TCREUR_Public/110603.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, June 3, 2011, Vol. 12, No. 109

                            Headlines


C Z E C H   R E P U B L I C

SAZKA AS: Creditors' Committee Has Yet to Select Rescue Offer


C R O A T I A

AGROKOR DD: S&P Affirms Long-term Corporate Credit Rating at 'B'


G E R M A N Y

HEIDELBERGCEMENT AG: Moody's Upgrades Corp. Family Rating to 'Ba1'
LANTIQ DEUTSCHLAND: Moody's Affirms 'B2' Corp. Family Rating
RAPIDEYE AG: Files For Insolvency to Address Financial Issues


G R E E C E

* GREECE: Unveils Plan to Restructure 75 Public Companies by 2016
* Fitch Ratings Publishes Rating Report on Greece


I R E L A N D

PURTY KITCHEN: In Receivership Over "Difficult Trading Conditions"
VULCAN EUROPEAN: Fitch Affirms Rating on 2 Classes of Notes at Csf


I T A L Y

PARMALAT SPA: Intesa Withdraws List of Board Candidates


L I T H U A N I A

UKIO BANKAS: S&P Ups Short-term Counterparty Credit Rating to 'B'


N E T H E R L A N D S

RBC ROOSENDAAL: Bankruptcy Ruling Expected on June 7
TELECONNECT INC: Incurs US$1.44 Million Net Loss in March 31 Qtr.


R O M A N I A

GREENLAKE DEVELOPMENTS: Files For Insolvency in Bucharest Court


R U S S I A

INT'L INVESTMENT: Moody's Downgrades LT Deposit Ratings to 'Caa1'


S P A I N

PYMECAT 2 FTPYME: Moody's Cuts Rating on D Certificate to 'B3'
SANTANDER HIPOTECARIO: Fitch Affirms 'C' Rating on Class F Notes
TDA CCM CONSUMO: Fitch Lowers Rating on Class C Notes to 'BB+'


U K R A I N E

ALFA-BANK UKRAINE: S&P Raises LT Counterparty Rating to 'B-'


U N I T E D   K I N G D O M

BLUEGLOW LTD: Goes Into Administration, SFP Concludes Sale
BURTONS COACHES: Goes Into Administration, Ceases Trading
CELERITAS MARKETS: Taps MacDonal to Assist Liquidation Process
CORNER BLOK: Bank of Scotland Places Firm Into Administration
FOCUS (DIY): Nantwich Store to Close, 20 Jobs at Risk

JAGUAR LAND ROVER: Moody's Assigns 'B1' Corporate Family Rating
JSA: Exits Company Voluntary Arrangement
TRAVEL JUNKY: Enters Into Voluntary Liquidation


X X X X X X X X

* BOOK REVIEW: All Organizations Are Public


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C Z E C H   R E P U B L I C
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SAZKA AS: Creditors' Committee Has Yet to Select Rescue Offer
-------------------------------------------------------------
CTK reports that a meeting of Sazka AS's creditors' committee on
Wednesday ended without selecting an offer to provide money needed
for the firm's operation since there was only one concrete offer.

According to CTK, Lenka Ticha, spokeswoman for Sazka insolvency
administrator Josef Cupka, said the second offer that was
submitted was not concrete and did not comprise all the elements.

Mr. Cupka and the creditors' committee agreed to extend the period
for submitting the offers until Wednesday night.

The first offer, according to CTK, is now being analyzed from the
legal and economic points of view.

Ms. Ticha, as cited by CTK, said that within such a short period
of time, The Bank of New York Mellon has failed to make a
statement on the possibility of taking part in the financing of
Sazka's operation.  Ms. Ticha declined to reveal the names of the
firms that presented their offers, CTK notes.

Creditor committee chairman Josef Novotny on Sunday said that
Sazka would need hundreds of millions, maybe up to CZK500 million,
for prizes and operation, CTK recounts.

Mr. Cupka had a promise from the creditor committee on Monday that
it would try its utmost to help raise funds for Sazka's operation,
CTK relates.

According to CTK, Ms. Ticha said that Mr. Cupka's team of
colleagues and Sazka managers were on Wednesday, defining the
steps to take to stabilize the firm. "Sazka's management is
closely cooperating with the administrator's team."

Sazka's biggest creditors, the groups PPF and KKCG, have not yet
made public their offers of support for the firm, CTK notes.

The betting company Fortuna Entertainment Group NV sent an
official takeover bid of CZK2 billion to 2.5 billion for Sazka's
lottery business on Monday night, CTK relates.

As reported by the Troubled Company Reporter-Europe, CTK said that
Sazka has been in bankruptcy as of Monday, May 30, 2011.  The
decision on Sazka's bankruptcy was made at a meeting of its
creditors on May 27, CTK disclosed.  Under bankruptcy, the Sazka
board of directors is losing the right to handle the company's
assets, which will now be administered by an insolvency
administrator, CTK noted.  Sazka's management wants to turn to
court to defend itself against the decision on bankruptcy,
according to CTK.

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


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C R O A T I A
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AGROKOR DD: S&P Affirms Long-term Corporate Credit Rating at 'B'
----------------------------------------------------------------
Standard & Poor's Ratings Services affirmed its 'B' long-term
corporate credit and senior secured and unsecured debt ratings on
Croatian food manufacturer and retailer Agrokor d.d. "We removed
all the ratings from CreditWatch, where they were placed with
negative implications on April 7, 2011. The outlook is stable,"
S&P said.

"The affirmation reflects the expiration of Agrokor's bid to
acquire a 23% interest in Slovenian food retailer Mercator, d.d.
without its being accepted, as well as our view that Agrokor is
unlikely to make a new bid in the nearest future," S&P explained.

"We understand that the sale of the shareholding in Mercator might
continue, but will take additional time, and that Agrokor's
participation in this sale is currently uncertain," S&P noted.

The rating on Agrokor reflects its "fair" business risk profile
and its "highly leveraged" financial risk profile.

The "fair" business risk profile is constrained by Agrokor's
limited, although improving, geographic diversification, which is
largely exposed to developing economies. The business risk profile
is supported by Agrokor's entrenched market positions in Croatian
food retail and several key food segments, such as ice cream,
frozen foods, beverages, and edible oils. The rating is
constrained by the group's "highly leveraged" financial risk
profile. This results from Agrokor's "weak" liquidity position and
aggressive financial policy, reflected in Agrokor's historical
acquisitive stance and high leverage. The company's liquidity
management reduces the group's financial flexibility, which is
demonstrated by Agrokor's dependency on banks' rolling over short-
term borrowings, and by limited leeway on the group's financial
covenants.

The group's highly leveraged financial profile is primarily the
result of its strategic focus on investment in food production
facilities, and the expansion and modernization of its retail
chain and distribution network, which has more than absorbed the
group's cash generated from operations over recent years.

"The stable outlook reflects our view of Agrokor's ability to roll
over its still substantial short-term debt in the context of
stable cash generation. Therefore we believe that any deviation
from the past operating cash flow trends would be credit negative
in that it would jeopardize short-term debt refinancing and bank
covenant compliance. We anticipate that Agrokor will keep share of
its short-term debt at less than 30% by regularly stretching its
debt maturities," S&P related.

"We could lower the ratings if Agrokor were to fail to maintain
its adjusted net debt to EBITDA at about 5x. The ratings could
also be lowered if the group were unable to maintain EBITDA
interest coverage above 2.0x," S&P further noted.

"We see the possibility of an upgrade as currently remote, due to
Agrokor's expansionary financial policy, which envisages
consistently growing investment outflows," S&P added.


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G E R M A N Y
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HEIDELBERGCEMENT AG: Moody's Upgrades Corp. Family Rating to 'Ba1'
------------------------------------------------------------------
Moody's Investors Service has upgraded HeidelbergCement's
Corporate Family rating to Ba1 from Ba2 and the senior unsecured
long term rating to Ba2 from Ba3. The outlook on all ratings is
stable.

                      Ratings Rationale

"The upgrade to Ba1 was prompted by the group's relatively sound
performance in Q1 (albeit largely supported by weak comparatives)
and Moody's expectation that HeidelbergCement will continue to
perform well in 2011, leading to further deleveraging and improved
credit metrics," says Stanislas Duquesnoy, a Moody's Vice
President-Senior Analyst and lead analyst for HC. HC is mainly
exposed to markets or regions that are expected to experience
positive volume momentum in 2011 including Germany, Russia,
Poland, the Nordics, Indonesia, Australia and Canada. Moody's
notes that the group has no exposure to the Middle East and
Northern Africa (MENA) region and to the European peripheral
markets and therefore is not exposed to risks of current political
uncertainties, as opposed to its peers Lafarge or Italcementi.
"The key operating challenge in 2011 will be the group's ability
to pass on higher energy and general costs to its end customers,"
explains Mr. Duquesnoy. The recent volumes trend in HC's main
markets gives us some comfort that the group will be able to
recoup most of the cost inflation through price increases in 2011.

