TCREUR_Public/110218.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, February 18, 2011, Vol. 12, No. 35

                            Headlines



F R A N C E

LABCO SAS: Moody's Assigns 'B2' Corporate Family Rating
TITAN EUROPE: Fitch Cuts Ratings on Two Classes of Notes to 'Csf'


G E R M A N Y

WESTLB AG: German Government Submits Restructuring Proposal to EU


H U N G A R Y

ELECTRO WORLD: To Apply for Bankruptcy Protection in Few Weeks


I C E L A N D

LANDSBANKI ISLANDS: Parliament Approves New Icesave Deal


I R E L A N D

ZOE GROUP: NAMA Appoints Receiver to Draw Up Business Plan
* IRELAND: EU Commission Warns of Risks to Banks' Rescue Plan


N E T H E R L A N D S

PANTHER CDO: Fitch Cuts Ratings on Four Classes of Notes to 'CC'


R O M A N I A

CITY MALL: Put Up for Sale for EUR33 Million
* ROMANIA: Has Few Successful Company Restructuring Stories


R U S S I A

* OBLAST OF KIROV: Moody's Withdraws 'Ba3' Local Issuer Rating


S P A I N

IM FTGENCAT: Fitch Downgrades Rating on Class C Notes to 'CCsf'
PARQUES REUNIDOS: S&P Assigns 'B-' Corporate Credit Rating
TDA IBERCAJA: Moody's Assigns '(P)C(sf)' Rating to Class C Notes
VALENCIA HIPOTECARIO: Fitch Affirms 'CCC' Ratings on Class D Notes


S W I T Z E R L A N D

CROWN FOREX: US Feds Want In on US$84M Civil Suit vs. Crown Forex


U K R A I N E

UKRTELECOM JSC: Creditors Withdraw Early Repayment Demand


U N I T E D   K I N G D O M

ASHBROOKE FOODS: Goes Into Administration, Ceases Trading
BUTTERFLY HOTELS: Akkeron Hotels Buys Himley Hotel, Saves 38 Jobs
DECODE CAR: Placed Under Compulsory Liquidation
FAREPAK: Nine Ex-Directors Face Directorship Disqualification
HALLIWELLS: Owes GBP190 Million++, Administrator's Report Reveals

MARINE INDUSTRY: Calls in Administrator as Boat Show Cancelled
JOHNSON AND JOHNSON: Zutux Acquires Firm Out of Administration
OJS JEWELLERY: Goes Into Liquidation
OLDE BARN HOTEL: Goes Into Administration, Seeks Buyer
PREMIER FOODS: Fitch Assigns 'BB' Long-Term Issuer Default Rating

RB FARQUHAR: Elliot Buys RB Farquhar Hires Out of Administration
VANWALL FINANCE: Fitch Affirms 'B-sf' Ratings on Two Tranches


X X X X X X X X


* EUROPE: To Double Lending Capacity of Rescue Fund in 2013
* EUROPE: Tremonti Blames Crisis on Poor Supervision of Banks
* BOOK REVIEW: THE OUTLAW BANK


                            *********


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F R A N C E
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LABCO SAS: Moody's Assigns 'B2' Corporate Family Rating
-------------------------------------------------------
Moody's Investors Service has assigned definitive B2 Corporate
Family Rating and Probability of Default Rating to Labco S.A.S.
Moody's has also assigned a definitive B3 rating to the company's
EUR500 million 8.5% senior secured notes due 2018.  The outlook is
stable.

                         Ratings Rationale

The assignment of definitive B2 CFR and PDR follows the successful
refinancing of Labco's existing financing structure through the
issuance of EUR500 million senior secured notes, which was
completed on January 14, 2011.

As outlined in Moody's press release dated January 11, 2011,
Labco's B2 CFR is constrained by (i) its high leverage (initially
at around 6.0x on a gross debt basis and including Moody's
adjustments); (ii) overall limited size; (iii) complex
organizational structure in France and (iv) some regulatory risks
(in particular related to tariff cuts).  This is mitigated by (i)
its position as one of Europe's largest players in the highly
fragmented European clinical laboratory services market; (ii) the
company's good profitability and business model which allows for
the benefits of scale and derivation of synergies; (iii) favorable
growth prospects in terms of volume; and (iv) resilience to
economic downturns.  The stable outlook reflects a business
profile which, despite the risk of price cuts, demonstrates
relatively good visibility and Moody's expectation of continued
positive free cash flow generation.

Moody's also assigned a definitive B3 rating (LGD 4, 58%) to the
EUR500 million 8.5% senior secured notes due 2018 issued by Labco
S.A.S., which is one notch below the B2 CFR.  The rating of the
notes reflects its ranking behind the company's EUR125 million
super senior revolving credit facility.  While both instruments
have the same guarantee (representing not less than 70% of
consolidated EBITDA) and security package, the latter consisting
of pledges over shares of certain group entities and certain
intercompany loans, the revolving credit facility benefits from an
enforcement action relating to the guarantees or share pledges
ahead of the notes in the defined waterfall.

Labco is a pan-European clinical laboratory services provider.
The company operates more than 230 laboratories across six
different European countries and mainly performs routine tests.
The company generated revenue of EUR424 million in 2009.


TITAN EUROPE: Fitch Cuts Ratings on Two Classes of Notes to 'Csf'
-----------------------------------------------------------------
Fitch Ratings has downgraded all classes of Titan Europe 2006-3's
notes:

  -- EUR357.3m Class A (XS0257767631) downgraded to 'Asf' from
     'AAsf'; Outlook Stable

  -- EUR237.5m Class B (XS0257768522) downgraded to 'CCCsf' from
     'BBsf'; Recovery Rating 'RR3'

  -- EUR50.2m Class C (XS0257769090) downgraded to 'CCsf' from
     'CCCsf'; Recovery Rating 'RR6'

  -- EUR54.8m Class D (XS0257769769) downgraded to 'CCsf' from
     'CCCsf'; Recovery Rating 'RR6'

  -- EUR36.7m Class E (XS0257770007) downgraded to 'Csf' from
     'CCsf'; Recovery Rating 'RR6'

  -- EUR29.1m Class F (XS0257770775) downgraded to 'Csf' from
     'CCsf'; Recovery Rating 'RR6'

The downgrades follow the announcement by the special servicer,
Hatfield Philips International (rated 'CSS3+'), that the
collateral for the SQY Ouest loan has been sold at a material
discount to its initial valuation, well in excess of the discount
that had been expected by Fitch.  The loan-level loss will result
in a partial write-down of the class E notes and a full write-down
of the class F notes.

The sale of the SQY Ouest Shopping Centre was executed in February
2011 for a price of EUR38 million.  This represents a 71% drop in
value since the original valuation of EUR130.8 million (carried
out in May 2005).  Notably, the sale price is also well below the
July 2009 value of EUR73.3 million.  The special servicer expects
a net recovery of approximately EUR35.1 million which, net of swap
breakage costs and liquidity drawings, will result in a loss of
75% of the current loan balance and 73% of the original loan
balance.  As the loan accounted for 13% of the portfolio balance
at the October 2010 interest payment date, this will result in a
loss of 10% of the current portfolio balance and 9% of the
original portfolio balance.

In order to improve recoveries, a claim is being pursued against
the original valuer for negligence.  Fitch has not given credit to
any potential recoveries from this source in its analysis.

The SQY Ouest loan was secured by a shopping centre constructed in
2005, located 20km south-west of Paris.  Income had deteriorated
since closing, primarily due to rental arrears, which stood at
EUR5.2 million in January 2011, compared to contracted rent of
EUR6 million.  Consequently, the borrower had been unable to make
debt service payments since April 2009.


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


WESTLB AG: German Government Submits Restructuring Proposal to EU
-----------------------------------------------------------------
Nikki Tait, James Wilson and Quentin Peel at The Financial Times
report that a potential solution to long-running problems at
WestLB AG emerged on Wednesday after the German government
submitted to Brussels a restructuring plan that would in effect
break up the bank.

According to the FT, European Union competition officials, who
have been battling to secure a restructuring scheme for the bank
which meets EU state aid rules, said they were analyzing the
outline submission as well as a much less radical but more
detailed proposal put forward by the bank itself.

"I will be in contact with the federal government in the coming
days to discuss the next steps," the FT quotes EU competition
commissioner Joaquin Almunia, who warned last year of an
increasing possibility that the bank would have to be wound down,
as saying.

