TCREUR_Public/110629.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

            Wednesday, June 29, 2011, Vol. 12, No. 127

                            Headlines


C Z E C H   R E P U B L I C

BESTSPORT: Creditors Opt for Reorganization


D E N M A R K

AMAGERBANKEN A/S: Moody's Withdraws 'E' Bank Fin'l Strength Rating


F R A N C E

SEB-CERF: Plans to File Administration Request in Court


G E R M A N Y

ENTRY FUNDING: Fitch Cuts Ratings on Two Classes of Notes to 'C'
STABILITY CMBS: Moody's Comments on Performance of Loans
TELDAFAX HOLDING: Offices Raided in Bankruptcy Probe


G R E E C E

DRYSHIPS INC: Ocean Rig to Construct 7th Generation Drillship


I R E L A N D

ALLIED IRISH: Appoints Bernard Byrne as Executive Director
BANK OF IRELAND: Withdraws Bond Exchange Offer
QUINN GROUP: Anglo Gets Court to Halt Asset Transfer
ANGLO IRISH: Moody's Cuts Senior Unsecured Debt Rating to 'Caa2'
IRISH LIFE: Faces Nationalization Following Capital Injection


N E T H E R L A N D S

ING BANK: S&P Raises Ratings on Hybrid Instruments From 'BB'


N O R W A Y

NORSKE SKOG: Moody's Assigns 'B2' Rating to EUR150MM Unsec. Notes


R U S S I A

TELE2 RUSSIA: Fitch Assigns 'BB+' Senior Unsecured Rating


U K R A I N E

METINVEST: Fitch Affirms Long-Term Foreign Currency IDR at 'B'


U N I T E D   K I N G D O M

ASTON MARTIN: Moody's Assigns 'B2' CFR; Stable Outlook
HOMEFORM: May Go Into Administration, Suppliers Offer Client Aid
PROMINENT CMBS: Fitch Affirms Rating on Class F Notes at 'CCsf'
SIMCLAR GROUP: Goes Into Administration, 200+ Jobs at Risk
SOUTHSEA MORTGAGE: Taps Travers Smith as Adviser

VISIT LONDON: London Assembly Welcomes Pension Deal
WALDORF HOTEL: Goes Into Administration, Seeks Buyer
* UK: Pre-pack Reforms Could Hit Recruitment Firms, Solicitor Says


X X X X X X X X

* Mark Dawkins Joins Bingham's Litigation Team in London


                            *********


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C Z E C H   R E P U B L I C
===========================


BESTSPORT: Creditors Opt for Reorganization
-------------------------------------------
CTK reports that it was decided at a creditors' meeting Tuesday
that Bestsport would be reorganized based on the creditors'
proposal.

According to CTK, the other option was to send the company into
bankruptcy.

CTK relates that creditors removed Bestsport's insolvency
administrator Daniela Urbanova and appointed Josef Cupka, the
insolvency administrator of lottery company Sazka, in her place.

Creditors also dismissed Bestsport's preliminary creditor
committee on Tuesday and set up a four-member committee comprising
of representatives of companies KKCG, Sazka, The Bank of New York
Mellon, and newly also PPF Healthcare, CTK discloses.

The largest amount of claims on Bestsport, approved by a court as
well as insolvency administrator Urbanova, is held by Sazka which
owns CZK7.16 billion worth of the claims, and by bondholders'
security agent The Bank of New York Mellon, which owns CZK5.16
billion worth of claims, CTK notes.

Bestsport filed a proposal for reorganization earlier in June, CTK
recounts.  The company, as cited by CTK, said the liabilities
accrued as a result of financing the construction of O2 arena and
do not ensue directly from independent operating activity of
Bestsport which is a profitable firm.

A general meeting of Bestsport made changes in the firm's entire
management on Friday, CTK states.

According to CTK, among members of the new board of directors are
Richard Benysek and Petr Mandat representing the Sokol sport
organisation, Zdenek Ertl representing the Association of the
Sport Federations of the Czech Republic and civic association
Obcanske sdruzeni Zeleny ostrov (OSZO) and Petr Hrubec
representing the Czech Olympic Committee.

Bestsport operates multipurpose hall 02 arena in Prague.


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


AMAGERBANKEN A/S: Moody's Withdraws 'E' Bank Fin'l Strength Rating
------------------------------------------------------------------
Moody's Investors Service has affirmed and withdrawn the E Bank
Financial Strength Rating, Ca long-term deposit ratings and NP
short-term deposit ratings of Amagerbanken A/S. The Aaa Government
guaranteed debt issued by Amagerbanken is unaffected by Mood's
action.

The rating withdrawal of the BFSR and deposit ratings follows the
withdrawal of Amagerbanken's bank license on March 7, 2011. The
license withdrawal was prompted by an announcement by the Bank
made on February 6 that it no longer fulfilled the solvency
requirements under the Danish Financial Business Act. As a result,
the Bank's asset and parts of its liabilities were transferred to
the Financial Stability Company (Finansiel Stabilitet A/S) on
February 6.

These ratings of Amagerbanken will be withdrawn:

   -- Bank financial strength rating (BFSR) of E (stable outlook)

   -- Long-term local currency deposit rating of Ca
      (stable outlook)

   -- Long-term foreign currency deposit rating of Ca
      (stable outlook)

   -- Short-term local and foreign currency deposit ratings of NP

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

Based on Amager, Denmark, Amagerbanken reported consolidated
assets of DKK33.3 billion (US$6 billion) as of end-September 2010.


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F R A N C E
===========


SEB-CERF: Plans to File Administration Request in Court
-------------------------------------------------------
Stuart Todd at just-food.com reports that SEB-CERF was to make a
request to a commercial court to be placed in administration on
Monday.

According to just-food.com, speaking on national TV, CEO
Guy Lamorlette said the move was the sole solution available to
the company which ceased all of its production operations last
Thursday, following a 70% slump in output since it was identified
as the source of the outbreak.  Its 140 staff has been laid off
until further notice, just-food.com relates.

If the court accepts SEB-CERF request, the company would be given
six months to rescue the business, just-food.com states.

SEB-CERF is a French meat processor.


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


ENTRY FUNDING: Fitch Cuts Ratings on Two Classes of Notes to 'C'
----------------------------------------------------------------
Fitch Ratings has downgraded Entry Funding No.1 PLC's class C and
D notes and affirmed the other four classes of notes:

   -- EUR155.5m class A secured notes (ISIN: XS0277614532):
      affirmed at 'CCCsf', assigned Recovery Rating (RR) 'RR-1'

   -- EUR8m class B secured notes (ISIN: XS0277614706): affirmed
      at 'CCsf', assigned 'RR-1'

   -- EUR8m class C secured notes (ISIN: XS0277614888): downgraded
      to 'Csf' from 'CCsf', assigned 'RR-6'

   -- EUR10m class D secured notes (ISIN: XS0277614961):
      downgraded to 'Csf' from 'CCsf', assigned 'RR-6'

   -- EUR11m class E secured notes (ISIN: XS0277615000): affirmed
      at 'Csf', assigned 'RR-6'

   -- EUR5m class F secured notes (ISIN: XS0277615265): affirmed
      at 'Csf', assigned 'RR-6'

The downgrade of the class C and D notes is due to the negative
performance of the underlying assets. Twelve loans, with a
notional equal to EUR7.9 million have defaulted since the last
review in May 2010. This has led to an increase in the principal
deficiency ledger (PDL) balance to EUR33.9 million as of
March 2011 reporting date from EUR31 million as of March 2010. The
agency constructed a scenario which assumed that no new defaults
would occur until scheduled maturity in September 2011. Even in
such a positive scenario, Fitch believes that the PDL balance
could not be reduced by excess spread and recoveries such that
class C, D, E and F notes will most likely suffer losses. As a
result of the increased PDL balance, the credit enhancement for
the class A and B notes has decreased to 5.0% and 0.1%,
respectively. These credit enhancement levels are calculated by
considering the current PDL balance of EUR33.9 million which
reduces the subordination provided by the notes junior to class A
and B. In the agency's view, these credit enhancement levels are
too low compared to the high obligor concentrations in the current
pool. If the largest two obligors that make up 6% of the current
pool balance default, then the class A and B notes are also likely
to suffer a loss.