With RCF / Net debt of 9.8% and Debt / EBITDA of 4.4x as per 31st
March 2011, HC is weakly positioned within the Ba1 rating category
and therefore the Ba1 rating remains prospective at this stage and
encompasses the expectation that HC will continue to focus on cost
cutting and deleveraging to bring down Debt / EBITDA below 4.0x
and RCF / Net debt towards the high teens. This also assumes a
continued conservative dividend payout to preserve cash flows
generated for debt reduction.

Over the last 24 months, HC has implemented a broad set of
measures to restore its liquidity and credit profile. Future
credit metrics improvements are predicated upon HC's ability (i)
to capitalize on improved market conditions in its core
geographies, (ii) to pass along higher energy costs to its end
customers, (iii) to deliver further cost cutting measures (EUR600
million to be achieved by the end of 2013) and (iv) to
structurally improve working capital as the agency does not
anticipate any major asset disposals or rights issues in the short
to medium term.

The liquidity position of HC is sound. As per March 2011, the
company had unrestricted cash of EUR812 million, EUR2,037 billion
availability under a EUR3 billion committed revolver maturing in
December 2013. Alongside operating cash flows (before WC) expected
to be generated by HC, this should be largely sufficient to cover
short term liquidity needs mainly consisting of capex, debt
repayments, modest dividends and day-to-day cash requirements over
the next twelve months.

Given the weak positioning in the Ba1 category, an upgrade in the
medium term is currently unlikely. Positive rating pressure would
build on the current Ba1 rating if Debt / EBITDA would drop
sustainably well below 3.5x and RCF / Net debt would increase to
the low twenties on a sustainable basis. A rating upgrade to Baa3
would also have to reflect the ability and willingness of HC to
maintain credit metrics in line with an investment grade rating
for an extended period of time.

A sharp setback in market conditions in HC's main geographies
leading to a deterioration in operating performance and cash flow
generation with Debt/EBITDA remaining sustainably above 4.0x and
RCF/Net debt remaining sustainably below the mid teens would exert
negative pressure on the ratings.

The principal methodology used in rating HeidelbergCement AG was
the Global Building Materials Industry Methodology, published July
2009. Other methodologies used include Loss Given Default for
Speculative Grade Issuers in the US, Canada, and EMEA, published
June 2009.

HeidelbergCement AG is the world's third largest cement producer
with strong market positions in mature Western European countries,
such as Germany, Scandinavia, Benelux, and the UK, as well as in
the emerging markets of Eastern Europe, Africa, Asia and Turkey.
HeidelbergCement generated revenues of almost EUR12.2 billion for
the last twelve months ended March 31, 2011.


LANTIQ DEUTSCHLAND: Moody's Affirms 'B2' Corp. Family Rating
------------------------------------------------------------
Moody's Investors Service has affirmed the B2 Corporate Family
Rating (CFR), the B3 Probability of Default Rating (PDR), and the
B2 bank loan rating of Lantiq Deutschland GmbH and changed the
outlook for the ratings to negative from stable.

                         Ratings Rationale

The outlook change was triggered by Lantiq's recent operating
trends in which revenues and cash flows developed more volatile
than Moody's had expected. Contrary to earlier expectations Lantiq
consumed cash (after extraordinary items) in H1, 2011 leading to
shrinking cash balances and constraining the financial flexibility
of the company. In spite of the shortfall in EBITDA, Lantiq's
leverage (estimated debt/EBITDA) is still moderate for the rating
category and well below the 5x threshold set for a possible rating
downgrade. The prospects for resumption of growth over the
intermediate term and a strengthening of the company's financial
headroom support the rating affirmation.

Moody's would expect to stabilize Lantiq's rating outlook if it
becomes comfortable that the company is on track towards achieving
positive operating profitability as well as free cash flow for the
current fiscal year with an upwards trend thereafter and
management is able to materially strengthen the company's
liquidity cushion.

A rating downgrade would be considered if business volumes are
seen to continue on a declining trend and negative cash flows
threaten to erode Lantiq's cash position.

The principal methodology used in rating Lantiq was the Global
Semiconductor Industry Methodology, published November 2009 and
Loss Given Default for Speculative-Grade Non-Financial Companies
in the U.S., Canada and EMEA Industry Methodology, published June
2009.

Lantiq Deutschland GmbH, headquartered in Neubiberg (Munich,
Germany), is a leading designer of communications semiconductors
deployed by major carriers in traditional voice and broadband
access networks around the world. The Lantiq group company has an
operating history of almost 25 years and employs around 1,000
employees worldwide (mostly chip designers). Headquartered in
Neubiberg (Munich, Germany), Lantiq generated around US$440
million worth of revenues in fiscal year ending September 30,
2010.


RAPIDEYE AG: Files For Insolvency to Address Financial Issues
-------------------------------------------------------------
Satnews Daily reports that RapidEye AG has filed for insolvency
under German insolvency laws, the equivalent of Chapter 11
protection.

Satnews Daily relates that Wolfgang Biedermann, the CEO of
RapidEye, commented that this move was necessitated by recent
actions of the financing banks.  Satnews Daily says the intention
of the banking consortium is to allow the company to use the
Chapter 11 protection to resolve certain contractual and financing
issues.  This action, according to the report, will not affect the
delivery of products and services to existing and future customers
nor will it affect marketing and sales activities.

It is expected that RapidEye will emerge from Chapter 11 after a
short time as a stronger and healthier company fit to compete
successfully in the global remote sensing market, Satnews Daily
reports.

"We hope that our customers, our employees, and our partners will
support us during these next several weeks", Satnews Daily quotes
Mr. Biedermann as saying.  "During the last more than two years of
operations, our team has demonstrated that we can be successful in
this market. We need to build on our strengths and continue to
work on improving our weaknesses to be a viable and prosperous
supplier of remote sensing data and of advanced remote sensing
based information products and services."

RapidEye AG is a German geospatial information provider focused on
assisting in management decision-making through services based on
their own Earth observation imagery. The company owns a five-
satellite constellation producing 5-meter resolution imagery that
was designed and implemented by MacDonald Dettwiler (MDA) of
Richmond, Canada.  Originally located in Munich, the company
relocated 60 km southwest of Berlin to Brandenburg an der Havel in
2004.


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* GREECE: Unveils Plan to Restructure 75 Public Companies by 2016
-----------------------------------------------------------------
Xinhua News Agency reports that Greece announced on Wednesday the
restructuring of 75 public companies by 2016, as negotiations on
the release of further aid from the European Union and the
International Monetary Fund continue.

According to Xinhua, Greek Deputy Prime Minister Theodoros
Pangalos said the Greek government will proceed to the merger or
closure of 75 state companies during 2012 to 2015, aiming to save
at least EUR2.7 billion (US$3.89 billion), adding that more
details regarding the process and the fate of the 7,000 employees
will be announced in October.

Further drastic cutbacks on state expenses and an increase in
revenues through a bold four-year EUR50-billion euro privatization
program of state-run companies are key terms of the Medium-Term
Fiscal Strategy Plan, which is under discussion between Greek
officials and EU-IMF auditors in Athens over the past two weeks
ahead of the release of the next tranche of aid, Xinhua discloses.

It is expected to be finalized this week and be tabled to the
Greek parliament for ratification shortly, as EU-IMF officials
examine the prospect of granting further aid to Greece, reaching
up to EUR65 billion, Xinhua says, citing unconfirmed media
reports.



* Fitch Ratings Publishes Rating Report on Greece
-------------------------------------------------
Following its downgrade of Greece's sovereign ratings from 'BB+'
to 'B+' and the placement of the ratings on Rating Watch Negative
(RWN) on May 20, 2011, Fitch has published a special report
further examining the factors behind this rating action.

Fitch remains of the opinion that only the combination of
sustained economic recovery and fiscal consolidation, and
structural reform offer a credible path to the restoration of
sovereign creditworthiness for Greece. However, the scale of the
challenge before the Greek authorities, including a new commitment
to privatize EUR50 billion of state assets by 2015, and their
ability to deliver in the face of rising implementation and
political risk is increasingly in doubt. These concerns, coupled
with the recognition that new money will be needed to address a
fiscal funding shortfall from 2012 and avert a sovereign default,
were key factors behind the downgrade.

Fitch first highlighted the risk of renewed funding gaps emerging
in 2012 in early 2011. In Fitch's view, the outcome of the EU
Heads of Government Summit on 24-25 March heightened this risk
still further, by raising market expectations of the inevitability
of some form of debt restructuring under the auspices of the newly
created European Stabilisation Mechanism. Investor sentiment
towards Greek sovereign risk in the wake of this initiative has
deteriorated to such an extent that Fitch now believes that it is
highly unlikely that Greece will be able to regain market access
during the remaining life of the IMF-EU program (May 2013).

