrument rating to notes being issued by MTS International Funding. Moody's has used its methodology for the Global Telecommunications Industry. Other methodologies and factors that may have been considered in the process of rating these issuers can also be found in the Rating Methodologies sub-directory on Moody's Web site. MTS is a leading telecommunications group in Russia, Eastern Europe and Central Asia with last twelve months revenues to September 30, 2010 of US$11 billion and LTM EBITDA, as adjusted by Moody's, of US$4.4 billion. ========= S P A I N ========= PROMOTORA DE INFORMACIONES: Plans to Cut Workforce by 18% --------------------------------------------------------- Global Insolvency, citing Dow Jones Daily Bankruptcy Review, reports that Promotora de Informaciones SA on Tuesday said it will cut its workforce by 18% through an estimated 2,500 layoffs, as part of the cash-strapped company's ongoing restructuring process. Global Insolvency relates that in a regulatory filing, Prisa, as the company is commonly known, said the financial cost of the move will depend on planned discussions with trade unions and workers' representatives. Prisa, Spain's largest newspaper by sales, has been shedding assets in recent years after a series of ill-advised investments left the company on the brink of bankruptcy, Global Insolvency discloses. On April 27, 2010, the Troubled Company Reporter-Europe, citing Dow Jones Newswires, reported on April 27, 2010 that Prisa had agreed with its creditor banks to refinance its debt and extend its nearly EUR2 billion bridge loan until May 2013. Prisa, in a filing with the Spanish market regulator, said the refinancing and a series of asset sales will allow the company to reduce its debt burden, Dow Jones said. Prisa's debt has reached nearly EUR5 billion, compared to its current market capitalization of EUR769 million, according to Dow Jones. Promotora de Informaciones S.A. -- http://www.prisa.com/-- is a Spain-based holding company, engaged in various media activities. The Company has six business areas: publishing, education and training (Grupo Santillana publishes textbooks and books of general interest); press (El Pais Internacional is engaged in the distribution of news material and services to other newspapers and publications worldwide); radio (Union Radio is a group broadcasting worldwide); audiovisual (PRISA offers services and products, including Pay TV, thorough the satellite platform DIGITAL+, and free-to-view through the channel Cuatro); online (Prisacom is committed to the development of multimedia content with broadcasting for Internet-based TV) as well as commercial & marketing (Sogecable Media SA manages all the advertising on the Company and its group's media). The Company is present in 22 countries, such as Portugal, Brazil or the United States. =========================== U N I T E D K I N G D O M =========================== COUGAR LEISURE: Administrators Close Market Street Bar ------------------------------------------------------ Alex Ross at The Gazette reports that the Market Street bar has ceased operating after parent company Cougar Leisure Ltd crashed into administration. The report relates that administrators Begbies Traynor closed the premises, which have been under offer from a mystery buyer for some time. The bar is for sale at an asking price of GBP1.6 million, but if a sale goes through; it is unlikely the Brannigans branding will remain, according to The Gazette. The Gazette says Dominic Herdman, a former manager of the bar, now general manager at nearby Che Bar, said that the opening of other bars in different areas had meant there was stiff competition for the traditional Market Street trade. "We can confirm contracts were recently exchanged for a sale of the company's interest in the property and we anticipate completion in the near future," The Gazette quoted an unnamed spokesman for Begbies Traynor as saying. Headquartered in Lancashire, Cougar Leisure is a bar operator. EXETER NORTHCOTT: Collier Holdings Buys Emmanuel Hall ----------------------------------------------------- Insider Media Limited reports business rescue specialist Begbies Traynor has revealed that performing arts company Theatre Alibi has acquired Exeter Northcott's Emmanuel Hall for GBP150,000. The report relates that Theatre Alibi has snapped up Emmanuel Hall after was placed into administration in February 2010. Insider Media Limited notes that Ian Walker and Gilbert Lemon, of Begbies Traynor, disclosed the deal in their capacity as joint administrators of Exeter Northcott. The report discloses that Emmanuel Hall has been sold to Collier Holdings. "I am pleased that the sale has completed after all our efforts and that Theatre Alibi is able to remain at the hall for the immediate future. It is now my intention to proceed with the agreement of unsecured claims. The Northcott Theatre Foundation, which was placed into administration in February 2010, will be placed into liquidation in the near future, with a view to paying a dividend to creditors as soon as possible," Insider Media Limited quoted Mr. Walker as saying. Exeter Northcott is a Northcott Theatre Foundation. JF PRINT: Ceases Trading, Goes Into Liquidation ----------------------------------------------- Adam Hooker