In addition, the majority of the remaining loans have a bullet
maturity. Fitch believes that some borrowers may have difficulties
re-financing loans at maturity, which could lead to increased
defaults.

The transaction is a cash securitization of certificates of
indebtedness (Schuldscheindarlehen) of German SMEs originated and
serviced by Landesbank Baden-Wuerttemberg (LBBW, rated
'A+'/Stable/'F1+', the arranger). The Schuldschein program was
conducted by LBBW in cooperation with Baden-Wuerttembergische
Bank, Landesbank Rheinland-Pfalz, and several German savings
banks. Fitch's base recovery rate assumption for certificate of
indebtedness securitizations is 20%.

Fitch has assigned RR to all the classes rated 'CCCsf' or below.
RR are issued on a scale of 'RR1' (highest) to 'RR6' (lowest) to
denote the range of recovery prospects of notes rated at or below
'CCCsf'.

Fitch has affirmed an Issuer Report Grade of two stars to the
publicly available reports on the transaction. The reporting is
accurate and timely. It contains various portfolio
stratifications, priority of payments, detailed information on all
PDL events and recoveries, as well as a performance commentary.
However, the lack of information in the investor report on rating
triggers for the transaction's counterparties led to the
assignment of two stars.


STABILITY CMBS: Moody's Comments on Performance of Loans
--------------------------------------------------------
Moody's Investors Service has commented on the performance of the
transaction Stability CMBS 2007-1 GmbH (amounts reflect initial
outstandings):

   -- EUR726.8M Senior Credit Default Swap Certificate, currently
      rated Aaa (sf);

   -- EUR0.5M Class A+, currently rated Aaa (sf);

   -- EUR31.8M Class A, currently rated Aaa (sf);

   -- EUR46.4M Class B, currently rated Aa2 (sf);

   -- EUR30.5M Class C, currently rated A2 (sf);

   -- EUR30.4M Class D, currently rated Baa2 (sf);

   -- EUR28.2M Class E, currently rated Ba3 (sf);

Moody's does not rate the Class F of Notes issued by Stability
CMBS 2007-1 GmbH.

The key parameters in Moody's analysis are the default probability
of the securitized loans, both during the term and at maturity,
and Moody's value assessment for the properties securing these
loans. Moody's derives from those parameters a loss expectation
for the securitized pool. Based on Moody's revised assessment of
the parameters, the loss expectation for the pool has remained
relatively stable compared to Moody's assessment at closing of the
transaction. As a consequence, the current credit enhancement for
the rated senior CDS and Notes is sufficient to maintain the
existing ratings.

Stability CMBS 2007-1 GmbH closed in 2007 and represents the
synthetic securitization of initially 218 commercial mortgage
loans granted to 91 distinct borrower groups and secured on
aggregate by 119 properties located in Europe. The loans were
originated by IKB Deutsche Industriebank Aktiengesellschaft in the
course of its ordinary commercial mortgage loan activity, and are
serviced by IKB.

At closing of the transaction, the portfolio was replenishable up
to a maximum amount of EUR 300 million in accordance with certain
criteria. However, following a replenishment termination event in
November 2009, the protection buyer lost its right to replenish
the portfolio. Since closing of the transaction, the reference
portfolio has reduced from EUR 909 million to EUR 547 million as
per April 2011, for 131 claims to 73 distinct borrower groups .
The portfolio's concentration has increased as shown in a current
Herfindahl Index of 17 compared to 32 at closing. The main
property type remains office building, at 62% of the portfolio
compared to 53% at closing, followed by mixed use and retail
properties. The asset location remains predominantly Germany with
87% of the pool (90% at closing) with the remaining being
distributed across Austria, the UK, Luxembourg, the Netherlands
and Switzerland.

The structure is sponsored by KfW, which provides credit
protection to IKB for the reference portfolio. KfW in turn hedged
its exposure through a senior credit default swap and the issuance
of certificates of indebtedness to the issuer, Stability CMBS
2007-1 GmbH. The issuer financed the acquisition of the
certificates through the issuance of credit-linked notes to
investors. The legal final maturity of the transaction is May
2022.

No credit event nor loss claim were reported since closing, and as
per the most recent investor report, there is no current
delinquency.

In the course of its annual review of the transaction, Moody's
obtained updated information about each of the loans and re-
assessed the performance of the securitized portfolio and its
future performance expectations. Moody's conducted a more
comprehensive analysis of the three largest exposures in the
portfolio (31% of the pool combined). Noticeably, the expected
default probability at maturity of the largest loan (19% of the
pool, maturing in 2013) was reviewed upwards, with an expected
whole loan Loan-To-Value ratio at refinancing of 124% (80% for the
A-loan only) based on Moody's estimated property value.

In addition, potential operational risks of the transaction were
analyzed in light of the current credit situation of the loan
originator and servicer, IKB. IKB was downgraded to Ba2 on 19
April 2011. Although the increasing risk of default of IKB should
not impact directly on the ratings of the senior CDS and Notes due
to the synthetic nature of the transaction, the weakening of the
credit strength of the servicer could trigger a gradual
deterioration of the servicing and reporting. This risk is
mitigated by the currently good performance of the securitized
pool of loans and the fact that compliance with the servicing
standards will usually be a condition to the allocation of
realized losses, to be checked by the trustee.

Despite the increased refinancing risk of some of the claims and a
potential operational risk linked to the servicer, the current
credit enhancement for the rated senior CDS and Notes is
sufficient to maintain the existing ratings.

Moody's will continue to monitor the performance of the
transaction and will focus its surveillance on the future levels
of arrears, defaults and losses, the speed of redemption of the
Notes from repayments, prepayments and loan repurchasing, and the
credit situation of IKB as it relates to any operational risk
issues.

The principal methodology used was "Moody's Approach to Real
Estate Analysis for CMBS in EMEA: Portfolio Analysis (MoRE
Portfolio)" published April 2006. Other methodology and factors
considered can be found in "Update on Moody's Real Estate Analysis
for CMBS Transactions in EMEA" published June 2005.

The updated assessment is a result of Moody's on-going
surveillance of commercial mortgage backed securities (CMBS)
transactions. The last Performance Overview for this transaction
was published on May 11, 2011.


TELDAFAX HOLDING: Offices Raided in Bankruptcy Probe
----------------------------------------------------
Mariajose Vera at Bloomberg News reports that prosecutors in Bonn,
Germany, have carried out raids in the offices of TelDaFax Holding
AG and its units TelDaFax Energy GmbH, TelDaFax Services GmbH and
TelDaFax Marketing GmbH as well as in private residences of the
suspects.

According to Bloomberg, the prosecutors said in an e-mailed
statement on Monday that the probe is related to a suspected case
of delayed bankruptcy filing as well as suspected fraud.