Incorporated into the 'B+' rating is Fitch's expectation that
substantial new money will be forthcoming for Greece from the EU
and the IMF and that Greek sovereign bonds will not be subject to
a "soft restructuring" or "re-profiling" that would trigger a
"credit event" and consequently a default rating from the agency.

Without renewed market access, new money from official creditors
will be required to address the fiscal funding shortfalls that are
set to reappear in 2012. In Fitch's opinion additional financial
support for Greece would only be credible in providing a path to
solvency if it were fully funded beyond the end of the current
EUR110bn program in 2013, implying additional financial support.

Fitch expects to resolve the RWN following the completion of the
fourth review of the IMF-EU program in the latter half of June
2011. The agency expects this event to be accompanied by
clarification of how future funding needs will be met, the role of
private creditors, and any likely additional policy
conditionality.


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PURTY KITCHEN: In Receivership Over "Difficult Trading Conditions"
-----------------------------------------------------------------
Irish Times reports that the Purty Kitchen Group has gone into
receivership after years of what its owners described as
"difficult trading conditions".

The group said it would continue trading as normal during the
receivership process, according to Irish Times.

The Purty Kitchen Group employs 60 people and operates one of the
best-known pubs in south Co Dublin.


VULCAN EUROPEAN: Fitch Affirms Rating on 2 Classes of Notes at Csf
------------------------------------------------------------------
Fitch Ratings has affirmed Vulcan (European Loan Conduit No. 28)
Ltd's commercial mortgage-backed floating rate notes due 2017:

   -- EUR466.4m class A (XS0314738963): affirmed at 'BBBsf';
      Outlook revised to Stable from Negative

   -- EUR20.6m class B (XS0314739938): affirmed at 'BBB-sf';
      Outlook revised to stable from Negative

   -- EUR73.4m class C (XS0314740431): affirmed at 'Bsf'; Outlook
      Negative

   -- EUR75.2m class D (XS0314740944): affirmed at 'CCCsf'; 'RR4'

   -- EUR38m class E (XS0314741595): affirmed at 'CCsf'; 'RR6'

   -- EUR3m class F (XS0314742056): affirmed at 'Csf'; 'RR6'

   -- EUR3m class G (XS0314742213): affirmed at 'Csf'; 'RR6'

The affirmation and revision of the Outlook on the class A and B
notes is driven by successful property disposals for a number of
loans since Fitch's last rating action. The servicer has indicated
that sales proceeds have satisfied release pricing targets, which
implies a degree of stability in the relevant property submarkets.
Although there is modest risk of cherry-picking, meeting release
pricing is supportive of the Outlook revisions. The second-largest
loan in the pool (the PFF loan, EUR102.8 million) has also
redeemed, albeit after loan maturity. However, as Fitch considered
this loan to be extremely low risk, its repayment has had
negligible rating implications. A number of risks remain within
the transaction.

The largest loan in the pool is the Tishman German Office loan
(36%), now secured by six German office properties (down from nine
at closing). Due to persistent underperformance, the loan was
restructured in February 2010, with an injection of EUR22 million
of new funds that are fully-subordinated to the senior securitized
loan. These funds make capital expenditure possible that ought to
help market the properties (which have a weighted average (WA)
lease length of approximately three years) and reduce the high
level of vacancy across this portfolio (from the current 23%). The
last revaluation, in November 2009, reported a 5% like-for-like
fall in market value (MV). However, Fitch believes this
overestimates value, and underestimates the likelihood of loss (as
reflected in the ratings of the lower tranches).

Two small loans are in special servicing following failure to
repay at the expected maturity date. The Inovalis Eboue Paris loan
(3.6% of the pool) was transferred into special servicing in Q310,
prompting a standstill agreement. Rental income produced by the
property is quite diversified, with the top five tenants
accounting for 43% of rent. However, the WA lease length is
approximately two years, while vacancy has more than doubled to
20% since Fitch's last rating action. The two properties securing
the loan were revalued (for the first time since closing) in
December 2010 at EUR33.2 million, down by 15% since origination.
Fitch estimates an LTV in excess of 100%.

The Guardian Bonn Rochustrasse loan (0.6% of pool), secured by an
office property in Bonn, was transferred into special servicing
(for the second time) on February 7, 2011. A six-month loan
extension request is currently being considered. The largest
tenant in the portfolio, accounting for 88.5% of passing rent, is
Arge Bonn, on a recently signed lease expiring in December 2015.
However, this is on a lower rent per sq ft despite covering a
larger surface area. Although the new lease has lengthened the WA
lease profile to approximately four years, vacancy remains high at
20%. Persistent extension requests indicate the problems facing
the borrower in refinancing the loan.

A further four loans, accounting for 26% of the outstanding
transaction balance, remain on the servicer's watchlist for a
number of reasons, including imminent departures of large tenants
and impending loan maturities. Apart from the asset sales, and any
related de-levering, performance across the remaining six loans
remains largely unchanged since Fitch's last rating action.


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PARMALAT SPA: Intesa Withdraws List of Board Candidates
-------------------------------------------------------
Bloomberg News reports that Parmalat SpA said Intesa Sanpaolo SpA
withdrew a list of candidates for Parmalat's board.

Parmalat made the announcement in a stock-exchange statement,
Bloomberg relates.

The bank had proposed Parmalat Chief Executive Officer Enrico
Bondi in its board list, Bloomberg discloses.

                      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.

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 Dec. 24, 2003.  Dr.
Enrico Bondi was appointed Extraordinary Commissioner in each of
the cases.  The Parma Court declared the units insolvent.

On June 22, 2004, Dr. Bondi, on behalf of the Italian entities,
sought protection from U.S. creditors by filing a petition under
Sec. 304 of the U.S. Bankruptcy Code (Bankr. S.D.N.Y. Case No.
04-14268).

Parmalat's U.S. operations filed for Chapter 11 protection on
Feb. 24, 2004 (Bankr. S.D.N.Y. Case No. 04-11139).  Gary Holtzer,
Esq., and Marcia L. Goldstein, Esq., at Weil Gotshal & Manges LLP,
represented the U.S. 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.

Three special-purpose vehicles established by Parmalat S.p.A. --
Dairy Holdings Ltd., Parmalat Capital Finance Ltd., and Food
Holdings Ltd. -- commenced separate winding up proceedings before
the Grand Court of the Cayman Islands.  Gordon I. MacRae and James
Cleaver of Kroll (Cayman) Ltd. were appointed liquidators in the
cases.  On Jan. 20, 2004, the Liquidators filed a Sec. 304
petition (Bankr. S.D.N.Y. Case No. 04-10362).  Gregory M. Petrick,
Esq., at Cadwalader, Wickersham & Taft LLP, and Richard I. Janvey,
Esq., at Janvey, Gordon, Herlands Randolph, represented the
Finance Companies in the Sec. 304 case.

The Honorable Robert D. Drain presided over the Parmalat Debtors'
U.S. cases and Sec. 304 cases.  In 2007, Parmalat obtained a
permanent injunction in the Sec. 304 cases.


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UKIO BANKAS: S&P Ups Short-term Counterparty Credit Rating to 'B'
-----------------------------------------------------------------
Standard & Poor's Ratings Services raised its short-term
counterparty credit rating on Lithuania-based AB Ukio Bankas to
'B' from 'C' and affirmed the 'B' long-term rating. At the same
time, the outlook was revised to stable from negative.

"The rating action reflects our view that the bank has improved
its asset quality, maintained its relatively strong funding and
liquidity profile, and bolstered its capitalization. However, the
bank's asset quality remains vulnerable and its earnings profile
is weak," S&P stated.

Ukio's financial profile has improved, mainly due to a recovery in
the Lithuanian economy in 2010 and the first quarter in 2011,
resulting in lower loan loss provisioning levels and improving net
interest income, although the latter remains weak. Asset quality
has improved and nonperforming loans stood at 19.0% as of March
31, 2011 compared with 32.49% at year-end 2009. "We expect the
bank's asset quality to continue to improve in 2011, however, we
still have some concerns about the relatively low level of
provisions despite a recent significant improvement. We expect the
bank's provisioning levels to remain above their long-term average
in 2011 but to decline in 2012," S&P continued.

Ukio has maintained a strong funding and liquidity profile with a
large cash and liquidity cushion, representing as of March 31,
2011 almost 40% of total assets, to offset any outflows of funds.
Most of the bank's liabilities consist of granular customer
deposits that increased through the recent financial crisis,
although this increase came at a high cost in the form of
declining net interest margins. "We expect the bank's liquidity
portfolio to gradually decrease as loan demand picks up and to see
a continued transfer from the currently large cash portion of the
portfolio into securities. We also expect some deposit outflows as
Ukio has become less competitive in pricing its short-term
deposits. However, we are comfortable with the bank's liquidity
situation and accordingly have raised our short-term rating to
'B'," S&P noted.