The FT says the German government proposals are believed to offer
a basis from which the EU competition watchdog would be willing to
work.  They envisage that part of WestLB, with a balance sheet
about one-quarter the size of the current EUR220 billion, would
become a bread-and-butter service provider to German savings
banks, which would own the business and put in capital, the FT
states.

The FT relates that a government official said remaining assets
would be put up for sale -- including the bank's corporate banking
business -- or transferred to an existing "bad bank" scheme and
wound down.  WestLB as an entity would disappear, the FT states.

According to the FT, sources in Brussels as well as in Berlin
believe the more radical restructuring plan is much more likely to
satisfy Mr. Almunia's demands that WestLB be sustainably
restructured.  The FT notes that people close to WestLB said its
proposal was "realistic" taking into account the limited chance of
successful asset sales.

Steffen Kampeter, a deputy German finance minister, said he
assumed the restructuring plan would meet commission demands and
that the plan for WestLB to join the savings bank network could
receive approval, the FT discloses.

                   WestLB's Restructuring Plan

As reported by the Troubled Company Reporter-Europe on Feb. 17,
2011, the Financial Times said WestLB's owners agreed to split the
bank into four separate units and slash its asset base in a last-
minute compromise to try to meet the concerns of European
competition authorities.  The proposal was presented shortly
before the expiry of a Tuesday deadline but the bank must now wait
to find out whether the suggested restructuring meets the demands
of Joaquin Almunia, the EU's competition commissioner, the FT
disclosed.  The bank, whose need for repeated state bail-outs
makes it a serial offender in the eyes of EU competition
watchdogs, has been under orders since 2009 to cut its balance
sheet by half and sell key subsidiaries as recompense for a bail-
out, the FT recounted.  Its owners also agreed to a change of
ownership by the end of this year, the FT noted.  Under the
updated restructuring plan, WestLB will cut its assets by a
further one-third by 2015, the FT disclosed.  It will also create
four internal units to facilitate spin-off sales or consolidation
into other banks, the FT said.  WestLB said on Tuesday the plan
would require unspecified "burden-sharing" among its owners -- the
state of North Rhine-Westphalia and the German government,
according to the FT.

                           About WestLB

Headquartered in Duesseldorf, Germany, WestLB AG (DAX:WESTLB)
-- http://www.westlb.com/-- provides financial advisory, lending,
structured finance, project finance, capital markets and private
equity products, asset management, transaction services and real
estate finance to institutions.  In the United States, certain
securities, trading, brokerage and advisory services are provided
by WestLB AG's wholly owned subsidiary WestLB Securities Inc., a
registered broker-dealer and member of the NASD and SIPC.
WestLB's shareholders are the two savings banks associations in
NRW (25.15% each), two regional associations (0.52% each), the
state of NRW (17.47%) and NRW.BANK (31.18%), which is owned by NRW
(64.7%) and two regional associations (35.3%).


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


ELECTRO WORLD: To Apply for Bankruptcy Protection in Few Weeks
--------------------------------------------------------------
MTI-Econews, citing business daily Vilaggazdasag, reports that
Electro World Magyarorszag will apply for bankruptcy protection
within a few weeks.

According to MTI, Csaba Polgar, chairman of the company's board,
told the paper that bankruptcy protection is unavoidable in the
current situation as EWM is unable to repay its debts after
payment of its normal operating costs.

MTI relates that Mr. Polgar said EWM has a business partner with
which the company could offer substantial real-estate collateral
for the financing bank.

Electro World closed its store in Budakalasz, near Budapest, on
Feb. 14, MTI discloses.

Electro World Magyarorszag is a Hungarian electronic goods
retailer.


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I C E L A N D
=============


LANDSBANKI ISLANDS: Parliament Approves New Icesave Deal
--------------------------------------------------------
Andrew Ward at The Financial Times reports that Iceland's
parliament on Wednesday approved a fresh deal with Britain and the
Netherlands to repay EUR4 billion lost in the failed Icesave bank,
but the country's president was facing mounting pressure to refer
the agreement to a referendum.

The FT notes that while parliament voted by 44-16 in favor of the
agreement, support was growing behind a public petition calling on
President Olafur Ragnar Grimsson to put the legislation to a
national vote.

According to the FT, more than 30,000 people -- nearly a tenth of
the Icelandic population -- have so far backed the petition,
reflecting continued anger over the prospect of taxpayers being
forced to foot the bill for foreign deposits lost when the
country's banking sector collapsed in 2008.

Mr. Grimsson, whose role is mostly ceremonial, has refused to rule
out another referendum, while insisting he will not make a
decision until after the legislation is delivered to his desk, the
FT relates.

The deal involves money lost by more than 300,000 British and
Dutch depositors who held high-interest accounts with Icesave, the
online arm of bankrupt Landsbanki, the FT discloses.  Those
customers have already been reimbursed from their domestic deposit
insurance schemes, leaving the UK and Dutch treasuries out of
pocket, the FT recounts.

The Icelandic government has promised to repay the money but its
efforts to do so have been repeatedly thwarted by fierce public
opposition, the FT states.  Critics question Iceland's legal
obligation to reimburse foreign deposits and claim the case has
exposed flaws in European cross-border banking rules, according to
the FT.

Under the new agreement, interest payment would start immediately
and principal repayments in 2016, with repayments spread over a
maximum of 37 years, the FT discloses.

As reported by the Troubled Company Reporter-Europe, Bloomberg
News said Iceland reached an agreement in December 2010 on terms
to compensate the British and Dutch.  The accord will cost the
Icelandic government ISK47 billion (US$407 million), compared with
the ISK162 billion in costs the state was facing under a previous
accord, according to Bloomberg.

                    About Landsbanki Islands

Landsbanki Islands hf, also commonly known as Landsbankinn in
Iceland, is an Icelandic bank.  The bank offered online savings
accounts under the "Icesave" brand.  On October 7, 2008, the
Icelandic Financial Supervisory Authority took control of
Landsbanki and two other major banks.

Landsbanki filed for Chapter 15 protection on Dec. 9, 2008 (Bankr.
S.D. N.Y. Case No.: 08-14921).  Gary S. Lee, Esq., at Morrison &
Foerster LLP, represents the Debtor.  When it filed for protection
from its creditors, it listed assets and debts of more than
US$1 billion each.


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


ZOE GROUP: NAMA Appoints Receiver to Draw Up Business Plan
----------------------------------------------------------
Laura Noonan at Irish Independent reports that the National Asset
Management Agency on Tuesday appointed a "super receiver" to draw
up a business plan for Liam Carroll's Zoe Group.

According to Irish Independent, an insolvency specialist from
accountancy firm Deloitte has been drafted in as principal
receiver to help Nama secure repayment on loans of about EUR650
million.

Irish Independent relates that the news comes more than 18 months
after a raft of banks installed receivers across Mr. Carroll's
empire after an examinership bid failed.

Nama has since taken on a EUR650 million pile of loans advanced by
AIB, Bank of Ireland, Anglo Irish Bank and EBS to companies across
the Carroll group, Irish Independent notes.  The four banks had
been chasing their debts with separate receivers, who were also
fighting it out with a raft of receivers appointed by non-Nama
banks including Ulster Bank and Bank of Scotland (Ireland), Irish
Independent discloses.  Nama, Irish Independent says, now wants to
streamline that process, first by co-ordinating the approach of
all four Nama receivers under the principle receiver and
ultimately by releasing the others from their duties and having
just one receiver looking after all Nama's interests.

A single receiver is seen as cheaper and also facilitates the
creation of a comprehensive business plan for the group, according
to Irish Independent.  Irish Independent relates that sources said
the business plan will have to include a significant reduction in
debt and may finally lead to the disposal of some of the Carroll
group's assets including stocks of apartments in Dublin city.  It
may also include some request for ongoing financing, which could
see the receiver requesting cash to finish the iconic half-
finished building that was to house Anglo Irish Bank's
headquarters, Irish Independent notes.

The Deloitte receiver, David Carson, was already acting as a
receiver for Bank of Ireland in the Carroll case and so is already
familiar with the case, which may speed up the process, Irish
Independent discloses.  Deloitte will also have to work with
receivers acting for several other non-Nama banks including Grant
Thornton, which is chasing EUR82 million owed to Ulster Bank, and
Ernst & Young which is pursuing EUR321 million owed to Bank of
Scotland (Ireland), Irish Independent says.

When the business ran aground in the summer of 2009, it owed
EUR490 million to AIB; EUR321 million to Bank of Scotland
(Ireland); EUR112 million to Bank of Ireland; EUR82 million to
Ulster Bank; EUR38 million to Anglo Irish Bank; EUR23 million to
KBC and EUR8.5 million to EBS, Irish Independent recounts.