TelDaFax is a low-cost power provider.


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G R E E C E
===========


DRYSHIPS INC: Ocean Rig to Construct 7th Generation Drillship
-------------------------------------------------------------
DryShips Inc. announced that its majority owned subsidiary,
Ocean Rig UDW Inc., exercised its third newbuilding option to
construct a 7th Generation Ultra Deepwater Drillship at Samsung
Heavy Industries.  This 7th generation drillship is a sister ship
to the two previously-exercised options in April 2011.  The higher
specifications of these ships include:

     * capability to drill in 12,000 feet of water depth;

     * a seven ram BOP;

     * a dual mud system;

     * enhanced riser handling and storage system; and

     * ballast water treatment system.

Total yard cost of this drillship is approximately $608 million,
out of which a total amount of about $242 million has already been
paid to the yard from cash on hand.  The remaining amount of
approximately $366 million is payable upon delivery currently
scheduled for November 2013.

George Economou, Chairman and CEO commented:

"The demand for ultradeepwater drilling units is strengthening
every day and we see substantial growth in the next several years
from across the globe.  By exercising our third option for
delivery in 2013 we are in a unique position to take advantage of
the positive market fundamentals.  The attractive price and
payment terms allows us sufficient time to increase the backlog
and arrange financing on attractive terms.

We are truly in the midst of a new and exciting phase for Ocean
Rig UDW Inc.  With financing in place, our strong balance sheet,
the contract backlog of $2 billion on our existing fleet and our
sizable free cash position today, OCR UDW is well positioned to
become the leading international drilling contractor of choice."

                      About DryShips Inc.

Based in Greece, DryShips Inc. -- http://www.dryships.com/--
-- owns and operates drybulk carriers and offshore oil
deep water drilling units that operate worldwide.  As of Sept. 10,
2010, DryShips owns a fleet of 40 drybulk carriers (including
newbuildings), comprising 7 Capesize, 31 Panamax and 2 Supramax,
with a combined deadweight tonnage of over 3.6 million tons and
6 offshore oil deep water drilling units, comprising of 2 ultra
deep water semisubmersible drilling rigs and 4 ultra deep water
newbuilding drillships.

DryShips's common stock is listed on the NASDAQ Global Select
Market where it trades under the symbol "DRYS".

On Nov. 25, 2010, DryShips Inc. entered into a waiver letter
for its US$230.0 million credit facility dated Sept. 10, 2007,
as amended, extending the waiver of certain covenants through
Dec. 31, 2010.

In its audit report on the Company's financial statements for the
year ended Dec. 31, 2010, Deloitte, Hadjipavlou Sofianos &
Cambanis S.A., noted that the Company's inability to comply with
financial covenants under its original loan agreements as of Dec.
31, 2009, its negative working capital position and other matters
raise substantial doubt about its ability to continue as a going
concern.

The Company's balance sheet at March 31, 2011, showed US$6.99
million in total assets, US$3.04 million in total liabilities and
US$3.94 million total equity.


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I R E L A N D
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ALLIED IRISH: Appoints Bernard Byrne as Executive Director
----------------------------------------------------------
Allied Irish Banks, p.l.c., appointed Mr. Bernard Byrne as
Executive Director with immediate effect.

Mr. Byrne, 43, joined AIB in May 2010 as chief financial officer.
He was appointed Director of Personal & Business Banking in
May 2011.  He began his career as a Chartered Accountant with
PricewaterhouseCoopers in 1988 and joined ESB International as
Commercial Director in 1994.  In 1998, he took up the post of
Finance Director with IWP International Plc before moving to ESB
in 2004 where he held the post of Group Finance and Commercial
Director until he left to join AIB.

                 About Allied Irish Banks, p.l.c.

Allied Irish Banks, p.l.c. -- http://www.aibgroup.com/-- is a
major commercial bank based in Ireland.  It has an extensive
branch network across the country, a head office in Dublin and a
capital markets operation based in the International Financial
Services Centre in Dublin.  AIB also has retail and corporate
businesses in the UK, offices in Europe and a subsidiary company
in the Isle of Man and Jersey (Channel Islands).

Since the onset of the global and Irish financial crisis, AIB's
relationship with the Irish Government has changed significantly.

As at Dec. 31, 2010, the Government, through the National Pension
Reserve Fund Commission ("NPRFC"), held 49.9% of the ordinary
shares of the Company (the share of the voting rights at
shareholders' general meetings), 10,489,899,564 convertible non-
voting ("CNV") shares and 3.5 billion 2009 Preference Shares.  On
April 8, 2011, the NPRFC converted the total outstanding amount of
CNV shares into 10,489,899,564 ordinary shares of AIB, thereby
increasing its holding to 92.8% of the ordinary share capital.

In addition to its shareholders' interests, the Government's
relationship with AIB is reflected through formal and informal
oversight by the Minister and the Department of Finance and the
Central Bank of Ireland, representation on the Board of Directors
(three non-executive directors are Government nominees),
participation in NAMA, and otherwise.

As reported by the TCR on May 31, 2011, KPMG, in Dublin, Ireland,
noted that there are a number of material economic, political and
market risks and uncertainties that impact the Irish banking
system, including the Company's continued ability to access
funding from the Eurosystem and the Irish Central Bank to meet its
liquidity requirements, that raise substantial doubt about the
Company's ability to continue as a going concern.

The Company reported a net loss of EUR10.16 billion on
EUR1.84 billion of interest income for 2010, compared with a net
loss of EUR2.33 billion on $2.87 billion of interest income for
2009.

The Company's balance sheet at Dec. 31, 2010, showed
EUR145.2 billion in total assets, EUR140.9 billion in total
liabilities, and stockholders' equity of EUR4.3 billion.


BANK OF IRELAND: Withdraws Bond Exchange Offer
----------------------------------------------
Jennifer Hughes at The Financial Times reports that Bank of
Ireland has withdrawn a bond exchange offer that would have left a
group of pensioners with just a fifth of the value of their
original investment.

According to the FT, the offer was part of a wider EUR2.6 billion
(US$3.7 billion) deal on a series of junior bonds and part of the
bank's plans to raise EUR4.2 billion in fresh capital before a
July 31 deadline.

The FT relates that on Tuesday the bank announced it had withdrawn
the offer for holders of GBP75 million permanent interest bearing
shares, or Pibs, citing "procedural difficulties" with the bonds,
which are largely held by UK pensioners.

The offer had provoked outrage among bondholders, because under
European rules, many of the bondholders are too small to qualify
for an offer to switch into new shares at 40% of the face value of
their bonds, leaving them no choice but to accept the cash offer,
worth just 20% of face value, the FT relates.

Headquartered in Dublin, Bank of Ireland --
http://www.bankofireland.com/-- provides a range of banking and
other financial services.  These include checking and deposit
services, overdrafts, term loans, mortgages, business and
corporate lending, international asset financing, leasing,
installment credit, debt factoring, foreign exchange facilities,
interest and exchange rate hedging instruments, executor, trustee,
life assurance and pension and investment fund management, fund
administration and custodial services and financial advisory
services, including mergers and acquisitions and underwriting.
The Company organizes its businesses into Retail Republic of
Ireland, Bank of Ireland Life, Capital Markets, UK Financial
Services and Group Centre.  It has operations throughout Ireland,
the United Kingdom, Europe and the United States.