Although pre-provision income strengthened in the first quarter of
2011, mainly as a result of a sharp increase in the net interest
margin to 1.41% for the quarter compared with a minimal 0.66% for
full-year 2010, the bank's profitability remains weak and
vulnerable. A reallocation of the liquidity portfolio into
holdings of longer duration along with less competitive pricing
on short-term deposits were the main drivers for the improvement
in the net interest margin. With a large liquidity buffer in
place, and loans representing only about 50% of assets, the bank's
earnings capability is constrained. "We do not expect this to
increase much in 2011 as demand for new lending remains scarce,"
S&P said.

"We expect bottom-line losses for the current year of about
Lithuanian litas (LTL) 10 million, but anticipate a modestly
positive result in 2012 as new loan-loss provisioning declines and
net interest income increases," S&P related.

"The stable outlook reflects our favorable view of the bank's
improved credit profile, in terms of its asset quality metrics and
funding and liquidity profile, which continues to support the
rating. It further reflects the bank's increased capital, through
the conversion of a subordinated loan into equity in 2010 and our
expectation of further capital injections in 2011," S&P added.


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


RBC ROOSENDAAL: Bankruptcy Ruling Expected on June 7
----------------------------------------------------
Xinhua News Agency reports that RBC Roosendaal ceases to exist.

RBC's lawyer Hans van Oijen told Xinhua on Wednesday that the
shareholders of the club decided to ask for a bankruptcy
proceeding.

According to Xinhua, RBC had failed to attract sufficient funding
to repay its debts of more than EUR5 million.  The club turned to
the city council for EUR1 million, but that request was rejected
earlier this week, Xinhua relates.

"It's very simple," Xinhua quotes Mr. Van Oijen as saying.  "Too
much debts, too little money.  There was not enough money to
reorganize and pay off the debts.  In the past few days, they
worked hard to get money but that was not enough.  Some parties
wanted to help, but only under the condition that it would be save
all the way around."

The bankruptcy request will probably be ruled upon on June 7,
Xinhua discloses.

RBC Roosendaal is a Dutch professional football club.


TELECONNECT INC: Incurs US$1.44 Million Net Loss in March 31 Qtr.
-----------------------------------------------------------------
Teleconnect Inc. filed with the U.S. Securities and Exchange
Commission its quarterly report on Form 10-Q, reporting a net loss
of US$1.44 million on US$7,943 of sales for the three months ended
March 31, 2011, compared with a net loss of US$335,712 on US$111
of sales for the same period during the prior year.  The Company
also reported a net loss of US$1.07 million on US$19,914 of sales
for the six months ended March 31, 2011, compared with net income
of US$2.53 million on US$234,510 of sales for the same period a
year ago.

The Company's balance sheet at March 31, 2011, showed
US$9.18 million in total assets, US$10.52 million in total
liabilities, and a US$1.34 million total stockholders' deficit.

A full-text copy of the Form 10-Q is available for free at:

                        http://is.gd/gSURix

                       About Teleconnect Inc.

Based in Breda, in The Netherlands, Teleconnect Inc. (OTC BB:
TLCO) Teleconnect Inc. (initially named Technology Systems
International Inc.) was incorporated under the laws of the State
of Florida on November 23, 1998.

Serving as a telecommunications service provider in Spain for
almost 9 years, the Company never fully reached expectations and
decided late in 2008 to change its course of business.  In
November 2009, 90% of the Company's telecommunication business was
sold to a Spanish group of investors, and on October 15, 2010, the
Company completed the acquisition of Hollandsche Exploitatie
Maatschappij BV (HEM), a Dutch entity established in 2007.  HEM's
core business involves the age validation of consumers when
purchasing products which cannot be sold to minors, such as
alcohol or tobacco.  The Company regards this age validation
business as its new strategic direction.  The Dutch companies
acquired in 2007 (Giga Matrix, The Netherlands, 49% and Photowizz,
The Netherlands, 100%) are considered to function complementary to
this new service offering.

Through the purchase of HEM and its ownership in Photowizz and
Giga Matrix the Company now controls all four pillars under its
business model: the manufacturing and leasing of electronic age
validation equipment, the performance of age validation
transactions remotely, the performance of market surveys and the
broadcasting of in-store commercial messages using the age
validation equipment in between age checks.

Coulter & Justus, P.C., in Knoxville, Tenn., after auditing the
Company's results for fiscal year ended Sept. 30, 2010, expressed
substantial doubt about the Company's ability to continue as a
going concern. The independent auditors noted that the Company has
suffered recurring losses from operations and has a net capital
deficiency in addition to a working capital deficiency.

The Company reported net income of US$1,972,838 on US$254,446 of
revenue for fiscal 2010, compared with a net loss of US$1,828,443
on US$361,989 of revenue for fiscal 2009.


=============
R O M A N I A
=============


GREENLAKE DEVELOPMENTS: Files For Insolvency in Bucharest Court
---------------------------------------------------------------
Irina Popescu at Romania Business Insider reports that Greenlake
Development has recently filed an insolvency application to the
Bucharest Court.  The first term was established for June 1.

Romania Business Insider says Greenlake Development is the
developer of the Green Lake residential project built on the lake
Grivita by Quality Living Developers real estate development
company.  At the end of 2009, the company's debt exceeded
EUR36 million.

The complex belongs to a group of businessmen from Greece, through
Greenlake Development, and should include over 540 apartments and
villas, the investment being estimated at EUR100 million.  The
first phase of the project, totalling about 160 apartments and
villas, has been completed.


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


INT'L INVESTMENT: Moody's Downgrades LT Deposit Ratings to 'Caa1'
-----------------------------------------------------------------
Moody's Investors Service has downgraded International Investments
Bank's ratings: bank financial strength rating (BFSR) was
downgraded to E from E+, long-term local and foreign currency
deposit ratings were downgraded to Caa1 from B3 and national scale
rating (NSR) was downgraded to Ba3.ru from Baa3.ru. The bank's
deposit ratings and NSR are placed under review for a possible
further downgrade. The outlook on the BFSR, which is at the lowest
level, is stable.

                      Ratings Rationale

Moody's said that International Investments Bank's ratings'
downgrade and their review for a possible further downgrade
reflects the substantially increased liquidity risk and
uncertainty regarding the bank's franchise. Moody's added that it
is also concerned about the quality and reliability of the
information available regarding the bank's situation.

Moody's understands that the Central Bank of Russia (CBR) has
instructed International Investments Bank to limit the increase of
deposits from individuals to 1% a month. As a result the bank has
stopped attracting deposits from individuals since late April,
2011. At the same time the bank was allowed to attract corporate
deposits, according to International Investment Bank's management.
Retail deposits are the main source of the bank's funding
accounting for 75% of its liabilities, therefore the bank's
limitation to increase or roll over such deposits poses serious
liquidity risk in the near-term.

Moody's notes that in Q1 2011, many of the senior managers
resigned from the bank, which led to a 16% outflow of customer
deposits during that period, already weakening the bank's
liquidity and challenging its franchise viability.

Under such circumstances, the rating agency said that it believes
there is a risk that the bank's liquidity position may further
weaken if it experiences significant deposit outflows.

Moody's said that its review will focus on the bank's liquidity
position and its ability to maintain its franchise strength. The
ratings of the bank will probably be downgraded if it becomes
unable to refinance most of its retiring deposits in the near-
term. Conversely, the ratings may be confirmed if the bank manages
to improve its liquidity and funding conditions and if the
uncertainties about its franchise viability are eased over the
next few months.

The principal methodologies used in this rating were Bank
Financial Strength Ratings: Global Methodology published in
February 2007, and Incorporation of Joint-Default Analysis into
Moody's Bank Ratings: A Refined Methodology which was published in
March 2007.

Moody's National Scale Ratings (NSRs) are intended as relative
measures of creditworthiness among debt issues and issuers within
a country, enabling market participants to better differentiate
relative risks. NSRs differ from Moody's global scale ratings in
that they are not globally comparable with the full universe of
Moody's rated entities, but only with NSRs for other rated debt
issues and issuers within the same country. NSRs are designated by
a ".nn" country modifier signifying the relevant country, as in
".mx" for Mexico. For further information on Moody's approach to
national scale ratings, please refer to Moody's Rating
Implementation Guidance published in August 2010 entitled "Mapping
Moody's National Scale Ratings to Global Scale Ratings."

Headquartered in Moscow, Russia, International Investment Bank
reported total assets of US$92 million and shareholders' equity of
US$32.4 million as of end-Q1 2011, according to the bank's non-
audited statutory reports.