at PrintWeek reports that JF Print has ceased trading and is understood to have gone into liquidation. Insolvency practitioner Tim Close of Milsted Langdon was instructed by the directors to liquidate the company on Friday, January 21, 2011; however, he was subsequently replaced on the request of JF Print's debenture holder, Cattles Invoice Finance, according to PrintWeek. "[Following my appointment] I contacted the debenture holder, who chose to appoint their own administrator," PrintWeek quoted Mr. Close as saying. JF Print became the only long-grain book printer in the UK last August and its insolvency leaves the UK long-grain book market empty, the report notes Headquartered Somerset, JF Print is a book printer company. KIDDERMINSTER HARRIERS: Board Accepts Chris Swan's Takeover Bid --------------------------------------------------------------- The Shuttle reports that Kidderminster Harriers Football Club's cash-crisis could be close to an end after the board accepted a bid from Stratford-based businessman Chris Swan to take over the club. The report relates that Mr. Swan could take the reins at the start of next week if due diligence is completed. Mr. Swan's arrival will come as a relief, as the club was days away from lurching into administration as Chairman Mark Serrell and the board struggled to find new investors, according to The Shuttle. The Shuttle notes that Mr. Swan has offered to buy all of Harriers' shares for GBP1 and take responsibility for the club's small creditors. Mr. Swan has also confirmed that he has the backing of a consortium, made up of what he described as 'Harriers fans', who will pay-off around GBP75,000 to major creditor HM Revenue and Customs, the report cites. The Shuttle discloses that Mr. Serrell admitted with the threat of administration, and the automatic 10 point deduction it would incur, he had little choice but to accept Mr. Swan's third attempt to purchase Harriers. "The board has accepted a bid from Chris but it's not completed yet. The choice we had was administration or Chris and I don't think anyone wanted Harriers to go into administration. All I've ever wanted to do is my best for the club, I have no regrets about my actions," The Shuttle quoted Mr. Serrell as saying. Mr. Swan has promised to bankroll the club until the end of the season but warned it must only spend money it generates in the future and avoid a repeat of the current crisis, the report adds. Kidderminster Harriers F.C. is an English association football team based in Kidderminster, Worcestershire, and formed in 1886. It currently plays in the Conference National and has played at Aggborough Stadium since they were formed. QUEEN OF THE SOUTH: Dismisses Administration Talk ------------------------------------------------- Darren Johnstone at The Scotsman reports that Queen of the South Football Club Manager Kenny Brannigan insists the players have been paid as chairman David Rae rubbished talk of the club going into administration. The Doonhamers have come clean to supporters over the scale of their financial problems, with Mr. Rae confessing that they're struggling to pay bills due to severe cashflow problems that stem from hosting just one game since November 13, according to The Scotsman. The report notes that Queens have lost out on revenue from five home matches that have been postponed due to the weather. The Scotsman discloses that the Barflies Supporters' club has already handed over a GBP6,000 donation, while the Save Our South campaign aims to raise GBP50,000. Queens were already suffering from a drop in their average attendances this season before the weather hit, and Rae, who has warned the club might have to go part-time, has issued a rallying call to supporters, the report says. However, The Scotsman adds Mr. Rae is adamant Queens won't follow Dundee by becoming the second Scottish club to plunge into administration this season. Queen of the South Football Club is a Scottish professional football club founded in 1919 and located in Dumfries. =============== X X X X X X X X =============== * BOOK REVIEW: Legal Aspects of Health Care Reimbursement --------------------------------------------------------- Authors: Robert J. Buchanan, Ph.D., and James D. Minor, J.D. Publisher: Beard Books Softcover: 300 pages List Price: US$34.95 Review by Henry Berry With Legal Aspects of Health Care Reimbursement, Buchanan, a professor in the School of Public Health at Texas A&M, and Minor, an attorney, have come up with an invaluable resource for lawyers and anyone else seeking an introduction to the legal and social issues related to Medicare and Medicaid. The administrative costs of Medicare and Medicaid reimbursement have been a heated topic of debate among public officials and administrators of provider healthcare organizations, especially health maintenance organizations. Although inflation and the use of costly medical technology are key factors in the rise in Medicare and Medicaid costs, some control can be gained through appropriate compliance, using more efficient procedures and better detection of fraud. This work is a major guide on how to go about doing this. Though mostly a legal treatise, Legal Aspects of Health Care Reimbursement, first published in 1985, also offers commentary through