                          *     *     *

As reported by the Troubled Company Reporter-Europe on June 17,
2011, Standard & Poor's Ratings Services lowered its ratings on
the affected Tier 1 and Tier 2 hybrid debt instruments issued by
Bank of Ireland (BOI; BB+/Watch Neg/B) and subsidiaries to 'C'
from 'CC' and affected lower Tier 2 subordinated debt instruments
to 'D' from 'CCC'.


QUINN GROUP: Anglo Gets Court to Halt Asset Transfer
----------------------------------------------------
RTE News reports that Anglo Irish Bank has secured a court order
temporarily stopping members of the Quinn family and related
companies from transferring assets out of the Quinn Group and out
of the country.

According to RTE, the order was granted in the High Court on
Monday and Judge Frank Clarke adjourned the case to a full hearing
today.

Anglo Irish bank now controls the Quinn companies on foot of
outstanding loans to the family, RTE notes.

As reported by the Troubled Company Reporter-Europe on June 2,
2011, The Irish Times said that Anglo seized ownership of the
group appointing receiver Kieran Wallace of KPMG over the family's
shares in Quinn Group (ROI), the firm at the top of the group, The
Irish Times relates.  The bank installed its own directors and
management to lead the Quinn business, freezing Sean Quinn out of
the running of the group, The Irish Times recounts.

Quinn Group ROI Ltd. controls its cement, building materials,
glass and other manufacturing businesses in Ireland and Britain
through its ownership of Quinn Group, an operating entity
registered in Northern Ireland.


ANGLO IRISH: Moody's Cuts Senior Unsecured Debt Rating to 'Caa2'
----------------------------------------------------------------
Moody's Investors Service has downgraded the long-term
unguaranteed senior unsecured debt ratings of Anglo Irish Bank and
Irish Nationwide Building Society to Caa2, from Caa1. The outlook
is negative. The long-term bank deposit ratings of both
institutions are confirmed at Caa1 with a negative outlook. This
concludes the review for possible downgrade originally initiated
on February 11, 2011.

There is no rating impact on the stand-alone bank financial
strength ratings, the subordinated and tier 1 debt ratings, and
government-guaranteed debt ratings of the two institutions.

RATINGS RATIONALE

The downgrade of the unguaranteed senior unsecured debt ratings of
Anglo and INBS follows recent statements made by the Irish
government that confirm the heightened risk that the government
may yet impose losses on this class of debt, which has so far been
protected from burden sharing. Currently the two institutions have
approximately EUR3.5 billion of senior unsecured debt outstanding.

The review for possible downgrade on these instruments reflected
the risk of burden sharing with senior unsecured bondholders at
Anglo and INBS only in the event that the two institutions
required further capital, taking into consideration apparent
pressure at the European level to continue supporting senior debt
obligations for fear of contagion beyond Ireland. However the
Central Bank of Ireland confirmed on May 31, 2011, that the
institutions did not need further capital at this time.

Therefore the recent statements by members of the government that
it will discuss this issue again with the Troika in the autumn
increases the likelihood, in Moody's view, that losses could be
imposed on this particular class of debt at these two
institutions. The one notch downgrade to Caa2 therefore positions
the banks' unguaranteed senior unsecured debt ratings one notch
below the deposit rating, based on this concern. The negative
outlook reflects the continuing uncertainty about a potential
default on these instruments as well as the potential recovery in
such a scenario.

The long-term bank deposit ratings of the two institutions have
been confirmed at Caa1, again with a negative outlook. At the Caa1
level these ratings do not incorporate any uplift for systemic
support from the government but importantly Moody's does not
believe that the government would look to impose losses on the
remaining few deposits held by the institutions.

THE BANK RATING ACTIONS ARE:

* Anglo Irish Bank: Long-term unguaranteed senior unsecured debt
  downgraded to Caa2 from Caa1. Long-term bank deposit rating
  confirmed at Caa1.

* Irish Nationwide Building Society: Long-term unguaranteed senior
  unsecured debt downgraded to Caa2 from Caa1. Long-term bank
  deposit rating confirmed at Caa1.

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 published in
March 2007. Other methodologies used include Moody's Approach to
Rating Structured Finance Securities in Default published in
November 2009.


IRISH LIFE: Faces Nationalization Following Capital Injection
-------------------------------------------------------------
Simon Carswell at The Irish Times reports that Irish Life &
Permanent said it will be effectively nationalized with the
injection of up to EUR3.8 billion in state funds by the end of
next month to meet the Central Bank's capital bill.

According to The Irish Times, the company told shareholders in a
circular published on Monday that it proposed issuing up to
EUR3.4 billion in ordinary shares to the Minister for Finance and
a further EUR400 million in contingent capital, leaving the Irish
State with a shareholding of more than 99%.

As a result, the group will delist from the main Dublin and London
stock exchanges on August 19 and re-list on the junior Irish
market, the Enterprise Securities Market, on August 22, The Irish
Times notes.

An extraordinary general meeting will be held on July 20 to vote
on the issue of ordinary shares to the Minister for Finance, The
Irish Times discloses.

The Irish Times says the State will inject the cash to meet the
EUR4 billion capital bill set by the Central Bank following the
stress tests of the banks last March before a deadline of the end
of July under the terms of the bailout by the EU and the IMF.

The Irish Times relates that Irish Life & Permanent said it would
raise the remaining EUR200 million from internal resources.

Headquartered in Dublin, Irish Life & Permanent plc --
http://www.irishlifepermanent.ie/-- is a provider of personal
financial services to the Irish market.  Its business segments
include banking, which provides retail banking services; insurance
and investment, which includes individual and group life assurance
and investment contracts, pensions and annuity business written in
Irish Life Assurance plc and Irish Life International, and the
investment management business written in Irish Life Investment
Managers Limited; general insurance, which includes property and
casualty insurance carried out through its associate, Allianz-
Irish Life Holdings plc, and other, which includes a number of
small business units.  On June 30, 2008, it acquired the rest of
the 50% interest in Joint Mortgage Holdings No. 1 Limited (the
parent of Springboard Mortgages Limited), resulting in Springboard
Mortgages becoming a wholly owned subsidiary.  On December 23,
2008, it acquired an additional 23% of Cornmarket Group Financial
Services Ltd, bringing its interest to 98%.


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


ING BANK: S&P Raises Ratings on Hybrid Instruments From 'BB'
------------------------------------------------------------
Standard & Poor's Ratings Services affirmed its 'A+/A-1' and 'A/A-
1' long- and short-term counterparty credit ratings on
Netherlands-based ING Bank N.V. and ING Groep N.V. "The outlook is
stable. At the same time, we raised the ratings on hybrid
instruments of ING Groep and ING Verzekeringen N.V. to 'BBB-' from
'BB'," S&P stated.

"On June 16, 2011, ING Groep announced that it is to sell ING
Direct USA to Capital One, for a total consideration of US$9
billion, US$6 billion of which will be paid in cash and the
remainder in Capital One shares. The divestment was one of the
main requirements of the European Commission restructuring. At
end-March 2011, ING Direct USA had retail savings of around EUR57
billion, and residential mortgages of around EUR29 billion. The
transaction is likely to complete by the end of the year, subject
to regulatory approvals," S&P stated.

"The ratings on ING Bank N.V. reflect its strong market position
in its home market of the Benelux, good product and geographic
diversity, strong rebound in earnings since 2010, and its sound
funding and liquidity. They also incorporate our view of potential
for some execution risk and strategic distraction as the bank's
sister insurance operations are being divested -- another EC
requirement -- despite progress made so far in the separation
process. Despite good internal capital generation capacity, we
consider that financial flexibility in the short term remains
hampered by the impending last tranche of government capital
repayment. Our ratings on ING Groep now primarily reflect the
strength of its banking operations and do not incorporate any
benefits to the group from the diversification provided by
owning banking and insurance operations," S&P said.