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


PYMECAT 2 FTPYME: Moody's Cuts Rating on D Certificate to 'B3'
--------------------------------------------------------------
Moody's Investors Service has downgraded the notes issued by
PYMECAT 2 FTPYME Fondo de Titulizacion de Activos, Spanish SME
ABS. The ratings remain on review for downgrade pending the
outcome of proposals by the transactions' sponsors to mitigate
operational risk and to remedy the swap replacement trigger.

                       Ratings Rationale

The rating action concludes the review that Moody's initiated in
November 2010 due to weaker-than-expected performance. Moody's
analysis also took into account the credit quality of the
underlying SME loan portfolio. Based on this analysis, the rating
agency determined: (i) its cumulative default and recovery rate;
and (ii) its volatility assumption. The analysis also took into
account the transaction structure, as assessed under Moody's cash
flow analysis. The expected cumulative default-rate and volatility
assumptions are the two key parameters that the rating agency uses
to calibrate its default distribution curve, which in turn is
included in the cash flow model used to rate European ABS
transactions.

-- PERFORMANCE

Cumulative 90-day delinquencies now stand at 12.5% of the original
balance, which is already in excess of the original assumption of
11.5%, while the pool factor stands at 49%. Historically, this
transaction has under-performed Moody's Spanish SME delinquency
index ("Spanish SME March 2011 Indices", May 2011). As of March
2011, 90- to 360-day delinquencies represented 3.9% of the current
pool balance, compared with an index average of 2.2%. As of April
2011, the reserve fund was partially depleted (66% of its target)
and cumulative write-offs had reached 3.2% of the original pool
balance. Ninety-day to 18-month delinquencies now stand at 5.4% of
the current pool balance.

-- KEY REVISED ASSUMPTIONS: CUMULATIVE DEFAULT, VOLATILITY AND
   RECOVERY

Moody's has reassessed its lifetime default expectation for
PYMECAT 2's collateral pool. This factored in the weak collateral
performance to date and any likely further performance
deterioration of the pool in the current down cycle. In doing so,
the rating agency took into account the transaction's exposure to
the real-estate market (32% of the current pool).

Moody's assumes a default probability for SME debtors operating in
the real-estate sector to be equivalent to a rating in the single-
B range. This takes into account the rating agency's outlook for
the Spanish real-estate sector. Moody's also assumes the default
probability of non-real-estate debtors to be in the low Ba/high B
range and estimates the remaining weighted-average life of the
portfolio to be 4.5 years. Consequently, these revised assumptions
have translated into a rise in the cumulative mean default
assumption for the current portfolio, equal to 22% of the current
portfolio balance. This default assumption corresponds to an
equivalent rating of B2 over the portfolio weighted average life.
This implies a revised cumulative mean default for the entire
transaction (since closing) equal to 21% of the original portfolio
balance, compared with 11.5% at closing.

Given the pool's relative granularity (with an effective number of
borrowers of 349), Moody's used a Monte Carlo simulation to derive
the gross default distribution. As a result of the simulation, the
coefficient of variation has decreased to 35%, compared to 45% at
closing. The prepayment rate was reduced to 5.0% from a 7.5%
assumption at closing.

Moody's decreased the average recovery-rate assumption to 50% (a
stochastic recovery rate), compared with 60% assumed at closing.
This revised assumption takes into consideration the fact that
71.4% of the portfolio benefits from a mortgage guarantee and
factors in an analysis of the real-estate collateral's nature and
value. In addition, in its analysis, Moody's assumes that
approximately a third of the current amount of written-off loans
would be recovered (EUR4.3 million out of 13 million of
outstanding defaults as of April 2011).

-- OPERATIONAL AND COUNTERPARTY RISK

Following the downgrade of the transaction servicer, Catalunya
Caixa, to Ba1/NP from A3/P-2 in March 2011, the transaction
documents contemplate the appointment of a back-up servicer.
Moody's has been informed by the transaction's management company
(gestora) that they have engaged in discussions with a potential
party to act as back-up servicer. As a result, Moody's maintains
on review for downgrade the ratings of the class A1, A2(G) and B
notes pending the outcome of the proposal related to the back-up
servicing arrangement. Catalunya Caixa also acts as swap
counterparty in the transaction. Following the downgrade of
Catalunya Caixa to Ba1, the documentation contemplates a
replacement of Catalunya Caixa as swap counterparty. Moody's will
conclude its review upon remedy of the swap replacement trigger.
Under the current swap agreement, the Fondo pays the interest
received from the loans and receives the sum of the weighted-
average coupon on the rated notes plus 50 basis points per annum
(bppa), over a notional amount corresponding to the pool balance
excluding loans that are 90 days in arrears.

-- TRANSACTION

PYMECAT 2 is a securitization of loans granted to small and
medium-size companies (SME) in Spain that closed in October 2008.
In April 2011, the portfolio comprised 2,141 loans. Most of the
loans were originated between 2005 and 2008. The portfolio
benefits from a good geographic diversification, with a 33.8%
exposure to the region of Valencia, a 23.9% exposure to the region
of Madrid and a 15.1% exposure to the region of Andalucia.

RATINGS LIST

   -- EUR237.7M A1 Certificate, Downgraded to Aa1 (sf) and Remains
      On Review for Possible Downgrade; previously on Nov 10, 2010
      Aaa (sf) Placed Under Review for Possible Downgrade

   -- EUR189.8M A2(G) Certificate, Downgraded to Aa1 (sf) and
      Remains On Review for Possible Downgrade; previously on Nov
      10, 2010 Aaa (sf) Placed Under Review for Possible Downgrade

   -- EUR17.5M B Certificate, Downgraded to Aa3 (sf) and Remains
      On Review for Possible Downgrade; previously on Nov 10, 2010
      Aa2 (sf) Placed Under Review for Possible Downgrade

   -- EUR20M C Certificate, Downgraded to Baa2 (sf) and Remains On
      Review for Possible Downgrade; previously on Nov 10, 2010 A3
      (sf) Placed Under Review for Possible Downgrade

   -- EUR35M D Certificate, Downgraded to B3 (sf) and Remains On
      Review for Possible Downgrade; previously on Nov 10, 2010
      Baa3 (sf) Placed Under Review for Possible Downgrade

PREVIOUS RATING ACTION AND PRINCIPAL METHODOLOGIES

The principal methodology used in this rating was Moody's Approach
to Rating CDOs of SMEs in Europe published in February 2007. The
other methodologies used were Refining the ABS SME Approach:
Moody's Probability of Default assumptions in the rating analysis
of granular Small and Mid-sized Enterprise portfolios in EMEA
published in March 2009 and Moody's Approach to Rating Granular
SME Transactions in Europe, Middle East and Africa published in
June 2007.

Moody's used its excel based cash flow model, Moody's ABSROM(TM),
as part of its quantitative analysis of the transaction. Moody's
ABSROM(TM) model enables users to model various features of a
standard European ABS transaction including: (i) the specifics of
the default distribution of the assets, their portfolio
amortization profile, yield or recoveries; and (ii) the specific
priority of payments, triggers, swaps and reserve funds on the
liability side of the ABS structure. Moody's ABSROM(TM) User Guide
is available on Moody's website and covers the model's
functionality as well as providing a comprehensive index of the
user inputs and outputs. MOODY'S CDOROMv2.8(TM) was used to
estimate the default distribution.

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


SANTANDER HIPOTECARIO: Fitch Affirms 'C' Rating on Class F Notes
----------------------------------------------------------------
Fitch Ratings has downgraded 12 and affirmed four tranches of two
Santander Hipotecario transactions, which contain residential
mortgage loans originated and serviced in Spain by Banco Santander
(Santander, 'AA'/Stable/'F1+'). In addition, eight tranches have
been placed on Rating Watch Negative (RWN). The rating actions
are:

Santander Hipotecario 3, Fondo de Titulizacion de Activos

   -- Class A1 (ISIN ES0338093000) downgraded to 'BBsf' from
      'A+sf'; placed on RWN; Loss Severity Rating 'LS1'

   -- Class A2 (ISIN ES0338093018) downgraded to 'BBsf' from
      'A+sf'; placed on RWN; Loss Severity Rating 'LS1'

   -- Class A3 (ISIN ES0338093026) downgraded to 'BBsf' from
      'A+sf'; placed on RWN; Loss Severity Rating 'LS1'

   -- Class B (ISIN ES0338093034) downgraded to 'Bsf' from
      'BBB+sf'; placed on RWN; Loss Severity Rating revised to
      'LS4' from 'LS5'

   -- Class C (ISIN ES0338093042) downgraded to 'CCCsf' from
      'BB-sf'; assigned Recovery Rating 'RR5'

   -- Class D (ISIN ES0338093059) downgraded to 'CCsf' from
      'CCCsf'; assigned Recovery Rating 'RR6'