Zoe Group is a property development business in Ireland.


* IRELAND: EU Commission Warns of Risks to Banks' Rescue Plan
-------------------------------------------------------------
Arthur Beesley at The Irish Times reports that the European
Commission has warned of significant risks to the rescue plan for
Ireland's banks, saying they may yet require additional capital if
loan losses mount.

The Irish Times relates that a day after the Government postponed
the injection of EUR10 billion into AIB, Bank of Ireland and the
EBS, the commission said in review of Ireland that unforeseen loan
losses could undermine the assumptions made in the program.

The commission's review, one in a series of occasional papers by
its economic staff, also warned of "considerable uncertainty"
underlying the macroeconomic projections in the plan, The Irish
Times notes.

According to The Irish Times, the commission said elevated spreads
could persist for an extended period if the rescue program was
slow to restore market credibility and sentiment could worsen in
light of adverse developments in other countries.

On the banking sector, the review cited the EUR10 billion
recapitalization plan to create large capital buffers and noted a
further EUR25 billion would be available in case further
unforeseen losses were to be revealed, The Irish Times discloses.

"In particular, such losses could be driven by the deleveraging
process, which is expected to begin after completion of the
prudential liquidity assessment review [for] 2011," The Irish
Times quotes the commission as saying.  "Also, were the
macroeconomic situation to worsen significantly beyond the
scenarios envisaged under the stress tests, further pressures on
banks' asset quality and solvency could call for additional
capital injections."

However, the report said liquidity management exercises such as
those at AIB and Bank of Ireland could be a strong mitigating
factor reducing recapitalization needs, The Irish Times notes.
"In addition, BOI is looking for external sources of capital to
keep the bank majority private-owned," the commission, as cited by
The Irish Times, said.

The Irish Times notes that the commission also warned deleveraging
in the financial sector may be hampered by adverse market
conditions, which could prevent asset sales.

New legislation on the question of burden-sharing by subordinated
investors could affect the price of new bond issuances, The Irish
Times says.

The report also warned of implementation risks, The Irish Times
states.

"The planned reforms are substantial, will take a number of years,
and engage a wide range of stakeholders both public and private,"
the commission, as cited by The Irish Times, said.


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


PANTHER CDO: Fitch Cuts Ratings on Four Classes of Notes to 'CC'
----------------------------------------------------------------
Fitch Ratings has taken various actions on Panther CDO I B.V.'s,
Panther CDO IV B.V.'s and Panther CDO V B.V.'s notes:

Panther I

  -- Class I (XS0124334763) affirmed at 'AAA'; Outlook Stable;
     Loss Severity Rating 'LS-1'

  -- Class II (XS0124334847) affirmed at 'BB'; Outlook Negative;
     'LS-3'

  -- Class III (XS0124335497) downgraded to 'CC' from 'CCC'

Panther IV

  -- Class A-1 (XS0276065124) affirmed at 'BBB'; Outlook revised
     to Negative from Stable; Loss Severity Rating 'LS-3'

  -- Class A-2 (XS0276066361) downgraded to 'B' from 'BB; Outlook
     Negative; 'LS-5'

  -- Class B (XS0276068730) downgraded to 'CCC' from 'B'

  -- Class C (XS0276070553) downgraded to 'CC' from 'CCC'

Panther V

  -- Class A1 (XS0308593671) affirmed at 'A'; Outlook revised to
     Negative from Stable; 'LS-2'

  -- Class A2 (XS0308594059) downgraded to 'BB' from 'BBB';
     Outlook Negative; 'LS-4'

  -- Class B (XS0308594489) downgraded to 'B' from 'BB'; Outlook
     Negative; 'LS-5'

  -- Class C (XS0308594729) downgraded to 'CCC' from 'B'

  -- Class D (XS0308595296) downgraded to 'CC' from 'CCC'

  -- Class E (XS0308595536) downgraded to 'CC' from 'CCC'

The transactions are managed by Prudential M&G Investment
Management Limited.

The affirmations of Panther I's class I and II notes, Panther IV's
class A-1 notes and Panther V's class A1 notes reflect sufficient
support for the ratings, driven by an adequate level of available
credit enhancement.  However, the Outlooks on Panther IV's class
A-1 notes and Panther V's class A1 notes have been revised to
Negative due to the high concentration of low rated assets in the
portfolios.

The downgrades of Panther IV's class A-2, B and C notes reflect
the decline of available credit enhancement caused by the negative
credit migration of the assets.  Panther IV defaulted assets have
increased by 4.8% since March 2010 and now represent 6.63% of the
target par amount of the transaction.  In addition, 21.1% of the
portfolio is rated 'CCC' or lower and the majority of the bucket
are Structured Finance assets, for which Fitch has very low
recovery expectations.

Despite an overall good performance since the last review, Panther
V's class A2 to E notes have been downgraded as a result of the
portfolio quality and unsustainability of its current levels of
credit enhancement compared to the level of 'CCC' or below rated
assets, which primarily comprise RMBS, CDO and CMBS assets with
low recovery expectations.

Panther I is deleveraging and its tranches have improved levels of
credit enhancement.  However, the class III notes have been
downgraded due to its low interest coverage level, which may
result in the use of principal proceeds to maintain the interest
current with a high fixed coupon.


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R O M A N I A
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CITY MALL: Put Up for Sale for EUR33 Million
--------------------------------------------
SeeNews, citing news portal Wall-street.ro, reports that the City
Mall shopping center in  Bucharest, which has entered bankruptcy
procedures, will be put up for sale at a starting price of
EUR33 million (US$44.7 million).

SeeNews relates that Wall-street.ro said the first auction is
scheduled for the end of March and a second one could take place
by June, depending on the investors' interest.

According to SeeNews, Radu Lotrean, managing partner at the
Insolvency House Transilvania, City Mall's administrator, as
quoted by Wall-Street.ron, said the mall is still operating,
despite the ongoing insolvency procedures.

SeeNews says local banks UniCredit and Bancpost have to recover a
combined EUR41 million in debts from the City Mall.

In November, Australian investment fund APN European Retail
Property Group filed for insolvency of its subsidiary Victoria
Holding, which owns the mall, SeeNews recounts.  SeeNews notes
that Wall-street.ro said Coldwell Banker Affiliates has recently
taken over the management of the mall.


* ROMANIA: Has Few Successful Company Restructuring Stories
-----------------------------------------------------------
Liviu Chiru at Ziarul Financiar reports that Romania has too few
successful restructuring stories.

According to Ziarul Financiar, on the few examples of successful
company debt restructuring, bankers and entrepreneurs have now
turned into adversaries, and over-indebted companies are taking
their problems to a point where their entering bankruptcy becomes
inevitable.

Ziarul Financiar relates that Arin Stanescu, chairman of the
National Union of Romania's Insolvency Practitioners, said at
present, only 5% of the companies in default come to implement a
financial turnaround plan, while the rest go directly toward
bankruptcy.  At present, over 20,000 insolvency cases are open,
Ziarul Financiar discloses.

"The number of insolvencies climbed in 2010 and it is likely to
rise further in 2011.  It is not earlier than 2012 that the number
of insolvency cases will go down, once the economy recovers,"
Ziarul Financiar quotes Mr. Stanescu as saying.


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R U S S I A
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* OBLAST OF KIROV: Moody's Withdraws 'Ba3' Local Issuer Rating
--------------------------------------------------------------
Moody's Investors Service has withdrawn the Ba3 local currency
issuer rating with stable outlook for the Oblast of Kirov
(Russia).  At the same time, Moody's Interfax Rating Agency has
withdrawn Kirov's Aa3.ru national scale rating.

                         Ratings Rationale

Moody's Investors Service has withdrawn the credit rating for its
own business reasons.

Moody's last rating action on the Oblast of Kirov was implemented
on December 10, 2007, when the rating agencies assigned a Ba3
issuer rating with a stable outlook and an Aa3.ru national scale
rating to the region.

The Oblast of Kirov is situated in north-eastern European Russia
and has around 1.4 million inhabitants (1% of Russia's
population).  Local industry is concentrated in machinery
building, chemistry and timber industries

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.