"We consider ING Bank to be of high systemic importance to The
Netherlands, a jurisdiction that we believe displays supportive
policies to its banking sector, and therefore uplift the rating by
one notch above its stand-alone credit profile (SACP). The Dutch
state provided specific support to the ING group in the form of a
facility to transfer 80% of the risk attached to its Alt-A
securities portfolio (the illiquid assets back-up facility or
IABF), and a EUR10 billion Core Tier 1 securities injection. ING
Groep N.V., the parent company of the bank, has repaid EUR7
billion to date and intends to complete the last tranche of
repayment in the first half of 2012," noted S&P.

"We consider the announced transaction to have a broadly neutral
impact on the counterparty credit ratings. This partly reflects
the fact that we had already factored the need for the group to
execute this divestment into our ratings. However, in our view,
the completion of the transaction will remove an element of
uncertainty and push the group one step closer to complying with
EC requirements," S&P related.

"At the same time, while significant in absolute terms, we
consider that the amount of assets and liabilities considered by
the transaction is moderate relative to the bank's overall balance
sheet, and that the transaction only has a moderate impact on
earnings generation. At end-March 2011, ING Direct USA represented
about 12% of the bank's deposits and 5% of total lending. Although
the operation's profitability has been improving over the past few
quarters, we consider that the sale will only have a modest impact
on the group's prospective performance over the next two years,"
S&P stated.

"We expect the impact of the transaction on the group's risk
exposure to be moderate. While the proportion of impaired loans in
the U.S. mortgage book has historically been higher than the rest
of ING's portfolio, asset quality has been on an improving trend
over the past few quarters. We have assumed the benefits from the
sale of the Alt-A portfolio to Capital One to be largely offset by
the adjustments of the IABF with the Dutch government," S&P
related.

"Finally, we observe the positive impact of this transaction on
the bank's regulatory capital. Management estimates the sale could
have a positive impact of close to 1% on ING Bank's end-2010 pro
forma Core Tier 1 ratio. Based on our risk-adjusted capital (RAC)
framework, we estimate the impact of the transaction to be more
marginal. This largely reflects the fact that the Capital One
stake will be risk-weighted at 1250% under our approach. We
continue to view the bank's capitalization as sound and expect a
RAC ratio before diversification in excess of 8% at end-June 2012
after planned repayment of the last tranche of government
capital," S&P noted.

"The upgrade of the ratings on ING's hybrids reflects our view of
decreasing risk of coupon deferral on the back of improving
financial flexibility and significant progress to date in the
repayment of government capital. This considers the group's sound
prospective performance, supported by the bank's sharp rebound in
profitability since 2010. It also takes into account our
expectation that the group will be able to repay the last tranche
of government capital in the first half of 2012 without impairing
its capital position. At the same time, the notching, compared
with the counterparty credit ratings on the holding company and
ING Verzekeringen, factors in the absence of dividend payments and
the fact that material aspects of the EC restructuring are yet to
be completed," according to S&P.

"The stable outlook on ING Bank is based on our expectation of a
resilient performance, supported by an improved economic backdrop
in 2011/2012, despite sluggish growth prospects domestically.
Under our base case, we expect the bank to generate earnings in
2011 close to their 2010 level. The stable outlook on ING Groep
reflects the outlook on ING Bank, in line with our rating approach
for nonoperational holding companies," S&P continued.

"While we consider that downside risk to the ratings has decreased
since inception of the group restructuring, a downgrade could
occur in the unlikely scenario where the bank's stand-alone
financial profile were to weaken and we were also to expect the
government to be unwilling to provide further support. Negative
pressure could also arise if we saw signs of material franchise
erosion as a result of strategic distraction or execution risk
related to the separation of the insurance operations. We consider
an upgrade of the ratings within the rating horizon as unlikely.
However, the final repayment of the government capital securities,
planned for early 2012, could lead us to align the bank's SACP
with its counterparty credit rating if it also maintains its
currently sound capitalization. This would reflect the removal of
a material constraint to the bank's short-term financial
flexibility," S&P added.


===========
N O R W A Y
===========


NORSKE SKOG: Moody's Assigns 'B2' Rating to EUR150MM Unsec. Notes
-----------------------------------------------------------------
Moody's Investors Service has assigned a definitive B2 (LGD 3,
39%) rating to the EUR150 million senior unsecured notes maturing
in 2016 issued by Norske Skogindustrier ASA. The outlook on the
rating is negative.

RATINGS RATIONALE

Moody's definitive rating on the debt obligations confirms the
provisional rating assigned on May 30, 2011. The terms and
conditions of the new notes issued by Norske Skog are in line with
what Moody's expected in its last rating action. The notes
proceeds, together with existing cash balances are used to repay
full drawings under a EUR400 million revolving credit facility,
which would mature in March 2012.

Norske Skog's B2 corporate family rating reflects (i) the
company's strong market position as one of the leading newsprint
producers in the world, (ii) its good segmental and geographic
diversification, and (iii) the company's track record of
generating positive free cash flows throughout the recent
downturn, despite charges related to significant restructuring
measures aimed at improving its cost position.

The rating remains constrained by (i) the company's exposure to
the cyclical publication paper industry, which in addition
continues to be challenged by structural overcapacities and
inflating input costs, and (ii) weak credit metrics following the
recent cyclical demand contraction and resulting pricing pressure,
which increased leverage to about 12x per March 2011 (8.6 times on
a net debt basis).

While credit metrics in 2010 were materially below Moody's
requirements for the B2 rating category, Moody's notes that Norske
Skog's operating profitability was severely impacted by its
European newsprint operations as a result of materially lower
demand coupled with significant inflation for major input factors.
Going forward, Moody's expects Norske Skog's profitability and
cash generation to be clearly improved over 2011, largely driven
by material price increases and the conversion of annual to
quarterly contracts within the European newsprint division, which
represents about 35% of the group's paper production capacity.

The negative outlook indicates the risk of downwards pressure
building on the rating should Norske Skog not be able to improve
credit metrics also beyond 2011, driven by continued solid pricing
power to recoup high input costs and to become more solidly
positioned in the B2 rating category.

The rating could come under further pressure if Norske Skog's: (i)
FCF were to turn materially negative; (ii) RCF/debt ratio were to
fall towards 3.5%; (iii) net debt/EBITDA was not to improve to
below 5.0x.

Conversely, Moody's would consider changing the rating outlook
back to stable if Norske Skog continues to turn around its
profitability as indicated by an EBITDA margin of above 7%, which
should also allow the group to sustain its RCF/debt ratio clearly
above 5.0% and to generate positive FCF with further improvements
in credit metrics to be realized beyond 2011.

Assignments:

   Issuer: Norske Skogindustrier ASA

   -- Senior Unsecured Regular Bond/Debenture, Assigned B2

The principal methodology used in rating Norske Skogindustrier ASA
was the Global Paper and Forest Products Industry Methodology,
published September 2009. Other methodologies used include Loss
Given Default for Speculative-Grade Non-Financial Companies in the
U.S., Canada and EMEA, published June 2009.

Norske Skog, with headquarters in Lysaker, Norway, is among the
world's leading newsprint producers with production in Europe,
South-America, Asia and Australasia. The company also produces
magazine paper in Europe. In the last twelve months ending
March 2011, Norske Skog recorded sales of around NOK19 billion
(approximately EUR2.4 billion).