   -- Class E (ISIN ES0338093067) affirmed at 'CCsf'; Recovery
      Rating revised to 'RR6' from 'RR4'

   -- Class F (ISIN ES0338093075) affirmed at 'Csf'; Recovery
      Rating 'RR6'

Santander Hipotecario 4, Fondo de Titulizacion de Activos

   -- Class A1 (ISIN ES0337711008) downgraded to 'BB-sf' from
      'Asf'; placed on RWN; Loss Severity Rating 'LS1'

   -- Class A2 (ISIN ES0337711016) downgraded to 'BB-sf' from
      'Asf'; placed on RWN; Loss Severity Rating 'LS1'

   -- Class A3 (ISIN ES0337711024) downgraded to 'BB-sf' from
      'Asf'; placed on RWN; Loss Severity Rating 'LS1'

   -- Class B (ISIN ES0337711032) downgraded to 'Bsf' from
      'BBBsf'; placed on RWN; Loss Severity Rating 'LS5'

   -- Class C (ISIN ES0337711040) downgraded to 'CCCsf' from
      'Bsf'; assigned Recovery Rating 'RR5'

   -- Class D (ISIN ES0337711057) downgraded to 'CCsf' from
      'CCCsf'; assigned Recovery Rating 'RR6'

   -- Class E (ISIN ES0337711065) affirmed at 'CCsf'; Recovery
      Rating revised to 'RR6' from 'RR4'

   -- Class F (ISIN ES0337711073) affirmed at 'Csf'; Recovery
      Rating 'RR6'

The downgrades follow the poor performance of the underlying
assets with exceptionally large volumes of loans considered to be
in default. The high default rates have generated significant
principal deficiency ledgers, leaving the tranches heavily
dependent on future recoveries from defaulted loans. Fitch has
requested information on the level of recoveries associated with
the defaulted loans, but, to date, Santander has been unable to
provide this data.

The agency has also sought information on the extent of loan
modifications granted to the borrowers, but this also remains
unclear, creating uncertainty as to the likely default probability
for the loans in the portfolio reported as being fully performing.
As of April 2011, the portion of loans in arrears by more than
three months stood at 2.4% (Santander 3) and 3.1% (Santander 4) of
the current portfolios, down from peak levels of 5.6% and 9.7% in
2009. It is unclear whether the underlying loans have been subject
to any modifications, which could have contributed to the
improvement in arrears performance, as seen in other Spanish RMBS
transactions. The notes have therefore been placed on RWN, as
Fitch continues its discussions with Santander to increase its
understanding of the servicing policies being applied to loan
modifications and the management of defaulted loans.

The transactions feature provisioning mechanisms, whereby a loss
is recognized for 100% of the loan balance once it reaches 18
months in arrears. Based on the investor reports received to date,
Fitch estimates that 10.2% and 17.1% of the original loan
portfolios have been eligible for provisioning for Santander 3 and
4, respectively. Along with the regular principal payments made by
the underlying borrowers, this has led to the pool factors being
reduced to 67.1% and 64.9%. However, the level of excess spread
generated by each transaction has been limited in comparison to
the period defaults, fully depleting the reserve funds by October
2008. As a result, the transactions have accumulated technical
principal deficiency ledgers of 8% (Santander 3) and 16%
(Santander 4) of their respective note balances, creating a
negative cost of carry for the notes. Fitch estimates that at
least 9.5% and 15.7% of the current outstanding portfolios of
Santander 3 and 4 are loans that could be classified as being in
default, from which recoveries can be expected.

The loans in the portfolio were granted to borrowers with little
or no equity at the peak of the Spanish mortgage market, which is
why the original weighted average loan-to-value ratios (LTVs) of
the two portfolios were in excess of 90%. Given the ongoing
declines in Spanish residential property values and high initial
LTVs, the agency considers that there is only a remote likelihood
that full principal repayments will be made to the more junior
classes of notes, which is reflected in their ratings.


TDA CCM CONSUMO: Fitch Lowers Rating on Class C Notes to 'BB+'
--------------------------------------------------------------
Fitch Ratings has downgraded TDA CCM Consumo 1, Fondo de
Titulizacion de Activos's (TDA CCM Consumo 1) class C notes to
'BB+' from 'BBB-' and affirmed the class A and B notes:

   -- EUR84.7m class A: affirmed at 'AAA'; Outlook Stable; Loss
      Severity Rating 'LS-1'

   -- EUR13.7m class B: affirmed at 'A'; Outlook revised to Stable
      from Negative; Loss Severity Rating 'LS-2'

   -- EUR7.3m class C: downgraded to 'BB+' from 'BBB-'; Outlook
      revised to Stable from Negative; Loss Severity Rating 'LS-3'

The rating actions follow Fitch's recent review of the
transaction's performance. TDA CCM Consumo 1 is a securitization
of auto and consumer loans granted to individuals, originated in
Spain by Banco de Castilla-La Mancha (BBB+/F2/Rating Watch
Negative), formerly known as Caja de Ahorros de Castilla la
Mancha.

The performance of TDA CCM Consumo 1, FTA's underlying pool has
been worse than expected, resulting in Fitch increasing its loss
assumptions. Cumulative defaults accounted for 1.88% of the
original pool, higher than Fitch's base case of 1.07% as of March
2011. Additionally, the class C notes are projected to defer
interest payments under the revised base case scenario. As a
result of the projected deferral of interest payments, the rating
was capped at 'BB+sf' based on Fitch's 'Criteria for Rating Caps
in Global Structured Finance Transactions' (June 23, 2010) and the
Outlook revised to Stable from Negative.

The affirmation of the class A and B notes and Stable Outlooks
reflect the significant pool de-leverage observed to date (ie.
pool balance stands at 28% of its original amount), seasoning of
the transaction and loss coverage in accordance with Fitch's "EMEA
Consumer ABS Rating Criteria'. As of March 2011, the CE for these
two notes stood at 30.0% and 17.1%, respectively.

Fitch will continue to assess and monitor the impact of economic
adjustments on the transaction's performance.


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


ALFA-BANK UKRAINE: S&P Raises LT Counterparty Rating to 'B-'
------------------------------------------------------------
Standard & Poor's Ratings Services raised its long-term
counterparty and Ukraine national scale ratings on Alfa-Bank
Ukraine (ABU) to 'B-/uaBBB-' from 'CCC+/uaBB'. "At the same time,
we affirmed the 'C' short-term counterparty credit rating. The
outlook is stable," S&P stated.

The upgrade reflects reduced pressure on ABU's financial and
business profile amid the gradually stabilizing operating
environment in Ukraine. The bank has improved its funding and
liquidity profile with the inflow of retail deposits, while
single-name concentrations on both sides of the balance sheet have
reduced. The bank anticipates a Tier 1 capital increase of $116
million followed by repayment of its subordinated loan in June
2011, which should support capitalization. "We believe the bank
has started down the road to recovery and is well positioned to
benefit from the gradually improving environment in Ukraine, where
it ranks ninth among banks by assets," S&P said.

Nevertheless, ABU's credit profile remains fragile due to still
weak asset quality, constrained profitability, and low
capitalization.

The ratings reflect ABU's stand-alone credit profile and do not
incorporate any uplift for potential extraordinary parental
support.

ABU shrank its loan portfolio 20% in 2010 in response to the tough
market conditions, but is gradually resuming new lending. ABU's
asset quality is stabilizing, but remains weak. "Given the
gradually stabilizing conditions in Ukraine, we expect the stock
of problem loans to continue to reduce and therefore the burden on
earnings from high credit costs to ease," S&P said.

ABU's liquidity and funding profile benefited from an influx of
retail deposits, which more than doubled in 2010.  ABU is reducing
its significant foreign currency debt via quarterly paydowns of
over $105 million on a Eurobond exchange in August 2009 at the
nadir of the Ukrainian recession.

The bank posted a net loss of $158 million in 2010, hampered by a
squeezed net interest and provisioning burden. "We expect the bank
to just break even in 2011, which depends somewhat on its ability
to reduce funding costs, resume lending growth, and decrease the
new provisioning burden. Capitalization at year-end 2010 was low,
with a risk-adjusted capital (RAC) ratio before adjustments of 2%,
but should improve after the forthcoming Tier 1 capital increase,"
S&P stated.

The stable outlook reflects the gradually stabilizing operating
environment in Ukraine and reduced pressure on the bank's
financial and business profile.

S&P would consider a positive rating action if it anticipates:

    * A sustainable improvement in the Ukrainian economy and
      market environment;

    * A significant improvement in asset quality and a reduction
      of credit costs to an annual 2% of loans;

    * Positive and sustainable profitability; and

    * Strengthening capitalization, with a RAC ratio of at least
      5%.

"We would lower the ratings if ABU's liquidity position weakens,
asset quality deteriorates beyond the current levels, or the
anticipated capital improvement does not materialize or keep pace
with future loan growth," related S&P.