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


IM FTGENCAT: Fitch Downgrades Rating on Class C Notes to 'CCsf'
---------------------------------------------------------------
Fitch Ratings has downgraded IM FTGENCAT SABADELL 2's notes:

  -- EUR271.7m Class A(G) notes; downgraded to 'Asf' from 'AA-sf';
     Outlook Negative; Loss Severity rating 'LS-1'

  -- EUR121.1m Class A(S) notes have been paid in full

  -- EUR19.8m Class B notes; downgraded to 'CCCsf' from 'Bsf';
     assigned a Recovery Rating of 'RR3'

  -- EUR5.7m Class C notes; downgraded to 'CCsf' from 'CCCsf',
     Recovery Rating revised to 'RR6'

The downgrade reflects the transaction's continued poor
performance over the past year and the expectation that while
performance appears to be stabilizing, it is unlikely to improve.
Over the past year, the reserve fund has continued to be drawn,
thus reducing the available credit enhancement for the junior
notes.  The reserve fund now appears to have stabilized at
slightly over EUR1 million, however this remains well below the
EUR9.5 million target.  The small reserve fund means the junior
tranches are highly exposed to any further spikes in defaults.

Fitch expects performance to remain under pressure over the short
to medium term, with late-state delinquencies remaining elevated.
To date, recoveries have been minimal and when they do start
coming in, Fitch expects them to be low.  Consequently, Fitch has
downgraded the class A(G) notes to the rating of the Generalitat
de Catalunya (Autonomous Community of Catalonia;'A'/Negative/'F1')
which guarantees these notes.  The class B notes have been
downgraded to reflect the limited protection offered by the nearly
depleted reserve fund and by the thin class C tranche.  The class
C notes have been further downgraded to reflect the limited
protection offered by the nearly depleted reserve fund.

The transaction also benefits from 50bps of excess spread under
the interest rate swap with Banco de Sabadell ('A'/Stable/'F1').
However, in the past this has been insufficient to cover all the
defaults that have occurred (resulting in repeated draws on the
reserve fund).  Fitch expects the excess spread provided by the
interest rate swap to continue to be insufficient to cover the
defaults that are expected to materialize over the medium term.

The transaction is a cash flow securitization of a pool of finance
leases on real estate and certain other assets originated in Spain
by Banco de Sabadell.  Only the lease receivables portion of the
lease contracts are securitized (any residual value component has
not been securitized).  All obligors are small and medium-sized
enterprises located in the region of Catalunya, the home region of
the originator.


PARQUES REUNIDOS: S&P Assigns 'B-' Corporate Credit Rating
----------------------------------------------------------
Standard & Poor's Ratings Services said that it has assigned its
'B-' long-term corporate credit rating to Spain-based Parques
Reunidos Servicios Centrales, S.A.U., the world's No. 3 leisure
parks operator.  The outlook is stable.

S&P also assigned a 'B-' long-term debt rating to the proposed
US$430 million senior secured bond due 2018 to be co-issued by
Palace Entertainment Holdings, LLC, a 100%-owned U.S. subsidiary
of Parques Reunidos, and Palace's fully owned finance subsidiary
Palace Entertainment Holdings Corp.  Given Palace's 100% ownership
by Parques Reunidos, S&P considers Palace to be a material
subsidiary and have assessed the corporate credit rating on a
group consolidated basis.  S&P assigned a recovery rating of '4'
to the proposed bond, indicating S&P's expectation of average
(30%-50%) recovery for bondholders in the event of a payment
default.

S&P's ratings on the proposed bond issue are subject to the
successful issuance of the bond and its review of final
documentation.  Any change in the amount, terms, or conditions of
the bond issue and/or the RCF would have to be reviewed by
Standard & Poor's and could affect the current bond ratings.

"The corporate credit rating primarily reflects S&P's view of
Parques Reunidos' high financial leverage and of the high
seasonality of its operations," said Standard & Poor's credit
analyst Florence Devevey.

S&P estimates that, pro forma for the pending bond issue, debt to
EBITDA was about 8x on Sept. 30, 2010 (about 6x excluding
shareholder loans), after adjusting for operating leases and
including EUR325 million of existing and US$65 million of new
shareholder loans.  S&P fully net its adjustment for the US$82
million additional new shareholder loan, which, S&P understand,
will sit on Parques Reunidos' balance sheet as a cash cushion,
assuming the bond is successfully placed.  S&P understands that
the shareholder's intention is to use this cash cushion for a
potential equity cure at the European financing level.

S&P believes that debt to EBITDA will only decline moderately in
the future, with a cash flow sweep in Europe and overall EBITDA
growth being partially offset by the payment-in-kind
characteristics of the shareholder loans.  The company's cash
generation capacity, as reflected in its close to 3x unadjusted
EBITDA-to-cash interest coverage ratio for the full year to end-
September 2010, pro forma for the proposed transaction, mitigates
its high leverage.

In addition, S&P assess Parques Reunidos' business risk profile as
"weak." This primarily reflects S&P's view of the company's high
seasonality, with close to 95% of its EBITDA generated during the
summer months.

"The stable outlook reflects S&P's view of Parques Reunidos'
future solid operating performance and positive free cash flow
generation," said Ms.  Devevey.  "This should contribute, in S&P's
opinion, to sustainable consolidated Standard & Poor's-adjusted
EBITDA interest coverage in the 1.5x-2.0x range."

S&P could lower the corporate credit and bond ratings if the
company is unable to maintain positive free cash flow generation,
or if adjusted EBITDA interest coverage falls below the
aforementioned target.

Conversely, rating upside could result from adjusted leverage
falling below 6.0x.  However, given the moderate pace of
deleveraging, S&P views this scenario as remote for the time
being.


TDA IBERCAJA: Moody's Assigns '(P)C(sf)' Rating to Class C Notes
----------------------------------------------------------------
Moody's Investors Service has assigned provisional ratings to the
class A, B, and C notes issued by TDA IBERCAJA 7 FTA.  The ratings
take into account the credit quality of the underlying mortgage
loan pool, the transaction structure and any legal considerations:

  -- (P)Aa3(sf) to the EUR1.9 billion Class A, due 2060
  -- (P)Ba3(sf) to the EUR100 million Class B, due 2060
  -- (P)C(sf) to the EUR70 million notes Class C, due 2060

                         Ratings Rationale

The expected portfolio loss of 2.0% of the current balance of the
portfolio and the MILAN Aaa Credit Enhancement of 10.35% served as
input parameters for Moody's cash flow model, which is based on a
probabilistic lognormal distribution, as described in the report
"The Lognormal Method Applied to ABS Analysis", published in
September 2000.

The key drivers for the MILAN Aaa CE number, which is slightly
higher than MILAN Aaa CE in other Ibercaja RMBS transactions, are:
(i) that 5.01% of the pool is made up of debt consolidation
mortgages; (ii) that 15.45% of the pool is made up of self-
employed; (iii) that 3.99% of the pool is made up of second homes
and 3.71% are non owner occupied; and (iv) uncertainty stemming
from systemic risk and the deteriorating Spanish economic
environment.  The key driver for the portfolio expected loss is
the performance of previous Ibercaja deals.  In particular,
Moody's has taken into account the delinquency information
reported for similar transactions.  This figure is better than
comparable Spanish transactions, reflecting the relatively low
weighted average loan-to-value (LTV) of the portfolios and the
superior historical performance of previous Ibercaja transactions.

The notes are backed by a pool of prime Spanish mortgages granted
to individuals by Ibercaja (A2, Prime-1 on review for possible
downgrade).  The properties are residential located in Spain.  As
of January 2011, the mortgage pool balance consisted of
approximately EUR1.87 billion.  The reserve fund is funded at
3.69% of the total outstanding pool and will be used to pay senior
fees, interest and principal shortfalls on the notes during the
life of the deal.  Transaction documentation does not contain a
trigger for the appointment of a back-up servicer.  This implies a
certain degree of linkage between the rating of the notes and the
servicer.  All of the payments under the loans in this pool are
collected by the servicer under a direct debit scheme into the
collection account held at Ibercaja and are transferred to the
reinvestment account on a monthly basis.  Upon the loss of
Ibercaja's Prime-1 rating, collections will be transferred on a
weekly basis.

The V-score for this transaction is medium, which is in line with
the V-score assigned for the Spanish RMBS sector as a whole.  Only
one sub-component underlying the V-score (alignment of interests)
has been assessed as being higher than the average for the Spanish
RMBS sector at medium.  This is because borrowers in arrears pay a
high level of penalty interest at 19%, which is paid prior to
recoveries to the Fondo.  This could negatively affect the
alignment of interest between the servicer and the special-purpose
vehicle, as there is limited incentive for the servicer to
foreclose quickly.  V-scores are a relative assessment of the
quality of available credit information and of the degree of
dependence on various assumptions used in determining the rating.
High variability in key assumptions could expose a rating to more
likelihood of rating changes.  The V-score has been assigned in
accordance with the report, "V-Scores and Parameter Sensitivities
in the Major EMEA RMBS Sectors", published in April 2009.