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


TELE2 RUSSIA: Fitch Assigns 'BB+' Senior Unsecured Rating
---------------------------------------------------------
Fitch Ratings has assigned three domestic bonds issued by OJSC
'Saint-Petersburg Telecom', a subsidiary of Tele2 Russia Holding
AB, final 'BB+' Long-term senior unsecured and 'AA(rus)' National
Long-term ratings. The final ratings reflect final documentation
conforming to draft information already received by Fitch.

The three bonds are Series 01 RUB5 billion bond with a stated
maturity of ten years and an attached investors' put option at
year five, Series 02 RUB5 billion bond with a stated maturity of
ten years and an attached investors' put option at year five, and
Series 03 RUB3 billion bond with a stated maturity of ten years
and an attached investors' put option at year five.

Bondholders will benefit from an irrevocable undertaking by Tele2
Russia Holding AB and Tele2 Financial Services AB, a treasury
company for Tele2R, which makes this instrument effectively
recourse to the Tele2R group. The mechanism of irrevocable
undertakings (essentially an offer to purchase bonds if the issuer
is in default) exposes bondholders to the same probability of
default and expected recoveries as senior unsecured creditors to
Tele2R.

Tele2R is the fourth-largest Russian mobile company by subscriber
base. It is a successful niche mobile player with a strong
financial profile. However, it is disadvantaged compared with its
peers in terms of 4G/LTE options. In Fitch's view, this deficiency
makes it less strategically important for the Tele2 group.
Tele2R's ratings do not reflect any notching up for parental
support.


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


METINVEST: Fitch Affirms Long-Term Foreign Currency IDR at 'B'
--------------------------------------------------------------
Fitch Ratings has affirmed Metinvest B.V.'s Long-term foreign
currency Issuer Default Rating at 'B', Long-term local currency
IDR at 'B+', and National Long-term rating at 'AA+(ukr)'. The
Long-term ratings have Stable Outlooks. The agency has also
affirmed Metinvest's Short-term foreign and local currency IDRs at
'B', and National Short-term rating at 'F1+(ukr)'. The Long-term
foreign currency IDR remains constrained by Ukraine's sovereign
ratings ('B'/Stable/'B'). The senior unsecured rating has also
been affirmed at 'B' and the Recovery Rating for the senior
unsecured debt is 'RR4'.

The ratings are supported by Metinvest's position as the leading
steel and iron ore producer in Ukraine, its high level of vertical
integration with 200% self-sufficiency in iron ore and 75% in
coking coal and its low-cost production base. Fitch expects that
the company will maintain an acceptable financial profile over the
medium term to FYE14, despite a forecast sizeable increase in
capex levels. Stronger steel prices and more robust demand
conditions for steel and iron ore exporters will boost EBITDAR
generation in FY11, leading to EBITDA-based net leverage being
maintained below 1x by FYE12.

At end-September 2010 (9M10), Metinvest reported consolidated
revenue of US$6,830 million, 54.7% above that for the same period
in FY09. The strong sales improvement is on the back of
significantly increased commodity prices and a sharp recovery in
steel demand, compared to the lows experienced in 2009. Fitch
notes that Metinvest managed to keep adjusted net leverage below
2x during 2009, and expects this to improve closer to historical
levels of below 1x by FY12. The company also reported an
improvement in operating profit at 9M10, increasing to US$1,317
million, from US$554 million a year before. Fitch furthermore
expects EBITDAR margins to improve at FYE10, stabilizing between
24% and 27% over the medium term.

As of 9M10, Metinvest had total debt of US$2.93 billion, up from
USD2.4bn at end-December 2009 (FYE09). Short-term debt remained
relatively high at 9M10, comprising 32% of total debt, although
this was a marked improvement from 48% at FYE09. Cash reserves
increased to US$630 million at 9M10, from US$168 million a year
earlier, while net cash generated from operations improved to
US$1,171 million over the period, from US$956 million at 9M09.
Metinvest's liquidity position is considered acceptable, given
access to adequate committed banking facilities and the
expectation of improved cash generation in 2010 and 2011, to meet
increased debt and investment obligations over the next two years
to end-2012.

Metinvest is a vertically integrated Ukrainian mining and steel
company, with operations in Ukraine, Europe and the US. The
company benefits from being one of the lowest-cost producers in
the industry, as well as its close proximity to raw material
sources and Black Sea ports.


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


ASTON MARTIN: Moody's Assigns 'B2' CFR; Stable Outlook
------------------------------------------------------
Moody's Investors Service has assigned a definitive B2 corporate
family rating and a definitive B2 probability of default rating to
Aston Martin Holdings (UK) Limited. Concurrently, Moody's has
assigned a definitive B2/loss-given default (LGD) 4 rating to the
company's GBP304 million senior secured notes due 2018, issued by
Aston Martin Capital Limited guaranteed by Aston Martin Holdings
(UK) Limited and certain of its subsidiaries. The outlook on all
ratings is stable.

RATINGS RATIONALE

Aston Martin's B2 corporate family rating reflects: (i) limited
size and financial strengths compared to some direct peers that
are part of a larger group of European car manufacturers; (ii) its
relatively narrow product line focusing on high end luxury sports
cars with the exception of the Cygnet model as well as (iii) its
sizable foreign exchange risk given its fixed cost base in UK
compared to a sizable share of revenues generated from exports to
Europe and the US and (iv) the operational risks related to the
production of all models except for the Rapide model in one single
plant in UK.

However, Aston Martin's B2 corporate family rating also reflects
certain positives: (i) the company's strong brand name and pricing
position in the luxury car segment; (ii) its lean organization
with a high degree of flexibility in its cost structure
demonstrated by a solid reported profitability through the recent
economic crisis as well as (iii) a solid product pipeline with
continued model renewals expected for the next couple of years as
well as derivatives given its highly flexible production through a
common architecture.

The stable outlook anticipates Aston Martin's sales, operating
performance and cash flow generation to improve going forward
based on the continuous new model introductions on its highly
flexible architecture and strong price realization.

Upward pressure on the ratings could arise should Aston Martin
demonstrate a continued improvement in its financial performance
evidenced by (i) interest coverage improvement to above 1.0x in
2011 compared to 0.5x in FY2010 as well as (ii) a reduction in
leverage (Debt/EBITDA) to below 4.0x in the current fiscal year
from 5.5x in 2010 based on Moody' adjusted ratios.

The ratings could come under pressure in case of (i) a
deterioration in leverage with Debt/EBITDA rising above 6.0x in
2011 or (ii) a negative free cash flow generation.

Post bond issue, Aston Martin has a good liquidity profile over
the next 12 months. Moody's expects the company to have sufficient
cash sources, comprising readily available cash, proceeds from the
bond issuance, funds from operations and an undrawn revolving
credit facility of GBP30 million to cover all possible needs over
the next 12 months including capex, debt repayments, cash for day-
to-day operations and working capital needs.

The B2 PDR for Aston Martin is at the same level as the CFR as per
Moody's Loss Given Default Methodology.

Moody's understands that the senior secured notes and the super
senior secured revolver benefit from guarantees of Aston Martin
Holdings (UK) Limited, all major operating entities (Aston Martin
Lagonda Group Limited, Aston Martin Lagonda Limited), Aston Martin
Investments Limited (holding entity) as well as each material
company (subsidiaries with at least 5% of consolidated EBITDA or
assets of the Group).