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


BLUEGLOW LTD: Goes Into Administration, SFP Concludes Sale
----------------------------------------------------------
Business Credit Management UK reports that SFP, the nationwide
insolvency practitioners, has completed a successful sale of
Blueglow Ltd after the company went into administration.

The business and its assets was sold to China Unwrapping Limited,
according to Business Credit Management UK.  The report relates
that SFP's Daniel and Simon Plant, both licensed members of the
Insolvency Practitioners' Association, were appointed joint
administrators on May 25, 2011, with the sale concluded by May 26,
2011.

"Businesses need to keep a close eye on their finances and ensure
that cash keeps flowing," said Simon Plant, Group Partner at SFP,
according to Business Credit Management UK, "otherwise the debts
can cause problems for the business, as was the case for Blueglow.
However, we were successful in competing a sale of the business
and its assets."

Blueglow Ltd is a supplier of mother and baby accessories.


BURTONS COACHES: Goes Into Administration, Ceases Trading
---------------------------------------------------------
Saffron Walden Reporter24 reports that Burtons Coaches has ceased
trading after going into administration.

Burtons Coaches operate two local services under contract to Essex
County Council: the 59 (Audley End, Saffron Walden and Haverhill)
and the 9/10 (Great Bardfield, Braintree and Great Notley),
according to Saffron Walden Reporter24.  The report relates that
both services have multiple operators and whilst the services that
were not operated by Burtons remain unaffected, the following
services will now transfer to different bus companies:

   -- With immediate effect, journeys provided by Burtons on
      service 59, afternoons on Monday to Friday and all day
      Saturday, will transfer to Stephensons of Essex.

   -- With immediate effect, journeys provided by Burtons on
      service 9/10, Monday to Friday, will transfer to Network
      Colchester.

Burtons Coaches is a bus operator offering services in Audley End
and Saffron Walden.


CELERITAS MARKETS: Taps MacDonal to Assist Liquidation Process
--------------------------------------------------------------
Eva Szalay at Dow Jones Newswires reports that high-speed
currencies-trading fund Celeritas Markets LLP has approached The
MacDonald Partnership to assist with placing the company into
voluntary liquidation.

According to Dow Jones, TMP Financial Director Neil Chesterton
said the Fund, run by ex-Royal Bank of Scotland staffer Martin
Spurr, approached The MacDonald Partnership, which specializes in
turnarounds for financially distressed firms.  Mr. Spurr confirmed
that he approached a liquidator but declined to comment further,
the report notes.

"Celeritas Markets LLP has engaged me to assist placing the LLP
into creditors' voluntary liquidation, but I have not yet been
appointed as Liquidator," Dow Jones cited TMP's Chesterton as
saying in an email.  "The meeting of creditors has been called on
June 13, 2011."

Mr. Spurr, previously the head of eVentures, Financial Markets, at
the Royal Bank of Scotland, founded Celeritas in September 2008
with GBP3.5 million of assets, according to people familiar with
the situation, Dow Jones reports.

One ex-employee, Nicolas Bischoff, told Dow Jones Newswires that
he had not been paid since December 2010.  "I have two pending
invoices, for around GBP21,800," he said.

Dow Jones, citing other people familiar with the situation, said
Celeritas stopped paying other staff members early this year.
These people added that shortly before the firm stopped paying
employees, the start-up had tried but failed to secure more funds
from a hedge fund.

Celeritas Markets LLP is a currency trading fund.


CORNER BLOK: Bank of Scotland Places Firm Into Administration
-------------------------------------------------------------
BBC News reports that Corner Blok Ltd has been placed into
administration by Bank of Scotland (Ireland).

Corner Blok Ltd restored a building on the junction of Waring
Street and Donegall Street to create the Four Corners Hotel, which
opened in 2008, according to BBC News.  The hotel is leased to
Premier Inns, which is unaffected by the administration.

BBC News notes that the bank is now attempting to sell the hotel
to recover the GBP13 million it is owed.

Corner Blok was controlled by Colin Conn, the owner of Box
Architects, and Paul Durnien, who owns a chartered surveying
company in Belfast.  Their main business interests are unaffected.

BBC News notes that the Four Corners building was part of the
portfolio controlled by the government-owned Laganside
Corporation.

In 2006, BBC News notes, Corner Blok paid GBP1.25 million to take
the derelict building on a 999-year lease and spent more than
GBP12 million to convert it into a 171-bedroom hotel.

The main contractor was D Patton & Sons, a Ballymena-based
building firm.

BBC News says that Pattons & Sons are still owed GBP2.5 million
but the administrator said the contractor is unlikely to get any
of that money.  A solicitors firm, which is owed GBP175,000, is
also unlikely to be paid, the report cites.

The administrator said Corner Blok had been attempting to sell the
hotel since 2009, BBC News discloses.  An offer was made last year
but the deal was not completed.

BBC News notes that the bank said it took the decision to appoint
an administrator because it believed "continued unexplained
delays" in the sales process were "not in the interests of
creditors."

The administrator said the sale of the hotel is now "at an
advanced stage," but cannot provide further information due to the
sensitivity of negotiations, BBC News relays.


FOCUS (DIY): Nantwich Store to Close, 20 Jobs at Risk
-----------------------------------------------------
Rhiannon Cooke at Crewe Chronicle reports that 20 jobs are at risk
following the announcement that Focus DIY store at Nantwich town,
in Cheshire, England, is closing.

As reported in the Troubled Company Reporter-Europe on May 10,
2011, H&V News related that Focus DIY fell into administration.
Ernst & Young, who were appointed as administrator, said that they
are looking for a buyer for the company's stores, which continue
to trade as normal, according to H&V News.

According to a separate TCR-EUR report on May 27, 2011, The
Independent related that 3,000 jobs are set to be lost after
administrators failed to find a buyer for the chain.  Guardian
noted that Liverpool discount retail chain B&M Bargains has
acquired 11 stores from joint administrators for an undisclosed
sum, safeguarding more than 200 jobs in the process.  The report
said that B&Q owner Kingfisher bought 31 outlets for GBP23
million; while builders' merchant Travis Perkins, the owner of
home improvement business Wickes, bought 13 properties for GBP8.4
million.  However, The Independent disclosed that administrators
said it has not been possible to find a buyer for the Focus DIY
group as a whole.

Crewe Chronicle notes that administrators Ernst & Young have
released a list of 55 stores, which have been sold to business
rivals including B&Q and Wickes.  But E&Y also confirmed the
Nantwich store, based on Beam Heath Way, is not one of them, the
report relays.

Meanwhile, Lancashire Telegraph reports that Burnley's Focus DIY
outlet is be transformed into a discount home store.  The
Calverdale Road branch, set to close after Focus went into
administration, has been acquired by B&M Bargains, the Merseyside-
based low-cost retailer, according to the report. Lancashire
Telegraph notes that the move is set to safeguard the jobs of
Focus workers.

Focus (DIY) was founded by Bill Archer in 1987, with six stores in
the Midlands and the north of England.  The company now has 178
stores in England, Scotland and Wales, and employs more than 3,900
staff.


JAGUAR LAND ROVER: Moody's Assigns 'B1' Corporate Family Rating
---------------------------------------------------------------
Moody's Investors Service has assigned a definitive B1 corporate
family rating (CFR) and a definitive B1 probability of default
rating (PDR) to Jaguar Land Rover Plc. Concurrently, Moody's has
assigned a definitive B1/loss-given default (LGD) 3 rating to the
company's GBP1 billion worth of senior unsecured bonds, sold in
three tranches of GBP500 million, with a maturity of seven years,
US$410 million, with a maturity of 7 years and US$410 million with
a maturity of ten years. The outlook on all ratings is stable.

RATINGS RATIONALE

JLR's B1 corporate family rating reflects: (i) its small scale as
a niche player with a currently limited product range and
materially less financial strengths than other premium car
manufacturers; (ii) the strong focus on the mature markets of
Europe and North America (together 67% of unit sales) and to the
growing Chinese market (10.6% of unit sales); (iii) challenges to
meet the required emission and fuel consumption levels in Europe
and the US for its model range; (iv) the expectation of a sizeable
increase in capex and research & development expenditure for the
envisaged model expansion, which will burden free cash flow
generation in the short to medium term; (v) the cyclical industry
with high fixed costs; (vi) a high foreign exchange rate exposure;
and (vii) the limited track record of growth and profitability.

However, JLR's B1 corporate family rating also reflects certain
positives: (i) the company's strong brand names and design teams,
which JLR can lever for the launch of new products; (ii) a
moderate estimated leverage of 1.7x adjusted debt/ EBITDA in FYE
2010/11 following a conversion of GBP1.1 billion preference shares
into common shares and the completed bond issue of GBP1.0 billion;
and (iii) the commitment of its sole shareholder Tata Motors to
support Jaguar Land Rover.