At the time the rating was assigned, the Moody's parameter
sensitivities model output indicated that the class A notes would
have achieved a Aa3 if the expected loss was as high as 2.0%,
assuming a MILAN Aaa CE as high as 10.35% and with all other
factors being constant.  Moody's parameter sensitivities provide a
quantitative/model-indicated calculation of the number of rating
notches that a Moody's structured finance security would vary if
certain input parameters used in the initial rating process
differed.  The analysis assumes that the deal has not aged and is
not intended to measure how the rating of the security might
migrate over time.  Rather, it measures how the initial rating of
the security might have differed if Moody's vary key rating input
parameters.  Moody's calculate parameter sensitivities for the
typical EMEA RMBS transaction by stressing key variable inputs in
Moody's primary rating model.

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


VALENCIA HIPOTECARIO: Fitch Affirms 'CCC' Ratings on Class D Notes
------------------------------------------------------------------
Fitch Ratings has downgraded three tranches of Valencia
Hipotecario 4 and affirmed all other tranches of four Spanish RMBS
transactions originated by Banco de Valencia.  In addition, the
agency has revised the Outlook on one tranche to Negative.

In Fitch's view, although the four collateral pools share similar
characteristics, the transactions' performance varies markedly
because of the different origination years of the underlying
loans.  93% of the current loan balance for Valencia Hipotecario 1
was originated before 2003, whereas 85% of the current loan
balance for Valencia Hipotecario 4 was originated in 2006 or 2007.

As a result, when the macro-economic environment deteriorated in
Spain, the later transactions had been given less time to
deleverage and therefore borrowers struggled more with
affordability.  Although loan-to-value ratios were comparable
across the four transactions, it is likely that borrowers in the
later transactions faced higher initial mortgage installments.
This is because of the strong house price appreciation in Spain up
until 2007, and therefore for a given LTV, the amount borrowed was
higher.  Similarly, in Fitch's opinion, it is likely that the
later vintages will see lower recoveries.

The downgrade of Valencia Hipotecario 4's class A, B and C notes
reflects the problems that the transaction continues to
experience.  To date, it has experienced high cumulative defaults,
at 4.9% of the initial collateral balance, and a higher proportion
of delinquent loans than would typically be expected for a Spanish
prime RMBS transaction.  The below par performance and low level
of gross excess spread mean that the reserve fund has been fully
utilized, to help provision for defaulted loans.  While the
provisioning mechanism, applicable in these transactions after
loans have been delinquent for 18 months, is designed to assist a
transaction, Valencia Hipotecario 4 has been unable to cope with
the volume of defaults.  This has led to the continued rise in
unprovisioned loans to EUR22.92 million, which is a concern.  In
January 2011, the interest on the class C note was deferred for
the first time, as a support for the more senior notes.

Valencia Hipotecario 2 and 3 also have low levels of gross excess
spread, and are therefore also exposed to an increase in period
defaults, which has been the trend across all four transactions.
The increase in period defaults in 2010 was the result of
borrowers who fell into arrears in 2008 and 2009 migrating through
the arrears buckets into a state of 18 months in arrears.  In both
transactions, gross excess spread has been insufficient to fully
provision defaulted loans, and consequently the reserve fund of
each transaction has been drawn.  However, unlike Valencia
Hipotecario 4, neither of the reserve funds has diminished by more
than 20% to date, and it is currently expected that recoveries on
unsold repossessions will be sufficient to replenish both reserve
funds to their target level.  Nonetheless, Fitch will continue to
carefully monitor this trend of rising defaults, and the 3.37%
level of credit enhancement leaves the class B note of Valencia
Hipotecario 3, rated 'A+sf', vulnerable to further deterioration
in performance, hence the revision of the Outlook to Negative.

Valencia Hipotecario 1's weighted average current LTV is 41.17%,
and although it is a well seasoned deal, the percentage of loans
with arrears greater than 3 months (excluding defaults) has not
risen above 0.56% of the outstanding collateral balance.
Furthermore, as with all of the transactions, the vast majority of
the underlying loans reference a 12-month index, which means that
borrowers are expected to feel the effects of a potential rise in
interest rate on a lagged basis.

Fitch received clarification from the gestora, Europea de
Titulizacion, that the sudden fall in arrears in Valencia
Hipotecaria 2, 3 and 4 was the result of an IT correction by Banco
de Valencia, following a conversion to a new IT system.  This
initially caused an overestimation of arrears levels because it
failed to include and adjust for the loans that had recovered from
an arrears state.  This fault was not as pronounced for Valencia
Hipotecario 1 as the volume of loans in arrears has consistently
been low.

The downgrade of Banco de Valencia to 'BBB-' and its placement on
Rating Watch Negative on February 4, 2011 makes Banco de Valencia
ineligible as interest swap provider under Fitch's structured
finance counterparty criteria.  In this circumstance, the posting
of collateral is not considered sufficient to mitigate the
counterparty risk.  Fitch will contact the issuer and report its
actions in due course.

The rating actions are:

Valencia Hipotecario 1, Fondo de Titulizacion de Activos:

  -- Class A (ISIN ES0382744003): affirmed at 'AAAsf'; Outlook
     Stable; assigned a Loss Severity Rating 'LS-1'

  -- Class B (ISIN ES0382744011): affirmed at 'AA-sf' ; Outlook
     Stable; assigned a LS Rating 'LS-2'

  -- Class C (ISIN ES0382744029): affirmed at 'BBB+sf'; Outlook
     Stable; assigned a LS Rating 'LS-3'

Valencia Hipotecario 2, Fondo de Titulizacion de Hipotecario:

  -- Class A (ISIN ES0382745000): affirmed at 'AAAsf'; Outlook
     Stable; assigned a LS Rating 'LS-1'

  -- Class B (ISIN ES0382745018): affirmed at 'A+sf'; Outlook
     Stable; assigned a LS Rating 'LS-2'

  -- Class C (ISIN ES0382745026): affirmed at 'BBB+sf'; Outlook
     Negative; assigned a LS Rating 'LS-3'

  -- Class D (ISIN ES0382745034): affirmed at 'CCCsf'; Recovery
     Rating revised to 'RR3' from 'RR2'

Valencia Hipotecario 3, Fondo de Titulizacion de Activos:

  -- Class A2 (ISIN ES0382746016): affirmed at 'AAAsf'; Outlook
     Stable; assigned a LS Rating 'LS-1'

  -- Class B (ISIN ES0382746024): affirmed at 'A+sf'; Outlook
     revised to Negative from Stable; assigned a LS Rating 'LS-3'

  -- Class C (ISIN ES0382746032) affirmed at 'BBBsf'; Outlook
     Negative; assigned a LS Rating 'LS-3'

  -- Class D (ISIN ES0382746040): affirmed at 'CCCsf'; Recovery
     Rating revised to 'RR4' from 'RR3'

Valencia Hipotecario 4, Fondo de Titulizacion de Activos:

  -- Class A (ISIN ES0382717009): downgraded to 'A-sf' from
     'AAAsf'; Outlook Stable; off RWN; assigned a Loss Severity
     Rating 'LS-1'

  -- Class B (ISIN ES0382717017): downgraded to 'Bsf' from 'A-sf';
     Outlook Negative; off RWN; assigned a LS Rating 'LS-3'

  -- Class C (ISIN ES0382717025) downgraded to 'CCCsf' from
     'BBsf'; assigned a Recovery Rating of 'RR4'

  -- Class D (ISIN ES0382717033): affirmed at 'CCsf'; Recovery
     Rating revised to 'RR6' from 'RR4'


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


CROWN FOREX: US Feds Want In on US$84M Civil Suit vs. Crown Forex
-----------------------------------------------------------------
Bankruptcy Law360 reports that U.S. federal prosecutors are
seeking to jump into a U.S. Commodity Futures Trading Commission
civil suit accusing the principals and subsidiaries of Crown Forex
SA of perpetrating a massive foreign exchange scheme to defraud
investors of US$84 million.

As reported in the Troubled Company Reporter-Europe on June 16,
2009, Reuters said that Crown Forex SA Chairman Ibrahim Ali said
the foreign exchange provider had appealed to the Federal
Administrative Tribunal against a bankruptcy ruling by Swiss
markets regulator FINMA.