Moreover, the revolving credit facility and the secured bond share
a common security package comprising a first-priority security
interest over the issued capital stock of the senior secured notes
issuer, a first-priority pledge over the capital stock of AM
Investments, AM Lagonda Group Ltd, AM Lagonda Limited and AM
Lagonda North America, a first-priority security assignment of the
Proceeds Loan (with respect to the on-loan of [certain] SSN
proceeds to AM Holdings (UK) Limited), and a general security
agreement under English law over real property and land,
investments, equipment, bank accounts, receivables, intellectual
property, insurance and intragroup financing arrangements from
each of the company, AM Investments, AM Lagonda Group Ltd and AM
Lagonda Limited. The bond holders will receive proceeds from the
collateral only after the lenders under the super senior revolver.

The principal methodology used in rating Aston Martin Holdings
(UK) Limited was the Global Automobile Manufacture Industry
Methodology, published December 2007. Other methodologies used
include Loss Given Default for Speculative-Grade Non-Financial
Companies in the U.S., Canada and EMEA, published June 2009.

Aston Martin, domiciled in Gaydon, UK is a car manufacturer
focused on the high luxury sports car segment. The company offers
a range of eight models and generated sales of GBP509 million for
the twelve months ended March 31, 2011 and an EBITDA of GBP98
million from the sale of 4,299 cars.


HOMEFORM: May Go Into Administration, Suppliers Offer Client Aid
----------------------------------------------------------------
James Ferguson at Men Media reports that a Tameside business is
among three suppliers which have stepped in to offer their
services to customers of HomeForm Group, which said it is about to
go into administration.

HomeForm, the Old Trafford-based parent company of Moben Kitchens,
Dolphin Bathrooms, Sharps Bathrooms and KitchensDirect, has filed
a notice of intention to appoint an administrator, according to
Men Media.

The report notes that directors said they were close to securing a
deal safeguarding the future of the Sharps and KitchensDirect
businesses, potentially through a pre-pack administration, and
have instructed advisers to find a buyer for Moben and Dolphin.

HomeForm was unable to say how many orders were outstanding and
whether they would be honored, Men Media discloses.

Men Media says that Denton-based Crown Bedrooms is offering to
provide bedrooms for any Sharps customers left in the lurch.  The
report relates that Darlington-based kitchen supplier Magnet is
offering to honor all or some of the lost deposits paid to Moben
or Kitchens Direct.  It has promised customers up to GBP1,000 or
10% off the value of the kitchen.

Bathstore, based in Ripon, north Yorkshire, has also announced a
special offer to help Dolphin customers, pledging to honor
deposits that may be lost on Dolphin orders and subtract their
value from an equivalent Bathstore order, Men Media adds.


PROMINENT CMBS: Fitch Affirms Rating on Class F Notes at 'CCsf'
---------------------------------------------------------------
Fitch Ratings has affirmed Prominent CMBS Conduit No.2 Limited's
floating rate notes:

   -- GBP359.5m Class A (XS0303848229) affirmed at 'Asf'; Outlook
      Negative

   -- GBP18.9m Class B (XS0303848815) affirmed at 'BBB-sf';
      Outlook Negative

   -- GBP18.9m Class C (XS0303849201) affirmed at 'Bsf'; Outlook
      Negative

   -- GBP20m Class D (XS0303849896) affirmed at 'CCCsf'; Recovery
      Rating 'RR5'

   -- GBP11m Class E (XS0303850555) affirmed at 'CCCsf'; Recovery
      Rating revised to 'RR6' from 'RR5'

   -- GBP17m Class F (XS0305344417) affirmed at 'CCsf'; Recovery
      Rating revised to 'RR6' from 'RR5'

The affirmation reflects the largely unchanged performance of the
transaction since the last rating action in March 2010. At the
latest interest payment date (IPD) in April 2011, five loans
remained outstanding with an aggregate securitized balance of
GBP445.3 million. Two of the loans, accounting for 38% of the
pool, have been designated as impaired by the servicer due to
increases in leverage, which is in line with Fitch's expectations.
One loan, Cavendish, is scheduled to mature in August 2011. All
other loans are scheduled to mature in late 2013/early 2014.

The GBP80.2 million Roade One loan breached its loan-to-value
ratio (LTV) covenant in April 2011, following a revaluation that
increased the whole loan LTV to 122% from the covenant level of
81%. The collateral consists of predominantly regional industrial,
leisure, office and retail properties. The servicer, which
subsequently designated the loan as impaired, is in discussions
with the borrower to resolve the breach. The loan, which is
interest-only but saw a one-off prepayment in April 2008 when one
of the original 20 assets was sold, is scheduled to mature in
October 2013.

The GBP104.4 million Ambassador whole loan (of which GBP90.9
million has been securitized), which is the only other loan in the
portfolio with an LTV covenant, has also been designated as
impaired by the servicer. The servicer has instructed a
revaluation of the collateral; while the current reported A-note
and whole loan LTVs of 74% and 85%, respectively, remain moderate,
Fitch expects these ratios to worsen significantly as a result of
the revaluation. The whole loan interest coverage ratio (ICR)
remains at 1.21x, slightly above the 1.15x covenant. The loan is
also scheduled to mature in October 2013.

The collateral for the GBP51.3 million Cavendish loan comprises 15
secondary retail properties let to Halifax (part of The Lloyds
Banking Group plc, rated 'AA-'/Stable/'F1+') with a remaining
lease term of 14 years. As a result of the lease terms, the ICR
has remained stable at 1x since closing. The ICR is expected to
increase following the termination of the borrower swap in July
2011, which may prove beneficial if the loan remains outstanding
past its maturity. With a Fitch LTV in excess of 100%, the agency
believes there to be a low probability of a timely redemption
despite the stable performance and good quality of the assets.


SIMCLAR GROUP: Goes Into Administration, 200+ Jobs at Risk
----------------------------------------------------------
BBC News reports that Simclar Group has gone into administration
putting more than 200 jobs at risk in the process.

The administrators from Deloittes are expected to keep Simclar,
which owns operations in China and the US, running while it seeks
buyers for the business, according to BBC News.

BBC News notes that Simclar Group ran into problems when planned
launches for new products, including an energy-saving plug, were
delayed.

John Reid and Bill Dawson, of Deloittes, have been appointed by
the directors of Simclar Group as joint administrators of the
company, which employs 217 people in the UK, and certain
subsidiary companies, the report notes.

BBC News says that the administrators hope to continue to trade
with a view to selling the business as a going concern sale.

Dunfermline-based Simclar Group supplies wiring, looms and sheet
metal products to major electronics firms.  Simclar Group was
formed in May 2001 and is the parent company of a subcontract
manufacturing group with operations in the UK, USA, Mexico and
China.  The UK operations supply a number of blue chip customers,
including Bombardier and Alexander Dennis.


SOUTHSEA MORTGAGE: Taps Travers Smith as Adviser
------------------------------------------------
Joshua Freedman at The Lawyer reports that Travers Smith has been
hired to advise on the liquidation of Southsea Mortgage and
Investment Company Ltd, the first British bank or building society
to go bust since March 2009.

The report relates that although magic circle firms often advise
on big insolvencies, the Bank of England (BoE) and liquidators at
BDO turned to Travers banking head Jeremy Walsh for the relatively
small transaction.

Mr. Walsh led the team, assisted by corporate partner Anthony
Foster, who was himself seconded to the BoE some two years ago.