legislative and regulatory analyses, thereby explaining how healthcare reimbursement policies affect the solvency and effectiveness of the Medicare and Medicaid programs. In discussing how legislation and regulations affect the solvency and effectiveness of government-provided healthcare, the authors offer insight into the much-publicized and much-discussed issue of runaway healthcare costs. Mr. Buchanan and Minor do not deny that healthcare costs are out of control and are onerous for the government and ruinous for many individuals. But healthcare reimbursement policies are not the cause of this, the authors argue. To make their case, they explain how the laws and regulations in different areas of the Medicare and Medicaid programs create processes that are largely invisible to the public, but make the programs difficult to manage financially. The processes are not well thought out nor subject to much quality control, with the result that fraud is chronic and considerable. The areas of Medicare covered in the book are inpatient hospital reimbursement, long-term care, hospice care, and end-stage renal disease. The areas of Medicaid covered are inpatient hospital and long-term care plus abortion and family planning services. For each of these areas, the authors discuss the conditions for receiving reimbursement, the legislation and regulations regarding reimbursement, the procedures for being reimbursed, the major areas of reimbursement (for example, capital-related costs, dietetic services, rental expenses); and court cases, including appeals. Reimbursement practices of selected states are covered. For each of the major areas of interest, the chapters are organized in a manner that is similar to that found in reference books and professional journals for attorneys and accountants. Laws and regulations are summarized and occasionally quoted with expert background and commentary supplied by the authors. With regard to court cases and rulings pertaining to Medicare and Medicaid, passages from court papers are quoted, references to legal records are supplied, and analysis is provided. Though the text delves into legal issues, it is accessible to administrators and other lay readers who have an interest in the subject matter. Clear chapter and subchapter titles, a table of cases following the text, and a detailed index enable readers to use this work as a reference. The value of this book is reflected in the authors' ability to distill great amounts of data down to one readable text. It condenses libraries of government and legal documents into a single work. Answers to questions of fundamental importance to healthcare providers -- those dealing with qualifications, compliance, reimbursable costs, and appeals -- can be found in one place. Timely reimbursement depends on proper application of the rules, which is necessary for a provider's sound financial standing. But the authors specify other reasons for writing this book, to wit: "Providers should have a general knowledge of the law and should not rely on manuals and regulations exclusively." By summarizing, commenting on, and citing cases relating to principal provisions of Medicare and Medicaid, the authors accomplish this objective. The authors also cover the topic of fraud with respect to both Medicare and Medicaid, offering both a legal treatment and commentary. At the end of each chapter is a section titled "Outlook," which contains a discussion of government studies, changes in healthcare policy, or other developments that could affect reimbursement. Although this work was published over two decades ago, much of this discussion is still relevant today. Finally, the book is a call for change. The authors remark in their closing paragraph: "Given the increasing for-profit orientation of the major segments of the health care industry, proprietary providers should be particularly responsive to new efficiency incentives" in reimbursement. In relation to this, "policymakers [should] develop reimbursement methods that will encourage providers to become more efficient." Robert J. Buchanan is currently a professor in the Department of Health Policy and Management in the School of Rural Public Health at the Texas A&M University System Health Sciences Center. James D. Minor, a former law professor at the University of Mississippi, has his own law practice. ********* 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. 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Send announcements to conferences@bankrupt.com Each Friday's edition of the TCR includes a review about a book of interest to troubled company professionals. All titles are available at your local bookstore or through Amazon.com. Go to http://www.bankrupt.com/booksto order any title today. ********* S U B S C R I P T I O N I N F O R M A T I O N Troubled Company Reporter-Europe is a daily newsletter co- published by Bankruptcy Creditors' Service, Inc., Fairless Hills, Pennsylvania, USA, and Beard Group, Inc., Frederick, Maryland USA. Valerie U. Pascual, Marites O. Claro, Rousel Elaine T. Fernandez, Joy A. Agravante, Ivy B. Magdadaro, Frauline S. Abangan and Peter A. Chapman, Editors. Copyright 2011. 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. 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