Reuters recalled FINMA ruled on Feb. 23, 2009, to liquidate Crown
following a money laundering investigation.  Mr. Ali, as cited by
Reuters, said the investigation had hampered the company's efforts
to meet the requirements for a banking license, including an
audit.  Reuters related that according to Mr. Ali, Crown was
cleared but FINMA took control of the company anyway, citing
possible liquidity issues.  In a May 29 report, Reuters disclosed
the financial regulator took control of Crown on Dec. 9, 2008.  It
declared the company bankrupt on May, 29, 2009, the report said.

Based in Bassecourt, Switzerland, Crown Forex SA --
http://www.crownforex.com/-- offers trading on 13 currency pairs
+ gold and silver.


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


UKRTELECOM JSC: Creditors Withdraw Early Repayment Demand
---------------------------------------------------------
According to TeleGeography, Millenium Capital, citing an anonymous
insider speaking to Interfax on Feb. 15, reported that Credit
Suisse and Deutsche Bank have withdrawn their demands for
Ukrtelecom to make early repayment of a US$222 million debt.

TeleGeography says the company, which is in the process of being
sold by the Ukrainian government to Austrian investors, has
reportedly negotiated a new debt restructuring plan which comes
into force once it makes good on a semi-annual interest payment of
US$56 million by Feb. 25.

                            Epic Bid

In a Feb. 13 report, The Financial Times disclosed that Epic, a
Vienna-based investment house, has agreed to acquire a 93% stake
in Ukrtelecom for US$1.3 billion after rivals were excluded from
the privatization tender.

Peter Goldscheider, Epic's managing partner, told the FT that his
group "will accept" the government's offer and hopes to close the
acquisition of Ukrtelecom in March after talks with banks to
finance the purchase.  According to the FT, Mr. Goldscheider said
Epic planned to use its vast telecoms advising experience to
restructure Ukrtelecom and exit the investment in four to five
years through an initial public offering, a sale to a strategic
investor or a combination of the two.

The government offer values Ukrtelecom at just US$10 million more
than the US$1.3 billion starting price that was set in the
privatization tender last December, the FT said.

A highly bureaucratic and mismanaged corporate dinosaur,
Ukrtelecom has lost much of its value in the past decade, falling
years behind European peers in terms of introducing new telecoms
technologies, the FT noted.

Ukrtelecom earned only US$6 million in the first half of last
year, the FT stated.

Ukrtelecom VAT (Ukrtelecom JSC) -- http://www.ukrtelecom.ua/-- is
a Ukraine-based national telecommunication operator.  It provides
telephone communication services throughout Ukraine, rendering all
kinds of telecommunication services: international, long-distance
and local telephony; data transmission including based on
Asynchronous Transfer Mode (ATM)/Frame Relay technology; Internet
network access including dial-up and broadband access based on
digital subscriber line (xDSL) technologies; granting dedicated
switched circuits for use; Integrated Services Digital Network
(ISDN); video-conference communication; satellite and wire
communication; technical maintenance of radio and television
broadcasting networks, telegraph and telex communication.  The
Company operates through 33 branches locates countrywide.


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


ASHBROOKE FOODS: Goes Into Administration, Ceases Trading
---------------------------------------------------------
Meatinfo.co.uk reports that Ashbrooke Foods has been placed into
administration and ceased trading.  The report relates that the
company had run up substantial debts and the administrators SFP
then took the decision to shut the business.

SFP's Daniel and Simon Plant, both licensed members of the
Insolvency Practitioners' Association, were appointed joint
administrators of Ashbrooke Foods on Jan. 24, 2011.

"Cashflow management is vital for the health of a business, and
when debts build up; if help is not sought straight away then a
company faces the chance of failing.  Despite efforts of finding
an alternative solution, Ashbrooke Foods has now ceased to trade
and the assets are being sold to secure funds to repay the
creditors," meatinfo.co.uk quotes Simon Plant, group partner at
SFP, as saying.

Headquartered in Sunderland, Ashbrooke Foods is a meat wholesaler.
The company employed six people at its warehouse.


BUTTERFLY HOTELS: Akkeron Hotels Buys Himley Hotel, Saves 38 Jobs
-----------------------------------------------------------------
Dudley News reports that all 38 jobs at Himley hotel have been
saved after the company went into administration.  The report
relates that Best Western Himley Country Hotel was part of
Butterfly Hotels Limited, but after the parent company was put
into administration, Akkeron Hotels Group Limited stepped in to
take over, maintaining business as usual.

All staff at the 65-bedroom Himley Country Hotel on the Shropshire
and Staffordshire border have been transferred into Akkeron under
TUPE regulations, alongside a further nine hotels previously run
by Butterfly Hotels Limited, purchased for an undisclosed sum,
according to Dudley News.

Butterfly Hotels mainly owned businesses in East Anglia and the
Midlands.


DECODE CAR: Placed Under Compulsory Liquidation
-----------------------------------------------
Andrew Penman, writing for Mirror.co.uk, reports that Decode Car
Hire Ltd and Travel Market Ltd have been put into compulsory
liquidation.

Mirror.co.uk relates that the companies reportedly took deposits
for holiday cars which never materialized.

According to mirror.co.uk, the High Court on Feb. 16, 2011,
approved an Insolvency Service petition to shut down Decode Car
Hire Ltd and Travel Market Ltd, whose Web sites included
suncar.co.uk, decodecarrentals.com, rubbe.com and car-rent-
malaga.com.

Decode Car Hire Ltd and Travel Market Ltd have a network of car
hire operations with offices in London and Brighton but run from
Latvia.


FAREPAK: Nine Ex-Directors Face Directorship Disqualification
-------------------------------------------------------------
Simon Bowers at guardian.co.uk reports that ex-Rentokil chief
Sir Clive Thompson and Blacks Leisure boss Neil Gillis are among
nine former directors of Farepak and its parent company European
Home Retail who could be banned.

According to the report, nine former board members at the failed
Christmas hamper business Farepak and its parent company have been
accused of being "unfit to manage a company" and are facing a move
by the government to have them disqualified from acting as
directors.

Guardian.co.uk relates that the former board members include Sir
Clive Thompson, who as chief executive of Rentokil for 20 years
built it into a FTSE-100 business before moving to chairman
between 2002 and 2004.

Mr. Thompson was chairman of European Home Retail, which collapsed
into administration four and a half years ago.

Others potentially facing disqualification include the chief
executive of Blacks Leisure, Neil Gillis, who announced last week
that he intended to resign from the outdoor goods retailer.  He
had been a non-executive director of EHR, guardian.co.uk report.

Swindon-based Farepak collapsed in October 2006, leaving more than
100,000 people out of pocket.

Martha H Thompson and Shagun Dubey of BDO Stoy Hayward LLP were
appointed joint administrators of Farepak Food & Gifts Ltd.,
Farepak Hampers Ltd., Farepak Holdings Ltd., and Farepak Mail
Order Ltd. on Oct. 13, 2006.


HALLIWELLS: Owes GBP190 Million++, Administrator's Report Reveals
-----------------------------------------------------------------
Claire Ruckin at legalweek.com reports that the latest report from
administrators BDO revealed that Halliwells owed unsecured
creditors more than GBP190 million.  Legalweek.com relates that to
date, BDO has received claims worth GBP191.5 million from
unsecured creditors.

Landlord and lease creditors account for GBP182.2 million of
claims received to date, with Her Majesty's Revenue & Customs the
next largest creditor with some GBP4.3 million in taxes and GBP1.1
million in VAT, according to legalweek.com.

Legalweek.com notes that the debt figure is significantly higher
than the GBP14.1 million originally thought to be owed to
unsecured creditors.  At that point, HMRC was identified as the
largest of the non-preferential creditors, legalweek.com relates.

Legalweek.com discloses that BDO's report, drawn up by BDO
partners and joint administrators Dermot Power and Shay Bannon and
on Feb. 11 shows:

   * GBP176.5 million is owed to landlord creditors while lease
     creditors are claiming GBP5.7 million.  The figure takes into
     account the remaining term of all leases on the firm's former
     offices in Manchester, Liverpool, London and Sheffield.

   * the administrators have run up fees of GBP805,487 for 3,847
     hours of work at an average rate of GBP209.36 each hour.  Of
     these fees, GBP524,354 were approved for pre-appointment
     costs, while GBP364,475.85 have been approved in connection
     with post-appointment work between July 20, 2010, and
     Oct. 15, 2010.

   * a total of GBP384,756 relates to expenses incurred by the
     administrators on legal fees, and an additional GBP606,082
     has been paid in pre-appointment legal fees.