The rating benefits from Moody's understanding that JLR's ultimate
parent Tata Motors Limited ("TML") will continue to support the
business plan and financial standing of JLR in line with previous
practice. Although, there is no legal obligation to back the debt
of JLR, Moody's nonetheless gains some comfort from the past when
TML converted GBP1.0 billion of preference shares (treated as debt
by Moody's) in JLR into equity (ordinary shares). The strategic
importance and size of JLR relative to TML are strong arguments in
Moody's view for TML also to support JLR in the future should such
need become necessary. Moody's notes that for the 9 month period
Apr.-Dec 2010 JLR generated around 60% of consolidated revenues
and about two-thirds of consolidated reported EBITDA and thus is
of considerable strategic importance to the group.

The stable outlook incorporates Moody's expectation that (i) JLR
will be able to successfully execute its product and geographic
expansion plan and; (ii) JLR receives the respective consumer's
acceptance of its products; (iii) negative free cash flow will be
less than GBP500 million p.a. for the next two years (which is
materially higher than JLR's estimate) and resulting in a only
moderate increase in debt levels and financial leverage compared
to FY2011 with adjusted Debt/EBITDA anticipated to remain below
2.5x.

JLR has a good liquidity profile over the next 12 months. Moody's
expects the company to have total cash sources of around GBP3.4
billion, comprising readily available cash, proceeds from the bond
issuance, funds from operations and an undrawn revolver of GBP65
million. In contrast, cash uses over the next 12 months amount to
GBP2.6 billion and include capex, debt repayments, cash for day-
to-day operations and working capital.

The B1 PDR for JLR is at the same level as the CFR as per Moody's
Loss Given Default Methodology.

JLR has applied the proceeds of GBP1.0 billion from the senior
unsecured notes to redeem GBP359 million of existing secured debt
and for the repayment of a GBP250 million unsecured bridge loan
received from TML Holdings Singapore Pte Ltd. The remaining GBP371
million will be used as a cash cushion.

JLR's debt structure is composed of approximately GBP160 million
outstanding secured debt and approximately GBP1.5 billion of
unsecured financial debt (including preference shares held by
TML). As a result, the unsecured bond rating will be in line with
the CFR at B1, LGD3, 47%.

The principal methodology used in rating Jaguar Land Rover Plc was
the Global Automobile Manufacture Industry Methodology, published
December 2007. Other methodologies used include Loss Given Default
for Speculative Grade Issuers in the US, Canada, and EMEA,
published June 2009.

Jaguar Land Rover, domiciled in Gaydon, UK, is a manufacturer of
passenger cars under the Jaguar and Land Rover brands.  JLR
operates five sites in the UK and employs around 16,600 staff. In
financial year ending (FYE) March 2010, JLR sold nearly 200,000
units with the large majority attributable to Land Rover and
generated revenues of approx. GBP6.5 billion. In terms of
geographic diversification, the company generates the majority of
volumes in Europe (45% of unit sales) and North America (22%).


JSA: Exits Company Voluntary Arrangement
----------------------------------------
Recruiter reports that JSA has exited a company voluntary
arrangement and completed required payments.

The firm entered the CVA 18 months ago, Recruiter recounts.

JSA has also appointed a finance director, Louise Rayner, who
joined the company at the beginning of May, Recruiter discloses.

JSA is a specialist accountancy services provider to the freelance
market.


TRAVEL JUNKY: Enters Into Voluntary Liquidation
-----------------------------------------------
TTG Live reports that web-based agency Travel Junky has entered
voluntary liquidation, blaming banks' demands for financial
security for its demise.

TTG Live The company, based in Macclesfield, England, had switched
from Abta to TTA bonding at the beginning of May, but experienced
difficulties soon after.

TTG Live quotes Stephen Devenport, an insolvency manager at
liquidators Jones Lowndes Dwyer, as saying that, "In short, the
problem was cash flow, probably related to requirements to change
bond arrangements."

"This occurred because our bankers insisted on increased levels of
security to cover themselves in the event that we might go bust,
the knock on effect being, we went bust," Travel Junky said in a
statement on its Web site, according TTG Live.

TTG Live relates that Travel Junky said it had paid all suppliers
in full but that those clients who had booked before May 1, when
Travel Junky switched to the TTA, should contact Abta.

A creditors' meeting will be held on June 28 at Jones Lowndes
Dwyer's offices in Didsbury, TTG Live notes.

Around 30 staff employed by Travel Junky have been made redundant.
TTG Live adds that Mr. Devenport said there was little to attract
a potential buyer for the brand.


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


* BOOK REVIEW: All Organizations Are Public
-------------------------------------------
Author: Barry Bozeman
Publisher: Beard Books
Softcover: 201 pages
List Price: $34.95

Bozeman breaks down the simple, widely-accepted categorization of
organizations into either public or private, with the former being
government organizations and everything else, private.  This view
of the innumerable and widely varied organizations in all parts of
the United States has held up since at least the latter 1800s even
though it is demonstrably inapplicable.  It's plain that not all
government organizations are public; the CIA and FBI are but two
that can hardly be labeled this.  And not all other organizations
lumped into the category of private can be said to be this since
they operate in one way or another in the public domain and are
subject in varying ways to varying degrees to the public's
representative, namely the government.

Even in recent decades as government has grown ever larger and
more involved in all areas of the society and corporations have
become more expansive and changeable with globalization, the
simplistic, inaccurate division of public and private continues to
hold up.  The "sector blurring" Bozeman was seeing when he first
wrote this work in the 1980s has increased and accelerated, making
All Organizations Are Public a more relevant and useful guide to
understanding the topology and workings of today's organizations
that it was when it was first published.  The outsourcing of
certain tasks traditionally done by American servicemen and women
to civilian employees of a business organization is one current
example of operations and an organization which cannot fall neatly
into the public-private categorization.  The more complex
relationship, at times virtually a cooperation, between government
and corporations in the globalization of business is another
current example of the "sector blurring" prompting Bozeman to take
the measure of what was very noticeably happening with modern-day
organizations.  He not only reports what has been going on, but
also develops concepts and devises principles of use for corporate
strategists and managers as well as business school teachers,
entrepreneurs considering starting or expanding a business, and
government officials.

Bozeman's view of modern organizations rests not on the common and
changeable references of popular opinion, the marketplace of
ideas, or the phenomena of consumerism, but on the central social
reality of "political authority."  In doing away with the
conventional, yet misleading categories of public and private,
Bozeman does not leave the reader with a vague, cosmic-like view
of the field of organizations.  The two categories are replaced
with an interrelated set of axioms and corollaries bringing a
logic and order to the vast and diverse world of organizations.
The first axiom is, "Publicness is not a discrete quality but a
multidimensional property.  An organization is public to the
extent that it exerts or is constrained by political authority."
The first corollary to this is, "An organization is private to the
extent that it exerts or is constrained by economic activity."

Bozeman recognizes that government,i.e., "public"-and
organizations formed or owned by regular citizens-i.e., "private"-
do have differences. They come into being from different motives
and different purposes, and they are related to the public in
different ways and operate differently.  Nonetheless, the
structure and operations of all organizations are affected, and in
some cases determined, by the overriding political authority.  In
Bozeman's conception, "publicness refers to the degree to which
the organization is affected by political authority."  Some are
tightly controlled by this political authority, while others are
barely touched by it.  But no organization is entirely free of
such authority.  With his axioms and corollaries, Bozeman gives
principles and characteristics for apprehending the nature of
particular organizations.

Today's research and development (R&D) organizations are a kind of
organization that the conventional public-private categorization
cannot begin to make sense of.  "Research and development
organizations provide a fertile ground for analysis of dimensions
of publicness."  As hybrids involving aspects of universities,
government, and industry, R&D organizations are playing important
economic and social roles in such areas as health, the
environment, demographics, and welfare.  Many are located at
universities and run by faculty members.  Many corporations have
R&D divisions.

The value and relevance of Bozeman's key factor of political
authority is seen especially with respect to R&D organizations.
Current government policies on stem cell research demonstrate how
Bozeman's central factor of "political authority" is applied to
understand any particular organization engaged in such research.
It's a matter of where an organization falls in the spectrum of
degrees of being affected by political authority, not the
uninformative, sterile decision as to whether an organization
should be labeled public or private.

Bozeman's view of organizations takes into account the reality
that the term "private" has little meaning with respect to
organizations.  All organizations, like all citizens, are subject
to the political authority somehow, notably the laws and
regulations.  But Bozeman is not interested simply in arguing for
a new theory of organizations.  His "multidimensional view of
publicness" in tune with the complexity, diversity, and changes
among today's organizations can help readers more effectively
steer and develop their own organization and work with other
organizations.

                            *********

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, 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.


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