As reported in the Troubled Company Reporter-Europe on June 17,
2011, Bloomberg News said Southsea Mortgage and Investment Company
Ltd. has been placed into a bank insolvency procedure after a
decision by the Financial Services Authority and a court
application by the Bank of England.  Malcolm Cohen and Mark Shaw,
business restructuring partners at BDO LLP, were appointed as
joint liquidators of the company.  Southsea had 250 depositors and
retail deposits of GBP7.4 million when it failed, Bloomberg cited.

Southsea Mortgage and Investment Company Ltd. is a bank based in
the United Kingdom.


VISIT LONDON: London Assembly Welcomes Pension Deal
---------------------------------------------------
The London Assembly welcomed the news that pensioners and
creditors, who were left out of pocket when Visit London went into
administration, can expect to be paid in full.

Under the deal, between the Mayor, Visit London's administrators
and the pension trustees, the Greater London Authority will rescue
the pension scheme and pay off creditors at an estimated net cost
of GBP3 million.

The Assembly's Economy, Culture and Sport (ECS) Committee has
pursued a resolution to the issues that arose when the Mayor made
the decision to wind up Visit London and set up a new promotional
agency, London & Partners.

In May, the Committee held a public meeting with representatives
of the Mayor and London & Partners, creditors and the pensions
action group.  This was followed by correspondence and a further
public meeting on June 21.

Dee Doocey AM, Chair of the ECS Committee said:

"This deal will come as a great relief to all of those businesses
owed money and members of the pension scheme who faced uncertainty
after Visit London went into administration.

"We welcome the agreement, but questions still remain about the
way decisions were made and how this situation arose in the first
place."

Ylva French, Chair of the VisitLondon London Tourist Board Pension
Action Group, who spent 10 years working for the London Tourist
Board said:

"We are delighted and relieved at the agreement reached, which we
understand, will reinstate our pension benefits for the future.

"We know that the Mayor's Office and the British Tourist Board
Pension Fund Trustees worked hard to resolve this matter and we
would like to express our appreciation to all involved.  We would
also particularly like to thank the members of the Assembly's
Economy, Culture and Sport Committee who supported us throughout."

London & Partners was created on April 1 to take over the
promotional work of Visit London, Think London and Study London.
Its decision not to take on responsibility for the pension
liabilities of 39 staff transferring from Visit London resulted in
Visit London going into administration since it did not have the
estimated GBP7-9 million needed to wind up the pension scheme.

This left members of the scheme, including current and former
members and pensioners, potentially reliant on the Pension
Protection Fund.

Visit London is the UK's former promotional and tourism agency.


WALDORF HOTEL: Goes Into Administration, Seeks Buyer
----------------------------------------------------
Big Hospital reports that Waldorf hotel in London's West End and
the Hyatt Regency in Birmingham have been put up for sale after
their holding companies fell into administration.

Both hotels, which were owned by the same family, Gulsham Bhatia
and her son Asif, were handed over to administrators after the
holding firms failed to make loan repayments, according to Big
Hospital.  The report relates that the hotels will now be placed
on the market, although no guide sale price has been released.

Big Hospital notes that the Waldorf hotel was owned by Choicezone,
which had defaulted on loans to three banks in December 2010.  The
report says that the banks, Barclays, Allied Irish and Credit
Agricole, were owed over GBP100 million. They appointed KPMG as
administrators for the property.

As reported in the Troubled Company Reporter-Europe on June 27,
2011, Insider Media Limited said that a buyer is being sought for
Birmingham's Hyatt Regency hotel after it fell into
administration.  Administrators at Ernst & Young said the hotel
would trade as normal after they were appointed to the Hyatt
Regency, according to Insider Media Limited.  An unnamed spokesman
for the firm added it will be "business as usual while we seek a
buyer for the hotel as a going concern," the report related.


* UK: Pre-pack Reforms Could Hit Recruitment Firms, Solicitor Says
------------------------------------------------------------------
Recruiter reports that Rachel Jenner, corporate insolvency
solicitor at Farleys Solicitors, said UK's draft reforms to pre-
pack deals could hit recruiters hard by forcing them into
liquidation.

Recruiter notes that pre-pack deals mean failing businesses can be
sold to new owners without the approval of unsecured creditors.
Under draft proposals published last week, Recruiter relates,
administrators will need to give all creditors three days' notice,
which could affect the value of a quick ownership change.

"Pre-packs are good for keeping a business going and securing jobs
but if the government did introduce three-day notice provisions,
it would affect the value and goodwill that was left in a
business; customers might decide not to deal with the company and
that would mean there would be no purchaser and no money coming
into the business and the employees would lose their jobs. Once
word gets out, any value the business is eroded," Recruiter quotes
Ms. Jenner as saying.

"If a recruitment agency has to give three days' notice you can
imagine that all those staff would get up and go and talk to
another agency and leave -- they are their [the firm's] key
assets."

"That would leave that business with no value or assets. They
would be left with nothing after those three days. They have got
nothing to sell and the only option is to go into liquidation. If
you go into liquidation, there is no return for the creditors,"
Ms. Jenner told Recruiter.

"With liquidations people lose their jobs and that's it.  In terms
of pre-packs, people keep their jobs and returns to creditors are
higher."


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


* Mark Dawkins Joins Bingham's Litigation Team in London
--------------------------------------------------------
Bingham has expanded its Securities and Financial Institutions
Litigation Group in London with the addition of Mark Dawkins, a
leader in finance litigation and former managing partner of
Simmons & Simmons.

While at Simmons & Simmons, Dawkins was instrumental in building
and leading the firm's global Financial Markets Department as well
as its Banking Litigation Department.

"Mark's arrival is an important step for us in further developing
our financial institutions litigation offering in Europe," said
James Roome, London office managing partner.  "He is a great
strategic fit."

Building upon its significant financial institutions litigation
practice in London and globally has been among Bingham's highest
priorities, said Robert Dombroff, co-leader of Bingham's
Litigation Area, noting that the 2009 combination with McKee
Nelson LLP bolstered Bingham's financial institutions litigation
practice that now consists of more than 100 lawyers across offices
in New York, London, Frankfurt, Tokyo and both US coasts.
"Mark is a tremendous talent and will play a leading role in
helping us build upon our strong financial institutions litigation
practice in London and throughout Bingham's global platform," said
Mr. Dombroff.

For Dawkins, the attraction to Bingham is its reputation among
financial institutions and the opportunity to help expand
Bingham's financial litigation practice.

"I wanted to get back to full-time client work," said Mr. Dawkins.
"The opportunity to join and build upon Bingham's successful
financial institutions litigation practice was too good to miss."
Mr. Dawkins will work closely with financial institutions
litigation partner Natasha Harrison, who recently led the London
team in securing a major victory for Elektrim S.A. bondholders
when the English Court of Appeal rejected Elektrim's appeal
against EUR185 million in damages awarded to bondholders in 2009.
"Litigation continues to be an important part of the international
investor landscape," said Ms. Harrison.  "We have a strong team of
financial litigators in London who focus on all aspects of
financial institutions litigation, and Mark's arrival reinforces
our commitment to developing the best possible team to work with
our clients in resolving complex legal disputes."

Bingham's European Securities and Financial Institutions
Litigation Group consists of a team of lawyers acting exclusively
for financial institution clients and operating at the highest
level in the marketplace.  The team represents European and US-
based financial institutions, including hedge funds, investment
management companies, insurance companies and investment banks.

Bingham -- http://www.bingham.com-- offers a broad range of
market-leading practices focused on global financial services
firms and Fortune 100 companies.  The firm has 1,100 lawyers in 13
locations in the United States, Europe and Asia.


                            *********

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.


                 * * * End of Transmission * * *