Other information contained within the report includes a breakdown
of how much Hill Dickinson, Kennedys Law, Barlow Lyde & Gilbert
and HBJ Gateley Wareing have paid to date for their acquisitions
of parts of Halliwells, legalweek.com says.  So far, the firms
have paid GBP4.3 million of the GBP7.4 million agreed,
legalweek.com adds.

Halliwells is a law firm based in Manchester.


MARINE INDUSTRY: Calls in Administrator as Boat Show Cancelled
--------------------------------------------------------------
Andrew Brook at Yachting Monthly reports that Marine Industry
Events, the organizers of the Liverpool Boat Show, are calling on
administrators to sort out the collapse of the show following news
of its cancellation.

Rob Mackenzie, managing director of MIE, told Yachting Monthly
that he hoped some of the company's 14 staff members would be
retained by any future Liverpool Boat Show, but he admitted that
the company had been 'destroyed'.

According to the report, James Gower, the show's commercial and
marketing director, promised that the cancellation would not leave
any ticket holders out of pocket.  "Ticket holders will get a
refund.  Details of how to claim it will go up on the show's
website," Yachting Monthly quotes Mr. Gower as saying.

Yachting Monthly notes that the Web site said that the box office
will contact ticket holders about their Liverpool Boat Show
refund.

Yachting Monthly says Mr. Gower, however, revealed that exhibitors
may not be so lucky.

"We are calling the administrators in and they will deal with the
exhibitors in the proper manner," Yachting Monthly quotes Mr.
Gower as saying.

Yachting Monthly relates that Mr. Gower said not-cancelling the
show after the withdrawal of many exhibitors would have been like
'opening Sainsbury's when there is nothing on the shelves'.

Discussions have now begun between Liverpool City Council and
other local partners, such as urban regeneration company Liverpool
Vision, to see if an alternative event can be staged, but MIE will
have no further involvement in this process, Yachting Monthly
adds.


JOHNSON AND JOHNSON: Zutux Acquires Firm Out of Administration
--------------------------------------------------------------
Messenger reports that Johnson and Johnson was bought from
administrators by on-line retailer Zutux and secured 30 jobs in
the process.  The report relates that the GBP1 million-plus deal
was sealed almost two weeks after Johnson and Johnson went into
administration.

Administrators had made 50 of the 70-strong workforce redundant,
according to Messenger.

Messenger notes that Zutux said all employees who were on the
payroll when it took over have been retained, and some of those
who were axed by the administrators will be re-employed.

The new bosses plan to extend the business with new ranges of
furniture to be made in the Johnson and Johnson factory and sold
online through the Zutux Web store, the report says.

Messenger adds that the company's Trafford Park showroom will be
maintained and extended.

Headquartered in Trafford Park, Johnson and Johnson is a kitchen
furniture manufacturer firm.


OJS JEWELLERY: Goes Into Liquidation
------------------------------------
Rachael Taylor at Professional Jeweller reports that OJS
Jewellery, which owned the Kolorbox jewellery brand, has gone into
liquidation.  The company went into liquidation on Feb. 8, 2011.

According to the report, OJS Jewellery was part of the CMJ, and
sales director Oliver Crouch said that he "would like to thank all
CMJ members for their support over the years".

Professional Jeweller discloses that KolorBox was a range of 18ct
gold jewellery set with a kaleidoscope of gemstones from diamonds
to peridot and aquamarine.  The brand, says the Professional
Jeweller, had a wide distribution in the U.K. and on its Web site
claimed to supply to 67 retailers including Finnies in Aberdeen,
Townsend Jewellers in Wetherby, TJ Davies in Aberstwyth, Johnsons
in Nuneaton and James Jewellers in Hants.

OJS Jewellery is family-run Birmingham-based company that
specializes in "auxiliary jewellery" and coloured stone jewellery.


OLDE BARN HOTEL: Goes Into Administration, Seeks Buyer
------------------------------------------------------
Insider Media Limited reports that the Olde Barn Hotel is seeking
a buyer for its business after falling into administration.  Lyn
Vardy and Ian Green of PwC have been appointed joint
administrators for the hotel.

The administrators are seeking a buyer which will allow the
business to continue to trade.  The company is currently operating
as normal and future events and bookings are still being honored,
confirmed PwC, according to Insider Media Limited.

"The hospitality industry continues to suffer in the economic
downturn.  Due to falling demand, trading has suffered in recent
months.  The company was facing difficulty in meetings its
financial obligations so we have been appointed to protect the
business to allow it to continue trading while seeking a
purchaser.  We are looking to secure the rapid sale of the
business and assets of The Olde Barn Hotel and consequently we are
very keen to speak to anyone who might have an interest in
acquiring all, or part, of the business or assets of the company,"
Insider Media Limited quotes Lyn Vardy, joint administrator and
director at PwC, as saying.

The Olde Barn Hotel is located in Lincolnshire.  It employs 74
people.


PREMIER FOODS: Fitch Assigns 'BB' Long-Term Issuer Default Rating
-----------------------------------------------------------------
Fitch Ratings has assigned Premier Foods plc a Long-term Issuer
Default Rating of 'BB' with a Stable Outlook.

The 'BB' Long-term IDR reflects Premier Foods' profile as the UK's
largest branded ambient grocery manufacturer and bread baker and
flour miller with a 6.8% market share in the fragmented and
competitive GBP25 billion UK ambient grocery market.  It
manufactures and markets products across many food categories and
owns iconic British brands.  The company therefore benefits from
the diversity and scale in terms of manufacturing, logistics and
procurement in the UK, which has also enabled it to demonstrate
innovation and brand stretch capabilities to adjacent food
categories.

However, these positive strengths are balanced by the company's
reliance on the UK.  Fitch notes that this is an intended strategy
by Premier Foods as it chooses to compete in categories generally
not core to multi-nationals.  This strategy limits competitive
threats from larger multi-national players.  In addition, Premier
Foods has a healthy competitive position in many of its food
categories where it holds a number one or two market position.

Premier Foods also faces the threat of competition from food
retailers' own private label brands.  However, Fitch notes that
the private label trend is reversing as the growth of private
label decelerates.

Fitch considers the group's historical financial risk profile was
weak for the rating level.  Aggressive expansion plans,
particularly in the past few years have had a negative impact on
credit metrics.  Additional interest payments stemming from
financial derivatives (interest rates swaps) and restructuring
costs have drained cash flows.

The rating also takes into account the company's ability to
accelerate deleveraging with the disposal of its meat-free
business and its East Anglian canned grocery operations in
addition to positive free cash flow generation.  Lease-adjusted
net debt/EBITDAR is expected to be below 3.5x in FYE11 (year
ending December 2011) from 4.4x (pre-disposal) in FYE10.
Management's commitment to reduce leverage (internal target
average gross debt/EBITDA of below 3.25x) provides further comfort
to Fitch's assessment.

However, Fitch acknowledges that management is committed to
improving both organic performance and its financial profile, as
announced in its trading strategy in February 2010 and financial
strategy in August 2010.  On October 19, 2010, management
successfully completed the restructuring of its interest rate swap
portfolio, removing a considerable amount of financial risk and
volatility from its balance sheet and cash flows.  Fitch has
capitalized the interest on the restructured swaps, resulting in
better fixed charge coverage ratios.  FFO fixed charge coverage is
expected to improve to around 3x in FYE10 from 1.5x in FYE09.

Positive rating actions would reflect progress towards a
sustainable lease adjusted net debt/EBITDAR below 2.0x and
EBITDAR/fixed charges above 4.0x on the current business profile.
Continued product innovation and pricing power through cycles that
together deliver improved operating EBITDA margins above 16% and
demonstrate a more robust market position could support a higher
rating level.  Fitch expects the company to demonstrate organic
sales growth capabilities as integration, restructuring and
disposal plans are largely completed.

A negative rating action could follow from sustained declining
profitability such that EBITDA margin deteriorates to below 14%,
lease-adjusted net debt/EBITDAR is above 4.5x, and EBITDA/fixed
charges below 2.5x.  Fitch also expects PF to generate a minimum
of GBP100 million in FCF per annum for debt reduction.


RB FARQUHAR: Elliot Buys RB Farquhar Hires Out of Administration
----------------------------------------------------------------
Scott McCulloch at Business7 reports that RB Farquhar Hires has
been bought out of administration by Elliot Group for an
undisclosed sum.  The report relates that as part of the sale, all
72 employees will now be transferred along with the company's
assets to the new owner.

"It is very good news that we have now finalized the sale of this
well-known local business in a little over three months.  Our
experience in this field helped identify potential bidders and
with 32 companies expressing an interest we were confident of
finding a new buyer," Business7 quotes Blair Nimmo, head of
restructuring for KPMG in Scotland, as saying.

As reported in the Troubled Company Reporter-Europe on November 8,
2010, The Scotsman said that the directors of RB Farquhar
(Holdings) and three of its subsidiaries appointed Blair Nimmo and
Gary Fraser of KPMG Restructuring as joint administrators, putting
112 jobs at risk.  According to The Scotsman, the company's hires
and storage divisions, RB Farquhar (Hires) and Simply Self
Storage, which employs 77 and four staff respectively, will
continue to trade as normal while KPMG seeks a buyer.  However, RB
Farquhar (Manufacturing) has stopped trading, though KPMG said "a
number of" remaining contracts were expected to be fulfilled, The
Scotsman related.  It and the holding company employ 31 staff and,
while no redundancies were made, a question mark hangs over those
posts, The Scotsman noted.

Based in Huntly, RB Farquhar (Holdings) produces prefabricated
bathroom pods.


VANWALL FINANCE: Fitch Affirms 'B-sf' Ratings on Two Tranches
-------------------------------------------------------------
Fitch Ratings has affirmed the outstanding tranches of Vanwall
Finance plc.  All notes classes have Stable Outlooks.  The rating
actions are:

  -- GBP168.3m class A (XS0242555570) affirmed at 'AAAsf'; Outlook
     Stable

  -- GBP87.1m class B (XS0242558244) affirmed 'BBBsf'; Outlook
     Stable

  -- GBP34.9m class C (XS0242558913) affirmed at 'BBsf'; Outlook
     Stable

  -- GBP17.4m class D (XS0242559994) affirmed at 'Bsf'; Outlook
     Stable

  -- GBP31.8m class E (XS0242561032) affirmed at 'B-sf'; Outlook
     Stable

  -- GBP10.2m class F (XS0242561891) affirmed at 'B-sf'; Outlook
     Stable

The affirmations reflect the stable performance of the underlying
loan since the last review in February 2010, which reflects the
ongoing rental performance of Toys 'R' Us Limited, the UK
subsidiary of Toys 'R' Us, Inc. ('B'/Rating Watch Positive) and
the sole tenant in the portfolio.  Given the long lease, which has
24 years remaining until first break, the tenant is a critical
factor in asset valuation.  On a vacant possession value, the
portfolio would be heavily discounted in current conditions, since
it is still a buyer's market for secondary UK retail warehouse and
industrial sectors that characterize many of its constituent
assets.  However, the part of the portfolio comprising above-
average quality warehouses in relatively good locations could
appeal to specialist investors even in the absence of the tenant.

In its analysis, Fitch assumes a default of the tenant in all
rating scenarios above its Long-term IDR.  Since this would
coincide with loan default, portfolio VPV is the constraint on
recovery proceeds, as calculated in Fitch's analysis by projecting
future income on the basis of gradual re-let at reduced rents,
deducting various costs, and capitalizing resultant net income at
stressed cap rates.

While difficult to compute from information provided, Fitch
estimates a whole LTV ratio in excess of 100%, which points to the
difficulties the borrower faces in redeeming the loan by scheduled
maturity in April 2013.  In Fitch's opinion, this level of risk is
consistent with the ratings assigned to the different notes
classes, as noted above.

Vanwall Finance plc is the securitization of a single loan secured
by a portfolio of 30 retail warehouses and a single distribution
warehouse, all fully-let to Toys 'R' Us Limited on identical
leases with 24 years remaining.


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


* EUROPE: To Double Lending Capacity of Rescue Fund in 2013
-----------------------------------------------------------
James G. Neuger and Stephanie Bodoni at Bloomberg News report that
European governments agreed to double the lending capacity of the
rescue fund for debt-laden countries in 2013, while seeing no need
for immediate steps to shield Portugal from the fiscal crisis.

According to Bloomberg, Finance ministers decided that the future
emergency aid mechanism will be able to lend EUR500 billion
(US$675 billion), twice the size of the fund set up in the wake of
Greece's near-default last year.

"The situation on the sovereign-debt markets remains worrying,"
Bloomberg quotes Luxembourg Prime Minister Jean-Claude Juncker as
saying after chairing a meeting of European finance ministers in
Brussels on Sunday.  "The Portuguese authorities did take
effective actions.  If this action would reveal itself as not
having been sufficient, other measures will have to be taken, but
I have no indications that this has to be done in the short term."


* EUROPE: Tremonti Blames Crisis on Poor Supervision of Banks
-------------------------------------------------------------
Jeffrey Donovan at Bloomberg News reports that Italian Finance
Minister Giulio Tremonti accused European governments of failing
to adequately supervise the banking industry and helping to spark
the global financial crisis.

"In Europe there was the problem of a lack of vigilance of the
private-finance industry, while at the same time there was proper
surveillance of public finances," Bloomberg quotes
Mr. Tremonti as saying at a news conference in Rome on Wednesday.
"We want the truth recognized: that the crisis we are experiencing
was produced by banks and by those who didn't supervise them.
Everyone understands that."

According to Bloomberg, Italy, along with Greece, objects to
proposed European Union sanctions on heavily indebted countries
that fail to meet quantitative debt-reduction targets.
Mr. Tremonti has said he wants the EU to build in exemptions for
countries such as Italy with low levels of private debt and sound
banks, Bloomberg relates.


* BOOK REVIEW: THE OUTLAW BANK
------------------------------
by Jonathan Beaty and S. C. Gwynne.
Beard Books, Washington, D.C. 2004
(reprint of book published by Random House in 1993)
399 pages.  US$34.95 trade paper, ISBN 1-58798-146-7.

Toward the end of their labyrinthine study of an international
financial scam running over 20 years, the authors are prophetic:
"Since none of the rules [allowing for the BCCI scam] have
changed, there is nothing to prevent other BCCIs from springing up
in the artfully created regulatory gaps.  And no one in authority
wants the rules to change."  The BCCI scam which was disclosed in
the early 1990s prefigured the scams in the field of finance and
investing that have come to light in 2008 and are continuing to be
reported and investigated.  The $20 million involved in the BCCI
scandal made it the biggest financial scandal in history up to the
1990s.  The investigative reporters, Messrs. Beaty and Gwynne, see
that BCCI and the worldwide network of individuals at all levels
of private business and government became exposed because of their
excesses.  If they had been less greedy and a little more
discreet, the BCCI operation could likely have continued
indefinitely.  But this is how such scandals usually come to an
end -- the greed becomes uncontrollable, those involved become
reckless.  Messrs. Beaty and Gwynne track how BCCI originated, how
it grew phenomenally, and how it came apart at the seams.

BCCI stands for Bank of Credit and Commerce.  The Pakistani Agha
Hasan Abedi founded the bank in 1972.  Promoting it as the Third
World's first multinational bank, he was soon getting involvement
from sponsors and investors throughout the Middle East and in the
United States.  Bert Lance, Jimmy Carter's short-lived budget
director, and Clark Clifford, at the time legendary Washington
D.C. "fixer", were early sponsors profiting from BCCI's growth and
connections.

The book grew from the authors reporting on the unfolding BCCI
scandal for Time magazine.  This account has more dimensions than
even a long-running investigative journalism report given much
space in a news periodical could hope to deal with.  With
unparalleled maneuverability to expose the story from their
association with the major news magazine Time and consummate
investigative journalism skills, Messrs. Beaty and Gwynne
accomplish the best account possible of the mind-boggling scandal.
But as their prophecy near the end implies, there is no
neat conclusion nor sense of finality to the story.  Some of the
perpetrators and some of the enablers such as Clifford have faced
prosecution and have plea bargained or been found guilty.  But
rather than been brought to accountability, nearly all those
involved have been instead dispersed to become involved in other
enterprises whose bases and aims are bound to be suspect.  Several
of the key players who provided much of the inside information to
the dogged authors are given pseudonyms so as not to put them at
risk for reprisals by any of the dozens of persons involved in
BCCI who are going about their lives as if nothing had happened.

The book is not a reworking or even simple expansion of the
authors' investigative journalism for Time magazine.  Even those
familiar with the BCCI story will find the book engaging.  With
the colorful characters continually popping up, the high financial
states, international scope, and touches of danger, it reads like
a gripping espionage novel.

Both authors were leaders in investigative reporting in their
careers at Time magazine.  Now retired, Jonathan Beaty is writing
a book on
the CIA and Middle East arms dealing.  S. C. "Sam" Gwynne was an
international banker at one time, and is now executive editor of
Texas Monthly Magazine.


                            *********

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, Julie Anne G. Lopez,
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.

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 * * *